LEASE - BUSINESS PROPERTY
Exhibit 10.115
LEASE - BUSINESS PROPERTY
THIS LEASE, is entered into on January 29th, 2018, by and between Penta Partners, LLC, an Iowa Limited Liability Company (“Landlord”) whose address for the purpose of this lease is 0000 Xxxxxxxxxx Xxxxxx, Xxxxx 000, Xxxx Xxx Xxxxxx, XX 00000, and Xxxxxx Mail Contractors Inc., a Wisconsin Corporation (“Tenant”) whose address for the purpose of this lease is 000 Xxxxxxx Xxxxxx, Xxxxxxxx, XX 00000.
Xxx 0 xx Xxxxxxxxxx Xxxxxxxx Xxxx of Grimes Plat 4, an Official Plat, now included in and forming a part of the City of Xxxxxx, Polk County, Iowa.
with the improvements thereon, and all rights, easements and appurtenances, which, more particularly, includes the space and premises as may be shown on “Exhibit A,” if attached, for a term of 66 months, commencing at midnight of the day previous to the first day of the lease term, which shall be on January 1, 2018 and ending at midnight on the last day of the lease term, which shall be on June 30, 2023, upon the condition that the Tenant pays rent therefor, and otherwise performs as in this lease provided.
In addition to the above monthly rental Tenant shall also pay: per diem property taxes and insurance. All sums shall be paid at the address of Landlord, as above designated, or at such other place in Iowa, or elsewhere, as the Landlord may, from time to time, designate in writing. Delinquent payments shall draw interest at 10 % per annum from the due date, until paid.
2(2). “TRIPLE NET” PROVISIONAL (OPTIONAL)
INITIAL IF APPLICABLE
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Tenant agrees that all duties and obligations to repair, maintain and provide utilities and services (paragraphs 6 and 7), to pay taxes and special assessments (paragraph 10) and to pay for casualty and liability insurance (paragraph 11) shall be borne solely by Tenant during the term of this lease. (If the parties select this provision, all duties and obligations set forth in paragraphs 6, 7, 10 and 11 shall be performed by the Tenant). |
The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
6. EQUIPMENT, DECORATING, REPLACEMENT, REPAIR AND MAINTENANCE.
“Maintain” means to clean and keep in good condition.
“Repair” means to fix and restore to good condition alter damage, deterioration or partial destruction.
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A. |
Tenant takes the premises in its present condition, except for such repairs and alterations as may be expressly otherwise provided in this lease. |
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B. |
Landlord shall replace and repair the structural parts of the building. For purposes of this lease, the structural parts of the building shall mean the foundation, exterior walls, load bearing components of interior floors and walls, the roof and all sewers, pipes, wiring and electrical fixtures outside of the structure. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
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C. |
Repair shall be performed and paid for by the parties as follows: |
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PERFORMANCE |
PAYMENT |
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L=LANDLORD |
% Landlord |
% Tenant |
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T=TENANT |
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Interior walls, floors and ceilings |
T |
0 |
100 |
Sewer, plumbing fixtures, pipes, wiring, electrical fixtures within the structure |
T |
0 |
100 |
Heating equipment |
T |
0 |
100 |
Air conditioning |
T |
0 |
100 |
Plate glass (replacement) |
T |
0 |
100 |
Sidewalks |
T |
0 |
100 |
Parking areas |
T |
0 |
100 |
Other common areas |
N/A |
N/A |
N/A |
(strike if inapplicable) |
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D. |
Landlord shall be responsible for maintenance of all common area under Landlord’s control. Tenant shall be responsible for all other maintenance, except,___________________________________________________________. If the Tenant has shared maintenance responsibilities with other Tenants, this Tenant’s share of maintenance is N/A %. |
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E. |
Any repair or maintenance not specifically provided for above shall be performed and paid for by Tenant (subject to LIMITATION, if any, regarding repairs in Paragraph C, above). |
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F. |
Each party shall perform their responsibilities of repair and maintenance to the end that the premises will be kept in a safe and serviceable condition. Neither party will permit nor allow the premises to be damaged or depreciated in value by any act, omission to act, or negligence of itself, its agents or employees. |
EQUIPMENT, DECORATING AND ALTERATIONS
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G. |
The following items of equipment, furnishings and fixtures shall be supplied and replaced by the parties as follows: |
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SUPPLIED |
REPLACED |
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L=Landlord |
L=Landlord |
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T=Tenant |
T=Tenant |
Heating equipment |
L |
T |
Air conditioning equipment |
L |
T |
Carpeting/floor covering |
L |
T |
Drapes, shades, blinds |
L |
T |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
Any similar equipment, furnishings, and fixtures not specifically provided for above shall be provided and paid for by Landlord, except: _________________________________________________________________. Any equipment, furnishings or fixtures to be supplied by Tenant shall be subject to the Landlord’s prior written approval as to quality and method of installation. Tenant shall provide all trade equipment, furnishings and fixtures used in connection with the operation of its business, such as telephones, computers, desks, chairs, shelving and similar items.
