Exhibit
10.5
1. BASIC PROVISIONS
1.1 PARTIES: This Lease, executed in duplicate at Cupertino,
California,
on February 5, 2001, by and between Mission West Properties, L.P. III, a
Delaware limited partnership, and Intevac Corporation, a
California Corporation,
hereinafter called respectively Lessor and Lessee, without regard to number or
gender.
The Premises includes 119,583 square feet out of 167,063 square feet of
buildings, including all improvements thereto as shown on Exhibit A.l
including the right to use up to 396 unreserved parking spaces and the
link between 3550 and 0000 Xxxxxxx Xxxxxx of approximately 1,600 sq. ft.
The addresses for the Premises are 3560-3570-3580 Xxxxxxx Street, Santa
Clara,
California. Lessee’s pro-rata share of the Premises is 71.6%.
1.6 RENT: Base rent shall be payable in monthly installments as follows:
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Base rent |
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Estimated CAC* |
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Total |
01/01/01 through 03/31/01 |
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$ |
146,489 |
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$ |
2,200 |
* |
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$ |
148,689 |
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04/01/01 through 03/31/02 |
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$ |
152,349 |
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$ |
2,200 |
* |
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$ |
154,549 |
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04/01/02 through 03/31/03 |
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$ |
236,774 |
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$ |
2,200 |
* |
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$ |
238,974 |
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04/01/03 through 03/31/04 |
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$ |
246,245 |
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$ |
2,200 |
* |
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$ |
248,445 |
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04/01/04 through 03/31/05 |
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$ |
256,095 |
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$ |
2,200 |
* |
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$ |
258,295 |
|
04/01/05 through 03/31/06 |
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$ |
266,339 |
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$ |
2,200 |
* |
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$ |
268,539 |
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04/01/06 through 03/31/07 |
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$ |
276,992 |
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$ |
2,200 |
* |
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$ |
279,192 |
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* |
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CAC charges to be adjusted per Common Area Charges Section below. |
Base rent and CAC as scheduled above shall be payable in advance on or before
the first day of each calendar month during the Lease Term. The term “Rent,” as
used herein, shall be deemed to be and to mean the base monthly rent and all
other sums required to be paid by Lessee pursuant to the terms of this Lease.
Rent shall be paid in lawful money of the United States of America, without
offset or deduction, and shall be paid to Lessor at such place or places as may
be designated from time to time by Lessor. Rent for any period less than a
calendar month shall be a pro rata portion of the monthly installment.
Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar
year in which the Lease commences is set forth above. At or prior to the
commencement of each succeeding calendar year term (or as soon as practical
thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment
for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of
the calendar year and the end of the Lease Term, Lessor shall provide Lessee a
statement of actual CAC incurred for the preceding year or other applicable
period in the case of a termination year. If such statement shows that Lessee
has paid less than its actual percentage, then Lessee shall on demand pay to
Lessor the amount of such deficiency. If such statement shows that Lessee has
paid more than its actual percentage, then Lessor shall, at its option, promptly
refund such excess to Lessee or credit the amount thereof to the Rent next
becoming due from Lessee. Lessor reserves the right to revise any estimate of
CAC if the actual or projected CAC show an increase or decrease in excess of 10%
from an earlier estimate for the same period. In such event, Lessor shall
provide a revised estimate to Lessee, together with an explanation of the
reasons therefore, and Lessee shall revise its monthly payments accordingly.
Lessor’s and Lessee’s obligation with respect to adjustments at the end of the
Lease Term or earlier expiration of this Lease shall survive the Lease Term or
earlier expiration.
As used in this Lease, CAC shall include but is not limited to: (i) landscaping
repair, replacement, and maintenance; (ii) all costs and expenses including but
not limited to supplies, materials, equipment and tools used or required in
connection with the operation and maintenance of the Premises; (iii) licenses,
permits and inspection fees; (iv) all other costs incurred by Lessor in
maintaining and operating the Premises; and (v) an amount equal to ten percent
(10%) of items (i) through (iv) above. Lessee shall have the right to review
the basis and computation analysis used to derive the CAC applicable to this
Lease annually.
2.1 ACCEPTANCE OF PREMISES AND COVENANTS TO SURRENDER: Lessee accepts
the Premises in an “AS IS” condition and “AS IS” state of repair. Lessee has
occupied the Premises for over five (5) years under an existing NNN lease.
Lessee agrees on the last day of the Lease Term, or on the sooner termination of
this Lease, to surrender the Premises to Lessor in Good Condition and Repair.
“Good Condition and Repair” shall generally mean that the Premises are in the
condition that one would expect the Premises to be in, if throughout the Lease
Term Lessee (i) uses and maintains the Premises in a commercially reasonable
manner and in an accordance with the requirements of this Lease and (ii) makes
all Required Replacements. “Required Replacements” are the replacements to
worn-out equipment, fixtures, and improvements that a commercially reasonable
owner-user would make. All of the following shall be in Good Condition and
Repair: (i) the interior walls and floors of all offices and other interior
areas, (ii) all suspended ceilings and any carpeting shall be clean and in good
condition, (iii) all glazing, windows, doors and door closures, plate glass, and
(iv) all electrical systems including light fixtures and ballasts, plumbing,
temperature control systems, and those additional items listed in Section 5 of
the Lease. Lessee, on or before the end of the Lease Term or sooner termination
of this Lease, shall remove all its personal property and trade fixtures from
the Premises, and all such property not so removed shall be deemed to be
abandoned by Lessee. Lessee shall reimburse Lessor for all disposition costs
incurred by Lessor relative to Lessee’s abandoned property. If the Premises are
not surrendered at the end of the Lease Term or earlier termination of this
Lease, Lessee shall indemnify Lessor against loss or liability resulting from
any delay caused by Lessee in surrendering the Premises including, without
limitation, any claims made by any succeeding Lessee founded on such delay.
Notwithstanding the above, Lessor shall install, at Lessor’s cost, new roof
membrane on all remaining space by December 31, 2001.
3. USES PROHIBITED: Lessee shall not commit, or suffer to be committed, any
waste upon the Premises, or any nuisance, or other act or thing which may
disturb the quiet enjoyment of any other tenant in or around the buildings in
which the subject Premises are located or allow any sale by auction upon the
Premises, or allow the Premises to be used for any improper, immoral, unlawful
or objectionable purpose, or place any loads upon the floor, walls, or ceiling
which may endanger the structure, or use any machinery or apparatus which will
in any manner vibrate or shake the Premises or the building of which it is a
part, or place any harmful liquids in the drainage system of the building. No
waste materials or refuse shall be dumped upon or permitted to remain upon any
part of the Premises outside of the building proper. No materials, supplies,
equipment, finished products or semi-finished products, raw materials or
articles of any nature shall be stored upon or permitted to remain on any
portion of the Premises outside of the building structure, unless approved by
the local, state, federal or other applicable governing authority. Lessor
consents to Lessee’s use of materials which are necessary to the operation of
Lessee’s business, or which are incidental to the normal, day-to-day operations
of any office user, such as copier fluids, cleaning materials, etc., but this
does not relieve Lessee of any of its obligations not to contaminate the
Premises and related real property or violate any Hazardous Materials Laws. For
the purposes of this paragraph “building structure” includes fenced-in storage
areas attached to the building. Lessee agrees to comply with the regulations of
all local, state, federal and other applicable governing authorities with
respect to storage of articles of any nature in the “building structure” and
Premises.
4. ALTERATIONS AND ADDITIONS: Lessee shall not make, or suffer to be made, any
alteration or addition to said Premises, or any part thereof, without the
express, advance written consent of Lessor; any addition or alteration to said
Premises, except movable furniture and trade fixtures, shall become at once a
part of the realty and belong to Lessor at the end of the Lease Term or earlier
termination of this Lease. Alterations and additions which are not deemed as
trade fixtures shall include HVAC systems, lighting systems, electrical systems,
partitioning, carpeting, or any other installation which has become an integral
part of the Premises. Lessee agrees that it will not proceed to make such
alterations or additions until all required government permits have been
obtained and after having obtained consent from Lessor to do so, until five (5)
days from the receipt of such consent, so that Lessor may post appropriate
notices to avoid any liability to contractors or material suppliers for payment
for Lessee’s improvements. Lessee shall at all times permit such notices to be
posted and to remain posted until the completion of work. At the end of the
Lease Term or earlier termination of this Lease, Lessee shall remove and shall
be required to remove its special tenant improvements, all related equipment,
and any additions or alterations installed by Lessee at or during the Lease Term
and Lessee shall return the Premises to the condition that existed before the
installation of the tenant improvements. Notwithstanding the above, Lessor
agrees to allow any reasonable alterations and improvements and will use its
best efforts to notify Lessee at the time of approval if such improvements or
alterations are to be removed at the end of the Lease Term or earlier
termination of this Lease.
