LEASE AGREEMENT
OFFICE AND INDUSTRIAL SPACE
This Lease Agreement is made and entered into as of the 21 day of May, 1996, by
and between LakeCenter Plaza, Ltd., LLLP ("Landlord"), whose address is 0000
Xxxxx Xxxx Xxxxxx, Xxxxx 000, Xxxxxxx Xxxxxxxx 00000, and Granvi1le-Phi11ips
Company ("Tenant"), whose address is 0000 Xxxxxxxx Xxx. Xxxxxxx Xxxxxxxx 00000
in consideration of the covenants, terms, conditions, agreements and payments as
herein set forth, the Landlord and Tenant hereby enter into the following Lease:
1. Definitions. Whenever the following words or phrases are used in this Lease,
said words or phrases shall have the following meaning:
A. "Area" shall mean the parcel of land depicted on Exhibit "A" attached
hereto and commonly known and referred to as LakeCenter Plaza Boulder, Colorado.
The Area includes the Leased Premises and one or more buildings. The Area may
include Common Areas.
B. "Building" shall mean a building located in the Area.
C. "Common Areas" shall mean all entrances, exits, driveways, curbs,
walkways, hallways, parking areas, landscaped areas, restrooms, loading and
service areas, and like areas or facilities which are located in the Area and
which are designated by the Landlord as areas or facilities available for the
nonexclusive use in common by persons designated by the Landlord.
D. "Leased Premises" shall mean the premises herein leased to the Tenant by
the Landlord.
E. "Tenant's Pro rata Share" as to the Building in which the Leased
Premises are located shall mean an amount (expressed as a percentage) equal to
the number of square feet included in the Leased Premises divided by the total
number of leasable square feet included in said Building. The Tenant's Pro rata
Share as to Common Areas shall mean an amount (expressed as a percentage) equal
to the number of square feet included in the Leased Premises divided by the
total number of leasable square feet included in all Buildings located in the
Area. The Tenant's Pro rata Share for Common Areas may change from time to time
as the leasable square footage in all Buildings located in the Area is increased
or decreased.
2. Leased Premises. The landlord hereby leases unto the Tenant, and the Tenant
hereby leases from the Landlord, the following described premises:
Space Suite 101 in Xxxxxxxx 0000/Xxxxxxxx "X" consisting of 12.154 square feet,
all as depicted on Exhibit "B" attached hereto.
3. Base Term. The term of this Lease shall commence at 12:00 noon on July 15.
1996, and, unless sooner terminated as herein provided for, shall end at 12:00
noon on August 1, 2001, ("Lease Term"). Except as specifically provided to the
contrary herein, the Leased Premises shall, upon the termination of this Lease,
by virtue of the expiration of the Lease Term or otherwise, be returned to the
Landlord by the Tenant in as good or better condition than when entered upon by
the Tenant, ordinary wear and tear excepted.
4. Rent. Tenant shall pay the following rent for the Leased Premises:
A. Base Month1y Rent. Tenant shall pay to Landlord, without notice and
without setoff, at the address of Landlord as herein set forth, the following
Base Monthly Rent ("Base Monthly Rent"), said Base Monthly Rent to be paid in
advance on the first day of each month during the term hereof. In the event that
this Lease commences on a date other than the first day of a month, the Base
Monthly Rent for the first month of the Lease Term shall be prorated for said
partial month. Below is a schedule of Base Monthly Rental payments as agreed
upon:
During Lease Term
-----------------
For Period To Period A Base Monthly
Starting Ending Rent of
---------- --------- --------------
July 15, 1996 August 1, 1996 $4,810.96
August 1, 1996 August 1, 1997 $9,621.92
August 1, 1997 August 1, 2001 $9,621.92 Plus any
cost of living
adjustment per
paragraph 4C below.
B. Lease Term Adjustment. If, for any reason, other than delays caused by
the Tenant, the Leased Premises are not ready for Tenant's occupancy on July 15,
1996 the Tenant's rental obligation end other monetary expenses (i.e. taxes,
utilities, etc.) shall be abated in direct proportion to the number of days of
delay. It is hereby agreed that the premises shall be deemed ready for occupancy
on the day the Landlord receives a T. C .O. or C. O. from the appropriate
authority, or on the day the Landlord gives Tenant the keys to the Leased
Premises if a building permit has not been applied for and/or is not required by
the appropriate authority and in accordance with the terms, conditions and
exhibits to this Lease Agreement.
C. Cost of Living Adjustment. The Base Monthly Rental specified in
paragraph 4A above shall be recalculated for each Lease Year as defined
hereinafter following the first Lease Year of this Lease Agreement. The
recalculated Base Monthly Rental shall be hereinafter referred to as the
"Adjusted Monthly Rental". The Adjusted Monthly Rental for each Lease Year after
the first Lease Year shall be the greater of: (i) the amount of the Base Monthly
Rental, or (ii) an amount calculated by the rent adjustment formula set forth
below. In applying the rent adjustment formula, the following definitions shall
apply:
(1) "Lease Year" shall mean a period of twelve (12) consecutive full
calendar months with the first Lease Year commencing on the date of the
commencement of the term of this Lease and each succeeding Lease Year commencing
upon the anniversary date of the first Lease Year; however, if this Lease does
not commence on the first day of a month, then, the first Lease Year and each
succeeding Lease Year shall commence on the first day of the first month
following each anniversary date of this Lease;
(2) "Bureau" shall mean the Bureau of Labor Statistics of the United States
Department of Labor or any successor agency that shall issue the Price Index
referred to in this Lease Agreement.
(3) "Price Index" shall mean the "Consumer Price Index-All Urban
Consumers-All Items (CPI-U) U.S. City Average (1982-84=100)" issued from time to
time by the Bureau. In the event the Price Index shall hereafter be converted to
a different standard reference base or otherwise revised, the determination of
the increase in the Price Index shall be made with the use of such conversion
factor, formula or table as may be published by Xxxxxxxx-Xxxx, Inc. or failing
such publication, by another nationally recognized publisher of similar
statistical information. In the event the Price Index shall cease to be
published, then, for the purposes of this paragraph 4C there shall be
substituted for the Price Index such other index as the Landlord and the Tenant
shall agree upon, and if they are unable to agree within sixty (60) days after
the Price Index ceases to be published, such matter shall be determined by
arbitration in accordance with the Rules of the American Arbitration
Association.
(4) "Base Price Index" shall mean the Price Index released to the public
during the second calendar month preceding the commencement of this Lease
Agreement,
(5) "Revised Price Index" shall mean the Price Index released to the public
during the second calendar month preceding the Lease Year for which the Base
Annual Rental is to be adjusted;
(6) "Base Monthly Rental" shall mean the Base Monthly Rental set forth in
subparagraph 4A above. The rent adjustment formula used to calculate the
Adjusted Monthly Rental is as follows:
Adjusted Monthly = Revised Price Index X Base Monthly Rental
Rental Base Price Index
The Adjusted Monthly Rental as hereinabove provided shall continue to be payable
monthly as required in paragraph 4A above without necessity of any further
notice by the Landlord to the Tenant.
D. Total Net Lease. The Tenant understands and agrees that this Lease is a
total net lease (a "net, net, net lease"), whereby the Tenant has the obligation
to reimburse the Landlord for a share of all costs and expenses (taxes,
insurance, trash removal, Common Area operation and maintenance and like costs
and expenses), incurred by the Landlord as a result of the Landlord's ownership
and operation of the Area.
