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LEASE AND ADDENDA FOR BUILDING #7 AND FIVE ACRES OF LAND (PRECAST PLANT AND STORAGE YARD) LEASE CROWN WEST REALTY, L.L.C. Lessor CXT INCORPORATED Lessee

Lease Agreement

LEASE AND ADDENDA FOR BUILDING #7

                                       AND

                               FIVE ACRES OF LAND

 

                        (PRECAST PLANT AND STORAGE YARD)

<PAGE>

                                      LEASE

 

                            CROWN WEST REALTY, L.L.C.

                                     Lessor

 

                                CXT INCORPORATED

                                     Lessee | Document Parties: CROWN WEST REALTY, L.L.C. | CXT INCORPORATED You are currently viewing:
This Lease Agreement involves

CROWN WEST REALTY, L.L.C. | CXT INCORPORATED

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Title: LEASE AND ADDENDA FOR BUILDING #7 AND FIVE ACRES OF LAND (PRECAST PLANT AND STORAGE YARD) LEASE CROWN WEST REALTY, L.L.C. Lessor CXT INCORPORATED Lessee
Governing Law: Washington     Date: 3/16/2005
Industry: Misc. Fabricated Products    

LEASE AND ADDENDA FOR BUILDING #7

                                       AND

                               FIVE ACRES OF LAND

 

                        (PRECAST PLANT AND STORAGE YARD)

<PAGE>

                                      LEASE

 

                            CROWN WEST REALTY, L.L.C.

                                     Lessor

 

                                CXT INCORPORATED

                                     Lessee, Parties: crown west realty  l.l.c. , cxt incorporated
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<PAGE>

                                                                   Exhibit 10.13

 

                        LEASE AND ADDENDA FOR BUILDING #7

                                       AND

                               FIVE ACRES OF LAND

 

                         (PRECAST PLANT AND STORAGE YARD)

<PAGE>

                                      LEASE

 

                            CROWN WEST REALTY, L.L.C.

                                     Lessor

 

                                CXT INCORPORATED

                                      Lessee

 

                            Dated: December 20, 1996

<PAGE>

<TABLE>

<CAPTION>

                                                                        Page No.

