Contraction. Provided Tenant is not in default under the terms of this Lease, after all applicable cure periods, at the time it gives notice of the proposed contraction date, and at the contraction date, and provided Tenant is not in default beyond the applicable cure period on more than one occasion between the notice and contraction date, and Tenant has not, within five (5) years of the effective date of such contraction, expanded the Demised Premises under Paragraph 1(c), Tenant shall have the right to contract Tenant's Rentable Area by 10,000 square feet, which is denominated on Exhibit "E" as "Contraction Area". The right to contract shall only be effective after the sixtieth (60th) month following the "Rent Commencement Date" (as hereinafter defined). Tenant shall provide Landlord not less than nine (9) months prior written notice of the proposed contraction date, which date shall only be effective on the last day of a calendar month. Coincident with providing Landlord notice of Tenant's intent to contract the Demised Premises, Tenant shall pay to Landlord a "Contraction Penalty" equal to the cost of construction of demising the premises plus all unamortized lease up costs, allocated to the Contraction Area at a rate of seven percent (7%) per annum, which shall include, but not be limited to, the "Tenant Allowance", "Extra Tenant Allowance", "Touch up Allowance", if applicable and as hereinafter defined, real estate commissions and any Expansion Allowance expended by Landlord under Paragraph 1(c) (collectively "Lease Up Costs"). The amortization period for the Lease Up Costs shall be ten (10) years from the Rent Commencement Date ("Unamortized Lease Up Costs") and the calculation of the allocated portion shall be based upon the ratio of the Tenant's Rentable Area in the Contraction Area to the Tenant's Rentable Area in the Building. Landlord shall have the right to lease the Contraction Area to a tenant and for a use not inconsistent with Tenant's use. Landlord and Tenant shall amend this Lease to reflect the contraction of the Demised Premises and the pro rata reduction in Base Rent based on the square footage of the Contraction Area, and to permit joint use of reasonable "common areas" necessary for the new tenant. At Tenant's request, Landlord shall cooperate with Tenant to relocate the loading dock from the Contraction Area to the remainder of the Demised Premises. Landlord will construct such relocated loading dock at Tenant's request and expense; however, Tenant shall have the right to obtain competitive bids for any such work to be paid by Tenant or similar work relating to contraction provided that Landlord approves the chosen contractor and the work, which approval shall not be unreasonably withheld, conditioned or delayed. If Landlord does not agree to match the competitive bid, Tenant may employ said contractor. The Property shall remain as a single-tenant facility unless Tenant has exercised its right to contract under this Paragraph 1(b).
Appears in 1 contract
Samples: Lease (SBS Technologies Inc)
Contraction. Provided Tenant is not in default under the terms of this Lease, after all applicable cure periods, at the time it gives notice of the proposed contraction date, and at the contraction date, and provided Tenant is not in default beyond the applicable cure period on more than one occasion between the notice and contraction date, and Tenant has not, within five (5) years of the effective date of such contraction, expanded the Demised Premises under Paragraph 1(c), Tenant shall have the a one-time right to contract Tenant's Rentable Area terminate a portion of the Leased Premises consisting of the top floor (sixth floor) of the Leased Premises, or another full floor if mutually agreed upon by 10,000 square feetLandlord and Tenant (the “Terminated Floor”) effective March 1, which is denominated on Exhibit "E" as "Contraction Area". The right to contract shall only be effective after the sixtieth (60th) month following the "Rent Commencement Date" (as hereinafter defined). Tenant shall provide Landlord 2017 by providing not less than nine (9) months prior written notice to Landlord (“Contraction Notice”), and, simultaneous with the delivery of the proposed Contraction Notice to Landlord, paying a contraction datefee of $625,000 (“Contraction Fee”). The Contraction Fee shall be reported as receipt of a “Contraction Fee” in Landlord’s electronic financial records, which date it being the intention of the parties that the Contraction Fee is not for rent or use of the Leased Premises and that no State of Florida sales tax shall only be effective due on the last day of a calendar monthContraction Fee. Coincident If sales tax is required to be