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H. |
Landlord shall provide and pay for the following items of interior decorating: N/A |
AMERICANS WITH DISABILITIES ACT
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I. |
Tenant will make no unlawful use of said premises and agrees to comply with all valid regulations of the Board of Health, City Ordinances or applicable municipality, the laws of the State of Iowa and the Federal government, but this provision shall not be construed as creating any duty by Tenant to members of the general public, provided, however, responsibility for compliance with the Americans with Disabilities Act shall be performed and paid for by the parties as follows: |
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% Landlord |
% Tenant |
Common areas |
N/A |
N/A |
Tenants area: |
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Initial compliance (specify) |
0 |
100 |
Future compliance |
0 |
100 |
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PERFORMANCE |
PAYMENT |
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L=LANDLORD |
% Landlord |
% Tenant |
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T=TENANT |
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Electricity |
T |
0 |
100 |
Gas |
T |
0 |
100 |
Water and Sewer |
T |
0 |
100 |
Garbage/Trash |
T |
0 |
100 |
Janitor/Cleaning |
T |
0 |
100 |
Common areas |
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Other: |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
8. TERMINATION, SURRENDER OF PREMISES AT END OF TERM - REMOVAL OF FIXTURES.
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A. |
TERMINATION. This lease shall terminate upon expiration or the original term; or if this lease expressly provides for any option to renew, and if any such option is exercised by the Tenant, then this lease will terminate at the expiration of’ the option term or terms. |
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B. |
OPTION TO RENEW. |
INITIAL IF APPLICABLE
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Tenant may renew this lease for ____ additional terms of ____ years each by giving Landlord a written notice or intent to renew at least ____ days prior to the expiration of the term that precedes each such renewal term. Each renewal will be on the same terms and condition as the original term, except the rent for each renewal will be as follows: First renewal term: $________ per month Second renewal term: $________ per month Other: ____________________________________________________________ |
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C. |
SURRENDER. Tenant agrees that upon termination of this lease it will surrender and deliver the premises in good and clean condition, except the effects of ordinary wear and tear and depreciation arising from lapse of time, or damage without fault or liability of Tenant. |
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D. |
HOLDING OVER. Continued possession by Tenant, beyond the expiration of its tenancy, coupled with the receipt of the specified rental by the Landlord (and absent a written agreement by both parties for an extension of this lease, or for a new lease) shall constitute a month to month extension of the lease. |
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E. |
REMOVAL OF FIXTURES. Tenant may, at the expiration of its tenancy, if Tenant is not in default, remove any fixtures or equipment which Tenant has installed in the premises, providing Tenant repairs any and all damages caused by removal. |
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A. |
All installments of real estate taxes would become delinquent if not paid during the term of this lease, shall be paid by the parties in the following proportions: |
Landlord ____% |
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Tenant 100 % |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
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B. |
Any increase in such installments that exceeds the amount of the installment that would be delinquent if not paid by ____________ shall be paid as follows: |
Landlord ____% |
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Tenant 100 % |
Landlord ____% |
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Tenant 100 % |
Landlord ____% |
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Tenant 100 % |
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E. |
Each party reserves its right of protest of any assessment of taxes. |
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D. |
ACTS BY TENANT. Tenant will not do or omit doing of any act which would invalidate any insurance, or increase the insurance rates in force on the premises. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 0000 |
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X. |
XXXXXXXXX XXXXX XX HAZARDS. Tenant further agrees to be liable for and to promptly pay, as if current rental, any increase in insurance rates on said premises and on the building of which said premises are a part, due to increased risks or hazards resulting from Tenant’s use of the premises otherwise than as herein contemplated and agreed. |
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F. |
Landlord and Tenant shall each provide a copy of this lease to their respective insurers. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
