EXHIBIT 10.19
as of 3-3-97
AGREEMENT OF LEASE
BETWEEN
CORPORATE PROPERTY INVESTORS
AND
PREMIERE COMMUNICATIONS, INC.
AGREEMENT OF LEASE made as of __________________, 1996 between CORPORATE
PROPERTY INVESTORS, a Massachusetts business trust, having its principal place
of business at 3 ▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇▇ Plaza (305 East 47th Street), New York, N. Y.
10017 (Landlord) and Premiere Communications, Inc., a Georgia Corporation,
having its principal place of business at ▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇, ▇.▇., ▇▇▇▇▇▇▇,
▇▇▇▇▇▇▇ (Tenant).
R E C I T A L
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Landlord hereby leases to Tenant and Tenant hereby hires and takes from
Landlord, the Premises, located in the Building known as The Lenox Building,
▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇, ▇.▇., ▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇▇, for the Term commencing on
the Commencement Date, subject to the terms, covenants, conditions and
provisions of this Lease. If the Commencement Date is not the first day of a
month, Rent for the month in which the Commencement Date occurs shall be
prorated to the end of the month, the first full monthly installment of Rent
shall be due on the first day of the next month and after the expiration of the
number of years in the Term, the Term shall expire on the last day of the same
month in which the Commencement Date occurred.
ARTICLE 1. DEFINITIONS
Whenever used in this Lease, the following terms shall have the meanings
indicated below.
Premises - Suite No. 300 and 400, Third (3rd) and
Fourth (4th) Floors as shown on Exhibit B
Term - Seven (7) years, expiring on August 31,
2004
Commencement Date - September 1, 1997
Size of the Premises - 40,886 square feet of rentable floor space
Tenant's Pro Rata Share - 11.17 percent
Fixed Rent - $858,606.00 per year from September 1,
1997 through March 31, 2001; $899,492.00
per year from April 1, 2001 through
August 31, 2004.
Guarantor - None
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Broker - ▇▇▇▇▇▇▇ ▇▇▇▇ Company, ▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇▇,
▇▇▇▇▇ ▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇▇
Permitted Use - Only for executive, administrative and/or
general office use.
Security Deposit - None, except that Tenant shall deposit with
Landlord the first (lst) months' Fixed Rent,
upon execution and delivery of this Lease.
Additional Rent - All amounts, except Fixed Rent, payable by
Tenant under Articles 3, 5, 7 and 9 of this
Lease.
Affiliate - Any Person which controls or in controlled by
the Person in question or is controlled by the
same Persons which shall then control the Person
in question and any Person which is a member
with the Person in question in a relationship of
joint venture, partnership or other form of
business association; the term "control" means,
with respect to a corporation, the ownership of
stock possessing, or the right to exercise, at
least twenty-five (25%) percent of the total
combined voting power of all classes of the
controlled corporation, issued, outstanding and
entitled to vote for the election of directors,
whether such ownership be direct ownership or
indirect ownership through control of another
corporation or corporations.
Auxiliary Areas - The Entry Plaza, the Lobby Court, the Loop
System and the Promenade, as shown on Exhibit A.
Building - The Lenox Building, Atlanta, Georgia, as shown
on Exhibit A.
Building Parcel - The area designated as such on Exhibit A.
Entry Plaza - The area designated as such on Exhibit A.
Event of Default - As defined in section 9.1
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Governmental Authority - The United States, the State of Georgia, the City
of Atlanta, and any political subdivision thereof
or any local public or quasi-public authority,
agency, department, commission, board, bureau or
instrumentality of any of them including, with
respect to matters pertaining to insurance, boards
of fire underwriters to the extent they have power
to impose conditions on the issuance of policies
or the coverage thereof.
Governmental Requirements - Any law, ordinance, code, order, rule or
regulation of any Governmental Authority.
Landlord - The party named as Landlord herein until a sale,
transfer or lease, and thereafter the Person or
Persons who shall, for the time being, be liable
for the obligations of Landlord under the
provisions of Section 6.2 of this Lease.
Landlord's Additional Work - None.
Landlord's Standard Work - None.
Landlord's Work - None
Lobby Court - The area designated as such on Exhibit A.
Loop System - The area designated as such on Exhibit A.
Necessary Approvals - Any permit, license, certificate or approval or
other evidence of compliance with any requirement
necessary to the lawful occupancy of the Premises
and the issuance of the insurance required to be
carried hereunder for the Permitted Uses.
Operating Costs - As defined in Section 3.2 H.
Parking Garage - The decked parking structure located on the
Building Parcel, as shown on Exhibit A.
Person - A natural person, firm, partnership, association
or corporation, as the case may be.
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Promenade - The area designated as such on Exhibit A.
Rent - The Fixed Rent and the Additional Rent.
Standard Building Hours - 8:00 AM to 6:00 PM Monday and Days through Friday
and 8:00 AM to 1:00 PM on Saturdays, or any
combination thereof of days and hours selected by
Landlord but in no event to exceed 55 hours in the
aggregate from Monday through Saturday. Standard
Building Hours and Days shall be deemed to exclude
holidays, curfews or other restricted days
designated as such by Governmental Authority.
Taxes - An defined in Section 3.2 D.
Tenant Improvement - As set forth in Exhibit C.
Agreement
Tenant's Plan - As defined in the Tenant Improvement Agreement.
Exhibit A - Site Plan
Exhibit B - Floor Plan
Exhibit C - None
Exhibit D - Parking Space Exhibit
Exhibit E - Commencement Date and Ratification of Lease
Agreement.
Exhibit F - Cleaning Schedule
Exhibit G - Building Rules and Regulations
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ARTICLE 2. CONSTRUCTION - COMMENCEMENT DATE
Section 2.1 Preparation of the Premises.
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(A) Landlord shall perform Landlord's Work, as set forth in the Tenant
Improvement Agreement annexed hereto as Exhibit C. Tenant agrees to comply with
all of the terms and provisions of the Tenant Improvement Agreement.
(B) Landlord shall not be required to commence Landlord's Work unless (i)
the parties shall have agreed upon the cost of Landlord's Additional Work, and
(ii) said cost, less Landlord's Allowance, as defined in the Tenant Improvement
Agreement, is paid to Landlord.
(C) Landlord shall give Tenant ten (10) days' written notice of the
anticipated date of substantial completion of Landlord's Work, and Tenant shall
have the right during said ten-day period to enter into the Premises for the
purpose of installing its personal property and equipment and otherwise
preparing the Premises for its occupancy. During said ten-day period, (i)
neither Tenant nor its agents or employees shall interfere with Landlord's Work
or with any other work being done by Landlord and Landlord's agents and
employees in other parts of the Building, (ii) Tenant shall comply with all
reasonable rules and regulations promulgated by Landlord, its agents or
employees, (iii) the labor employed by Tenant shall be harmonious and compatible
with the labor employed by Landlord in the Building, it being agreed that if in
Landlord's judgment such labor is incompatible, Tenant shall forthwith upon
Landlord's demand withdraw Tenant's labor from the Premises, (iv) Tenant shall
procure and deliver to Landlord workmen's compensation, public liability,
property damage and such other insurance policies, in such amounts, as shall be
reasonably acceptable to Landlord in connection with the preparation work being
done by Tenant in the Premises, and shall cause Landlord to be named as an
insured thereunder, and (v) all the terms, provisions and agreements of this
Lease, except for the obligation to pay Rent, shall apply.
Section 2.2 Commencement Date.
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(A) The Term of this Lease shall commence on the date that Landlord
notifies Tenant that it has substantially completed Landlord's Work. Within ten
(10) days after the Commencement Date, Landlord's representative and Tenant's
representative shall jointly examine the Premises and shall compile a list of
any remaining items of work which Landlord may be obligated to complete ("punch
list items"). The taking of possession of the Premises by Tenant shall be
deemed an acceptance of the Premises and an acknowledgment that Landlord's Work
has been substantially completed, but Landlord shall thereafter complete the
punch list items.
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(B) If Tenant takes possession of the Premises prior to the Commencement
Date, Tenant's obligation to pay Rent hereunder and to observe and perform all
other conditions and agreements hereunder shall commence on such earlier date of
possession, but the Term of the Lease shall not be affected thereby.
(C) In the event that substantial completion of Landlord's Work is delayed
by reason of delays caused or occasioned by Tenant, then at Landlord's option
the Term of this Lease shall commence on the date that this Lease would have
commenced had not the completion of Landlord's Work been so delayed by Tenant
(or as reasonably determined by Landlord) or such occurrence shall constitute a
default on the part of Tenant hereunder entitling Landlord to exercise all
rights and remedies provided for herein in the event of Tenant's default.
(D) Landlord's Work shall be deemed to have been substantially completed
when the Premises may be lawfully occupied and the heating, ventilation, air
conditioning, mechanical and elevator systems serving the Premises are operable.
(E) Tenant shall, upon the demand of Landlord, promptly execute,
acknowledge and deliver to Landlord an instrument substantially similar to that
annexed hereto as Exhibit E, confirming the dates of commencement and expiration
of the Term of this Lease and such other matters as are set forth on Exhibit E.
Section 2.3 Ownership of Improvements.
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All installations, alterations, additions, improvements and fixtures now or
at any time hereafter attached to or located upon the Premises, made or
installed by either party, shall be the property of Landlord and shall, unless
Landlord otherwise elects by giving Tenant notice at least thirty (30) days
prior to the expiration or sooner termination of the Term, remain upon and be
surrendered with the Premises at the expiration or sooner termination of the
Term. None of the foregoing shall be deemed to include any of Tenant's
furniture and personal property which is removable without damage to the
Premises.
ARTICLE 3. RENT
Section 3.1 Payment.
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All Rent shall be paid in the lawful money of the United States which shall
be legal tender in payment of all debts and dues, public and private, at the
time of payment, at the address of Landlord set forth in this Lease or at such
other place as Landlord in writing may designate, without any set-off or
deduction whatsoever and without any prior demand
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therefor. Tenant shall pay the annual Fixed Rent in equal monthly installments
in advance on the first day of each calendar month included in the Term. Unless
another time shall be herein expressly provided, Additional Rent shall be due
and payable on demand or together with the next succeeding installment of Fixed
Rent, whichever shall first occur. For any portion of a calendar month included
at the beginning or end of the Term, Tenant shall pay 1/30th of each monthly
installment of Rent for each day of such portion, payable in advance at the
beginning of such portion.
Section 3.2 Additional Rent.
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(A) Tenant shall pay to Landlord, as Additional Rent, Tenant's Pro Rata
Share of Taxes which in any calendar year exceed the actual Taxes for the 1997
calendar year. Said amount shall be prorated if the Commencement Date does not
coincide with the beginning or the expiration date does not coincide with the
end of a calendar year.
(B) Commencing on the Commencement Date, Tenant shall pay, with each
monthly Installment of Fixed Rent, one-twelfth (1/12) of the amount reasonably
estimated by Landlord to be due as Tenant's Pro Rata Share of excess Taxes for
the following calendar year. If Taxes for the following calendar year are not
known, monthly installments shall be based on the current calendar year with
immediate adjustment as soon as said Taxes become known. If at the time any
Taxes or installments thereof are required to be paid the total amount of
Tenant's monthly payments on account of excess Taxes are insufficient to pay
Tenant's Pro Rata Share thereof, Tenant shall pay such deficiency within five
(5) days after demand therefor. If any payment on account of excess Taxes shall
be due for the calendar year in which the Commencement Date occurs, Tenant shall
pay said amount to Landlord within thirty (30) days following Landlord's demand
therefor.
(C) Should any taxing authority impose any separate additional taxes on the
value of any improvements made by Tenant, or include machinery, equipment,
fixtures, inventory or other personal property or assets of Tenant, then Tenant
shall pay the entire tax attributable to such items. Tenant shall pay any
sales, use, occupancy, value added (if the value added is not in lieu of Taxes
as described in Section 3.2D) or similar tax hereafter levied or imposed in
connection with the Fixed or Additional Rent payable by Tenant.
(D) The term Taxes shall mean (i) the total amount of Taxes payable with
respect to the Building and the Building Parcel and all improvements thereon,
including the Parking Garage, plus (ii) one-quarter (1/4) of the total amount of
Taxes payable with respect to or attributable to the Auxiliary Areas. Taxes
shall include all real estate taxes, assessments, water and sewer rents and
other governmental impositions and charges of every kind and nature whatsoever,
extraordinary as well as ordinary, foreseeable and unforeseeable, including any
and all fees or expenses incurred in connection with the
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institution, prosecution, conduct and maintenance of negotiations, settlements,
actions or proceedings with respect to the amount of any Taxes, and each and
every installment thereof which shall or may during the Term of this Lease be
levied, assessed, imposed, become due and payable or a lien upon or arise in
connection with the use, occupancy or possession of or grow due or payable out
of or for, the Building, the Parking Garage, the land constituting the Building
Parcel or any part thereof or improvements thereon, and the Auxiliary Areas or
any part thereof or improvements thereon, but excluding, however, any of the
foregoing relating to any charge which is measured by the consumption by the
actual user of the item or service for which the charge is made. A Tax ▇▇▇▇ or
copy thereof submitted by Landlord to Tenant shall be conclusive evidence of the
amount of Taxes or installments thereof.
(E) Nothing herein contained shall be construed to include as part of the
Taxes described in Section 3.2 D any inheritance, estate, succession, transfer,
gift, franchise, corporation income or profit tax or capital levy that is or may
be imposed upon Landlord provided, however, that if, at any time during the
Term, the method of taxation prevailing at the time of the execution of this
Lease shall be altered so that in lieu of or as a substitute for the whole or
any part of the Taxes now levied, assessed or imposed on real estate as such,
there shall be levied, assessed or imposed (i) a tax on the rents received from
real estate, or (ii) a license fee measured by the rents receivable by Landlord
for the Building or the Parking Garage or any portion thereof or (iii) a tax or
license fee imposed on Landlord which is otherwise measured by or based, in
whole or in part, upon the Building or the Parking Garage or any portion thereof
or (iv) any other tax or levy imposed in lieu of or as a supplement to Taxes
which are in existence as of the date of the execution of this Lease, then the
same shall be included in the determination of Tenant's Pro Rata Share of excess
Taxes, computed as if the amount of such tax or fee so payable were that due if
the Building, the Parking Garage, the Building Parcel and Auxiliary Areas were
the only property of Landlord subject thereto.
(F) In the event Landlord shall obtain a Tax refund as a result of tax
reduction proceedings, then, after the final conclusion of all appeals or other
remedies, Tenant shall, provided Tenant is not then in default, be entitled to
its Pro Rata Share of the net refund obtained, based upon any amount paid by
Tenant which is the subject of the refund. As used herein, the term "net
refund" means the refund plus interest thereon, if any, paid by the Governmental
Authority less appraisal, administrative, engineering, expert testimony,
attorney, printing and filing fees and all other costs and expenses of the
proceeding. Tenant shall not have the right to institute or participate in any
such proceedings, it being understood that the commencement, maintenance,
settlement, or conduct thereof shall be in the sale discretion of Landlord.
(G) Tenant shall pay to Landlord, as Additional Rent, Tenant's Pro Rata
Share of Operating Costs which in any calendar year exceed the actual Operating
Costs for the
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1997 calendar year. Said amount shall be pro-rated if the Commencement Date does
not coincide with the beginning or the expiration date does not coincide with
the end of a calendar year. An soon an practicable after the end of the calendar
year in which the Commencement Date occurs, Landlord shall notify Tenant as to
the amount, if any, payable by Tenant as its Pro Rata Share of excess Operating
Costs, and Tenant shall pay said amount to Landlord within thirty (301 days
thereafter. Commencing with the next calendar year and for each succeeding
calendar year (or portion thereof) during the Term of this Lease, Tenant shall
pay its Pro Rata Share of excess operating Costs, as reasonably estimated by
Landlord, in equal monthly installments along with Tenant's monthly Installments
of Fixed Rent. Estimates of operating Costs shall be revised annually by
Landlord.
(H) The term Operating Costs shall mean (i) the total cost and expense
incurred by Landlord in operating and maintaining the Building and the land
constituting the Building Parcel and all improvements thereon, specifically
excluding the Parking Garage, plus (ii) one-quarter (1/4) of the total cost and
expense incurred by Landlord in operating and maintaining the Auxiliary Areas.
Operating Costs shall include, without limitation, costs for: (i) operation,
maintenance and repair of the Building and Auxiliary Areas, including the
equipment and machinery used in conjunction therewith and the costs of
inspection and depreciation thereof; (ii) maintenance, repair and replacement of
paved areas, curbs, walkways, landscaping, drainage and other outdoor facilities
on the Building Parcel and Entry Plaza; (iii) painting and redecorating; (iv)
security services and the regulation of automobile and pedestrian traffic; (v)
insurance, including, without limitation, public liability, property damage,
sign, casualty and rent insurance; (vi) utilities, including ordinary usage of
electricity, heat, air conditioning, ventilation, domestic water and sewer
facilities in tenant areas; (vii) refuse collection and removal; (viii)
janitorial and cleaning services, including ordinary cleaning of tenant areas
and janitorial supplies and equipment; (ix) sanitary control and extermination;
(x) capital improvements made to the Building and/or Auxiliary Areas which can
reasonably be expected to reduce Operating Costs, as well as capital
improvements made in order to comply with any statutes, rules, regulations or
directives hereafter promulgated by any Governmental Authority relating to
energy, conservation, public safety or security, as amortized by Landlord over
the useful life of the improvements; (xi) personnel to implement all of the
aforementioned, including fringe benefits and workmen's compensation insurance
covering such personnel (xii) contractual management fees and other expenses
directly related to the on-site management of the Building and Auxiliary Areas;
and (xiii) other similar costs of the type incurred in the operation of
comparable properties.
(i) Not later than one hundred eighty (180) days after the end of each
calendar year, Landlord shall furnish to Tenant a statement showing in
reasonable detail the information necessary for the calculation and
determination of Landlord's actual operating Costs. If the total of all monthly
charges paid by Tenant on account of excess Operating
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Costs during such calendar year shall be less than Tenant's Pro Rata Share
thereof for such calendar year, as shown by such statement, Tenant shall pay to
Landlord the difference within thirty (30). days after receipt of such
statement.
Section 3.3 Late Payments.
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From and after the due date of any payment of Rent, interest shall accrue
thereon at the rate of the lesser of 1 1/2% per month or the maximum rate
permitted by law.
ARTICLE 4. COMMON AREAS
Section 4.l Common Areas. Landlord hereby grants to Tenant a non-
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exclusive license to use (a) the hallways, elevators, lobby and other public
conveniences of the Building, (b) such other areas in or adjoining the Building
as may from time to time be designated by Landlord for use in common by Landlord
and the tenants of the Building, and (c) the Auxiliary Areas, individually and
collectively referred to as "common areas". Except for the Auxiliary Areas and
such other areas as may be specifically designated by Landlord, Tenant shall
have no rights whatsoever with respect to the use of adjacent property now or
hereafter owned or operated by Landlord.
