Exhibit 10.7
SOUTH HILLSBOROUGH COMMUNITY BANK/OFFICE COMPLEX
COMMERCIAL LEASE AGREEMENT
PARTIES: This Lease Agreement between SOUTH HILLSBOROUGH COMMUNITY BANK
OFFICE/COMPLEX, XXXXXXX X. XXXXXX, CO-OWNER hereinafter referred to as the
LESSOR(S), and APOLLO INTERNATIONAL OF DELAWARE, INC. hereinafter referred to as
the LESSEE(S), do hereby agree to the following terms of agreement.
LEASED AREA: THE LESSEE HEREBY OFFERS TO RENT FROM THE LESSOR THE PREMISES
DESCRIBED AS: Suite 215 o f South Hillsborough Community Bank Office Complex
located at 0000-00 Xxxxx X.X. Xxxxxxx 00, Xxxxxx Xxxxx, Xxxxxxx 00000 consisting
of 2,193 s.f. of NET RENTABLE AREA. NET RENTABLE AREA is the net usable area
multiplied by the loan factor of 1.15 for the pro-rata share of the common area.
TERM: The term hereof shall commence on November 1, 1995 and continue until
October 31, 1998.
RENT: Rent shall be $1,900.00 per month plus 6.5 per cent sales tax per month,
payable in advance upon the first (1st) day of each month to LESSOR at the
address shown below.
LATE FEE: LESSEE agrees to pay a LATE FEE OF 10 PERCENT of the rental amount if
the monthly rent is not RECEIVED by the LESSOR by the fifth (5th) day of each
month. By imposing a late fee, LESSOR does not waive its right to evict LESSEE
for breach of this Agreement. Rent paid by check will not constitute payment
until it has cleared LESSEE'S bank. A 5 PER CENT SERVICE CHARGE will be imposed
when a check is returned for any reason.
POSSESSION: Possession of the premises will not be given to the LESSEE until
this application has been approved by the LESSOR, an until the rent period
begins unless agreed to otherwise in this agreement.
If the LESSEE fails to take possession of premises and/or fails to pay the first
month's rent by the commencement date of the Agreement, the security deposit
shall be forfeited to the LESSOR as liquidated damages.
LESSEE is responsible for rent until possession of premises is delivered to
LESSOR. The return of all keys to the LESSOR constitutes return of possession
to LESSOR.
DEFAULT: If LESSEE fails to pay rent when due and the default continues for
three (3) days after delivery of written demand by the LESSOR for payment of
rent or possession of the premises, the LESSEE shall become a
tenant-at-sufferance, and the Agent shall be entitled immediately to re-enter
and retake possession and recover damages, including costs and attorneys' fees.
SECURITY DEPOSIT: A DEPOSIT IN THE AMOUNT OF ONE MONTHS RENT (unless otherwise
agreed herein) shall be held as a Security Deposit for performance of this
Rental Agreement and against damage or loss to the rental unit other than normal
wear and tear. Upon the specified vacation of the rental unit, the LESSOR shall
return said security deposit within fifteen (15) days or give written notice by
certified mail of the LESSOR'S intention to impose a claim thereon at the
LESSEE'S last known mailing address. Vacation of lease prior to the lease
expiration will cause entire remaining payments on lease to become due and
payable. LESSEE shall not apply the security deposit in payment of last month's
rent.
LESSOR will hold all deposits advanced by LESSEE in a segregated, non-interest
bearing account as provided by Chapter 83, Florida Statutes.
If this application is rejected, the deposit will be returned. The offeror
hereby waives any claim for damages by reason of non-acceptance of this
application which the LESSOR may reject without stating any reason for so doing.
MAINTENANCE, REPAIRS, ALTERATIONS: LESSEE agrees to take good care of the
property rented and to be liable for any damage to the property, including the
payment of any charges caused by stoppage of plumbing and/or damage to other
fixtures or equipment caused by improper care of misuse. LESSEE agrees that no
alterations, additional locks or bolts to the doors or windows are to be made or
added, or paints or stains or nails, screws, tape or glue to the woodwork,
walls, floors or furnishings are to be applied without the written consent of
the LESSOR. Consent will normally be given however consideration must be given
to the proposed change. If LESSEE incurs property related expenses by
requesting services without the consent of the LESSOR, LESSOR will not be
responsible for the payment of such services.
