Common use of Substantial Completion and Punch List Clause in Contracts

Substantial Completion and Punch List. The terms “Substantial Completion” and “Substantially Complete,” as applicable, shall mean that the Initial Improvements are sufficiently complete in accordance with the Construction Plans so that Tenant 1001 3rd Avenue South - Select Comfort Corporation - NNN (2016 v1.1) can reasonably use the Premises for the Permitted Use. Tenant’s acceptance of the Premises does not relieve Landlord of Landlord’s responsibility to correct defective work, nor does Tenant’s acceptance of the Premises change Landlord’s obligation to correct such defective work under warranty. Landlord’s Work must include, but not be limited to, the following: (i) completion of all the requirements of Exhibit E entitled “Landlord’s Work Letter”, (ii) permanent utilities must be installed and operational at the Premises (including HVAC, gas, water and electricity, as well as a fully operational electrical panel), and (iii) issuance of a final Certificate of Occupancy; however, if the final Certificate of Occupancy cannot be issued until Tenant has finished Tenant’s build out, then a temporary Certificate of Occupancy can be issued with the understanding that Landlord is responsible for obtaining the Final Certificate of Occupancy. Fifteen (15) days prior to substantial completion of Landlord’s Work, Landlord will notify Tenant’s project manager of the scheduled completion of Landlord’s Work. Tenant will schedule a walk through to complete Tenant’s punch list, with Landlord’s representative to confirm Landlord’s substantial completion and accept the premises and confirm the Delivery Date. All open punch list items must be completed within thirty (30) days of submission of Tenant’s completed punch list to Landlord’s representative.

Substantial Completion and Punch List. The terms “Substantial Completion” and “Substantially Complete,” as applicable, Landlord shall mean that the Initial Improvements are sufficiently complete in accordance with the Construction Plans so that give Tenant 1001 3rd Avenue South - Select Comfort Corporation - NNN (2016 v1.1) can reasonably use the Premises for the Permitted Use. Tenant’s acceptance written notice of its intent to deliver possession of the Premises does not relieve Landlord (“Notice of Landlord’s responsibility Tender”) to correct defective work, nor does Tenant’s acceptance of the Premises change Landlord’s obligation to correct such defective work under warranty. Landlord’s Work must include, but not be limited to, the following: (i) completion of all the requirements of Exhibit E entitled “Landlord’s Work Letter”, (ii) permanent utilities must be installed and operational at the Premises (including HVAC, gas, water and electricity, as well as a fully operational electrical panel), and (iii) issuance of a final Certificate of Occupancy; however, if the final Certificate of Occupancy cannot be issued until Tenant has finished Tenant’s build out, then a temporary Certificate of Occupancy can be issued with the understanding that Landlord is responsible for obtaining the Final Certificate of Occupancy. Fifteen Tenant Improvements Substantially Completed not less than ten (1510) days prior to substantial completion delivery of such possession. The parties agree to coordinate and conduct with the Architect a walk-through inspection of the Premises (“Punch List Inspection”) and jointly prepare a “punch list” of agreed items of construction remaining that have not been, but should have been, finished or furnished prior to such date or which do not conform to the Working Drawings no earlier than two (2) days prior to Landlord’s Workestimated date of Substantial Completion and no later than Landlord’s proposed delivery date as set forth in the Notice of Tender. If Tenant reasonably determines during the Punch List Inspection that the Tenant Improvements are not Substantially Complete, Tenant will give a written notice of non-completion to Landlord prior to the proposed delivery date, which notice will describe the reasons for Tenant’s determination. In such event, Landlord will notify then promptly complete any such deficiencies and deliver the Premises to Tenant’s project manager . Notwithstanding the foregoing, if (i) the elements of the scheduled completion definition of LandlordSubstantial Completion in this Workletter have been accomplished, as evidenced by the Architect’s Workcertificate of Substantial Completion, or (ii) Tenant fails to timely be available and cause the Architect to be available to conduct the Punch List Inspection as required by Paragraph 10.1, then the Tenant Improvements shall be deemed Substantially Complete, subject to any punch list items. Landlord shall complete the items set forth in the punch list as soon as reasonably possible. Tenant will schedule a walk through to complete Tenant’s shall cooperate with and accommodate Landlord and its workers in completing the items on the punch list, with Landlord’s representative to confirm Landlord’s substantial completion . The costs thereof shall be included in the Costs of the TI Work and accept guaranteed maximum price under the premises and confirm the Delivery DatePremises Contract. All open The existence of minor punch list items must be completed within thirty (30) days shall not postpone the Actual Commencement Date of submission the Lease or result in a delay or abatement of Tenant’s completed obligation to pay rent or give rise to a damage claim against Landlord. Landlord agrees to complete all punch list to items which are Landlord’s representativeor the Premises Contractor’s responsibility within forty five (45) days after receiving the punch list (or longer if reasonably necessary so long as Landlord and Premises Contractor are pursuing completion diligently and continuously through completion.) Landlord’s and Tenant’s obligations to achieve Substantial Completion by any particular date and the parties obligations generally shall be subject to any events of Force Majeure, as defined in Section 24(c) of the Lease.