(A) No schedule, exhibit, plan, drawing, rendering, brochure, or the like
shall be deemed to create a warranty, representation or agreement on the part of
Landlord that the Building or common areas will be or will continue to be
exactly as indicated thereon. Landlord reserves the right to (i) increase,
reduce or change the number, type, size, location, elevation, nature and use of
any of the common areas and (ii) to make changes, additions, alterations, or
improvements in or to the Building and common areas. Except as herein provided,
Tenant shall have no rights with respect to the land or improvements below
exterior floor slab level or above the interior surface of the finished ceiling
of the Premises or air rights or any easements, in, on, about, below or above
the Premises. This Lease grants no parking rights to Tenant. Such rights, if
any, shall be created and governed by a separate written agreement.
(B) The common areas shall be subject to such reasonable rules and
regulations as Landlord may, from time to time, adopt. Landlord reserves the
right to close all or any portion of the common areas for the minimum length of
time as may, in the opinion of Landlord's counsel, be legally sufficient to
prevent a dedication thereof or the accrual of any rights of the public therein,
and to do and perform such other acts in and to the common areas as in the use
of Landlord's good business judgment will improve the use thereof.
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ARTICLE 5. UTILITIES - SERVICES
Section 5.1 Electricity. Landlord will furnish electricity to the
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Premises, subject to the restrictions and limitations herein set forth. Except
as otherwise provided herein, the furnishing of electricity shall be included in
Operating Costs.
Section 5.2 Other Utilities. Except for electricity, domestic water and
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sewer services as provided herein and included in Operating Costs, Tenant shall
be solely responsible and shall pay separately for all charges for telephone and
for any other utilities used in the Premises.
Section 5.3 Practices. The following practices shall apply in connection
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with Landlord's obligation to furnish electricity and in connection with
Tenant's use thereof:
(A) Electricity shall be made available to Tenant during Standard Building
Hours and Days.
(B) Subject to Section 5.10 and paragraph (C) of this Section 5.3, it is
understood that Tenant shall use electricity only during Standard Building Hours
and Days, only for Building standard lighting and ordinary office. equipment,
and not in excess of 5.0 ▇▇▇▇▇ per square foot of floor space.
(C) Landlord or Landlord's consultants shall have the right to inspect the
Premises in order to determine whether Tenant's use of electricity deviates from
or exceeds the conditions herein set forth. Each such inspection shall be
conducted in such a manner as to minimize interference with Tenant's operations
at the Premises. If Tenant's use of electricity deviates from or exceeds the
conditions set forth in this Lease, Tenant shall reimburse Landlord for the cost
of such inspection and Landlord shall have the right to require Tenant to pay,
from the date the condition first exists, the costs of excess electricity
consumption, as reasonably estimated by Landlord or Landlord's consultants or an
determined based on the consumption shown on an electric metering device
installed by Landlord at Tenant's expense, and/or to require Tenant to provide,
at Tenant's expense, all remedial action or equipment required to conform
Tenant's installations and operations to the conditions set forth in this Lease.
Any such charges payable by Tenant shall be deemed Additional Rent, payable to
Landlord within ten (10) days after demand.
Section 5.4 Elevator Service.
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Landlord shall furnish elevator facilities during Standard Building Hours
and Days and at other times as reasonably required to provide access to the
Premises. Landlord may designate hours of use and elevators in the Building for
use for shipping and delivery,
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and Tenant agrees to use (and to cause any Persons claiming through or under
Tenant to use) only the elevator or elevators so designated for all shipments
and deliveries.
Section 5.5 Heat. When necessary, Landlord shall furnish heat to the
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Premises during Standard Building Hours and Days.
Section 5.6 Air Conditioning. During the Term of this Lease, Landlord
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shall furnish to the Premises (i) conditioned air at reasonable temperatures and
pressures and in reasonable volumes and velocities during Standard Building
Hours and Days, when considered necessary by Landlord for the comfortable
occupancy of the Premises, and (ii) mechanical ventilation during Standard
Business Hours and Days when conditioned air or heat is not being furnished.
Landlord shall not be responsible if the normal operation of the Building
air conditioning or heating system shall fail to provide heat or conditioned air
at reasonable temperatures and pressures or in reasonable volumes or velocities
in any portions of the Premises (a) if any machinery or equipment installed by
or on behalf of Tenant or any Person claiming through or under Tenant, shall
have an electrical load in excess of the electric load per square foot of floor
space of the Premises for which the HVAC system was designed, or by reason of a
human occupancy factor in excess of one person per 100 square feet of floor
space or (b) because of any rearrangement of partitioning or other alterations
made or performed by or on behalf of Tenant or any Person claiming through or
under Tenant. Whenever the air conditioning or heating systems are in
operation, Tenant shall cause all windows in the Premises to be kept closed and
cause all window blinds in the Premises to be kept down. Tenant shall cooperate
fully with Landlord and abide by all regulations and requirements which Landlord
may reasonably prescribe for the proper functioning and protection of the
ventilation, air conditioning and heating systems.
In the event the Premises shall contain a supplemental air conditioning
unit(s) (the "AC Unit"), Tenant shall, at its sole cost and expense, be
responsible for all maintenance, repair and replacement of the AC Unit. Tenant
shall throughout the Term of this Lease, maintain with a responsible company,
approved by Landlord, a service contract for the AC Unit.
Section 5.7 Cleaning.
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Landlord shall cause the Premises, (excluding any portions thereof used for
the storage, preparation, service or consumption of food or beverages) to be
cleaned and shall cause Tenant's ordinary office waste paper refuse to be
removed, all at regular intervals, in accordance with standards and practices
adopted from time to time by Landlord for the Building. Tenant understands that
the cost of ordinary cleaning is included in Operating Costs. Tenant shall pay
as Additional Rent, within five days after Landlord's billing,
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Landlord's regularly established rates or, if there are no such rates, at
reasonable rates, for the removal of any of Tenant's refuse or rubbish other
than ordinary office waste paper refuse, and Tenant, at Tenant's expense, shall
cause all portions of the Premises used for the storage, preparation, service or
consumption of food or beverages to be cleaned daily and to be regularly
exterminated against infestation by vermin or insects.
Section 5.8 Water. Landlord shall furnish Tenant with domestic water for
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ordinary lavatory or drinking purposes and Tenant understands that the cost of
domestic water service is included in Operating Costs. If Tenant requires or
consumes water for any purpose in addition to ordinary lavatory and drinking
purposes, Tenant shall pay as Additional Rent the cost thereof as reasonably
estimated by Landlord, or Landlord may install, at Tenant's expense, hot and
cold water meters and thereby measure Tenant's consumption of water for all
purposes. Tenant shall keep any such meters and installation equipment in good
working order and repair, at Tenant's expense, and shall pay for water consumed
as shown on said meters and sewer charges thereon, as and when bills are
rendered.
Section 5.9 Directory. Tenant shall be allotted Tenant's Pro Rata Share
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of the number of directory lines on the Building directory. The Building
directory shall list only the names of Persons who occupy the Premises in
compliance with this Lease.
Section 5.10 Extra Services. If Tenant requests Landlord to furnish or
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uses any electricity, elevator services, heat, conditioned air, mechanical
ventilation, cleaning, water or other services during hours or days other than
Standard Building Hours and Days, Tenant shall pay an Additional Rent, for such
services at the standard rates then fixed by Landlord for the Building or, if no
such rates are then fixed, at reasonable rates. Landlord shall not be required
to furnish any such services during such periods unless Landlord has received
reasonable advance notice from Tenant and Landlord is able to provide same.
Section 5.11 Interruption of Services. Landlord reserves the right to
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temporarily stop any service or facility provided by Landlord when necessary by
reason of construction in other parts of the Building, accident or emergency, or
for repairs, alterations, replacements or improvements, which, in Landlord's
judgment, are desirable or necessary, or required to be made by Landlord or
Tenant pursuant to this Lease, until said repairs, alterations, replacements or
improvements shall have been completed. The exercise of such right by Landlord
shall not constitute an actual or constructive eviction, in whole or in part, or
entitle Tenant to any abatement or diminution of Rent, or relieve Tenant from
any of its obligations under this Lease. Landlord shall prosecute such work
with continuity, diligence and dispatch and shall not be liable to any extent to
Tenant if any of said services or facilities is interrupted or otherwise
impaired.
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Section 5.12 Security. Landlord reserves the right to lock all entrances
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to the Building at such times, other than Standard Building Hours, as Landlord
may deem advisable for the protection of the Building and its occupants.
Persons entering or leaving the Building at times when it is locked may be
required to sign the Building register, and the lobby attendant, if any, may
refuse to admit to the Building, while it is so locked, any person not
displaying satisfactory identification evidencing his or her right of access to
the Building. Landlord assumes no responsibility and shall not be liable for
any damages resulting from an error with respect to such identification, or from
admission to the Building of any unauthorized individual.
ARTICLE 6. LANDLORD'S ADDITIONAL COVENANTS
Section 6.1 Repairs by Landlord. Landlord shall keep the exterior,
-------------------
foundations, finish, downspouts, gutters, and roof of the Building and the
Building's plumbing, electrical, heating, ventilating, elevator and air
conditioning systems (except the components of such systems which exclusively
serve or operate within the Premises) in good order, condition and repair and
shall make necessary structural repairs to the exterior walls of the Building,
the dividing walls between the Premises and adjoining space occupied or to be
occupied by others, and the load-bearing walls and load-bearing columns, if any,
within the Premises; provided that Landlord shall not be obligated hereby to do
any work required to be done because of any damage caused by any act, misuse,
omission or negligence of Tenant and its invitees or licensees, their respective
officers, agents and employees or their visitors. Landlord shall not be
required to commence any such repair until after notice from Tenant that the
same in necessary, which notice, except in the case of an emergency, shall be in
writing and shall allow Landlord a reasonable time in which to commence such
repair.
Section 6.2 Landlord's Liability.
--------------------
(A) In the event of a sale or transfer of all or any portion of the
Building or any undivided interest therein, or in the event of the making of a
lease of all or substantially all of the Building, or in the event of a sale or
transfer of the Landlord's fee or leasehold estate, the grantor, transferor or
lessor, as the case may be, shall thereafter be entirely relieved of all terms,
covenants and obligations thereafter to be performed by Landlord under this
Lease to the extent of the interest or portion so sold, transferred or leased,
provided that (i) any amount then due and payable to Tenant or for which
Landlord or the then grantor, transferee or lessor would otherwise then be
liable to pay to Tenant (it being understood that the owner of an undivided
interest in the fee or any such lease shall be liable only for his or its
proportionate share of such amount) shall be paid to Tenant, (ii) the interest
of the grantor, transferee or lessor, as Landlord, in any funds then in the
hands of Landlord or the then grantor, transferee or lessor in which Tenant has
an interest, shall
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be turned over, subject to such interest, to the then grantee, transferee or
lessee, and (iii) notice of such sale, transfer or lease shall be delivered to
Tenant. Upon the termination of any such lease, the lessor thereunder shall
become and remain liable as Landlord hereunder only so long as there shall not
be made another such lease.
(B) Tenant agrees that it shall look solely to the estate and property of
Landlord in the Building and the land constituting the Building Parcel (subject
to prior rights, if any, of holders of superior interests) for the collection of
any judgment (or other judicial process) requiring the payment of money by
Landlord in the event of any default or breach by Landlord with respect to any
of the terms, covenants and conditions of this Lease to be observed or performed
by Landlord; and no other assets of Landlord or any Person having any interest
in Landlord shall be subject to levy, execution or other procedures for the
satisfaction of Tenant's remedies.
(C) Corporate Property Investors is the designation of the Trustees under a
Declaration of Trust dated June 24, 1971, as amended, and neither the
shareholders nor the Trustees, officers, employees or agents of the Trust
created thereby shall be liable hereunder and, subject to Section 6.2B, all
persons shall look solely to the trust estate for the payment of any claims
hereunder or for the performance hereof.
ARTICLE 7. TENANT'S ADDITIONAL COVENANTS
Section 7.1 Affirmative Covenants.
---------------------
Tenant covenants that at all times during the Term Tenant, at its sole cost
and expense, shall:
(A). Use the Premises only for the Permitted Use and for no other purpose
and in no event shall Tenant permit the use of the Premises in violation of any
Governmental Requirements;
(B) Take good care of the Premises and the fixtures therein and make all
improvements, repairs and replacements to the Premises not required to be made
by Landlord as and when needed to preserve the Premises in good working order
and condition, except that Tenant shall not be required to make any structural
repairs or structural replacements to, the Premises unless necessitated by the
acts or omissions of Tenant or any Persons claiming through or under Tenant, or
by the use or occupancy or manner of use or occupancy of the Premises by Tenant
or any such Person. All repairs and replacements made by or on behalf of Tenant
or any Person claiming through or under Tenant shall be at least equal in
quality and class to the original work or installation.
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(C) Make all repairs, alterations, additions or replacements to the
Premises, including appurtenances, equipment, facilities and fixtures therein,
arising out of Tenant's use or occupancy of the Premises necessary to satisfy
any Governmental Requirement and otherwise comply with the orders and
regulations of any Governmental Authority.
(D) Pay promptly when due the cost of any work in or to the Premises, so
that the Premises and Building shall, at all times, be free of liens for labor
and materials; procure all Necessary Approvals before undertaking such work; do
all such work in a good and workmanlike manner acceptable to Landlord, employing
materials of good quality; comply with any Governmental Requirement relating
thereto. Tenant shall not, at any time prior to or during the Term, directly or
indirectly employ, or permit the employment of, any contractor, mechanic or
laborer in the Premises if such employment will interfere or cause conflict with
other contractors, mechanics, or laborers engaged in the construction,
maintenance or operation of the Building by Landlord, Tenant or others. In the
event of any such Interference or conflict, Tenant, upon demand of Landlord,
shall cause all contractors, mechanics or laborers causing such interference or
conflict to leave the Building immediately.
(E) Indemnify and save Landlord harmless of and from all loss, cost,
liability, damage and expense, including, but not limited to, reasonable counsel
fees, penalties and fines, incurred in connection with or arising from (i) any
default by Tenant in the observance or performance of any of the terms,
covenants or conditions of this Lease on Tenant's part to be observed or
performed, or (ii) the use or occupancy or manner of use or occupancy of the
Building or Premises by Tenant or any Person claiming through or under Tenant,
or (iii) any acts, omissions or negligence of Tenant or any such Person, or the
contractors, agents, servants, employees, visitors or licensees of Tenant or any
such Person, in or about the Premises or the Building either prior to, during or
after the expiration of the Term, or (iv) any claims by any Persons by reason of
injury to persons or damage to property occasioned by any use, occupancy, act,
omission or negligence referred to herein.
(F) Maintain with responsible companies approved by Landlord (i)
comprehensive liability insurance, with contractual liability endorsement
covering the matters set forth in paragraph E above, against all claims, demands
or actions for injury to or death of person and damage to property, to the limit
of not less than $3,000,000 per occurrence and/or in the aggregate, arising
from, related to, or in any way connected with Tenant's use or occupancy of the
Premises, or caused by actions or omissions of Tenant, its agents, servants and
contractors, which insurance shall name Landlord and its agents as additional
insureds; and (ii) fire insurance, with such extended coverage, vandalism,
malicious mischief and sprinkler leakage endorsements attached as Landlord
reasonably may, from time to time, require, covering all trade fixtures and
equipment, furniture, furnishings, improvements or betterments installed or made
by Tenant in, on or about the
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Premises to the extent of at least 80% of their replacement value, without
deduction for depreciation, but in any event in an amount sufficient to prevent
Tenant from becoming a co-insurer under provisions of applicable policies.
Tenant's insurance shall be in form satisfactory to Landlord and shall provide
that it shall not be subject to cancellation, termination or change except after
at least ten (10) days, prior written notice to Landlord. All policies required
pursuant to this paragraph For duly executed certificates for the same shall be
deposited with Landlord not less than ten (10) days prior to the day Tenant is
expected to take occupancy and any renewals of said policies not less than
fifteen (15) days prior to the expiration of the term of such coverage. Landlord
and Tenant mutually agree that with respect to any loss which is covered by
insurance then being carried by them respectively, or required to be carried, or
as to any coverage which Landlord agrees need not be carried, the party
suffering a loss releases the other of and from any and all claims with respect
to such loss; and they further mutually agree that their respective insurance
companies shall have no right of subrogation against the other on account
thereof.
(G) Landlord and its agents and employees shall not be liable for, and
Tenant waives all claims for, loss or damage to person or property sustained by
Tenant resulting from any accident or occurrence (unless caused by the
negligence of Landlord, its agents, servants or employees other than accidents
or occurrences against which Tenant is insured) in or upon the Premises or the
Building, including, but not limited to, claims for damage resulting from: (i)
equipment or appurtenances becoming out of repair; (ii) injury occasioned by
wind; (iii) any defect in or failure of plumbing, heating, air conditioning or
ventilation equipment, electric wiring, gas, water, steam or other pipes,
stairs, porches, railings or walks; (iv) broken glass; (v) the backing up of any
pipe or downspout; (vi) the bursting, leaking or running of any pipe, drain or
tank in, upon or about the Building or the Premises; (vii) the escape of steam
or hot water; (viii) water, snow or ice upon or coming through the roof or
windows, walks or otherwise; (ix) the falling of any fixture, plaster, concrete,
glass, metal, tile or stucco; and (x) any act, omission or negligence of other
occupants of the Building.
(H) Permit Landlord and its agents to have access in and about the Premises
including, without limitation, the right (i) to enter the Premises to examine
the Premises and/or to perform any obligation of Landlord under this Lease or
any other lease to which Landlord is party and/or to exercise any right or
remedy reserved to Landlord in this Lease, (ii) to erect, install, use and
maintain in concealed locations columns, beams, pipes, ducts and conduits in and
through the Premises, (iii) to exhibit the Premises to others; (iv) to make such
repairs, alterations, improvements or additions, or to perform such maintenance
as Landlord may deem necessary or desirable; and (v) to take all materials into
and upon the Premises that may be required in connection with any such
decorations, repairs, alterations, improvements, additions or maintenance. All
parts (except surfaces facing the interior of the Premises) of all walls,
windows and doors bounding the Premises
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(including exterior Building walls, core corridor walls, doors and entrances),
all balconies, terraces and roofs adjacent to the Premises, all space in or
adjacent to the Premises used for shafts, stairways, chutes, pipes, conduits,
ducts, fan rooms, mechanical facilities, service closets and other Building
facilities, and the use thereof, an well as access thereto through the Premises
for the purposes of operation, maintenance, alteration and repair, are hereby
reserved to Landlord. Landlord also reserves the right at any time to change the
arrangement or location of entrances, passageways, doors, doorways, corridors,
elevators, stairs, toilets and other public parts of the Building, provided any
such change does not permanently and unreasonably obstruct Tenant's access to
the Premises. The exercise by Landlord or its agents of any right reserved to
Landlord in this paragraph shall not constitute an actual or constructive
eviction, in whole or in part, or entitle Tenant to any abatement or diminution
of Rent, or relieve Tenant from any of its obligations under this Lease.
(I) Pay on demand Landlord's expenses, including reasonable attorneys'
fees, resulting from the breach by Tenant of, or incurred in enforcing any
obligation of Tenant under this Lease, or in curing any default by Tenant
hereunder.
(J) Forthwith cause to be discharged of record, by payment, bonding or
otherwise, any mechanics lien at any time filed against the Premises or the
Building for any work, labor, services or materials claimed to have been
performed at or furnished to the Premises for or on behalf of Tenant or anyone
holding the Premises through or under Tenant. Nothing contained in this Lease
shall be construed as a consent on the part of Landlord to subject Landlord's
estate in the Premises to any lien or liability under applicable law.
