EXHIBIT 10.3
FOURTH ADDENDUM
THIS ADDENDUM to that certain Lease Agreement by and between ZYTEC CORPORATION
("Lessee") and SUPERIOR INVESTMENTS I, INC. ("Lessor"), dated January 16,
1996 ("Lease Agreement") is made and entered into as of June 27, 1997.
WITNESSED:
WHEREAS, ZYTEC CORPORATION and SUPERIOR INVESTMENTS I, INC. entered into the
Lease Agreement dated January 16, 1996 for approximately 83,179 square
feet of 0000 Xxxxxxxxxx Xxxx, Xxxxxxxxxx, Xxxxxxxx 00000.
WHEREAS, the Lease Agreement was modified by a First Addendum dated January 18,
1996.
WHEREAS, the Lease Agreement was modified by a Second Lease Addendum dated
January 22, 1996.
WHEREAS, the Lease Agreement was clarified with regards to square feet by a
Memorandum of Lease dated May 10, 1996.
WHEREAS, the Lease Agreement was modified to expand the Premises by a Third
Addendum dated May 23, 1997.
NOW THEREFORE, in consideration of the mutual covenants contained, it is agreed
that the Lease Agreement is hereby amplified, modified and amended in the
following respects to be effective June 27, 1997, TO WIT:
1. The Premises effective July 1, 1997, shall be expanded to
include an additional 3,262 rentable square feet known as
suite 2800B adjacent to and to the north of the existing
Premises (hereinafter referred to as the "Expansion Area") as
shown on the attached Exhibit A increasing Lessee's Premises
to a total rentable area of 81,184 square feet. Whenever
referred to in the Lease Agreement, Lessee's proportionate
share shall be 40.74%.
2. The additional base rental(1) payment for the Expansion Area
beginning July 1, 1997 shall be based on the per square
footage rate for "OFFICE/MANUFACTURING" area in Exhibit D of
the lease agreement and as shown below:
Date Annual Base Rent per s.f.
---- -------------------------
7/1/97-1/31/99 $3.12
2/1/99-1/31/00 $5.07
2/1/00-1/31/01 $5.22
2/1/01-1/31/02 $5.38
2/1/02-1/31/03 $5.54
2/1/03-1/31/04 $5.71
2/1/04-1/31/05 $5.88
2/1/05-1/31/06 $6.05
3. In consideration for this Fourth Addendum, Lessor shall
provide Lessee's agreed upon improvements to be completed in
the Expansion Area substantially as shown on the attached
drawing (Exhibit B). Notwithstanding the above, Lessor shall
not be obligated to install any improvements not specifically
indicated on Exhibit B to be performed by Lessor at Lessor's
cost and except as noted on the attached Exhibit B, Lessee
agrees to accept the Expansion Premises in its "as-is"
condition.
4. Lessee shall have the right to terminate its use of the
Expansion Area (2800B only) along with the associated rent
therewith (herein defined as the "2800B Termination Option")
on the first day of any month beginning January 1, 1998
(herein defined as the "Termination Date") under the following
terms and conditions. Lessee shall not be in default of the
Lease and Lessee shall provide six (6) months prior written
notice to Lessor notifying it of Lessee's intention to
terminate its use of the Expansion Area (2800B as shown on the
attached Exhibit A).
In the event Lessee exercises the 2800B Termination Option,
Lessee covenants and agrees to surrender full and complete
possession of the Expansion Area (2800B) to Lessor on or
before the Termination Date vacant, broom--clean, in good
order and condition, and, in accordance with the provisions of
the Lease Agreement, and thereafter the Expansion Area (2800B)
shall be free and clear of all leases, tenancies, and rights
of occupancy of any entity claiming by or through Lessee.
5. This addendum shall not be binding on any party, unless and
until signed by both parties hereto.
Except as specifically mentioned herein, all other terms and conditions of the
original Lease Agreement shall remain the same and unchanged.
LESSEE: ZYTEC CORPORATION
By: /s/ Xxxxxx Xxxxxxx Date: 6/27/97
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LESSOR: SUPERIOR INVESTMENTS I, INC.
By: /s/ Xxxxx X. Xxxxxx Date: 6/27/97
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(1) Along with the additional Base Rent for the Expansion Area, Lessee
shall be responsible for Operating Expenses on the Expansion Area as
defined in paragraph 5 of the Lease Agreement.
EXHIBITS ATTACHED TO FOURTH ADDENDUM
EXHIBIT A -- ORIGINAL DOCUMENT CONTAINS A FLOOR PLAN DRAWING OF THE BUILDING.
EXHIBIT B -- ORIGINAL DOCUMENT CONTAINS A FLOOR PLAN DRAWING INDICATING AGREED
UPON IMPROVEMENTS.