Lessee shall at its sole cost and expense keep, repair, and maintain the
Premises in Good Condition and Repair, including, but not limited to:
1. The interior walls and floors of all offices and other
interior areas, doors and door closures, all lighting systems,
temperature control systems, and plumbing systems.
2. The interior and exterior window washing as needed.
3. The HVAC by a service contract with a licensed air
conditioning and heating contractor which contract shall provide
for a minimum of quarterly maintenance of all air conditioning
and heating equipment at the Premises including HVAC repairs or
replacements which are either excluded from such service
contract or any existing equipment warranties.
4. The roof membrane by a service contract with a licensed
reputable roofing contractor which contract shall provide for a
minimum of semi-annual maintenance, cleaning of storm gutters,
drains, removing of debris, and trimming overhanging trees,
repair of the roof and application of a finish coat every five
years to the building at the Premises.
5. Exterior pest control.
6. Fire monitoring services.
7. Elevator repair, inspection, and replacements.
Lessor will at Lessee’s sole cost and expense keep, repair, and
maintain the exterior of the building, any appurtenances and
every part thereof, including but not limited to, glazing,
sidewalks, parking areas, electrical systems, and painting of
exterior walls. The parking lot to receive a finish coat every
five to seven years.
(c) Lessee hereby waives any and all rights to make repairs at the
expense of Lessor as provided in Section 1942 of the Civil Code of the
State of
California, and all rights provided for by Section 1941 of said
Civil Code.
(d) Lessor shall be responsible for the repair of any structural defects
in the Premises including the roof structure (not membrane), exterior
walls and foundation during the Lease Term.
(e) Lessee shall be responsible for and pay for all Required
Replacements of any items in this Section 5 on Lease Termination.
A) HAZARD INSURANCE: Lessee shall not use, or permit said Premises, or
any part thereof, to be used, for any purpose other than that for which
the Premises are hereby leased; and no use shall be made or permitted to
be made of the Premises, nor acts done, which may cause a cancellation
of any insurance policy covering the Premises, or any part thereof, nor
shall Lessee sell or permit to be kept, used or sold, in or about said
Premises, any article which may be prohibited by a fire and extended
coverage insurance policy. Lessee shall comply with any and all
requirements, pertaining to said Premises, of any insurance organization
or company, necessary for the maintenance of reasonable fire and
extended coverage insurance, covering the Premises. Lessor shall, at
Lessee’s sole cost and expense, purchase and keep in force fire and
extended coverage insurance, covering loss or damage to the Premises in
an amount equal to the full replacement cost of the Premises, as
determined by Lessor, with proceeds payable to Lessor. In the event of a
loss per the insurance provisions of this paragraph, Lessee shall be
responsible for deductibles up to a maximum of $5,000 per occurrence.
Lessee acknowledges that the insurance referenced in this paragraph does
not include coverage for Lessee’s personal property.
B) LOSS OF RENTS INSURANCE: Lessor shall, at Lessee’s sole cost and
expense, purchase and maintain in full force and effect, a policy of
rental loss insurance, in an amount equal to the amount of Rent payable
by Lessee commencing within sixty (60) days of the date of the loss or
on the date of loss if reasonably available for the next ensuing one (1)
year, as reasonably determined by Lessor with proceeds payable to Lessor
(“Loss of Rents Insurance”).
C) LIABILITY AND PROPERTY DAMAGE INSURANCE: Lessee, as a material part
of the consideration to be rendered to Lessor, hereby waives all claims
against Lessor and Lessor’s Agents for damages to goods, wares and
merchandise, and all other personal property in, upon, or about the
Premises, and for injuries to persons in, upon, or about the Premises,
from any cause arising at any time, and Lessee will hold Lessor and
Lessor’s Agents exempt and harmless from any damage or injury to any
person, or to the goods, wares, and merchandise and all other personal
property of any person, arising from the use or occupancy of the
Premises by Lessee, or from the failure of Lessee to keep the Premises
in Good Condition and Repair, as herein provided. Lessee shall, at
Lessee’s sole cost and expense, purchase and keep in force a standard
policy of commercial general liability insurance and property damage
policy covering the Premises and all related areas insuring the Lessee
having a combined single limit for both bodily injury, death and
property damage in an amount not less than five million dollars
($5,000,000.00) and Lessee’s insurance shall be primary. The limits of
said insurance shall not, however, limit the liability of Lessee
hereunder. Lessee shall, at its sole cost and expense, comply with all
of the insurance requirements of all local, municipal, state and federal
authorities now in force, or which may hereafter be in force, pertaining
to Lessee’s use and occupancy of the said Premises.
D) PERSONAL PROPERTY INSURANCE: Lessee shall obtain, at Lessee’s sole
cost and expense, a policy of fire and extended coverage insurance
including coverage for direct physical loss special form, and a
sprinkler leakage endorsement insuring the personal property of Lessee.
The proceeds from any personal property damage policy shall be payable
to Lessee.
All insurance policies required in 6 C) and 6 D) above shall: (i) provide for a
certificate of insurance evidencing the insurance required herein, being
deposited with Lessor ten (10) days prior to the Commencement Date, and upon
each renewal, such certificates shall be provided prior to the expiration date
of such coverage, (ii) be in a form reasonably satisfactory to Lessor and shall
provide the coverage required by Lessee in this Lease, (iii) be carried with
companies with a Best Rating of A minimum, (iv) specifically provide that such
policies shall not be subject to cancellation or reduction of coverage except
after 30 days prior written notice to Lessor, (v) name Lessor, and any other
parties requested by Lessor that have an insurable interest in the Premises as
additional insureds by endorsement to policy, and (vi) shall be primary.
Lessee agrees to pay to Lessor, as additional Rent, on demand, the full cost of
the insurance polices referenced in 6 A) and 6 B) above as evidenced by
insurance xxxxxxxx from Lessor. If Lessee does not occupy the entire Premises,
the insurance premiums shall be allocated to the portion of the Premises
occupied by Lessee on a pro-rata square footage or other equitable basis, as
determined by Lessor. It is agreed that Lessee’s obligation under this paragraph
shall be prorated to reflect the Commencement Date and the end of the Lease
Term.
Lessor and Lessee hereby waive any rights each may have against the other
related to any loss or damage caused to Lessor or Lessee as the case may be, or
to the Premises or its contents, and which may arise from any risk covered by
fire and extended coverage insurance and those risks required to be covered
under Lessee’s personal property insurance. The parties shall provide that their
respective insurance policies insuring the property or the personal property
include a waiver of any right of subrogation which said insurance company may
have against Lessor or Lessee, as the case may be.
11. ADVERTISEMENTS AND SIGNS: Lessee shall not place or permit to be placed, in,
upon or about the Premises any unusual or extraordinary signs, or any signs not
approved by the city, local, state, federal or other applicable governing
authority. Lessee shall not place, or permit to be placed upon the Premises, any
signs, advertisements or notices without the written consent of the Lessor, and
such consent shall not be unreasonably withheld. A sign so placed on the
Premises shall be so placed upon the understanding and agreement that Lessee
will remove same at the end of the
Lease Term or earlier termination of this Lease and repair any damage or injury
to the Premises caused thereby, and if not so removed by Lessee, then Lessor may
have the same removed at Lessee’s expense.
13. ATTORNEY’S FEES: In case suit should be brought for the possession of the
Premises, for the recovery of any sum due hereunder, because of the breach of
any other covenant herein, or to enforce, protect, or establish any term,
conditions, or covenant of this Lease or the right of either party hereunder,
the losing party shall pay to the Prevailing Party reasonable attorney’s fees
which shall be deemed to have accrued on the commencement of such action and
shall be enforceable whether or not such action is prosecuted to judgment. The
term “Prevailing Party” shall mean the party that received substantially the
relief requested, whether by settlement, dismissal, summary judgment, judgment,
or otherwise.
interest at the rate of Xxxxx Fargo’s prime rate plus two percent (2%) per
annum. As used in (c) above, the “worth at the time of award” is computed by
discounting such amount at the discount rate of the Federal Reserve Bank of San
Francisco at the time of award plus one percent (1%).
