EXHIBIT 10.2
FIRST AMENDMENT TO LEASE
(Phase 3 Science Center / Nastech Pharmaceutical Company, Inc.)
THAT CERTAIN LEASE ("Lease") dated April 23, 2002, by and between PHASE 3
SCIENCE CENTER LLC, a Delaware limited liability company (formerly a California
limited liability company), AHWATUKEE HILLS INVESTORS, LLC, an Arizona limited
liability company, and X. XXXXXXXXX'X LLC, a Delaware limited liability company,
as tenants in common (collectively, "Landlord"), and NASTECH PHARMACEUTICAL
COMPANY, INC., a Delaware corporation ("Tenant"), for those certain Premises
described in the Lease at 0000 Xxxxx Xxxxx Xxxxxxx, Xxxxxxx, Xxxxxxxxxx, is
hereby amended by this First Amendment to Lease (this "First Amendment")
effective as of July 1, 2003, as follows:
1. PREMISES.
Section 1.1 is amended to add Space B to the Premises as shown on
the schematic attached hereto as Exhibit "C", which supercedes and replaces the
Exhibit "C" attached to the Lease, so that the Premises now consist of Spaces B,
C, D and E as shown on Exhibit "C".
2. RENTABLE AREA.
Sections 1.1 and 2.1.1 are amended to increase the Rentable Area of
the Premises from 27,714 square feet to 37,014 square feet, to reflect the
addition of 9,300 square feet of Rentable Area in Space B.
3. BASIC ANNUAL RENT.
Sections 2.1.2 and 2.1.3, and any other affected provisions of the
Lease, are amended as follows:
For the period July 1, 2003 through December 31, 2003, the Monthly
Installments of Basic Annual Rent otherwise payable under the Lease shall be
increased by $7,750 ($0.833 per square foot per month for the additional 9,300
square feet of Rentable Area in Space B), which amounts in the aggregate ($7,750
x 6 = $46,500) shall be due and payable on January 1, 2004.
Effective January 1, 2004, Basic Annual Rent otherwise payable under
the Lease shall be increased by an amount equal to $279,000 multiplied by the
fraction determined in accordance with 6.1 on the first annual anniversary of
the Term Commencement Date (subject to the percentage limits set forth in
Section 6.1), such that effective January 1, 2004 the Basic Annual Rent per
square foot of the additional space (Space B) shall be the same as the Basic
Annual Rent per square foot of the original space (Spaces C, D and E).
Effective January 1, 2004, the Monthly Installments of Basic Annual
Rent shall be one-twelfth (1/12) of the Basic Annual Rent as increased by the
preceding paragraph.
The entire Basic Annual Rent as increased effective January 1, 2004,
shall be subject to further annual adjustments pursuant to Section 6.1 of the
Lease on each annual anniversary of the original Term Commencement Date.
4. PRO RATA SHARE.
Sections 2.1.4 and 7.3(a) are amended to provide that Tenant's Pro
Rata Share is 72.58%, so that commencing July 1, 2003 Tenant shall be
responsible for its Pro Rata Share of Operating Expenses for the entire Premises
as increased by this First Amendment.
5. SECURITY DEPOSIT.
Section 2.1.6(b) and Article 9 are amended to provide that the
Letter of Credit shall be increased from $415,710 to $648,210. Tenant shall
deliver an additional or replacement Letter of Credit to Landlord no later than
February 1, 2004 reflecting the increase, which additional or replacement Letter
of Credit shall continue to be subject to the terms and conditions of Article 9
of the Lease.
6. CONSTRUCTION AND POSSESSION.
Possession of the additional Premises (Space B) shall be delivered
to Tenant on July 1, 2003. Tenant accepts the additional Premises in their
present, as-is condition. Improvements to the additional Premises, if any, shall
be at the sole cost and expense of Tenant, and shall be governed by Article 17
(Alterations) of the Lease.
7. COMMON AREAS AND PARKING FACILITIES.
The first sentence of Section 15.3 is amended to read as follows: As
an appurtenance to the Premises, Tenant, and its employees and invitees, shall
be entitled to use without charge eighty-six (86) parking spaces adjacent to the
Premises on a reserved and assigned basis, less Tenant's Pro Rata Share of
required handicap parking spaces serving the Project.
Terms with an initial capital letter which are not defined in this First
Amendment shall have the meanings given them in the Lease.
In all other respects, the Lease shall remain in full force and effect as
originally written.
IN WITNESS WHEREOF, the parties hereto have executed this First Amendment
effective the date written above.
LANDLORD:
Dated: June 19, 2003
PHASE 3 SCIENCE CENTER LLC
A Delaware limited liability company
By: Phase 3 Properties, Inc.
A California corporation
Its Manager
By: /s/ W. Xxxx Xxx, III
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W. Xxxx Xxx, III
Chief Executive Officer
TENANT:
Dated: June 17, 2003
NASTECH PHARMACEUTICAL COMPANY, INC.
A Delaware corporation
By: /s/ Xxxxxx X. Xxxx, M.D., Ph.D.
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Name: Xxxxxx X. Xxxx, M.D., Ph.D.
Title: Chairman, CEO and President