15. CONDEMNATION.
16. DEFAULT, NOTICE OF DEFAULT AND REMEDIES.
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A. |
Each of the following shall constitute an event of default by Tenant: |
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1. |
Failure to pay rent when due. |
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2. |
Failure to observe or perform any duties, obligations, agreements or conditions imposed on Tenant pursuant to terms of the lease. |
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3. |
Abandonment of the premises, “Abandonment” means the Tenant has failed to engage in its usual and customary business activities on the premises for more than fifteen (15) consecutive business days. |
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4. |
Institution of voluntary bankruptcy proceedings in which the Court orders relief against the Tenant as a debtor; assignment for the benefit of creditors of the interest of Tenant under this lease agreement; appointment of a receiver for the property or affairs of Tenant, where the receivership is not vacated within ten (10) days after the appointment of the receiver. |
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B. |
Landlord shall give Tenant a written notice specifying the default and giving the Tenant ten (10) days in which to correct the default. If there is a default (other than for nonpayment of a monetary obligation of Tenant, including rent) that cannot be remedied in ten (10) days by diligent efforts of the Tenant, Tenant shall propose an additional period of time in which to remedy the default. Consent to additional time shall not be unreasonably withheld by the Landlord. Landlord shall not be required to give Tenant any more than three notices for the same default within any 365 day period. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
REMEDIES
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C. |
In the event Tenant has not remedied a default in a timely manner following a Notice of Default, Landlord may proceed with all available remedies at law or in equity, including but not limited to the following: |
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1. |
Termination. Landlord may declare this lease to be terminated and shall give Tenant a written notice of such termination. In the event of termination of this lease, Landlord shall be entitled to prove claim for and obtain judgment against Tenant for the balance of the rent agreed to be paid for the term herein provided, plus all expenses of Landlord in regaining possession of the premises and the reletting thereof, including attorney’s fees and court costs, crediting against such claim, however, any amount obtained by reason of such reletting. |
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2. |
Forfeiture. If a default is not remedied in a timely manner, Landlord may then declare this lease to be forfeited and shall give the Tenant a written notice of such forfeiture, and may, at the time, give Tenant the notice to quit provided for in Chapter 648 of the Code of Iowa. |
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A. |
Tenant shall have the right and privilege of attaching, painting or exhibiting signs on the leased premises, provided only (1) that any sign shall comply with the ordinances of municipality in which the property is located and the laws of the State of Iowa; (2) such sign shall not change the structure of the building; (3) such sign, if and when removed, shall not damage the building; and (4) such sign shall be subject to the written approval of the Landlord, which approval shall not be unreasonably withheld. |
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B. |
Landlord during the last ninety (90) days of this lease, or extension, shall have the right to maintain in the windows or on the building or on the premises either or both a “For Rent” or “For Sale” sign and Tenant will permit, at such time, prospective tenants or buyers to enter and examine the premises. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
19. MECHANIC’S LIENS. Neither the Tenant nor anyone claiming by, through, or under the Tenant, shall have the right to file or place any mechanic’s liens or other lien of any kind or character whatsoever, upon said premises or upon any building or improvement thereon, or upon the leasehold interest of the Tenant, and notice is hereby given that no contractor, sub-contractor, or anyone else who may furnish any material, service or labor for any building, improvements, alteration, repairs or any part thereof, shall at any time be or become entitled to any lien on the premises, and for the further security of the Landlord, the Tenant covenants and agrees to give actual notice thereof in advance, to any and all contractors and sub-contractors who may furnish or agree to furnish any such material, service or labor.
20. LANDLORD’S LIEN AND SECURITY INTEREST.
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A. |
Said Landlord shall have, in addition to any lien given by law, a security interest as provided by the Uniform Commercial Code of Iowa, upon all personal property and all substitutions thereof, kept and used on said premises by Tenant. Landlord may proceed at law or in equity with any remedy provided by law or by this lease for the recovery of rent, or for termination of this lease because of Tenant’s default in its performance. |
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A. |
Landlord. To the best of Landlord’s knowledge to date: |
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1. |
Neither Landlord nor Landlord’s former or present tenants are subject to any investigation concerning the premises by any governmental authority under any applicable federal, state, or local codes, rules and regulations pertaining to air and water quality, the handling, transportation, storage, treatment, usage, or disposal of toxic or hazardous substances, air emissions, other environmental matters, and all zoning and other land use matters. |
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2. |
Any handling, transportation, storage, treatment, or use of toxic or hazardous substances that has occurred on the premises has been in compliance with all applicable federal, state and local codes, rules and regulations. |
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3. |
No leak, spill release, discharge, emission or disposal of toxic or hazardous substances has occurred on the premises. |
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4. |
The soil, groundwater, and soil vapor on or under the premises is free of toxic or hazardous substances. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
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5. |
Landlord shall assume liability and shall indemnify and hold Tenant harmless against all liability or expense arising from any condition which existed, whether known or unknown, at the time of execution of the lease which condition is not a result of actions of the Tenant or which condition arises after date of execution but which is not a result of actions of the Tenant. |
