LEASE AGREEMENT
THIS LEASE AGREEMENT ("Lease") made this ____ day of October, 1996, by
and between 6725 AGENT, an Arizona general partnership ("Landlord"), and
SCOTTSDALE JAGUAR, LTD., an Arizona corporation ("Tenant").
W I T N E S S E T H:
FOR AND IN CONSIDERATION of the sum of $10.00 Dollars in hand paid and
of the mutual covenants and conditions contained herein, the receipt and
adequacy of which are hereby acknowledged, the parties hereto agree as follows:
1. PREMISES. Landlord leases to Tenant and Tenant leases from Landlord
the real property located at 0000 Xxxx XxXxxxxx Xxxx, Xxxxxxxxxx, Xxxxxxx, being
more particularly described on the attached EXHIBIT "A" incorporated herein by
reference,
together with all improvements thereon and all rights, privileges, easements and
appurtenances pertaining thereto (collectively, the "Premises") upon the terms
contained herein. Tenant's right to use the Premises is non-exclusive and shall
be held in common with Scottsdale Audi, Ltd., an Arizona corporation, its
successors and assigns ("Audi") and SK Motors, Ltd., an Arizona corporation,
d/b/a Scottsdale Porsche, its successors and assigns ("Porsche").
2. TERM. The term hereof shall begin on the date hereof and shall end at
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midnight December 31, 2016 ("Term"); provided however, Landlord, at Landlord's
sole option, has the right to terminate this Lease at any time until April 30,
1998, upon not less than thirty (30) days written notice to Tenant ("Landlord's
Termination Right"). Tenant shall have thirty (30) days to vacate the Premises
after Landlord's written notice.
3. RENT.
(a) From the commencement date through December 31, 1997, Tenant
agrees to pay Landlord, as rent for the Premises ("Rent") the sum of Seven
Hundred Fifty Thousand and no/100 ($750,000) Dollars per year, payable in
advance in monthly installments of Sixty-Two Thousand Five Hundred and No/100
Dollars ($62,500.00) on the first day of each month.
(b) On January 1, 1998, and on the first day of each year thereafter
during the Lease Term, the Rent shall be increased by an amount equal to four
percent (4%) of the Rent payable the prior year (the "Escalator"); provided,
however, Landlord may, at its sole option, choose not to adjust the Rent in any
particular year by the full amount of the Escalator in which event Landlord
shall have the right in the following years to adjust the Rent by the Escalator
plus any amount the Rent could have been so adjusted in prior years (the
"Cumulative Adjustment"). For example, Rent for calendar year 1999 would be
$811,200 but if Landlord were to increase the Rent to only $800,000, Rent for
calendar year 2000 would be $843,648 unless Landlord chooses to adjust the Rent
to a lower amount.
1. UTILITIES. Tenant shall pay Tenant's Pro Rata Share (as defined
herein) of all utility bills, including, but not limited to water, sewer, gas,
electricity, fuel,
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light, and heat bills, for the Premises, and all garbage collection services or
other sanitary services rendered to the Premises or used in connection therewith
("Utility Services"). Tenant's Pro Rata Share shall be equal to a fraction, the
numerator of which shall be Tenant's gross revenues and the denominator of which
shall be the total gross revenues of all occupants of the Premises, including
Porsche, Audi, Tenant and any other party to whom use rights in the Premises are
granted. Tenant shall pay as additional rent, one third of the estimated cost
(the "Percentage Estimated Cost") of the annual Utility Services. The
Percentage Estimated Cost shall be paid by Tenant in monthly installments as
additional rent on or before March 1st of each year. Provided Landlord has
received Tenant's financial statement showing gross revenues as provided herein,
Landlord shall compute Tenant's Pro Rata Share of the actual annual cost for
Utility Services and compare it to the collected Percentage Estimated Cost for
the year, whereupon Tenant shall either receive a credit towards the next
month's installment of Percentage Estimated Cost or a written statement from
Landlord for any additional amount owed by Tenant as Tenant's Pro Rata Share, in
which case Tenant shall pay such amount as additional rent the first day of the
following month.
2. USE OF THE PREMISES; ENVIRONMENTAL INDEMNITY. The Premises shall
be used for the operation of a new and used automobile dealership, service
facility and uses incidental thereto, and for any other purposes which may be
agreed to by the parties. Tenant shall not violate any federal or state
environmental law, and Tenant agrees to indemnify and hold Landlord harmless
from any and all damages, costs, fines and expenses that might arise as a result
of any such violation and from its placement
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upon the Premises of hazardous wastes and toxic substances that are placed on
the Premises.
