Common use of Initial Alterations Clause in Contracts

Initial Alterations. As soon as reasonably practicable after the Commencement Date, Lessee shall complete the following alterations and improvements to the interior of the Building (collectively, the “Initial Alterations”): (i) the construction of a decontamination room (the “Decontamination Room”); (ii) modifications to the Java lobby, including the addition of a wall (the “Java Lobby Wall”) and the replacement of the carpeting with VCT; (iii) the construction of two rooms in the cubicle area on the Geneva side of the Building, as well as the installation of carpeting and dropped ceilings with sprinklers in such rooms; (iv) the addition of lighting to the warehouse portion of the Building; (v) items 1, 2 and 2a listed as “Ductwork Specialties” on Exhibit “B”; (vi) items 2, 7 and 8 of the items listed as “Subcontractors” on Exhibit “B”; (vii) items 1, 3 (provided that Lessee shall only be responsible for overtime to the extent related to any of the Initial Alterations described in the other subclauses of this Article 10d.), 4, 5 (provided that Lessee shall only be responsible for electrical upgrades to the extent related to any of the Initial Alterations described in the other subclauses of this Article l0d.) and 6 listed as “Exclusions” on Exhibit “B”; (viii) the removal of the three (3) H/C stalls at the rear parking area along Java Drive and the restriping of the same as regular parking; (ix) the addition of truncated domes to certain exterior doors; (x) the updating of the main entry H/C parking to replace the three (3) H/C parking stalls removed pursuant to clause (vii) above, including the removal of a portion of the concrete and the installation of a small ramp, together with related signage and graphics; and (xi) if legally required, the addition of a ramp and striping connecting the sidewalk owned by the City of Sunnyvale with the Premises. The Initial Alterations shall be deemed an Alteration and shall be subject to the terms and conditions applicable to Alterations set forth in Subarticles (a)-(c) of this Article 10, including without limitation, (1) Lessor’s prior written approval of the Initial Alterations within twenty (20) days after Lessee has provided Lessor with detailed plans and specifications describing the nature and scope thereof, such approval not to be unreasonably withheld or delayed (provided that if Lessor fails to respond to Lessee’s written request for approval within such twenty (20) day period, Lessor shall be deemed to have consented to the Initial Alterations described in such request), (2) compliance with all legal requirements pertaining to such improvements, including without limitation, the performance of any ADA or other improvements mandated by any governmental or quasi-governmental authority in connection with the issuance to Lessee of a permit for the Initial Alterations (which permit shall also cover the New Units to be installed by Lessor as a part of Lessor’s HVAC Work) , and (3) Lessor’s prior written approval, not to be unreasonably withheld or delayed, of the general contractor performing the Initial Alterations. Further, Lessee shall take commercially reasonable steps so that the contractors retained by Lessee to perform the Initial Alterations shall not materially interfere with any contractors or vendors performing any work of improvement to be performed by Lessor under this Lease. The Initial Alterations shall be deemed the property of Lessee, but, subject to Lessor’s right and election to cause Lessee to restore all or any portions of the Premises, shall become the property of Lessor upon Lease Termination. Lessee’s actual, out-of-pocket costs and expenses incurred in connection with the installation of the Initial Alterations shall be referred to herein as the “Initial Alterations Cost.” Provided Lessee is not in default of any of its obligations under this Lease and has not issued an effective Termination Notice pursuant to Article 3a. on or before the Outside Date, Lessor shall reimburse Lessee for the Initial Alterations Cost, subject to a maximum aggregate reimbursement obligation of One Hundred Forty-One Thousand Six Hundred and Ten Dollars ($141,610.00). Such reimbursement may be made at one time or from time to time (in increments of no less than Fifteen Thousand Dollars [$15,000.00], provided the last such increment may be for a lesser amount) within thirty (30) days after Lessor’s receipt of written notice from Lessee (any such notice being referred to herein as a “Reimbursement Request”), which Reimbursement Request, to be effective, shall include a copy of (1) the paid invoice(s) evidencing the portion of the Initial Alterations Cost for which reimbursement is being requested, (2) a copy of the certification issued by the appropriate governmental authority or authorities evidencing the completion of the portion of the Initial Alterations for which Initial Alteration Cost reimbursement is being requested in accordance with all legal rules, regulations and requirements pertaining thereto, (3) unconditional lien waivers from any and all persons and entities performing, or supplying materials for, any part of the Initial Alterations for which Initial Alterations Cost reimbursement is being requested and (4) As-Built plans in both hard copy and electronic forms for the portion of the Initial Alterations for which Initial Alterations Cost reimbursement is being requested. Notwithstanding the foregoing and any provision to the contrary in this Lease, (a) in no event shall Lessor be obligated to make any reimbursement pursuant to the foregoing prior to November 1, 2012 and (b) any Reimbursement Request, to be effective, must be given by Lessee on or before October 31, 2013. On or before Lease Termination, Lessee shall (A) remove the Decontamination Room, as well as patch and paint the walls of the Premises affected by such removal; and (B) remove the Java Lobby Wall, as well as replace any VCT damaged during such removal, patch and paint any walls affected by such removal and replace any drop ceiling t-bar and tiles that were modified for the Java Lobby Wall to match. The paint to be used by Lessee in the performance of Lessee’s restoration obligations shall match the remainder of the interior of the Building and be subject to Lessor’s prior written consent, which consent shall not be unreasonably withheld.