11-2-22 Notice of Public Hearing - Boilermatic

11/03/22

Application
CBA

NOTICE IS HEREBY GIVEN that a public hearing pursuant to Article 18-A of the New York State General Municipal Law will be held by the Town of Brookhaven Industrial Development Agency (the "Agency") on the 14th day of November, 2022, at 10:00 a.m. local time, at the Town of Brookhaven Town Hall, Industrial Development Agency, 1 Independence Hill, 2nd Floor, Farmingville, New York 11738, in connection with the following matters:

The Agency has previously provided its assistance to Coast 2 Coast Real Estate LLC, a New York limited liability company (the "Original Company") in the acquisition of an approximately 1.75 acre parcel of land located at 20 Pinehurst Drive, Bellport, New York (the "Land"), the renovation of an existing approximately 19,172 square foot building located thereon (the "Improvements"), and the acquisition and installation therein of certain equipment and personal property (the "Equipment" and together with the Land and the Improvements, the "Facility"), all to be subleased and leased by the Agency to the Original Company, and subleased by the Original Company to multiple tenants, including, but not limited to, Coast 2 Coast Plumbing and HVAC LLC (d/b/a 1-800 Plumber + Air), Coast 2 Coast Restoration LLC (d/b/a Restoration 1), Target Media Group Corp., and Bold Systems, LLC (collectively, the "Tenants"), to be used by the Tenants respectively, as office, storage and distribution space (the "Project").

Hydro Metal Holdings, LLC, a New York limited liability company, on behalf of itself and/or the principals of Hydro Metal Holdings, LLC and/or an entity formed or to be formed on behalf of the foregoing (collectively, the "Company") and Boilermatic Welding Industries, Inc., a New York business corporation, on behalf of itself and/or the principals of Boilermatic Welding Industries, Inc. and/or an entity formed or to be formed on behalf of the foregoing (collectively, the "Sublessee") have submitted their application for financial assistance (the "Application"), to the Agency and requested the Agency's consent to the assignment by the Original Company of all of its rights, title, interest and obligations under the Company Lease Agreement, dated as of September 1, 2021 (the "Company Lease"), and the Lease and Project Agreement, dated as of September 1, 2021 (the "Lease Agreement"), each by and between the Agency and the Original Company, and certain other agreements in connection with the Facility to the Company and the Sublessee, as applicable, and the assumption by the Company and the Sublessee, as applicable, of all of such rights, title, interest and obligations of the Original Company, and the release of the Original Company from any future liability incurred after the date of the assignment with respect to the Facility subject to certain requirements of the Agency, all pursuant to the terms of certain agreements including an Assignment, Assumption and Amendment Agreement, to be dated as of November 1, 2022, or such other date as may be determined by the Chairman, Chief Executive Officer and counsel to the Agency (the "Assignment and Assumption Agreement"), by and among the Agency, the Original Company, the Company and the Sublessee, a certain Assignment and Assumption of Company Lease Agreement, to be dated as of November 1, 2022, or such other date as may be determined by the Chairman, Chief Executive Officer and counsel to the Agency (the "Assignment of Company Lease Agreement"), by and between the Original Company and the Company, and consented to by the Agency, a certain Assignment and Assumption of Lease Agreement, to be dated as of November 1, 2022, or such other date as may be determined by the Chairman, Chief Executive Officer and counsel to the Agency (the "Assignment of Lease Agreement"), by and between the Original Company and the Company, and consented to by the Agency, and a certain Amended and Restated Lease and Project Agreement, dated as of November 1, 2022 or such other date as may be determined by the Chairman, Chief Executive Officer and counsel to the Agency (the "Amended and Restated Lease Agreement"), by and between the Agency, as lessor, and the Company, as lessee. The Company will sublease the Facility to the Sublessee.

In connection with the foregoing, the Agency will also acquire title to certain equipment and then lease such equipment to the Sublessee pursuant to a certain Equipment Lease Agreement, dated as of November 1, 2022 or such other date as may be determined by the Chairman, Chief Executive Officer and counsel to the Agency (the "Equipment Lease Agreement"), by and between the Agency and the Sublessee. The Sublessee and the Agency will also enter into a certain Agency Compliance Agreement, dated as of November 1, 2022 or such other date as may be determined by the Chairman, Chief Executive Officer and counsel to the Agency (the "Agency Compliance Agreement"), whereby the Sublessee will provide certain assurances to the Agency with respect to the Facility. The Company and Sublessee contemplate that the Facility will be used for office and corporate headquarter space, with related on-site storage for operations.

The Facility was and continues to be initially owned, operated and/or managed by the Original Company, and after the assignment of the Company Lease and the Lease Agreement, the Facility will be initially owned, operated and/or managed by the Company and/or the Sublessee.

The Agency contemplates that it will provide financial assistance to the Company and the Sublessee in the form of exemptions from mortgage recording taxes in connection with the financing or any subsequent refinancing of the Facility, exemptions from sales and use taxes, and continued abatement of real property taxes pursuant to terms of the Lease Agreement and related documents, as amended and/or restated, and as assigned by the Original Company to the Company and the Sublessee, as applicable, and all consistent with the policies of the Agency.

A representative of the Agency will, at the above-stated time and place, hear and accept written comments from all persons with views in favor of or opposed to either the proposed financial assistance to the Company and the Sublessee or the location or nature of the Facility. Prior to the hearing, all persons will have the opportunity to review on the Agency&rsquos website (https://brookhavenida.org/), the application for financial assistance filed by the Company and the Sublessee with the Agency and an analysis of the costs and benefits of the proposed Facility.

Dated: November 4, 2022
TOWN OF BROOKHAVEN INDUSTRIAL DEVELOPMENT AGENCY
By: Lisa MG Mulligan
Title: Chief Executive Officer

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