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FOURTH AMENDMENT TO NET INDUSTRIAL LEASE EXHIBIT 10.16
This Fourth Amendment to Net Industrial Lease ("Fourth Amendment") is
entered into as of this 6th day of November, 1998, between 0000 X. XXXXXXXX XXXX
LIMITED PARTNERSHIP, an Arizona limited partnership ("Landlord") and MIDLAND
CREDIT MANAGEMENT, INC., a Kansas corporation ("Tenant").
RECITALS
Landlord and Tenant entered into that Net Industrial Lease dated November
19, 1997, that certain Commencement Date Certificate dated February 17, 1998, a
First Amendment to Net Industrial Lease dated June 22, 1998, a Second Amendment
to Net Industrial Lease dated August 28, 1998, and a Third Amendment to Net
Industrial Lease dated November 5, 1998 (collectively, the "Lease") covering
30,000 square feet (the "Original Premises") of the building located at 0000 X.
Xxxxxxxx Xxxx and 22,613 square feet (the "Additional Premises") of the building
located at 0000 X. Xxxxxxxx Road, (collectively, the "Premises") Phoenix,
Arizona.
Landlord and Tenant wish to arrange for Tenant's lease of additional space
and to make other amendments to the Lease.
Landlord and Tenant agree the Lease is amended as follows:
AGREEMENT
1. Effective Date. Except as otherwise provided herein, the effective date
of the Lease amendments as set out in this Fourth Amendment is February 1, 1999
(the "Effective Date").
2. Defined Terms. Capitalized terms used but not defined herein shall have
the meanings ascribed to them in the Lease.
3. Expansion Premises. Tenant will lease from Landlord the following
additional space (the "Expansion Premises") on the terms and conditions set
forth below:
Expansion Premises: Approximately 9,998 rentable square feet of the
building located at 0000 X. Xxxxxxxx, as outlined on
Exhibit "A" attached hereto.
Term: Fifty-five (55) months, commencing on the Effective
Date and ending August 31, 2003.
Fixed Minimum Rent:
2/1/99 - 2/28/01 $6,998.60 @ $.70 per rsf NNN*
3/1/01 - 8/31/03 $7,498.50 @ $.75 per rsf NNN*
*These amounts do not include rental taxes,
Additional Rent, excess tenant improvements costs (if
any), or any other sums payable to Landlord under the
Lease, all of which sums remain payable during the
term of the Lease.
Security Deposit: Tenant currently has deposited with Landlord a
security deposit in the amount of $35,400.00. Upon
execution of this Fourth Amendment, Tenant will
increase the security deposit by $7,000.00 for a
total security deposit in the amount of $42,400.00.
Use: General Office and Telephone Operators.
Parking: Notwithstanding anything to the contrary contained in
the Lease, as of the Effective Date, Tenant may use
all the parking spaces available on the Property and
the additional parking spaces located in the Wood
Street lot.
Improvements: Landlord will complete tenant improvements to the
Expansion Premises (the "Expansion Premises Tenant
Improvements") on or prior to the Effective Date,
pursuant to a space plan to be approved by both
Landlord and Tenant. In the event the actual costs of
the Additional Premises Tenant Improvements exceed
$19,998.00 (the "Allowance"), Landlord shall amortize
any excess costs as additional Fixed Minimum Rent for
the Expansion Premises over the term of the Lease of
the Expansion Premises, including a 10% annual rate
of interest and will adjust the Fixed Minimum Rent
for the Expansion Premises accordingly. If the actual
costs of the improvements are less than $19,998,
Tenant shall receive no rental abatement or other
credit for the underage.
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Early Occupancy: If the Expansion Premises Tenant Improvements are
completed prior to the Effective Date, Tenant may
occupy the Expansion Premises upon completion of the
Expansion Premises Tenant Improvements for no
additional rent.
As of the earlier of the Effective Date or the date of Tenant's occupancy of the
Expansion Premises, the provisions of the Lease and this Fourth Amendment will
apply to Tenant's lease of the Expansion Premises as if the Expansion Premises
were included as part of the Premises, except as otherwise provided in this
Fourth Amendment.
4. Pro Rata Share. Notwithstanding anything to the contrary in the Lease,
from and after the Effective Date, Tenant's pro-rata share for all purposes
under the Lease, and specifically as to Property Costs as provided for in
Paragraph 5.1(b) ("Additional Rent") of the Lease, shall be 100%.
5. Option to Extend. As of the Effective Date, Landlord and Tenant hereby
acknowledge and confirm that Tenant's option to extend the Term of the Lease as
set out in Exhibit "F" of the Lease applies to all, and only all, of the space
then under lease by Tenant on the Property, at the time Tenant provides Landlord
written notice of Tenant's intent to exercise its option to extend the Lease
term.
6. Remaining Lease Terms. Except as expressly amended by this Fourth
Amendment, all the terms, covenants, and conditions of the Lease remain in full
force and effect. In the event of any conflict between the provisions of this
Fourth Amendment and the Lease, the provisions of this Fourth Amendment shall
control.
IN WITNESS WHEREOF, Landlord and Tenant have executed this Fourth
Amendment to Lease on the date written above.
TENANT: LANDLORD:
MIDLAND CREDIT MANAGEMENT, INC., 0000 X. XXXXXXXX XXXX LIMITED PARTNERSHIP,
a Kansas corporation an Arizona limited partnership,
By: San Salvador Management, L.L.C.,
By: /s/ Xxxx X. Xxxxxxxx an Arizona limited liability company
Its: Sr. Vice President Its General Partner
By: /s/ Xxxxx Xxxxxx
Its: Principal
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