Exhibit 10.8
FIRST LEASE
AMENDMENT
This FIRST LEASE AMENDMENT (this
“Amendment”) is made and entered into as of
September 1st, 2006 by and between SY CORPORATION, a Nevada
corporation (“Landlord”) and I-FLOW CORPORATION, a
California corporation (“Tenant”).
Recitals
A. Tenant occupies
approximately 51,000 square feet of space (the “Original
Demised Premises”) within the building located at 20202
Windrow Drive, Lake Forest, California (the “Building”)
pursuant to that certain Lease Agreement entered into as of
April 14, 1997 between Tenant and Industrial Developments
International, Inc., a Delaware corporation and predecessor in
interest to Industrial Property Fund I, L.P., as landlord,
with a lease term commencing on July 2, 1997 and terminating
on August 1, 2007, subject to an option to renew vested in
Tenant for an additional term of five (5) years (the
“Lease”). Capitalized terms used but not otherwise
defined herein shall have the meaning given to such terms in the
Lease.
B. Landlord
acquired its interest in the above premises through purchase of the
real property from INDUSTRIAL DEVELOPMENTS INTERNATIONAL INC. and
assignment of the Lease Agreement under an Assignment of Lease
dated 10-6-04.
C. Landlord
and Tenant now desire to amend the Lease Agreement on the terms and
conditions set out herein.
NOW, THEREFORE, in consideration of
the foregoing recitals and the mutual covenants contained herein,
and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto
hereby agree as follows:
Amendment Terms
1. Additional
Premises . As of September 1, 2006,
Landlord does hereby lease and demise to Tenant an additional
15,675 square feet of space (the “Additional
Premises”, and collectively with the Originally Demised
Premises, the “Demised Premises”), located within the
Building, as described and depicted on Exhibit ‘A’,
attached hereto and incorporated herein by reference, pursuant to
all the terms and provisions of the Lease, as hereby amended. The
total square footage of the Demised Premises will be
66,675 square feet of space. Tenant acknowledges and agrees
the above square footage figure shall be used for determination of
the additional rental amount irrespective that the actual amount of
square footage leased to Tenant may differ slightly.
2. Expiration Date
. Section 1(h) of the Lease is hereby deleted
in its entirety and in place thereof, the following is inserted:
“Expiration Date: The Expiration Date of the Lease shall be
August 31, 2010.”
3. Renewal Option
. Notwithstanding Section 2 above Tenant
shall retain the right granted under Section 3.1(a) of the
Lease to exercise its right to renew for an additional five
(5) year Renewal Term from and after August 31, 2010, in
accordance with the terms of Section 3.1(a).
4. Rental Rate
. Sections 1(d), 1(e) and 17(d) of the Lease
are hereby amended such that commencing September 1, 2006, the
Annual Base Rent (subject to adjustment per Section 5 below)
for the Demised Premises through the end of the Primary Term shall
be Six Hundred Eighty Thousand, Eighty-Five and 00/100 Dollars
($680,085.00), based on a calculation of $.85 per square foot of
the Demised Premises. Base Rent shall be payable in equal monthly
installments of Fifty-Six Thousand, Six Hundred Seventy-Three and
75/100 Dollars ($56,673.75) (subject to adjustment per
Section 5 below), in advance, on the first day of each
calendar month during the Term.
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