paid with providing Landlord notice of Tenant's intent respect to contract the Demised Premises8 O1037432.2 5/9/2014 Contraction Fee, the Tenant shall pay to Landlord a "Contraction Penalty" equal said sales tax, plus all interest, late fees and penalties, within thirty (30) days of imposition by the Florida Department of Revenue, unless the same was due, solely and directly, to the cost Landlord’s failure to record the Contraction Fee as a Contraction Fee in Landlord’s electronic financial records. Tenant agrees to indemnify Landlord as to any claims, damages, liability or expenses of construction of demising the premises plus all unamortized lease up Landlord, including reasonable attorneys' fees or costs, allocated arising from or related to sales tax that may be due with respect to the Contraction Area Fee, including any interest, late fees and penalties. This indemnity shall survive the contraction or expiration of the Lease. The foregoing option to downsize is subject to there being no event of default by Tenant under this Lease at a rate the time such option is exercised that is not cured within the applicable cure period and provided that Landlord has not given Tenant notice of seven percent default more than two (7%2) per annum, which shall include, but not be limited totimes during the immediately preceding twelve (12) months. Upon Tenant properly exercising its contraction option set forth in this paragraph, the "number of parking spaces allocated to Tenant Allowance", "Extra Tenant Allowance", "Touch up Allowance", if applicable and as hereinafter defined, real estate commissions and any Expansion Allowance expended by Landlord under Paragraph 1(c) (collectively "Lease Up Costs"). The amortization period for the Lease Up Costs shall be ten (10) years from the Rent Commencement Date ("Unamortized Lease Up Costs") reduced by 91 spaces, and the calculation provisions of the allocated portion Section 4(c) shall be based upon the ratio of the Tenant's Rentable Area in the Contraction Area to the Tenant's Rentable Area in the Building. Landlord triggered so that Tenant shall no longer have the right to lease provide the Tenant Maintenance Services. Tenant shall be required to modify Tenant’s security features to allow access to the Terminated Floor, through the building elevators, freight elevator and stairwells, by one or more other tenants of the Building, without passing through Tenant’s security features. Tenant shall not be required to remove or modify any improvements in the common areas and lobby as existing and configured as of the date hereof but may be required to do so in the event of substantive alterations to the common areas and lobby in the future; provided, however, that Tenant shall not be obligated to make any such alterations unless, at the time that Landlord approves the plans and specifications for such alterations, Landlord advises Tenant, in writing, of which proposed improvements to the common areas and lobby area on the first floor will have to be altered if and when the Contraction Area to a tenant and for a use not inconsistent with Tenant's useRight is exercised. Such changes shall be contained in an amendment signed by Landlord and Tenant shall amend this Lease prior to reflect the contraction taking effect. The contraction right of Tenant, described in in this Section 6(a) (the “Contraction Right”), is personal to Tenant and any assignees that were either consented to or deemed consented to by Landlord, or are Affiliates and are non-transferable to any other assignee or sublessee. If all or a portion of the Demised Leased Premises and the pro rata reduction in Base Rent based on the square footage excess of one (1) full floor has been sublet to any third party other than an Affiliate, the Contraction Area, Right shall be deemed null and to permit joint use of reasonable "common areas" necessary for the new tenant. At Tenant's request, Landlord void and Tenant and/or any such sublessee shall cooperate with Tenant to relocate the loading dock from the Contraction Area to the remainder of the Demised Premises. Landlord will construct such relocated loading dock at Tenant's request and expense; however, Tenant shall not have the right to obtain competitive bids for any exercise such work to be paid by Tenant or similar work relating to contraction provided that Landlord approves the chosen contractor and the work, which approval shall not be unreasonably withheld, conditioned or delayedContraction Right. If Landlord does not agree to match the competitive bid, Tenant may employ said contractor. The Property shall remain as a single-tenant facility unless Tenant has exercised its right to contract under this Paragraph 1(b(b).
