Construction Requirements. All Alterations shall be (a) performed under a valid permit when required, a copy of which shall be obtained by or in the name of Landlord, at Tenant’s expense, before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program), (b) performed in a good and workmanlike manner using only new, first class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3; (d) performed so as not to cause or create any jurisdictional or other labor disputes; (e) performed in such manner as not to obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; (h) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and performed by Tenant’s Contractors that are reasonably approved by Landlord. Tenant agrees that, in connection with any Alterations, the Tenant Improvements and any other work performed by or on behalf of Tenant in the Premises (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such contractor self-performs any of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretion. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction of such Alterations, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). Tenant shall pay to Landlord a percentage of the cost of the Alterations (based on 5% of the cost of such Alterations) sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. Additionally, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligee. Promptly after completion of any Alterations, Tenant shall deliver to Landlord “as-built” plans and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver of any of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereof. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.
Appears in 2 contracts
Samples: Office Lease, Office Lease
Construction Requirements. All Alterations shall be (a) performed under a valid permit when required, a copy of which shall be obtained by or in the name of Landlord, at Tenant’s expense, furnished to Landlord before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program)construction, (b) performed in a good and workmanlike manner using only new, first class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3); (d) performed so as not to cause or create any jurisdictional or other labor disputes; (e) performed in such manner as not to obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; (h) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and (i) performed by Tenant’s Contractors that are reasonably approved by Landlord and, at Landlord. Tenant agrees that’s election, in connection with any Alterations, Landlord shall have the Tenant Improvements and any other work performed right to have at least one (1) additional contractor selected by or on behalf of Tenant in the Premises Landlord (collectively, the “WorkLandlord’s Contractors”), submit a bid for the Alterations and Landlord shall notify Tenant of any Landlord’s Contractors it elects to have submit a bid for the Alterations at the time Landlord approves Tenant’s Contractors. If Landlord elects to have any Landlord’s Contractors submit a bid for the Alterations, then promptly after Tenant receives all subcontractors performing any on-site work which comprises bids, and based upon the Workbids submitted by Tenant’s Contractors and Landlord’s Contractor(s), including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed Tenant shall notify Landlord in writing by Landlord: (i) be bound by and signatory of its recommendation for the contractor to a collective bargaining agreement with a labor organization governing perform the employees performing such on-site work (a) whose jurisdiction covers the type of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such contractor self-performs any of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretionAlterations. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction of such Alterations, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). With respect to any Alterations performed after the completion of the initial Tenant Improvements, Tenant shall pay to Landlord a percentage of the cost of the Alterations (based such percentage, which shall vary depending upon whether or not Tenant orders the work directly from Landlord, to be established by Landlord on a uniform basis for the Project but shall not exceed five percent (5% %) of the cost of such Alterationsthe work) sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. Additionally, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with any Alterations costing in excess of One Hundred Thousand Dollars ($100,000) in the Alterationsaggregate, including but not limited to a lien and completion bond naming Landlord as a co-obligee. Promptly after completion of any Alterations, Tenant shall deliver to Landlord “as-built” plans and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver of any of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereof. If, as a result of Landlord’s inspection, Landlord reasonably disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.
