Common use of Tenant Improvement Work Clause in Contracts

Tenant Improvement Work. Tenant acknowledges and agrees that Tenant shallaccept the Expansion Space in its as-is condition. Furthermore, Tenant and Landlord and agree that Landlord shall not be obligated to provide or pay for any improvement work or services related to the improvement of the Expansion Space. Any and all Tenant improvements for theExpansion Space shall follow the procedure outlined in the Lease and shall be considered Alterations. Tenant shall provide all documents and comply with all requirements of the Alterations article in the Lease. Notwithstanding the foregoing, provided Tenant is not in default under the terms and conditions of the Lease beyond any applicable grace or cure period, Landlord shall contribute Twenty-Two Thousand Eight Hundred Ninety-Seven and 88/100 ($22,897.88) dollars to Tenant towards the actual costs incurred by Tenant to complete Tenant’s work (“Landlord’s Contribution”). Landlord’s Contribution may be applied by Tenant to the costs incurred by Tenant for labor engaged in the construction of Tenant’s work, materials delivered to the Premises in connection with the Tenant’s work, permits, and architectural fees, impact fees (to the extent not paid by Landlord), consulting and engineering fees incurred by Tenant for the design, permitting, and construction of Tenant’s work. Landlord’s Contribution shall not be used by Tenant for the costs of Tenant’s trade fixtures and equipment. At Tenant’s written election to Landlord, Landlord shall credit the Landlord’s Contribution towards the Base Rent, Operating Expenses and additional Rent. Such credit shall be applied by Landlord no earlier than the first anniversary of the Expansion Date and no later than one hundred twenty (120) days after Landlord’s receipt of (i) a statement from Tenant’s general contractor or architect affirming that all of Tenant’s work has been completed and paid for by Tenant; (ii) a final, unconditional lien waiver from Tenant’s general contractor performing Tenant’s work; and (iii) if required, a temporary Certificate of Completion or Occupancy (or similar equivalent) for the Total Premises issued by the applicable governmental authority that allows Tenant to use and occupy the Total Premises for the Permitted Uses. If Tenant stores, uses or disposes of any chemicals in the Expansion Space or uses the Expansion Space in any way that would require to ventilate the Expansion Space according to an ASHRE/laboratory standard Tenant shall comply with such standards at Tenant’s sole cost and expense. If the Expansion Space requires any changes to the building systems, including but not limited to, ventilation or modifications to the HVAC system, electrical or water systems, such changes or modifications shall be completed by Tenant at Tenant’s sole cost and expense.

Tenant Improvement Work. Tenant acknowledges and agrees that Tenant shallaccept the Expansion Space in its as-is condition. Furthermore, Tenant and Landlord and agree that Landlord shall perform certain Tenant Improvement Work defined in the Exhibit C to this Lease (the “Work Agreement”) and make installations in and on the Premises in order to prepare the Premises for Tenant’s occupancy, in accordance with the terms set forth in the Work Agreement. The costs that are associated with the Tenant Improvement Work and all phases thereof (including but not be obligated limited to provide or pay for any improvement work or services related to the improvement labor and materials, planning, permitting, administration, construction and/or installation phase of the Expansion Space. Any and all Tenant improvements for theExpansion Space work) shall follow the procedure outlined be included in the Lease and shall be considered AlterationsConstruction Allowance as delineated in Section 10.2 of the Work Agreement. Tenant shall provide all documents and comply be responsible for any costs associated with all requirements the Tenant Improvement Work that are in excess of the Alterations article in Construction Allowance. Should Landlord fail to begin the Lease. Notwithstanding Tenant Improvement Work as required herein, or stop the foregoingTenant Improvement Work for a period of 30 days for reasons other than a Force Majeure Event or Tenant Delay, provided Tenant is not in default under the terms may, upon 15 days prior written notice to Landlord and conditions of the Lease beyond any applicable grace or cure period, Landlord shall contribute Twenty-Two Thousand Eight Hundred Ninety-Seven and 88/100 ($22,897.88) dollars to Tenant towards the actual costs incurred by Tenant to complete Tenant’s work (“Landlord’s Contribution”). mortgagee, elect to perform or cause such work to be performed at Landlord’s Contribution may be applied by Tenant to the costs incurred by Tenant for labor engaged in the construction of Tenant’s work, materials delivered to the Premises in connection with the Tenant’s work, permits, and architectural fees, impact fees (to the extent not paid by Landlord), consulting and engineering fees incurred by Tenant for the design, permitting, and construction of Tenant’s work. Landlord’s Contribution shall not be used by Tenant for the costs of Tenant’s trade fixtures and equipment. At Tenant’s written election to Landlord, Landlord shall credit the Landlord’s Contribution towards the Base Rent, Operating Expenses and additional Rent. Such credit shall be applied by Landlord no earlier than the first anniversary of the Expansion Date and no later than one hundred twenty (120) days after Landlord’s receipt of (i) a statement from Tenant’s general contractor or architect affirming that all of