3. REPAIRS BY LANDLORD. Landlord shall be obligated to repair and
maintain the roof, foundation and all structural portions of the Premises,
provided Tenant shall pay Tenant's Pro Rata Share of the cost for such repair
and maintenance within twenty (20) days after Landlord requests payment of
Tenant's Pro Rata Share. Landlord shall maintain the Premises in good order and
repair. Tenant shall, throughout the Term, pay Landlord Tenant's Pro Rata Share
of the cost for maintaining the Premises in good order and repair, including but
not limited to, repair and maintenance of the electrical, heating, ventilation
and air conditioning and plumbing systems, and for the cost to care for all
landscaping on the Premises, including the mowing of grass, paving, policing,
care of shrubs and general landscaping within twenty (20) days after Landlord
requests payment of Tenant's Pro Rata Share thereof.
4. REPAIRS BY TENANT. Tenant accepts the condition of the Premises
as of the date hereof and agrees that the Premises are suited for the uses
specified herein. All repairs, replacement and maintenance required by Tenant
or necessitated by Tenant's actions, shall be Tenant's sole responsibility;
provided, however, if such repairs, replacement or maintenance are necessitated
as a result of Tenant's actions and Tenant fails to perform such repair,
replacement or maintenance, Landlord may upon two (2) days notice to Tenant make
such repair, replacement or maintenance and xxxx Tenant for the cost, which cost
shall be deemed and collectable as additional rent. Tenant agrees to return the
Premises to Landlord in as good condition and repair as
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when first received by Tenant, natural wear and tear, damage by storm, fire,
lightening, earthquake or other casualties and condemnation excepted.
5. TAX AND INSURANCE. Tenant shall pay Tenant's Pro Rata Share of
all charges for taxes (including, but not limited to, ad valorem taxes, special
assessments and any other governmental charges) on the Premises. Tenant shall
also pay Tenant's Pro Rata Share of the cost for insurance premiums for fire and
extended insurance coverage on the Premises in amounts equal to the full
replacement value of the Premises. Such insurance shall be obtained by
Landlord, or Landlord's agent, on policies issued by underwriters acceptable to
Landlord. All policies shall insure Landlord and Tenant as their respective
interests shall appear. Landlord, or Landlord's agent, shall also obtain
general liability insurance covering the Premises naming Tenant as an additional
insured. Tenant shall be responsible for Tenant's Pro Rata Share of the cost
for such insurance, which shall be paid monthly by Tenant as additional rent.
The dollar amount of such insurance coverage shall be reviewed annually, and
adjusted if necessary, in order to provide for adequate protection to Landlord,
Tenant, Porsche, Audi and any other party to whom use rights in the Premises
have been granted. Tenant shall promptly pay as additional rent during the
Term, the Percentage
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Estimated Cost for such taxes and insurance. Provided Landlord has received
Tenant's financial statement showing gross revenues as provided herein, Landlord
shall compute Tenant's Pro Rata Share of the actual annual cost for such taxes
and insurance and compare it to the collected Percentage Estimated Cost for the
year, whereupon Tenant shall either receive a credit towards the next month's
installment of Percentage Estimated Cost or a written statement from Landlord
for any additional amount owed by Tenant as Tenant's Pro Rata Share, in which
case Tenant shall pay such amount as additional rent the first day of the
following month.
6. DESTRUCTION OF OR DAMAGE TO THE PREMISES. If the Premises should
be damaged or destroyed by any insured peril whatsoever, all insurance proceeds
shall be used by Landlord to rebuild and repair the Premises to such condition
as Landlord in its sole discretion shall determine is appropriate.
7. TENANT'S GROSS REVENUES. Tenant shall deliver to Landlord within
thirty (30) days after Tenant's fiscal year end, Tenant's financial statement
for such fiscal year which shall include Tenant's gross revenues for such year.
8. INDEMNITY; WAIVER OF SUBROGATION. Subject to Landlord's
obligations in this Lease, Tenant agrees to indemnify and hold Landlord harmless
against all claims and expenses resulting therefrom, including actual attorneys'
fees reasonably incurred and court costs, for damage to persons or property by
reason of the use or occupancy of the Premises by Tenant. Landlord and Tenant
each hereby release and waive any right of recovery against the other for any
loss, claim, liability, or damage occurring on or to the Premises, whether
wholly or contributorily caused by the negligence of the other party, to the
extent that the same is compensated by actual receipt of proceeds from insurance
policies covering such loss, claim, liability, or damage.