5. N/A
6. Use of Premises. Tenant shall use the Leased Premises only for manufacturing
and related activities and for no other purpose whatsoever except with the
written consent of Landlord. Tenant shall not allow any accumulation of trash or
debris on the Leased Premises or within any portion of the Area. All receiving
and delivery of goods and merchandise and all removal of garbage and refuse
shall be made only by way of the rear and/or other service door provided
therefore. In the event the Leased Premises shall have no such door, then these
matters shall be handled in a manner satisfactory to Landlord. No storage of any
material outside of the Leased Premises shall be allowed unless first approved
by Landlord in writing, and then in only such areas as are designated by
Landlord. Tenant shall not commit or suffer any waste on the Leased Premises nor
shall Tenant permit any nuisance to be maintained on the Leased Premises or
permit any disorderly conduct or other activity having a tendency to annoy or
disturb any occupants of any part of the Area and/or any adjoining property.
7. Laws and Regulations. Tenant Responsibility. The Tenant shall, at its sole
cost and expense, comply with all laws and regulations of any governmental
entity, board, commission or agency having jurisdiction over the Leased
Premises. Tenant agrees not to install any electrical equipment that overloads
any electrical paneling, circuitry or wiring and further agrees to comply with
the requirements of the insurance underwriter or any governmental authorities
having jurisdiction thereof.
8. Landlord's Rules and Regulations. Landlord reserves the right to adopt and
promulgate rules and regulations applicable to the Leased Premises and from time
to time amend or supplement said rules or regulations. Notice of such rules and
regulations and amendments and supplements thereto shall be given to Tenant, and
Tenant agrees to comply with and observe such rules and regulations and
amendments and supplements thereto provided that the same apply uniformly to all
Tenants of the Landlord in the Area. Any additional rules and regulations shall
be reasonable, not interfere with Tenant's business operation, and not increase
Tenant's operating costs.
9. Parking. If the Landlord provides off street parking for the common use of
Tenants, employees and customers of the Area, the Tenant shall park all vehicles
of whatever type used by Tenant and/or Tenant's employees only in such areas
thereof as are designated by Landlord for this purpose, and Tenant accepts the
responsibility of seeing that Tenant's employees park only in the areas so
designated. Tenant shall, upon the request of the Landlord, provide to the
Landlord license numbers of the Tenant's vehicles and the vehicles of Tenant's
employees.
10. Control of Common Areas. -- Exclusive control of the Landlord. All Common
Areas shall at all times be subject to the exclusive control and management of
Landlord, notwithstanding that Tenant and/or Tenant's employees and/or customers
may have a nonexclusive right to the use thereof. Landlord shall have the right
from time to time to establish, modify and enforce rules and regulations with
respect to the use of said facilities and Common Areas.
11. Taxes.
A. Real Property Taxes and Assessments. The Tenant shall pay to the
Landlord on the first day of each month, as additional rent, the Tenant's Pro
rata Share of all real estate taxes and special assessments levied and assessed
against the Building in which the Leased Premises are located and the Common
Areas. If the first and last years of the Lease Term are not calendar years, the
obligations of the Tenant hereunder shall be prorated for the number of days
during the calendar year that this Lease is in effect. The monthly payments for
such taxes and assessments shall be $1,266.00 until the Landlord receives the
first tax statement for the referred to properties. Thereafter, the monthly
payments shall be based upon 1/12th of the prior year's taxes and assessments.
Once each year the Landlord shall determine the actual Tenant's Pro rata Share
of taxes and assessments for the prior year and if the Tenant has paid less than
the Tenant's Pro rata Share for the prior year the Tenant shall pay the
deficiency to the Landlord with the next payment of Base Monthly Rent, or, if
the Tenant has paid in excess of the Tenant's Pro rata Share for the prior year
the Landlord shall forthwith refund said excess to the Tenant.
B. Personal Property Taxes. Tenant shall be responsible for, and shall pay
promptly when due, any and all taxes and/or assessments levied and/or assessed
against any furniture, fixtures, equipment and items of a similar nature
installed and/or located in or about the Leased Premises by Tenant.
C. N/A
D. Should Landlord protest and win a reduction in the real estate taxes for
the Building and Area, Tenant shall be obligated to pay its Pro rata Share of
the cost of such protest, not to exceed Tenants pro rata share of said
reduction, if the protest is handled by a party other than the Landlord.
12. Insurance.
A. Landlord's Insurance. The Landlord shall procure and maintain such fire
and casualty, loss of rents and liability insurance as it, from time to time,
deems proper and appropriate in reference to the Building in which the Leased
Premises are located and the Common Areas. Such insurance shall not be required
to cover any of the Tenant's property and the Tenant shall have no interest in
any of the proceeds of such insurance. Landlord shall show evidence of said
insurance upon each policy renewal.
B. Tenant's Insurance. Tenant shall, at its sole cost and expense, insure
on a full replacement cost basis, Tenant's inventory, fixtures, leasehold
improvements and betterments located on the Leased Premises against loss
resulting from fire and other all risk perils. Tenant shall procure, pay for and
maintain comprehensive public liability insurance providing coverage from and
against any loss or damage occasioned by an accident or casualty on the Leased
Premises. Said liability policy shall be written on an "occurrence basis" with
limits of not less than $1,000,000 combined single limit coverage. Certificates
for such insurance shall be delivered to Landlord and shall provide that said
insurance shall not be changed, modified, reduced or cancelled without thirty
(30) days prior written notice thereof being given to Landlord.
C. Tenant's High Pressure Steam Boiler Insurance. If Tenant makes use of
any kind of steam or other high pressure boiler or other apparatus which
presents a risk of damage to the Leased Premises or to the Building or other
improvements of which the Leased Premises are a part or to the life or limb of
persons within such premises, Tenant shall secure and maintain appropriate
boiler insurance in an amount satisfactory to Landlord. Certificates for such
insurance shall be delivered to Landlord and shall provide that said insurance
shall not be changed, modified, reduced or cancelled without thirty (30) days
prior written notice thereof being given to Landlord.
D. Tenant's Share of Landlord Insurance. Tenant shall pay the Landlord as
additional rent Tenant's Pro rata Share of the insurance secured by the Landlord
pursuant to "12A" above. Payment shall be made on the first day of each month as
additional rent. The monthly payments for such insurance shall be $51.00 until
changed by Landlord as a result of an increase or decrease in the cost of such
insurance.
E. Mutual Subrogation Waiver. Landlord and Tenant hereby grant to each
other, on behalf of any insurer providing fire and extended coverage to either
of them covering the Leased Premises, Buildings or other improvements thereon or
contents thereof, a waiver of any right of subrogation any such insurer of one
party may acquire against the other or as against the Landlord or Tenant by
virtue of payments of any loss under such insurance. Such a waiver shall be
effective so long as the Landlord and Tenant are empowered to grant such waiver
under the terms of their respective insurance policy or policies and such waiver
shall stand mutually terminated as of the date either Landlord or Tenant gives
notice to the other that the power to grant such waiver has been so terminated.
13. Utilities. Tenant shall be solely responsible for and promptly pay all
charges for heat, water, gas, electric, sewer service arid any other utility
service used or consumed on the Leased Premises. Should Landlord elect to supply
all or any of the utility services to be used or consumed on the Leased
Premises, Tenant shall, within ten (10) days from presentation of the statement
for such utility service, pay to Landlord, as additional rent under the terms
hereof, the amount of said statement if it represents utility service furnished
to the Leased Premises only or its Pro rata Share of said statement if it
includes utility service to an area greater than the Leased Premises. Said pro
ration of utilities shall be reviewed by Landlord and Tenant at the end of the
first year of occupancy, at which time Landlord shall determine if the present
percentage of said total utilities is equitable in relation to the use of total
services by all the Tenants and will be adjusted by Landlord, if necessary. The
Tenant shall forthwith upon taking occupancy of the Leased Premises make
arrangements with the Public Service Company, U.S. West or other appropriate
utility company to pay the utilities used on the Leased Premises and to have the
same billed to the Tenant at the address designated by the Tenant. Should there
be a time where the Landlord remains responsible for utilities supplied to the
Leased Premises, the Landlord shall xxxx the Tenant therefore and the Tenant
shall promptly reimburse the Landlord therefore. In no event shall Landlord be
liable for any interruption or failure in the supply of any such utility to the
Leased Premises.
