COMMERCIAL LEASE AGREEMENT
This Commercial Lease Agreement ("Lease") is made and effective January 1,
2001, by and between Xxxxxxxx & Associates, Inc. ("Landlord") and
Millenium Plastics Corporation ("Tenant"). Landlord is the owner of land
and improvements commonly known and numbered as 0000 X. Xxxxxxxxx Xxx, Xxx
Xxxxx, Xxxxxx 00000 (the "Building"). Landlord makes available for lease a
portion of the Building designated as 4000 square feet of floor space in
the warehouse portion of the Building (the "Leased Premises") and 405
square feet of office space. Landlord desires to lease the Leased Premises
to Tenant, and Tenant desires to lease the Leased Premises from Landlord
for the term, at the rental and upon the covenants, conditions and
provisions herein set forth.
THEREFORE, in consideration of the mutual promises herein, contained and
other good and valuable consideration, it is agreed:
1. Term.
Landlord hereby leases the Leased Premises to Tenant, and Tenant hereby
leases the same from Landlord, for a thirty six (36) month period
beginning January 1, 2001. Landlord shall use its best efforts to give
Tenant possession as nearly as possible at the beginning of the Lease
term. If Landlord is unable to timely provide the Leased Premises, rent
shall xxxxx for the period of delay. Tenant shall make no other claim
against Landlord for any such delay.
2. Rental.
Tenant shall pay to Landlord an amount of $4,014 per month. Each payment
shall be due in advance on the first day of each calendar month during the
lease term to Landlord at 0000 X. Xxxxxxxxx Xxx, Xxx Xxxxx, XX or at such
other place designated by written notice from Landlord or Tenant. The
rental payment amount for any partial calendar months included in the
lease term shall be prorated on a daily basis. Tenant shall also pay to
Landlord a "Security Deposit" in the amount of $0.
Payment for the first 3 months, January through March 2001, shall be
deferred interest free until April 1, 2001. Beginning April 1, 2001
Tenant will pay in six monthly installments the additional amount of $2007
per month or until the total deferred rent from January to March 2001, in
the amount of $12,052 is paid.
3. Use
Notwithstanding the forgoing, Tenant shall not use the Leased Premises for
the purposes of storing, manufacturing or selling any explosives or other
inherently dangerous substance, thing or device.
4. Sublease and Assignment.
Tenant shall have the right without Landlord's consent, to assign this
Lease to a corporation with which Tenant may merge or consolidate, to any
subsidiary of Tenant, to any corporation under common control with Tenant,
or to a purchaser of substantially all of Tenant's assets. Except as set
forth above, Tenant shall not sublease all or any part of the Leased
Premises, or assign this Lease in whole or in part without Landlord's
consent, such consent not to be unreasonably withheld or delayed.
5. Repairs.
During the Lease term, Tenant shall make, at Tenant's expense, all
necessary repairs to the Leased Premises. Repairs shall include such items
as routine repairs of floors, walls, ceilings, and other parts of the
Leased Premises damaged or worn through normal occupancy, except for major
mechanical systems or the roof, subject to the obligations of the parties
otherwise set forth in this Lease.
6. Alterations and Improvements.
Tenant, at Tenant's expense, shall have the right following Landlord's
consent to remodel, redecorate, and make additions, improvements and
replacements of and to all or any part of the Leased Premises from time to
time as Tenant may deem desirable, provided the same are made in a
workmanlike manner and utilizing good quality materials. Tenant shall have
the right to place and install personal property, trade fixtures,
equipment and other temporary installations in and upon the Leased
Premises, and fasten the same to the premises. All personal property,
equipment, machinery, trade fixtures and temporary installations, whether
acquired by Tenant at the commencement of the Lease term or placed or
installed on the Leased Premises by Tenant thereafter, shall remain
Tenant's property free and clear of any claim by Landlord. Tenant shall
have the right to remove the same at any time during the term of this
Lease provided that all damage to the Leased Premises caused by such
removal shall be repaired by Tenant at Tenant's expense.