Appears in 1 contract
Construction Requirements. All Alterations shall be for all Capital Additions -------------------------------------------------------- . Whether or not Lessor's review and approval is required, for all Capital Additions: (a) performed under a valid permit when requiredSuch construction shall not be commenced until Lessee shall have procured and paid for all municipal and other governmental permits and authorizations required therefor, a copy of which and Lessor shall join in the application for such permits or authorizations whenever such action is necessary; provided, however, that (i) any such joinder shall be obtained at no cost or expense to Lessor; and (ii) any plans required to be filed in connection with any such application which require the approval of Lessor as hereinabove provided shall have been so approved by or in the name of Landlord, at Tenant’s expense, before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program), Lessor; (b) performed Such construction shall not, and Lessee's licensed architect or engineer shall certify to Lessor that such construction shall not, impair the structural strength of any component of the applicable Facility or overburden the electrical, water, plumbing, HVAC or other building systems of any such component; (c) Lessee's licensed architect or engineer shall certify to Lessor that the detailed plans and specifications conform to and comply with all applicable building, subdivision and zoning codes, laws, ordinances and regulations imposed by all governmental authorities having jurisdiction over the Leased Property of the applicable Facility; (d) Such construction shall, when completed, be of such a character as not to decrease the value of the Leased Property as it was immediately before such Capital Addition; (e) During and following completion of such construction, the parking which is located in the applicable Facility or on the Land of such Facility shall remain adequate for the operation of such Facility for its Primary Intended Use and in no event shall such parking be less than that which was or is required by law or which was located in such Facility or on the Land prior to such construction; provided, however, with Lessor's prior consent and at no additional expense to Lessor, (i) to the extent additional parking is not already a part of a Capital Addition, Lessee may construct additional parking on the Land; or (ii) Lessee may acquire off-site parking to serve such Facility as long as such parking shall be dedicated to, or otherwise made available to serve, such Facility; (f) All work done in connection with such construction shall be done promptly and in a good and workmanlike manner using only new, first first-class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance conformity with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications Legal Requirements; and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3; (d) performed so as not to cause or create any jurisdictional or other labor disputes; (e) performed in such manner as not to obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect Promptly following the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; (h) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and performed by Tenant’s Contractors that are reasonably approved by Landlord. Tenant agrees that, in connection with any Alterations, the Tenant Improvements and any other work performed by or on behalf of Tenant in the Premises (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such contractor self-performs any of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretion. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction completion of such Alterationsconstruction, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). Tenant shall pay to Landlord a percentage of the cost of the Alterations (based on 5% of the cost of such Alterations) sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. Additionally, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligee. Promptly after completion of any Alterations, Tenant Lessee shall deliver to Landlord “as-Lessor "as built” plans " drawings of such addition, certified as accurate by the licensed architect or engineer selected by Lessee to supervise such work, and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver copies of any new or revised Certificates of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereofOccupancy. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.10.3
Appears in 1 contract
Samples: Master Lease (Emeritus Corp\wa\)
Construction Requirements. All Alterations shall be (a) performed under a valid permit when required, a copy of which shall be obtained by or in the name of Landlord, at Tenant’s expense, furnished to Landlord before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program)construction, (b) performed in a good and workmanlike manner using only new, first class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3); (d) performed so as not to cause or create any jurisdictional or other labor disputesintentionally omitted; (e) performed in such manner as not to unreasonably obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; , and (hi) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and (h) as to Alterations other than Cosmetic Alterations, performed by Tenant’s Contractors that are reasonably approved by Landlord and, at Landlord’s election, Landlord shall have the right to have at least one (1) additional contractor selected by Landlord (“Landlord’s Contractors”), submit a bid for the Alterations (other than Alterations that involve the installation of Tenant’s specialty equipment) and Landlord shall notify Tenant of any Landlord’s Contractors it elects to have submit a bid for the Alterations at the time Landlord approves Tenant’s Contractors. Tenant agrees that, in connection with If Landlord elects to have any Landlord’s Contractors submit a bid for the Alterations, then promptly after