LEASE ADDENDUM ONE
Second Addendum to Lease Agreement dated December 1, 2003, by and between
DAHA INVESTMENTS, as Lessor, and NORTH VALLEY BANK, as Lessee.
Lessor and Lessee hereby agree to incorporate into the Lease the following
modifications, deletions, or additions.
1. Additional Square Footage. Lessor and Lessee agree that the Lease shall
now include adjacent space (currently used as a hardware store).
Additional space shall include at least 1500 square feet. Additional
square footage is permitted up to 2500 square feet. If more than 2500
square feet is requested then Lessee will take the entire space of
approximately 4000 square feet. Base rent for the additional space will be
calculated at $1.17 per square foot.
2. Drive-Thru Stall. Lessor and Lessee agree additional drive-thru stall
is permitted adjacent to current stall if approved by the local
Planning Department. The base rate is $120 per month.
3. Free Rent. Lessor and Lessee agree that rent for the additional space
shall begin no sooner than May l, 2004. Rent due at that time shall be
no less than the lease for the minimum square footage of 1500 square
feet. Proportionate upward adjustment will be made upon construction
completion if more space is occupied.
4. Periodic Cost-of-Living Adjustment. The base monthly rent provided for
in Paragraph 1.5 shall be subject to adjustment at the commencement of
the second year of the term and each year thereafter ("the adjustment
date") including any option periods as follows:
The base for computing the adjustment is the Consumer Price Index (all
Urban Consumers) for San Francisco-Oakland-San Xxxx CMSA published by
the United States Department of Labor, Bureau of Labor Statistics
("Index") which is published for the date nearest the date of the
commencement of the term ("Beginning Index"). If the Index published
nearest the adjustment date ("Extension Index") has increased over the
Beginning Index, the monthly rent for the following year (until the
next rent adjustment) shall be set by multiplying the monthly rent set
forth in Paragraph 5 by a fraction, the numerator of which is the
Extension Index and the denominator of which is the Beginning Index. On
adjustment of the monthly rent as provided in this Lease, the parties
shall immediately execute an amendment to the Lease stating the new
monthly rent.
If the Index is changed so that the base year differs from that used as
of the date immediately preceding the month in which the term
commences, the Index shall be converted in accordance with the
conversion factor published by the United States Department of Labor,
Bureau of Labor Statistics. If the Index is discontinued or revised
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during the term, such other government index or computation with which
it is replaced shall be used in order to obtain substantially the same
result as would be obtained if the Index had not been discontinued or
revised.
5. Build Out. Lessor and Lessee agree that all costs of plans and
construction shall be the responsibility of the Lessee. Lessor to
approve plans prior to build out, which will not be unreasonably
withheld. Lessee must have Planning Department permits for all work
performed.
6. Management Fees. Lessor and Lessee agree that the annual common area
management fee shall be no more than ten percent (10%) of the annual
common area maintenance charges. Property management fee will not be
more than four percent (4%) of rent
7. Late Fees. Lessor and Lessee agree that rent is due on the first of
each month and considered late if received after the tenth of any
month. In addition to late fees assessed to late payments, a forty-five
dollar ($45.00) fee will be assessed for returned checks.
8. Common Area Maintenance. Lessor and Lessee agree to prorate CAM and
management fees for leased area will be adjusted to final square
footage occupied.
9. Extended Term. If Tenant (i) performs all of its covenants and
obligations under the Lease and is not in default under any of the
terms of the Lease, (ii) otherwise complies with the provisions hereof,
then Tenant shall have the option to extend the Lease Term for two (2)
additional, consecutive term of five (5) years ("Extended Term") under
the same terms and conditions of the Lease, except for the Minimum
Annual Rent and this right of extension. Tenant may exercise said
option by giving notice thereof (the "Option Notice") to Landlord not
more than one (1) year nor less than six (6) months prior to the
Expiration Date. The Extended Term shall commence on the day
immediately succeeding the Expiration Date and shall end at midnight on
the day immediately preceding the fifth (5th) anniversary of the first
day of the Extended Term. If Tenant is in default on the date the
Extended Term is to commence, the Extended Term shall not commence and
Tenant shall have no right to extend the Lease beyond the Expiration
Date.
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Lessor and Lessee agree that all other statements in the original Lease dated
December 1, 2003, and Lease Addendum One shall remain in full force and
effect.
Dated: December 12, 2003
LANDLORD: TENANT:
/s/ Xxxxxx Xxxxxx /s/ North Valley Bank
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Xxxxxx Xxxxxx North Valley Bank
/s/ Daha Investments /s/ Xxxx Xxxxxxx
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Daha Investments Xxxx Xxxxxxx
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