REAL ESTATE LEASE
This lease is made this 18th day of August, 1999, between LA.
Investments, LLC of LaGrange, Indiana, hereinafter referred to as
"Landlord", and L.A. West, Inc. an Indiana Corporation, hereinafter
called "Tenant."
Landlord in consideration of the rent and covenants herein
contained, leases to Tenant, and Tenant lets from Landlord the
following described premises (the "Premises"), being real estate
(including any improvements) in LaGrange County, Indiana, the street
address of which is more commonly known as 0000 X.X. 00 Xxxx,
XxXxxxxx, Xxxxxxx, more fully described on Exhibit "A."
This lease is on the following terms and conditions:
SECTION 1. TERM.
The term of this lease shall begin on the 1st day of February,
2000, and shall end on the 28th day February, 2010. This lease may be
renewed for five additional one-year terms with modification provided
for an increase of rent which increase is more fully covered under
Section 2 below.
SECTION 2. RENT AND MANNER OR PAYMENT.
Tenant shall pay Landlord total rent in the amount of Twenty-two
Thousand Five Hundred Dollars ($22,500.00) per month beginning the 1st
day of February, 2000, with subsequent installments payable on the
same day of each month thereafter during the lease term.
Tenant and Landlord more fully provide that the monthly rental
may be increased upon sixty (60) days advanced written notice.
All sums payable to Landlord under this lease shall be paid to
Landlord at such place as Landlord so designates in writing.
SECTION 3. USE OF PREMISES.
Tenant shall use the Premises as a manufacturing facility and for
other business purposes.
Tenant shall pay all charges for gas, electricity, water and
sewage incurred for the Premises during the lease term. Tenant shall
not permit any waste or misuse of the Premises.
SECTION 4. TENANT ACCEPTS PREMISES.
Tenant has inspected the Premises and is satisfied with its
physical condition. Except as otherwise specified in this Lease:
(a) Tenant's taking possession of the Premises shall be
conclusive evidence of receipt thereof in good order and
repair; and
(b) Tenant acknowledges that neither Landlord nor any of
Landlord's agents has made any representation as to the
condition or state or repair of the Premises or made any
agreements or promises to repair or improve it either before
or after execution of this Lease.
SECTION 5. REPAIRS AND MAINTENANCE.
Tenant's Obligations.
Tenant agrees:
(a) to keep, at Tenant's expense, the Premises in a clean,
sightly and healthful condition, and
(b) to make at Tenant's expense, all repairs which are
necessary to maintain the Premises in good repair and
condition; and
(c) to comply with all statutes and ordinances concerning the
maintenance and repair of the Premises; arid
(d) to surrender the Premises at the expiration of this Lease
in as good repair and condition as existed at the date of
execution of this Lease (after completion of any initial
leasehold improvement by Tenant as permitted or required
by this Lease), reasonable wear and tear excepted;
(e) Tenant may make reasonable alterations or additions at
Tenants discretion and expense;
(f) Tenant shall pay all taxes, assessments, utility expenses
and other expenses incurred by the leasehold.
Landlord's Right to Perform Tenant's Obligations.
If Tenant fails to perform Tenant's obligations under this Lease,
Landlord or Landlord's agents may perform such obligations on behalf
of Tenant. in addition to the rent hereby reserved, Tenant shall pay
Landlord, upon demand, the expenses which Landlord incurred in
performing Tenant's obligations.
Landlord's Right to Enter Premises.
Landlord or Landlord's agents shall have the right to enter the
premises (without causing or constituting a termination of this Lease
or an interference with Tenant's possession) at all reasonable times
for the purposes of showing the premises to prospective buyers or
tenants, examining its condition or use, and to perform Tenant's
obligations (pursuant to Section 5 Landlord's Right to Perform
Tenant's Obligations).
SECTION 6. RISK OF LOSS.
Tenant shall bear the risk of loss arising from damage to or loss of
Tenant's personal property and trade fixtures located on the Premises,
and shall insure the leasehold structures. Tenant to pay all insurance
premiums on building and contents etc.
SECTION 7. DEFAULTS AND REMEDIES.