Tenant receives all bids, and based upon the bids submitted by Tenant’s Contractors and Landlord’s Contractor(s), Tenant Improvements shall notify Landlord in writing of its recommendation for the contractor to perform the Alterations, which notice shall include copies of all bids (the “Bid Package”). If Tenant’s recommendation for a contractor for the Alterations is not a Landlord’s Contractor, then within five (5) Business Days after Landlord’s receipt of the Bid Package, Landlord shall either (A) allow Tenant to use its recommended contractor for the Alterations, or (B) require Tenant to use a Landlord’s Contractor for the Alterations. If Landlord elects to proceed under subsection (B) and any other the bid of the required Landlord’s Contractor for the Alterations exceeds one hundred percent (100%) of the bid of Tenant’s recommended contractor for the Alterations, then Landlord shall reimburse Tenant for the cost of the work performed by or on behalf Landlord’s Contractor (excluding costs incurred for any change orders) in excess of Tenant in the Premises one hundred percent (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion 100%) of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type bid of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such recommended contractor self-performs any within thirty (30) days of Tenant’s completion of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building Alterations and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretionreceipt of unconditional lien releases therefor. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction of such Alterations, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). For Alterations other than Cosmetic Alterations performed after the initial Tenant Improvements, Tenant shall pay to Landlord a percentage of the cost of the Alterations (based such percentage, which shall vary depending upon whether or not Tenant orders the work directly from Landlord, to be established by Landlord on a uniform basis for the Project; however, in no event shall such percentage exceed five percent (5% of the cost of such Alterations) %)), sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. AdditionallyFor Alterations estimated to cost in excess of $250,000, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligeeobligee (however, Landlord and Tenant agree that the provisions of this sentence shall not apply to the initial Tenant Improvements, such that Tenant shall have no obligation to provide any security (other than the Excess Costs Deposit, if applicable) in connection with the initial Tenant Improvements). Promptly after completion of any Alterations (other than Cosmetic Alterations), Tenant shall deliver to Landlord “as-built” plans and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver of any of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereof. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.
Appears in 1 contract
Construction Requirements. All Alterations shall be for all Capital Additions -------------------------------------------------------- . Whether or not Lessor's review and approval is required, for all Capital Additions: (a) performed under a valid permit when requiredSuch construction shall not be commenced until Lessee shall have procured and paid for all municipal and other governmental permits and authorizations required therefor, a copy of which and Lessor shall join in the application for such permits or authorizations whenever such action is necessary; provided, however, that (i) any such joinder shall be obtained at no cost or expense to Lessor; and (ii) any plans required to be filed in connection with any such application which require the approval of Lessor as hereinabove provided shall have been so approved by or in the name of Landlord, at Tenant’s expense, before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program), Lessor; (b) performed Such construction shall not, and Lessee's licensed architect or engineer shall certify to Lessor that such construction shall not, impair the structural strength of any component of the applicable Facility or overburden the electrical, water, plumbing, HVAC or other building systems of any such component; (c) Lessee's licensed architect or engineer shall certify to Lessor that the detailed plans and specifications conform to and comply with all applicable building, subdivision and zoning codes, laws, ordinances and regulations imposed by all governmental authorities having jurisdiction over the Leased Property of the applicable Facility; (d) Such construction shall, when completed, be of such a character as not to decrease the value of the Leased Property as it was immediately before such Capital Addition; (e) During and following completion of such construction, the parking which is located in the applicable Facility or on the Land of such Facility shall remain adequate for the operation of such Facility for its Primary Intended Use and in no event shall such parking be less than that which was or is required by law or which was located in such Facility or on the Land prior to such construction; provided, however, with Lessor's prior consent and at no additional expense to Lessor, (i) to the extent additional parking is not already a part of a Capital Addition, Lessee may construct additional parking on the Land; or (ii) Lessee may acquire off-site parking to serve such Facility as long as such parking shall be dedicated to, or otherwise made available to serve, such Facility; (f) All work done in connection with such construction shall be done promptly and in a good and workmanlike manner using only new, first first-class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance conformity with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications Legal Requirements; and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3; (d) performed so as not to cause or create any jurisdictional or other labor disputes; (e) performed in such manner as not to obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect Promptly following the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; (h) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and performed by Tenant’s Contractors that are reasonably approved by Landlord. Tenant agrees that, in connection with any Alterations, the Tenant Improvements and any other work performed by or on behalf of Tenant in the Premises (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such contractor self-performs any of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretion. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction completion of such Alterationsconstruction, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). Tenant shall pay to Landlord a percentage of the cost of the Alterations (based on 5% of the cost of such Alterations) sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. Additionally, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligee. Promptly after completion of any Alterations, Tenant Xxxxxx shall deliver to Landlord “as-Lessor "as built” plans " drawings of such addition, certified as accurate by the licensed architect or engineer selected by Lessee to supervise such work, and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver copies of any new or revised Certificates of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereofOccupancy. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.10.3
Appears in 1 contract
Samples: Master Lease (Emeritus Corp\wa\)
Construction Requirements. All Alterations shall be (a) performed under a valid permit when required, a copy of which shall be obtained by or in the name of Landlord, at Tenant’s expense, furnished to Landlord before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program)construction, (b) performed in a good and workmanlike manner using only new, first class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3); (d) performed so as not to cause or create any jurisdictional or other labor disputesintentionally omitted; (e) performed in such manner as not to unreasonably obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect the any Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; , and (hi) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and (h) as to Alterations other than Cosmetic Alterations, performed by Tenant’s Contractors that are reasonably approved by Landlord and, at Landlord’s election, Landlord shall have the right to have at least one (1) additional contractor selected by Landlord (“Landlord’s Contractors”), submit a bid for the Alterations (other than Alterations that involve the installation of Tenant’s specialty equipment) and Landlord shall notify Tenant of any Landlord’s Contractors it elects to have submit a bid for the Alterations at the time Landlord approves Tenant’s Contractors. Tenant agrees that, in connection with If Landlord elects to have any Landlord’s Contractors submit a bid for the Alterations, then promptly after Tenant receives all bids, and based upon the bids submitted by Tenant’s Contractors and Landlord’s Contractor(s), Tenant Improvements shall notify Landlord in writing of its recommendation for the contractor to perform the Alterations, which notice shall include copies of all bids (the “Bid Package”). If Tenant’s recommendation for a contractor for the Alterations is not a Landlord’s Contractor, then within five (5) Business Days after Landlord’s receipt of the Bid Package, Landlord shall either (A) allow Tenant to use its recommended contractor for the Alterations, or (B) require Tenant to use a Landlord’s Contractor for the Alterations. If Landlord elects to proceed under subsection (B) and any other the bid of the required Landlord’s Contractor for the Alterations exceeds one hundred percent (100%) of the bid of Tenant’s recommended contractor for the Alterations, then Landlord shall reimburse Tenant for the cost of the work performed by or on behalf Landlord’s Contractor (excluding costs incurred for any change orders) in excess of Tenant in the Premises one hundred percent (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion 100%) of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type bid of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such recommended contractor self-performs any within thirty (30) days of Tenant’s completion of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building Alterations and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretionreceipt of unconditional lien releases therefor. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction of such Alterations, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). For Alterations other than Cosmetic Alterations performed after the initial Tenant Improvements, Tenant shall pay to Landlord a percentage of the cost of the Alterations (based such percentage, which shall vary depending upon whether or not Tenant orders the work directly from Landlord, to be established by Landlord on a uniform basis for the Project; however, in no event shall such percentage exceed five percent (5% of the cost of such Alterations) %)), sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. AdditionallyFor Alterations estimated to cost in excess of $250,000, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligeeobligee (however, Landlord and Tenant agree that the provisions of this sentence shall not apply to the initial Tenant Improvements, such that Tenant shall have no obligation to provide any security (other than the Excess Costs Deposit, if applicable) in connection with the initial Tenant Improvements). Promptly after completion of any Alterations (other than Cosmetic Alterations), Tenant shall deliver to Landlord “as-built” plans and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver of any of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereof. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the any Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.
