Exhibit 10.02

 

SECOND AMENDMENT

 

(Storage Space Supplement)

 

THIS SECOND AMENDMENT (“Amendment”) is made as of this 14 day of March, 2003, by
and between WA-SUNSET NORTH BELLEVUE, L.L.C., a Washington limited liability
company (“Landlord”) and EXPEDIA, INC., a Washington corporation (“Tenant”).

 

RECITALS:

 

A.   Landlord (formerly known as EOP-Sunset North Bellevue, L.L.C., a Washington
limited liability company) and Tenant are parties to that certain lease dated
September 12, 2002 (the “Original Lease”), which Original Lease has been
previously amended by an instrument dated October 28, 2002 (the Original Lease,
as so amended, being referred to herein as the “Lease”). Pursuant to the Lease,
Landlord has leased to Tenant space currently containing (subject to expansion
pursuant to the terms of the Lease) approximately 25,803 rentable square feet
(the “Premises”) described as Suite 100 on the 1st floor of the building
commonly known as Sunset North Building 4 located at 3150 139th Avenue SE,
Bellevue, Washington (the “Building”).

 

B.   Landlord and Tenant desire to enter into this Amendment for the purpose of
adding storage space to the Lease and otherwise supplementing the Lease as
hereinafter set forth.

 

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency
whereof being acknowledged, Landlord and Tenant agree as follows:

 

I.   Addition of Storage Space.

 

  A.   Landlord leases to Tenant and Tenant accepts the space containing
approximately 863 square feet described as Suite No. 4B204 on the B floor(s) of
the Building, as shown on Exhibit A attached hereto (the “Storage Space”), for
the term (the “Storage Term”) commencing on the later to occur of (1) February
1, 2003 (“Target Storage Commencement Date”), and (2) the date upon which the
Landlord Work (as defined in the Work Letter attached as Exhibit B hereto) in
the Storage Space has been substantially completed, and ending September 30,
2009 (“Storage Expiration Date”), unless the Lease or Tenant’s right to
possession of the Premises thereunder terminates sooner, in which case the
Storage Expiration Date shall be such earlier termination date. The Landlord
Work in the Storage Space shall be deemed to be substantially completed on the
date that Landlord reasonably determines that all Landlord Work has been
performed, other than any details of construction, mechanical adjustment or any
other matter, the noncompletion of which does not materially interfere with
Tenant’s use of the Storage Space and such substantial completion date shall be
deemed the “Storage Commencement Date”.

 

  B.   The Storage Space shall be used by Tenant for the storage of equipment,
inventory or other non-perishable items normally used in Tenant’s business, and
for no other purpose whatsoever. Tenant agrees to keep the Storage Space in a
neat and orderly fashion and to keep all stored items in cartons, file cabinets
or other suitable containers. Landlord shall have the right to designate the
location within the Storage Space of any items to be placed therein. All items
stored in the Storage Space shall be elevated at least 6 inches above the floor
on wooden pallets, and shall be at least 18 inches below the bottom of all
sprinklers located in the ceiling of the Storage Space, if any. Tenant shall not
store anything in the Storage Space which is unsafe or which otherwise may
create a hazardous condition, or which may increase Landlord’s insurance rates,
or cause a cancellation or modification of Landlord’s insurance coverage.
Without limitation, Tenant shall not store any flammable, combustible or
explosive fluid, chemical or substance nor any perishable food or beverage
products, except with Landlord’s prior written approval. Landlord reserves the
right to adopt and enforce reasonable rules and regulations governing the use of
the Storage Space from time to time. Upon expiration or earlier termination of
Tenant’s rights to the Storage Space, Tenant shall completely vacate and
surrender the Storage Space to Landlord in

 

1

--------------------------------------------------------------------------------

 

the condition in which it was delivered to Tenant, ordinary wear and tear
excepted, broom-clean and empty of all personalty and other items placed therein
by or on behalf of Tenant.

 

  C.   For the period beginning on the Storage Commencement Date through the
Storage Expiration Date (unless sooner terminated pursuant to Section I.A
above), Tenant shall pay rent for the Storage Space (“Storage Base Rent”) as
follows:

 

Annual Rate

Per Square Foot

--------------------------------------------------------------------------------

 

Annual Storage

Base Rent

--------------------------------------------------------------------------------

 

Monthly Storage

Base Rent

--------------------------------------------------------------------------------

$10.00

 

$8,630.04

 

$719.17

 

All Storage Base Rent shall be payable in the same manner that Base Rent is
payable under the Lease.

 

  D.   All terms and provisions of the Lease shall be applicable to the Storage
Space, including, without limitation, Article XIV (Indemnity and Waiver of
Claims) and Article XV (Insurance), except that Landlord need not supply
air-cooling, heat, water, janitorial service, cleaning, passenger or freight
elevator service, or window washing to the Storage Space and Tenant shall not be
entitled to any work allowances, rent credits, expansion rights or renewal
rights with respect to the Storage Space unless such concessions or rights are
specifically provided for herein with respect to the Storage Space. Landlord
shall not be liable for any theft or damage to any items or materials stored in
the Storage Space, it being understood that Tenant is using the Storage Space at
its own risk. Any default by Tenant under this Storage Space provision remaining
uncured for a period extending beyond the expiration of any applicable cure
period described in the “default” section of the Lease shall be a default under
the Lease, it being agreed that the provisions of the Lease with respect to
Tenant defaults shall apply to any default by Tenant hereunder. The Storage
Space shall not be included in the determination of Tenant’s Pro Rata Share
under the Lease nor shall Tenant be required to pay Expenses in connection with
the Storage Space.

 

  E.   Tenant agrees to accept the Storage Space in its condition and “as-built”
configuration existing on the earlier of the date Tenant takes possession of the
Storage Space or the Storage Commencement Date.