In the event the utility company supplying water and/or sewer to the Leased
Premises determines that an additional service fee, impact fee, and/or
assessment, or any other type of payment or penalty is necessary due to Tenant's
use and occupancy of the Building, nature of operation and/or consumption of
utilities, said expense shall be borne solely by the Tenant. Said expense shall
be paid promptly and any repairs requested by the utility company shall be
performed by Tenant immediately and without any delay.
14. Maintenance Obligations of Landlord. Except as herein otherwise specifically
provided for, Landlord shall keep and maintain the roof and exterior of the
Building of which the Leased Premises are a part in good repair and condition.
Tenant shall repair and pay for any damage to roof, foundation and external
walls caused by Tenant's action, negligence or fault.
15. Maintenance Obligations of the Tenant. Subject only to the maintenance
obligations of the Landlord as herein provided for, the Tenant shall, during the
entire Lease Term, including all extensions thereof, at the Tenant's sole cost
and expense, keep and maintain the Leased Premises in good condition and repair,
including specifically the following:
A. Electrical Systems. Tenant agrees to maintain in good working order and
to make all required repairs and replacements to the electrical systems for the
Leased Premises.
B. Plumbing Systems. Tenant agrees to maintain in good working order and to
make all required repairs or replacements to the plumbing systems for the Leased
Premises.
C. N/A
D. Tenant's Responsibility for Building and Area Repairs. Tenant shall be
responsible for any repairs required for any part of the Building or Area of
which the Leased Premises are a part if such repairs are necessitated by the
actions or inactions of Tenant.
E. Cutting Roof. Tenant must obtain in writing the Landlord's approval
prior to making any roof penetrations. Failure by Tenant to obtain written
permission to penetrate a roof shall relieve Landlord of any roof repair
obligations as set forth in Paragraph "14" hereof. Tenant further agrees to
repair, at its sole cost and expense, all roof penetrations made by the Tenant
and to use, if so requested by Landlord, a licensed contractor selected by the
Landlord to make such penetrations and repairs.
F. Glass and Doors. The repair and replacement of all glass and doors on
the Leased Premises shall be the responsibility of the Tenant. Any such
replacements or repairs shall be promptly completed at the expense of the
Tenant.
G. Liability for Overload. Tenant shell be responsible for the repair or
replacement of any damage to the Leased Premises, the Building or the Area which
result from the Tenant's movement of heavy articles therein or thereon. Tenant
shall not overload the floors of any part of the Leased Premises.
H. Liability for Overuse and Overload of Operating Systems. Tenant shall be
responsible for the repair, upgrade, modification, and/or replacement of any
operating systems servicing the Leased Premises and/or all or part of the
Building which is necessitated by Tenant's change or increase in use of or
non-disclosed use of all or a part of the Leased Premises. Operating systems
include, but are not limited to, electrical systems; plumbing systems (both
water and natural gas); heating, ventilating, and air conditioning systems;
telecommunications systems; computer and network systems; lighting systems, fire
sprinkler systems; security systems; and building control systems, if any.
I. N/A
J. Failure of Tenant to Maintain Premises. Should Tenant neglect to keep
and maintain the Leased Premises as required herein, the Landlord shall have the
right, but not the obligation, to have the work done and any reasonable costs
plus a five percent (5%) overhead charge therefore shall be charged to Tenant as
additional rental and shall become payable by Tenant with the payment of the
rental next due.
K. Said approvals from landlord shall not be unreasonably withheld.
16. Common Area Maintenance. Tenant shall be responsible for Tenant's Pro rata
Share of the total costs incurred for the operation, maintenance and repair of
the Common Areas, including, but not limited to, the costs and expenses incurred
for the operation, maintenance and repair of parking areas (including restriping
and repaving); removal of snow; utilities for common lighting and signs; normal
HVAC maintenance and elevator maintenance (if applicable); trash removal;
security to protect and secure the Area; common entrances, exits, and lobbies of
the Building; all common utilities, including water to maintain landscaping;
replanting in order to maintain a smart appearance of landscape areas; supplies;
depreciation on the machinery and equipment used in such operation, maintenance
and repair; the cost of personnel to implement such services; the cost of
maintaining in good working condition the HVAC system(s) for the Leased
premises; the cost of maintaining in good working condition the elevator(s) for
the Leased Premises, if applicable; and ten percent (10%) of all such
operational, maintenance and repair costs to cover Landlord's administrative and
overhead costs. These costs shall be estimated on an annual basis by the
Landlord and shall be adjusted upwards or downwards depending on the actual
costs for the preceding twelve months. Tenant shall pay monthly, commencing with
the first month of the Lease Term, as additional rent due under the terms
hereof, a sum equal to Tenant's Pro rata Share of the estimated costs for said
twelve (12) month period, divided by 12. The estimated initial monthly costs are
$760.00. Once each year the Landlord shall determine the actual costs of the
foregoing expenses for the prior year and if the actual costs are greater than
the estimated costs, the Tenant shall pay its Tenant's Pro rata Share of the
difference between the estimated costs and the actual costs to the Landlord with
the next payment of Base Monthly Rent, or, if the actual costs are less than the
estimated costs, the Landlord shall forthwith refund the amount of the Tenant's
excess payment to the Tenant.
17. Inspection of and Right of Entry to Leased Premises--Regu1ar, Emergency,
Reletting. Landlord and/or Landlord's agents and employees, shall have the right
to enter the Leased Premises at all times during regular business hours and, at
all times during emergencies, to examine the Leased Premises, to make such
repairs, alterations, improvements or additions as Landlord deems necessary, and
Landlord shall be allowed to take all materials into and upon said Leased
Premises that may be required therefore without the same constituting an
eviction of Tenant in whole or in part, and the rent reserved shall in no way
xxxxx while such repairs, alterations, improvements or additions are being made,
by reason of loss or interruption of business of Tenant or otherwise. During the
six months prior to the expiration of the term of this Lease or any renewal
thereof, Landlord may exhibit the Leased Premises to prospective tenants and/or
purchasers and may place upon the Leased Premises the usual notices indicating
that the Leased Premises are for lease and/or sale.
Prior to entering the Leased Premises for any reason other than an emergency,
the Landlord must give the Tenant reasonable notice and be accompanied by the
Tenant. The Landlord may not exhibit the Leased Premises to prospective tenants
and/or purchasers without being accompanied by the Tenant.
In the event of an emergency and prior to entering the Leased Premises, the
Landlord must make every available effort to first contact the Tenant. Should
the Landlord enter the Leased Premises after working hours, he is responsible
for securing the areas against intruders and rearming the Premises.
18. A1teration-Changes and Additions-Responsibi1iy. Unless the Landlord's
approval is first secured in writing, the Tenant shall not install or erect
inside partitions, add to existing electric power service, add telephone
outlets, add light fixtures, install additional heating and/or air conditioning
or make any other changes or alterations to the interior or exterior of the
Leased Premises that exceed five thousand dollars ($5,000.00) in total cost. Any
such changes or alterations shall be made at the sole cost and expense of the
Tenant. At the end of this Lease, all such fixtures, equipment, additions,
changes and/or alterations (except trade fixtures, portable wall partitions,
signs, and security systems installed by Tenant) shall be and remain the
property of Landlord; provided, however, Landlord shall have the option to
require Tenant to remove any or all such fixtures, equipment, additions and/or
alterations and restore the Leased Premises to the condition existing
immediately prior to such change and/or installation, normal wear and tear
excepted, all at Tenant's cost and expense. All such work shall be done in a
good and workmanlike manner and shall consist of new materials unless agreed to
otherwise by Landlord. Any and all repairs, changes and/or modifications thereto
shall be the responsibility of, and at the cost of, Tenant. Landlord may post
the Leased Premises, or take such other action as is then permitted by law, to
protect the Landlord and the Leased Premises against mechanics' liens. Landlord
may also require adequate security to assure Landlord that the Leased Premises
will be restored to their original condition upon termination of this Lease.