14.4 ABANDONMENT: In the event of the vacation or abandonment, except as
provided in Section 7, of the Premises by Lessee or in the event that Lessor
shall elect to re-enter as provided in paragraph 14.3 above or shall take
possession of the Premises pursuant to legal proceeding or pursuant to any
notice provided by law, and Lessor does not elect to terminate this Lease as
provided in Section 14.2 above, then Lessor may from time to time, without
terminating this Lease, either recover all Rent as it becomes due or relet the
Premises or any part thereof for such term or terms and at such rental rates and
upon such other terms and conditions as Lessor, in its sole discretion, may deem
advisable with the right to make alterations and repairs to the Premises. In the
event that Lessor elects to reset the Premises, then Rent received by Lessor
from such reletting shall be applied; first, to the payment of any indebtedness
other than Rent due hereunder from Lessee to Lessor; second, to the payment of
any cost of such reletting; third, to the payment of the cost of any alterations
and repairs to the Premises; fourth, to the payment of Rent due and unpaid
hereunder; and the residue, if any, shall be held by Lessor and applied to the
payment of future Rent as the same may become due and payable hereunder. Should
that portion of such Rent received from such reletting during any month, which
is applied by the payment of Rent hereunder according to the application
procedure outlined above, be less than the Rent payable during that month by
Lessee hereunder, then Lessee shall pay such deficiency to Lessor immediately
upon demand therefore by Lessor. Such deficiency shall be calculated and paid
monthly. Lessee shall also pay to Lessor, as soon as ascertained, any costs and
expenses incurred by Lessor in such reletting or in making such alterations and
repairs not covered by the rentals received from such reletting.
16. TAXES: Lessee shall pay and discharge punctually and when the same shall
become due and payable without penalty to Lessor, all real estate taxes,
personal property taxes, taxes based on vehicles utilizing parking areas in the
Premises, taxes computed or based on rental income (other than federal, state
and municipal net income taxes), Environmental Surcharges, privilege taxes,
excise taxes, business and occupation taxes, school fees or surcharges, gross
receipts taxes, sales and/or use taxes, employee taxes, occupational license
taxes, water and sewer taxes, assessments (including, but not limited to,
assessments for public improvements or benefit), assessments for local
improvement and maintenance districts, and all other governmental impositions
and charges of every kind and nature whatsoever, regardless of whether now
customary or within the contemplation of the parties hereto and regardless of
whether resulting from increased rate and/or valuation, or whether extraordinary
or ordinary, general or special, unforeseen or foreseen, or similar or
dissimilar to any of the foregoing (all of the foregoing being hereinafter
collectively called “Tax” or “Taxes”) which, at any time during the Lease Term,
shall be applicable or against the Premises, or shall become due and payable and
a lien or charge upon the Premises under or by virtue of any present or future
laws, statutes, ordinances, regulations, or other requirements of any
governmental authority whatsoever. The term “Environmental Surcharge” shall
include any and all expenses, taxes, charges or penalties imposed by the Federal
Department of Energy, Federal Environmental Protection Agency, the Federal Clean
Air Act, or any regulations promulgated thereunder, or any other local, state or
federal governmental agency or entity now or hereafter vested with the power to
impose taxes, assessments or other types of surcharges as a means of controlling
or abating environmental pollution or the use of energy in regard to the use,
operation or occupancy of the Premises. The term “Tax” shall include, without
limitation, all taxes, assessments, levies, fees, impositions or charges levied,
imposed, assessed, measured, or based in any manner whatsoever (i) in whole or
in part on the Rent payable by Lessee under this Lease, (ii) upon or with
respect to the use, possession, occupancy, leasing, operation or management of
the Premises, (iii) upon this transaction or any document to which Lessee is a
party creating or transferring an interest or an estate in the Premises, (iv)
upon Lessee’s business operations conducted at the Premises, (v) upon, measured
by or reasonably attributable to the cost or value of Lessee’s equipment,
furniture, fixtures and other personal property located on the Premises or the
cost or value of any leasehold improvements made in or to the Premises by or for
Lessee, regardless of whether title to such improvements shall be in Lessor or
Lessee, or (vi) in lieu of or equivalent to any Tax set forth in this Section
16. In the event any such Taxes are payable by Lessor and it shall not be lawful
for Lessee to reimburse Lessor for such Taxes, then the Rent payable thereunder
shall be increased to net Lessor the same net rent after imposition of any such
Tax upon Lessor as would have been payable to Lessor prior to the imposition of
any such Tax. It is the intention of the parties that Lessor shall be free from
all such Taxes and all other governmental impositions and charges of every kind
and nature whatsoever. However, nothing contained in this Section 16 shall
require Lessee to pay any Federal or State income, franchise, estate,
inheritance, succession, transfer or excess profits tax imposed upon Lessor. If
any general or special assessment is levied and assessed against the Premises,
Lessor agrees to use its best reasonable efforts to cause the assessment to
become a lien on the Premises securing repayment of a bond sold to finance the
improvements to which the assessment relates which is payable in installments of
principal and interest over the maximum term allowed by law. It is understood
and agreed that Lessee’s obligation under this paragraph will be prorated to
reflect the Commencement Date and the end of the Lease Term. It is further
understood that if Taxes cover the Premises and Lessee does not occupy the
entire Premises, the Taxes will be allocated to the portion of the Premises
occupied by Lessee based on a pro-rata square footage or other equitable basis,
as determined by Lessor.
Subject to any limitations or restrictions imposed by any deeds of trust or
mortgages now or hereafter covering or affecting the Premises, Lessee shall have
the right to contest or review the amount or validity of any Tax by appropriate
legal proceedings but which is not to be deemed or construed in any way as
relieving, modifying or extending Lessee’s covenant to pay such Tax at the time
and in the manner as provided in this Section 16. However, as a condition of
Lessee’s right to contest, if such contested Tax is not paid before such contest
and if the legal proceedings shall not operate to prevent or stay the collection
of the Tax so contested, Lessee shall, before instituting any such proceeding,
protect the Premises and the interest of Lessor and of the beneficiary of a deed
of trust or the mortgagee of a mortgage affecting the Premises against any lien
upon the Premises by a surety bond, issued by an insurance company acceptable to
Lessor and in an amount equal to one and one-half (1 1/2) times the amount
contested or, at Lessor’s option, the amount of the contested Tax and the
interest and penalties in connection therewith. Any contest as to the validity
or amount of any Tax, whether before or after payment, shall be made by Lessee
in Lessee’s own name, or if required by law, in the name of Lessor or both
Lessor and Lessee. Lessee shall defend, indemnify and hold harmless Lessor from
and against any and all costs or expenses, including attorneys’ fees, in
connection with any such proceedings brought by Lessee, whether in its own name
or not. Lessee shall be entitled to retain any refund of any such contested Tax
and penalties or interest thereon which have been paid by Lessee. Nothing
contained herein shall be construed as affecting or limiting Lessor’s right to
contest any Tax at Lessor’s expense.
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(a) to the Lessor at:
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00000 Xxxxxxx Xxxxx |
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Xxxxxxxxx, Xxxxxxxxxx 00000 |
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Attention: Xxxx X. Xxxx |
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Fax No: (000) 000-0000 |
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(b) to the Lessee at:
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0000 Xxxxxxx Xxxxxx |
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Xxxxx Xxxxx, Xxxxxxxxxx |
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Attention: Xxxxxxx Xxxx |
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Fax No: 000.000.0000 |
or such other addresses, facsimile number or individual as may be designated by
a Communication given by a party to the other parties as aforesaid. Any
Communication given by personal delivery shall be conclusively deemed to have
been given and received on a date it is so delivered at such address provided
that such date is a business day, otherwise on the first business day following
its receipt, and if given by registered or certified mail, on the day on which
delivery is made or refused or if given by recognized overnight courier, on the
first business day following deposit with such overnight courier and if given by
facsimile transmission, on the day on which it was transmitted provided such day
is a business day, failing which, on the next business day thereafter.
18. ENTRY BY LESSOR: Lessee shall permit Lessor and its agents to enter into and
upon said Premises at all reasonable times using the minimum amount of
interference and inconvenience to Lessee and Lessee’s business, subject to any
security regulations of Lessee, for the purpose of inspecting the same or for
the purpose of maintaining the building in which said Premises are situated, or
for the purpose of making repairs, alterations or additions to any other portion
of said building, including the erection and maintenance of such scaffolding,
canopies, fences and props as may be required, without any rebate of Rent and
without any liability to Lessee for any loss of occupation or quiet enjoyment of
the Premises; and shall permit Lessor and his agents, at any time within ninety
(90) days prior to the end of the Lease Term, to place upon said Premises any
usual or ordinary “For Sale” or “For Lease” signs and exhibit the Premises to
prospective tenants at reasonable hours.
