EXHIBIT 10.16
AMENDMENT
TO LEASE AGREEMENT
Whereas, on or about the 9th day of September, 1972, Investors Equity of
Iowa, Inc., an Iowa corporation, and West Des Moines State Bank, an Iowa banking
corporation ("West Bank") entered into a lease agreement (the "Bank Lease") for
the demise of space (including a drive-up facility) at the premises locally
known as 0000 - - 00xx Xxxxxx, Xxxx Xxx Xxxxxx, Xxxx (the "Building");
Whereas, A. Xxxxx Xxxx, Xxxxx Xxxx, Xxxx X. Xxxxxx, and Xxxxxxx X.
Xxxxxxxxx (collectively "Landlords") are the successors in interest to Investors
Equity of Iowa, Inc.;
Whereas, Landlords and West Bank have entered into four other lease
agreements for office space in the Building, specifically, office Suites 201,
205, 206, and 209;
Whereas, effective the 1st day of October, 2004, the Bank shall lease the
entire 2nd floor of the Building; and
Whereas, Landlords and Tenant have agreed to extend the expiration dates
of the leases for office Suites 201, 205, 206, and 209, and have agreed to
certain additional terms pertaining primarily to expansion and to remodeling,
Now therefore, on this ___ day of October, 2004, in consideration of the
mutual promises and covenants contained herein, Landlords and Tenant agree as
follows:
1. The current leases for Suites 201, 205, 206, and 209 are
hereby replaced and superseded by the lease agreement attached hereto as
Exhibit "A" (hereinafter the "Office Lease"), which Office Lease is for
the demise of said Suites 201, 205, 206, and 209, as well as additional
Suites 207, 208, and 210. The Office Lease has been prepared on the same
lease form as the superseded lease agreements.
2. Contemporaneous to the execution of this Amendment the
Landlords and West Bank shall execute the Office Lease.
3. The Office Lease provides for (a) a full service base rental
rate of Twelve Dollars and Forty-three Cents ($12.43) per rentable square
foot annually; (b) a normalized 2004 base year for calculating the
increase in operating expenses; and (c) a lease term ending ten (10) years
following completion of the construction of the Improvements (defined
below).
4. The rent pursuant to the Office Lease shall be, payable in
advance in monthly installments, commencing the 1st day of September,
2004, and has been calculated as follows:
Suite Status Sq Ft Base Rent
----------- --------------------------- --------- ---------
Suite 200 Part of Bank Lease 2,229 N/A
Suite 201 Superseded by Office Lease 1,249 1,293.75
Suite 205 Superseded by Office Lease 1,632 1,690.48
Suite 206 Superseded by Office Lease 1,033 1,070.01
Suite 209 Superseded by Office Lease 1,675 1,735.02
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Subtotal 7,818
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Suite 207 Space added by Office Lease 1,015 1,051.37
Suite 208 Space added by Office Lease 353 365.64
Suite 210 Space added by Office Lease 1,214 1,257.50
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Subtotal 2,582
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Grand total 10,400 8,463.77
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5. Rent collected by Landlords for Suite 208 in the amount of
Four Hundred Thirty-five Dollars and Sixty Cents ($435.60) per month shall
be paid to West Bank.
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6. Landlords shall cause the carpet in Suite 100 of the Building
to be replaced with the carpet tiles as specified in the proposal from
Xxxxx Xxxxx & Co., dated July 9, 2004. The Bank shall pay to Landlords the
sum of $________________________ as its contribution toward the cost of
the carpet tiles. The payment shall be made within sixty (60) days
following the installation of the carpet tiles to the satisfaction of West
Bank.
7. Landlords shall market and make a good faith effort to lease
on behalf of West Bank any part of the space leased pursuant to the Office
Lease which West Bank elects to sublease. West Bank shall reimburse
Landlords for any reasonable and necessary out-of-pocket expenses incurred
by Landlords in connection with such subleasing. West Bank shall pay any
customary commissions to third party brokers for such subleasing.
Landlords shall not be entitled to any fee or commission in connection
with any such sublease.
8. Landlords shall cause the construction of the file room and
teller line improvements in Suite 100 at the Building as shown on the
Construction Drawings by Xxxxxxxx & Associates, Architects, L.L.C., dated
the ____ day of _______________, 2004 ("File/Teller Plans"), as soon as
possible following execution of this Agreement. West Bank shall reimburse
Landlords for the cost of the file room and teller line improvements, with
such costs calculated in the same manner as described in paragraph 11,
below, but without the "not to exceed" maximum cost limitation. The
payment shall be made within sixty (60) days following the completion of
the construction of the room and teller line improvements to the
satisfaction of West Bank.
9. Following the construction of the file room and teller line
improvements described above, Landlords shall cause the construction of
the office and board room improvements in Suite 100 and on the second
floor of the Building, as shown on the Construction Drawings by Xxxxxxxx &
Associates, Architects, L.L.C., dated the ____ day of ____________, 2004
(the "Office/Board Room Plans").
10. Landlords shall make the improvements requested by West Bank
as shown in the File/Teller Plans and Office/Board Room Plans
(collectively the "Improvements") in a good and workmanlike manner in
accordance with applicable building codes and to the satisfaction of West
Bank.
11. West Bank shall reimburse Landlords for the cost of the
Improvements (not to exceed Twenty-seven Dollars ($27.00) per square foot,
provided Landlords are permitted to complete the Improvements within two
(2) years from the date hereof) which cost (the "Improvements Cost") shall
include all the out-of-pocket expenses of Landlords in connection with the
Improvements and shall be calculated without any xxxx up, but to which
shall be added an eight percent (8.00%) fee for construction management
and administration. Landlords shall provide invoices to West Bank on a
monthly basis during the construction period. At the election of West Bank
Payment of the Improvements Cost shall be paid (a) monthly as the work is
completed, or (b) at the end of construction, together with construction
period interest of four percent (4.00%).
LANDLORDS WEST DES MOINES
STATE BANK
By: /s/ Xxxxxxx Xxxxxxxxx By: /s/ Xxxxxx X. Xxxxxxxxx
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