Landlord approval shall not be unreasonably withheld.
19. Sign Approval. Except for signs which are located inside of the Leased
Premises and which are not attached to any part of the Leased Premises, the
Landlord must approve in writing any sign to be placed in or on the interior or
exterior of the Leased Premises, regardless of size or value. Specifically,
signs attached to windows of the Leased Premises must be so approved by the
Landlord. As a condition to the granting of such approval, Landlord shall have
the right to require Tenant to furnish a bond or other security acceptable to
Landlord sufficient to insure completion of and payment for any such sign work
to be so performed. Tenant shall, during the entire Lease Term, maintain
Tenant's signs in good condition and repair at Tenant's sole cost and expense.
Tenant shall, remove all signs at the termination of this Lease, at Tenant's
sole risk and expense and shall in a workmanlike manner properly repair any
damage and close any holes caused by the installation and/or removal of Tenant's
signs. Tenant shall give Landlord prior notice of such removal so that a
representative of Landlord shall have the opportunity of being present when the
signage is removed, or shall pre-approve the manner and materials used to repair
damage and close the holes caused by removal. Approval shall not be unreasonably
withheld.
20. Right of Landlord Make Changes and Additions. Landlord reserves the right at
any time to make alterations or additions to the Building or Area of which the
Leased Premises are a part. Landlord also reserves the right to construct other
buildings and/or improvements in the Area and to make alterations or additions
thereto, all as Landlord shall determine. Easements for light and air are not
included in the leasing of the Leased Premises to Tenant. Landlord further
reserves the exclusive right to the roof of the Building of which the Leased
Premises are a part. Landlord also reserves the right at any time to relocate,
vary and adjust the size of any of the improvements or Common Areas located in
the Area, provided, however, that all such changes shall be in compliance with
the requirements of governmental authorities having jurisdiction over the Area.
Said changes shall not interfere with Tenants use and operations or incur
Tenant's fees.
21. Damage or Destruction of Leased Premises. In the event the Leased Premises
and/or the Building of which the Leased Premises are a part shall be totally
destroyed by fire or other casualty or so badly damaged that, in the opinion of
Landlord, it is not feasible to repair or rebuild same. Landlord shall have the
right to terminate this Lease upon written notice to Tenant. If the Leased
Premises are partially damaged by fire or other casualty, except if caused by
Tenant's negligence, and said Leased Premises are not rendered untenantable
thereby, as determined by Landlord, an appropriate reduction of the rent shall
be allowed for the unoccupied portion of the Leased Premises until repair
thereof shall be substantially completed. If the Landlord elects to exercise the
right herein vested in it to terminate this Lease as a result of damage to or
destruction of the Leased Premises or the Building in which the Leased Premises
are located, said election shall be made by giving notice thereof to the Tenant
within thirty (30) days after the date of said damage or destruction.
22. Governmental Acquisition of Property. The parties agree that Landlord shall
have complete freedom of negotiation and settlement of all matters pertaining to
the acquisition of the Leased Premises, the Building, the Area, or any part
thereof, by any governmental body or other person or entity via the exercise of
the power of eminent domain, it being understood and agreed that any financial
settlement made or compensation paid respecting said land or improvements to be
so taken, whether resulting from negotiation and agreement or legal proceedings,
shall be the exclusive property of Landlord, there being no sharing whatsoever
between Landlord and Tenant of any sum so paid. In the event of any such taking,
Landlord shall have the right to terminate this Lease on the date possession is
delivered to the condemning person or authority. Such taking of the property
shall not be a breach of this Lease by Landlord nor give rise to any claims in
Tenant for damages or compensation from Landlord. Nothing herein contained shall
be construed as depriving the Tenant of the right to retain as its sole property
any compensation paid for any tangible personal property owned by the Tenant
which is taken in any such condemnation proceeding.
23. Assignment or Subletting. Tenant may not assign this Lease, or sublet the
Leased Premises or any part thereof, without the written consent of Landlord,
such consent not to be unreasonably withheld. No such assignment or subletting
if approved by the Landlord shall relieve Tenant of any of its obligations
hereunder, and, the performance or nonperformance of any of the covenants herein
contained by subtenants shall be considered as the performance or the
nonperformance by the Tenant.
24. Warranty of Title. Subject to the provisions of the following three (3)
paragraphs hereof, Landlord covenants it has good right to lease the Leased
Premises in the manner described herein and that Tenant shall peaceably and
quietly have, hold, occupy and enjoy the Leased Premises during the term of the
Lease.
25. Access. Landlord shall provide Tenant nonexclusive access to the Leased
Premises through and across land and/or other improvements owned by Landlord.
Landlord shall have the right, during the term of this Lease, to designate, and
to change, such nonexclusive access.
26. Subordination. Tenant agrees that this Lease shall be subordinate to any
mortgages, trust deeds or ground leases that may now exist or which may
hereafter be placed upon said Leased Premises and to any and all advances to be
made thereunder, and to the interest thereon, and all renewals, replacements and
extensions thereof. Tenant shall execute and deliver whatever instruments may be
required for the above purposes, and failing to do so within ten (10) days after
demand in writing, does hereby make, constitute and irrevocably appoint Landlord
as its attorney-in-fact and in its name, place and stead so to do. Tenant shall
in the event of the sale or assignment of Landlord's interest in the Area or in
the Building of which the Leased Premises form a part, or in the event of any
proceedings brought for the foreclosure of or in the event of exercise of the
power of sale under any mortgage made by Landlord covering the Leased Premises,
attorn to the purchaser and recognize such purchaser as Landlord under this
Lease.
27. Easements. The Landlord shall have the right to grant any easement on, over,
under and above the Area for such purposes as Landlord determines, provided that
such easements do not materially interfere with Tenant's occupancy and use of
the Leased Premises.
28. Landlord/Tenant's Hold Harmless and Indemnification Agreement. Tenant shall
indemnify and hold Landlord harmless from and against any and all claims,
losses, expenses, costs, judgments, and/or demands, including court costs and
attorney's fees, suffered or incurred by the Landlord, arising from activities
of Tenant on the Leased Premises or in the Building or in the Area and/or on
account of any operation or action by Tenant and/or from and against all claims
arising from any breach or default on the part of Tenant or any act of
negligence of Tenant, its agents, contractors, servants, employees, licensees,
or invitees; or any accident, injury or death of any person or damage to any
property in or about the Leased Premises, the Building or the Area.
Landlord shall indemnify and hold Tenant harmless from and against any and all
claims, losses, expenses, costs, judgments, and/or demands, including court
costs and attorney's fees, suffered or incurred by the Tenant, arising from
activities of Landlord on the Leased Premises or in the Building or in the Area
and/or on account of any operation or action by Landlord and/or from and against
all claims arising from any breach or default on the part of Landlord or any act
of negligence of Landlord, its agents, contractors, servants, employees,
licensees, or invitees; or any accident, injury or death of any person or damage
to any property in or about the Leased Premises, the Building or the Area.
29. Acts or Omission of Others. The Landlord, or its employees or agents, or any
of them, shall not be responsible or liable to the Tenant or to the Tenant's
guests, invitees, employees, agents or any other person or entity, for any loss
or damage that may be caused by the acts or omissions of other tenants, their
guests or invitees, occupying any other part of the Area or by persons who are
trespassers on or in the Area, or for any loss or damage caused or resulting
from the bursting, stoppage, backing up or leaking of water, gas, electricity or
sewers or caused in any other manner whatsoever, unless such loss or damage is
caused by or results from the negligent acts of the Landlord, its agents or
contractors.