19. DESTRUCTION OF PREMISES: In the event of a partial destruction of a building
in said Premises during the Lease Term from any cause which is covered by
Lessor’s property insurance, Lessor shall forthwith repair the same, provided
such repairs can be made within one hundred eighty (180) days after receipt of
building permit under the laws and regulations of State, Federal, County, or
Municipal authorities, but such partial destruction shall in no way annul or
void this Lease, except that Lessee shall be entitled to a proportionate
reduction of Rent while such repairs are being made to the extent of payments
received by Lessor under its Loss of Rents Insurance coverage. With respect to
any partial destruction which Lessor is obligated to repair or may elect to
repair under the terms of this paragraph, the provision of Section 1932,
Subdivision 2, and of Section 1933, Subdivision 4, of the Civil Code of the
State of California are waived by Lessee. In the event that a building in the
subject Premises is destroyed to an extent greater than thirty-three and
one-third percent (33 1/3%) of the replacement cost thereof, Lessor may, at its
sole option, elect to terminate this Lease as to that building, whether the
subject Premises is insured or not. A total destruction of more than 50% of the
subject Premises shall terminate this Lease. Notwithstanding the above, Lessor
is only obligated to repair
or rebuild to the extent of available insurance proceeds including any
deductible amount paid by Lessee. Should Lessor determine that insufficient or
no insurance proceeds are available for repair or reconstruction of Premises,
Lessor, at its sole option, may terminate the Lease. Notwithstanding the above,
Lessee shall have the option of continuing this Lease by agreeing to pay all
repair costs to the subject Premises which are not otherwise reimbursable by
insurance.
20. ASSIGNMENT AND SUBLETTING: Lessee shall not assign this Lease, or any
interest therein, and shall not sublet the said Premises or any part thereof, or
any right or privilege appurtenant thereto, or cause any other person or entity,
to occupy or use the Premises, or any portion thereof, without the advance
written consent of Lessor. Notwithstanding the above, Lessee may, without the
consent of Lessor, assign this Lease or sublet all or any part of the Premises
to a bona fide subsidiary or affiliate of Lessee, an entity in which or with
which Lessee merges or an entity which acquires all or substantially all of the
assets of Lessee (“Excepted Party”). Any such assignment or subletting requiring
Lessor’s consent made without Lessor’s consent shall be void, and shall, at the
option of the Lessor, terminate this Lease. This Lease shall not, or shall any
interest therein, be assignable, as to the interest of Lessee, by operation of
law, without the written consent of Lessor. Notwithstanding Lessor’s obligation
to provide reasonable approval, Lessor reserves the right to withhold its
consent for any proposed sublessee or assignee of Lessee if the proposed
sublessee or assignee is a user or generator of Hazardous Materials. If Lessee
desires to assign its rights under this Lease or to sublet all or any part of
the Premises to a party other than an Excepted Party, Lessee shall first notify
Lessor of the proposed terms and conditions of such assignment or subletting.
Lessor, at its sole option, shall have the right (i) to enter into a direct
Lessor-lessee relationship with such party under such proposed terms and
conditions, in which event Lessee shall be relieved of its obligations hereunder
to the extent of the Lessor-lessee relationship entered into between Lessor and
such third party, or (ii) to terminate the Lease and relieve Lessee of all Lease
obligations occurring after the termination of the Lease. Notwithstanding the
foregoing, Lessee may assign this Lease to an Excepted Party, provided there is
no substantial reduction in the net worth of the resulting guarantor. Whether or
not Lessor’s consent to a sublease or assignment is required, in the event of
any sublease or assignment, Lessee shall be and shall remain primarily liable
for the performance of all conditions, covenants, and obligations of Lessee
hereunder and, in the event of a default by an assignee or sublessee, Lessor may
proceed directly against the original Lessee hereunder and/or any other
predecessor of such assignee or sublessee without the necessity of exhausting
remedies against said assignee or sublessee. If Lessee merges or sells
substantially all of its assets and the net worth of the resulting entity is
substantially less than that of Lessee, such sale shall be a default under this
Lease unless approved by Lessor.
purchaser of any such sale, or the Lessor of the building, that the purchaser or
lessor of the building has assumed and agreed to carry out any and all covenants
and obligations of the Lessor hereunder. If any security is given by Lessee to
secure the faithful performance of all or any of the covenants of this Lease on
the part of Lessee, Lessor may transfer and deliver the security, as such, to
the purchaser at any such sale of the building, and thereupon the Lessor shall
be discharged from any further liability.
27. ESTOPPEL CERTIFICATES: Lessee shall at any time during the Lease Term, upon
not less than ten (10) days prior written notice from Lessor, execute and
deliver to Lessor a statement in writing certifying that, this Lease is
unmodified and in full force and effect (or, if modified, stating the nature of
such modification) and the dates to which the Rent and other charges have been
paid in advance, if any, and acknowledging that there are not, to Lessee’s
knowledge, any uncured defaults on the part of Lessor hereunder or specifying
such defaults if they are claimed. Any such statement may be conclusively relied
upon by any prospective purchaser or encumbrancer of the Premises. Lessee’s
failure to deliver such a statement within such time shall be conclusive upon
the Lessee that (a) this Lease is in full force and effect, without modification
except as may be represented by Lessor; (b) there are no uncured defaults in
Lessor’s performance.
28. TIME: Time is of the essence of the Lease.
30. PARTY NAMES: Landlord and Tenant may be used in various places in this Lease
as a substitute for Lessor and Lessee respectively.
a. The term “Hazardous Materials” shall mean (i) polychlorinated
biphenyls; (ii) radioactive materials and (iii) any chemical, material
or substance now or hereafter defined as or included in the definitions
of “hazardous substance” “hazardous water”, “hazardous material”,
“extremely hazardous waste”, “restricted hazardous waste” under Section
25115, 25117 or 15122.7, or listed pursuant to Section 25140 of the
California Health and Safety Code, Division 20, Chapter 6.5 (Hazardous
Waste Control Law), (ii) defined as “hazardous substance” under Section
25316 of the
California Health and Safety Code, Division 20, Chapter 6.8
(Xxxxxxxxx-Xxxxxxx-Xxxxxx Hazardous Substances Account Act), (iii)
defined as “hazardous material”, “hazardous substance”, or “hazardous
waste” under Section 25501 of the
California Health and Safety Code,
Division 20, Chapter 6.95 (Hazardous Materials Release, Response, Plans
and Inventory), (iv) defined as a “hazardous substance” under Section
25181 of the California Health and Safety Code, Division 201, Chapter
6.7 (Underground Storage of Hazardous Substances), (v) petroleum, (vi)
asbestos, (vii) listed under Article 9 or defined as “hazardous” or
“extremely hazardous” pursuant to Article II of Title 22 of the
California Administrative Code, Division 4, Chapter 20, (viii) defined
as “hazardous substance” pursuant to Section 311 of the Federal Water
Pollution Control Act, 33 U.S.C. 1251 et seq. or listed pursuant to
Section 1004 of the Federal Water Pollution Control Act (33 U.S.C.
1317), (ix) defined as a “hazardous waste”, pursuant to Section 1004 of
the Federal Resource Conservation and Recovery Act, 42 U.S.C. 6901 et
seq., (x) defined as “hazardous substance” pursuant to Section 101 of
the Comprehensive Environmental Responsibility Compensations, and
Liability Act, 42 U.S.C. 9601 et seq., or (xi) regulated under the Toxic
Substances Control Act, 156 U.S.C. 2601 et seq.
b. The term “Hazardous Materials Laws” shall mean any local, state and
federal laws, rules, regulations, or ordinances relating to the use,
generation, transportation, analysis, manufacture, installation,
release, discharge, storage or disposal of Hazardous Material.
c. The term “Lessor’s Agents” shall mean Lessor’s agents,
representatives, employees, contractors, subcontractors, directors,
officers and partners.
d. The term “Lessee’s Agents” shall mean Lessee’s agents,
representatives, employees, contractors, subcontractors, directors,
officers, partners, invitees or any other person in or about the
Premises.
a. Lessee’s or Lessee’s Agents’ use, analysis, storage, transportation,
disposal, release, threatened release, discharge or generation of
Hazardous Material to, in, on, under, about or from the Premises; or
b. Lessee’s or Lessee’s Agents failure to comply with Hazardous Material
laws; or
c. Any release of Hazardous Material to, in, on, under, about, from or
onto the Premises caused by or occurring as a result of acts or
omissions of Lessee or Lessee’s Agents, except ground water
contamination from other parcels where the source is from off the
Premises not arising from or caused by Lessee or Lessee’s Agents.
