For the portions of Thirty-second Street, between Seventh and Eighth Avenues, and between Eighth and Ninth Avenues, when the statutory power of the city to make a sale shall be put beyond doubt, the city is to sell and the Railroad Company is required to buy such portions for the sum of $788,600. The rentals for river and track rights begin at the date of operation. For the underground spaces under Thirty-first and Thirty-third Streets, used for station extension, the rentals begin at the commencement of construction, or when the company entered thereon.
Such annual payments may be summarized as follows:
| First 10 years. | Next 15 years. | |
| For river rights | $200.00 | $200.00 |
| For tunnel rights in Manhattan Borough, being 44,341 ft. (partly estimated) of single track | 22,170.00 | 44,341.00 |
| For tunnel rights in Queens Borough, being 8,100 ft. (partly estimated) of single track | 2,025.00 | 4,050.00 |
| For street rights on Thirty-first and Thirty-third Streets, north and south of terminal | 14,000.00 | 28,000.00 |
| In all, per annum | $38,395.00 | $76,591.00 |
If the route under Thirty-first Street be availed of, these amounts will be increased by $16,652.50 for the first ten years, and by $33,305 for the next fifteen years.
The amounts to be paid are to be readjusted at the end of twenty-five years; and thereafter at intervals of twenty-five years. If the city and the Railroad Company shall not agree upon the readjusted rates, they are to be determined by the Supreme Court of this State.
Fifth.—The railroad to be entirely in tunnel except where it approaches the surface at its eastern terminal near Thomson Avenue, in Queens Borough. The uppermost part of the tunnel is to be at least nineteen feet below the surface of the street; but this limitation does not apply to the portions of Thirty-first and Thirty-third Streets opposite the terminal station between Seventh and Ninth Avenues, where the Company may occupy the underground portions of the street under the roadway to within thirty inches of the surface, and under the sidewalks on Thirty-first and Thirty-third Streets opposite to the station to within five feet of the surface, the company to properly care for sewers, water, gas and other pipes and underground structures lawfully in the street.
Sixth.—The company to make good all damage done to property of the city by its construction work or operations, and to abutting owners all damage done through any fault or negligence of the company, or of any contractor or sub-contractor engaged upon its work of construction or operation. The Tunnel Company to keep Thirty-first and Thirty-third Streets opposite the station well paved with smooth pavement and in thoroughly good condition.
Seventh.—Tunnel excavations to be done without disturbing the surface of the street, except in the portions of Thirty-first and Thirty-third Streets, and Seventh, Eighth and Ninth Avenues in front of the terminal station, and except in Queens Borough, with the power to the Rapid Transit Board, wherever conditions elsewhere make surface excavation necessary for efficient construction, to grant the right for such excavation, subject to conditions to be then prescribed by the Board. The tracks are to be constructed of the most approved plan so as to avoid noise or tremor. All plans for, and the method of doing, the work are made subject to the approval of the Rapid Transit Board.
Eighth.—The motive power to be electricity, or such other power not involving combustion as may be approved by the Board.
Ninth.—The company to have no power to carry on merely local traffic, except with the approval of the Board and for additional consideration to be paid the city. Traffic is defined as local which begins and ends in the city within five miles of the terminal station on Seventh and Ninth Avenues.