                                                                         --------

<S>                                                                      <C>

13.2    Pre-approved Additions                                                6

13.2.1 Batch Plant                                                           6

13.2.2 Rail Line                                                             6

13.2.3 Additional Cranes                                                     6

13.2.4 Hot Oil Heat Exchangers                                               6

13.2.5 Exterior 33-Ton Crane                                                  6

14.     Repairs or Services by Lessor                                         7

14.1    Building Repair                                                       7

14.2    Services                                                               7

15.     Repairs by Lessee                                                     7

16.     Surrender on Termination                                              7

17.     Mechanic's Liens                                                       8

18.     Signs, Lights and Sounds                                              8

19.     Displays of Merchandise                                               8

20.     Streets, Parking Areas and Rules                                      8

21.     Access                                                                 9

22.     Utilities                                                             9

23.     All Charges Deemed Rent                                               9

24.     Indemnification and Insurance                                          9

24.1    In General                                                            9

24.1.1 Acts or Omissions                                                     9

24.1.2 Accidents                                                             10

24.1.3 Breach of Lease                                                      10

24.1.4 Lessor's Performance                                                 10

24.1.5 Hazardous Substances                                                 10

24.2     Lessee Liability Insurance                                           10

24.3    Notice of Claim                                                      11

24.4    Waiver by Lessee                                                     11

25.     Insurance and Waiver of Subrogation                                  11

26.     Damage/Rebuilding                                                    12

27.     Condemnation                                                         12

28.     Taxes, Assessments and Insurance Premiums                             13

28.1    Reimbursement                                                        13

28.2    Lessee's Tax                                                         13

29.     Non-waiver of Breach                                                  14

30.     Default                                                              14

31.     Litigation Costs/Venue                                               14

32.     Removal of Personal Property by Lessee                               14

33.     Removal of Property by Lessor                                        15

34.     Loading Platforms                                                    15

35.     Insolvency                                                           15

36.     Assignments and Subletting                                            15

36.1    Consent Required                                                     15

36.2    Change in Lessee Ownership                                           15

36.3    Request for Consent                                                   15

36.4    Reimbursement of Costs                                               16

36.5    Withholding Consent                                                  16

36.6    Conditions of Consent                                                16

36.7    Increased Rent Shared                                                16

36.8    Submit Documents                                                     16

36.9    Assignee Bound                                                       16

36.10   Lessee Remains Obligated                                             16

36.11   Additional Notice                                                    16

36.12   Joint Liability                                                      17

</TABLE>

<PAGE>

<TABLE>

<S>                                                                       <C>

36.13   Default                                                              17

37.     Statements by Lessee                                                 17

38.     Subordination                                                         17

39.     Short Form Lease                                                     17

</TABLE>

<PAGE>

                                      LEASE

 

This Lease made and entered into this 20th day of December, 1996, between CROWN

WEST REALTY, L.L.C. hereinafter referred to as "Lessor", and CXT INCORPORATED, a

Delaware corporation, hereinafter referred to as "Lessee",

 

                                   WITNESSETH:

 

It is agreed by and between Lessor and Lessee as follows:

 

1. Description of Premises. Lessor hereby leases to Lessee and Lessee hereby

leases from Lessor those certain premises, hereinafter referred to as

"Premises", situated in Spokane County, State of Washington, described as:

Building #7 comprising approximately 120,000 square feet and approximately rive

acres of land to be used for storage immediately east of Building #7, across 5th

Street, (See Exhibit B attached) located at 3808 N. Sullivan Road being part of

an organized industrial district commonly referred to as the "Spokane Business &

Industrial Park," hereinafter referred to as the "Park" as shown on the attached

Exhibit A and more particularly described as follows:

 

The South Half of Section 1, and that portion of Section 12 lying North of the

Northerly right of way line of the Spokane International Railroad, Township 25

North, Range 44 East of the Willamette Meridian, County of Spokane, State of

Washington.

 

The Lessee may use the five acres to store material. All materials shall be

stored in a neat and secure manner. Except for those improvements which the

Lessor specifically agrees to provide, as set forth in this Lease, the Lessee

shall be responsible for the installation, construction and maintenance of all

improvements to the Premises.

 

Lessee shall have the right to cross 5th Street between the said five-acre

parcel and Building 7 without going to an intersection, provided that

north-south traffic on 5th Street has the right of way and Lessee's vehicles

thus crossing 5th Street shall not unreasonably impede north-south traffic on

5th Street.

 

2. Term. The term of this Lease shall be 76 months, commencing on the 1st day of

December, 1996 and ending on the 31st day of March, 2003.

 

3. Rent. The monthly base rent which includes base year taxes, assessments,

insurance and common area costs, except as provided in paragraph 28, shall be as

follows:

 

<TABLE>

<S>                                            <C>

December 1, 1996 through March 31, 1997        $      0.00

April 1, 1997 through October 31, 1997         $15,600.00

November 1, 1997 through September 30, 1998    $16,800.00

October 1, 1998 through September 30, 1999     $20,400.00

October 1, 1999 through September 30, 2000     $20,400.00

October 1, 2000 through September 30, 2001     $21,600.00

October 1, 2001 through September 30, 2002     $21,600.00

October 1, 2002 through March 31, 2003         $24,000.00

</TABLE>

 

Said rental for each month shall be paid to Lessor monthly in advance on or

before the first business day of the month for which said rent is due at the

office of Lessor at the Park.

<PAGE>

A late charge of 1%% of the delinquent amount will be added to all amounts of

base rent and additional due that are not received by the tenth of the month in

which they are due.

 

4. Option To Extend. Lessee is hereby granted options to extend this Lease for

two additional five-year terms upon all of the terms and conditions, except

rent, as provided in this Lease, modified only as necessary to conform to

applicable laws and regulations; provided that the Lessee is, both at the time

of exercising an option to extend and at the time of commencement of the

extended term, not in material default under the then-current lease. In order to

exercise an option to extend, the Lessee must give written notice to the Lessor

not less than 150 days prior to the expiration of the then-current lease term.