The cost and expenses indemnified against include, but are not limited to the
following:
i. Any and all claims, actions, suits, proceedings, losses, damages,
liabilities, deficiencies, forfeitures, penalties, fines, punitive
damages, cost or expenses;
ii. Any claim, action, suit or proceeding for personal injury (including
sickness, disease, or death), tangible or intangible property damage,
compensation for lost wages, business income, profits or other economic
loss, damage to the natural resources of the environment, nuisance,
pollution, contamination, leaks, spills, release or other adverse
effects on the environment;
iii. The cost of any repair, clean-up, treatment or detoxification of
the Premises necessary to bring the Premises into compliance with all
Hazardous Material Laws, including the preparation and implementation of
any closure, disposal, remedial action, or other actions with regard to
the Premises, and expenses (including, without limitation, reasonable
attorney’s fees and consultants fees, investigation and laboratory fees,
court cost and litigation expenses).
(i) Lessee shall give Lessor written notice of its exercise of its
option to extend no earlier than twelve (12), nor later than six (6)
calendar months before the Lease Term would end but for said exercise.
If Lessee and Lessor have not agreed to rental terms in writing, Lessee
may withdraw its notice of exercise of an extension option prior to six
(6) months before the Lease Term would end but for said exercise. Lessor
shall provide Lessee with Lessor’s proposed base monthly rent for the
option period within twenty (20) days of Lessee’s written request.
Lessee’s acceptance, in writing, of Lessor’s proposed base monthly rent
shall operate to
extend the Lease Term. Upon any extension of the Lease Term pursuant to
this Section 35, the term “Lease Term” as used in this Lease shall
thereafter include the then extended term. Time is of the essence.
(ii) Lessee may not extend the Lease Term pursuant to any option granted
by this Section 35 if Lessee is in default as of the date of the
exercise of its option. If Lessee has committed a default by Lessee as
defined in Section 14 or 32 that has not been cured or waived by Lessor
in writing by the date that any extended term is to commence, then
Lessor may elect not to allow the Lease Term to be extended,
notwithstanding any notice given by Lessee of an exercise of this option
to extend.
(iii) All terms and conditions of this Lease shall apply during the
extended term, except that the base rent and rental increases for each
extended term shall be determined as provided in Section 35 (B) below
(iv) The option rights of Intevac granted under this Section 35 are
granted for Intevac’s personal benefit and may not be assigned or
transferred by Intevac or exercised if Intevac is not occupying the
Premises at the time of exercise.
B. EXTENDED TERM RENT — OPTION PERIOD: The monthly Rent for the Premises during
the extended term shall equal the fair market monthly Rent for the Premises as
of the commencement date of the extended term, but in no case, less than the
Rent during the last month of the prior Lease term. Promptly upon Lessee’s
exercise of the option to extend, Lessee and Lessor shall meet and attempt to
agree on the fair market monthly Rent for the Premises as of the commencement
date of the extended term. In the event the parties fail to agree upon the
amount of the monthly Rent for the extended term prior to commencement thereof,
the monthly Rent for the extended term shall be determined by appraisal in the
manner hereafter set forth; provided, however, that in no event shall the
monthly Rent for the extended term be less than in the immediate preceding
period. Annual base rent increases during the extended term shall be four
percent (4%) per year. In the event it becomes necessary under this paragraph to
determine the fair market monthly Rent of the Premises by appraisal, Lessor and
Lessee each shall appoint a real estate appraiser who shall be a member of the
American Institute of Real Estate Appraiser (“AIREA”) and such appraisers shall
each determine the fair market monthly Rent for the Premises taking into account
the value of the Premises and the amenities provided by the outside areas, the
common areas, and the Building, and prevailing comparable Rentals in the area.
Such appraisers shall, within twenty (20) business days after their appointment,
complete their appraisals and submit their appraisal reports to Lessor and
Lessee. If the fair market monthly Rent of the Premises established in the two
(2) appraisals varies by five percent (5%) or less of the higher Rent, the
average of the two shall be controlling. If said fair market monthly Rent varies
by more than five percent (5%) of the higher Rental, said appraisers, within ten
(10) days after submission of the last appraisal, shall appoint a third
appraiser who shall be a member of the AIREA and who shall also be experienced
in the appraisal of Rent values and adjustment practices for commercial
properties in the vicinity of the Premises. Such third appraiser shall, within
twenty (20) business days after his appointment, determine by appraisal the fair
market monthly Rent of the Premises taking into account the same factors
referred to above, and submit his appraisal report to Lessor and Lessee. The
fair market monthly Rent determined by the third appraiser for the Premises
shall be controlling, unless it is less than that set forth in the lower
appraisal previously obtained, in which case the value set forth in said lower
appraisal shall be controlling, or unless it is greater than that set forth in
the higher appraisal previously obtained in which case the Rent set for in said
higher appraisal shall be controlling. If either Lessor or Lessee fails to
appoint an appraiser, or if an appraiser appointed by either of them fails,
after his appointment to submit his appraisal within the required period in
accordance with the foregoing, the appraisal submitted by the appraiser properly
appointed and timely submitting his appraisal shall be controlling. If the two
appraisers appointed by Lessor and Lessee are unable to agree upon a third
appraiser within the required period in accordance with the foregoing,
application shall be made within twenty (20) days thereafter by either Lessor or
Lessee to AIREA, which shall appoint
a member of said institute willing to serve as appraiser. The cost of all
appraisals under this subparagraph shall be borne equally be Lessor and Lessee.
38. INDEMNIFICATION OF LESSOR: Except to the extent caused by the sole
negligence or willful misconduct of Lessor or Lessor’s Agents, Lessee shall
defend, indemnify and hold Lessor harmless from and against any and all
obligations, losses, costs, expenses, claims, demands, attorney’s fees,
investigation costs or liabilities on account of, or arising out of the use,
condition or occupancy of the Premises or any act or omission to act of Lessee
or Lessee’s Agents or any occurrence in, upon, about or at the Premises,
including, without limitation, any of the foregoing provisions arising out of
the use, generation, manufacture, installation, release, discharge, storage, or
disposal of Hazardous Materials by Lessee or Lessee’s Agents. It is understood
that Lessee is and shall be in control and possession of the Premises and that
Lessor shall in no event be responsible or liable for any injury or damage or
injury to any person whatsoever, happening on, in, about, or in connection with
the Premises, or for any injury or damage to the Premises or any part thereof.
This Lease is entered into on the express condition that Lessor shall not be
liable for, or suffer loss by reason of injury to person or property, from
whatever cause, which in any way may be connected with the use, condition or
occupancy of the Premises or personal property located herein. The provisions of
this Lease permitting Lessor to enter and inspect the Premises are for the
purpose of enabling Lessor to become informed as to whether Lessee is complying
with the terms of this Lease and Lessor shall be under no duty to enter, inspect
or to perform any of Lessee’s covenants set forth in this Lease. Lessee shall
further indemnify, defend and hold harmless Lessor from and against any and all
claims arising from any breach or default in the performance of any obligation
to Lessee’s part to be performed under the terms of this Lease. The provisions
of Section 38 shall survive the Lease Term or earlier termination of this Lease
with respect to any third party claims, damage, injury or death occurring during
the Lease Term.
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LESSOR |
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LESSEE |
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MISSION WEST PROPERTIES, L.P. III |
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INTEVAC CORPORATION |
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BY:
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MISSION WEST PROPERTIES, INC., |
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ITS GENERAL PARTNER |
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By:
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/s/ Xxxx X. Xxxx
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By:
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/s/ Xxxxxxx X. Xxxx |
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Signature of authorized representative |
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Signature of authorized representative |
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Xxxx X. Xxxx |
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Xxxxxxx X. Xxxx |
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Printed name |
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Printed name |
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President |
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Chief Financial Officer |
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Title |
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Title |
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2/7/01 |
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2-5-01 |
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Date |
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Date |
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FIRST AMENDMENT TO LEASE
This First Amendment to Lease (“Amendment”), is made and entered into this 23rd day of
February, 2004 by and between Mission West Properties, L.P. III, a Delaware limited partnership
(“Mission” or “Lessor”) and Intevac Corporation, a California corporation (“Lessee”).
RECITALS
A. |
Lessee currently leases from Lessor approximately 119,583 square feet of space located at
0000-0000 Xxxxxxx Xxxxxx, Xxxxx Xxxxx, Xxxxxxxxxx (the “Premises”) pursuant to that certain lease dated
February 5, 2001 (the “Lease”). |
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B. |
The term of the Lease expires on March 31, 2007. |
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C. |
Lessee has elected and Mission has agreed to extend the term of Lease until March 31, 2012
subject to the terms and conditions set forth herein: |
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
acknowledged, the parties hereto agree to amend the Lease as follows:
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1. |
TERM: The term of the Lease is hereby extended for five (5) years until March 31, 2012..