30. Interest on Past Due Obligations. Any amount due to Landlord not paid when
due shall bear interest at one and one half (1.5%) percent per month from due
date until paid. Payment of such interest shall not excuse or cure any default
by Tenant under this Lease.
31. Holding Over One and One Half Last Month's Rent. If Tenant shall remain in
possession of the Leased Premises after the termination of this Lease,
whether by expiration of the Lease Term or otherwise, without a written
agreement as to such possession, then Tenant shall be deemed a
month-to-month Tenant. The rent rate during such holdover tenancy shall be
equivalent to one and one half (1.5) the monthly rent paid for the last
full month of tenancy under this Lease, excluding any free rent concessions
which may have been made for the last full month of the Lease. No holding
over by Tenant shall operate to renew or extend this Lease without the
written consent of Landlord to such renewal or extension having been first
obtained. Tenant shall indemnify Landlord against loss or liability
resulting from the delay by Tenant in surrendering possession of the Leased
Premises including, without limitation, any claims made with regard to any
succeeding occupancy bounded by such holdover period.
32. Modifications or Extensions. No modification or extension of this Lease
shall be binding upon the parties hereto unless in writing and unless signed by
the parties hereto.
33. Notice Procedure. All notices, demands and requests which may be or are
required to be given by either party to the other shall be in writing and such
that are to be given to Tenant shall be deemed to have been properly given if
served on Tenant or an employee of Tenant or sent to Tenant by United States
registered or certified mail, return receipt requested, properly sealed, stamped
and addressed to Tenant at see page 1 or at such other place as Tenant may from
time to time designate in a written notice to Landlord; and, such as are to be
given to Landlord shall be deemed to have been properly given if personally
served on Landlord or if sent to Landlord, United States registered or certified
mail, return receipt requested, properly sealed, stamped and addressed to
Landlord at see page 1 or at such other place as Landlord may from time to time
designate in a written notice to Tenant. Any notice given by mailing shall be
effective as of the date of mailing.
34. Memorandum of Lease-Notice to Mortgagee. The Landlord and Tenant agree not
to place this Lease of record, but upon the request of either party to execute
and acknowledge so the same may be recorded a short form lease indicating the
names and respective addresses of the Landlord and Tenant, the Leased Premises,
the Lease Term, the dates of the commencement and termination of the Lease Term
and options for renewal, if any, but omitting rent and other terms of this
Lease. Tenant agrees to an assignment by Landlord of rents and of the Landlord's
interest in this Lease to a mortgagee, if the same be made by Landlord. Tenant
further agrees if requested to do so by the Landlord that it will give to said
mortgagee a copy of any request for performance by Landlord or notice of default
by Landlord; and in the event Landlord fails to cure such default, the Tenant
will give said mortgagee a sixty (60) day period in which to cure the same. Said
period shall begin with the last day on which Landlord could cure such default
before Tenant has the right to exercise any remedy by reason of such default.
All notices to the mortgagee shall be sent by United States registered or
certified mail, postage prepaid, return receipt requested.
35. Controlling Law. The Lease and all terms hereunder shall be construed
consistent with the laws of the State of Colorado. Any dispute resulting in
litigation hereunder shall be resolved in court proceedings instituted in
Boulder County and in no other jurisdiction.
36. Landlord Not a Partner With the Tenant. Nothing contained in this Lease
shall be deemed, held or construed as creating Landlord as a partner, agent,
associate of or in joint venture with Tenant in the conduct of Tenant's
business, it being expressly understood and agreed that the relationship between
the parties hereto is and shall at all times remain that of Landlord and Tenant.
37. Partial Invalidity. If any term, covenant or condition of this Lease or the
application thereof to any person or circumstance shall, to any extent, be
invalid or unenforceable, the remainder of this Lease or the application of such
term, covenant or condition to persons and circumstances other then those to
which it has been held invalid or unenforceable, shall not be affected thereby,
and each term, covenant and condition of this Lease shall be valid and shall be
enforced to the fullest extent permitted by law.
38. Defau1t-Remedies of Landlord
A. If Tenant shall default in the payment of rent or in the keeping of any
of the terms, covenants or conditions of this Lease to be kept and/or performed
by Tenant, Landlord may immediately, or at any time thereafter, reenter the
Leased Premises, remove all persons and property therefrom, without being liable
to indictment, prosecution for damage therefore, or for forcible entry and
detainer and repossess and enjoy the Leased Premises, together with all
additions thereto or alterations and improvements thereof. Landlord may, at its
option, at any time and from time to time thereafter, relet the Leased Premises
or any part thereof for the account of Tenant or otherwise, and receive and
collect the rents therefore and apply the same first to the payment of such
expenses as Landlord may have incurred in recovering possession and for putting
the same in good order and condition for rerental, and expense, commissions and
charges paid by Landlord in reletting the Leased Premises. Any such reletting
may be for the remainder of the term of this Lease or for a longer or shorter
period. In lieu of reletting such Leased Premises, Landlord may occupy the same
or cause the same to be occupied by others. Whether or not the Leased Premises
or any part thereof be relet, Tenant shall pay the Landlord the rent and all
other charges required to be paid by Tenant up to the time of the expiration of
this Lease or such recovered possession, as the case may be and thereafter,
Tenant, if required by Landlord, shall pay to Landlord until the end of the term
of this Lease, the equivalent of the amount of all rent reserved herein and all
other charges required to be paid by Tenant, less the net amount received by
Landlord for such reletting, if any, unless waived by written notice from
Landlord to Tenant. No action by Landlord to obtain possession of the Leased
Premises and/or to recover any amount due to Landlord hereunder shall be taken
as a waiver of Landlord's right to require full and complete performance by
Tenant of all terms hereof, including payment of all amounts due hereunder or as
an election on the part of Landlord to terminate this Lease Agreement. If the
Leased Premises shall be reoccupied by Landlord, then, from and after the date
of repossession, Tenant shall be discharged of any obligations to Landlord under
the provisions hereof for the payment of rent. If the Leased Premises are
reoccupied by the Landlord pursuant hereto, and regardless of whether the Leased
Premises shall be relet or possessed by Landlord, all fixtures, additions,
furniture, and the like then on the Leased Premises which were initially
installed or constructed by the Landlord may be retained by Landlord. In the
event Tenant is in default under the terms hereof and, by the sole determination
of Landlord, has abandoned the Leased Premises, Landlord shall have the right to
remove all the Tenant's property from the Leased Premises and dispose of said
property in such a manner as determined best by Landlord, at the sole cost and
expense of Tenant and without liability of Landlord for the actions so taken.
B. In the event an assignment of Tenant's business or property shall be
made for the benefit of creditors, or, if the Tenant's leasehold interest under
the terms of this Lease Agreement shall be levied upon by execution or seized by
virtue of any writ of any court of law, or, if application be made for the
appointment of a receiver for the business or property of Tenant, or, if a
petition in bankruptcy shall be filed by or against Tenant, then and in any such
case, at Landlord's option, with or without notice, Landlord may terminate this
Lease and immediately retake possession of the Leased Premises without the same
working any forfeiture of the obligations of Tenant hereunder
C. N/A
D. In addition to any remedy granted to Landlord by the terms hereof,
Landlord shall have available any and all rights and remedies available under
the statutes of the State of Colorado. No remedy herein or otherwise conferred
upon or reserved to Landlord shall be considered exclusive of any other remedy
but shall be cumulative and shall be in addition to every other remedy given
hereunder or now or hereafter existing at law or in equity or by statute.
Further, all powers and remedies given by this Lease to Landlord may be
exercised, from time to time, and as often as occasion may arise or as may be
deemed expedient. No delay or omission of Landlord to exercise any right or
power arising from any default shall impair any such right or power or shall be
considered to be a waiver of any such default or acquiescence thereof. The
acceptance of rent by Landlord shall not be deemed to be a waiver of any breach
of any of the covenants herein contained or of any of the rights of Landlord to
any remedies herein given.