 

The base rent during the option terms, if exercised, shall be as follows:

 

<TABLE>

<S>                                     <C>

April 1, 2003 through March 31, 2004    $31,200.00

April 1, 2004 through March 31, 2005    $32,292.00

April 1, 2005 through March 31, 2006    $33,422.00

April 1, 2006 through March 31, 2007    $34,592.00

April 1, 2007 through March 31, 2008    $35,803.00

April 1, 2008 through March 31, 2009    $37,056.00

April 1, 2009 through March 31, 2010    $38,353.00

April 1, 2010 through March 31, 2011    $39,695.00

April 1, 2011 through March 31, 2012    $41,084.00

April 1, 2012 through March 31, 2013    $42,522.00

</TABLE>

 

5. Options To Terminate.

 

     5.1 This Lease. Lessee is hereby granted the one-time option to terminate

this Lease effective on February 28, 1999, by giving Lessor not less than 150

days' prior written notice. If said option to terminate is exercised, Lessee

shall pay Lessor $32,500.00, representing reimbursement to Lessor of $15,000.00,

being 50% of the amount that the Lessor has agreed to pay toward the cost of

repairing cranes; plus $17,500.00, being approximately 50% of the cost incurred

by Lessor in complying with paragraph 10.7.

 

     5.2 S-20 Lease. Lessee is currently leasing Building #S-20, on Lot 18, BSP

88-21 from Lessor pursuant to a Lease dated November 1, 1991. Provided that

Lessee does not exercise its option to terminate this Lease as provided in

paragraph 5. 1, Lessee is hereby granted the option to terminate the said Lease

of Building #S-20 effective on either December 31, 1998, or December 31, 1999,

by giving written notice to Lessor not less than 150 days prior to the

termination date, which shall be stated in the notice, and by paying Lessor the

sum of $4,800.00 per month on the first business day of each month, commencing

in the month of January immediately following the termination date and

continuing through March, 2003. Late charges would apply if not paid on time,

the same as with rent.*

 

*Should Lessee exercise its option to terminate its lease for Building #S-20

under this paragraph #5.2, then Lessee's option to terminate this lease for

Building #7 under paragraph #5.1 shall expire and become null and void.

 

6. Possession/Peaceful Enjoyment. Lessee shall be entitled to possession of the

Premises on December, 1, 1996, it being recognized that the prior tenant of

Building #7 is in the process of moving out so that the Lessee will not have

<PAGE>

full use of the Premises until the prior tenant finishes moving out. Except as

provided above, the Lessee shall have peaceful and quiet enjoyment throughout

the term of this Lease and any exercised option terms, all subject to the Lessee

performing its obligations under this Lease.

 

7. Holding Over. If the Lessee shall, with the written consent of Lessor, hold

over after the expiration of the term of this Lease, or any exercised option

term, such tenancy shall be on a month-to-month basis, and may be terminated as

provided by the laws of the State of Washington. During such tenancy, Lessee

agrees to pay to the Lessor the rental rate set forth in the written consent,

and to be bound by all the terms, covenants and conditions of the lease then in

effect. If the Lessee holds over without the written permission of the Lessor,

Lessee shall be tenant at sufferance and shall pay base rent on a daily basis at

a rate per day equal to 5% of the monthly rent then in effect.

 

8. Lease Deposit. Waived.

 

9. Business Purposes. The Premises are to be used for the purpose of conducting

therein and thereon the following business: The manufacture of concrete

products, steel fabrication, equipment repair and other related manufacturing

activities, and the storage of related materials and products, and for none

other without the prior written consent of Lessor. Lessee shall promptly notify

Lessor of any proposed change in use of the Premises, but in no event later than

14 days prior to said proposed change. Lessor's consent to any proposed change

shall not to be unreasonably withheld or delayed.

 

10. Acceptance of Premises.

 

     10.1 As Is. Except as otherwise specifically provided in this Lease,

Lessee, having made a careful and complete inspection of the Premises, accepts

said Premises strictly "AS IS" in their present condition and without any

representations or warranties, express or implied, as to their condition or

suitability for Lessee's intended use.