7. Property Taxes.
Landlord shall pay, prior to delinquency, all general real estate taxes
and installments of special assessments coming due during the Lease term
on the Leased Premises, and all personal property taxes with respect to
Landlord's personal property, if any, on the Leased Premises. Tenant shall
be responsible for paying all personal property taxes with respect to
Tenant's personal property at the Leased Premises.
8. Insurance and Indemnification.
A. If the Leased Premises or any other party of the Building is damaged by
fire or other casualty resulting from any act or negligence of Tenant or any
of Tenant's agents, employees or invitees, rent shall not be diminished or a
bated while such damages are under repair, and Tenant shall be responsible
for the costs of repair not covered by insurance.
B. Landlord shall maintain fire and extended coverage insurance on the
Building and the Leased Premises in such amounts as Landlord shall deem
appropriate. Tenant shall be responsible, at its expense, for fire and
extended coverage insurance on all of its personal property, including
removable trade fixtures, located in the Leased Premises.
C. Tenant and Landlord shall, each at its own expense, maintain a policy or
policies of comprehensive general liability insurance with respect to the
respective activities of each in the Building with the premiums thereon fully
paid on or before due date, issued by and binding upon some insurance company
approved by Landlord, such insurance to afford minimum protection of not less
than $1,000,000 combined single limit coverage of bodily injury, property
damage or combination thereof. Landlord shall be listed as an additional
insured on Tenant's policy or policies of comprehensive general liability
insurance, and Tenant shall provide Landlord with current Certificates of
Insurance evidencing Tenant's compliance with this Paragraph. Tenant shall
obtain the agreement of Tenant's insurers to notify Landlord that a policy is
due to expire at least (10) days prior to such expiration. Landlord shall not
be required to maintain insurance against thefts within the Leased Premises
or the Building.
D. Tenant shall be responsible and liable to Landlord for, and indemnify
Landlord against, any and all damage to the Property, which occurs in any
manner from any cause or causes during the term of this lease. Tenant shall
be responsible and liable for, indemnify Landlord against, hold Landlord free
and harmless from any claim or claims of any kind whatsoever for or from, and
promptly pay any judgment for, any and all liability for personal injuries,
death or property damages, or any of them, which arise or in any manner are
occasioned by the acts or negligence of Tenant or others in the custody,
operation or use of, or with respect to, said Property, during the term of
this lease.
9. Utilities.
Landlord shall pay all charges for water and sewer used by Tenant on the
Leased Premises during the term of this Lease unless otherwise expressly
agreed in writing by Landlord. Tenant shall pay a prorated amount, as set
forth in a separate agreement, for gas and electricity used by Tenant on
the Leased Premises during the term of this Lease unless otherwise
expressly agreed in writing by Landlord. Tenant acknowledges that the
Leased Premises are designed to provide standard office use electrical
facilities and standard office lighting. Tenant shall not use any
equipment or devices that utilizes excessive electrical energy or which
may, in Landlord's reasonable opinion, overload the wiring or interfere
with electrical services to other tenants unless Tenant improves the
electrical service to the Leased Premises subject to the terms of
Paragraph 6.
10. Signs.
Following Landlord's consent, Tenant shall have the right to place on the
Leased Premises, at locations selected by Tenant, any signs which are
permitted by applicable zoning ordinances and private restrictions.
Landlord may ref use consent to any proposed signage that is in Landlord's
opinion too large, deceptive, unattractive or otherwise inconsistent with
or inappropriate to the Leased Premises or use of any other tenant.
Landlord shall assist and cooperate with Tenant in obtaining any necessary
permission from governmental authorities or adjoining owners and occupants
for Tenant to place or construct the foregoing signs. Tenant shall repair
all damage to the Leased Premises resulting from the removal of signs
installed by Tenant.
11. Entry.
Landlord shall have the right to enter upon the Leased Premises at
reasonable hours to inspect the same, provided Landlord shall not thereby
unreasonably interfere with Tenant's business on the Leased Premises.