E. N/A
39. Legal Proceedings-Responsibilities. In the event of proceeding at law or in
equity by either party hereto, the defaulting party shall pay all costs and
expenses, including all reasonable attorney's fees incurred by the
non-defaulting party in pursuing such remedy, if such non-defaulting party is
awarded substantially the relief requested.
40. Administrative Charges. In the event any check, bank draft or negotiable
instrument given for any money payment hereunder shall be dishonored at any time
and from time to time, for any reason whatsoever not attributable to Landlord,
Landlord shall be entitled, in addition to any other remedy that may be
available, (1) to make an administrative charge of $100.00 or three times the
face value of the check, bank draft or negotiable instrument, whichever is
smaller, and (2) at Landlord's sole option, to require Tenant to make all future
rental payments in cash or cashiers check.
41. Hazardous Materials and Environmental Considerations.
A. Tenant covenants and agrees that Tenant and its agents, employees,
contractors and Invitees shall comply with all Hazardous Materials Laws (as
hereinafter defined). Without limiting the foregoing, Tenant covenants and
agrees that it will not use, generate, store or dispose of, nor permit the use,
generation, storage or disposal of Hazardous Materials (as hereinafter defined)
on, under or about the Leased Premises, nor will it transport or permit the
transportation of Hazardous Materials to or from the Leased Premises, except in
full compliance with any applicable Hazardous Materials Laws. Any Hazardous
Materials located on the Leased Premises shall be handled in an appropriately
controlled environment which shall include the use of such equipment (at
Tenant's expense) as is necessary to meet or exceed standards imposed by any
Hazardous Materials Laws and in such a way as not to interfere with any other
tenant's use of its premises. Upon breach of any covenant contained herein,
Tenant shall, at Tenant's sole expense, cure such breach by taking all action
prescribed by any applicable Hazardous Materials Laws or by any governmental
authority with jurisdiction over such matters.
B. Tenant shall inform Landlord at any time of (i) any Hazardous Materials
it intends to use, generate, handle, store or dispose of, on or about or
transport from, the Leased Premises and (ii) of Tenant's discovery of any event
or condition which constitutes a violation of any applicable Hazardous Materials
Laws. Tenant shall provide to Landlord copies of all communications to or from
any governmental authority or any other party relating to Hazardous Materials
affecting the Leased Premises.
C. Tenant shall indemnify and hold Landlord harmless from any and all
claims, judgments, damages, penalties, fines, costs, liabilities, expenses or
losses (including, without limitation, diminution on value of the Leased
Premises, damages for loss or restriction on use of all or part of the Leased
Premises, sums paid in settlement of claims, investigation of site conditions,
or any cleanup, removal or restoration work required by any federal, state or
local governmental agency, attorney's fees, consultant fees, and expert fees)
which arise as a result of or in connection with any breach of the foregoing
covenants or any other violation of any Hazardous Materials laws by Tenant. The
indemnification contained herein shall also accrue to the benefit of the
employees, agents, officers, directors and/or partners of Landlord.
D. Upon termination of this Lease and/or vacation of the Leased Premises,
Tenant shall properly remove all Hazardous Materials and shall then provide to
Landlord an environmental audit report, prepared by a professional consultant
satisfactory to Landlord and at Tenant's sole expense, certifying that the
Leased Premises have not been subjected to environmental harm caused by Tenant's
use and occupancy of the Leased Premises. Landlord shall grant to Tenant and its
agents or contractors such access to the Leased Premises as is necessary to
accomplish such removal and prepare such report.
E. "Hazardous Materials" shall mean (a) any chemical, material, substance
or pollutant which poses a hazard to the Leased Premises or to persons on or
about the Leased Premises or would cause a violation of or is regulated by any
Hazardous Materials Laws, and (b) any chemical, material or substance defined as
or included in the definitions of "hazardous substances", "hazardous wastes",
"extremely hazardous waste", "restricted hazardous waste", "toxic substances",
"regulated substance", or words of similar import under any applicable federal,
state or local law or under the regulations adopted or publications promulgated
pursuant thereto, including, but not limited to, the Comprehensive Environmental
Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Sec.
9601, et seg.; the Hazardous Materials Transportation Act, as amended, 49 U.S.C.
Sec. 1801, et seg.; the Resource Conservation and Recovery Act as amended, 42
U.S.C. Sec 6901, et seg.; the Solid Waste Disposal Act, 42 U.S.C. Sec. 6991 et
seg.; the Federal Water Pollution Control Act, as amended, 33 U.S.C. Sec. 1251,
et seg. and Sections 00-00-000, et seg. , 00-00-000, et seg., 25-7-101, et seg.,
and 25-8-101, et seg., of the Colorado Revised Statutes. "Hazardous Materials
Laws" shall mean any federal state or local laws, ordinances, rules,
regulations, or policies (including, but not limited to, those laws specified
above) relating to the environment, health and safety or the use, handling,
transportation, production, disposal, discharge or storage of Hazardous
Materials, or to industrial hygiene or the environmental conditions on, under or
about the Leased Premises. Said term shall be deemed to include all such laws as
are now in effect or as hereafter amended and all other such laws as may
hereafter be enacted or adopted during the term of this Lease.
F. All obligations of Tenant hereunder shall survive and continue after the
expiration of this Lease or its earlier termination for any reason.
G. Tenant further covenants and agrees that it shall not install any
storage tank (whether above or below the ground) on the Leased Premises without
obtaining the prior written consent of the Landlord, which consent may be
conditioned upon further requirements imposed by Landlord with respect to, among
other things, compliance by Tenant with any applicable laws, rules, regulations
or ordinances and safety measures or financial responsibility requirements.
H. Should any local governmental entity having jurisdiction over the Leased
Premises require any type of environmental audit or report prior to or during
the occupancy of the Leased Premises by the Tenant, such cost of the audit or
report shall be the sole responsibility of the Tenant.
42. Entire Agreement. It is expressly understood and agreed by and between the
parties hereto that this Lease sets forth all the promises, agreements,
conditions, and understandings between Landlord and/or its agents and Tenant
relative to the Leased Premises and that there are no promises, agreements,
conditions, or understandings either oral or written, between them other than
that are herein set forth.
43. N/A
44. Estoppel Certificates. Within no more than 10 days after receipt of written
request, the Tenant shall furnish to the owner a certificate, duly acknowledged,
certifying, to the extent true:
A. That this Lease is in full force and effect.
B. That the Tenant knows of no default hereunder on the part of the owner,
or if it has reason to believe that such a default exists, the nature thereof in
reasonable detail.
C. The amount of the rent being paid and the last date to which rent has
been paid.
D. That this Lease has not been modified, or if it has been modified, the
terms and dates of such modifications.
E. That the term of this Lease has commenced.
F. The commencement and expiration dates.
G. Whether all work to be performed by the owner has been completed.
H. Whether the renewal term option has been exercised if applicable.
I. Whether there exist any claims or deductions from, or defenses to, the
payment of rent.
J. Such other matters as may be reasonably requested by owner.
If the Tenant fails to execute and deliver to the owner a completed certificate
as required under this section, the Tenant hereby appoints the owner as its
Attorney-In-Fact to execute and deliver such certificate for and on behalf of
the Tenant.
45. Financial Statements. As requested by the Landlord, Tenant shall provide
copies of its most recent financial statements and shall also provide Landlord
with up to three (3) prior years of financial statements, if so requested.