 

     10.2 Existing Cranes. There are presently three ten-ton cranes installed in

Building #7 which the parties recognize are in need of repair. The Lessee will,

within a reasonable time, perform all repairs necessary to put the cranes in

good working order and in compliance with applicable laws and regulations. The

Lessor will reimburse the Lessee for the cost of such repairs to the extent of

$30,000.00. Thereafter the Lessee shall maintain said cranes in good working

order throughout the term of this Lease and any extensions or renewals thereof.

 

     10.3 Office HVAC. The Lessor represents that the HVAC system for the office

area is in normal operating condition. The Lessor will perform any repairs

necessary to put the office HVAC system in normal operating condition, provided

that the need for repair is called to the Lessor's attention by written notice

given not later than December 13, 1996. Thereafter the Lessee shall maintain

said HVAC system in good working order throughout the term of this Lease and any

extensions or renewals thereof. Lessor shall provide Lessee with a report from a

licensed HVAC contractor certifying that both the heating and air conditioning

aspects of the HVAC system are in good operating condition at the commencement

of this Lease.

 

     10.4 New Doors. The Lessor will, within a reasonable time, and in no event

later than January 31, 1997, install four additional electrically

<PAGE>

operated truck access doors as shown on Exhibit C attached. Upon completion of

the installation of all four doors, the Lessee will reimburse the Lessor for the

cost thereof to the extent of $10,500.00.

 

     10.5 Existing Doors. All existing overhead doors, man doors and windows

shall be in good operating condition as of the commencement of this Lease. The

Lessor will perform any repairs necessary to make such doors and windows in

operating condition, provided that the need for repair is called to the Lessor's

attention by written notice given not later than December 13, 1996. Thereafter

the Lessee shall maintain said doors and windows in good working order

throughout the term of this Lease and any extensions or renewals thereof.

 

     10.6 Overhead Power Line. The Lessor will, upon the written request of the

Lessee given at any time during the first year of this Lease, and at the

Lessee's cost, relocate the existing overhead power line at the east end of the

building so as to provide reasonable 'clearance for the Lessee's equipment

moving in and out of Building #7.

 

     10.7 Gravel. The Lessor will grade the five-acre parcel which is part of

the Premises and will remove topsoil, black dirt and organic matter in order to

establish a firm mineral soil base and will install three inches of7/s " or

11/4" minus crushed gravel, all within a reasonable time, and as weather

permits.

 

     10.8 Paving. The Lessor will, within a reasonable time, and not later than

June 30, 1997, asphalt pave the area between the east end of Building #7 and 5th

Street.

 

     10.9 5th Street Gate. The Lessor will, within a reasonable time, and not

later than February 28, 1997, install a gate for access to the Park from 5th

Street. The gate will be locked other than during general business hours. The

gate will be controlled by an access card system or similar device. A reasonable

number of access cards or similar access devices will be checked out to the

Lessee so that the Lessee will have access to Building #7 from 5th Street at all

times.

 

     10.10 Interior Rail Line. Lessor will, upon receipt of such funds from the

prior tenant, reimburse Lessee to the extent of $5,000.00 of the Lessee's cost

of reinstalling interior continuous rail line in accordance with plans approved

by Lessor, such approval not to be unreasonably withheld or delayed.

 

11. Compliance with Laws. Lessee shall, at all times, and at its sole expense,

keep and use the Premises in accordance with applicable laws and ordinances and

in accordance with applicable directions, rules and regulations of public bodies

or entities. Lessee shall not overload the floors, cranes or other parts of the

Premises, and shall permit no waste of, or damage or injury to, the Premises,

and will not permit the Premises to be used in any way which is unlawful,

offensive or dangerous, or which may be, or become, a nuisance, or in any manner

which is, by reason of the emission of dust, odor, gas, fumes, smoke, or noise,

noxious or offensive to a person of normal sensibilities occupying space in an

industrial park or in a manner that significantly increases the risk of fire.

The Lessee's use of concrete vibrators in the ordinary course of its business

shall not constitute a violation of this paragraph.

