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Exhibit 10.29
FIRST AMENDMENT TO LEASE (SUBLEASE)
This First Amendment to Lease (Sublease) is entered into as of August
5, 1996 between MARINA WESTSHORE PARTNERS, a California limited partnership
("LANDLORD") and LXR BIOTECHNOLOGY, INC., a Delaware corporation ("TENANT").
RECITALS
A. Quick Response Services, Inc., a California corporation ("QRS")
and Tenant entered into that certain Sublease dated August 19, 1993 pertaining
to premises located in a portion of Building C of the property located at 0000
Xxxxxx Xxx Xxxxx, Xxxxxxxx, Xxxxxxxxxx. All capitalized terms not defined herein
shall have the meanings set forth in the August 19, 1993 Sublease between QRS
and Tenant.
B. Subsequent thereto, QRS, Landlord and Tenant entered into that
certain Assignment and Agreement dated as of October 8, 1993, pursuant to which
Landlord succeeded to the rights of QRS under the August 19, 1993 Sublease.
Concurrent with that transaction, Landlord also acquired the fee interest in the
Marina Bay Business Park project, including all of Building C. The August 19,
1993 Sublease as affected by the August 8, 1993 Assignment and Agreement is
referred to herein as the "LEASE".
C. Landlord and Tenant desire to amend the Lease to extend the term
thereof and to add approximately 4,098 square feet of Rentable Area to the
Subleased Premises.
NOW THEREFORE, Landlord and Tenant amend the Lease as follows:
AMENDMENT
1. Additional Space. The Subleased Premises are expanded to include
an adjacent approximately 4,098 square feet of Rentable Area shown on the
drawing attached as Exhibit A hereto (the "ADDITIONAL SPACE"). Within ten days
after the date of this First Amendment, Landlord shall deliver possession of the
Additional Space to Tenant. Tenant shall at its sole cost and expense make
improvements to the Additional Space, which improvements shall include
connecting the Additional Space to Tenant's existing premises and constructing a
demising wall to separate the Additional Space from the area occupied by
Landlord. Such improvements shall be done pursuant to plans prepared by Tenant
and submitted to Landlord for its approval, which shall not be unreasonably
withheld.
2. Term. The Term of the Lease is hereby extended to terminate on
June 30, 2010. Tenant's option to extend the term as set forth in Section 23 of
the Lease is hereby deleted.
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3. Monthly fixed rent.
(a) Tenant shall commence paying rent for the Additional Space
on November 1, 1996. Effective November 1, 1996, the monthly Fixed Rent for the
entire 32,804 square feet of the Subleased Premises shall be $24,603. Such
monthly Fixed Rent shall be increased, effective March 1, 1997 through June 30,
2002, to $26,243.20 per month.
(b) Commencing July 1, 2002, monthly Fixed Rent shall be
increased to $32,804; provided however, that if Tenant believes that the Fair
Market Rent is less than $1.00 per square foot of Rentable Area, Tenant may
request that the Fair Market Rent be determined in accordance with Section 25.4
of the Master Lease, and upon completion of the determination of Fair Market
Rent as provided therein, the rent shall be established in accordance with such
appraisal, provided however that in no event shall the monthly Fixed Rent be
less than $.76 per square foot of Rentable Area and in no event shall the
monthly Fixed Rent exceed $1.00 per square foot of Rentable Area.
(c) Commencing July 1, 2004 and each two years thereafter (the
"ADJUSTMENT DATE"), the monthly Fixed Rent, as established above, shall be
adjusted to reflect the percentage change in the Consumer Price Index (the
"INDEX") that has occurred during each preceding two-year period in the Consumer
Price Index (the "INDEX") that has occurred during each preceding two-year
period. For purposes hereof, the Index shall be the United States Department of
Labor, Bureau of Labor Statistics Consumer Price Index for All Urban Consumers
San Francisco- Oakland-San Xxxx Metropolitan Area Average, Subgroup "All Items"
(1982-84 = 100). The monthly Fixed Rent shall be adjusted on the Adjustment Date
to an amount determined by multiplying the Fixed Rent for the month immediately
preceding the Adjustment Date by a fraction, the denominator of which shall be
the most recent monthly Index figure published prior to the previous Adjustment
Date (or July 1, 2002 in the case of the first adjustment) and the numerator of
which shall be the most recent monthly Index figure published prior to the date
of such adjustment. If at any Adjustment Date the Index no longer exists in the
form described herein, Landlord may substitute any substantially equivalent
official index published by the Bureau of Labor Statistics or its successor. The
substitute index shall then become the Index hereunder. Notwithstanding the
foregoing, in no event shall the monthly Fixed Rent be reduced on any Adjustment
Date, nor shall it be increased on any Adjustment Date by more than eight
percent of the monthly Fixed Rent most recently in effect.
(d) The monthly Fixed Rent shall be payable by Tenant to
Landlord in addition to Tenant's obligation to pay its prorata share of
Operating Expenses.
4. Operating Expenses. Tenant's current prorata share of Operating
Expenses is 26.54% of the Operating Expenses owed under the Master Lease for the
Premises, which is 22.40% of total Operating Expenses for the 128,160 square
foot project (the "PROJECT") of which the Premises are a part. Effective
November 1, 1996, Tenant's prorata share of the Project's Operating Expenses
shall increase from 22.40% to 25.60%. The limitation on Tenant's obligation to
pay Operating Expenses set forth at Section 7(b) of the Lease shall be
determined on a per square foot basis.
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Except as expressly provided herein, the Lease shall remain in
full force and effect; provided however that any provisions of the Lease that
are not expressly amended herein but become inconsistent with the express terms
of this First Amendment shall be interpreted in such manner as is necessary to
make such terms consistent with the provisions of this First Amendment.
IN WITNESS WHEREOF, Landlord and Tenant have executed this First
Amendment as of the date and year first above written.
LANDLORD
MARINA WESTSHORE PARTNERS,
a California limited partnership
By: Pinnacle Enterprises, Inc.,
an Oklahoma corporation dba
Pinnacle Maritime Corporation,
its general partner
By: /s/ Xxxxxxx Xxx
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Xxxxxxx X. Xxx, Its Authorized Officer
TENANT:
LXR BIOTECHNOLOGY, INC.,
a Delaware corporation
By: /s/ L. Xxxxx Xxxxx
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Name/Title CEO