9. ALTERATIONS. Tenant shall make no structural alterations,
additions or improvements to the Premises without the express prior written
consent of Landlord which consent shall not be unreasonably withheld or delayed.
Tenant may make non-
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structural changes and modifications to the Premises without Landlord's approval
provided Tenant has obtained Porsche and Audi's approval for such changes and
modifications. Tenant agrees to save Landlord harmless on account of any claim
or lien of mechanics, materialmen or other party, in connection with any
alterations, additions or improvements of or to the Premises performed by
Tenant. Tenant shall furnish such waivers of liens and appropriate affidavits
from the general contractor or subcontractors as Landlord may reasonably
request. Notwithstanding the foregoing, Tenant shall also be entitled to make
the following changes without necessity of Landlord's consent, but subject to
obtaining Porsche and Audi's consent: (i) any alterations required to be made by
it pursuant to governmental orders, rules, laws, regulations, ordinances or
requirements, (ii) any changes in its signage, and (iii) those changes
recommended or required by the automobile manufacturer whose automobiles are
sold on the Premises.
10. GOVERNMENTAL ORDERS. Tenant agrees, at its own expense, to
promptly comply with all requirements of any public authority made necessary by
reason of Tenant's occupancy of the Premises or which may be necessary for
Tenant's occupancy to continue.
11. CONDEMNATION. If all or a substantial part of the Premises is
condemned for any public use or purpose, then the Term shall cease from the date
when possession thereof is taken, and rent shall be prorated as of that date;
provided, however, that Tenant may elect to continue this Lease as to the
remaining portion of the Premises in full force and effect notwithstanding any
such taking; provided Porsche,
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Audi and any other party to whom use rights in the Premises have been granted
agree the Premises are sufficient to sustain all such parties' use. Any
termination shall be without prejudice to the rights of either Landlord or
Tenant to recover compensation and damage caused by such condemnation from the
condemnor. Except as provided herein, neither Tenant nor Landlord shall have
any rights in any award made solely to the other by any condemnation authority
notwithstanding the termination of the Lease as herein provided. If the Lease
is not terminated as provided above, then (i) this Lease shall continue in
effect with respect to the remaining portion of the Premises, in which event the
rent payable hereunder during the unexpired portion of the Term of this Lease
shall be adjusted proportional to the ratio of the value of the remaining
portion of the Premises to the total value of the Premises prior to the taking,
and (ii) all condemnation awards shall be paid to Landlord to hold for payment
of repair and restoration to the Premises. The phrase "substantial part," for
purposes of this section shall mean so much of the Premises, the improvements
located thereon, access to the Premises, or any combination of the foregoing,
such that the taking thereof would prevent or substantially impair, in
Landlord's reasonable judgment, the ability of Tenant, Porsche, Audi or any
other party to whom use rights in the Premises have been granted, to operate
such business in a manner consistent with the operation of such businesses prior
to such taking.
12. ASSIGNMENT AND SUBLETTING. Tenant shall not, without the prior
written consent of Landlord, assign this Lease or any interest hereunder, or
sublet the Premises or any part thereof, or permit the use of the Premises by
any party other than
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Tenant. All requests for assignment or subletting shall be made in writing and
delivered to Landlord. Consent to any assignment or sublease shall not
invalidate this provision, and all later assignments or subleases shall be made
only on the prior written consent of Landlord as aforesaid. Any assignee of
Tenant, at the option of Landlord, shall become directly liable to Landlord for
all obligations of Tenant hereunder, but no sublease or assignment by Tenant
shall relieve Tenant of any liability hereunder.
13. REMOVAL OF FIXTURES. Tenant may (so long as no Event of Default
has occurred and is continuing hereunder), prior to the end of the Term, remove
all trade fixtures and equipment which Tenant owns or has purchased as leasehold
improvements and placed on the Premises subsequent to the date hereof, provided
that Tenant repairs all damage to the Premises caused by the removal. However,
any buildings, fixtures, or other attached property installed by Tenant as
replacements of existing items, or anything that cannot be removed without
substantially changing the character of the Premises, shall become the property
of Landlord.