<PAGE>

12. General Obligations of Lessee. Lessee shall, at all times, keep the

Premises, loading platforms, parking area, and service areas adjacent to the

Premises clean and free from snow, ice, ash, rubbish, dirt, and unlawful

structures and shall store all products, materials (hazardous or otherwise),

dangerous substances, trash and garbage securely within the Premises. Lessee

shall arrange for weekly (or more often if needed) pick-up of such trash and

garbage as may be generated by Lessee, all at the Lessee's expense. Lessee may

install a waste dump area on the south side of Building #7 in accordance with

plans approved by Lessor, such approval not to be unreasonably withheld or

delayed. Should Lessee fail to remove trash, garbage, refuse or materials from

any location outside of the Premises within three days after written notice from

Lessor, Lessor, at its option, may remove such items at Lessee's expense. Lessee

agrees to hold Lessor harmless from any loss or damage resulting from Lessor's

removal of any such items. Lessee shall permit no animals to be kept on the

Premises.

 

13. Alterations.

 

     13.1 Consent Required. Lessee shall not, without the prior written consent

of Lessor, make any alterations, additions, or improvements in or to said

Premises, which consent shall not be unreasonably withheld or delayed. Lessor's

consent may be conditioned on an agreement (a) that the same will be removed by

the Lessee at the termination of this Lease, or (b) that the same will be

maintained in good repair by the Lessee and left on the Premises at the

termination of this Lease. Lessee shall make no perforations in the building

shell without prior review and approval of a duly licensed structural engineer

and the prior written approval of the Lessor. Trade fixtures, appliances and

equipment shall not be deemed alterations, additions or improvements unless the

removal of the same would do material damage to the Premises. Unless

specifically agreed to by Lessor in writing, Lessee shall not be compensated in

any manner for an alteration, addition, or improvement to the Premises. Should

Lessee fail to request written consent from Lessor at least 14 days prior to

initiation of alterations, additions, or improvements, Lessee shall, at Lessor's

option, be obligated to pay all costs incurred by Lessor associated with

performing a due diligence evaluation of Lessee's proposal, including without

limitation the cost of Lessor's employees and the costs of legal, engineering

and architectural services.

 

     13.2 Pre-approved Additions. The following alterations, additions and

improvements are hereby approved by the Lessor, all to be performed at the sole

cost and expense of the Lessee and in accordance with plans approved by the

Lessor prior to the commencement of the work, approval not to be unreasonably

withheld:

 

          13.2.1 Batch Plant. Lessee may erect a concrete batch plant and wash

down sump on the west or south side of Building #7 in accordance with plans

approved by Lessor, such approval not to be unreasonably withheld or delayed.

Lessee's plans shall include, but not be limited to, the precise area to be

occupied, the design of the structure and final paint color. All construction

shall be subject to environmental approvals, governmental approvals and building

permits. On the termination of this Lease the Lessee may, and will, if so

requested by Lessor, remove the batch plant and restore the area, including

parking, to its prior condition. Lessee shall give notice to Lessor at least 30

days prior to the termination of this Lease as to whether or not it elects to

remove the batch plant. Within 30 days after receipt of

<PAGE>

such notice or, if no notice is given, then within 30 days after the termination

of this Lease, Lessor may notify Lessee that Lessee is required to remove the

said batch plant

 

          13.2.2 Rail Line. Lessor will make available to Lessee, at no cost,

all rail and switch material currently in its possession, which is not presently

being used or specifically planned for future use, for the purpose of

constructing approximately 1,000 feet of rail line in Building #7 and on the

five-acre parcel. The installation will be in accordance with plans approved in

writing by the Lessor prior to the commencement of the work, approval not to be

unreasonably withheld or delayed. The rail line, as thus installed, will be left

in place on termination of this Lease.

 

          13.2.3 Additional Cranes. Lessee may install additional cranes in the

two, 39-foot span wing bays. Lessee will provide all steel supports, duct bar

and the cranes themselves. All such installation will be in accordance with

plans approved by the Lessor prior to the commencement of the work, approval not

to be unreasonably withheld or delayed. Lessee may, and will, if so requested,

in the same manner as provided in paragraph 13.2. 1, remove all such

installations and restore the Premises to its prior condition.