Appears in 1 contract
Construction Requirements. All Alterations shall be (a) performed under a valid permit when required, a copy of which shall be obtained by or in the name of Landlord, at Tenant’s expense, before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program), (b) performed in a good and workmanlike manner using only new, first class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit Exhibit E-3; (d) performed so as not to cause or create any jurisdictional or other labor disputes; (e) performed in such manner as not to obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; (h) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and performed by TenantXxxxxx’s Contractors that are reasonably approved by Landlord. Tenant agrees that, in connection with any Alterations, the Tenant Improvements and any other work performed by or on behalf of Tenant in the Premises (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by LandlordXxxxxxxx, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit Exhibit E-1) or Tenant’s general contractor, as applicable, if such contractor self-performs any of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretion. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction of such Alterations, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). Tenant shall pay to Landlord a percentage of the cost of the Alterations (based on 5% of the cost of such Alterations) sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. Additionally, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at LandlordXxxxxxxx’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligee. Promptly after completion of any Alterations, Tenant shall deliver to Landlord “as-built” plans and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, LandlordXxxxxxxx’s failure to inspect any portion of the Alterations shall in no event constitute a waiver of any of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereof. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.
Appears in 1 contract
Samples: Office Lease
Construction Requirements. All Alterations shall be (a) performed under a valid permit when required, a copy of which shall be obtained by or in the name of Landlord, at Tenant’s expense, furnished to Landlord before commencement of construction (and Tenant hereby agrees and acknowledges that the Building is part of the City of Portland’s Facility Permit Program, which requires that Landlord hold all building permits, and Tenant will take whatever steps are reasonably required by Landlord to ensure compliance with the Facility Permit Program)construction, (b) performed in a good and workmanlike manner using only new, first class materials and Tenant shall obtain contractors’ warranties for a period of at least one (1) year against defects in materials and workmanship; (c) performed in compliance with all applicable Laws, all applicable standards of the American Insurance Association (formerly, the National Board of Fire Underwriters), the National Electrical Code, manufacturer’s specifications and Landlord’s construction rules and regulations attached hereto as Exhibit E-2 (the “Construction Rules”) and its Responsible Contractor Policy set forth in E xhibit E-3); (d) performed so as not to cause or create any jurisdictional or other labor disputes; (e) performed in such manner as not to obstruct access to the Project or the Common Areas or the conduct of business by Landlord or other tenants in the Project and coordinated with any other work in the Project by Landlord or its tenants in order to minimize interference with such work; (f) diligently prosecuted to completion; (g) if applicable, performed in a manner that will not adversely affect the Building’s and or Project’s “LEED” certification, Energy Star rating or other “green agency” rating; , and (hi) performed (A) in compliance with USGBC indoor air quality standards and waste management specifications, and (B) if to the extent applicable, utilizing plumbing fixtures that comply with the EPA’s “Water Sense” program and Energy Star compliant equipment, and (h) performed by Tenant’s Contractors that are reasonably approved by Landlord and, at Landlord’s election, Landlord shall have the right to have at least one (1) additional contractor selected by Landlord (“Landlord’s Contractors”), submit a bid for the Alterations and Landlord shall notify Tenant of any Landlord’s Contractors it elects to have submit a bid for the Alterations at the time Landlord approves Tenant’s Contractors. Tenant agrees that, in connection with If Landlord elects to have any Landlord’s Contractors submit a bid for the Alterations, then promptly after Tenant receives all bids, and based upon the bids submitted by Tenant’s Contractors and Landlord’s Contractor(s), Tenant Improvements shall notify Landlord in writing of its recommendation for the contractor to perform the Alterations, which notice shall include copies of all bids (the “Bid Package”). If Tenant’s recommendation for a contractor for the Alterations is not a Landlord’s Contractor, then within five (5) Business Days after Landlord’s receipt of the Bid Package, Landlord shall either (A) allow Tenant to use its recommended contractor for the Alterations, or (B) require Tenant to use a Landlord’s Contractor for the Alterations. If Landlord elects to proceed under subsection (B) and the bid of the required Landlord’s Contractor (excluding