Tenant’s work has been completed and paid for by Tenant; (ii) a final, unconditional lien waiver from Tenant’s general contractor performing Tenant’s work; and (iii) if required, a temporary Certificate of Completion or Occupancy (or similar equivalent) for the Total Premises issued by the applicable governmental authority that allows Tenant to use and occupy the Total Premises for the Permitted Uses. If Tenant stores, uses or disposes of any chemicals in the Expansion Space or uses the Expansion Space in any way that would require to ventilate the Expansion Space according to an ASHRE/laboratory standard Tenant shall comply with such standards at Tenant’s sole cost and expenseexpense unless within such 15 day period Landlord is able to commence or resume the Tenant Improvement Work. If Tenant performs any Tenant Improvement Work, and Landlord fails to reimburse Tenant upon demand for the Expansion Space requires cost of any changes portion of the Tenant Improvement Work performed by Tenant, Tenant shall have the right to the building systemsoffset such sum against monthly installments of Base Rent as Base Rent becomes due, including but not limited to, ventilation or modifications in an amount up to the HVAC system, electrical or water systems, such changes or modifications shall be completed by **** of each installment until Tenant at Tenant’s sole cost and expensehas been fully reimbursed.

Tenant Improvement Work. Tenant acknowledges shall be responsible for the cost of all Tenant Improvement Work to the Premises, including, without limitation, any security equipment desired by Tenant, which Tenant Improvement Work shall be constructed only after Landlord has given its prior written approval to such work, and, only after Tenant has obtained any necessary permits from governmental authorities having jurisdiction, and agrees that furnished copies of the permits to Landlord. Landlord shall approve all contractors or subcontractors for the Tenant shallaccept Improvement Work. EXHIBIT B contains a description of the Expansion Space in its as-is conditionTenant Improvement Work which has been agreed to by Landlord. FurthermoreUpon Landlord's demand, Tenant and shall deposit with Landlord and agree that Landlord shall not be obligated to provide or pay for any improvement work or services related 100% of the estimated costs of the Tenant Improvement Work prior to the improvement commencement of the Expansion Space. Any and all Tenant improvements for theExpansion Space shall follow the procedure outlined in the Lease and shall be considered Alterationsany work. Tenant shall provide all documents and comply with all requirements guarantees to complete said work free of the Alterations article in the Leaseany liens of contractors or suppliers. Notwithstanding the foregoing, provided if any mechanic's lien is filed against the Premises, the Building or the Property for work or materials done for or furnished to Tenant, or claimed to have been done for or furnished to Tenant, the lien shall be discharged by Tenant is not in default under within ten (10) days of written notice thereof, solely at Tenant's expense, by paying off or bonding the terms lien. Tenant shall indemnify and conditions hold Landlord harmless from and against any and all liabilities, costs, expenses, liens, suits, claims, demands or damage to persons or property which may arise from the making of the Lease beyond Tenant Improvement Work. If any applicable grace Tenant Improvement Work or cure period, Landlord shall contribute Twenty-Two Thousand Eight Hundred Ninety-Seven and 88/100 ($22,897.88) dollars to Tenant towards subsequent alteration is made without the actual costs incurred by Tenant to complete Tenant’s work (“Landlord’s Contribution”). Landlord’s Contribution may be applied by Tenant to the costs incurred by Tenant for labor engaged in the construction prior written consent of Tenant’s work, materials delivered to the Premises in connection with the Tenant’s work, permits, and architectural fees, impact fees (to the extent not paid by Landlord), consulting and engineering fees incurred by Tenant for the design, permitting, and construction of Tenant’s work. Landlord’s Contribution shall not be used by Tenant for the costs of Tenant’s trade fixtures and equipment. At Tenant’s written election to Landlord, Landlord shall credit may correct or remove the Landlord’s Contribution towards the Base Rent, Operating Expenses and additional Rent. Such credit shall be applied by Landlord no earlier than the first anniversary of the Expansion Date and no later than one hundred twenty (120) days after Landlord’s receipt of (i) a statement from Tenant’s general contractor or architect affirming that all of Tenant’s work has been completed and paid for by Tenant; (ii) a final, unconditional lien waiver from Tenant’s general contractor performing Tenant’s work; and (iii) if required, a temporary Certificate of Completion or Occupancy (or similar equivalent) for the Total Premises issued by the applicable governmental authority that allows Tenant to use and occupy the Total Premises for the Permitted Uses. If Tenant stores, uses or disposes of any chemicals in the Expansion Space or uses the Expansion Space in any way that would require to ventilate the Expansion Space according to an ASHRE/laboratory standard Tenant shall comply with such standards alteration at Tenant’s sole cost and expense. If the Expansion Space requires any changes to the building systems, including but not limited to, ventilation or modifications to the HVAC system, electrical or water systems, such changes or modifications shall be completed by Tenant at Tenant’s sole cost and 's expense.