 

          13.2.4 Hot Oil Heat Exchangers. Lessee may install a Hot Oil

Exchanger(s) inside the building, subject to all state, local and environmental

inspections and approvals, and approval of plans by Lessor prior to the

commencement of the work, approval not to be unreasonably withheld. Lessee may,

and will, if so requested, in the same manner as provided in paragraph 13.2. 1,

remove all such installations and restore the Premises to its prior condition.

 

          13.2.5 Exterior 33-Ton Crane. Lessee may install a 33-ton overhead

bridge crane with supporting steel structure at the east end of Building #7

utilizing the existing concrete pillars. Lessee may, and will, if so requested

by Lessor, in the same manner as provided in paragraph 13.2.1, remove the same

and the concrete pillars, at the termination of this Lease.

 

14. Repairs or Services by Lessor.

 

     14.1 Building Repair. Lessor shall, throughout the terms of this Lease and

any exercised renewal term, keep in good order, condition, and repair the

foundation, exterior walls (except the interior faces thereof), sprinkler

system, if any, down spouts, gutters, and roof of the Premises, except for

repairs necessitated or caused by any act or negligence of Lessee, its

employees, agents, invitees, licensees or contractors. Lessee shall be liable

for repairs necessitated by such negligence only to the extent of the deductible

amount under any policy of property damage insurance maintained by Lessor, not

to exceed the sum of $25,000, provided, however, that there shall be no

obligation to make such repairs as are the obligation of the Lessor, until after

the expiration of five days' written notice from Lessee to Lessor of the need

thereof.

 

     14.2 Services. At any time during the Lease or any exercised option term,

should Lessee request any special services from Lessor not otherwise provided

for in this agreement, and if the services are of such a nature that the Lessor

can reasonably provide them, Lessor will use its best efforts to provide said

special services. Lessee shall be obligated to reimburse Lessor for all

reasonable costs incurred in providing said services. Reasonable costs shall

include but not be limited to such things as attorney fees, engineering

<PAGE>

services, and other professional fees, salary and benefits for employees of the

Lessor and third parties employed by Lessor to provide such special services.

The term "special services" includes, but is not limited to, such things as

negotiations with financial institutions servicing Lessee, execution of Consent

and Waiver Agreements, and emergency response assistance by employees or

independent contractors employed by Lessor who assist Lessee in preventing or

reducing damage to the Premises for which Lessee is responsible.

 

15. Repairs by Lessee. Except as otherwise provided, Lessee shall keep and

maintain said Premises in a neat, clean and sanitary condition and in as good

condition as at the inception of this Lease or as they may be in at any time

during the continuance of this Lease, including without limitation all HVAC

systems and equipment, all electrical wiring and fixtures, all cranes, all

plumbing and sewage facilities and all windows, overhead doors and man doors,

docks and appurtenances, within or attached to Building #7 or on the Premises.

Lessee's duty to repair shall include replacement of parts or components of the

Premises, or fixtures in the Premises that cannot be repaired. In the event

Lessee fails to promptly undertake and reasonably complete repairs required

under this paragraph, Lessor may, at its option, make the repairs at the expense

of Lessee and the cost of the repairs shall be additional rent and shall be

immediately due and payable.

 

16. Surrender on Termination. At the expiration of this Lease or its earlier

termination, Lessee shall, without notice, turn in all keys and access cards, or

similar devices, and re-deliver possession of said Premises to Lessor broom

clean and in as good condition as they were in at any time during the Lease

term, including any exercised option, ordinary wear and tear and damage by

insured peril or uninsured casualty not the fault of the Lessee, excepted.