Defaults by Tenant.
A default by Tenant will have occurred under this Lease IF:
(a) Tenant fails to pay the full amount of any installment of
rent on or before the date when it is due and payable; or
(b) Tenant fails to observe or perform any other provision of
this Lease for thirty (30) days after Landlord has given
Tenant notice of the nature of Tenant's failure; or
(c) Tenant files a petition in bankruptcy or for an arrangement
under any present or future federal or state bankruptcy law,
or is adjudicated a bankruptcy or insolvent, or makes an
assignment for the benefit of creditors, or admits in writing
Tenant's inability to pay debts as they become due; or
(d) a receiver or trustee of Tenant or of the Premises is
appointed and, in the case of a proceeding brought against
Tenant, is not discharged within ninety (90) days after the
appointment, or Tenant consents to or acquiesces in the
appointment; or
(e) Tenant abandons, quits or vacates the Premises; or
(f) Any activity of Tenant causes the cancellation of the
hazard insurance coverage on the Premises; or
(g) The interest of Tenant under this Lease is ordered sold
under execution or other legal process.
Remedies of Landlord for Default by Tenant.
If a default by Tenant has occurred under this Lease arid is
continuing, Landlord has the following remedies:
(a) The right to reenter and repossess the Premises, and the
right to remove all persons and property from the Premises,
all in a lawful manner.
(b) The right to give Tenant notice of Landlord's termination
of this Lease as of a date specified in the notice, the
date to be not earlier than the date of the notice.
(c) The right to relet the Premises, or any part of it, for the
account of Tenant, for such tern or terms and on such
conditions as Landlord, in Landlord's sold discretion,
determines. Landlord shall not be responsible or liable to
collect any rent payable upon any reletting.
(d) The right to advance money or make any expenditure to cure
any default or Tenant other than default in payment of
rent.
(e) The right to collect from Tenant by any lawful means
(1.) any rent due and unpaid.
(2.) any deficiency which results from default of Tenant
and the failure of any subletting to give Landlord the
rent provided by this Lease
(3.) any money advanced or expenditure made by Landlord
pursuant to Section 7, Remedies of Landlord for
Default by Tenant (d),and
(4.) any other amount which Tenant owes Landlord under this
Lease,
(5.) the attorney's fees, costs, and expenses, recoverable
by Landlord under Section 7, Provisions Applicable to
Defaults and Remedies (e).
Defaults by Landlord.
A default by Landlord will have occurred under this Lease if
Landlord fails to observe or perform any obligation imposed upon
Landlord by this Lease for thirty (30) days after Tenant has given
Landlord notice of the nature of Landlord's failure.
Remedies of Tenant for Default by Landlord.
If a default by Landlord has occurred under this Lease and is
continuing, Tenant has the following remedies:
(a) The right to bring an action against Landlord to recover
such damages as Tenant may have incurred as a result of
Landlord's default.
(b) The right to claim an eviction as provided by law.
Provisions Applicable to Defaults and Remedies.
(a) Failure or omission of either party to exercise any remedy
shall not constitute a waiver, or bar or abridge exercise of a
remedy upon any subsequent default.
(b) Receipt of rent by Landlord with knowledge of default by
Tenant shall not constitute a waiver as to such default or as to
a remedy available in respect of such default.
(c) No right or remedy of either party shall be exclusive of
any other right or remedy, and each and every right or remedy
shall be cumulative and in addition to any other right or remedy
given by this Lease or now or hereafter existing at law or in
equity. Termination of this Lease by Landlord shall not prohibit
Landlord from recovering any monies due or to become due pursuant
to Section 7, Remedies of Landlord for Default by Tenant.
(d) In addition to any remedies given Landlord by any previous
provision of this Lease, Landlord shall be entitled to the extent
permitted by law, to injunctive relief in case of any violation,
or attempted or threatened violation, of any of the covenants,
agreements or provisions of this Lease.
(e) Each party is entitled to recover his reasonable attorney
fees, costs and expenses incurred by reason of exercising his
remedies under this Lease.