(K) Upon the expiration or other termination of the Term, quit and
surrender the Premises to Landlord, broom clean, in good order and condition,
ordinary wear and tear and casualty covered by Landlord's a insurance excepted,
and at Tenant's expense, remove all property of Tenant and each alteration,
addition or improvement made by Tenant as to which Landlord shall have made the
election provided for in Section 2.3 hereof. Tenant shall repair all damages to
the Premises caused by such removal and restore the Premises to the same
condition as existed prior to the installation of the items so removed. Any
improvements or installations required to be but not so removed shall be deemed
to have been abandoned by Tenant and may be retained or disposed of, as Landlord
shall desire. However, Tenant shall be responsible for the cost of removal and
disposal and for restoration of the Premises.
(L) This Lease is and all of Tenant's rights hereunder are subject and
subordinate to any mortgages, security deeds or deeds of trust (collectively,
Mortgages) that now exist or may hereafter be placed upon the Building, the
Building Parcel or any part thereof and all advances made under any such
Mortgages and the interest thereon and
-19-
all renewals, replacements, amendments, modifications, consolidations and
extensions thereof. If any mortgagee succeeds to Landlord's interest under this
Lease by foreclosure or otherwise, Tenant will attorn to such mortgagee and will
recognize such mortgagee as Tenant's landlord under this Lease. Tenant shall
execute and deliver, in recordable form, whatever instruments may be required to
acknowledge or further effectuate the provisions of this paragraph. This Lease
shall also be subject and subordinate to any ground or underlying (including
operating) lease that may hereafter be placed on the Building Parcel or the
Building and all renewals, replacements, modifications and extensions thereof,
and Tenant shall attorn to the lessee thereunder and recognize such lessee as
Tenant's landlord under this Lease. However, termination of any such lease shall
not result in the termination of this Lease nor of Tenant's obligations
hereunder.
(M) Conform and cause its employees to conform to all reasonable rules and
regulations promulgated by Landlord for the management and use of the Building
and Auxiliary Areas. Such rules and regulations shall be uniform and shall not
discriminate against Tenant or its employees.
Section 7.2 Negative Covenants.
------------------
Tenant covenants at all times during the Term and such further time as
Tenant occupies the Premises or any part thereof:
(A) Tenant shall not use or occupy, or permit the use or occupancy of, the
Premises or any part thereof for any purpose other than for office purposes, nor
in any manner which shall adversely affect any services furnished by Landlord to
Tenant or to any other occupant of the Building. Tenant shall not injure,
overload, deface or otherwise harm the Premises or any part thereof or any
equipment or installation therein.
(B) Tenant shall not make or perform, or permit the making or performance
of, any alterations, subdivisions, installations, decorations, improvements,
additions or other physical changes in or about the Premises, including those
necessary to satisfy any Governmental Requirement (referred to collectively as
"alterations"), without Landlord's prior consent. Landlord agrees not
unreasonably to withhold its consent to any nonstructural alterations proposed
to be made by Tenant to adapt the Premises for Tenant's business purposes. All
alterations shall be made at Tenant's sole cost and expense and at such time and
in such manner as Landlord may, from time to time, designate alterations shall
be made only by contractors or mechanics approved by Landlord, such approval not
unreasonably to be withhold; all business machines and mechanical equipment
shall be placed and maintained by Tenant in settings sufficient to absorb and
prevent vibration, noise and annoyance to other occupants of the Building;
Tenant shall submit to Landlord detailed plans and specifications for each
proposed alteration and shall not commence any such alteration without first
obtaining Landlord's approval of such
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plans and specifications; all permits, approvals and certificates required by
all Governmental Authorities shall be timely obtained by Tenant and submitted to
Landlord; notwithstanding Landlord's approval of plans and specifications for
any alteration, alterations shall be made and performed in full compliance with
all Governmental Requirements; all materials and equipment to be incorporated in
the Premises as a result of all alterations shall be new and first quality, no
such materials or equipment shall be subject to any lien, encumbrance, chattel
mortgage or title retention or security agreement. In the event the cost of an
alteration exceeds the amount of three monthly installments of Fixed Rent,
Landlord shall have the right to require Tenant to obtain performance and labor
and material payment bonds from surety companies and in such forms as Landlord
shall require in amounts at least equal to the cost of the proposed work.
(C) Not to assign, sell, mortgage, pledge, or in any manner transfer this
Lease or any interest therein, or sublet the Premises or parts thereof or grant
"desk space" privileges or any concession. A transfer or change in the
ownership of Tenant's or the Guarantor's stock or a change in the composition of
any noncorporate Tenant without, in either case, a legitimate business purposes
shall, unless such stock is publicly traded, be deemed an assignment. Consent
by Landlord to an assignment, subletting, concession or license shall not be
construed to relieve Tenant from obtaining the express consent of Landlord to
any further assignment or subletting or to the granting of any concession or
license for the use of any part of the Premises, nor shall the collection of
Rent by Landlord from any assignee, subtenant or other occupant, after default
by Tenant, be deemed a waiver of this covenant or the acceptance of the
assignee, subtenant or occupant as Tenant or a release of Tenant from the
further performance by Tenant of the covenants of this Lease on Tenant's part to
be performed.
Tenant may, in writing, request Landlord's consent to an assignment of this
Lease or a subletting of all (but not less than all) of the Premises provided
however, that (i) the proposed assignee or subtenant is not then (a) an existing
tenant or an Affiliate of an existing tenant in the Building or (b) a person
with whom Landlord is then negotiating, or has entered into negotiations within
the six months prior to Tenant's request for Landlord's consent, for space in
the Building and (ii) the rental rate for any subletting is no less than the
then going market rental rate (including Fixed Rent and Additional Rent) for
space in the Building which Landlord is then offering to Lease. Such request
shall include the name of the proposed assignee or subtenant, a copy of the
proposed instruments relating to the transaction, certified financial statements
of the proposed assignee or subtenant and its officers, directors and
stockholders, and such information as to the financial responsibility, business
and standing of the proposed assignee or subtenant as Landlord may reasonably
require. Upon receipt of such request and information from Tenant, Landlord
shall have the right, to be exercised in writing within thirty (30) days after
such receipt, to terminate this Lease, as of the date set forth in Landlord's
notice of its exercise
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of such right, which date of termination shall be not less than sixty (60) nor
more than one hundred twenty (120) days following the service of Landlord's
notice.
(i) In the event Landlord shall exercise such cancellation right, Tenant
shall surrender possession of the Premises on the date set forth in such notice
in accordance with the provisions of this Lease relating to surrender of the
Premises at the expiration of the Term. In no event shall the Premises be
subdivided or partially sublet nor any request made for permission to do so.
(ii) In the event that Landlord shall not exercise its right to cancel this
Lease as above provided, Landlord's consent to such request shall not be
unreasonably withheld, provided such sublease or assignment is effected by a
legal document in form and substance satisfactory to Landlord, and subparagraph
(iii) of this paragraph shall apply with respect to possible adjustment of
rentals. In no event shall any assignment or subletting to which Landlord may
have consented relieve Tenant from its obligations to perform all of the term,
covenants and conditions of this Lease on its part to be performed.
(iii) If under an assignment or sublease consented to by Landlord the
rent, additional rent, other charges, and/or other consideration, money or thing
of value payable thereunder or payable in connection with the transaction exceed
the Rent provided in this Lease, Tenant or, at Landlord's option, the sublessee
or assignee shall pay said excess rent or other consideration to Landlord as
Additional Rent hereunder as and when the same becomes due under said assignment
or sublease.
(iv) If Tenant is a corporation, Tenant shall have the right, without the
consent of Landlord, to assign its interest in this Lease to a parent or wholly
owned subsidiary of Tenant or any corporation which is a successor to Tenant
either by merger or consolidation, or in connection with a public offering of
Tenant's stock, provided that the successor shall have a tangible net worth,
determined in accordance with accepted accounting standards, at least equal to
the tangible net worth of Tenant at the time of the transaction. However, no
such assignment shall be valid unless within ten (10) days prior to the
effective date thereof Tenant shall deliver to Landlord (a) a duplicate original
instrument of assignment, in form and substance satisfactory to Landlord, duly
executed by Tenant, (b) an instrument in form and substance satisfactory to
Landlord, duly executed by the assignee, in which such assignee shall assume
observance and performance of and agree to be personally bound by, all of the
terms, covenants and conditions of this Lease on Tenant's part to be observed
and performed and (c) evidence of compliance with the conditions of this
paragraph.
(D) Tenant shall have no right to affix any sign to the Premises or its
windows, or to any part of the common area or the Building unless and until the
sign has been
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approved by Landlord. Landlord shall have the right, at Tenant's expense, to
remove any sign affixed by Tenant prior to such approval.
(E) Not to obstruct or encumber or use the common areas for any purpose
other than ingress and egress to and from the Premises. Tenant shall not commit
or allow to be committed any waste upon the Premises, or any public or private
nuisance or other act or thing which disturbs the quiet enjoyment of any other
tenant in the Building.
ARTICLE 8. DESTRUCTION: CONDEMNATION
Section 8.1 Fire or Other Casualty.
----------------------
(A) Tenant shall give prompt notice to Landlord in case of fire or other
damage to the Premises or the Building.
(B) If the Premises or the Building shall be damaged by fire or other
casualty, Landlord, at Landlord's expense, but only to the extent of the net
insurance proceeds available for such purpose, shall repair such damage.
However, Landlord shall have no obligation to repair any damage to, or to
replace, Tenant's leasehold improvements or betterments, furniture, furnishings,
decorations or any other installations made by Tenant. if the Premises shall be
rendered untenantable by reason of any such damage, the Fixed Rent only shall
▇▇▇▇▇ for the period from the date of such damage to the date when such damage
shall have been repaired by Landlord, and if only a part of the Premises shall
be so rendered untenantable, the Fixed Rent for such period shall ▇▇▇▇▇ in the
proportion which the part of the Premises rendered untenantable bears to the
total Premises. However, if, prior to the date when all of such damage shall
have been repaired by Landlord, any part of the Premises so damaged shall be
rendered tenantable and shall be used or occupied by Tenant or Persons claiming
through or under Tenant, then the amount by which the Fixed Rent shall ▇▇▇▇▇
shall be equitably apportioned for the period from the date of any such use or
occupancy to the date when Landlord shall have repaired all such damage.
Notwithstanding the foregoing provisions of this paragraph, if prior to or
during the Term, (i) the Premises shall be rendered wholly untenantable by fire
or other casualty and Landlord shall decide not to restore the Premises, or (ii)
the Building shall be so damaged by fire or other casualty that, in Landlord's
opinion, substantial alteration, demolition, or reconstruction of the Building
shall be required (whether or not the Premises shall have been rendered
untenantable), then, in either of such events, Landlord, at Landlord's option,
may give to Tenant, within ninety (90) days after such fire or other casualty, a
five (5) day notice of termination and, if such notice is given, this Lease and
the Term hereof shall come to an end (whether or not said Term shall have
commenced) upon the expiration of said five (5) days with the same effect as if
the date of expiration of said five (5) days were the expiration date of this
Lease. In such event, the Rent shall be apportioned as of such
-23-
date and any prepaid portion of Rent for any period after such date shall be
refunded to Tenant.
(C) If this Lease shall not be terminated as above provided, Landlord
shall, at its expense, repair or restore the Premises with reasonable diligence
and dispatch to the condition obtaining immediately prior to the casualty,
except that Landlord shall not be required to repair or restore any of Tenant's
furniture, furnishings, decorations or any installations or alterations, as
defined in paragraph 7.2B, made by Tenant. All insurance proceeds payable to
Tenant for such items shall be held in trust by Tenant and upon the completion
by Landlord of repair or restoration, Tenant shall prepare the Premises for
occupancy by Tenant in the manner obtaining immediately prior to the damage or
destruction, in accordance with the provisions of paragraph 7.2B.
Section 8.2 Eminent Domain.
--------------
(A) If all or substantially all of the Building or the Premises shall be
acquired or condemned by eminent domain for any public or quasi-public use or
purpose, then this Lease and all rights of Tenant shall terminate as of the date
of title vesting in such proceeding.
(B) If part of the Building shall be acquired or condemned by eminent
domain for any public or quasi-public use or purpose, and such acquisition shall
affect a portion of the Premises or the access to same, then Landlord shall have
the option (i) to terminate this Lease as of the date of title vesting or (ii)
to repair and alter the Building, including the area leased to Tenant, and this
Lease shall not be affected thereby, except for proportional reduction of the
Fixed Rent if the leased area shall be diminished by such vesting.
(C) In case of any taking or condemnation, whether or not the Term of this
Lease shall terminate, the entire award shall be the property of Landlord, and
Tenant hereby assigns to Landlord all its right, title and interest in and to
any such award. However, Tenant shall be entitled to claim, prove and receive
in the condemnation proceeding such awards as may be allowed for fixtures and
other equipment installed by Tenant, relocation and loss of Lease, but only if
such awards shall be made by the condemnation court in addition to the award
made by it for the land and the Building or part thereof so taken.
(D) In the case of any taking or condemnation, the current Fixed Rent and
Additional Rent shall be apportioned as of the date of vesting of title and, if
the Term of this Lease shall not have been terminated as of said date, Tenant
shall be entitled to a pro rata reduction in the Fixed Rent payable hereunder
based on the proportion which the
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floor area so taken bears to the entire floor area of the Premises immediately
prior to such taking.
(E) If this Lease is not terminated pursuant to the provisions of this
Section 8.2, Landlord shall, at its expense, but only to the extent of an
equitable proportion of the net award or other compensation (after deducting
legal and all other fees in connection with obtaining said award) for the
portion of the Building taken or conveyed (excluding any award for land), make
such repairs of alterations as are in Landlord's reasonable judgment necessary
to constitute the Building a complete architectural and tenantable unit.
ARTICLE 9. DEFAULTS AND REMEDIES
Section 9.1 Default. The occurrence, at any time prior to or during the
-------
Term, of any one of the following events shall constitute an "Event of Default":
(A) If Tenant shall default in the payment when due of any installment of
Fixed Rent or in the payment when due of any Additional Rent, and such default
shall continue for a period of ten (10) days after notice by Landlord to Tenant
of such default; or
(B) If Tenant shall default in the observance or performance of any other
term, covenant or condition of this Lease on Tenant's part to be observed or
performed and Tenant shall fail to remedy such default within twenty (20) days
after notice by Landlord to Tenant of such default; or if such default is not
capable of being cured within said twenty (20) day period, then if Tenant shall
fail to commence the cure within said period or shall not thereafter diligently
prosecute to completion all steps necessary to remedy such default; or if the
Premises shall become vacant, deserted or abandoned; or if Tenant shall assign
or sublet the Premises in violation of Section 7.2C.
Upon the occurrence of any one or more such Events of Default, Landlord
may, at any time thereafter, give Tenant a five (5) day notice of termination of
this Lease and, in the event such notice is given, this Lease and the Term shall
come to an end (whether or not the Term shall have commenced) upon the
expiration of said five (5) days with the same effect as if the date of
expiration of said five (5) days were the expiration date of this Lease, but
Tenant shall remain liable for damages as herein provided.
Section 9.2 Remedies of Landlord.
--------------------
(A) If this Lease shall have been terminated, or if Tenant shall default in
the payment of Rent or in the observance of any other term, condition or
covenant and such default is continuing, then, in any of such events, Landlord
may without notice, institute, in accordance with the laws and service of
process requirements of the State of Georgia,
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dispossess or unlawful detainer proceedings, dispossess Tenant or other
occupants of the Premises, and remove their effects and hold the Premises as if
this Lease had not been made. Nothing herein shall be deemed to require Landlord
to give the notices herein provided for prior to the commencement of a
dispossess or unlawful detainer proceeding for non-payment of Rent or a plenary
action for the recovery of Rent on account of any default in the payment of
Rent, it being intended that such notices are for the sole purpose of creating a
conditional limitation hereunder pursuant to which this Lease shall terminate
and Tenant shall become a holdover Tenant.
(B) In case of any such default, re-entry, expiration and/or dispossess or
unlawful detainer proceedings or otherwise, in addition to any other remedy now
or hereafter available to Landlord, (i) the Rent shall become due thereupon and
be paid up to the time of such re-entry, dispossess and/or expiration; (ii)
Landlord may relet the Premises or any part thereof for a term which may be
less. than or exceed the period which would otherwise have constituted the
balance of the Term, and may grant concessions of free rent; and (iii) Tenant or
the legal representative of Tenant shall also pay Landlord, as damages for the
failure of Tenant to observe and perform Tenant's covenants herein contained,
for each month of the period which would otherwise have constituted the balance
of the Term, any deficiency between (x) the sum of (a) one monthly installment
of Fixed Rent and (b) any Additional Rent that would have been payable for the
month in question but for such re-entry or termination and (y) the net amount,
if any, of the rents collected on account of the lease or leases of the Premises
for each month of the period which would otherwise have constituted the balance
of the Term. The reasonable refusal or failure of Landlord to relet the
Premises or any part thereof shall not release or affect Tenant's liability for
damages provided Landlord shall have made the same effort and on the same terms
to relet the Premises as with respect to other vacant space in the Building;
however, Landlord shall not be required to prefer the reletting of the Premises
over any other space in the Building. in computing such damages there shall be
added to the said deficiency all expenses actually incurred by Landlord in
connection with the reletting, including court costs, attorneys' fees and
disbursements, the cost of alterations for a now tenant, brokerage fees, and the
cost of putting the Premises in good order and otherwise preparing same for
reletting. Damages shall be paid in monthly installments by Tenant on the rent
day specified in this Lease and any suit brought to collect the amount of the
deficiency for any month shall not prejudice the rights of Landlord to collect
the deficiency for any subsequent or prior month by a similar proceeding.
Landlord, at Landlord's option, may make such alterations, repairs, replacements
and/or decorations in the Premises as Landlord considers advisable for the
purpose of reletting the Premises; and the making of such alterations and/or
decorations shall not release Tenant from liability hereunder as aforesaid.
(C) In the event of a breach or threatened breach by Tenant of any of the
covenants or provisions hereof, Landlord shall have the right of injunction and
the right to
-26-
invoke any remedy allowed at law or in equity an if re-entry, summary
proceedings and other remedies were not herein provided for. Mention in this
Lease of any particular remedy shall not preclude Landlord from any other
remedy.
Section 9.3 Landlord's Right to Cure Defaults.
---------------------------------
Landlord may cure, after notice of default is served, any default by Tenant
under this Lease; and whenever Landlord so elects, all costs and expenses
incurred by Landlord in curing a default, including, without limitation,
reasonable attorneys' fees, together with interest on the amount of costs and
expenses so incurred at the rate provided in Section 3.3 hereof, shall be paid
by Tenant to Landlord on demand as Additional Rent.
Section 9.4 Waiver of Default. No consent or waiver, express or implied,
-----------------
by Landlord or Tenant to or of any breach of any covenant, condition or duty of
the other shall be construed as a consent or waiver to or of any other breach of
the same or any other covenant, condition or duty of the other, unless in
writing signed by the party against whom such waiver is sought.