Appears in 1 contract
Samples: www.sec.gov
Contraction. Provided Tenant is not in default under the terms of this Lease, after all applicable cure periods, at the time it gives notice of the proposed contraction date, and at the contraction date, and provided Tenant is not in default beyond the applicable cure period on more than one occasion between the notice and contraction date, and Tenant has not, within five (5) years of the effective date of such contraction, expanded the Demised Premises under Paragraph 1(c), Tenant shall have the a one-time right to contract Tenant's Rentable Area terminate a portion of the Leased Premises consisting of the top floor (sixth floor) of the Leased Premises, or another full floor if mutually agreed upon by 10,000 square feetLandlord and Tenant (the “Terminated Floor”) effective March 1, which is denominated on Exhibit "E" as "Contraction Area". The right to contract shall only be effective after the sixtieth (60th) month following the "Rent Commencement Date" (as hereinafter defined). Tenant shall provide Landlord 2017 by providing not less than nine (9) months prior written notice to Landlord (“Contraction Notice”), and, simultaneous with the delivery of the proposed Contraction Notice to Landlord, paying a contraction datefee of $625,000 (“Contraction Fee”). The Contraction Fee shall be reported as receipt of a “Contraction Fee” in Landlord’s electronic financial records, which date it being the intention of the parties that the Contraction Fee is not for rent or use of the Leased Premises and that no State of Florida sales tax shall only be effective due on the last day of a calendar monthContraction Fee. Coincident If sales tax is required to be paid with providing Landlord notice of Tenant's intent respect to contract the Demised PremisesO1037432.2 5/9/2014 Contraction Fee, the Tenant shall pay to Landlord a "Contraction Penalty" equal said sales tax, plus all interest, late fees and penalties, within thirty (30) days of imposition by the Florida Department of Revenue, unless the same was due, solely and directly, to the cost Landlord’s failure to record the Contraction Fee as a Contraction Fee in Landlord’s electronic financial records. Tenant agrees to indemnify Landlord as to any claims, damages, liability or expenses of construction of demising the premises plus all unamortized lease up Landlord, including reasonable attorneys' fees or costs, allocated arising from or related to sales tax that may be due with respect to the Contraction Area Fee, including any interest, late fees and penalties. This indemnity shall survive the contraction or expiration of the Lease. The foregoing option to downsize is subject to there being no event of default by Tenant under this Lease at a rate the time such option is exercised that is not cured within the applicable cure period and provided that Landlord has not given Tenant notice of seven percent default more than two (7%2) per annum, which shall include, but not be limited totimes during the immediately preceding twelve (12) months. Upon Tenant properly exercising its contraction option set forth in this paragraph, the "number of parking spaces allocated to Tenant Allowance", "Extra Tenant Allowance", "Touch up Allowance", if applicable and as hereinafter defined, real estate commissions and any Expansion Allowance expended by Landlord under Paragraph 1(c) (collectively "Lease Up Costs"). The amortization period for the Lease Up Costs shall be ten (10) years from the Rent Commencement Date ("Unamortized Lease Up Costs") reduced by 91 spaces, and the calculation provisions of the allocated portion Section 4(c) shall be based upon the ratio of the Tenant's Rentable Area in the Contraction Area to the Tenant's Rentable Area in the Building. Landlord triggered so that Tenant shall no longer have the right to lease provide the Tenant Maintenance Services. Tenant shall be required to modify Tenant’s security features to allow access to the Terminated Floor, through the building elevators, freight elevator and stairwells, by one or more other tenants of the Building, without passing through Tenant’s security features. Tenant shall not be required to remove or modify any improvements in the common areas and lobby as existing and configured as of the date hereof but may be required to do so in the event of substantive alterations to the common areas and lobby in the future; provided, however, that Tenant shall not be obligated to make any such alterations unless, at the time that Landlord approves the plans and specifications for such alterations, Landlord advises Tenant, in writing, of which proposed improvements to the common areas and lobby area on the first floor will have to be altered if and when the Contraction Area to a tenant and for a use not inconsistent with Tenant's useRight is exercised. Such changes shall be contained in an amendment signed by Landlord and Tenant shall amend this Lease prior to reflect the contraction taking effect. The contraction right of Tenant, described in in this Section 6(a) (the “Contraction Right”), is personal to Tenant and any assignees that were either consented to or deemed consented to by Landlord, or are Affiliates and are non-transferable to any other assignee or sublessee. If all or a portion of the Demised Leased Premises and the pro rata reduction in Base Rent based on the square footage excess of one (1) full floor has been sublet to any third party other than an Affiliate, the Contraction Area, Right shall be deemed null and to permit joint use of reasonable "common areas" necessary for the new tenant. At Tenant's request, Landlord void and Tenant and/or any such sublessee shall cooperate with Tenant to relocate the loading dock from the Contraction Area to the remainder of the Demised Premises. Landlord will construct such relocated loading dock at Tenant's request and expense; however, Tenant shall not have the right to obtain competitive bids for any exercise such work to be paid by Tenant or similar work relating to contraction provided that Landlord approves the chosen contractor and the work, which approval shall not be unreasonably withheld, conditioned or delayed. If Landlord does not agree to match the competitive bid, Tenant may employ said contractor. The Property shall remain as a single-tenant facility unless Tenant has exercised its right to contract under this Paragraph 1(b)Contraction Right.