 

  F.   At any time and from time to time, Landlord shall have the right to
relocate the Storage Space to a new location which shall be no smaller than the
square footage of the Storage Space. Landlord shall pay the direct,
out-of-pocket, reasonable expenses of such relocation.

 

  G.   Storage Base Rent is deemed Rent under the Lease.

 

  H.   Tenant shall not assign, sublease, transfer or encumber the Storage Space
or grant any license, concession or other right of occupancy or permit the use
of the Storage Space by any party other than Tenant, except in connection with
an assignment or sublease in accordance with the terms of Article XII of the
Lease.

 

II.   Miscellaneous.

 

  A.   This Amendment sets forth the entire agreement between the parties with
respect to the matters set forth herein. There have been no additional oral or
written representations or agreements. Under no circumstances shall Tenant be
entitled, with respect to the Storage Space, to any Rent abatement, improvement
allowance, leasehold improvements, or other work to the Premises, or any similar
economic incentives that may have been provided Tenant in connection with
entering into the Lease, unless specifically set forth in this Amendment.

 

  B.   Except as herein modified or amended, the provisions, conditions and
terms of the Lease shall remain unchanged and in full force and effect.

 

  C.   In the case of any inconsistency between the provisions of the Lease and
this Amendment, the provisions of this Amendment shall govern and control.

 

  D.   Submission of this Amendment by Landlord is not an offer to enter into
this

 

2

--------------------------------------------------------------------------------

 

Amendment but rather is a solicitation for such an offer by Tenant. Landlord
shall not be bound by this Amendment until Landlord has executed and delivered
the same to Tenant.

 

  E.   The capitalized terms used in this Amendment shall have the same
definitions as set forth in the Lease to the extent that such capitalized terms
are defined therein and not redefined in this Amendment.

 

  F.   Tenant hereby represents to Landlord that Tenant has dealt with no broker
in connection with this Amendment. Tenant agrees to indemnify and hold Landlord,
its members, principals, beneficiaries, partners, officers, directors,
employees, mortgagee(s) and agents, and the respective principals and members of
any such agents (collectively, the “Landlord Related Parties”) harmless from all
claims of any brokers claiming to have represented Tenant in connection with
this Amendment. Landlord hereby represents to Tenant that Landlord has dealt
with no broker in connection with this Amendment. Landlord agrees to indemnify
and hold Tenant, its members, principals, beneficiaries, partners, officers,
directors, employees, and agents, and the respective principals and members of
any such agents (collectively, the “Tenant Related Parties”) harmless from all
claims of any brokers claiming to have represented Landlord in connection with
this Amendment.

 

  G.   Each signatory of this Amendment represents hereby that he or she has the
authority to execute and deliver the same on behalf of the party hereto for
which such signatory is acting.

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the
date first above written.

 

LANDLORD:

 

WA-SUNSET NORTH BELLEVUE, L.L.C.,

a Washington limited liability company

By:

 

Equity Office Management, L.L.C., a Delaware

limited liability company, its non-member

manager

   

By:

 

/s/    SUSAN J. MURPHY        

--------------------------------------------------------------------------------

       

Susan J. Murphy

Vice President, Leasing – Seattle Region

 

TENANT:

 

EXPEDIA, INC., a Washington corporation

By:

 

/s/    MARK NAGLE        

--------------------------------------------------------------------------------

Name:

Title:

 

Mark Nagle

Director of Real Estate and General Services

 

3

--------------------------------------------------------------------------------

 

THIS PAGE IS REQUIRED IF PROPERTY IS IN DELAWARE,

MICHIGAN, OHIO, UTAH OR WASHINGTON STATE

 

LANDLORD ACKNOWLEDGMENTS

 

STATE OF Washington         )

COUNTY OF King                ) ss:

 

I, the undersigned, a Notary Public, in and for the County and State aforesaid,
do hereby certify that Susan J. Murphy, personally known to me to be the Vice
President of Equity Office Management, L.L.C., a Delaware limited liability
company, and personally known to me to be the same person whose name is
subscribed to the foregoing instrument, appeared before me this day in person
and acknowledged that as such officer of said entity being authorized so to do,
(s)he executed the foregoing instrument on behalf of said entity, by subscribing
the name of such entity by himself/herself as such officer, as a free and
voluntary act, and as the free and voluntary act and deed of said entity, for
the uses and purposes therein set forth.

 

GIVEN under my hand and official seal this 14 day of March, 2003.

 

/s/    TANYA M. HOPKINS      

--------------------------------------------------------------------------------

Notary Public

 

TANYA M. HOPKINS

--------------------------------------------------------------------------------

Printed Name

 

 

My Commission Expires: 9/19/04

 

TENANT ACKNOWLEDGMENTS

 

STATE OF Washington         )

COUNTY OF King                ) ss:

 

On this the 7th day of March, 2003, before me a Notary Public duly authorized in
and for the said County in the State aforesaid to take acknowledgments
personally appeared Mark Nagle known to me to be Lender Services Dir. President
of Expedia, Inc., a Washington corporation, one of the parties described in the
foregoing instrument, and acknowledged that as such officer, being authorized so
to do, (s)he executed the foregoing instrument on behalf of said corporation by
subscribing the name of such corporation by himself/herself as such officer and
caused the corporate seal of said corporation to be affixed thereto, as a free
and voluntary act, and as the free and voluntary act of said corporation, for
the uses and purposes therein set forth.

 

IN WITNESS WHEREOF, I hereunto set my hand and official seal.

 

/s/    ELLEN S. AUSMUS

--------------------------------------------------------------------------------

Notary Public

 

ELLEN S. AUSMUS

--------------------------------------------------------------------------------

Printed Name

 

My Commission Expires: 11/10/04

 

4