Section 9.5 Security Deposit. Tenant has deposited with Landlord the
----------------
Security Deposit as security for the punctual performance by Tenant of each and
every obligation of Tenant under this Lease. In the event of any default by
Tenant, Landlord may apply or retain all or any part of the security to cure the
default or to reimburse Landlord for any sum which Landlord may spend by reason
of the default. In the case of every such application or retention, Tenant
shall, on demand, pay to Landlord the sum so applied or retained, which sum
shall be added to the Security Deposit so that the same shall be restored to its
original amount. If at the end of the Term Tenant shall not be in default under
this Lease, the Security Deposit, or any balance thereof, shall be returned, to
Tenant within thirty (30) days. If Landlord shall sell the Building or shall
lease the Building, in either case subject to this Lease, or shall otherwise
assign or dispose of this Lease, Landlord may assign and turn over the Security
Deposit or any balance thereof to Landlord's grantee, lessee or assignee, and
Tenant hereby releases and relieves Landlord from any and all liability for the
return of said deposit and shall look solely to said grantee, lessee or
assignee; it being expressly agreed that this provision shall apply to each and
every sale, conveyance or lease of the Building or assignment or disposition of
this Lease.
ARTICLE 10. MISCELLANEOUS PROVISIONS
Section 10.1 Notices. Any notice or demand from Landlord to Tenant or
-------
from Tenant to Landlord shall be in writing and shall be deemed duly served if
mailed by registered or certified mail, return receipt requested, addressed, if
to Tenant, at the Building, or to such other address as Tenant shall have last
designated by notice in writing to Landlord, and if to Landlord, at the address
of Landlord set forth herein or such other
-27-
address as Landlord shall have last designated by notice in writing to Tenant.
Notice shall be deemed served when mailed.
Section 10.2 Brokerage. Tenant and Landlord warrant that they have had no
---------
dealings with any broker or agent in connection with this Lease other than the
Broker, if any, named herein, and each covenants to pay, hold harmless and
indemnify the other from and against any and all cost, expense or liability for
any compensation, commissions and/or charges claimed by any other broker or
agent with whom they hid dealings with respect to this Lease or the negotiation
thereof.
Section 10.3 Estoppel Certificates. Each of the parties agrees that it
---------------------
will, at any time and from time to time, within ten (10) business days following
written notice by the other party, execute, acknowledge and deliver to the other
party a statement in writing certifying that this Lease is unmodified and in
full force and effect (or if there have been modifications, that the same is in
full force and effect as modified and stating the modifications), and the dates
to which Rent and any other payments due hereunder from Tenant have been paid
and stating whether or not to the best of knowledge of the signer of such
certificate the other party is in default in performance of any covenant,
agreement or condition contained in this Lease, and, if so, specifying each such
default of which the signer may have knowledge.
Section 10.4 Applicable Law and Construction. The laws of the State of
-------------------------------
Georgia shall govern the validity, performance and enforcement of this Lease.
The invalidity or unenforceability of any provision of this Lease shall not
affect or impair any other provision. The submission of this document to Tenant
for examination does not constitute an offer to lease, or a reservation of or
option to lease, and becomes effective only upon execution and delivery thereof
by Landlord and Tenant. All negotiations, considerations, representations and
understandings between the parties are incorporated in this Lease. Landlord or
Landlord's agents have made no representations or promises with respect to the
Building or the Premises, except as herein expressly set forth. The headings of
the several articles and sections contained herein are for convenience only and
do not define, limit or construe the contents of such articles or sections.
Whenever herein the singular number is used, the same shall include the plural,
and the neuter gender shall include the masculine and feminine genders.
Section 10.5 Transfer of Tenants. Landlord hereby reserves the right, at
-------------------
its sole option and upon giving at least sixty (60) calendar days advance
written notice to Tenant, to transfer and remove Tenant from the Premises (and
from any other space to which Tenant was relocated pursuant to this Section
10.5) at any time prior or after occupancy of the Premises to any other
available space in the Building of substantially equal area. Landlord hereby
agrees to bear the expense of such transfer and removal, as well as the expense
of any renovations or alteration which are necessary to make the new space
-28-
conform substantially in layout and appointment with the Premises. If Landlord
moves Tenant to such new space, every term and condition of this Lease shall
remain in full force and effect, except that the Fixed Rent and Tenant's Pro
Rata Share shall be adjusted to reflect any change in the rentable floor area of
the new space, and such now space shall thereafter be deemed to be the Premises
as though Tenant had entered into an express written amendment of this Lease
with respect thereto. Failure of Tenant to cooperate with Landlord pursuant to
this provision and to remove itself from the Premises shall permit Landlord (i)
to enter the Premises and to remove Tenant and its property therefrom, by force
if necessary, and to relocate Tenant and its property in the new space provided
by Landlord pursuant to this provision, all without being liable to Tenant in
any manner whatsoever for such acts except for the expenses which are provided
in this Section 10.5 to be paid by Landlord or (ii) to cancel and terminate this
Lease effective ninety (90) days from the date of original notification by
Landlord.
Section 10.6 Construction on Adjacent Premises or Buildings. Tenant
----------------------------------------------
understands that while the Building is under construction and until it is fully
occupied, both Landlord and other occupants of the Building will be performing
work, aspects of which may involve areas in close proximity to the Premises. If
any excavation or other building operation shall be about to be made or shall be
made on any premises adjoining or above or below the Premises or on any other
portion of the Building, Tenant shall permit Landlord or the adjoining owner,
and their respective agents, employees, licensees and contractors, to enter the
Premises and to shore the foundations and/or walls thereof, and to erect
scaffolding and/or protective barricades around and about the Premises (but not
so as to preclude, entry thereto) and to do any act or thing necessary for the
safety or preservation of the Premises. Tenant's obligations under this Lease
shall not be affected by any such construction or excavation work, shoring-up,
scaffolding or barricading. Landlord shall not be liable in any such case for
any inconvenience, disturbance, loss of business or any other annoyance arising
from any such construction, excavation, shoring-up, scaffolding or barricades,
but Landlord shall use its best efforts so that such work will cause as little
inconvenience, annoyance and disturbance to Tenant as possible, consistent with
accepted construction practices in the vicinity, and so that such work shall be
expeditiously completed.
Section 10.7 Mortgagee Protection. Tenant agrees to give any mortgagee
--------------------
and/or trust deed holder, by registered mail, a copy of any notice served upon
Landlord with respect to Landlord's default hereunder, provided that prior to
such notice Tenant has been notified, in writing, of the address of such
mortgagees and/or trust deed holders. If Landlord shall have failed to cure
such default within the time provided for in this Lease, then the mortgagees
and/or trust deed holders shall have an additional thirty (30) days within which
to cure such default or if such default cannot be cured within such period, then
such additional time as may be necessary if within such thirty (30) days, any
mortgagee and/or trust deed holder has commenced and is diligently pursuing the
-29-
remedies necessary to cure such default (including, but not limited to,
commencement of foreclosure proceedings, if necessary to effect such cure), in
which event this Lease shall not be terminated by Tenant while remedies are
being so diligently pursued.
Section 10.8 Financing. If any lending institution with which Landlord
---------
has negotiated interim or long-term financing for the Building shall require
changes in this Lease as a condition of its approval of this Lease for such
financing, and if within thirty (30) days after notice from Landlord Tenant
fails or refuses to execute the amendment to this Lease accomplishing the
changes which are needed in connection with approval of this Lease for purposes
of such financing, then provided such amendment does not alter the business
terms herein set forth, detract from Tenant's rights hereunder, or impose
additional obligations upon Tenant, Landlord shall have the right to cancel this
Lease at any time prior to the commencement of Landlord's Additional Work. In
the event of cancellation by Landlord hereunder, this Lease shall be null and
void with no further liability on the part of either party hereto.
Section 10.9 Recording. Tenant agrees not to record this Lease.
---------
Section 10.10 Binding Effect of Lease. The covenants, agreements and
-----------------------
obligations herein contained shall extend to, bind and inure to the benefit of
the parties hereto and their respective personal representatives, heirs,
successors and permitted assigns. Each covenant, agreement, obligation or other
provision herein contained shall be deemed and construed as a separate and
independent covenant, not dependent on any other provision of this Lease unless
otherwise expressly provided.
Section 10.11 Effect of Unavoidable Delays. The provisions of this
----------------------------
Section shall be applicable if there shall occur, during the Term or prior to
the commencement thereof, any (i) strikes(s), lockout(s) or labor dispute(e);
(ii) inability to obtain labor, materials, or reasonable substitutes therefore;
or (iii) acts of God, governmental restrictions, regulations or controls, enemy
or hostile governmental action, civil commotion, fire or other casualty, or
other conditions similar or dissimilar to those enumerated in this item (iii)
beyond the reasonable control of the party obligated to perform. If Landlord or
Tenant shall, as the result of any of the above-described events, fail
punctually to perform any obligation on its part to be performed under this
Lease, then such failure shall be excused and not be a breach of this Lease by
the party in question, but only to the extent occasioned by such event.
Notwithstanding anything herein contained, however, the provisions of this
Section shall not be applicable to Tenant's obligations to pay Rent or its
obligations to pay any other moneys, costs, charges or expenses required to be
paid by Tenant hereunder.
Section 10.12 No Oral Changes. Neither this Lease nor any provision
---------------
hereof may be changed, waived, discharged or terminated orally, but only by an
instrument in writing
-30-
signed by the party against whom enforcement of the change, waiver, discharge or
termination is sought.
Section 10.13 Landlord's Consent. Whenever in this Lease express
------------------
provision is made that Landlord shall not unreasonably withhold or delay its
consent, Tenant's sole and only remedy for Landlord's breach of such agreement
shall be limited to an action for injunction or declaratory judgment and in no
event shall Landlord be liable for any damages to Tenant.
Section 10.14 Invalid Provisions. If any provision of this Lease is held
------------------
unlawful or invalid, then this Lease shall continue in full force and effect but
such unlawful or invalid provision shall be deemed omitted. If any portion of
Fixed or Additional Rent shall at any time be held to be higher than the amount
which Landlord may lawfully reserve, then the amount thereof shall be reduced to
the highest lawful amount.
Section 10.15 Usufruct Only. This Lease shall create the relationship of
-------------
landlord and tenant between Landlord and Tenant; no estate shall pass out of
Landlord, and Tenant has a usufruct which is not subject to levy and sale.
IN WITNESS WHEREOF, Landlord and Tenant have hereunto executed this Lease
as of the day and year first above written.
CORPORATE PROPERTY INVESTORS
By: /s/ J. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇
----------------------
Senior Vice President
PREMIERE COMMUNICATIONS, INC.
By /s/ ▇▇▇▇▇▇▇▇ ▇. Vaio
----------------------
ATTEST:
By: /s/ ▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇
----------------------
Secretary
[SEAL]
-▇▇-
▇▇▇▇▇ ▇▇ ▇▇▇ ▇▇▇▇ )
) ss:
COUNTY OF NEW YORK )
On this ____ day of _________, 19__, before me personally came J. ▇▇▇▇▇▇▇
▇▇▇▇▇▇▇, to me known, who being by me duly sworn, did depose and say that he
resides at ▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇ that he is the Senior Vice
President of CORPORATE PROPERTY INVESTORS, one of the Parties described in and
which executed the foregoing instrument; that he knows the seal of the said
Corporate Property Investors that the seal affixed to the said instrument in
such seal; that it was so affixed by order of the Board of Trustees of the said
Corporate Property Investors and that he signed his name thereto by like order.
-----------------------------------------
Notary Public
STATE OF GEORGIA )
) ss:
COUNTY OF ▇▇▇▇▇▇ )
On this 3rd day of March, 1998, before me personally came ▇▇▇▇▇▇▇▇ ▇. VAIO,
to me known, who being by me duly sworn, did depose and say that she resides at
▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇., ▇.▇., ▇▇▇▇▇ ▇▇▇, ▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇ that she is the Treasurer
of PREMIERE COMMUNICATIONS, INC., the Corporation described in and which
executed the foregoing instrument; that he knows the seal of the said
Corporation that the seal affixed to the said instrument in such Corporate seal;
that it was so affixed by order of the Board of Trustees of the said Corporation
and that he signed her name thereto by like order.
/s/
--------------------------------------
Notary Public
Notary Public, ▇▇▇▇▇▇ County, Georgia
My Commission Expires May 18, 1999
-32-
RIDERS TO LEASE between CORPORATE PROPERTY INVESTORS, as Landlord, and PREMIERE
COMMUNICATION as Tenant for Suite No. 300 and 400 at The Lenox Building,
Atlanta, Georgia.
-------------------------------------------------------------------------------
Notwithstanding the foregoing, anything to the contrary contained in the
printed form of the lease to which these Riders are attached, the following
terms are hereby added and incorporated. In the event of a conflict or
inconsistencies between these Riders and the printed form of this Lease, the
Riders shall be deemed to control.
Rider #1 - amending Article I, Definitions
--------
(A) The Premises Section is hereby amended by inserting the following
language at the end of the section:
In addition to the Leased Premises, the Tenant shall also have the
following non-exclusive rights as appurtenances to the Leased Premises:
(a) The right of reasonable access to and from the Building and Premises,
and to and from any parking facilities located on the Property, twenty-four (24)
hours per day, seven (7) days per week, and parking privileges as may be agreed
from time to time;
(b) The right of reasonable access to and from, and the right to use,
designated common areas in the Building and the Property as is reasonably
afforded to all tenants of the Building;
(c) The right to riser space for HVAC and other equipment which service the
Premises; and
(d) The right to do, possess, exercise and enjoy, as to the Premises, any
and all rights and privileges appertaining to a leasehold tenancy under existing
and future laws applicable thereto, to the extent not inconsistent with any
reserved rights and privileges of Landlord pursuant to this Lease; and
(e) The right to control access and use of the halls and restrooms on all
floors in which Tenant is the only tenant served on that elevator bank on that
floor;
(f) Tenant may use the existing stairway between Tenant's floors for travel
between floors. Tenant's use of the stairway shall be conditioned upon the
following:
-33-
(1) Tenant's use shall not interfere with the emergency operations of
the door locking, unlocking, or monitoring system; and
(2) No smoking will be allowed in the stairway.
(B) The Size of the Premises Section is hereby amended by inserting the
following language at the end of the section:
The Parties agree that the Leased Premises are measured in accordance
with the standards of the Building Owners and Managers Association
International ("BOMA") as follows:
For the purposes of this Lease, the Leased Premises shall be deemed to
comprise 35,553 square feet of usable area and 40,886 square feet of
rentable area, and the Building shall be deemed to comprise 348,152 square
feet of rentable area, subject to adjustment as provided herein. Whenever
any space is added to or deleted from the Leased Premises pursuant to any
provision of this Lease, the usable and rentable areas of such space shall
be agreed upon by Landlord and Tenant, or failing such agreement, shall be
determined in accordance with the American National Standard Method of
Measuring Floor Area in Office Buildings of BOMA.
(C) The Tenant's Pro Rata Share Section is hereby amended by inserting the
following language at the beginning of the section in front of the phrase "11.74
percent":
Tenant's Pro Rata Share is a percentage which is calculated by dividing a
numerator, consisting of the total rentable area of the Premises by a
denominator consisting of the total rentable area contained in the
Building, which percentage, subject to adjustment as provided herein, is
estimated to be
(D) The "Additional Rent" provision is hereby amended by deleting the
phrase "7 and 9" and by inserting the word "and" between the numbers "3" and
"5".
(E) The "Exhibit C" provision is hereby amended by deleting the word "None"
and by inserting the phrase "Lenox Building Rules and Regulations" in its place.
(F) Following Exhibit G - Building Rules and Regulations, the following
reference to Exhibits H and I is hereby inserted:
Exhibit H Subordination, Non-disturbance and Attornment Agreement
Exhibit I Certified Floor Plan Verifying Premises Rentable and Useable
Space
-34-
Rider #2 - amending Recital
--------
Tenant is currently in possession of the Premises under a sublease with
Sales Technologies, which expires on August 31, 1997 (the "Sublease").
Rider #3 - amending Article 2
--------
(A) Section 2.1 and 2.2 are hereby deleted in their entirety.
(B) Tenant is currently in possession of the Premises pursuant to the
Sublease. Tenant is familiar with the Premises and accepts same "as is" and
"where is" condition, and Landlord shall not be obligated to do any further
construction or make any additional improvements in the Premises, except as may
otherwise be expressly provided herein.
(C) So long as Tenant leases the entire floor of the Building, it may,
subject to Landlord approval of plans, incorporate the Common Area corridors
located on such floor into its Premises.
(D) Landlord has budgeted to refurbish the elevator lobbies and restrooms
in the Building during the 1997-1998 Calendar Years. Landlord agrees to
refurbish the restrooms and elevator lobbies of the third (3rd) and fourth (4th)
floors between September 1, 1997 and March 31, 1998, which work shall be
consistent with the materials and design of the elevator lobbies and restrooms
located on the other floors in the Building.
Rider #4 Signage and Exterior Signage
--------
(A) Tenant shall have the right to erect signage in the elevator lobbies
located on the third (3rd) and (4th) floor, provided, however, Tenant obtains
Landlord's prior written approval for the signs, which approval shall not be
unreasonably withheld or delayed.
(B) Landlord has erected a monument in the Entry Plaza adjacent to the
Building, which monument bears the logos or other identification signs of
tenants of the Building which, from time to time occupy rentable floor space in
the Building. Landlord hereby grants Tenant the right, at its sole cost and
expense, to have its name on said monument, so long as the Tenant named on the
recital page personally occupies not less than two (2) full floors in the
Building. In the event Tenant subleases or assigns any portion of the Premises,
such that it occupies less than two (2) full floors of the Building, Landlord
may remove Tenant's name from the monument.
-35-
Rider #5 - Adding - Furniture
--------
(A) Landlord purchased certain trade fixtures including but not limited
to, moveable work stations, furniture and the like which were designed for use
by Sales Technologies, Inc. in the Sublease space and which are currently being
utilized by Tenant under the Sublease. At the expiration of such Sublease,
Landlord agrees that Tenant, subject to Sales Technologies right to purchase
same if said right is not exercised,. Tenant may utilize such trade fixtures
throughout the Term of this Lease. Tenant is familiar with the aforedescribed
trade fixtures, and accepts same in "as is" condition.
(B) The aforedescribed trade fixtures shall be the property of Landlord;
however, Tenant shall have the right, at Tenant's option, at the expiration or
sooner termination of the Term, to purchase the trade fixtures from Landlord for
an amount equal to the then existing fair market value, as mutually agreed upon
by Landlord and Tenant; failing which, fair market value shall be determined by
an appraiser designated by Tenant and reasonably acceptable to Landlord, the
cost of such appraiser to be borne by Tenant. During the term, the ongoing
maintenance and repair of the trade fixtures shall be Tenant's responsibility.
Rider #6 - amending Section 2.3
--------
(A) Section 2.3, Line 1, after "additions" add "and" delete the words "and
fixtures".
(B) Section 2.3, Line 2, delete "or located upon".
(C) Section 2.3, Line 7, after "furniture" add "trade fixtures" and "floor
mounted, free standing (Liebert type units) supplemental air units".
(D) Section 2.3, Line 8, add a period after "property" and delete the
remainder of the sentence and substitute the following in lieu thereof. Tenant
shall repair any and all damage to the Premises, caused by Tenant in removing
the aforementioned property, which may include sheet rocking, holes and walls
which were damaged as a result of removal of the supplemental air units and the
like. However, Tenant shall not remove the HVAC air handlers or supplemental
air units located above the ceiling.