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1. |
During the lease term, Tenant’s use of the property will not include the use of any hazardous substance without Tenant first obtaining the written consent of Landlord. Tenant understands and agrees that Landlord’s consent is at Landlord’s sole option and complete discretion and that such consent may be withheld or may be granted with any conditions or requirements that Landlord deems appropriate. |
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2. |
During the lease term, Tenant shall be fully liable for all costs and expenses related to the use, storage, removal and disposal of hazardous substances used or kept on the property by Tenant, and Tenant shall give immediate notice to Landlord of any violation or any potential violation of any environmental regulation, rule, statute or ordinance relating to the use, storage or disposal of any hazardous substance. |
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3. |
Tenant, at its sole cost and expense, agrees to remediate, correct or remove from the premises any contamination of the property caused by any hazardous substances which have been used or permitted by Tenant on the premises during any term of this lease. Remediation, correction or removal shall be in a safe and reasonable manner, and in conformance with all applicable laws, rules and regulations. Tenant reserves all rights allowed by law to seek indemnity or contribution from any person, other than Landlord, who is or may be liable for any such cost and expense. |
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4. |
Tenant agrees to indemnify and hold Landlord harmless from and against all claims, causes of action, damages, loss, costs, expense, penalties, fines, lawsuits, liabilities, attorney fees, engineering and consulting fees, arising out of or in any manner connected with hazardous substances, which are caused or created by Tenant on or after the date of this lease and during any term of this lease, including, but not limited to, injury or death to persons or damage to property, and including any diminution of the value of any leased premises which may result from the foregoing. This indemnity shall survive the cessation, termination, abandonment or expiration of this lease. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
22. SUBSTITUTION OF EQUIPMENT, MERCHANDISE, ETC.
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A. |
During its tenancy, the Tenant shall have the right to sell or otherwise dispose of any personal property of the Tenant situated on the premises, when in the judgment of the Tenant it shall have become obsolete, outworn or unnecessary in connection with the operation of the business on the premises; provided, however, that the Tenant shall, in such instance (unless no substituted article or item is necessary) at its own expense, substitute for such items a new or other item in substitution thereof, in like or greater value. |
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B. |
Nothing herein contained shall be construed as denying to Tenant the right to dispose of inventoried merchandise in the ordinary course of the Tenant’s trade or business. |
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
29. CERTIFICATION. Tenant certifies that it is not acting, directly or indirectly, for or on behalf of any person, group, entity or nation named by any Executive Order or the United States Treasury Department as a terrorist, “Specially Designated National and Blocked Person” or any other banned or blocked person, entity, nation or transaction pursuant to any law, order, rule or regulation that is enforced or administered by the Office of Foreign Assets Control; and it is not engaged in this transaction, directly or indirectly on behalf of, or instigating or facilitating this transaction, directly or indirectly on behalf of, any such person, group, entity or nation. Tenant hereby agrees to defend, indemnify and hold harmless Landlord from and against any and all claims, damages, losses, risks, liabilities and expenses (including attorney’s fees and costs) arising from or related to any breach of the foregoing certification.
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Xxxxxx Mail Contractors Inc. |
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Penta Partners, LLC |
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By: |
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/s/ Xxxx X. Xxxxxx |
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By: |
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/s/ Xxxxxx X. Xxxxxx |
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Xxxx X. Xxxxxx, President, TENANT |
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Xxxxxx X. Xxxxxx, Manager, LANDLORD |
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(and spouse if 20(B) is applicable) |
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(and spouse if 27 is applicable) |
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, SPOUSE |
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, SPOUSE |
[ATTACH APPROPRIATE ACKNOWLEDGMENTS HERE]
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The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |
Exhibit “A”
ATTACHMENT
30.A. Tenant is also entering into a Lease for the adjacent property to the South (Lot 8 in Crossroads Business Park of Grimes Plat 4, an Official Plat, now included in and forming a part of the City of Xxxxxx, Xxxx County, Iowa) of this property to accommodate additional parking. The validity of this Lease is strictly conditioned upon Tenant entering into the adjacent Lease simultaneously with this Lease.
30.B. In the event Tenant needs to expand its operation, Landlord is amenable to working with Tenant to add on the current location or to assist in the development of an alternate location. In the event this Lease is still in effect, it is agreed that this Lease will be extinguished upon commencement of the subsequent Lease. Lease terms for any alternative site shall be a Triple Net Lease based on a ten percent (10%) return on the total cost of development.
Xxxxxx Mail Contractors Inc. |
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Penta Partners, LLC |
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By: |
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/s/ Xxxx X. Xxxxxx |
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By: |
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/s/ Xxxxxx X. Xxxxxx |
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Xxxx X. Xxxxxx, President |
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Xxxxxx X. Xxxxxx, Manager |
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Dated: |
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01/26/2018 |
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Dated: |
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2018-01-29 |
The Iowa State Bar Association 2016 |
Form No. 164, Lease - Business Property |
IowaDocs® |
Revised January 2016 |