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EXHIBIT 10.7
October 6, 1997
FIRST SUPPLEMENT TO LEASE AGREEMENT
RE: Lease Agreement (the "Lease Agreement") dated February 28, 1997 by and
between EURUS ESTATES II, LTD., as Lessor, and CROSSROADS SYSTEMS, INC., as
Lessee, demising of 8,739 rentable square feet (7,121 usf) of space locally
known as Suite II-300 in the KALEIDO II office building located at 0000 Xxxxxxxx
Xxxxxxxxx, Xxxxxx, Xxxxxx Xxxxxx, Xxxxx 00000.
This First Supplement to Lease Agreement entered into by and between EURUS
ESTATES II, LTD., hereinafter called "Lessor", and CROSSROADS SYSTEMS, INC.,
hereinafter called "Lessee", shall amend and modify the Lease Agreement as
follows:
1. LEASE EXPANSION. Effective November 1, 1997 and continuing through the
remainder of the lease term (05/31/02), Lessee shall lease from Lessor
additional space known as Suite II-350 consisting of 2,879 rentable square
feet (2,346 usf) as shown on the attached EXHIBIT A. Lessee's total leased
square footage shall, therefore, be 11,618 rentable square feet (9,467 usf)
2. Expansion Space Base Rent. Effective November 1, 1997, Lessee shall pay to
Lessor base rent for the expansion space in the amounts set forth in the
rent schedule below:
Time Period Per Month Per Term Per SF Per Yr
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11/01/97 to 05/31/98 $4,558.42 $27,350.52 $19.00
06/01/98 to 05/31/99 $4,678.38 $56,140.56 $19.50
06/01/99 to 05/31/00 $4,798.33 $57,579.96 $20.00
06/01/00 to 05/31/01 $4,918.29 $59,019.48 $20.50
06/01/01 to 05/31/02 $5,038.25 $60,459.00 $21.00
3. TENANT FINISH OUT. Per Lessee's Option for Additional Space (Exhibit M) of
the Lease Agreement, Lessor shall provide Lessee with a finish out
allowance for the expansion space, known as Suite II-350, of $0.0833 per
usable square foot per month times the number of months from the
commencement date of the lease of the expansion space to the end of the
lease term. Therefore, Lessee shall have a total allowance of $10,748.10
based on 2,346 usable square feet times $0.0833 times 55 months. Final
construction plans shall be mutually acceptable to both Lessee and Lessor.
4. Lease Buy Out. Lessee agrees to pay Lessor $13,414.35 to buy out the
current tenant of Suite II-250, Xxxxxxxx Enterprises, LLC, from its lease.
Lessor and Lessee acknowledge and agree that this amount represents
Lessor's unamortized finish out costs and leasing commissions from its
lease with Xxxxxxxx Enterprises.
Lessor DT
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Lessee BRS
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Except as provided to the contrary herein, all the provisions of the Lease
Agreement shall be applied to the expansion space and all of the remaining
terms, covenants, and provisions of the Lease Agreement shall remain in full
force and effect and unmodified hereby. Each party hereby acknowledges that the
other is not in default under the Lease Agreement in any respect. Each signatory
hereto represents and warrants that he or she is authorized to execute this
document and that upon said execution by both parties, this document will
constitute the binding obligation of the party on behalf of whom such person has
signed, without the necessity of Joinder of any other person or entity.
EXECUTED on the dates set forth below our respective signatures.
LESSOR: LESSEE:
EURUS ESTATES II, LTD. CROSSROADS SYSTEMS,
INC.
By: /s/ XXX XXXX By: /s/ XXXXX XXXXX
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Xxx Xxxx, CPM, RPA, Vice-President, Xxxxx Xxxxx,
Xxxxxx Management, Inc., CEO
Authorized Managing Agent for
Eurus Estates II, Ltd.
Date: 10/22/97 Date: October 15, 1997
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EXHIBIT A
CROSSROADS SYSTEMS, INC. EXPANSION SPACE
Xxxxxxx XX, Xxxxx 000
2,879 rentable square feet (2,346 usf)
[FLOOR PLAN]
Lessor DT
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Lessee BRS
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