Rider #7 - amending Section 3.1
--------
Section 3.1, Line 8, delete "on demand" and substitute "from and after five
(5) days of demand".
Rider #8 - amending Section 3.2(A)
--------
-36-
(A) Notwithstanding anything to the contrary contained in this Section 3.2
A, Tenant's Pro Rata Share of Taxes shall not include an increase in Taxes which
is as a result of improvements made to the Building by any other tenant therein.
(B) In the event of an expansion of the Building, Tenant's Pro Rata share
shall be ratable adjusted by any increase in the rentable square feet of the
Building as a result of said expansion.
Rider #9 - amending section 3.2(B), (C), (E)
--------
(A) Section 3.2(B),Line 9, delete "five (5)" and substitute "thirty (30) ".
(B) Section 3.2(C), Line 4, insert the following language in front of the
word "Tenant": "Upon receipt of notice that Taxes will change,"
(C) Section 3.2(E), Line 16, delete the remainder of the section following
the word "Taxes" and insert a period.
Rider #10 - amending Section 3.2 H
----------
(A) Notwithstanding anything to the contrary set forth in Section 3.2 (H),
Operating Costs shall not include any of the following:
(1) Ground rents payable by Landlord;
(2) Payments of principal, amortization payments and interest charges
in connection with Landlord's mortgage financing or any other
borrowings;
(3) Brokerage commissions and leasing fees;
(4) The costs of decorations installed in the public areas of the
Building, but only to the extent such costs materially exceed the
sums expended for decorating the public areas of other class "A"
Office Buildings in the Buckhead Area of Atlanta, Georgia.
(5) The cost of correcting defects in the construction of the
Building, Parking Garage and Auxiliary Area;
(6) To the extent that Landlord receives insurance proceeds or
condemnation awards with respect thereto (or would have received
-37-
same but for Landlord's default under an insurance policy or
failure to diligently prosecute a condemnation claim), the cost
of repairs made by Landlord as a result of damage, destruction
orcondemnation, reimbursed or compensated;
(7) The cost of any items for which Landlord is reimbursed by
insurance or otherwise reimbursed or compensated (or would have
been reimbursed or compensated but for Landlord's default under
its insurance policy or failure to take reasonable action);
(8) Except for capital expenditures expressly set .forth in the
printed portion of Section 3.2 (H), the cost of any alteration,
addition, replacement or other item which, under generally
accepted accounting principles, is properly classified as a
capital expenditure;
(9) Advertising and promotion expenditures in connection with the
Building;.
(10) To the extent that any employee of the Building performs services
for any other building owned by Landlord or an Affiliate of
Landlord, the portion of such employee's compensation which is
reasonably allocable to services with respect to such other
building;
(11) The cost of preparing space in the Building for occupancy by
tenants;
(12) Professional fees incurred by Landlord in the preparation of
leases;
(13) The cost of statements and reports rendered to other tenants of
the Building or shareholders of Landlord;
(14) Depreciation: Depreciation of the Building;
(15) The cost of Landlord's litigation with other tenants of the
Building, including damages .payable by Landlord in connection
therewith;
(16) Any cost representing an amount paid to any entity related to
Landlord which is in excess of the amount which would have been
paid in the absence of such relationship;
(17) Expenses incurred in connection with the initial construction of
the Building, Parking Garage and Auxiliary Areas;
-38-
(18) To the extent such Article 5 services exceed those provided to
Tenant under this Lease, the cost of Article 5 services provided
by Landlord to any other tenant in the Building;
(19) Charitable or Political Contributions: costs resulting from
charitable or political contributions;
(20) Environmental and Other Compliance, Any costs or expenses
relating to asbestos removal or encapsulation or any fines,
costs, expenses or damages relating to any violation of any
environmental law in effect as of the date of installation of the
substance violating such law (as the same distinguished from
expenses incurred in complying with any environmental laws),
unless the condition giving rise to such violation or fines arose
out of, or is caused by, acts or omissions of Tenant, its
employees, contractors or agent;
(21) Art Objects. Costs and expenses relating to the acquisition,
repair, replacement and insurance of sculptures, paintings,
tapestries or other objects of art (normal cleaning, maintenance
and replacement of light fixtures .excepted);
(22) Salaries, wages, or fringe benefits payable to the executives or
principals of Landlord or of any general partner or other
component entity of Landlord;
(23) Costs related to the operations of Corporate Property Investors
(or any successor thereto as Landlord), as the same are
distinguished from the costs of operation and maintenance of the
Building and its supporting facilities, including, without
limitation, Landlord's accounting and legal fees, costs of
defending any lawsuits with any mortgage (except as the actions
of Tenant may be at issue), direct costs of selling, syndicating,
financing, mortgaging or hypothecating any of Landlord's interest
in the Building, costs of any disputes between Landlord and its
employees (if any) not engaged in the management, operation or
maintenance of the Building, or disputes of Landlord with the
Building management (unless such disputes arise out of or in
relation to this Lease);
(24) Costs of any repair or replacement made in accordance with
Article Eight of this Lease entitled "Destruction; Condemnation";
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(25) Any bad debt loss, rent loss, or reserves for bad debts or rent
loss;
(26) Costs of services performed by Landlord specifically for other
tenants in the Building to the extent such work or services. are
in excess of Building standard services, and the costs of
alterations or improvements to other space in the Building which
are not available for all tenants of the Building.
(27) Any compensation paid to clerks, attendants, or other persons in
commercial concessions (i.e., concession in which the customer
directly pays for the provision of goods or services) operated by
Landlord, and other expenses related the cost of any work
performed or service provided (such as electricity) for any
facility other than the Building (such as a garage facility) or
shuttle service for which fees are charged or other compensation
received;
(28) Costs of any new items not included as Operating Expenses for the
1997 calendar year or material changes or additions to the
Operating Expenses generated by such changes or additions made
after the date of this Lease.
(29) Costs of overtime or other costs incurred by Landlord to cure its
default hereunder or the default of a tenant, or incurred by
reason of the misconduct or negligence of Landlord or a tenant or
their respective agents, invitees, employees or contractors
including costs associated with death or injury to persons,
damage to or loss of property, or use of deficient building
materials;
(30) Damages or costs or expenses paid or payable by Landlord in
connection with claims, actions or counterclaims as a result of
Landlord's gross negligence or willful malfeasance or willful
misfeasance;
(31) Fines or penalties resulting from violation of laws, rules or
regulations and any interest costs associated therewith, unless
such fines, penalties or late charges are due to an act of Tenant
or Tenant's failure to timely pay any amounts due under this
Lease;
(32) Costs of constructing, installing, operating and maintaining any
specialty service or facility, such as an observatory,
broadcasting facility, restaurant, luncheon club, retain space,
sundry shop, newsstand, concession or athletic or recreational
club or the costs associated with services or benefits (such as
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beautifying or maintaining a plaza, cafeteria or dining facility,
parking area, terrace or balcony) not offered or available to
Tenant;
(B) It is understood that no individual above the level of Building manager
shall be included in (xi) of the main body of Section 3.2 (H).
(C) It is understood that Operating Costs shall be net of all rebates,
reimbursements, credits and similar items received by Landlord.
(D) Section 3.2(H) is amended as follows:
(1) Line 1, insert the following after the word "mean":
reasonable expenses, costs and disbursements computed on the
accrual basis in accordance ,with generally accepted accounting
principles, relating to or incurred or paid in connection with:
(2) Line 8, add "on-site" before "equipment".
(3) Line 9, delete "and depreciation thereof".
(4) Line 18, after "improvements" add "to the extent the cost of same
exceeds $200,000.00, they shall be amortized or depreciated over
a period of not less than three (3) or more than ten (10) years
as reasonably determined by Landlord in accordance with generally
accepted accounting practices for office buildings."
(5) Line 24, insert after the word "Areas" the phrase "not to exceed
three percent (3%), so long as building is managed by Landlord
affiliate".
(6) Line 28, in phrase (xiii) after "comparable properties", insert a
comma and add "Class A Office Buildings in the area of Atlanta,
Georgia".
Rider #11 - amending Section 3.2 I
---------
Section 3.2(I) is hereby amended by inserting the following at the end of
the section:
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(A) Provided Tenant is not then in default, Tenant shall have the right, to
be exercised not more than once during any calendar or fiscal year adopted by
Landlord, to audit Common Area Operating Costs, subject to the following
conditions:
(i) Any such audit shall be conducted during the normal business hours
of Landlord's office and only upon a minimum of thirty (30) days prior written
notice; and
(ii) Tenant, its employees and auditors shall at all times keep the
results of any such audit in complete confidence and in connection therewith,
Tenant, its employees and auditors agree not to disclose the results of such
audit to any person whatsoever except in the event of litigation or arbitration;
and
(iii) Tenant agrees to pay Landlord all Fixed Rent and Additional
Rent theretofore and thereafter coming due, including the Additional Rent which
is the subject of the audit, in the amount billed by Landlord and when due and
payable as provided under this Lease, subject, however, to the right of
reimbursement in the event Tenant's position in the audit is upheld.
(B) The cost of such audit shall be borne by Tenant unless such audit
discloses an error of more than ten (10%) percent of the total audited amount
for the year in dispute which favors Landlord, in which event Landlord shall
bear the cost of such audit. If such audit reveals that the amount previously
determined by Landlord was incorrect, a correction shall be made and either
Landlord shall promptly (not to exceed 45 days) return to Tenant (or Credit
Tenant's account) or Tenant shall promptly (not to exceed 45 days) pay any
underpayment to Landlord. Notwithstanding the pendency of any dispute
hereunder, Tenant shall make payments based upon Landlord's determination or
calculation until such determination or calculation has been established
hereunder to be incorrect. In the event that Landlord is in error, then the
amount overpaid by Tenant shall be returned to Tenant.
(C) In the event the total monthly charges paid by Tenant on account of
excess Operating Costs during such Calendar Year shall be greater than Tenant's
Pro Rata share of the actual excess Operating Costs for such Calendar Year, as
shown by such statement, then Landlord shall credit the difference to Tenant's
account, or pay Tenant the difference within thirty (30) days after it sends
Tenant such statement.
Rider #12 - amending Section 3.3
---------
Section 3.3, Line 1, delete "the due date of any payment of Rent" and
substitute "from and after five (5) days notice from Landlord that any
installment of Rent is past due".
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Rider #13 - amending Section 4.1
---------
(A) Section 4.1(A), Line 7, delete the remainder of the Section following
the word "areas".
(B) Notwithstanding the rights reserved by Landlord pursuant to Section 4.1
(A), Landlord shall not exercise said rights in such a manner as to:
(i) Change the size or configuration of the rentable floor space of
the Premises or of any common facilities located on a floor of
the Building which is wholly leased to Tenant;
(ii) Materially interfere with the rights granted to Tenant pursuant
to this Lease; or
(iii) Materially interfere with Tenant's use of the
Premises for the conduct of its business.
Rider #14 - amending Section 5.1
---------
(A) Landlord agrees to comply with Governmental Requirements insofar as
they apply to Landlord's maintenance and repair obligations hereunder.
(B) Line 1, insert the word "and HVAC" after the word "electricity".
Rider #15 - amending Section 5.3
---------
(A) Section 5.3(A), lines I and 2, delete the phrase "Standard Building
Hours and Days" and substitute "twenty-four (24) hours a day, seven (7) days a
week".
(B) Section 5.3(B), lines 2 and 3, delete the phrase "only during Standard
Building Hours and Days".
(C) Section 5.3(B), Line 4, insert the phrase "of measured actual
electrical usage" after the word "▇▇▇▇▇".
(D) Section 5.3(C), Line 1, insert the following language at the beginning
of the paragraph:
Tenant shall have a base amount for electrical charge expense of $1.60
per rentable square foot per year which is included as Fixed Rent.
Landlord shall endeavor to install new electric meters for the
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Premises before the 1997 year end. In the event that Tenant shall use
more electricity than $1.60 per rentable square foot of office space
per year, Tenant shall be charged for the cost of such electricity as
Additional Rent.
(E) Section 5.3(C), Lines 6 and 7, delete the phrase "Tenant shall
reimburse Landlord for the cost of such inspection and".
(F) Section 5.3(C), Line 11, delete the word "Tenant" and insert the word
"Landlord" in its place.
(G) Section 5.3(C), Line 15, delete the number "ten (10)" and insert the
word "thirty (30)" in its place.
Rider #16 - amending Section 5.4
---------
Section 5.4, Line 2, delete the phrase "Standard Building Hours and Days
and at other times" and substitute "one elevator to provide service twenty-four
(24) hours per day, seven (7) days per week access to the Premises".
Rider #17 - amending Section 5.5
---------
Landlord hereby represents to Tenant that as of the date of execution
and delivery of this lease the temperature specifications for the HVAC system
serving the Building are as follows:
Winter - at least 68 degrees
Summer - the higher of 78 degrees or 20 degrees less than the
outside temperature.
Rider #18 - amending Section 5.6 and 5.7
---------
(A) Section 5.6, Paragraph 1, Line 4, delete the phrase "when considered
necessary by the Landlord for the comfortable occupancy" and insert the phrase
"as needed for the comfortable use and occupancy" in its place.
(B) Section 5.6, Paragraph 1, Line 6, insert the following language at the
end of the section:
Landlord shall provide additional or after-hours HVAC service at Tenant's
reasonable request and at Buckhead office building market costs to Tenant.
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(D) Section 5.6, Paragraph 3, Line 3, delete the phrase "Premises shall
contain" and insert the phrase "Tenant shall install".
(E) Section 5.7, Line 3, after the word "cleaned", add "(according to the
cleaning schedule set forth as Exhibit F, which may change from time to time in
Landlord's sole, but commercially reasonable judgment in keeping with comparable
Class A Office Buildings in the Buckhead Area of Atlanta, Georgia)".
(F) With regard to Section 5.7, the cleaning of any portions of the
Premises which are used for the storage, preparation, service or consumption of
food or beverages shall be limited to the cleaning of external surfaces.
Rider #19 amending Section 5.10
---------
(A) Section 5.10, Lines 5 and 6, insert the phrase "which rates shall not
exceed the actual cost of such service, plus Landlord's reasonable overhead"
after the word "rates".
(B) Section 5.10, Lines 2 and 3, delete "heat, and mechanical ventilation".
Rider #20 - amending Section 5.11
---------
If, as a result of the exercise by Landlord of its rights under Section
5.11, services are interrupted to the extent that Tenant is unable to conduct
its business in any portion of the Premises for more than five (5) consecutive
Standard Building Days, then Tenant shall be entitled to a proportionate (based
on the ratio that the affected portions of the premises bear to the entire
Premises) abatement of Rent for each day after the fifth (5th) such day during
which the condition continues.
Rider #21 - amending Section 5.12
---------
Tenant shall have the access to the Premises twenty-four (24) hours a day,
seven (7) days a week, subject to Landlord's reasonable rules and regulations.
Rider #22 - amending Section 6.1
---------
(A) Section 6.1, Line 3, add "sprinkler" after "elevator".
(B) Landlord shall operate the Building in a manner substantially similar
to other class "A" office buildings located in the Buckhead area of Atlanta,
Georgia".
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(C) Landlord shall, in exercising its rights and in performing its
obligations under this Section, perform its work with continuity, diligence and
dispatch and in such a manner (consistent with prudent practice) as will cause
the least possible interference with Tenant's business.
(D) If, as a result of the exercise by Landlord of its rights under Section
6.1, there is created a substantial and material interference with Tenant's
ability to conduct its business in any portion of the Premises and Tenant closes
for business in such portion for more than five (5) consecutive Standard
Building Days, Tenant shall be entitled to a proportionate (based on the ratio
that the affected portions of the Premises bear to the entire Premises)
abatement of Rent for each day after the fifth (5th) business day during which
the condition continues.
Rider #23 - amending Section 6.1 - Tenant's Right of Self-Help
---------
(A) If Landlord fails to make or commence to make any required repair or
replacement in or at or exclusively affecting the Premises (however, if
Landlord shall attempt to make a repair and Tenant is not satisfied, or it
is ineffectual, Tenant shall be required to give notice (i.e. notice again)
pursuant to this paragraph before it exercises self help), then, after ten
(10).business days' written notice (in emergency, reasonable notice shall
suffice), Tenant shall have the right (but no obligation) to make the
repair or replacement for Landlord, and Landlord shall promptly pay Tenant
for the cost incurred.
However, in the event Landlord disputes the necessity of the repair,
its obligations to make same, or the cost thereof, Tenant's remedy shall be
an action at law to recover all costs and attorneys' fees, and Tenant shall
not be entitled to any offsets or deductions from Rent.
(B) Section 6.1, Line 12, delete the word "not".
(C) Section 6.1, Line 13, delete the word "until".
(D) Section 6.1, Line 15 delete the phrase "a reasonable time" and
insert the phrase "ten (10) business days".
(E) Section 6.1, Line 15, insert at the end of the section:
Landlord shall, if required to do so as provided under Section 7.1(C),
and Rider 25, shall bring Premises into compliance with Government
Requirements.
(F) Section 6.2(A), Line 7, delete the word "provided" after the word
"leased" and by insert in its place the phrase "on the condition".
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(G) Section 6.2(A), Line 12, delete the words "shall be" and insert
the words "has been" in their place.
(H) Section 6.2(A), Line 16, insert the phrase "and (iv) the
transferee Landlord has expressly agreed to assume all of the duties and
obligations of Landlord under the Lease" after the word "Tenant".
Rider #24 - amending Article 6
---------
(A) Add the following as Section 6.3 - Quiet Enjoyment
Section 6.3 Quiet Enjoyment
Landlord warrants that it has full right to execute and to perform
this Lease and that Tenant, upon payment in full of the required
monthly Rent and performance of the terms, conditions, covenants and
agreements contained in this Lease on behalf of Tenant to be
performed, shall peaceably and quietly have, hold and enjoy the
Premises and the appurtenances thereto set forth in this Lease during
the Term.
(B) Add the following as Section 6.4 - Landlord's Insurance
Section 6.4 Landlord's Insurance
--------------------
Landlord shall carry comprehensive general liability insurance against
claims arising in connection with Landlord's operation of the public
areas of the Building and Auxiliary Areas and fire insurance with
extended coverage covering, to the extent of at least eighty (80%)
percent of replacement value, the Building and all improvements
therein which are or upon installation become part of the realty
(except for tenants' or other occupants' improvements which are
required to be insured or self-insured by such tenants or occupants);
provided, however, that so long as Landlord has a net worth of at
least $500,000,000.00, Landlord shall have the right to self-insure
for any loss or damage which could be covered by such insurance.
Rider #25 - amending Section 7.1
---------
(A) Section 7. 1 (C) , Line 5, insert the following after the word
"Authority":
; provided however, that in the event a condition exists as of the
Commencement Date which is not in compliance with Government Regulations in
existence on the Commencement Date and any Governmental Authority requires
-47-
repairs, alterations, additions, replacements or improvements to be
performed in the Premises to bring such condition into compliance, then the
same shall be Landlord's responsibility under Section 6.1 herein.
(B) Section 7. 1 (E) , Line 9, delete the word "visitors".
(C) Section 7.1(F), Line 2, delete the phrase "with contractual liability
endorsement".
Rider #26 - amending Section 7.1 G
---------
(A) Section 7. 1 (G) , Line 1, insert the phrase "Except as provided
herein" in front of the word "Landlord."
