EXHIBIT 10.1
COMMERCIAL LEASE
This LEASE is made on the 21st day of March 2007.
The Landlord hereby agrees to lease to the Tenant, and the Tenant
hereby agrees
to hire and take from the Landlord, the Leased Premises described
below pursuant
to the terms and conditions specified herein:
LANDLORD: Ludlow Properties LLC TENANT(S):World
Water & Power Corporation
Address: 414 Essex
Street
Address:
55 Route 31 South
Hackensack, N.J. 07601
Pennington, New Jersey 08534
l. Leased Premises. The Leased Premises are those premises
described as: 30,000
sq ft of a 272,400 sq, ft building, 200 Ludlow Drive, Ewing NJ.
08638 LOT 7
BLOCK 105. The existing tenant of the Leased Premises currently
maintains 90
work stations, telephone system and a security system. In the event
any of such
items remain in the Leased Premises "upon the commencement of this
Lease, such
items will become property of the Landlord and will be available
for use by
Tenant dining the original and any renewal-term of this Lease,
2.
Term. The term of the Lease shall be for a period of eight (8)
year(s)
commencing on July 1, 2007 ending on June 30, 2015, unless sooner
terminated as
hereinafter provided.
If Tenant remains in possession of the Leases Premises
with the written consent of the Landlord after the lease expiration
date stated
above, this Lease will be converted to a month-to-month Lease and
each party
shall have the right to terminate the Lease by giving at least-one
month's prior
written notice to the other party.
Option to renew: Two (2) Five year options; with a renewal increase
of .75 per
----------------
sq. ft. per year starting on first renewal year.
Option notification date: December 31, 2014
------------------------
3.
RENT.
(i)
The Tenant agrees to pay the ANNUAL RENT of $210,000.00 PLUS
estimated
ADDITIONAL RENT of $ 57,900.00 payable in equal installments in
advance on the
first day of each and every calendar month during the full term of
this Lease.
(ii)
If any monthly
Rent installment has not been paid by the 5(th) of
the month, or any item of Additional Rent is not paid when due,
there will be a
late fee of 10 % of the amount due. Said late fee will be
considered Additional
Rent and will be due with the required rent payment. Tenant
acknowledges and
agrees that the provisions of this Section 3 regarding late fees
will not
operate as a waiver of any of Landlord's other remedies in this
Lease for
Tenants failure to make timely payment of rent.
<PAGE>
(iii) Tenant shall pay
the Rent together with any Additional Rent and
charges hereafter set forth in this Lease, without demand, offset
or deduction.
Tenant shall be entitled to an early payment discount of one
percent (1 %) of
any such amount due hereunder for any month in which Tenant wires
payment into
Landlord's account such that the funds are available to Landlord on
the first
day of the month in which the funds are due.
4. Taxes. Tenant will
pay to Landlord as additional rent hereunder, when and as
designated by
notice in writing by Landlord all real estate taxes and
assessments on
the Leased Premises, based on the proportionate share
of the
Leased Premises
to the entire
property, that occur in each year of the term of
this Lease or any
extension or renewal thereof and proportionately for any part
of a fiscal year,
5. Security Deposit.
The sum of Forty-Four thousand six hundred and fifty
00/100 Dollars ($44,650.00) is deposited by the Tenant with the
Landlord as
security for the faithful performance of all the covenants and
conditions of the
lease by the said Tenant. If the Tenant faithfully performs all the
covenants
and conditions on his pan to be performed, then the sum deposited
shall be
returned to the Tenant. Tenant shall not be entitled to receive any
interest on
the Security Deposit and Landlord may commingle the same with other
monies of
Landlord.
6. Delivery of Possession. If for any reason the Landlord cannot
deliver
possession of the Leased Premises to the Tenant when the lease term
commences,
despite Landlord's good faith effort, this Lease shall not be void
or voidable,
nor shall the Landlord be liable to the Tenant for any loss or
damage resulting
there from. However, there shall be an abatement of rent for the
period between
the commencement of the lease term and the time when the Landlord
delivers
possession. Notwithstanding the foregoing, in the event Landlord
fails to
deliver possession by September 1, 2007, Tenant may terminate this
Lease in
which event the Security Deposit and any other funds deposited by
Tenant will be
returned to Tenant.
7. Use of Leased Premises. The Leased Premises may
be used only for the
following purpose(s):
Storage and maintenance of solar panels and
equipment;
assembly of
solar systems; research and development and
office useThe Leased
Premises may
not be used for any unlawful purpose.
