EXHIBIT 10.23
AMENDMENT TO ESCONDIDO BRANCH LEASE
FIFTH AMENDMENT TO LEASE
This Fifth Amendment to Lease ("this Amendment") is entered effective June 6,
2001 by and between Camp Xxxxx Properties, LLC a California limited liability
company ("Landlord") and Palomar Community Bank, a California Banking
corporation ("Tenant").
1. Recitals
A. On April 15, 1987, Palomar Plaza Associates Limited, a California
general partnership, and Palomar Savings and Loan Association, a
California corporation ("Tenant") entered into a written lease ("the
Lease") for the real property located at 000 Xxxxx Xxxxxx,
Xxxxxxxxx, Xxxxxxxxxx, described as the first floor of the building
("the Palomar Bank Building") constituting 7,000 square feet ("the
Premises").
B. On April 21, 1987, Palomar Plaza Assoicates Limited and Tenant
executed a First Amendment to Lease which providedthat Tenant was
entitled to the exclusive use of nine (9) parking spaces
C. On April 21, 1987, Plaza Associates Limited and Tenant executed a
second amendment to lease which provided that the initial monthly
rental rate for Tenants lease of the premises would be $10,500.00
D. ON December 23, 1987, Plaza Associates Limited and Tenant executed a
Third amendment to lease which provided that the term of the lease
would commence on November 23, 1987 and terminate on November 23,
2007.
E. Effective March 2, 1995, Plaza Associates Limited assigned the lease
to Palovest Limited partnership, a California limited partnership.
F. On or about January 31, 1995, Palovest Limited partnership and
Tenant executed a Fourth amendment to Lease which provided for a
reduction in Tenants rent effective May 23, 1995.
G. Effective April 17, 1998, Palovest limited partnership assigned the
lease to Xxxx Xxxxxxx, an individual. Concurrently therewith, Xxxx
Xxxxxxx assigned the lease to Landlord.
H. ON December 14, 1998, Community West Bancshares, a California
Corporation, acquired all of the stock of Tenant without the
knowledge of consent of Landlord.
I. On November 4, 1999, Tenant changed its charter to a state charter
and changed its name to "Palomar Community Bank."
J. Landlord anticipates that 2,985 square feet of space on the second
floor ("the second floor premises") of the Palomar Bank Building
will be vacated by the existing tenant on or about July 1, 2001.
Xxxxxxx desires to lease the Second floor premises from Landlord and
Landlord desires to lease the Second floor premises to Tenant on the
terms and conditions set forth in the lease except to the extent
such terms and conditions are expressly modified in this Amendment.
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THEREFORE, in consideration of the convenants, obligations and
conditions contained herein, landlord and tenant agree as follows:
AGREEMENT
1. Second floor premises. In addition to Tenants lease of the Premises,
Landlord leases to Tenant and Tenant leases from Landlord the Second
Floor premises. The Second Floor premises is described as follows:
000 Xxxx Xxxxx Xxxxxx, Xxxxx 0, Xxxxxxxxx, Xxxxxxxxxx, and is the
space occupied by the law firm of White and Bright as of the date of
this Amendment. Tenant's Lease of the Second Floor Premises shall be
on the same terms and conditions stated in the Lease except to the
extent expressly modified in this agreement. Unless the context
otherwise requires, all references in the Lease to the "Premises"
shall be deemed to include the Second Floor Premises.
2. Term. Tenant's lease of the Second Floor Premises shall commence on
July 1, 2001, or as soon thereafter as Landlord recovers possession
thereof from the existing tenant and shall terminate concurrently
with the termination of Tenants's lease of the premises (as defined
in the lease). Landlord shall use commercially reasonable efforts to
recover possession of the Second Floor Premises prior to July 1,
2001.
3. Option to Extend. Tenants option to extend the tern of the Lease
shall include the right to elect to extend the term of Tenants lease
of the Second Floor Premises as provided in Article 2 of the Lease;
provided, however, Tenant shall not have the right to elect to
extend the term of Tenant's lease of the Premises.
4. Rent. Tenant shall, without notice or demand, pay to Landlord in
advance monthly rent for the Second Floor Premises in the sum of
Five Thousand, Two Hundred Twenty-Three Dollars and Seventy-Five
cents ($5,223.75) commencing on the Commencement Date. The monthly
rental amount shall be adjusted annually, commencing May 23, 2002,
in accordance with the provisions of section 3.1 of the Lease,
except that the Beginning index shall be the Index which is
published for the month nearest to July 1, 2001.
5. Condition of Premises. Landlord shall deliver the Second Floor
Premises in broom swept condition. The provisions of Section 6.2 of
the Lease shall not apply to the Second Floor Premises.
Notwithstanding the foregoing, Tenant shall have the right at
Tenants sole cost and expense, to make or cause to be made
alternations and improvements to the Second Floor Premises provided:
(a) Tenant shall first obtain Landlord's written approval, which
approval shall not be unreasonably withheld of the plans and
specifications for such alternations and improvements. (b) all
alterations and improvements shall comply with the plans and
specifications approved by Landlord and with all applicable laws,
statutes, ordinances or governmental rules or regulations or
requirements of duly constituted public authorities then in effect,
(c) all alterations and improvements shall be performed only be
competent contractors licensed under the laws of the state of
California and shall be performed pursuant to written contracts and
(d) such contractor shall have insurance in amounts reasonably
acceptable to Landlord. Tenant shall defend, indemnify and hold
Landlord, the property of Landlord and Landlords agents, servants
and employees, harmless from and against any and all liability,
claims, costs, and attorney's fees arising out or as a result of
Tenants's making or causing to be made such alterations and
improvements.
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6. Parking spaces. Notwithstanding the provisions of the First
Amendment to Lease, Tenant shall be entitled to the exclusive use of
eleven (11) parking spaces.
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Signature of Landlord to Fifth Amendment to Lease
LANDLORD
CAMP XXXXX PROPERTIES, LLC.
A California limited liability company
By: /s/ Xxxx Xxxxxxx
-------------------------
Xxxx Xxxxxxx
It's Managing Member
Date: June 16, 2001
Signature of Tenant to Fifth Amendment to Lease
TENANT
PALOMAR COMMUNITY BANK,
A California banking corporation
By: /s/ Xxxxxxx X. Xxxxxxx
---------------------------
Xxxxxxx X. Xxxxxxx
It's President and CEO
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