 

17. Mechanic's Liens. Lessee agrees to pay when due all sums that may become due

for any labor, services, materials, supplies, or equipment furnished at the

instance of the Lessee, in, upon or about the Premises and which may be secured

by any mechanic's, materialman's or other lien against the Premises and/or

Lessor's interest therein, and will cause each such lien to be fully discharged

and released at the time of any obligation secured by any such lien matures

and/or becomes due; provided that if the Lessee in good faith disputes the claim

of lien the Lessee may pursue such dispute in any lawful manner, provided that

it bonds against such lien to the Lessor's reasonable satisfaction.

 

18. Signs, Lights and Sounds. Lessee shall not erect or install any exterior

signs or symbols without Lessor's prior written consent. Lessee shall not use

any advertising media or other media, such as loudspeakers, phonographs or radio

broadcasts, that may be deemed objectionable to Lessor or other tenants of the

Park, or that can be heard outside the Park. Lessee shall not install any

exterior lighting, shades or awnings or any exterior decorations or paintings,

or build any fences or make any changes to the exterior portions of the Premises

without Lessor's consent. Any signs or symbols so placed on the Premises shall

be removed by the Lessee at the termination of this Lease and the Lessee shall

repair any related damage or injury to the Premises. If not so removed by

Lessee, the Lessor may have the same removed and repairs performed at Lessee's

expense.

 

19. Displays of Merchandise. Lessee shall not keep or display any merchandise

on, or otherwise obstruct, any street, loading platforms or areaways adjacent to

the Premises, except that Lessee may store products, materials or merchandise in

a neat and orderly manner in the area between the south wall of

<PAGE>

Building #7 and the rail line immediately south of Building #7. Lessee shall not

otherwise store products, materials or merchandise in any areas outside of the

Premises, provided that Lessee may, with Lessor's prior approval, such approval

not to be unreasonably withheld or delayed, display its products at the primary

entrance to Building #7, but not in such a way as to obstruct any street,

platform or common areas.

 

20. Streets, Parking Areas and Rules. Lessor shall keep the streets 20 feet on

each side of the center lines and areas used in common by the tenants of the

Park, as designated by Lessor from time to time, in reasonable repair and

condition, including such snow removal as Lessor may reasonably deem necessary

for normal access to the Premises. Lessor reserves the right to promulgate such

reasonable rules and regulations relating to the use of the streets and parking

areas within the Park as it may deem appropriate and for the best interests of

all tenants and Lessee agrees to abide by such rules and to cooperate in the

observance thereof. Such rules and regulations shall be binding upon Lessee upon

delivery of a copy thereof to Lessee. Such rules and regulations may be amended

by Lessor from time to time with or without advance notice and all such

amendments shall be effective upon the delivery of a copy thereof to Lessee,

provided that such rules and regulations shall not be amended in such a way as

to impose an unreasonable financial burden on Lessee. Lessee shall not obstruct

any portion of the common areas. Any violation of such rules and regulations by

Lessee, its officers, agents, employees or invitees will constitute a breach of

this Lease and entitle the Lessor to claim a default in the same manner and to

the same extent as any other default under the Lease. Lessee shall comply with

all rules and regulations of the applicable fire district or other governmental

entities having jurisdiction over the Premises.

 

21. Access. Lessor shall have free access to the Premises at all reasonable

times for purposes of inspecting of the same or of making repairs, additions or

alterations to said Premises but this right shall not constitute or be construed

as an agreement on the part of Lessor to make any repairs, additions or

alterations, except such as Lessor is obligated to make. Lessor shall have the

right to place and maintain "For Rent" signs in a conspicuous place or places on

the Premises and to show the Premises to prospective tenants for 90 days prior

to the expiration or sooner termination of this Lease.

 

22. Utilities. Lessee shall pay all charges for light, heat, water, gas, sewage,

telephone and aquifer protection and other utilities which shall be provided to,

or charged against, the Premises. In the event that electricity, heat, water,

telephone or other utilities are furnished through Lessor, Lessee shall pay

Lessor therefore according to Lessee's use thereof at the rates established

therefore by Lessor, said rates to be no higher, however, than those which

Lessee would be required to pay a third-party provider an available public

utility company if it directly furnished such service to Lessee.

 

23. All Charges Deemed Rent. All costs, expenses, and other charges which the

Lessee assumes or agrees to pay pursuant


 
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