LESSOR'S SERVICES: Lessor shall provide the office unit and the common Areas
with electricity for lighting and the operation of equipment normally used in a
commercial office in addition shall furnish (a) heat and air conditioning
reasonably required for the use and occupation of the Leasehold during
reasonable business hours, such heat and air conditioning to be provided by
utilizing the existing systems in the building; (b) water; (c) sewage; (d) trash
pickup; (e) janitorial service and supplies on each business day or as agreed
herein; (f) pest control. In addition, Lessor shall pay all real property (ad
valorem) taxes and assessments levied against or related to the Building and the
Common Areas.
USE: The premises shall be used as a OFFICE and for no other purposes without
the prior written consent of the LESSOR. LESSEE agrees not to violate the
ordinances of Hillsborough County, Laws of the State of Florida, or permit the
premises to be used for any unlawful or immoral purposes whatsoever, nor for any
purpose that will injure the reputation of said premises or the neighborhood.
ASSIGNMENT AND SUBLETTING: LESSEE shall not assign this Agreement or sublet any
portion of the premises without prior written consent of the LESSOR.
ENTRY AND INSPECTION: The LESSOR shall have the right to enter said premises
during all reasonable hours to examine or protect the same, to show said
premises to prospective buyers or renters or to make such repairs, additions or
alterations thereto as may be deemed necessary. If the entry is not an
emergency the Lessor will give at least 24 hours notice.
POSSESSION: If LESSOR is unable to deliver possession of the premises at the
commencement hereof, LESSOR shall not be liable for any damage caused thereby,
nor shall this Agreement be void or voidable, but LESSEE shall not be liable for
any rent until possession is delivered.
INDEMNIFICATION: LESSOR shall not be liable for any damage or injury to LESSEE,
or any other person, or to any property, occurring on the premises, or any part
thereof, or in common areas thereof that are caused by the LESSEE, and LESSEE
agrees to hold LESSOR harmless from any claims for damages, cause by the LESSEE.
INSURANCE: LESSEE understands that LESSOR does not insure personal property
belonging to LESSEE against any hazard, nor does LESSOR provide liability
insurance or any other coverage for benefit of LESSEE, and LESSEE is advised to
obtain such insurance coverage as they deem appropriate.
MULTIPLE OCCUPANCY: It is expressly understood that this Agreement is between
the LESSOR, and each signatory, individually and severally. In the event of
default of any one signatory, each and every remaining signatory shall be
responsible for timely payment of rent and all other provisions of this
agreement.
OFFICE RULES: LESSEE agrees to abide by the Office Rules, whether promulgated
before or after the execution hereof, including, but not limited to, rules with
respect to noise, odors, disposal of refuse, parking and use of commons areas.
To date, no rules have been made that are not contained in this lease, but
lessor reserves the right to do so in the future for the well being of the
Tenants and/or LESSOR.
WAIVER: No failure of the LESSOR to enforce any term hereof shall be deemed a
waiver, nor shall any acceptance of a partial payment of rent be deemed a waiver
of LESSOR'S right to the full amount thereof.
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HOLDING OVER: Any holding over after expiration hereof, and with the written
consent of the LESSOR, shall be construed as a month-to-month tenancy in
accordance with the terms hereof, as applicable. The rental amount will
automatically be adjusted on a monthly basis with the consumer price index for
expired leases except that if the CPI decreases no adjustment will be made.
TIME: Time is of the essence in this Agreement.
NOTICE: Any notice which either party may or is required to give, may be given
by mailing the same to LESSEE or LESSOR at the last known address.
ENTIRE AGREEMENT: This document constitutes the entire Agreement between the
parties and may be modified only by a writing signed by both parties. It is
understood and agreed that there is no agreement or verbal understanding of any
kind or nature whatsoever with the LESSOR/OWNER, or any of his representatives,
except as set forth in the Agreement. The following Exhibits, if any, have been
made a part of this agreement before the parties' execution hereof:
ADDITIONAL TERMS AND CONDITIONS:
Lessee has the right to request additional space in the building owned by Lessor
and Lessor agrees to accommodate space expansion whenever possible and
practical. Lessor agrees to replace carpet at a cost to Lessor not to exceed
$2.00/sq. Ft. ($18.00/yd.) installed. Lessee agrees to remove desk in one of
the offices and to repair any resulting damages. Lessee has the option to use
desk on premises or store same in Lessors storage. Lessor agrees to provide
additional entrance to Break Room and have current door keyed for Lessee's use.
It is agreed that this Lease replaces former lease.
DEPOSIT RECEIPT:
Received from LESSEE, the sum of ($1,000.00) ONE THOUSAND DOLLARS AND 00 CENTS.