(B) Section 7.1(G), Line 3, add "or willful misconduct" after "negligence".
(C) Section 7. 1 (G) , Lines 4 and 5, delete the phrase "(other than
accidents or occurrences against which Tenant is insured)".
Rider #27 - amending Section 7.1 H
---------
(A) In exercising its rights under Section 7.1 (H), Landlord shall not
materially change the size or configuration of the Premises.
(B) in performing work pursuant to this Section 7.1 (H), Landlord shall
take or cause to be taken all reasonable steps to minimize inconvenience to
Tenant and interference with Tenant's business operations. If Landlord shall
cause any damage to the Premises while performing work hereunder, Landlord shall
promptly repair all such damage.
(C) If, as a result of the exercise by Landlord of its rights under Section
7.1 (H), Tenant is unable to conduct its business in any portion of the Premises
for more than five (5) consecutive Standard Building Days, then Tenant shall be
entitled to a proportionate (based on the ratio that the affected portions of
the Premises bear to the entire Premises) abatement of Rent for each day after
the fifth (5th) such day that Tenant continues to be unable to operate in such
portions.
Except in the case of an emergency, Landlord shall not enter the Premises
except on reasonable prior notice to Tenant (which may be oral).
-48-
(D) Section 7.1(H), Line 6, after "others" add "such as prospective
lenders, purchasers, investors and the like, however, with respect to
prospective lessees of the Premises, such entry shall be limited to the
last year of the Term".
Rider #28 - amending Section 7.1 I and J
---------
Delete Section 7.1 (I) in its entirety and substitute the following in lieu
thereof:
(A) In the event of any action or proceeding arising out of or
pursuant to the Lease, the successful party shall be entitled to recover its
reasonable attorneys' fees and all other costs and expenses incurred in
connection with the action or proceeding.
(B) Section 7.1(J), Line 4, delete the remainder of the first sentence
after the word "Tenant", and insert the following phrase in lieu thereof:
; provided, however, that Tenant shall not be required to discharge such
lien so long as Tenant is defending against such lien and such lien is not
capable of levy.
Rider #29 - amending Section 7.1 K
---------
(A) Section 7.1(K), Line 4, after "Tenant" add "and including all
trade fixtures, supplemental air units, and or equipment specific to
Tenant's business."
(B) Section 7.1(K), delete the second sentence of the section.
(C) Section 7.1(K), Lines 8 and 9, delete the phrase "improvements
or".
(D) Section 7.1(K), Line 12, delete the phrase "restoration of" and
insert the phrase "damages caused by removal in" in its place.
Rider #30 - amending Section 7.1 L
---------
(A) Section 7.1(L), Line 9, delete the period after the word "Lease"
and insert the following language in its place:
; provided, however, that Tenant shall not be obligated to attorn to
any mortgagee, holder of security deeds or deeds of trust, or lessee
of the Building, the Building Parcel, or any part thereof unless such
mortgagee or lessee has delivered to Tenant a nondisturbance
agreement, substantially similar to and imposing no additional burdens
than the form attached hereto as Exhibit H. Following the delivery of
such nondisturbance agreement,
-49-
(B) Section 7.1(L), Line 15, delete the period after the word "Lease" and
insert the following language:
provided, however, that Tenant shall not be obligated to attorn to any
lessee of any ground or underlying lease or any part thereof unless such
lessee has delivered to Tenant, a nondisturbance agreement substantially
similar to and imposing no additional burdens than the form attached hereto
as Exhibit H.
(C) At present there are no mortgages on the Office Building. The
subordination of this Lease to mortgages hereafter placed on the Office Building
shall be effective only to mortgages made to a "Lending Institution" (as defined
below). As to any mortgage hereafter placed not made to a Lending Institution,
such subordination shall be conditioned on the receipt by Tenant from the
mortgagee of a non-disturbance agreement, in recordable form, providing in
substance that in the event of a foreclosure of such mortgage and provided
Tenant is not in default, this Lease and Tenant's possession shall not be
disturbed and Tenant shall attorn to such mortgagee. As used in this Rider, the
term "Lending Institution" shall mean a savings bank, a savings and loan
association, a commercial bank or trust company (whether acting individually, or
in any fiduciary capacity), an insurance company, a real estate investment
trust, an educational institution, or a state, municipal or similar public
employees' welfare or other pension or retirement fund or system or a private
pension, retirement or profit sharing trust or fund, or a corporate, private or
union pension trust or fund, or any other corporation or entity entitled to
exemption from income tax under the Internal Revenue Code of the United States,
as amended from time to time.
Rider #31 - amending Section 7.1 M
----------
(A) Section 7.1(M), Line 3, after the word "areas" insert "attach hereto as
Exhibit G".
(B) Section 71.(M), Line 3, delete the word "uniform" and substitute
"uniformly applied to all tenants".
Rider #32 - amending Section 7.2 B
---------
Section 7.2(B), Line 24, delete the last sentence of the section in its
entirety.
Rider #33 - amending Section 7.2 (C)
----------
(A) Section 7.2(C), Paragraph 1, Line 3, after "concession" add "without
obtaining Landlord's prior consent".
-50-
(B) Section 7.2(C), Paragraph 2, line 2, delete "(but not less than all)"
and substitute "no more than four (4) partial subleases, per floor and provided
there are no more than four (4) occupants of a floor at any given time (i.e. (i)
four subtenants or (ii) Tenant and three subtenants)".
(C) Section 7 .2 (C) , Paragraph 2, line 3, delete the remainder of the
sentence after the word "however," and insert the following in lieu thereof:
that the proposed assignee or subtenant is not then an existing tenant with
whom Landlord is then negotiating.
(D) (DELETED)
(E) Section 7.2 (C), Paragraph 2, line 17, insert the following language
after the word "Lease":
with regard to such proposed space to be subleased or assigned
(F) Delete Section 7.2 (C) (i) , (Paragraph 3), in its entirety.
(G) Section 7.2(C)(ii), (Paragraph 4), Lines 1 and 2 delete "In the event
that Landlord shall not exercise its right to cancel this lease as above
provided,".
(H) Section 7.2 (C) (iii) , (Paragraph 5) , Line 4, delete the phrase
"Tenant or, at Landlord's option."
Rider #34 - amending Section 8.1 2
---------
(A) in the event the Premises shall be damaged to the extent of more than
fifty (50%) percent of the costs of replacement thereof during the last Year of
the Term or the last year of any renewal period, Tenant shall have the right to
terminate this Lease by written notice to the Landlord served within sixty (60)
days after the fire or casualty, such termination to be effective on the
thirtieth (30th) day following the date of said notice.
(B) In the event this Lease has not been terminated pursuant to Section
8.1 (a) and Landlord has failed to (i) commence restoration or rebuilding within
three (3) months from the date of the casualty or (ii) substantially complete
such restoration within nine (9) months after the date of the casualty, Tenant
may give Landlord notice of Tenant's intention to terminate this Lease. If
Landlord fails within thirty (30) days thereafter to commence or substantially
complete such restoration, an the case may be, this Lease shall terminate
without the necessity for any further notice from Tenant; provided, however,
that the aforesaid time limits shall be tolled for a period not to exceed four
(4) months in
-51-
the event Landlord fails to commence or complete restoration by reason of
Unavoidable Delay, as not forth in Section 10.11. Tenant's sole remedy in the
event Landlord shall fail to timely commence or substantially complete such
restoration shall be to terminate this Lease.
(C) Notwithstanding anything above, Tenant shall have a reasonable time to
quit the premises in the event of a termination under the provisions of this
Section 8.1 and this Rider #34, not to exceed forty-five (45) days.
Rider #35 - amending 8.1 B and C
---------
(A) Section 8.1(B), Lines 7, Line 10, and Line 14, delete the word "Fixed".
(B) Section 8.1(B), Line 7, delete the word "only".
(C) Section 8.1(C), Lines 6 through 10, delete the last sentence of the
section.
Rider #36 - amending Section 8.2 B
---------
(A) In the event that more than thirty (30%) percent of the rentable floor
space of the Premises shall be acquired or condemned by eminent domain or shall
be rendered inaccessible or untenantable as the result of such a taking, Tenant
shall have the right to terminate this Lease as of the date of title vesting in
the Governmental Authority.
(B) In the event this Lease has not been terminated pursuant to Section 8.2
(B) and Landlord has failed to (i) commence repairs or alterations
("restoration") within three (3) months from the date of the taking or (ii)
substantially complete such restoration within nine (9) months after the date of
the taking, Tenant may give Landlord notice of Tenant's intention to terminate
this Lease. If Landlord fails within thirty (30) days thereafter to commence or
substantially complete such restoration, as the case may be, this Lease shall
terminate without the necessity for any further notice from Tenant; provided,
however, that the aforesaid time limits shall be tolled for a period not to
exceed four (4) months in the event Landlord fails to commence or complete
restoration by reason of Unavoidable Delay, as set forth in Section 10.11.
Tenant's sole remedy in the event Landlord shall fail to timely commence or
substantially complete such restoration shall be to terminate this Lease.
(C) Notwithstanding anything above, Tenant shall have a reasonable time to
quit the premises in the event of a termination under the provisions of this
Section 8.2 and this Rider #37, not to exceed 45 days.
Rider #37 - amending Section 9.1
---------
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(A) Section 9.1(A), Line 3, insert the words "Tenant's receipt or refusal
of" after the word "after."
(B) Section 9.1(B), Line 4, insert the words "Tenant's receipt or refusal
of" after the word "after."
(C) Section 9.1(B), Line 7 and 8, delete "or if the Premises shall become
vacant, deserted or abandoned".
(D) Section 9.1(B), Paragraph 2, Line 1, insert the phrase "and failure to
cure or commence cure" after the word "occurrence".
Rider #38 - amending Section 9.2
---------
(A) Section 9.2(A), Line 4, after "notice" add "(except as otherwise set
forth in the Lease)".
(B) Section 9.2(B), Line 7, insert a period after the word "Term" and
delete the remainder of the sentence.
(C) Section 9.2(B), Lines 15 through 17, delete the phrase "The reasonable
refusal or failure of Landlord to relet the Premises or any part thereof shall
not release or affect Tenant's liability for damages" and insert the following
language in lieu thereof: "Landlord shall have an affirmative obligation to
attempt to relet the Premises, and"
Rider #39 - amending Section 9.5
---------
Section 9.5, Line 2, delete the remainder of the section after the word
"as" and insert the phrase "the first month's rent" in its place.
Rider #40 - amending Section 10.1
---------
(A) Last sentence of the paragraph, delete "mailed" and substitute
"received or refused".
(B) Notwithstanding anything contained herein to the contrary any notice or
demand to Tenant from Landlord, or Landlord to Tenant shall be duly served by
"receipted" hand delivery or sent by "receipted" overnight courier to the
address at which notices are to be mailed.
Rider #41 - amending Section 10.5
---------
-53-
Delete Section 10.5 in its entirety.
Rider #42 - amending Section 10.6
---------
Delete Section 10.6 in its entirety.
Rider #43 - amending Section 10.13
---------
Delete Section 10.13 in its entirety.
Rider #44 - amending Article 10 - add the following as Section 10.16 -- Parking
---------
Section 10.16 Parking
-------------
(A) Landlord has constructed a parking garage adjacent to the building (the
"Parking Garage"). Tenant and its employees shall be permitted to use said
facility in common with the general public. Tenant shall be entitled to
purchase the equivalent of 2.2 parking cards per 1,000 square feet of rentable
floor space demised under this Lease. It is understood that the Parking Garage
shall operate under a shared parking methodology with other property.
(B) Tenant understands the Landlord may designate an independent contractor
to operate the Parking Garage pursuant to a lease operating agreement or the
like, which instrument shall be subject to all of the terms and provisions of
this Rider. Tenant's arrangements for monthly parking permits shall be made
with Landlord, or if Landlord has, designated such an operator, directly with
the operator of the Parking Garage. Parking permit fees shall be payable to
Landlord or the operator, as Landlord shall direct. Subsequent to the execution
and delivery of this Lease, Tenant shall be provided with and shall promptly
execute and deliver a parking agreement, which agreement shall incorporate the
term set forth in this Rider. Tenant's use of the Parking Garage shall be at
Tenant's own risk, it being specifically understood that Landlord shall not be
liable in any way for any injury to Person or property or loss by theft or
damage or otherwise resulting from the use of the Parking Garage by any Person.
(C) Landlord shall designate (or cause to be so designated) five (5)
parking spaces, of Tenant's aforementioned allocation of parking permits, for
use by officers of Tenant on Mondays through Fridays, from 7:00 a.m. to 6:00
p.m. The location of said parking spaces is set forth on Exhibit D, however the
location of said parking spaces is subject to change for reasons of safety and
governmental compliance on three (3).days, prior written notice to Tenant.
Tenant shall provide Landlord with a list of names, car models, and license
plates of those officers which Tenant has designated to use said
-54-
spaces. In the event the parking spaces are not utilized as intended, Landlord
shall have the right to revoke the designated parking spaces on ten (10) days
notice to Tenant.
(D) Tenant shall have reasonable access to and from the Parking Garage
twenty-four (24) hours a day, seven (7) days a week, subject to the reasonable
rules and regulations of the operator of the Parking Garage.
Rider #45 - amending Telephone - adding Section 10.17
---------
Tenant shall have the right to utilize the telecommunications service
provider of its choice. Such telecommunications provider shall only be
permitted to run wire through Building risers to Tenant's space, and is not
permitted to run wires from the Premises to other tenant space (other than
Tenant's) in the Building; provided, however, that Tenant shall have no
affirmative obligation to monitor such telecommunications provider and assumes
no responsibility or liability for its actions.
Rider #46 - Tenant's Rights with Respect to 9th and 10th Floors
---------
(A) So long as this Lease is in full force and effect and there has not
occurred any Event of Default hereunder, Tenant shall have a one time right of
first refusal with respect to the ninth (9th) and tenth (10th) floors of the
Building, said right of first refusal to be exercisable as hereinafter set
forth.
(B) If Landlord or its agent shall deliver a proposal regarding space on
the ninth (9th) and tenth (10th) floors of the Building (the Proposal) to a
Person interested in leasing such space, Landlord shall deliver (or shall cause
to be delivered) to Tenant a true and exact copy of the Proposal, and Tenant
shall have the right to be exercised not later than ten (10) business days
following receipt by Tenant of the Proposal to hire the space which is the
subject of the Proposal on the same terms and conditions as are therein set
forth, including, without limitation, the same Fixed Rent, Commencement Date,
Additional Rent and construction terms and provisions, provided, however, that
notwithstanding the length of the term which is set forth in the Proposal (the
Proposed Term). Tenant shall hire the space which is the subject of the
Proposal for a term which expires simultaneously with the initial Term of this
Lease, as extended as provided for in this Lease. If the Proposed Term would
expire prior to the expiration date of the initial Term of this Lease, then
Fixed Rent for the period from the expiration of the Proposed Term through the
expiration date of the initial Term of this Lease (the tack-on period) shall be
determined in accordance with paragraph C of this Rider #46.
(C) From the first (1st) day of the tack-on period through the December 31
next ensuing, Fixed Rent shall be at the same annual rate as was payable during
the last year of the Proposed Term. Thereafter, on each subsequent January 1
during the tack-on
-55-
period, Fixed Rent shall be increased by the percentage increase, it any,
between the Consumer Price Index (as hereinafter defined) in affect (as
hereinafter defined) on the immediately preceding January 1 and the Consumer
Price Index in effect on the January I of the year for which the Fixed Rent
determination is being made. All references herein to the Consumer Price Index
shall be deemed to mean the Consumer Price Index for Urban Wage Earners and
Clerical Workers, all Items, Series A, 1967 equal 100, as published by the
United States Department of Labor (or, if not published, the most closely
comparable index then published). The Consumer Price Index in effect on a
particular date shall be deemed to mean the index published for the month in
which such date occurs) or if not published for such month, the Index published
the month next succeeding.
(D) All leases executed by Landlord and Tenant with respect to space on the
ninth (9th) and tenth (10th) floors which is hired by Tenant pursuant to its
right of first refusal shall contain one (1) renewal option, each for a five (5)
year period. All such leases shall provide that each renewal option may be
exercised by Tenant only if exercised contemporaneously with Tenant's exercise
of the corresponding option set forth in Rider 40 hereto, paragraphs (ii)
through (vi) of which shall be incorporated, in substance, into each such lease;
it being understood that during each renewal period, (i) the Fixed Rent payable
under each such lease shall be the same, on a per square foot basis, an the
Fixed Rent payable under this Lease and (ii) the sums deemed substituted in
paragraphs 3.2 (A) and 3.2 (G) of this Lease.
(E) In the event Tenant shall fail to timely exercise its right of first
refusal, Tenant shall be deemed to have waived such right with respect to the
space which is the subject of the Proposal, and Landlord shall have the
unencumbered right to let such space to the Person to whom the Proposal was made
(or to any other Person).
(F) The aforementioned Right of First Refusal shall be personal to Premiere
Communications, Inc. and shall not be assignable or exercisable by any other
Person.
Rider #47 - Tenant's Right of First Offer with Respect to Space in Excess of
---------
10,000 Rentable Square Feet on a Floor
(A) During the initial Term of this Lease, Tenant shall have a one (1) time
right of first offer with respect to any leasing of an excess of 10,000 square
feet of rentable floor space contained on one (1) floor in the Building, said
right of first offer is subject to and subordinate to any rights of renewal,
expansion or First Refusal of existing tenants in the Building or any offer by
Landlord to extend or renew the then existing tenant(s) of such space in the
Building.
(B) If Landlord or its agent shall have identified space on a floor in the
Building in excess of 10,000 rentable square feet, that it intends to offer for
lease, then Landlord
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shall advise Tenant of the terms it proposes to offer to lease the space
including Fixed Rent, Commencement Date, Additional Rent and construction terms
and provisions (the "Offer"), and Tenant shall have the right to be exercised
not later than ten (10) business days following receipt by Tenant of the offer,
to. hire the space which is the subject of the Offer, on the same terms and
conditions as are therein set forth, including, without limitation, the same
Fixed Rent, Commencement Date, Additional Rent and construction terms and
provisions, except the Term which shall expire simultaneously with the initial
Term of this Lease.
(C) In the event Tenant shall fail to timely exercise its right of First
Offer, Tenant shall be deemed to have waived such right with respect to the
space which is the subject of the Offer, and Landlord shall have the
unencumbered right to let such space to any Person.
(D) The rights granted pursuant to this Rider shall be personal to Premiere
Communications, Inc., and shall not be assignable to or exercisable by any other
Persons.
(E) It is understood that time is of essence with respect to Tenant's
exercise of its rights hereunder.
Rider #48 - amending Term - Renewal Rights
---------
Landlord hereby grants Tenant the right to extend the Term of this Lease
for a period of five (5) years (the "Extension Term") subject to the following
terms and conditions:
(i) Tenant shall not be in default under the Lease beyond any
applicable notice or cure period at the time of exercise of such
right or at the commencement of the Extension Term, and the
Lease shall, at each such time, be in full force and effect.
(ii) Tenant shall give Landlord three hundred sixty (360) days prior
written notice of its desire to extend the Lease. Within forty-
five (45) days following receipt of Tenant's notice, Landlord
shall advise Tenant of Landlord's Estimate of the Fair Market
Value Rent (the "Landlord's Estimate") for the Premises for the
Extension Term.