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2. |
BASIC RENT: The base rent shall be adjusted to and payable on 4/1/07 as follows: |
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Base rent |
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Estimated CAC |
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Total |
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4/1/07 through 3/31/08 |
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$ |
113,604 |
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$ |
2,200 |
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$ |
115,804 |
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*CAC subject to annual adjustment.
Monthly base rent to increase each year by the lesser of: (i) $.05 per square foot per month or
(ii) the increase in the Bay Area Consumer Price Index, during the prior year on April 1 of each
year during this extended term over the prior year’s rent rounded to the nearest dollar.
(Example if consumer price increased by 7% from 4/1/07 to 3/31/08 then the amount of increase
would be lesser of $.05 +.95 = $1.00 or $.95 x 107% = $1.0165 times 119,583.)
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3. |
COMMON AREA CHARGES: Lessee shall continue to pay to
Mission its share of common area charges as provided for in the Lease during the extended term. |
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4. |
BROKERAGE COMMISSION: Each party represents and warrants to the other party that it
has not utilized or contacted a real estate broker or finder with respect to this Amendment and
each party agrees to indemnify and hold each other harmless against any claim, cost,
liability or cause of action asserted by any broker or finder claiming through either party.
Mission and Lessee agree that Mission shall not be obligated to pay any broker leasing
commissions, consulting fees, finders fees or any other fees or commissions arising out of
the negotiation and execution of this Amendment or relating to any extended term of the Lease
or to any expansion or relocation of the Premises. |
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5. |
LESSEE CERTIFICATION: As a condition of Lessor’s agreeing to this Amendment, Lessee |
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hereby certifies and confirms that as of the date of this Amendment, Lessee is not in violation
of any government regulations, ordinances, rules or laws, including those pertaining to
Hazardous Waste and/or Hazardous Materials. Lessee is accepting Premises in an “as is”
condition. |
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6. |
RATIFICATION OF LEASE: Except as modified herein, the Lease is hereby ratified, approved
and confirmed upon all the terms, covenants, and conditions. |
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7. |
AUTHORITY: Each party executing this Amendment represents and warrants that he or she is
duly authorized to execute and deliver this Amendment. If executed on behalf of a corporation,
that this Amendment is executed in accordance with the by-laws of said corporation (or a
partnership that this Amendment is executed in accordance with the partnership agreement of such
partnership), that no other party’s approval or consent to such execution and delivery is
required, and that this Amendment is binding upon said individual, corporation (or partnership)
as the case may be in accordance with its terms. |
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MISSION WEST PROPERTIES, L.P. III,
a Delaware limited partnership |
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INTEVAC CORPORATION,
a Delaware corporation |
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By:
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/s/ Xxxx X. Xxxx
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By:
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/s/ Xxxxxxx X. Xxxx III |
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Xxxx X. Xxxx
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Xxxxxxx X. Xxxx III |
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Title: CEO of the General Partner |
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Title: CFO |
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Date: 2/24/04 |
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Date: 2/23/04 |
SECOND AMENDMENT TO LEASE
This Second Amendment to Lease (the “Second Amendment”), is made and entered into this 1st day
of July, 2005 by and between Mission West Properties, L.P. III, a Delaware limited partnership
(“Lessor”) and Intevac Corporation, a California
corporation (“Lessee”).
A. |
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Lessee currently leases from Lessor approximately 119,583 square feet of space located at
0000-0000 Xxxxxxx Xxxxxx, Xxxxx Xxxxx, Xxxxxxxxxx (the “Premises”) pursuant to that certain
lease dated February 5, 2001 and First Amendment To Lease dated February 23, 2004 (the
“Lease”). |
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B. |
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Lessee has elected and Lessor has agreed to lease to Lessee a 10,000 square foot portion of
0000 Xxxxxxx Xxxxxx xx Xxxxx Xxxxx, Xxxxxxxxxx which is comprised of a total of approximately
18,304 square feet (the “Expansion Premises”) as described on Exhibit A: |
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
acknowledged, the parties hereto agree to amend the Lease as follows:
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1. |
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TERM: The Lease Term for the Expansion Premises will be nine (9) months
commencing July 1, 2005. |
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2. |
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RENT: The Rent for the Expansion Premises shall be as follows: |
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Base Rent |
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Estimated CAC* |
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Total Rent |
7/1/05 to 9/30/05 |
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$ |
4,000 |
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$ |
2,300 |
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$ |
6,300 |
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10/1/05 to 3/31/06 |
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$ |
6,500 |
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$ |
2,300 |
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$ |
8,800 |
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* |
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Estimated Common Area Charges (“CAC”). |
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3. |
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TERMINATION OPTION: Lessee will have the one time right to terminate the
Lease for the Expansion Premises upon delivering advance written notice to Lessor on or
before October 1, 2005. |
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4. |
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UTILITIES: Lessee will be responsible for 100% of the utilities for 0000
Xxxxxxx Xxxxxx xx Xxxxx Xxxxx, Xxxxxxxxxx during the Lease Term for the Expansion
Premises. |
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5. |
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BROKERAGE COMMISSION: Each party represents and warrants to the other party
that it has not utilized or contacted a real estate broker or finder with respect to this
Second Amendment and each party agrees to indemnify and hold each other harmless against
any claim, cost, liability or cause of action asserted by any broker or finder claiming
through either party. Lessor and Lessee agree that Lessor shall not be obligated to pay
any broker leasing commissions, consulting fees, finder’s fees or any other fees or
commissions arising out of the negotiation and execution of this Second Amendment or
relating to any extended term of the Lease or to any expansion or relocation of the
Premises. |
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6. |
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LESSEE CERTIFICATION: As a condition of Lessor’s agreeing to this Second Amendment,
Lessee hereby certifies and confirms that as of the date of this Second Amendment, Lessee is not
in violation of any government regulations, ordinances, rules or laws, including those
pertaining to Hazardous Waste and/or Hazardous Materials. Lessee is accepting the Expansion
Premises in an “as is where is” condition. |
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7. |
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RATIFICATION OF LEASE: Except as modified herein, the Lease is hereby ratified,
approved and confirmed upon all the terms, covenants, and conditions. |
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8. |
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AUTHORITY: Each party executing this Second Amendment represents and warrants that he
or she is duly authorized to execute and deliver this Second Amendment. If executed on behalf
of a corporation, that this Second Amendment is executed in accordance with the by-laws of
said corporation (or a partnership that this Second Amendment is executed in accordance with
the partnership agreement of such partnership), that no other party’s approval or consent to
such execution and delivery is required, and that this Second Amendment is binding upon said
individual, corporation (or partnership) as the case may be in accordance with its terms. |
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MISSION
WEST PROPERTIES, L.P. III, |
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INTEVAC CORPORATION, |
a
Delaware limited partnership |
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a California corporation |
By
Mission West Properties, Inc. |
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Its
general partner |
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By:
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/s/ X.X. Xxxxxx
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By:
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/s/ Xxxxxxx X. Xxxx |
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Print
Name: X.X. Xxxxxx |
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Print Name: Xxxxxxx X. Xxxx |
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Title:
President & COO |
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Title: CFO |
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Date:
7/1/05 |
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Date: 7/1/05 |
SECOND AMENDMENT TO LEASE
This Second Amendment to Lease (“Amendment”), is made and entered into the 1st day of April, 2006
by and between Mission West Properties, L.P. Ill, a Delaware limited partnership (“Mission” or
“Lessor”) and Intevac, Inc., a California corporation (“Lessee”).
A. |
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Lessee currently leases from Lessor approximately 119,583 square feet of space located at
0000-0000 Xxxxxxx Xxxxxx, Xxxxx Xxxxx, Xxxxxxxxxx (the “Premises”) pursuant to that certain
lease dated February 5,2001 (the “Lease”). |
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B. |
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The term of the Lease expires on March 31, 2007. |
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C. |
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Lessee has elected and Mission has agreed to extend the term of Lease until March 31, 2012
subject to the terms and conditions set forth herein: |
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1. |
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TERM: The term of the Lease is hereby extended for five (5) years until March 31, 2012. |
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2. |
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BASIC RENT: The base rent shall be as shown below: |
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Base rent |
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Estimated CAC |
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Total |
4/1/06 through 3/31/07 |
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$ |
276,992 |
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$ |
2,200 |
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$ |
279,192 |
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4/1/07 through 3/31/08 |
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$ |
113,604 |
|
|
$ |
2,200 |
|
|
$ |
115,804 |
|
|
|
|
* |
|
CAC subject to annual adjustment. |
Monthly base rent to increase each year by the lesser of: (i) $.05 per square foot per
month or (ii) the increase in the Bay Area Consumer Price Index, during the prior year on April
1 of each year during this extended term over the prior year’s rent rounded to the nearest
dollar. (Example if consumer price increased by 7% from 4/1/07 to 3/31/08 then the amount of
increase would be lesser of $.05 +.95 = $1.00 or $.95 x 107% = $1.0165 times 119,583.)
|
3. |
|
COMMON AREA CHARGES: Lessee shall continue to pay to Mission its share of common
area charges as provided for in the Lease during the extended term. |
|
|
4. |
|
BROKERAGE COMMISSION: Each party represents and warrants to the other party that it
has not utilized or contacted a real estate broker or finder with respect to this Amendment and
each party agrees to indemnify and hold each other harmless against any claim, cost,
liability or cause of action asserted by any broker or finder claiming through either party.