14. CANCELLATION OF LEASE BY LANDLORD. It shall be an "Event of
Default" hereunder if,
(a) Tenant fails to pay rent, including but not limited to Rent
and additional rent herein reserved, when due, and fails to cure the
failure to pay within five (5) days after receipt of written notice thereof
from Landlord; provided Landlord shall not be obligated to give such
written notice and Tenant shall not receive any cure period more than twice
in any calendar year.
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(b) Tenant fails to perform any of the terms or provisions of
this Lease other than the provision requiring the payment of rent, and
fails to cure the default within twenty (20) days after the date of receipt
of written notice of default from Landlord;
(c) Tenant is adjudicated bankrupt;
(d) a permanent receiver is appointed for Tenant's property and
the receiver is not removed within sixty (60) days after written notice
from Landlord to Tenant to obtain the removal;
(e) Tenant files a petition seeking an order for relief under
Title 11 of the United States Code, as amended, or under any similar law or
statute of the United States or any state thereof, or a petition seeking an
order for relief under Title 11 of the United States Code, or any similar
law or statute of the United States or any state thereof, is filed against
Tenant and such petition is not dismissed with prejudice within sixty (60)
days from the date of filing;
(f) If Tenant makes a general assignment for the benefit of
creditors, or provides for an arrangement, composition, extension or
adjustment with its creditors;
(g) Tenant's effects should be levied upon or attached under
process against Tenant and not satisfied or dissolved within thirty (30)
days after written notice from Landlord to Tenant to obtain satisfaction
thereof.
(h) If Tenant abandons or vacates the Premises; or
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(i) If Tenant fails to pay any Rent or any other charges
required to be paid by Tenant under this Lease and such failure continues for
five (5) days after such payment is due and payable; or
(j) If in any proceeding or action in which Tenant is a party, a
trustee, receiver, agent or custodian is appointed to take charge of the
Premises or Tenant's Property (or has the authority to do so) for the purpose of
enforcing a lien against the Premises or Tenant's Property; or
(k) If Tenant is a partnership or consists of more than one (1)
person or entity, if any partner of the partnership or other person or entity is
involved in any of the acts or events described in subparagraphs iv through vii
above.
Upon the occurrence of an Event of Default, Landlord may pursue any right or
remedy against Tenant available at law or in equity. Any notice provided in
this section may be given by Landlord, or its attorney, or agent herein named.
Then in addition to any other rights or remedies Landlord may have under any
law, Landlord shall have the right, at Landlord's option, without further notice
or demand of any kind, to do the following:
i. Terminate this Lease and Tenant's right to possession of
the Premises and reenter the Premises and take possession thereof, and Tenant
shall have no further claim to the Premises or under this Lease; or
ii. Continue this Lease in effect, reenter and occupy the
Premises for the account of Tenant, and collect any unpaid Rent or other charges
which have or thereafter become due and payable; or
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iii. Reenter the Premises under the provisions of
subparagraph ii, and thereafter elect to terminate this Lease and Tenant's right
to possession of the Premises.
If Landlord reenters the Premises under the provisions of subparagraphs ii or
iii above, Landlord shall not be deemed to have terminated this Lease or the
obligation of Tenant to pay any Rent, additional rent or other charges
thereafter accruing, unless Landlord notifies Tenant in writing of Landlord's
election to terminate this Lease. In the event of any reentry or retaking of
possession by Landlord, Landlord shall have the right, but not the obligation,
to remove all or any part of Tenant's property from the Premises and to place
such property in storage at a public warehouse at the expense and risk of
Tenant. If Landlord elects to relet the Premises for the account of Tenant, the
rent received by Landlord from such reletting shall be applied as follows:
first, to the payment of any indebtedness other than Rent due hereunder from
Tenant to Landlord; second, to the payment of any costs of such reletting;
third, to the payment of the cost of any alterations or repairs to the Premises;
fourth to the payment of Rent due and unpaid hereunder; and the balance, if any,
shall be held by Landlord and applied in payment of future Rent as it becomes
due. If that portion of rent received from the reletting which is applied
against the Rent due hereunder is less than the amount of the Rent due, Tenant
shall pay the deficiency to Landlord promptly upon demand by Landlord. Such
deficiency shall be calculated and paid monthly. Tenant shall also pay to
Landlord, as soon as determined, any costs and expenses incurred by Landlord in
connection with such reletting or in making alterations and repairs to the
Premises, which are not
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covered by the rent received from the reletting.