(iii) The Fair Market Value Rent ("FMVR") shall be .based
upon the rental rates for which comparable space in the Building
is then being leased; however, such rates shall be adjusted for
comparability with respect to the following factors: (a)
location (i.e., floor, view, access); (b) improvements (i.e.
quantity and
-57-
quality of buildouts and customization for a particular tenant)
; (c) renewals or relocations of existing tenants; (d) size and
configuration; and (e) any discounts, allowances and any periods
of free rent. In the event that Tenant does not agree with
Landlord's Estimate as to the FMVR, the parties may each choose
a real estate broker with at least ten years' experience and a
familiarity with the Buckhead submarket who will determine the
FMVR. In the event the two brokers cannot come to an agreement
as to the FMVR, the brokers will choose a third broker with at
least ten years' experience and a familiarity with the Buckhead
submarket, whose decision will be final and binding upon the
parties.
(iv) Tenant shall notify Landlord within fifteen (15) days after
receipt of Landlord's determination of FMVR of whether Tenant
elects to extend the Term of this Lease, it being understood
that failure of Tenant to so notify Landlord within said fifteen
(15) day period shall be deemed a waiver of Tenant's right to
extend the Lease. If Tenant exercises its right to extend, as
aforesaid, then Landlord shall so notify Tenant and the
Extension Term shall commence as of the expiration of the
original Term, and shall be on the same terms and conditions of
the Lease except:
(a) fixed Rent shall be the FMVR as determined according to
section (iii) of this Rider 48, above.
(b) The base calendar year set forth in section 3.2 (A) and
(G) shall be the calendar year preceding than calendar
year in which the Extension Term commences.
(c) There shall be no obligation on the part of Landlord or
Tenant to perform any work in or at the Premises to
prepare the Premises for Tenant's occupancy during the
Extension Term.
(v) The aforesaid right to extend the Term of this Lease shall be
personal to Premiere Communications, Inc. and shall not be
assignable to, or exercisable by any other Person.
(vi) It is understood that time in of the essence with respect to
Tenant's exercise of its rights hereunder.
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EXHIBIT A
[SITE PLAN]
-59-
EXHIBIT B
[FLOOR PLANS]
-60-
EXHIBIT C & G
THE LENOX BUILDING
RULES AND REGULATIONS
The sidewalks and Public Portions of The Lenox Building, such as entrances,
passages , courts, elevators, vestibules, stairways, corridors halls, shall not
be obstructed or encumbered by Tenant or used for any purpose other than egress
and egress to and from the Premises.
Except where installed by Landlord, no awning or other projection shall be
attached to the outside walls of The Lenox Building and no curtain, blind,
shade, louvered openings or screen shall be attached to or hung in, or used in
connection with, any window or door of the Premises, without prior written
consent of Landlord.
Except as otherwise specifically permitted under Tenant's lease for the
Premises, no sign, advertisement, notice or other lettering shall be exhibited,
inscribed, painted or affixed by Tenant on any part of the outside of the
Premises or The Lenox Building or on corridor walls. Signs at entrance doors
shall conform to building standard signs, samples of which are on display in
Landlord's rental office. Signs at entrance doors shall, at Tenant's expense,
be inscribed, painted or affixed for Tenant by sign makers approved by Landlord.
In the event of the violation of the foregoing by Tenant, Landlord may remove
same without any liability, and may charge the expense incurred by such removal
to Tenant.
Skylights, windows, heating, ventilating and air conditioning vents and doors
that reflect or admit light and air into the halls, passageways or other public
places in The Lenox Building shall not be covered or obstructed by Tenant, nor
shall any bottles, parcels, or other articles be placed on the window ▇▇▇▇▇.
Mini-blinds are required to be in the down position at all times.
No show case or other article shall be put in front of or affixed to any part of
the exterior of The Lenox Building, nor placed in public halls, corridors or
vestibules without the prior written consent of Landlord.
Water and wash closets and other plumbing fixtures shall not be used for any
purposes other than those for which they were constructed, and no sweepings,
rubbish, rags, or other substances shall be thrown therein. All damages
resulting from any misuse of the fixtures shall be borne by Tenant.
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Tenant shall not deface any part of the Premises or The Lenox Building.
Tenant shall not engage or pay any employees on the Premises, except those
actually working for Tenant an said Premises, nor advertise for laborers giving
an address at The Lenox Building.
Tenant shall not employ any cleaning and maintenance contractor, nor any
individual, firm or organization for such purpose, without Landlord's prior
written consent. Tenants shall not employ any mechanical (HVAC), electrical or
plumbing contractor other than those approved by the Landlord.
Landlord shall have the right to prohibit any advertising by Tenant which, in
Landlord's reasonable opinion, impairs the reputation of The Lenox Building or
its desirability as a building for offices, and upon written notice from
Landlord, Tenant shall refrain from or discontinue such advertising.
Landlord reserves the right to exclude from The Lenox Building at all times
other than standard building days and hours all persons not presenting a pass
signed by Tenant. Tenant shall be responsible for all persons to whom it issues
a pass and shall be liable to Landlord for all acts of such persons. Landlord
may deny anyone requesting access to Tenant premises, after hours, who does not
have a key or acceptable identification.
The Premises shall not be used for lodging or sleeping or for any immoral or
illegal purpose.
The requirements of Tenant will be attended to only upon application at the
Management Office of The Lenox Building. Building employees shall not perform
any work or do anything outside of their regular duties, unless under special
instructions from the office of Landlord.
Canvassing, soliciting and peddling in The Lenox Building are prohibited, and
Tenant shall cooperate to prevent the same. Shoe shine, auto glass, auto repair
and car wash services may not perform work on the property without the prior
approval of the Landlord.
All hand trucks used to transport property within The Lenox Building shall be
equipped with rubber tires and side guards. No hand truck shall be used in
passenger elevators.
All paneling or other wood products not constituting furniture shall be of fire
retardant materials. Before installation of such materials, certification of
the materials' fire retardant characteristics shall be submitted to Landlord or
its agents, in a manner satisfactory to Landlord. No live Christmas trees,
----
wreaths or garlands will be permitted unless certified as fire retardant.
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Neither Tenant's employees nor Tenant's agents shall be permitted to remove
materials from The Lenox Building without a signed letter of authorization on
Tenants, letterhead, giving the individual permission to remove specific
material.
Tenants and their employees will park only in those areas designated by the
Landlord. No parking in the loading dock area, lobby entry plaza, fire lanes or
reserved (handicap, visitor, etc.) spaces will be permitted. No entry or egress
through the loading dock/service vestibule is allowed.
No access to the building roof, mechanical or control rooms by tenants,
employees or contractors is permitted without the prior approval of the
Landlord. Landlord reserves the right to control access to the building
balconies. No light weight furniture or material is to be allowed on the
building balconies.
Duplicate door keys, building pass cards and parking garage cards are available
only through the Landlord's management offices.
All adjustments to HVAC controls, thermostats, ducts, diffusers, etc. must be
made by Landlord's maintenance personnel.
Smoking or loitering in the restrooms or stairwells is not permitted.
Landlord reserves the right to promulgate additional rules and regulations,
which Landlord may make, for the management and use of the Building and
Auxiliary Areas.
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EXHIBIT D
---------
[PARKING SPACE EXHIBIT]
-64-
EXHIBIT E
COMMENCEMENT DATE AND RATIFICATION
OF LEASE AGREEMENT
The undersigned, Corporate Property Investors having its Principal place of
business at 3 ▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇▇ Plaza (305 ▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇) ▇▇▇ ▇▇▇▇, ▇▇ ▇▇▇▇▇
(Landlord), and _____________________________________ having its principal place
of business at _____________________________________ (Tenant), in consideration
of TEN and no/100 ($10.00) DOLLARS and other good and valuable consideration,
the receipt whereof is hereby acknowledged, agree as follows:
1. That certain lease (which lease, and the amendments hereinafter
listed, if any, as hereby modified, is hereinafter collectively referred to as
the "Lease") from Landlord to Tenant dated _________________________________,
as amended on (no amendments), which Lease demises ____ square feet of rentable
floor space in the building known as The Lenox Building, located at ▇▇▇▇
▇▇▇▇▇▇▇▇▇ ▇▇▇▇, ▇.▇., ▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇▇ is in full force and effect. The
Commencement Date of the original Term is _____________________________________,
and the expiration date is _____________________________________
2. The Lease contains the following renewal terms:
3. Tenant has accepted possession of the Premises demised to it under
the Lease and is now in occupancy thereof.
4. No Rent under the Lease has been paid for more than thirty (30)
days in advance of its due date.
5. Tenant is paving the full Rent called for under the Lease on a
current basis without concession and without offset, claim or defense against
Landlord and/or against payment of the Rent.
6. All of Landlord's Work, as defined in the Lease, has been completed,
except for any latent defects.
7. $________ has been deposited with Landlord as security for Tenant's
performance of its obligations under the Lease.
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IN WITNESS WHEREOF, the Parties have executed this agreement this ____ day
of _____________________________________.
LANDLORD:
Corporate Property Investors
By:
-------------------------------
TENANT:
By:
-------------------------------
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EXHIBIT F
---------
PERIMETER MAINTENANCE CORPORATION
CLEANING - SCHEDULE
-------------------
THE LENOX BUILDING
I. LOBBY & COMMON AREA
-------------------
A. Daily
-----
1. Sweep and police entrance areas to curb.
2. Vacuum walk-off mats
3. Empty all trash receptacles; damp clean, sanitize exterior, and
replace liners.
4. Empty and clean ashtrays and sand urns.
5. Spot clean to hand height (70") all windows, glass partitions,
and glass doors.
6. Spot clean all walls to hand height.
7. Damp clean all window ledges.
8. Dust and spot clean hand rails.
9. Dust mop composition floors.
10. Spot mop composition floors.
11. Vacuum carpet.
12. Spot clean carpet.
13. Buff traffic areas.
14. Police stairwells
15. Spot mop stairwells.
B. Weekly
------
1. Sweep baseboards, corners, around and under desks
2. Spray buff composition floors.
3. Sweep stairwells.
4. Damp mop stairwells.
5. High dust ledges in atrium.
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C. Monthly
-------
1. High dust above hand height all horizontal surfaces including any
shelves, moldings, ledges, pipes, ducts, vents, and beating
outlets.
2. Clean exterior of urns and trash containers.
D. Annually
--------
1. Refinish composition floors.
II. ELEVATORS
---------
A. Daily
-----
1. Vacuum and spot clean carpet or dust mop/wet mop composition
floor.
2. Door tracts vacuumed and wiped clean.
3. Wall panels, cab doors cleaned and polished.
C. Monthly
-------
1. High dust above hand height all horizontal surfaces, including
shelves, moldings, ledges, pipes, ducts, and heating outlets.
2. Remove dust and cobwebs from ceiling areas.
3. Buff composition flooring.
D. Quarterly
---------
1. Dust venetian blinds.
E. Annually
--------
1. Refinish composition floors.
NOTE. All maid carts, trash carts and vacuum cleaners will have a
protective bumper to avoid damage to walls, doors and furniture.
-68-
V. RESTROOMS
---------
A. Daily
-----
1. Clean and sanitize all vitreous fixtures including toilet bowls,
urinals, and hand basins.
2. Clean and sanitize all flush rings, drain and
overflow outlets.
3. Clean and polish all chrome fittings.
4. Clean and sanitize toilet seats.
5. Damp mop with disinfectant.
6. Clean and polish all glass and mirrors.
7. Empty all containers and disposals.
8. Spot clean and sanitize exterior of all containers.
9. Dust metal partitions and window ▇▇▇▇▇.
10. Remove spots, stains, splashes from wall area adjacent to hand
basins.
11. Refill all dispensers to normal limits: soap, tissue, and towels.
12. Spot clean metal partitions.
13. Low dust all surfaces to hand height including ▇▇▇▇▇, moldings,
ledges, shelves, frames, and ducts.
14. Remove spots, stains, and splashes from wall area adjacent to
hand basins.
III. ESCALATORS
----------
A. Daily
-----
1. Clean hand rails.
2. Clean interior side panels.
3. Mop entrance & exit plates.
B. Weekly
------
1. Polish all stainless steel.
2. Polish entrance and exist plates.
C. Special task
------------
1. Use crevice tool to vacuum around walls and in corners.
2. Employees will be instructed to be extremely careful not to
damage wood finishes when performing all cleaning tasks.
-69-
IV. OFFICES
-------
A. Daily
-----
1. Empty wastebaskets and replace liners as needed.
2. Empty and damp clean ashtrays.
3. Dust furniture, paying special attention to lacquered and
special-finished furniture.
4. Dust all telephones.
5. Dust all exposed filing cabinets, bookcases and shelves.
6. Spot clean desk tops.
7. Clean counter tops.
8. Clean and sanitize water fountains.
9. Clean sand urns of debris.
10. Spot clean door glass, partition glass, lobby glass, and metal
partitions.
11. Spot clean entrance doors.
12. Dust mop composition floors.
13. Spot mop composition floors.
14. Vacuum carpet.
15. Spot clean carpet.
B. Weekly
------
1. Low dust all horizontal surfaces to hand height (70")
2. Clean entire desk tops (where possible).
3. Remove fingerprints from doors, frames, light switches, kick and
push plates, handles and moldings around doorways.
B. Weekly
------
1. Wash and sanitize metal partitions.
2. Spot clean tile walls.
3. Polish stainless steel.
4. High dust above hand height including ▇▇▇▇▇, moldings, ledges
shelves, frames, ducts, and heating outlets.
C. Quarterly
---------
1. Machine scrub floor.
-70-
VI. KITCHEN - VENDING AREAS
-----------------------
A. Daily
-----
1. Wash and sanitize table tops.
2. Damp clean seats and backs of chairs.
3. Empty and damp clean ashtrays.
4. Empty all containers and disposals.
5. Remove fingerprints from doors, frames, light switches, kick and push
plates and handles.
6. Vacuum carpet.
7. Spot clean carpel
8. Dust mop composition floors.
9. Mop composition floors.
10. Wash and sanitize counter tops.
11. Empty wastebaskets and replace liners.
B. Weekly
------
1. Low dust all surfaces below hand height including ▇▇▇▇▇,
moldings, ledges, shelves, frames and vents.
2. Sanitize exterior of containers and disposals.
VII. LOADING DOCK
------------
A. Daily
-----
1. Sweep and police.
2. Maintain clean appearance.
B. Weekly (or as needed)
------
1. Pressure wash.
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EXHIBIT H
STANDARD FORM
SUBORDINATION, NON-DISTURBANCE AND ATTORNMENT AGREEMENT
THIS AGREEMENT is made as of this day of ___________, 1997 by and
among____________, a corporation having an office andplace of business at
_____________________________________ ("Lender"), a corporation, whose address
is _____________________________________ ("Landlord"), and having an office at
_____________________________________ ("Tenant").
WITNESSETH:
WHEREAS, Tenant has entered into a certain lease (the "Lease"),
dated______, with landlord covering premises (the Ppremises") within a certain
building known as _____________________________________, located in (a conformed
copy of said lease has been delivered to Lender); and
WHEREAS, Lender has made a certain loan (the "Loan") to landlord, which
loan is secured by the mortgages (the "Mortgages") more particularly described
in Exhibit A annexed hereto and affecting the premises known as_________,
in_____________; and
WHEREAS, Lender has been requested by Tenant and by Landlord to enter into
a non-disturbance and attornment agreement with Tenant;
NOW, THEREFORE, in consideration of the premises and mutual covenants
hereinafter contained, the parties hereto mutually covenant and agree as
follows:
1. The Lease and any extensions, renewals, replacements or modifications
thereof, and all of the right, title and interest of Tenant thereunder in and to
the Premises, are and shall be subject and subordinate to the Mortgages and to
all of the terms and conditions contained therein, and to any renewals,
modifications, replacements, consolidations and extensions thereof.
2. Lender consents to the Lease and, in the event Lender comes into
possession of or acquires title to the Premises as a result of the foreclosure
or other enforcement of the Mortgages or the notes secured by the Mortgages, or
as a result of any other means, Lender agrees that, so long as Tenant is not
then in default hereunder beyond any applicable notice and grace periods and the
Lease is then in full force and effect, Lender will recognize Tenant and will
not terminate the Lease or disturb tenant in its possession of the Premises or
evict Tenant from the premises for any reason other than one which would entitle
-72-
Landlord to terminate the Lease under its terms or would cause, without any
further action by Landlord the termination of the Lease or would entitle
Landlord under the terms of the Lease to dispossess Tenant from the Premises.
3. Tenant agrees with Lender that if the interest of Landlord in the
Premises shall be transferred to and owned by lender by reason of foreclosure or
other proceedings brought by it, or in any other manner, or shall be conveyed
thereafter by Lender or shall be conveyed pursuant to a foreclosure sale of the
Premises, Tenant shall, upon notice of receipt of such transfer of interest to
Lender, be bound to Lender under all of the terms, covenants and conditions of
the Lease for the balance of the term thereof remaining and any extensions or
renewals thereof which may be effected in accordance with any option therefor in
the Lease, with the same force and effect as if Lender were the Landlord under
the Lease, and Tenant does hereby attorn to Lender as its Landlord, said
attornment to be effective and self-operative without the execution of any
further instruments on the part of any of the parties hereto immediately upon
Lender succeeding to the interest of Landlord in the Premises. Tenant agrees,
however, upon the election of and written demand by Lender to promptly execute
an instrument in confirmation of the foregoing provisions, reasonably
satisfactory to Lender, in which Tenant shall acknowledge such attornment and
shall set forth the terms and conditions of its tenancy.
4. Tenant agrees with lender that if Lender shall succeed to the interest
of Landlord under the Lease, Lender shall not be (a) liable for any action or
omission of any prior Landlord under the Lease, except to the extent that such
action or omission continues after Lender succeeds to the interest of Landlord,
or (b) subject to any offsets or defenses which tenant might have against any
prior Landlord, or (c) bound by any security deposit which tenant may have paid
to any prior Landlord, unless such deposit is in an escrow fund available to
Lender, or (d) bound by an amendment or modification of the lease not expressly
provided for in the lease made without lender's written consent, or (e) bound by
any notice of termination not provided for in the, lease given by landlord to
tenant without Lender's written consent thereto, or (f) personally liable under
the lease, and Lender's liability under the lease shall be limited to the
ownership interest of Lender in the Premises. Tenant further agrees with Lender
that Tenant will not voluntarily subordinate the lease to any lien or
encumbrance without Lender's written consent.
5. In the event that Landlord shall default in the performance or
observance of any of the terms, conditions or agreements in the Lease, Tenant
shall give written notice thereof to Lender, and Lender shall have the right
(but not the obligation) to cure such default. Tenant shall not take any action
with respect to such default under the Lease, including, without limitation, any
action in order to terminate, rescind or void the Lease or to withhold any
rental thereunder, for a period of 30 days after receipt of such written notice
by Lender with respect to any such default capable of being cured by the payment
of money and for a period of 45 days after receipt of such written notice by
Lender with respect to any other default (provided, that in the case of any
default which cannot be cured by the payment of money and cannot with diligence
be cured within such 45-day period because of the nature of such default or
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because Lender requires time to obtain possession of the Premises in order to
cure the default, if Lender shall proceed promptly and proceed with reasonable
diligence to obtain possession of the Premises, where possession is required,
and to cure the same and thereafter shall prosecute the curing of such default
with diligence and continuity, then the time within which such default may be
cured shall be extended for such period as may be necessary to complete the
curing of the same with diligence and continuity).