Mission and Lessee agree that Mission shall not be obligated to pay any broker leasing
commissions, consulting fees, finders fees or any other fees or commissions arising out of
the negotiation and execution of this |
|
|
|
Amendment or relating to any extended term of the Lease or to any expansion or relocation of the
Premises. |
|
|
5. |
|
LESSEE CERTIFICATION: As a condition of Lessor’s agreeing to this Amendment, Lessee
hereby certifies and confirms that as of the date of this Amendment, Lessee is not in
violation of any government regulations, ordinances, rules or laws, including those pertaining
to Hazardous Waste and/or Hazardous Materials. Lessee is accepting Premises in an “as is”
condition. |
|
|
6. |
|
RATIFICATION OF LEASE: Except as modified herein, the
Lease is hereby ratified, approved and confirmed upon all the terms, covenants, and conditions and supersedes prior amendments. |
|
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7. |
|
FIRST RIGHT OF OFFER TO LEASE: Lessor hereby gives Lessee the first right of offer to
Lease the 47,480 sq. ft. building at 0000 Xxxxxxx, Xxxxx Xxxxx, Xx. upon the expiration of the
Xicom Lease if they do not exercise their option to renew. The monthly NNN rent would 95% of
fair market value at the time of the exercise of the first right of offer. The term would
expire with on March 31, 2012. |
|
|
8. |
|
AUTHORITY: Each party executing this Amendment represents and warrants that he or she
is duly authorized to execute and deliver this Amendment. If executed on behalf of a
corporation, that this Amendment is executed in accordance with the by-laws of said
corporation (or a partnership that this Amendment is executed in accordance with the
partnership agreement of such partnership), that no other party’s approval or consent to such
execution and delivery is required, and that this Amendment is binding upon said individual,
corporation (or partnership) as the case may be in accordance with its terms. |
|
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|
|
MISSION
WEST PROPERTIES, L.P. Ill, |
|
|
|
INTEVAC CORPORATION, |
|
|
a
Delaware limited partnership |
|
|
|
a California corporation |
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By:
|
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/s/ Xxxx X. Xxxx
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By:
|
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/s/ Xxxxxxx X. Xxxx |
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Xxxx X. Xxxx |
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Title:
CEO of the General Partner |
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Title: CFO |
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Date:
April 1, 2006 |
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Date: April 1, 2006 |
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THIRD AMENDMENT TO LEASE
This Third Amendment to Lease (the “Third Amendment”), is made and entered into this 23 day of
March, 2006 by and between Mission West Properties, L.P. III, a Delaware limited partnership
(“Lessor”) and Intevac Corporation, a California
corporation (“Lessee”).
A. |
|
Lessee currently leases from Lessor approximately 119,583 square feet of space located at
0000-0000 Xxxxxxx Xxxxxx, Xxxxx Xxxxx, Xxxxxxxxxx (the “Premises”) pursuant to that certain
lease dated February 5, 2001, First Amendment to Lease dated February 23, 2004 and Second
Amendment to Lease dated July 1, 2005 (the “Lease”). |
B. |
|
Lessee currently leases a 10,000 square foot portion of 0000 Xxxxxxx Xxxxxx xx Xxxxx Xxxxx,
Xxxxxxxxxx which is comprised of a total of approximately 18,304 square feet (the “Expansion
Premises”) until March 31, 2006, and Lessee has requested to extend the Lease Term for the
Expansion Premises. In addition, Lessor has completed a lease for the space adjacent to the
Expansion Premises located at 0000 Xxxxxxx Xxxxxx, and Lessor requires certain modifications
to the Expansion Premises to provide for secured shared access to the dock area which will
reduce the total square footage of the Expansion Premises from approximately 18,304 to 17,836
[17,368 + 468 (50% of shared dock area)] square feet. |
|
1. |
|
EXPANSION PREMISES SECURED SHARED DOCK: Lessor, at Lessor’s cost, will modify
the Expansion Premises to provide for secured shared access to the dock area for the
Lessee and tenant occupying the adjacent space at 0000 Xxxxxxx Xxxxxx as described on
Exhibit A. |
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|
2. |
|
TERM: The Lease Term for the Expansion Premises will be extended
nine (9) months commencing April 1, 2006 and ending December 31, 2006. |
|
3. |
|
RENT: The monthly Rent for the Expansion Premises shall be as follows: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Base Rent |
|
Estimated CAC* |
|
Total Rent |
4/1/06 to 12/31/06 |
|
$ |
6,500 |
|
|
$ |
2,300 |
|
|
$ |
8,800 |
|
|
|
|
* |
|
Estimated Common Area Charges (“CAC”). |
|
4. |
|
UTILITIES: Lessee will be responsible for 100% of the utilities for 0000
Xxxxxxx Xxxxxx xx Xxxxx Xxxxx, Xxxxxxxxxx during the Lease Term for the Expansion
Premises. |
|
|
5. |
|
BROKERAGE COMMISSION: Each party represents and warrants to the other party
that it has not utilized or contacted a real estate broker or finder with respect to this
Third Amendment and each party agrees to indemnify and hold each other harmless against
any claim, cost, liability or cause of action asserted by any broker or finder claiming
through either party. Lessor and Lessee agree
that Lessor shall not be obligated to pay any broker leasing commissions, consulting fees,
finder’s fees or any other fees or commissions arising out of the negotiation and execution
of this |
|
|
|
Third Amendment or relating to any extended term of the Lease or to any expansion or relocation
of the Premises or Expansion Premises. |
|
|
6. |
|
LESSEE CERTIFICATION: As a condition of Lessor’s agreeing to this Third Amendment,
Lessee hereby certifies and confirms that as of the date of this Third Amendment, Lessee is
not in violation of any government regulations, ordinances, rules or laws, including those
pertaining to Hazardous Waste and/or Hazardous Materials. Lessee is accepting the Expansion
Premises in an “as is where is” condition. |
|
|
7. |
|
RATIFICATION OF LEASE: Except as modified herein, the Lease is hereby ratified,
approved and confirmed upon all the terms, covenants, and conditions. |
|
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8. |
|
AUTHORITY: Each party executing this Third Amendment represents and warrants that he
or she is duly authorized to execute and deliver this Third Amendment. If executed on behalf
of a corporation, that this Third Amendment is executed in accordance with the by-laws of said
corporation (or a partnership that this Third Amendment is executed in accordance with the
partnership agreement of such partnership), that no other party’s approval or consent to such
execution and delivery is required, and that this Third Amendment is binding upon said
individual, corporation (or partnership) as the case may be in accordance with its terms. |
|
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|
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|
MISSION
WEST PROPERTIES, L.P. III, |
|
|
|
INTEVAC CORPORATION, |
|
|
a
Delaware limited partnership |
|
|
|
a California corporation |
|
|
By
Mission West Properties, Inc. |
|
|
|
|
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|
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Its
general partner |
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By:
|
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/s/ X.X. Xxxxxx
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By:
|
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/s/ Xxxxxx X. Xxx Xxx |
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Print Name: X.X.
XXXXXX |
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Print Name: Xxxxxx X.
Xxx Xxx |
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Title:
President & COO |
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Title: Facilities Manager |
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Date:
03/28/06 |
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Date: 23 March 2006 |
|
|
Exhibit A
Floor plan to be attached
FIFTH AMENDMENT TO LEASE
This Fifth Amendment to Lease (“Amendment”), is made and entered into the 23rd day of October, 2006
by and between Mission West Properties, L.P. III, a Delaware limited partnership (“Mission” or
“Lessor”) and Intevac Corporation, a Delaware corporation (“Lessee”).