Should Landlord elect to terminate this Lease under the provisions of
subparagraph i or iii above, Landlord may recover as damages from Tenant the
following:
1. PAST RENT. The worth at the time of the award of any unpaid Rent
which had been earned at the time of termination; plus
2. RENT PRIOR TO AWARD. The worth at the time of the award of the
amount by which the unpaid Rent which would have been earned
after termination until the time of award exceeds the amount of
such rental loss that Tenant proves could have been reasonably
avoided; plus
3. RENT AFTER AWARD. The worth at the time of the award of the
amount by which the unpaid Rent for the balance of the Term after
the time of award exceeds the amount of the rental loss that
Tenant proves could be reasonably avoided; plus
4. PROXIMATELY CAUSED DAMAGES. Any other amount necessary to
compensate Landlord for all detriment proximately caused by
Tenant's failure to perform its obligations under this Lease or
which in the ordinary course of things would be likely to result
therefrom, including, but not limited to, any costs or expenses
(including attorneys' fees), incurred by Landlord in (a) retaking
possession of the Premises, (b) maintaining the Premises after
Tenant's default, (c)
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preparing the Premises for reletting to a new tenant, including
any repairs or alterations, and (d) reletting the Premises,
including broker's commissions.
"The worth at the time of the award" as used in subparagraphs 1 and 2 above, is
to be computed by allowing interest at the rate of ten percent (10%) per annum.
"The worth at the time of the award" as used in subparagraph 3 above, is to be
computed by discounting the amount at the discount rate of the Federal Reserve
Bank situated nearest to the Premises at the time of the award plus one percent
(1%).
The waiver by Landlord of any breach of any term, covenant or
condition of this Lease shall not be deemed a waiver of such term, covenant or
condition or of any subsequent breach of the same or any other term, covenant or
condition. Acceptance of Rent by Landlord subsequent to any breach hereof shall
not be deemed a waiver of any preceding breach other than the failure to pay the
particular Rent so accepted, regardless of Landlord's knowledge of any breach at
the time of such acceptance of Rent. Landlord shall not be deemed to have
waived any term, covenant or condition unless Landlord gives Tenant written
notice of such waiver.
1. RELETTING BY LANDLORD. If, after an Event of Default, Landlord
has not elected to terminate this Lease, Landlord, at Landlord's sole option,
may as Tenant's agent, without terminating this Lease, enter upon and rent the
Premises for any term Landlord deems proper. Tenant shall be liable to Landlord
for the present value of any deficiency between rent due hereunder and the rent
received by Landlord upon reletting. For purposes of computing the "present
value of any deficiency" in
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accordance with the provisions of this paragraph, the parties agree to utilize a
discount rate equal to the then prevailing prime rate of interest charged by
leading money center banks as published in "THE WALL STREET JOURNAL".
2. WARRANTIES OF TITLE AND QUIET POSSESSION. Landlord warrants and
represents that it has good and marketable title to the Premises and has full
right to make this Lease and that Tenant shall have non-exclusive, quiet and
peaceable possession of the Premises subject to the use rights of Porsche, Audi
and any other occupant of the Premises to whom use rights have been or are
granted, during the Term so long as no Event of Default is in existence and
continuing hereunder.
3. SUBORDINATION AND ATTORNMENT. This Lease is subject and
subordinate to any deed of trust, mortgage, or other security instrument, which
presently or may in the future cover the Premises, and to any increases,
renewals, modifications, consolidations, replacements, and extensions of any of
such deed of trust, mortgage, or security instrument. Notwithstanding the
generality of the foregoing, any mortgagee shall have the right at any time to
subordinate any deed of trust, mortgage, or other security instrument to this
Lease.
4. ATTORNEY'S FEES AND HOMESTEAD. In the event either party should
seek to enforce its rights under this Lease through judicial process, the
prevailing party in any such action shall be entitled to collect from the other
party, in addition to all other sums owing hereunder, its reasonable attorney's
fees. Tenant waives all homestead rights and exemptions which it may have under
any law as against any obligation owing under this Lease.
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5. RIGHTS CUMULATIVE. All rights hereunder shall be cumulative but
not restrictive to those given by law.