8. Utilities.
The Tenant shall be responsible for all
utilities and services
that are furnished to the Leased Premises. The application for and
connecting of
utilities, as well as
ail services, shall be made by and only m the name of the
Tenant.
<PAGE>
9. Condition of Leased Premises; Maintenance and Repair. Landlord
shall maintain
in good order and repair, the roof, structural and exterior walls
(including the
painting thereof)
and foundations of the building(s),
The Tenant acknowledges
that the Leased Premises are in good order and repair. The Tenant
agrees to take
good care of and maintain the Leased
Premises in good condition throughout the
term of the Lease, The Tenant, at its expense,
shall make all other necessary
repairs and
replacements
to the Leased
Premises, including but not limited to
the repair
and replacement of pipes, electrical wiring,
heating and plumbing
systems, fixtures and
all other systems and appliances and their appurtenances.
The quality
and class of all repairs and replacements shall be
equal to or
greater than
the original worth and
quality. If Tenant defaults in making such
repairs or
replacements
within five (5) days after notice from Landlord,
Landlord may make them for Tenant's account and such expenses will
be considered
additional rent
due to Landlord.
10. Compliance with
Laws and Regulation. Tenant, at its expense, shall promptly
comply with all federal, state, and municipal laws, orders, and
regulations, and
with all lawful
directives of public officers, which impose any duty upon it or
Landlord with
respect to the Leased
Premises, other than those items for which
Landlord is directly responsible under the terms of Section 9 of
this Lease. The
Tenant at its expense, shall obtain all required licenses
or permits for the
conduct of
its business within the terms of this lease, or
for the making of
repairs, alterations,
improvements, or additions. Landlord, when necessary will
join with the Tenant in applying for all such permits or licenses.
11. Alterations
and Improvements. Tenant shall not make any alterations,
additions, or
improvements to, or
install any fixtures on, the Leased Premises
without Landlord's
prior written _ consent. If such consent is given, all
alterations,
additions, and improvements made, and fixtures installed by
Tenant
shall become
Landlord's
property at the end of
the Lease term, except for the
initial improvements
approved by landlord (Note-take out if we are not
delivering plans
prior to execution).
Landlord may, however, require Tenant to
remove any
alterations,
additions,
improvements
and fixtures, at Tenant's
expense, at the end of the Lease term and Tenant will repair any
damage cause by
any such removal. Leased premises are to be restored to original
condition (when
the tenant
received space) if requested by landlord.
12.
Assignment/Subletting
Restrictions. Tenant
may not assign, sublease,
mortgage, hypothecate
or otherwise encumber the Leased
Premises or this Lease
without the
prior written consent of the Landlord, Any such assignment,
sublease, mortgage, hypothecation, encumbrance or other purported
license to use
the Leased
Premised by Tenant
without die Landlord's consent shall be null and
void and shall (at Landlord's option) terminate this Lease, In the event
Landlord does
consent in writing to an assignment, sublease, or other
encumbrance of the Leased Premises, such consent shall only apply
to the initial
term of this Lease and not to any renewal term.
<PAGE>
In the event that an assignment or sublease of the demised premises
is executed
and agreed by the Landlord as provided herein, then, and in the
event, the
Tenant shall be responsible to pay over to the Landlord monthly, in
addition to
the monies due under the terms of this Lease, one-half (1/2) of the
amount by
which the rental payable to the Tenant from any assignee or
sublease exceeds the
rental payable by the Tenant under the terms and conditions of this
Lease at the
time of the assignment or sublease. In the event of assignment or
sublease,
Tenant cannot exercise any options.
13. Insurance.
(i)
By Landlord. Landlord shall at all times during the term of
this
Lease insure and keep in effect on the building in which the Leased
Premises are
located fire insurance with extended coverage. The Tenant shall not
permit any
use of the Leased Premises which will make void able any insurance
on the
property of which the Leased Premises are a part or on the contents
of said
property or which shall be contrary to any law or regulation from
time to time
established by the applicable fire insurance rating association.
Tenant shall on
demand reimburse the Landlord, and all other tenants, the full
amount of any
increase in insurance premiums caused by the Tenant' s use of the
Leased
Premises. The premiums for all insurance carried by Landlord on the
Leased
Premises shall be additional rent payable by Tenant to Landlord