A. |
|
Lessee currently leases from Lessor approximately 119,583 square feet of space located at
0000-0000 Xxxxxxx Xxxxxx, Xxxxx Xxxxx, Xxxxxxxxxx (the “Premises”) pursuant to that certain
lease dated February 5, 2001 (the “Lease”) as amended by amendments one thru four. |
B. |
|
The term of the Lease expires on March 31, 2012 |
C. |
|
Lessee has elected and Mission has agreed to add 50,000 sq. ft. at 0000 Xxxxxxx Xxxxxx, Xxxxx
Xxxxx to the lease for a total of 169,583 subject to the terms and conditions set forth
herein: |
|
1. |
|
BASIC RENT: The base rent shall be as shown below: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Base rent |
|
Estimated CAC |
|
Total |
11/1/06 through 12/31/06 |
|
$ |
276,992 |
|
|
$ |
2,200 |
|
|
$ |
279,192 |
|
1/1/07 through 3/31/07 |
|
$ |
306,992 |
|
|
$ |
3,200 |
|
|
$ |
310,192 |
|
4/1/07 through 3/31/08 |
|
$ |
143,604 |
|
|
$ |
3,200 |
|
|
$ |
146,804 |
|
|
|
|
* |
|
CAC subject to annual adjustment. |
Monthly base rent to increase each year by the lesser of: (i) $.05 per square foot per month or
(ii) the increase in the Bay Area Consumer Price Index, during the prior year on April 1 of
each year during this extended term over the prior year’s rent rounded to the nearest dollar.
(Example if consumer price increased by 7% from 4/1/07 to 3/31/08 then the amount of increase
would be lesser of $.05 +.85 = $ .90 or $.85 x 107% = $.9095 times 119,583.) Lessee may occupy
additional space to install it equipment and personal property upon lease signing.
|
2. |
|
COMMON AREA CHARGES: Lessee shall continue to pay to Mission its share of common
area charges as provided for in the Lease during the extended term. |
|
|
3. |
|
BROKERAGE COMMISSION: Each party represents and warrants to the other party that it has
not utilized or contacted a real estate broker or finder with respect to this Amendment and
each party agrees to indemnify and hold each other harmless against any claim, cost,
liability or cause of action asserted by any broker or finder claiming through either party.
Mission and Lessee agree that Mission shall not be obligated to pay any broker leasing
commissions, consulting fees, finders fees or any other fees or
commissions arising out of the negotiation and execution of this |
|
|
|
Amendment or relating to any extended term of the Lease or to any expansion or relocation of the
Premises. |
|
|
4. |
|
LESSEE CERTIFICATION: As a condition of Lessor’s
agreeing to this Amendment, Lessee hereby certifies and confirms that as of the date of this Amendment, Lessee is not in violation
of any government regulations, ordinances, rules or laws, including those pertaining to
Hazardous Waste and/or Hazardous Materials, Lessee is accepting Premises in an “as is”
condition. |
|
|
5. |
|
RATIFICATION OF LEASE: Except as modified herein, the
Lease is hereby ratified, approved and confirmed upon all the terms, covenants, and conditions and supersedes prior amendments. |
|
|
6. |
|
OPTION TO EXTEND: Lessee shall have option to extend this Lease for one additional five
(5) year term at Fair Market Value. |
|
|
7. |
|
AUTHORITY: Each party executing this Amendment represents and warrants that he or she
is duly authorized to execute and deliver this Amendment. If executed on behalf of a
corporation, that this Amendment is executed in accordance with the by-laws of said
corporation (or a partnership that this Amendment is executed in accordance with the
partnership agreement of such partnership), that no other party’s approval or consent to such
execution and delivery is required, and that this Amendment is binding upon said individual,
corporation (or partnership) as the case may be in accordance with its terms. |
|
|
|
|
|
|
|
|
|
|
|
MISSION WEST PROPERTIES, L.P. III, |
|
|
|
INTEVAC CORPORATION, |
|
|
a Delaware limited partnership |
|
|
|
a Delaware corporation |
|
|
|
|
|
|
|
|
|
|
|
|
|
By:
|
|
/s/ Xxxx X. Xxxx
|
|
|
|
By:
|
|
/s/ Xxxxxxx X. Xxxx
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Xxxx X. Xxxx |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Title: CEO of the General Partner |
|
|
|
Title: CFO |
|
|
|
|
|
|
|
|
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|
|
|
Date: 10/23/06 |
|
|
|
Date: 10-27-06 |
|
|
SIXTH AMENDMENT TO LEASE
This Sixth Amendment to Lease (“Sixth Amendment”), is made and entered into the 14th day of
December, 2006 by and between Mission West Properties, L.P. III, a Delaware limited
partnership (“Mission” or “Lessor”) and Intevac Corporation, a California corporation
(“Lessee”).
A. |
|
Lessee currently leases from Lessor approximately 119,583 square feet of space located at
0000-0000 Xxxxxxx Xxxxxx and approximately 50,000 square feet located at 0000 Xxxxxxx Xxxxxx,
Xxxxx Xxxxx, Xxxxxxxxxx (the “Premises”) pursuant to that certain lease dated February 5, 2001
as amended by amendments one thru five (the “Lease’”). |
B. |
|
Lessee also currently leases an approximately 10,000 square foot portion of 0000 Xxxxxxx
Xxxxxx, Xxxxx Xxxxx, Xxxxxxxxxx which is comprised of a total of
approximately 17,836 square
feet (the “Expansion Premises”) until December 31, 2006, and Lessee has requested to extend
the Lease Term for the Expansion Premises. |
|
1. |
|
TERM: The Lease Term for the Expansion Premises will be extended
three (3) months commencing January 1, 2007 and ending March 31, 2007. |
|
|
3. |
|
RENT: The monthly Rent for the Expansion Premises shall be as follows: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Base Rent |
|
Estimated CAC* |
|
Total Rent |
1/1/07 to 3/31/07 |
|
$ |
6,500 |
|
|
$ |
2,300 |
|
|
$ |
8,800 |
|
|
|
|
* |
|
Estimated Common Area Charges (“CAC”). |
|
4. |
|
UTILITIES: Lessee will be responsible for 100% of the utilities for 0000
Xxxxxxx Xxxxxx xx Xxxxx Xxxxx, Xxxxxxxxxx during the Lease Term for the Expansion
Premises. |
|
|
5. |
|
BROKERAGE COMMISSION: Each party represents and warrants to the other parry
that it has not utilized or contacted a real estate broker or finder with respect to this
Sixth Amendment and each party agrees to indemnify and hold each other harmless against
any claim, cost, liability or cause of action asserted by any broker or finder claiming
through either party. Lessor and Lessee agree that Lessor shall not be obligated to pay
any broker leasing commissions, consulting fees, finder’s fees or any other fees or
commissions arising out of the negotiation and execution of this Sixth Amendment or
relating to any extended term of the Lease or to any expansion or relocation of the
Premises or Expansion Premises. |
|
|
6. |
|
LESSEE CERTIFICATION: As a condition of Lessor’s agreeing to this Sixth
Amendment, Lessee hereby certifies and confirms that as of the date of this Sixth
Amendment, Lessee is not in violation of any government regulations, ordinances, rules or
laws, including those pertaining to |
|
|
|
Hazardous Waste and/or Hazardous Materials. Lessee is accepting the Expansion Premises in an
“as is where is” condition. |
|
|
7. |
|
RATIFICATION OF LEASE: Except as modified herein, the Lease is hereby ratified,
approved and confirmed upon all the terms, covenants, and conditions. |
|
|
8. |
|
AUTHORITY: Each party executing this Sixth Amendment represents and warrants that he or she
is duly authorized to execute and deliver this Sixth Amendment. If executed on behalf of a
corporation, that this Sixth Amendment is executed in accordance with the by-laws of said
corporation (or a partnership that this Sixth Amendment is executed in accordance with the
partnership agreement of such partnership), that no other party’s approval or consent to such
execution and delivery is required, and that this Sixth Amendment is binding upon said
individual, corporation (or partnership) as the case may be in accordance with its terms, |
|
|
|
|
|
|
|
|
|
MISSION
WEST PROPERTIES, L.P. III, |
|
|
|
INTEVAC CORPORATION, |
a
Delaware limited partnership |
|
|
|
a California corporation |
By
Mission West Properties, Inc. |
|
|
|
|
|
|
Its
general partner |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
By:
|
|
/s/ X.X. Xxxxxx
|
|
|
|
By:
|
|
/s/ Xxxxxxx X. Xxxx |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Title:
President & COO |
|
|
|
Title: CFO |
|
|
|
|
|
|
|
|
|
Date:
12/18/06 |
|
|
|
Date:12-15-06 |