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ENCROACHMENT AGREEMENT <br /> AGREEMENT ("Agreement") made this 5h day of December, 2007,by and between <br /> the CITY OF ORONO, a Minnesota municipal corporation ("City"), and RYAN <br /> COMPANIES US,INC., a Minnesota Corporation ("Developer"). <br /> RECITALS <br /> 1. Background. Certain real property, Orono Industrial Boulevard within the plat <br /> of Crystal Bay Business Center(said plat recorded as document#4457474), within the City of Orono, <br /> County of Hennepin, State of Minnesota,has been dedicated to the City of Orono (the"Subject <br /> Property"). Developer seeks permission from the City to encroach upon the Subject Property for <br /> outdoor storage until the street is constructed. <br /> 2. Encroachment Authorization. The City hereby grants the Developer permission <br /> for the encroachment of outdoor storage upon the Subject Property until the street is constructed, <br /> and subject to the conditions set forth in this Agreement. <br /> 3. No Waiver. Nothing in this Agreement shall be deemed an abandonment,vacation <br /> or waiver of the City's interests in the right-of-way. <br /> 4. Maintenance and Repair of Right-of-Way. The Developer shall be solely <br /> responsible for all costs relating to the maintenance and repair of the Orono Industrial Boulevard <br /> right-of-way, including any damage caused in whole or in part by the Developer's use, <br /> maintenance, and repair of the right-of-way of Orono Industrial Boulevard. This maintenance <br /> agreement is an obligation of the Developer and shall be binding upon the executors,administrators, <br /> successors and assigns of the Developer. The Developer's obligations under this Section 4 shall <br /> terminate on the date the City accepts the improvements to Orono Industrial Boulevard made by the <br /> Developer pursuant to that certain Development Agreement Crystal Bay Business Center of even <br /> date herewith between the Developer and the City. <br /> 132834 Q 1 <br />