46. Lease Exhibits Attached. This Lease includes the following Lease Exhibits,
which are incorporated herein and made a part of this Lease Agreement:
Exhibit "A" - Site Plan Depicting Area (Drawing)
Exhibit "B" - Interior Space Plan (Drawing)
Exhibit "C" - Landlord and Tenant's Construction Obligations
Exhibit "D"- Sign Code Obligations
Exhibit "K" - Additional Terms and Conditions
Exhibit "F" - Option to Extend
47. Miscellaneous. All marginal notations and paragraph headings are for
purposes of reference and shall not affect the true meaning and intent of the
terms hereof. Throughout this Lease, wherever the words "Landlord" and "Tenant"
are used they shall include and imply to the singular, plural, persons both male
and female, companies, partnerships and corporations, end in reading said Lease,
the necessary grammatical changes required to make the provisions hereof mean
and apply as aforesaid shall be made in the same manner as though originally
included in said Lease.
IN WITNESS WHEREOF, the parties have executed this Lease as of the date hereof.
LANDLORD: LakeCenter Plaza., LLLP
By: /s/ Xxxxxxx X. Xxxxxxxx
-------------------------
Xxxxxxx X. Xxxxxxxx
TENANT: Xxxxxxxxx-Xxxxxxxx Company
By: /s/ Xxxxxxx X. Xxxxxx, Treasurer
----------------------------------
Xxxxxxx X. Xxxxxx, Treasurer
Exhibit "A"
Site Plan Depicting Area (Drawing)
Exhibit "B"
Interior Space Plan (Drawing)
Exhibit "C"
Landlord and Tenant Construction Obligations
1. LANDORD
A. Landlord shall complete the Leased Premises per Exhibit "B" and per the
attached set of "Standard Lease Space Specifications" for Office Buildings.
B. Landlord agrees to install approximately 4,000 square feet of VPI Conductile
in the leased premises as depicted in Exhibit "B". Any additional conductive
tile installed in the lease premises will be at the sole cost and expense of the
Tenant.
C. Landlord agrees to install all electrical systems in the amount of $3.25 per
square feet in the leased premises. Any additional electrical installation in
excess of $3.25 per square foot will be at the sole cost and expense of the
Tenant.
D. Landlord agrees to install electronic ballast for all florescent fixtures
installed in the Lease Premises. Said electronic ballasts are not standard
fixtures installed by Landlord and may increase electrical systems cost to
exceed the $3.25 per square feet as described in paragraph C of this Exhibit
"C". Any additional electrical installation in excess of $3.25 per square foot
will be at the sole cost and expense of the Tenant.
E. Landlord agrees to install 3/4 inch conduits conduit for computer/telephone
outlets installed in the Lease Premises. Said 3/4 inch conduits are not standard
installations by Landlord and may increase electrical systems cost to exceed the
$3.25 per square feet as described in paragraph C of this Exhibit "C". Any
additional electrical installation in excess of $3.25 per square foot will be at
the sole cost and expense of the Tenant.
F. The leased premises is currently independently serviced by two (2) twelve and
one half (12.5) ton HVAC units. If additional HVAC service is deemed necessary,
additional service can be provided from a shared HVAC unit or Tenant may elect
to install an additional HVAC unit at its sole cost and expense.
2 . TENANT
Tenant shall be responsible for the cost of any change order which increases the
cost of the work shown on Exhibit "B" or which increases the cost of the
Landlords Standard Lease Space Specifications. If Tenant should make any changes
which increase such cost it shall pay to the Landlord such sum within 15 days of
occupancy of the Leased Premises. Landlord shall have the obligation to notify
Tenant in writing of any changes which will obligate the Tenant to any such
additional costs prior to any changes being made and Tenant being obligated to
any such costs.
STANDARD LEASE SPACE SPECIFICATIONS
OFFICE/INDUSTRIAL BUILDINGS
The following are standard specifications for the Leased Premises herein
defined.
GENERAL
A. The leased space design/layout will conform to the Architectural drawings.
B. All work performed to complete the Leased Premises will be in accordance with
all applicable codes and regulations as well as currant A.D.A requirements.
C. Demising, corridor and partition walls separating offices from warehouse
space to be 3-5/8" metal studs at 24" o.c. with 5/8" gypsum wallboard on each
side. Partitions to extend from floor to underside of structure above.
Partitions to have acoustical sealant at joints and sound attenuation batting
between studs from floor to structure above. Partitions to receive typical
partition finish.
D. 1) Building interior space may be divided into fire containment areas. It is
the responsibility of the Tenant to conform to all applicable regulations and
fire codes, including, but not limited to, maintaining egress requirements
during the term of occupancy.
2) Fire containment walls to be 3-5/8" metal studs at 24" o.c. with 5/8" gypsum
wallboard on each side. Walls to extend from floor to underside of structure
above. Doors in fire containment walls to be twenty minute fire rated, solid
core oak veneer with closer and metal jams.
E. Tenant will be responsible for identifying any equipment or areas requiring
additional or special ventilation, lighting or electrical service prior to space
planning.
OFFICE AREAS
A. INTERIOR PARTITIONS
1. 3-5/8" metal studs at 24" o.c. from floor to underside of ceiling with 5/8"
gypsum wallboard on each side.
2. All concrete block walls in Leased Premises to be furred and sheathed as
interior partitions above unless otherwise noted on Architectural drawings.
B. PARTITION FINISH
All interior partitions, not prefinished, will receive paint. Paint to be
Landlord's standard. Two finish coats over one primer coat. Color to be selected
by Tenant from among choices preselected by Landlord.
C. CEILING
To be suspended acoustical 2X4 ceiling tile. Tile and metal grid to be white.
D. FLOOR COVERING
1. Carpet to be Landlord's standard (Cambridge--Oxford 28 oz. nylon textured
loop and/or Cambridge---Park Lane 30 oz. nylon cut pile). Installation to be
glue down. Color to be selected by Tenant from among choices pre-selected by
Landlord. Base at carpet to be 2-1/2" high solid oak finish to match doors.
2. Resilient flooring to be Landlord's standard. 12"x12"xl/8". Color to be
selected by Tenant from among choices pre-selected by Landlord. Base at
resilient flooring to be Xxxxx 2-1/2" rubber cove.
E. INTERIOR DOORS
All interior doors to be solid core flush panel oak veneer with 3 coats natural
color lacquer finish. Frames to be Timely Metal Frames. Door sizes to be 3'-0" x
7'-0" x 1-3/4" unless otherwise noted on architectural drawings.
F. DOOR HARDWARE
To be xxxxxxx 6 line Orbital series, 26D brushed chrome or equal. All entry
doors to have keyed cylinder lock sets. All office, conference, and storage room
doors to have passage lock set. Restrooms to have privacy lock. All doors to
have 1-1/2 pair 4" hinges and 1 Ives concave wall stop #407 1/2, or equal,
stainless steel finish.
G. LIGHTING
To be 2'x4' 4 lamp, recessed, fluorescent with prismatic lens light fixtures.
H. ELECTRICAL/PHONE
Outlet locations as shown or Architectural drawings. All outlets, outlet covers,
switches and switch plate covers to be white.
I. COMPUTER/TELEPHONE OUTLETS
Outlets to consist of empty junction box with 1/2" conduit stubbed above
ceiling.
J. TELEPHONE/COMPUTER LINES AND CABLING
Wiring and installation to be provided by Tenant. 3/4" plywood phone board to be
provided and Installed by Landlord for telephone installation.
RESTROOMS/ IF INSIDE THE TENANT 'S SPACE
A. CONSTRUCTION AND FINISHES
To be as per office area specifications except as follows:
1) Partitions and ceiling to receive 5/8" water resistant gypsum wallboard.
2) Walls to have 2 coats of epoxy paint from floor to 4'-0" above floor.
Remaining wall surface and ceiling to have 2 finish coats of semi-gloss acrylic
over one primer coat. Color to be white.
3) Ceiling structure to be metal stud joists bearing on partition wall. Ceiling
structure to support unit water heater for restroom. Ceiling height to be
maximum allowable.
4) Counter tops to have plastic laminate finish with color to be selected by
Tenant from among choices pre-selected by Landlord.
