EXHIBIT 10.1
SECOND LEASE AMENDMENT
CWP/JLC/kt
02/20/09
SECOND LEASE
AMENDMENT
THIS SECOND LEASE AMENDMENT (the
“Amendment”) is executed this 23rd day of
February , 2009, by and between DUKE REALTY OHIO, an Indiana
general partnership (“Landlord”), and PINNACLE DATA
SYSTEMS, INC., an Ohio corporation
(“Tenant”).
W I T N E S
S E T H :
WHEREAS, Duke Realty Limited
Partnership, as predecessor in interest to Duke-Weeks Realty
Limited Partnership, as predecessor in interest to Landlord, and
Tenant entered into a certain lease dated March 9, 1999, as
amended by an instrument dated January 5, 2000 (collectively,
the “Lease”), whereby Tenant leases from Landlord
certain premises consisting of approximately 113,202 rentable
square feet of space (the “Leased Premises”) located in
an office/warehouse building commonly known as 6600 Port Road,
Groveport, Ohio 43125 (the “Building”); and
WHEREAS, Landlord and Tenant desire
to extend the Lease Term for a period of thirty-nine
(39) months; and
WHEREAS, Landlord and Tenant desire
to amend certain provisions of the Lease to reflect such extension
and any other changes to the Lease;
NOW, THEREFORE, in consideration of
the foregoing premises, the mutual covenants herein contained and
each act performed hereunder by the parties, Landlord and Tenant
hereby enter into this Amendment.
1. Incorporation of Recitals
. The above recitals are hereby incorporated into this Amendment as
if fully set forth herein.
2. Extension of Term . The
Lease Term is hereby extended through July 31,
2012.
3. Amendment of
Section 1.01 . Basic Lease Provisions and
Definitions . Commencing May 1, 2009,
Section 1.01 , Subsections D, E, F, J and L of the
Lease are hereby deleted in their entirety and the following is
substituted in lieu thereof:
|
|
|
|
|
|
May 1,
2009 – May 31, 2009
|
|
$ 0.00 (1
month)*
|
|
|
|
June 1,
2009 – May 31, 2010
|
|
$339,606.00 per
year
|
|
|
|
June 1,
2010 – June 30, 2010
|
|
$ 0.00 (1
month)*
|
|
|
|
July 1,
2010 – June 30, 2011
|
|
$396,207.00 per
year
|
|
|
|
July 1,
2011 – July 31, 2011
|
|
$ 0.00 (1
month)*
|
|
|
|
August 1,
2011 – July 31, 2012
|
|
$452,808.00 per
year.
|
|
|
|
|
E.
|
Monthly Rental
Installments:
|
|
|
|
|
|
|
May 1,
2009 – May 31, 2009
|
|
$ 0.00 per
month
|
|
|
|
June 1,
2009 – May 31, 2010
|
|
$ 28,300.50 per
month
|
|
|
|
June 1,
2010 – June 30, 2010
|
|
$ 0.00 per
month
|
|
|
|
July 1,
2010 – June 30, 2011
|
|
$ 33,017.25 per
month
|
|
|
|
July 1,
2011 – July 31, 2011
|
|
$ 0.00 per
month
|
|
|
|
August 1,
2011 – July 31, 2012
|
|
$ 37,734.00 per
month.
|
|
|
|
*
|
During such
period of free rent, Tenant shall continue to be responsible for
Additional Rent and Common Area Charges pursuant to
Section 3.02 of the Lease.
|
|
|
F.
|
Lease Term:
extended through July 31, 2012.
|
|
|
J.
|
Broker: CB
Richard Ellis, Inc. representing Tenant.
|
|
|
L.
|
Addresses for
payments and notices:
|
|
|
|
|
Landlord:
|
|
Duke Realty
Ohio
|
|
|
Attn.: Columbus Market,
Vice President,
|
|
|
Asset
Management and Customer Service
|
|
|
5600 Blazer
Parkway, Suite 100
|
|
|
Dublin, OH
43017
|
|
|
|
With Rental
|
|
|
|
Payments to:
|
|
Duke Realty
Ohio
|
|
|
75 Remittance
Drive, Suite 3205
|
|
|
Chicago, IL
60675-3205
|
|
|
|
Tenant:
|
|
Pinnacle Data
Systems, Inc.
|
|
|
6600 Port
Road
|
|
|
Groveport, OH
43125.”
|
4. Amendment of Article 2 .
Construction of Tenant Improvements for Additional Space .
The second paragraph of language added to Article 2 of the
Lease by paragraph 3 of the First Lease Amendment is hereby deleted
in its entirety and shall be of no further force or
effect.
5. Amendment of
Section 7.02 . Landlord’s Responsibility .
Commencing May 1, 2009, the following is hereby added to
Section 7.02 of the Lease:
“Preventative maintenance of
the HVAC units serving the Leased Premises shall continue to be
Tenant’s responsibility in accordance with
Section 7.01 of the Lease. Provided, however, that so
long as such HVAC units are routinely maintained by Tenant in
accordance with industry guidelines, in Landlord’s judgment,
Landlord (at its sole cost and expense) shall be responsible for
the replacement of any such unit as necessary in Landlord’s
sole discretion. Additionally, in the event Landlord elects to
perform an overlay of the Building’s parking lot, such work
shall be at Landlord’s sole cost and expense. Any repair and
maintenance of the Building’s parking lot shall be included
in Operating Expenses in accordance with the
Lease.”
-2-
6. Amendment of
Section 9.02 . Tenant’s Insurance .
Commencing on May 1, 2009, Section 9.02 of the
Lease is hereby amended as follows:
(a) The following is hereby added as
subsection E.:
“E. Automobile
Insurance . Comprehensive Automobile Liability Insurance
insuring bodily injury and property damage arising from all owned,
non-owned and hired vehicles, if any, with minimum limits of
liability of $1,000,000 per accident.”
(b) Subsection D. is hereby amended
by adding the following:
“With limits of not less than
an amount equal to two (2) years rent
hereunder.”
7. Deletion of
Section 16.12 . Right of First Offer .
Section 16.12 of the Lease is hereby deleted in its
entirety and shall be of no further force or effect.
8. Amendment of
Section 16.13 . Option to Extend .
Section 16.13 of the Lease is hereby deleted in its
entirety and the following shall be substituted in lieu
thereof:
“ Section 16.13 .
Option to Extend .
(a) Grant and Exercise of
Option . Provided that (i) Tenant has not been in Default
at any time during the Lease Term, (ii) the
creditworth
