Concession Build-Out definition
Concession Build-Out means:(i) concession stand tenant work beyond base building work (as described below); and (ii) food service equipment for concession stands and public restaurants, and portable concession equipment. Concession Build Out will not include base building work, which will include, without limitation, the provision of sealed concrete floors, sealed CMU walls, stubbed-in utilities, required vents, air handling systems, sprinkler systems, front counters, roll-down security gates, and entrance doors at each proposed concession stand location. The NBA Club will be responsible for cost overruns related to the construction, design and equipping of the Arena in excess of the Arena Budget, provided, however, that the NBA Club shall have no responsibility for cost overruns that are an Excluded Cost. Any contingency amounts contained in the Arena Budget may be allocated by the NBA Club in its sole discretion to pay design and consulting costs, hard costs and furniture, fixtures and equipment costs related to Arena construction (including, without limitation, any portion of the Concession Build-Out that would otherwise be an Excluded Cost). The NBA Club shall have the sole and exclusive right to pursue all claims and receive all recoveries, damages and penalties from contractors and sureties to the extent of any overruns paid by the NBA Club. The Sports Authority shall have the sole and exclusive right to pursue all claims and receive all recoveries, damages and penalties from contractors and sureties to the extent of any costs paid by the Sports Authority. To the extent of costs paid by both Parties, both Parties shall have the right to pursue claims and receive recoveries, damages and penalties from contractors and sureties in proportion to their respective losses. The process for design and construction of the Arena is described in Schedule 1. In order to achieve the schedule for the design and construction of the Arena, the NBA Club agrees to incur expenses of up to $2 million in connection with the design of the Arena prior to the date of the Referendum, which shall be reimbursed as provided below.