B. PLUMBING FIXTURES
1) Toilet -- Armitage Shanks, white, model #109 or equal.
2) Lavatory -- Armitage Xxxxxx model #308, white, 19" self rimming china
lavatory with Price Xxxxxxx #H43-121 faucet or equal.
3) Lavatory -- American Standard wall xxxx Xxxxxxx Vitreous China 3 hole
#1024.131 (20" x 18") with Delta handle faucet #2520 or equal.
4) Urinal -- Kohler model #402, white with Xxxx flush valve or equal.
C. ACCESSORIES
1) Mirror -- Full HGT and with mirror with metal edge trim as shown on
Architectural Drawings.
2) Mirror -- Bobrick stainless steel channel frame mirror #B-165-1830 (18" x
30") or equal.
3) Paper Towel Dispenser/Disposal -- Bobrick B-369 recessed, stainless steel
satin finish or equal.
4) Toilet Tissue Dispenser -- Bobrick B-388 recessed, stainless steel satin
finish or equal.
5) Utility Hook -- Bobrick #B-670 polished stainless steel or equal mounted
interior side of toilet and shower stall doors (if applicable) 66" above
finished floor.
6) Grab Bars -- Bobrick #b-490, stainless steel satin finish or equal.
D. LIGHTING
One surface mounted 2 tube fluorescent fixture with acrylic lens in drywall
light valance over lavatory. Ceiling fixture, if called for in Architectural
drawings, to be 2 tube fluorescent with acrylic wrap lens.
E. ELECTRICAL
One GFI electric Outlet adjacent to lavatory. One exhaust fan in any toilet
room.
MECHANICAL/ELECTRICAL
A. HEATING AND COOLING
The interior premises are heated and cooled by one or more roof-mounted
mechanical units. The sizing of the mechanical units are designed to provide one
(1) ton of cooling for every four hundred (400) square feet of floor area;
provided that the internal load does not exceed three (3) xxxxx per square foot.
Individual thermostat control shall be centrally controlled allowing for
automatic setback capabilities with external dial-in monitoring provided for the
interior premises, with control areas not to exceed two thousand (2,000) square
feet in size. Based upon the above, the system shall maintain a minimum
temperature of 65 degrees Fahrenheit and a maximum temperature of 75 degrees
Fahrenheit in the separate rooms within the Leased Premises, so long as the
minimum exterior temperature shall not be below zero degrees Fahrenheit and the
maximum exterior temperature shall not be in excess of 100 degrees Fahrenheit.
B. ELECTRICAL
Standard electrical advice provided to the building to be 120/208 volt, three
phase, four wire. No additional service to be provided for Tenant equipment
unless otherwise noted. One (1) light switch per office is provided. Circuitry
design is normally laid out to allocate 6 to 8 duplex outlets per 20 amp
circuit.
C. ELECTRICAL OUTLETS
Restrooms to have one duplex electrical outlet. See Architectural drawings for
outlet locations in other areas.
D. LIGHTING
Finished rooms, other than restrooms and storage areas will be lighted with
2'x4' recessed, 4 lamp, fluorescent fixtures.
All fixtures to be provided initially with lamps. Lights and switch locations
will be as shown on Architectural drawings.
SUPPLEMENTAL ITEMS
See Architectural drawings for additional notes and locations if the items below
are included in the tenant finish
A. COFFEE BAR
1) Base and upper cabinets to be Merrillat brand with style to be chosen by
Landlord.
2) Countertop and splash to be plastic laminate finish with color to be selected
by Tenant from among choices pre-selected by Landlord.
3) Kitchen sink, Dayton Kingsford #K-11515 single compartment sink with Delta
#2171 faucet or equal.
4) Dishwasher
5) Garbage disposal in sink
Exhibit "D"
Sign Code Obligations
Current sign code specifications for the property depicted in Exhibit "A" do not
allow Tenant to erect any signage on or about their Leased Premises. Only
tenants occupying an entire building are permitted any building signage. Tenant
may install any signage on windows, doors and/or interior of space that is
permissible under City of Boulder sign code regulations.
Exhibit "E"
Additional Terms and Conditions
1. Tenant shall be given the right to cancel this Lease Agreement after three
years of occupancy with six (6) months written notification in addition to a
prepayment penalty equaling three (3) months rent. This right to early
termination will be applicable only after Tenant has been occupying the lease
premises for three (3) full years (36 months) of this lease term. After the
first three (3) years, the Tenant may give written notification to terminate the
lease after an additional six (6) months of occupancy from the date the written
request to terminate the Lease has been received by the landlord and Landlord
has received the above described payment of an additional sum equaling three (3)
months rent. Said right to terminate the Lease shall be valid only during the
initial base lease term. Any termination rights granted beyond the initial base
lease term must be mutually agreed upon by both Tenant and Landlord and must be
in writing.
Exhibit "F"
Option to Extend
Tenant shall have the option to extend the Lease Agreement (as Amended above)
from 12:00 noon on August 1, 2001 to 12:00 noon on August 1, 2006 In the event
the Tenant desires to exercise said option, Tenant shall give written notice of
interest in such exercise to Landlord no later than October 1, 2000 in order
that the Landlord and Tenant may proceed with determination of the Fair Market
Value as provided herein. In the event the Tenant desires to exercise said
option, Tenant shall give written notice of such exercise to Landlord not later
than February 1, 2001. See below for Option Term Rent. In the event of such
exercise, the Lease Agreement, including all amendments, shall be automatically
extended for the additional term. Notwithstanding the foregoing, this option
shall be void and of no force or effect if the Tenant is in default hereunder
either as of the date of the Tenant's exercise of said option or as of the date
of the commencement of the option or additional term.
Option Term Rent: Tenant shall pay the following rent for the Leased Premises:
Landlord and Tenant will attempt to agree upon a Fair Market Rental Value of the
Leased Premises satisfactory to both parties not later than November 1, 2000. If
no agreement can be reached by the parties during that period, then the Base
Monthly Rental for the Option Term shall he determined by the Fair Market Rental
Value of the Leased Premises as determined by comparison to premises of similar
size located in or near the City of Boulder, Colorado, having comparable
development, use and density capability and such other characteristics as may be
deemed relevant by a subject appraiser whose selection is outlined herein.
Not Later than November 10, 2000, Landlord shall select an independent MAI real
estate appraiser with at least ten (10) years experience in appraising
commercial real property in the City of Boulder, Colorado (a "Qualified
Appraiser"). The Qualified Appraiser selected by the Landlord shall be referred
to as the "Landlord's Appraiser". Not later than December 10, 2000, the
Landlord's Appraiser shall determine the Fair Market Rental Value of the Leased
Premises in accordance with the appraisal standards set forth above and shall
immediately give the Landlord and the Tenant written notification of his
determination.
If the Tenant agrees with the Landlord's Appraiser's determination of the Fair
Market Rental Value, the new Base Monthly Rental shall become effective
beginning with the first month of the Option Term. If the Tenant does not agree
with the Landlord's Appraiser's determination of Fair Market Rental Value, the
Tenant shall have the right to select its own Qualified Appraiser to determine
the Fair Market Rental Value. If the Tenant does elect to appoint a Qualified
Appraiser (the "Tenant's Appraiser"), the Tenant shall select the Tenant's
Appraiser not later than December 20, 2000. The Tenant's Appraiser shall make
his own determination of the Fair Market Rental Value in accordance with the
provisions set forth above, Not later than January 20, 2001 and shall
immediately give the Landlord and the Tenant written notice of his
determination.
On or before January 30, 2001, the Landlord and Tenant shall again attempt to
agree upon a Fair Market Rental Value of the Lease Premises. In the event the
Tenant desires to exercise said option, the Tenant will give written notice of
such exercise to the Landlord not later than February 1, 2000.
All appraisal fees required hereunder shall be shared equally by the Landlord
and the Tenant.