6. SERVICE OF NOTICE. Any notice required or permitted to be
delivered hereunder may be delivered in person or by United States certified
mail, postage prepaid, return receipt requested, or by recognized overnight
courier (e.g. Federal Express or DHL), next business day delivery, charges
prepaid, addressed to the parties at
Landlord: 6725 Agent
Attn: Xxxxxx Xxxxxxxxxxxxx
0000 X. XxXxxxxx Xxxx
Xxxxxxxxxx, XX
with a Xxxxxx X. Xxxxxxxx, Esq.
copy to: c/o United Auto Group
000 Xxxx Xxxxxx
Xxxxx 0000
Xxx Xxxx, Xxx Xxxx 00000
with a
copy to: Xxxxxxx X. Xxxxx, Esq.
Xxxxxx & Xxxxxx
2700 International Tower
000 Xxxxxxxxx Xxxxxx, X.X.
Xxxxxxx, Xxxxxxx 00000
Tenant: Scottsdale Jaguar, Ltd.
_________________________________
_________________________________
_________________________________
with a
copy to: _________________________________
_________________________________
_________________________________
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or at such other addresses as may be specified by written notice delivered in
accordance herewith. Such notices shall be deemed effective three (3) business
days after deposited in the U.S. mail, or on the next business day if delivered
by overnight courier, or immediately upon delivery in person.
1. WAIVER OF RIGHTS. Neither party's failure to exercise any power
given to them hereunder, or to insist upon strict compliance by the other party
with its obligations hereunder, nor any custom or practice of the parties at
variance with the terms hereof, shall constitute a waiver of such party's right
to demand exact compliance with the terms hereof.
2. TIME OF ESSENCE. Time is of the essence under this Lease.
3. SUCCESSORS AND ASSIGNS. This Lease shall apply to, inure to the
benefit of, and be binding upon the parties hereof and their respective
successors, permitted assigns, and legal representatives except as otherwise
expressly provided herein.
4. ENTIRE AGREEMENT; CONFLICT. This Lease, including any
attachments made a part hereof, contains the entire agreement between the
parties with respect to the lease of the Premises and no representations,
inducements, promises or agreements, oral or otherwise, between the parties, not
embodied herein shall be of any force or effect. The parties agree to execute
and record a memorandum of this Lease in the real property records of Maricopa
County.
5. SEVERABILITY. If any term, provision or clause of this Lease, or
if the
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application thereof to any person or circumstances, shall to any extent be
invalid or unenforceable, then the remainder of this Lease or the application of
such term, provision or clause to persons or circumstances other than those to
which it is invalid or unenforceable shall not be affected thereby, and each and
every remaining term, provision, clause and application of this Lease shall be
valid and enforceable to the fullest extent permitted by law.
6. EXECUTION IN COUNTERPARTS. This Lease may be executed in two or
more counterparts, each of which shall be deemed an original, but all of which
taken together shall constitute one and the same instrument.
7. AMENDMENT. This Lease may not be altered, waived, amended or
extended except by an instrument in writing signed by Landlord and Tenant.
8. HEADINGS. The headings used in this Lease are for the purposes
of convenience only. They shall not be construed to limit or to extend the
meaning of any part of this Lease.
9. GOVERNING LAW. This Lease shall be construed in accordance with
the laws of the State of Arizona, and all obligations of the parties created
hereunder are performable in Maricopa County, Arizona.
10. FORCE MAJEURE. Except with respect to the payment of Rent and
additional rent hereunder, wherever a period of time is herein prescribed for
action to be taken by either Landlord or Tenant, such party shall not be liable
or responsible for, and there shall be excluded from the computation of any such
period of time, any delays due to strikes, riots, acts of God, shortages of
labor or materials, wars,
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governmental laws, regulations or restrictions or other causes which are beyond
the control of Landlord or Tenant, as the case may be.
IN WITNESS WHEREOF, the parties herein have hereunto caused their duly
authorized representatives to set their hands and seals the day and year first
above written.
LANDLORD:
6725 AGENT, an Arizona general partnership
By: SCOTTSDALE AUDI, LTD., an Arizona
By:
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Print Name:
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As:
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By: SK MOTORS, LTD., an Arizona
By:
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Print Name:
---------------------------
As:
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TENANT:
SCOTTSDALE JAGUAR, LTD., an Arizona corporation
By:
----------------------------------
Print Name:
---------------------------
As:
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[Corporate Seal]
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thereof together with interest on said amount from the date of payment by
Landlord at a rate equal to ten percent (10%) or the then prevailing prime rate
of interest charged by leading money center banks as published in "THE WALL
STREET JOURNAL", if such rate is higher than ten percent (10%) (the "Interest
Rate").
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