Appears in 1 contract
Samples: Lease (Electronic Arts Inc.)
Contraction. Provided Tenant is not 26.1 Notwithstanding anything in default under the terms of this Lease, after all applicable cure periods, at Lease to the time it gives notice of the proposed contraction date, and at the contraction date, and provided Tenant is not in default beyond the applicable cure period on more than one occasion between the notice and contraction date, and Tenant has not, within five (5) years of the effective date of such contraction, expanded the Demised Premises under Paragraph 1(c)contrary, Tenant shall have the right one-time right, exercisable at its option, to contract Tenant's Rentable Area by 10,000 square feetterminate the Lease for all, which is denominated on Exhibit "E" as "Contraction Area"and only all, of the tenth (10th) floor space of the Premises (“Termination Option”) with such termination to be effective at any time after the expiration of Lease Year 5 (the actual termination date hereinafter referred to the “10th Floor Early Termination Date”). The right Termination Option may be only exercised by Tenant by providing Landlord with not less than twelve (12) months written notice and paying Landlord, prior to contract the 10th Floor Early Termination Date, a termination fee in an amount equal to the sum of the unamortized amounts of the Renovation Improvements Allowance and the brokerage commissions payable in connection with the Lease, all as allocable to the space terminated on a square foot basis and using a nine percent (9%) amortization rate and 12.5-year amortization term. On or before the 10th Floor Early Termination Date Tenant shall only be effective surrender the tenth (10th) floor space to Landlord in the condition required for the surrender of the Premises on the expiration or earlier termination of this Lease. Promptly after the sixtieth 10th Floor Early Termination Date, Landlord and Tenant shall promptly execute and deliver an amendment to this Lease setting forth any necessary conforming modifications to Section 1.2, Section 3 and Section 14.1(k) of this Lease (60thit being acknowledged that Section 14.1(k) month following the "Rent Commencement Date" (as hereinafter definedshall be deleted from this Lease). Tenant shall provide Landlord not less than nine (9) months prior written have no right to terminate this Lease in accordance with this Section if Tenant is in default of any of its obligations under this Lease, past any applicable notice of the proposed contraction dateand cure period, which date shall only be effective on the last day of a calendar month. Coincident with providing Landlord notice of Tenant's intent to contract the Demised Premises, date Tenant shall pay to Landlord a "Contraction Penalty" equal to the cost of construction of demising the premises plus all unamortized lease up costs, allocated to the Contraction Area at a rate of seven percent (7%) per annum, which shall include, but not be limited to, the "Tenant Allowance", "Extra Tenant Allowance", "Touch up Allowance", if applicable and as hereinafter defined, real estate commissions and any Expansion Allowance expended by Landlord under Paragraph 1(c) (collectively "Lease Up Costs"). The amortization period for the Lease Up Costs shall be ten (10) years from the Rent Commencement Date ("Unamortized Lease Up Costs") and the calculation of the allocated portion shall be based upon the ratio of the Tenant's Rentable Area in the Contraction Area to the Tenant's Rentable Area in the Building. Landlord shall have the exercises such termination right to lease the Contraction Area to a tenant and for a use not inconsistent with Tenant's use. Landlord and Tenant shall amend this Lease to reflect the contraction of the Demised Premises and the pro rata reduction in Base Rent based or on the square footage effective date of the Contraction Area, and to permit joint use of reasonable "common areas" necessary for the new tenant. At Tenant's request, Landlord shall cooperate with Tenant to relocate the loading dock from the Contraction Area to the remainder of the Demised Premises. Landlord will construct such relocated loading dock at Tenant's request and expense; however, Tenant shall have the right to obtain competitive bids for any such work to be paid by Tenant or similar work relating to contraction provided that Landlord approves the chosen contractor and the work, which approval shall not be unreasonably withheld, conditioned or delayed. If Landlord does not agree to match the competitive bid, Tenant may employ said contractor. The Property shall remain as a single-tenant facility unless Tenant has exercised its right to contract under this Paragraph 1(b)termination.
Appears in 1 contract
Samples: Consolidated Lease Agreement (Price T Rowe Group Inc)