6. Landlord has agreed in the mortgages that the rentals payable under
the lease shall be paid directly by Tenant to Lender upon the occurrence of a
default by Landlord under the Mortgages. Accordingly, after notice is given by
Lender to Tenant that the rentals under the Lease should be paid to Lender,
Tenant shall pay to Lender, or in accordance with the directions of Lender, all
rentals and other moneys due and to become due to Landlord under the Lease.
Tenant shall have no responsibility to ascertain whether such demand by Lender
is permitted under the Mortgages. Landlord hereby waives any right, claim or
demand it may now or hereafter have against Tenant by reason of such payment to
Lender, and any such payment to Lender shall discharge the obligations ofTtenant
to make such payment to Landlord.
7. Tenant declares, agrees and acknowledges that:
a. Lender, in making disbursements pursuant to any agreement
relating to the Loan, is under no obligation or duty to, nor has
Lender represented that it will, see to the application of such
proceeds, and any application or use of such proceeds for
purposes other than those provided for in such agreement shall
not defeat at the subordination herein made in whole or in part;
and
b. It intentionally and unconditionally waives, relinquishes and
subordinates the Lease and its leasehold interest thereunder in
favor of the lien or charge of the Mortgages, and in
consideration of this waiver, relinquishment and subordination,
specific loans and advances are being and will be made by Lender
to Landlord and, as part and parcel thereof, specific monetary
and other obligations are being and will be entered into by
Landlord and Lender which would not be made or entered into but
for said reliance upon this waiver, relinquishment and
subordination.
8. This Agreement shall bind and inure to the benefit of the parties
hereto, their successors and assigns. As used herein the term "Tenant" shall
include Tenant, its successors and assigns; the words "foreclosure" and
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"foreclosure sale" as used herein shall be deemed to include the acquisition of
Landlord's estate in the Premises by voluntary deed (or assignment) in lieu of
foreclosure; and the word "Lender" shall include the Lender herein specifically
named and any of its successors, participants and assigns, including anyone who
shall have succeeded to Landlord's interest in the Premises by, through or under
foreclosure of the Mortgages.
9. All notices, consents and other communications pursuant to the
provisions of this agreement shall be in writing and shall be sent by registered
or certified mail, return receipt requested, or by a reputable commercial
overnight carrier that provides a receipt, such as Federal Express or Airborne,
and shall be deemed given when postmarked and addressed as follows:
If to Lender:
with a copy to:
If to Tenant:
If to Landlord:
or to such other address as shall from time to time have been designated by
written notice by such party to the other parties as herein provided.
10. This Agreement shall be the whole and only agreement between the
parties hereto with regard to the subordination of the Lease and the Leasehold
interest of Tenant thereunder to the lien or charge of the Mortgages in favor of
Lender, and shall supersede and control any prior agreements as to such, or any
subordination, including, but not limited to, those provisions, if any,
contained in the Lease, which provide for the subordination of the Lease and the
leasehold interest of tenant thereunder to a deed or deeds of trust or to a
mortgage or mortgages to be thereafter executed, and shall not be modified or
amended and no provision herein shall be waived except in writing by the party
against which enforcement of any such modification or amendment is sought.
The use of the neuter gender in this Agreement shall be deemed to include
any other gender, and words in the singular number shall be held to include the
plural, when the sense requires. In the event any one or more of the provisions
of this agreement shall for any reason be held to be invalid, illegal or
unenforceable in any respect, such invalidity, illegality or unenforceability
shall not affect any other provision of this Agreement, but this Agreement shall
be construed as if such invalid, illegal or unenforceable provision had never
been contained herein. This Agreement shall be governed by and construed in
accordance with the laws of the State of ______________.
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IN WITNESS WHEREOF, the parties hereto have placed their hands and seals
the day and year first above written.
Signed and acknowledged in TENANT:
the presence of us:
_______________________
_____________________ By:____________________
Typed Name:
Title:
_____________________ Attest:________________
LANDLORD:
_____________________ By:____________________
Typed Name:
Title:
_____________________ Attest:________________
LENDER:
_____________________ By:____________________
Typed Name:
Title:
_____________________ Attest:________________
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EXHIBIT I
[FLOOR PLANS]
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MODIFICATION OF LEASE
THIS MODIFICATION OF LEASE ("the Modification") is entered
into this 4th day of August, 1997 by and between Corporate
Property Investors, a Massachusetts business trust
("Landlord") and Premiere Communications, Inc., a Georgia
corporation ("Tenant")
LANDLORD NAME AND ADDRESS: CORPORATE PROPERTY INVESTORS
Three Dag Hammarksjold Plaza
▇▇▇ ▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇
▇▇▇ ▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
TENANT NAME AND ADDRESS: Premiere Communications, Inc.
▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇, ▇.▇.
The ▇▇▇▇▇ ▇▇▇▇▇▇▇▇
▇▇▇▇▇ ▇▇▇
▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇
DATE OF LEASE: Executed March _____, 1997
ORIGINAL LEASED PREMISES: Suite #300 and 400 on the 3/rd/ and 4/th /
Floors
OFFICE BUILDING: The Lenox Building
EFFECTIVE DATE OF MODIFICATION: The later of September 1, 1997 or the date
on which Landlord delivers possession of the
Additional Space to Tenant
DATE OF AGREEMENT: August 4, 1997
R E C I T A L
WHEREAS, Landlord and Tenant entered into that certain Agreement of
Lease dated March 3, 1997 (the "Lease"), a true, accurate and complete copy of
which is attached hereto as Exhibit "A" and incorporated by reference; and
WHEREAS, Landlord and Tenant desire to amend the Lease to provide for
the expansion of the Premises (as defined in the Lease) to include Suite No. 500
and Suite 600, the Fifth (5th) and Sixth (6th) floors of The Lenox Building
(the "Additional Space"); WHEREAS,
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Landlord and Tenant have agreed to amend the Lease in accordance with the
terms of this Agreement.
A G R E E M E N T
NOW, THEREFORE, in consideration of the mutual covenants herein contained
it is hereby agreed as follows:
1. The Effective Date of the Modification shall be the later of
_____________ or the date on which Landlord delivers possession of the
Additional Space to Tenant ("Effective Date").
2. As of the Effective Date, Article I of the Lease,
"Premises" section Line 1 and 2 are hereby amended by deleting "No. 300 and 400,
Third (3rd) and Fourth (4th)" and inserting the "Nos. 300, 400, 500, and
600, Third (3rd) and Fourth (4th), Fifth (5th) and Sixth (6th)" in lieu
thereof.
3. As of the Effective Date, Article I of the Lease, "Size of Premises"
section, Line 1 is hereby amended by deleting the number "40,886" and by
inserting the number __________ to reflect the increase of the Size of the
Premises by 41,676 rentable square feet.
4. As the Effective Date, Rider 1(B) of the Lease is hereby amended by
deleting the number "35,553", pertaining to usable square footage, and by
inserting "71,793" and be deleting the number "40,886" pertaining to rentable
square footage and inserting the number "82,562".
5. As of the Effective Date, Article I of the Lease, "Tenant's Pro
Rata Share" section is hereby amended by deleting the number "11.74" and by
inserting the number "23.71" to reflect the increase of the Size of the
Premises.
6. As of the Effective Date, Article I of the Lease, "Fixed Rent"
section is hereby amended by deleting the existing section and by inserting the
following in lieu thereof:
Fixed Rent $1,733,802.00 per year through
----------
March 31, 2001: $1,816,364.00 per year from
April 1, 2001 through August 31, 2004; and $1,898,926.00 per year
from September 1, 2004 through August 31, 2007
7. As of the Effective Date, Article I of the Lease is hereby amended
by inserting the following section after the "Fixed Rent" section:
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Fixed Rent Abatement Tenant shall be entitled to an abatement of the fixed
rent attributable to Suite 600 for a full seven (7)
months from the later of September 1, 1997 or the date
on which Landlord delivers possession of Suite 600 to
Tenant
8. As the Effective Date, Exhibit B, annexed hereto, which describes
the Additional Space knows as Suite 500 and 600 shall be added to the Exhibit B
annexed to the Lease.
9. Amending Rider #44C Parking:
Line 2, delete "five (5)", and substitute "ten (10)"
10. As of the Effective Date, Article 2, Rider 3(B) of the Lease are
hereby amended by deleting Rider 3(B) and inserting the following:
Rider 3(B):
----------
Tenant is currently in possession of ▇▇▇▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇ ▇▇▇ of the
Premises pursuant to the Sublease. Tenant is familiar with ▇▇▇▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇
▇▇▇ of the Premises and accepts the same in an "as is" and "where is" condition,
and Landlord shall not be obligated to do any further construction or make any
additional improvements in ▇▇▇▇▇ ▇▇▇ ▇▇▇ ▇▇▇▇▇ ▇▇▇ of the Premises, except as
may otherwise by expressly provided herein. Landlord shall deliver ▇▇▇▇▇ ▇▇▇ ▇▇▇
▇▇▇▇▇ ▇▇▇ of the Premises to Tenant on the Effective Date of the Modification,
in broom-clean condition and free of all existing tenants.
Landlord acknowledges and agrees that Tenant shall be allowed to
make tenant improvements ("Tenant Improvements") to the Premises at any time
during the Term. Tenant shall provide Landlord with Tenant's drawings, plans and
specifications regarding the proposed Tenant Improvements to the Premises.
Landlord shall notify Tenant within Fifteen (15) days after its receipt of such
drawings, plans and specifications of its approval thereof, which shall not be
unreasonably withheld, or its objection to anything contained therein.
11. As of the Effective Date, Article 2 and Rider 3(D) to the Lease are
hereby amended by inserting the phrase and "and fifth (5th) and sixth (6th)
Floors" after the word "floors" on Line 4.
12. As of the Effective Date, Rider 4(A) to the Lease is hereby amended
by deleting the phrase and "and (4th) floor" on Line 3 and by inserting the
phrase "fourth (4th) floor and sixth (6th) floors"
13. As of the Effective Date, Section 7.1C and Rider 25 to the Lease
and amended such that Landlord represents and warrants that no conditions exist
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in the Additional Space as of the Effective Date which are not in compliance
with Government Authority in effect on the Effective Date and agrees to remedy
an such conditions in the same manner as provided for Suite 300 and 400 as of
the Commencement Date.
14. Amending Section 2.3 and 7.1 K
In the event Tenant shall construct an internal staircase between
floors to connect the various suite(s), Tenant shall, and Landlord's request,
remove same and restore the floors to individual rental units at the expiration
or earlier termination of the Lease.
In the event Tenant incorporate Common Areas of the Building into
Tenant's Premises and including, but not limited to, the elevator lobbies and
the restrooms, then Tenant shall, at Landlord's request, restore same to the
initial condition existing upon execution of this Modification at the expiration
or earlier termination of the Lease.
If Landlord elects to require Tenant to restore the Premises and
Common Areas as set forth above, then Landlord shall give Tenant notice at least
thirty (30) days prior to the expiration or sooner termination of the Term.
15. All additional rents and other charges attributable to the Additional
Space shall be prorated as of the Effective Date.
16. Except as provided herein all of the terms, conditions and covenants
of the Lease, including all items of additional rent, termination date and
rights of renewal shall remain the same and in full force and effect.
17. Any capitalized term used herein shall have the meaning ascribed to
it in the Lease.
18. Additional Provisions:
IN WITNESS WHEREOF, Landlord and Tenant have executed this Agreement as of
the date and year first written.
Tenant:
Premiere Communications, Inc.
By: /s/ ▇▇▇▇▇▇▇▇▇ ▇. VAIO
--------------------------
CORPORATE PROPERTY INVESTORS
By: /s/ ▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇
--------------------------
Vice President
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SECOND MODIFICATION OF LEASE
THIS MODIFICATION OF LEASE (the "Modification") is entered
into this ____ day of September, 1997 by and between
Corporate Property Investors, a Massachusetts business trust
("Landlord") and Premiere Communications, Inc., a Georgia
corporation ("Tenant")
LANDLORD NAME AND ADDRESS: CORPORATE PROPERTY INVESTORS
Three Dag Hammarksjold Plaza
▇▇▇ ▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇
▇▇▇ ▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
TENANT NAME AND ADDRESS: Premiere Communications, Inc.
▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇, ▇.▇.
The ▇▇▇▇▇ ▇▇▇▇▇▇▇▇
▇▇▇▇▇ ▇▇▇
▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇
DATE OF LEASE: Executed March 3, 1997, modified by
Modification of August 4, 1997
LEASED PREMISES: Suite #300 and 400 on the 3rd and 4th
Floors, and Suite 500 and Suite 600 on the 5th
and 6th Floor by Modification
OFFICE BUILDING: The Lenox Building
EFFECTIVE DATE OF MODIFICATION: The date of delivery of a fully executed
Modification from Landlord to Tenant
DATE OF AGREEMENT: October 30, 1997
R E C I T A L
WHEREAS, Landlord and Tenant entered into that certain Agreement of
Lease dated March 3, 1997 (the "Lease") and Modification of Lease date August 4,
1997.
WHEREAS, Landlord and Tenant desire to amend the Lease to provide for
the expansion of the Premises (as defined in the Lease) to include Suite No. 700
on the Seventh (7th) floor of The Lenox Building (the "Additional Space II");
Landlord and Tenant have agreed to amend the Lease in accordance
with the terms of this Agreement.
A G R E E M E N T
NOW, THEREFORE, in consideration of the mutual covenants herein contained
it is hereby agreed as follows:
1. The Effective Date of the Modification shall be the date on which
Landlord delivers possession of the Additional Space II to Tenant ("Effective
Date") (November 1, 1997).
2. As of the Effective Date, Article I of the Lease, "Premises" section
Line 1 and 2 are hereby amended by deleting "No. 300, 400, 500 and 600, Third
(3rd) and Fourth (4th), Fifth (5th) and Sixth (6th)" and inserting the
"Nos. 300, 400, 500, and 600, Third (3rd) and Fourth (4th), Fifth (5th),
Sixth (6th) and Seventh (7th)" in lieu thereof.
3. As of the Effective Date, Article I of the Lease, "Size of Premises"
section, Line 1 is hereby amended by deleting the number "82,562" and by
inserting the number "103,400" to reflect the increase of the Size of the
Premises by 20,838 rentable square feet.
4. As the Effective Date, Rider 1(B) of the Lease is hereby amended by
deleting the number "71,793", pertaining to useable square footage, and by
inserting "89,913" and by deleting the number "82,562" pertaining to rentable
square footage and inserting the number "103,400".
5. As of the Effective Date, Article I of the Lease, "Tenant's Pro Rata
Share" section is hereby amended by deleting the number "23.71" and by inserting
the number "29.70" to reflect the increase of the Size of the Premises.
6. As of the Effective Date, Article I of the Lease, "Fixed Rent" section
is hereby amended by deleting the existing section and by inserting the
following in lieu thereof:
Fixed Rent $2,171,400.00 per year through
----------
March 31, 2001: $2,274,800.00 per year from
April 1, 2001 through August 31, 2004; and $2,378,200.00 per year
from September 1, 2004 through August 31, 2007
7. As the Effective Date, Exhibit B, annexed hereto, which describes the
Additional Space II knows as Suite 700 shall be added to the Exhibit B annexed
to the Lease.
8. As of the Effective Date, Article 2, Rider 3(B) of the Lease are hereby
amended by deleting Rider 3(B) and inserting the following:
-2-
Rider 3(B):
----------
Tenant is familiar with Suite 700 of the Premises and accepts the same
in an "as is" and "where is" condition, and Landlord shall not be obligated to
do any further construction or make any additional improvements in Suite 700 of
the Premises, except as may otherwise by expressly provided herein. Landlord
shall deliver Suite 700 of the Premises to Tenant on the Effective Date of the
Modification, in broom-clean condition and free of all existing tenants.
Landlord acknowledges and agrees that Tenant shall be allowed to make
tenant improvements ("Tenant Improvements") to the Premises at any time during
the Term. Tenant shall provide Landlord with Tenant's drawings, plans and
specifications regarding the proposed Tenant Improvements to the Premises.
Landlord shall notify Tenant within Fifteen (15) days after its receipt of such
drawings, plans and specifications of its approval thereof, which shall not be
unreasonably withheld, or its objection to anything contained therein.
9. As of the Effective Date, Article 2 and Rider 3(D) to the Lease are
hereby amended by inserting the phrase and "and seventh (7th) Floors" after
the word "floors" on Line 4.
10. As of the Effective Date, Rider 4(A) to the Lease is hereby amended by
deleting the phrase and "and (4th) floor" on Line 3 and by inserting the
phrase "sixth (6th) floor and seventh (7th) Floors"
11. As of the Effective Date, Section 7.1C and Rider 25 to the Lease are
amended such that Landlord represents and warrants that no conditions exist in
the Additional Space II as of the Effective Date which are not in compliance
with Government Authority in effect on the Effective Date and agrees to remedy
an such conditions in the same manner as provided for Suite 300 and 400 as of
the Commencement Date.
13. Amending Section 2.3 and 7.1K
In the event Tenant shall construct an internal staircase between
floors to connect the various suite(s), Tenant shall, and Landlord's request,
remove same and restore the floors to individual rental units at the expiration
or earlier termination of the Lease.
In the event Tenant incorporate Common Areas of the Building into
Tenant's Premises and including, but not limited to, the elevator lobbies and
the restrooms, then Tenant shall, at Landlord's request, restore same to the
initial condition existing upon execution of this Modification at the expiration
or earlier termination of the Lease.
-3-
If Landlord elects to require Tenant to restore the Premises and
Common Areas as set forth above, then Landlord shall give Tenant notice at least
thirty (30) days prior to the expiration or sooner termination of the Term.
14. All additional rents and other charges attributable to the Additional
Space II shall be prorated as of the Effective Date.
15. Except as provided herein all of the terms, conditions and covenants
of the Lease, including all items of additional rent, termination date and
rights of renewal shall remain the same and in full force and effect.
16. Any capitalized term used herein shall have the meaning ascribed to it
in the Lease.
17. Additional Provisions:
So long as Tenant occupies the majority of the rentable square footage
it hires from Landlord in the Office Building then Landlord acknowledges and
agrees that Tenant's name will be placed on the sign located at the ▇▇▇▇▇▇
Avenue entrance of The Lenox Building's top parking deck. Tenant's display of
name shall be of the same size (i.e., area of sing face) and shall be the
highest placement of any other Office Building tenant on said sign.
Notwithstanding the foregoing, if at anytime a Governmental Authority
requires Landlord to remove or alter Tenant's sign, then Landlord shall have the
right to take such action as said Governmental Authority requires.
18. Additional Provisions: None
IN WITNESS WHEREOF, Landlord and Tenant have executed this
Agreement as of the date and year first written.
Tenant:
Premiere Communications, Inc.
By: /s/ ▇▇▇▇▇▇▇▇ ▇. Vaio
----------------------------
CORPORATE PROPERTY INVESTORS
By: /s/ ▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇▇
----------------------------
Vice President
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GUARANTOR
Acknowledged and Agreed to:
/s/ ▇▇▇▇▇▇▇▇ ▇. Vaio
--------------------------------
Premiere Technologies, Inc.
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