12. Parking.
During the term of this Lease, Tenant shall have the non-exclusive use in
common with Landlord, other tenants of the Building, their guests and
invitees, of the non-reserved common automobile parking areas, driveways,
and footways, subject to rules and regulations for the use thereof as
prescribed from time to time by Landlord. Landlord reserves the right to
designate parking areas within the Building or in reasonable proximity
thereto, for Tenant and Tenant's agents and employees..
13. Default.
If default shall at any time be made by Tenant in the payment of rent when
due to Landlord as herein provided, and if said default shall continue for
fifteen (15) days after written notice thereof shall have been given to
Tenant by Landlord, or if default shall be made in any of the other
covenants or conditions to be kept, observed and performed by Tenant, and
such default shall continue for thirty (30) days after notice thereof in
writing to Tenant by Landlord without correction thereof then having been
commenced and thereafter diligently prosecuted, Landlord may declare the
term of this Lease ended and terminated by giving Tenant written notice of
such intention, and if possession of the Leased Premises is not
surrendered, Landlord may re-enter said premises. Landlord shall have, in
addition to the remedy above provided, any other right or remedy available
to Landlord on account of any Tenant default, either in law or equity.
Landlord shall use reasonable efforts to mitigate its damages.
14. Quiet Possession.
Landlord covenants and warrants that upon performance by Tenant of its
obligations hereunder, Landlord will keep and maintain Tenant in
exclusive, quiet, peaceable and undisturbed and uninterrupted possession
of the Leased Premises during the term of this Lease.
15. Notice.
Any notice required or permitted under this Lease shall be deemed
sufficiently given or served if sent by United States certified mail,
return receipt requested, addressed as follows:
If to Landlord to:
Xxxxxxxx & Associates, Inc.
Attn: Xxxxxxx Xxxxxxxx
0000 X. Xxxxxxxxx Xxx
Xxx Xxxxx, XX 00000
If to Tenant to:
Millenium Plastics Corp.
Attn: Xxxx Xxxxxxxx
X.X. Xxx 000000
Xxx Xxxxx, XX 00000
Landlord and Tenant shall each have the right from time to time to change
the place notice is to be given under this paragraph by written notice
thereof to the other party.
16. Waiver.
No waiver of any default of Landlord or Tenant hereunder shall be implied
from any omission to take any action on account of such default if such
default persists or is repeated, and no express waiver shall affect any
default other than the default specified in the express waiver and that
only for the time and to the extent therein stated. One or more waivers by
Landlord or Tenant shall not be construed as a waiver of a subsequent
breach of the same covenant, term or condition.
17. Headings.
The headings used in this Lease are for convenience of the parties only
and shall not be considered in interpreting the meaning of any provision
of this Lease.
18. Successors.
The provisions of this Lease shall extend to and be binding upon Landlord
and Tenant and their respective legal representatives, successors and
assigns.
19. Consent.
Landlord shall not unreasonably withhold or delay its consent with respect
to any matter for which Landlord's consent is required or desirable under
this Lease.
20. Compliance with Law.
Tenant shall comply with all laws, orders, ordinances and other public
requirements now or hereafter pertaining to Tenant's use of the Leased
Premises. Landlord shall comply with all laws, orders, ordinances and
other public requirements now or hereafter affecting the Leased Premises.
21. Final Agreement.
This Agreement terminates and supersedes all prior understandings or
agreements on the subject matter hereof. This Agreement may be modified
only by a further writing that is duly executed by both parties.
IN WITNESS WHEREOF, the parties have executed this Lease as of the day and
year first above written.
Xxxxxxxx & Associates, Inc. Millenium Plastics Corp.
Signature /s/ Xxxx Xxxxxxxx Signature /s/ Xxxx Xxxxxxxx
Name Xxxx Xxxxxxxx Name Xxxx Xxxxxxxx
Title President Title President
(printed) (printed)
Date Date
4/8/2001 4/8/2001