Tenant Improvement Work. (a) Lessor shall provide Lessee with a tenant improvement allowance of One Hundred Three Thousand One Hundred Twenty Dollars ($103,120) ($5.00 per rentable square foot) (the “Tenant acknowledges and agrees that Tenant shallaccept Improvement Allowance”) to defray a portion of the Expansion Space in its as-is condition. Furthermore, Tenant and Landlord and agree that Landlord shall not be obligated to provide or pay for any improvement work or services related cost of the real property improvements to the improvement Premises (“Tenant Improvement Work”) listed on Exhibit “E” attached hereto. The entire balance of the Expansion Space. Any and all cost of the Tenant improvements for theExpansion Space shall follow the procedure outlined in the Lease and Improvement Work shall be considered Alterations. Tenant performed at Lessee’s expense. (b) Lessor shall provide all documents and comply enter into a contract with all requirements of the Alterations article in the Lease. Notwithstanding the foregoing, provided Tenant is not in default under the terms and conditions of the Lease beyond any applicable grace or cure period, Landlord shall contribute Twenty-Two Thousand Eight Hundred Ninety-Seven and 88/100 ($22,897.88) dollars to Tenant towards the actual costs incurred by Tenant to complete Tenant’s work (“Landlord’s Contribution”). Landlord’s Contribution may be applied by Tenant to the costs incurred by Tenant a licensed general contractor for labor engaged in the construction of Tenant’s workthe Tenant Improvement Work . The general contractor shall be selected jointly by Lessor and Lessee from a list of approved contractors prepared by the Lessor. The Tenant Improvement Work shall be performed pursuant to the plans and specifications approved in writing by Lessor and Lessee. (c) The Tenant Improvement Work shall be constructed under the direct supervision of Txxxxxx Properties, Inc., as construction manager, at a fee of five percent (5%) of hard construction costs (i.e., the amounts paid to the general contractor, subcontractors, vendors, and suppliers for labor and materials delivered for the construction of the Tenant Improvements) as a cost of the Tenant Improvement Work. The general contractor shall perform the work pursuant to a negotiated fixed fee guaranteed maximum price contract. The work shall be performed on an “open book” basis with a post-job audit of all costs by a representative from both Lessee and Txxxxxx Properties, Inc. (d) Subject to completion of the Tenant Improvement Work, Lessee waives all right to make repairs at the expense of Lessor, or to deduct the costs thereof from the rent, and Lessee waives all rights under Section 1941 and 1942 of the Civil Code of the State of California. At the termination of this Lease, Lessee shall surrender the Premises in connection with a clean and good condition, except for ordinary wear and tear and except for damage caused by casualty, the Tenant’s workelements, permits, and architectural fees, impact fees (to the extent not paid by Landlord), consulting and engineering fees incurred by Tenant for the design, permitting, and construction acts of Tenant’s work. Landlord’s Contribution shall not be used by Tenant for the costs of Tenant’s trade fixtures and equipment. At Tenant’s written election to Landlord, Landlord shall credit the Landlord’s Contribution towards the Base Rent, Operating Expenses and additional Rent. Such credit shall be applied by Landlord no earlier than the first anniversary of the Expansion Date and no later than one hundred twenty (120) days after Landlord’s receipt of (i) a statement from Tenant’s general contractor or architect affirming that all of Tenant’s work has been completed and paid for by Tenant; (ii) a final, unconditional lien waiver from Tenant’s general contractor performing Tenant’s work; and (iii) if requiredGod, a temporary Certificate taking by eminent domain, alterations or other improvements made by Lessee with Lessor’s prior written consent which Lessee is not required to remove as a condition to Lessor’s approval of Completion such alterations or Occupancy (or similar equivalent) for the Total Premises issued by the applicable governmental authority that allows Tenant to use and occupy the Total Premises for the Permitted Uses. If Tenant stores, uses or disposes of any chemicals in the Expansion Space or uses the Expansion Space in any way that would require to ventilate the Expansion Space according to an ASHRE/laboratory standard Tenant shall comply with such standards at Tenant’s sole cost and expense. If the Expansion Space requires any changes to the building systems, including but not limited to, ventilation or modifications to the HVAC system, electrical or water systems, such changes or modifications shall be completed by Tenant at Tenant’s sole cost and expenseimprovements.