(f) If Landlord, without fault, is made a party to any
litigation commenced against Tenant or because of Tenant's
activities, and if Tenant at Tenant's expense, fails to provide
Landlord with legal counsel satisfactory to Landlord, Tenant
shall pay all costs and reasonable attorney fees incurred or paid
by Landlord in connection with such litigation.
(g) Each party shall be entitled to enforce any rights or
exercise any remedies without relief from valuation and
appraisement laws.
(h) Prior to termination of occupancy, notice by one party of
the nature of the other party's failure to observe or perform an
obligation shall specify the details of such failure to a
reasonable degree so that the party who has the obligation may
reasonably understand the failure. If a default cannot, with
diligence, be cured within the time provided by this Lease, the
party whose obligation it is to cure may give the other party
notice of that fact and of appropriate details and if the party
is proceeding with diligence and in good faith to cure the
default, the time within which the failure may be cured shall be
extended for such period as may be needed to complete the curing
in diligence and good faith.
SECTION 8. SEVERABILITY
No failure by Landlord to insist on the strict performance of any
term or condition of this Agreement or to exercise any right or
remedy available and breach thereof, and no acceptance or fu or
partial rent during the continuance of any such breach shall
constitute a waiver of any such breach or of any such term or
condition. No term or condition of this Agreement to be
performed by Tenant, and no breach thereof, shall be waived,
altered, or modified, except in writing by Landlord.
SECTION 9. ATTORNEY'S FEES
Tenant agrees to pay reasonable attorneys' fees, costs of
collection, and applicable court costs in the event Landlord
employs an attorney because of Tenant's breach of any term of
ibis Lease.
SECTION 10. JOINT AND SEVERAL LIABILITY
Each person signing this Lease as Tenant shall be jointly and
severally liable to the Landlord for all obligations and any
breach of the terms of this lease. Each Tenant who signs this
Lease maybe held individually responsible of the entire amount
due under this Lease, for any breach of the terms of this Lease,
and for the acts and failure to act, of the other Tenant signing
this Lease.
MISCELLANEOUS.
Time is of the essence.
Tenant shall not assign, mortgage or encumber this Lease, nor
sublet or permit the Premises or any part thereof to be used by
others, without the prior written consent of Landlord. If this Lease
is assigned, or if the Premises or any part thereof is sublet or
occupied by a party other than Tenant, Landlord may, after default by
Tenant, collect rent from the assignee, subtenant or occupant as the
case may be, and apply the amounts so collected to the rent herein
reserved. No such assignment, subletting occupancy or collection
shall be deemed to be a waiver of this covenant or the acceptance of
the assignee, subtenant or occupant as a tenant, or a release of
Tenant from his further performance of the covenants contained in this
Lease. A consent by Landlord to an assignment or subletting shall not
be construed to relieve Tenant from again obtaining Landlord's written
consent to any subsequent assignment or subletting.
A notice to be given under this Lease shall be in writing and
either delivered in person or mailed, postage p repaid, and addressed:
if to Landlord, at the address applicable according to Section 2, Rent
and Manner of Payment; and if to Tenant, at the address of the
Premises, or at such other address as Tenant shall designate in
writing delivered to Landlord. A notice mailed by registered or
certified mail shall be deemed given on the date of postmark.
This Lease and its terms, covenants, agreements and provisions
shall be binding upon, and inure to the benefit of, the parties and
their respective heirs, personal representatives, successors and
assigns.
Any change in, or modification or discharge of, this Lease shall
be in writing signed by all persons who at the time are parties to
this Lease.
This Lease and its terms shall be construed under the laws of the
State of Indiana.
This Lease is a triple net Lease and Tenant shall be responsible
for all taxes, assessments, insurance coverage, repairs and expenses
arising from the real estate.
IN WITNESS WHEREOF, the parties have signed on this date first
above written.
LANDLORD TENANT
___________________________________ ___________________________________
L.A. Investments, LLC L.A. West, Inc.
This instrument prepared by Xxxx X. Xxxxxxxx, Xx., Attorney at Law,
000 Xxxxx Xxxxxxx Xxxxxx, XxXxxxxx, Xxxxxxx 00000.
