Exhibit 10.7
BDG PISCATAWAY, LLC
0000 XXXXXXX XXXXXXXX
XXXXXXX, XXX XXXX 00000-0000
As of March 1, 2000
Praecis Pharmaceuticals Incorporated
0 Xxxxxxxxx Xxxxxx
Xxxxxxxxx, Xxxxxxxxxxxxx 00000-0000
Attention: Xxxxx XxXxxxxxxx
Re: Lease dated as of August 19, 1998 (as amended,
the "Lease") by and between BDG Piscataway, LLC
("Lessor") and Praecis Pharmaceuticals Incorporated
("Lessee") for certain space, as more particularly
described in the Lease (the "Demised Premises"), in
the building (the "Building") located at the
property commonly known as 00 Xxxxxxxxxxxxx Xxxx,
Xxxxxxxxxx, Xxx Xxxxxx (the "Office Building Area")
Dear Xx. XxXxxxxxxx:
Lessor and Lessee have entered into the above-referenced
Lease with respect to the Demised Premises. Capitalized terms used herein and
not otherwise defined shall have the meanings given to them in the Lease.
Lessor and Lessee have agreed to enter into this side letter regarding certain
provisions of the Lease. Notwithstanding anything to the contrary contained in
the Lease, Lessor and Lessee, intending to be legally bound, agree that
commencing on the date set forth above:
1. Lessor and Lessee hereby acknowledge and confirm
the following: (a) the Demised Premises is serviced
currently by two (2) HVAC systems; (b) one (1) such
system was installed by Lessee and the other system
was installed by Lessor's predecessor in interest,
prior to the date that the Lease was executed; and
(c) all utilities servicing the Demised Premises
are currently sub-metered or metered and invoiced
in Landlord's name.
2. Lessee hereby agrees to pay when due, the cost
of all utilities consumed by Lessee at the Demised
Premises (as reasonably determined by Lessor's
utility usage consultant), including, but not
limited to, electrical power consumed by Lessee at
the Demised Premises, including, but not limited
to, electrical power used for the HVAC servicing
the Demised Premises, as well as the overhead
lighting and electrical outlets located within the
Demised Premises. In connection with the foregoing,
Lessee further
agrees: (a) that paragraph 3 and SCHEDULE 1 of
that certain letter agreement, dated August 19,
1998, executed by the parties hereto are deleted
in their entirety; (b) to pay to Lessor the
reasonable cost incurred by Lessor to have the
utility sub-meters for the Demised Premises read
and analyzed by a utility usage consultant hired by
Lessor; and (c) that all such amounts to be paid by
Lessee pursuant to this paragraph shall be
considered as Additional Rent.
3. The Monthly Basic Rent due under the Lease shall
be reduced to: (a) $18,973.75 through the
expiration of the 60th month following the Rent
Commencement Date; and (b) $22,009.55 commencing on
the fifth anniversary of the Rent Commencement Date
through the expiration of the 120th month following
the Rent Commencement Date. The amount of the
Annual Basic Rent shall be adjusted accordingly.
4. In the event that (a) Lessor requests Lessee to
establish an account in Lessee's name for any
utility service which is supplied to the Demised
Premises through a meter serving only the Demised
Premises, or (b) for any sub-metered utility
service supplied to the Demised Premises, Lessee
and Lessor determine that it is reasonably feasible
to have the Demised Premises separately metered for
such utility service, Lessee shall (at Lessee's
sole cost and expense) promptly cause the utility
company providing such service to the Demised
Premises to establish an account in Lessee's name
and/or install a meter to measure the applicable
utility consumption at the Demised Premises. Upon
such installation and/or establishment of such
account in Lessee's name, Lessor shall no longer be
obligated under the Lease to furnish such utility
service to the Demised Premises. All such amounts
to be paid by Lessee pursuant to this paragraph
shall be considered as Additional Rent.
Unless explicitly set forth above, all other terms and
conditions of the Lease remain unchanged and in full force and effect. Kindly
execute this letter below to acknowledge your acceptance of the above
provisions. This letter may be executed in counterparts.
[signatures commence on next page]
AGREED TO AND ACCEPTED BY:
Praecis Pharmaceuticals Incorporated
By: /s/ Xxxxx X. XxXxxxxxxx
--------------------------------
Name:
Title: Sr. V.P. and C.F.O..
BDG Piscataway, LLC
BY: BDG Piscataway, Inc.
By: /s/ Xxxxx Xxxxxxxxxx
--------------------------------
Name: Xxxxx Xxxxxxxxxx
Title: Vice President