ITEMIZED AS:
RENT PRORATED to the first of the month: Rent for the days from: N.A
N/A equals N/A days times N/A Per day or $N/A
Monthly rent for month of November 1995 $1,900.00
Security Deposit $1,900.00
Other special charges $N/A
Other (Sales Tax on November Rent) $123.50
SUB TOTAL $3,923.50
TOTAL AMOUNT RECEIVED FROM LESSEE: $1,000.00
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TOTAL DUE $2,923.50
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ANTICIPATED LENGTH OF OCCUPANCY: Three (3) years.
10/27/95 /s/ Xxxxx Xxxxxx
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WITNESS DATE TENANT/OFFEROR
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WITNESS DATE TENANT/OFFEROR
10/31/95 /s/ X. Xxxxxx
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WITNESS DATE TENANT/OFFEROR
LESSOR'S ADDRESS: (Send lease payments to
South Hillsborough Community
Bank Office Complex
Att: Xxxxxxx X. Xxxxxx, Owner/Mgr.
000 Xxxxxxx Xxxx
Xxxxxx Xxxxx, Xxxxxxx 00000
Lessor's phone # Pager: 000-0000 Home/Office 645-8880
Broker's Name: Phone:
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Broker's Address:
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Salesman's Name: Phone:
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ADDENDUM A
(THIS ADDENDUM AMENDS THE LEASE DATED BY LESSEE 10/27/95)
APOLLO INTERNATIONAL OF DELAWARE COMMERCIAL LEASE
AGREEMENT
WHEREAS, the Lessee desires to lease additional space in the South
Hillsborough Office Complex and the Lessor desire to rent same, the following
terms and agreements are revised and hereby agreed to and the previous lease
with Lessor and Lessee is hereby amended.
TERM: Commence on April 1, 1996 and continue until March 31, 1999. The
leased area for this term is a net rentable area of 1,119 square feet. This
area was formally known as the ESM and Presbyterian Foundation areas and is room
numbers, 212 and 214. The additional rent for this area on a monthly basis is
$979.13 per month plus applicable Florida sales tax and is based on an annual
rental rate of $10.50 per square foot. This additional amount will commence on
April 1, 1996 and continue until March 31, 1999.
In addition to the above named space, the Lessee desires to rent the
space formally known as the Xxxxxxx and D&E space (room 201A) which contains
an additional area of 2,220 square feet of net rentable area. The term of
this particular area shall commence on May 1, 1996 and continue until March
31, 1999. The rent for this space is calculated as 2,220 square feet of net
rentable area times $10.50 per year and is divided by 12 months and equals an
additional monthly amount of $1,942.50 plus applicable Florida sales tax.
The former lease dated October 27, 1994 remains at the same monthly rate for
the same space as previously rented but the term is changed to expire with
the other leased areas which is March 31, 1999. The former leased area has
been recalculated by computer and is 2,292 square feet of net rentable space
where as the lease was for 2,193 square feet. However, no change in the
original lease is being made.
WHEREAS, the Lessor is desirous of being part of the Lessee's corporation
as a stockholder and whereas the Lessee is desirous of reducing the monthly
rental expenditure, it is therefore agreed that in consideration of the Lessee
giving the Lessor 2,000 shares of Apollo International common stock at an amount
of $10.00 per share for a total of $20,000.00, the Lessor will reduce the rent
by $555.56 per month. Since the term of the lease is 36 months, the monthly
amount to be subtracted is therefore $20,000 divided by 36 months which equals
$555.56 per month. Therefore, the following schedule of payments shall commence
on April 1, 1996.
1) Amount due for lease signed 10/27/95 by Lessee $1,900.00
plus sales tax = $2,023.50
2) Former ESM & Presbyterian space (room 212 & 214) 1,119
square feet at $979.13 plus sales tax = $1,126.00
Subtotal rent due by 4/5/96: $3,149.50
Less monthly credit for stock (555.56)
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ACTUAL RENT DUE 4/5/96: $2,593.94
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3) Former Xxxxxxx and D&E space (room 201A) 2,220
square feet at $1,942.50 plus sales tax = $2,068.76
Subtotal rent due 5/5/96 and thereafter = $5,218.26
Less monthly credit for stock (555.56)
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ACTUAL RENT DUE 5/5/96 AND AFTER $4,662.70
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/s/ Iris Abbruo /s/ Xxxxx Xxxxxx
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WITNESS DATE TENANT/OFFEROR
/s/ Iris Abbruo /s/ R. Phayan
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WITNESS DATE LESSOR/ACCEPTANCE