costs incurred for any other change orders) for the Alterations exceeds one hundred ten percent (110%) of the bid of Tenant’s recommended contractor for the Alterations, then Landlord shall reimburse Tenant for the cost of the work performed by or on behalf Landlord’s Contractor in excess of Tenant in the Premises one hundred ten percent (collectively, the “Work”), all subcontractors performing any on-site work which comprises the Work, including, without limitation, painting and installations of fixtures, mechanical, electrical, plumbing, data, security, telecommunication, low voltage or elevator equipment or systems or other equipment, (including any such work performed on the Project by any person who contracts to provide services to any portion 110%) of the Project, such as cable, DSL, communications, telecommunications or similar services) shall, unless otherwise agreed in writing by Landlord: (i) be bound by and signatory to a collective bargaining agreement with a labor organization governing the employees performing such on-site work (a) whose jurisdiction covers the type bid of work to be performed on the Project and (b) who is an “Approved Building Trades Department Contractor or Subcontractor” and (ii) observe area standards for wages and other terms and conditions of employment, including fringe benefits. Unless approved otherwise by Landlord, in writing, the obligations set forth in the previous sentence shall also be applicable to the Contractor (as defined in E xhibit E-1) or Tenant’s general contractor, as applicable, if such recommended contractor self-performs any within thirty (30) days of Tenant’s completion of the items set forth in the previous sentence. For purposes hereof, “Approved Building Trades Department Contractor or Subcontractor” is a contractor or subcontractor who is currently affiliated with the Building Alterations and Construction Trades Department of the AFL-CIO (the “BCTD”) or, if no such BCTD affiliated contractor or subcontractor is available for a particular trade that is typically affiliated with a trade union (e.g., carpentry work), a contractor or subcontractor which is affiliated with a national trade union. The obligations under this paragraph exist, regardless of the terms of any project labor agreement or applicable collective bargaining agreement. The union labor requirement set forth above shall be adhered to with respect to all Work except as otherwise permitted in writing by Landlord, in Landlord’s sole discretionreceipt of unconditional lien releases therefor. Tenant agrees to (1) carry (or cause its general contractor to carry) Causes of Loss-Special Form Builder’s Risk or Installation Floater insurance with a limit of not less than the total cost of the Alterations, in such form and including such terms, conditions and deductibles as are acceptable to Landlord in its sole but reasonable discretion, covering the construction of such Alterations, and (2) cause all of Tenant’s Contractors to agree, in their construction contracts with Tenant, to meet all of the insurance requirements applicable to Tenant pursuant to Article 18 (including providing the certificates of insurance required thereunder). Tenant shall pay to Landlord a percentage of the cost of the Alterations (based such percentage, which shall vary depending upon whether or not Tenant orders the work directly from Landlord, to be established by Landlord on 5% of a uniform basis for the cost of such AlterationsProject) sufficient to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising from Landlord’s supervision of or involvement with the Alterations. Additionally, Tenant shall engage the services of an on-site project manager reasonably acceptable to Landlord, who shall perform daily supervision of the Alterations and who shall be familiar with Landlord’s construction procedures for the Project (including the Rules and Regulations and the Construction Rules). Landlord may require, at Landlord’s sole option, that Tenant provide to Landlord such security as reasonably determined by Landlord to protect Landlord against any liability in connection with the Alterations, including but not limited to a lien and completion bond naming Landlord as a co-obligee. Promptly after completion of any Alterations, Tenant shall deliver to Landlord “as-built” plans and specifications (including all working drawings) for the Alterations. Landlord shall have the right to inspect the construction of the Alterations; however, Landlord’s failure to inspect any portion of the Alterations shall in no event constitute a waiver of any of Landlord’s rights under this Article 11, nor shall Landlord’s inspection of any portion of the Alterations constitute Landlord’s approval thereof. If, as a result of Landlord’s inspection, Landlord disapproves of any portion of the construction of the Alterations, Landlord shall notify Tenant in writing of such disapproval and shall specify the items disapproved. In the event Landlord disapproves of any matter that might adversely affect any Building System, the structure or exterior appearance of the Building or any other tenant, Landlord may take such action as Landlord deems necessary, at Tenant’s expense and without incurring any liability on Landlord’s part, to correct any such matter, including, without limitation, causing the cessation of the applicable work.
Appears in 1 contract
Samples: Office Lease (HF Enterprises Inc.)
