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EXHIBIT 10.16
AMENDMENT NUMBER ONE
AMENDMENT NUMBER ONE TO THAT LEASE DATED NOVEMBER 23, 1998 BETWEEN XXXXXXX
PROPERTIES, L.P., AS LANDLORD, AND POET SOFTWARE CORPORATION, AS TENANT (THE
"LEASE"), FOR PREMISED LOCATED AT 000 XXXXX XXX, XXX XXXXX, XXXXXXXXXX.
Effective approximately May 1, 2000, the Lease will be amended as follows to
provide for Tenant's expansion premises and extension of Lease term:
1. PREMISES. The term "Premises" as used in the Lease is amended to mean
approximately 12,118 square feet of rentable area located on the second
floor of the building known as San Mateo Bay Center III. The Premises as
expanded herein are approximately as shown outlined in red on the attached
floor plan (Exhibit B - Suite 200). The square footage on the first floor
shall be reduced to 0 square feet upon commencement of the 12,118 square
feet on the second floor and pursuant to Paragraph 36.
2. OCCUPANCY DENSITY. 3.2 people per 1000 square feet.
3. RENT. Base Rent for the Premises as expanded herein shall be as follows:
5/01/00 - 4/30/01 Forty thousand seven hundred sixteen dollars and
00/100ths dollars ($40,716.00) per month plus operating
expenses per Paragraph 7 of the Lease. Operating
expenses through December 2000 are estimated to be
$10,785.00 per month. Direct operating expenses are
estimated a year in advance and collected on a monthly
basis. Any adjustments necessary (up or down) will be
made at the end of the operating year.
5/01/01 - 4/30/02 Forty one thousand nine hundred twenty eight dollars
and 00/100ths dollars ($41,928.00) per month plus
operating expenses per Paragraph 7 of the Lease.
5/01/02 - 4/30/03 Forty three thousand one hundred forty dollars and
00/100ths dollars ($43,140.00) per month plus operating
expenses per Paragraph 7 of the Lease.
5/01/03 - 4/30/04 Forty four thousand four hundred seventy three and
00/100ths dollars ($44,473.00) per month plus operating
expenses per Paragraph 7 of the Lease.
4. SECURITY DEPOSIT. The Security Deposit under the Lease shall be increased
by $29,973.00 for a total Security Deposit of $44,473.00, payable upon
execution of this Amendment Number One. The sums shall be held and owned by
Landlord in an interest bearing account and as further defined in Paragraph
19 of the Lease. Landlord shall have the obligation to pay interest to
Tenant on an annual basis upon the anniversary month of the Lease.
5. TENANT'S PROPORTIONATE SHARE. 19.28%
6. TENANT IMPROVEMENTS. Tenant agrees to accept the Premises as so expanded in
"as is" condition except for the improvements as described on the attached
Exhibit A.
7. EARLY ACCESS. Tenant shall have access to the Premises (15) fifteen days
prior to the Effective Date for the purposes of performing cabling, wiring
or other communications related work. Tenant shall not reasonably interfere
with, disturb or delay construction by Landlord.
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8. RE-LEASING OF PREMISES. From and after the date of this Agreement,
Landlord shall have full access to the existing premises on the ground
floor at all times reasonable to Tenant and Landlord in order to show the
premises to prospective tenants. Tenant agrees that Landlord may enter
into a new lease for the existing premises with any third party prior to
the Effective Date and that Tenant shall have no right to any amounts
received by Landlord in connection therewith.
All other terms and conditions of the Lease shall remain in full force and
effect and shall apply to the Premises as well as to the original premises.
Dated: January 19, 2000
IN WITNESS WHEREOF, the premises hereto have executed this Amendment Number One
as of the day and year first above written.
LANDLORD:
XXXXXXX PROPERTY, L.P.,
a California limited partnership
By: Xxxxxxx Properties, Inc.,
a Maryland corporation,
its general partner
By: /s/ XXXXX XXXXX
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Xxxxx Xxxxx
Its: Vice President
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TENANT:
POET SOFTWARE CORPORATION.
a Massachusetts corporation
By: /s/ XXXXX XXXX
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Xxxxx Xxxx
Its: Vice President of Finance
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EXHIBIT A
LEASE IMPROVEMENT AGREEMENT
1. In consideration of the mutual covenants contained in the Lease of which
this EXHIBIT A is a part, Landlord agrees to perform the following initial
tenant improvement work in the Premises ("TENANT IMPROVEMENTS"):
a) steam clean carpets,
b) paint interior walls,
c) install a sink, lower cabinets and possibly a dishwasher in
a location mutually agreeable to Landlord and Tenant,
d) create an opening between two separate spaces in a location
mutually agreeable to Landlord and Tenant,
e) demolish necessary walls to create a conference room with
possibly some floor to ceiling glass in a location that
shall be determined by Tenant.
The cost to the Landlord for tenant improvement work described in items c, d and
e above shall not exceed $12,118.00.
2. All the Tenant Improvements described above shall be performed by
Landlord at its cost and expense using Building Standard materials and in the
Building Standard manner. As used herein, "Building Standard" shall mean the
standards for a particular item selected from time to time by Landlord for the
Building or such other standards as may be mutually agreed upon between Landlord
and Tenant in writing.
3. Without limiting the "as-is" provisions of the Lease, Tenant accepts
the Premises in its "as-is" condition and acknowledges that Landlord has no
obligation to make any changes or improvements to the Premises or to pay any
costs expended or to be expended in connection with any such changes or
improvements, other than the Tenant Improvements specified in Paragraph 1 of
this EXHIBIT A.
4. Tenant shall not perform any work in the Premises (including, without
limitation, cabling, wiring, fixturization, painting, carpeting, replacements or
repairs) except in accordance with Paragraphs 12 and 27 of the Lease. Landlord
shall not require prior written consent for cabling, wiring and other
communications related work resulting from the relocation to the second floor,
however, said work shall otherwise be performed in accordance with Paragraphs 12
and 27.
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EXHIBIT B
[FLOOR PLAN]
