**Exhibit 10.22**

 

LEASEMODIFICATION

 

PARTIES:

 
| LANDLORD: |   | David E. Cookson                        |
|-----------|--------|-----------------------------------------|
|      |   |                                    |
| TENANT:   |   | Advanced Power Technology,  Inc.        |
|      |   |                                    |
| PROPERTY: |   | 405 S. W. Columbia, Bend,  Oregon 97702 |

 

The parties agree to modifythat certain lease dated August 27, 1985 and modified September 15, 1995,September 15, 1999, July 1,2001 and amended July 14,1998 as follows:

 
| Basic Rent:  |   | September 15, 2003 through  September 14, 2004                                                |   | $16,410.00 per month |
|--------------|--------|-----------------------------------------------------------------------------------------------|--------|----------------------|
|         |   | September 15, 2004 through  September 14, 2005                                                |   | $17,066.00 per month |
|         |   | September 15, 2005 through  September 14, 2006                                                |   | $17,749.00 per month |
|         |   | September 15, 2006 through  September 14, 2007                                                |   | $18,459.00 per month |
|         |   | September 15, 2007 through  September 14, 2008                                                |   | $19,197.00 per month |
|         |   |                                                                                          |
| Lease Term:  |   | The term of the lease  shall be from September 15, 2003 through September 14, 2008.           |
|         |   |                                                                                          |
| CAM Charges: |   | The CAM charges will  continue to be assessed as per the original lease dated March 21, 1985. |

 

Option to Renew:                                                  In consideration of the mutual covenants ofthe Lease, and if Tenant is not in default,

Tenant shall have the optionto renew the Lease of the property located at 405 S. W. Columbia Street, Bend,Deschutes County, Oregon, for one five (5) year period. The renewed Lease shallbe on the same terms as the original Lease, except for rental amount, whichshall be negotiated at the time Tenant exercises its option. Tenant shallnotify Landlord in writing of its intention to renew not more than nine (9) andnot less than six (6) months prior to the end of the original Lease term.Failure to so notify Landlord shall result in forfeiture of the option torenew.

 

DISCLOSURE: Tenantacknowledges that Compass Commercial Real Estate Services, agent for owners, islicensed by the State of Oregon, as a real estate broker. Said agent is notrepresenting Tenant in any manner.

 

DISCLAIMER: This leasemodification has been prepared and approved upon the instruction of theLandlord. Compass Commercial Real Estate Services claims no responsibility forthe legal consequences of the above lease modification and has only acted asthe scribner to fill in the blanks as directed by the parties.

 

This modification iseffective September 15, 2003. All other provisions of the original lease shallremain in full force and effect.

 
| LANDLORD:        | TENANT:                          |
|------------------|----------------------------------|
| DAVID E. COOKSON | ADVANCED POWER TECHNOLOGY,  INC. |
|             |                             |
|             |                             |
| BY:              |                             |   | BY: |   |   |
|             |                             |   |   |   |   |
|             |                             |
| Dated:           |                             |   | Dated: |   |   |
|                  |                                  |  |  |  |  |  |  |

 

----

 

PARTIES:

 

LANDLORD:                         David E. Cookson, Trustee of Cookson FamilyTrust, and Margot K. Cookson, Trustee of Cookson Family Trust

 

TENANT:                                          Advanced Power Technology, Inc.

 

PROPERTY:                               405 S.W. Columbia, Bend, Oregon 97702

 

The parties agree to modifythat certain lease dated August 27, 1985 and modified September 15, 1995 andSeptember 15, 1999 as follows:

 

Terms:                                                           Tenant is authorized to complete anapproximately 526sf addition to the existing building at Tenants expense withLandlord approval as per the attached plan. All work to be completed incompliance with existing building codes, permits and requirements, by alicensed contractor. This addition brings the total square footage of theleased space to approximately 18,776sf. In recognition of the efforts andexpense of the tenant the rental amount will remain at its current rate asstated in the lease and lease modifications mentioned above. All other termsand conditions of the existing lease shall remain in effect.

Tenant agrees to provide an “asbuilt” plan to Landlord at completion of improvement.

 

Disclosure:                                 Tenant acknowledges that Compass CommercialReal Estate Services, agent for owner, is licensed by the State of Oregon as areal estate broker. Said agent is not representing Tenant in any manner.

 

Disclaimer:                                     This lease modification has been prepared andapproved upon the instruction of the Landlord. Compass Commercial Real EstateServices claims no responsibility for the legal consequences of the above leasemodification and has only acted as the scribner to fill in the blanks asdirected by the parties.

 

This modification iseffective July 1, 2001. All other provisions of the original lease shall remainin full force and effect.

 

LANDLORD:                        David E. Cookson, Trustee of Cookson FamilyTrust, and Margot K. Cookson, Trustee of Cookson Family Trust

 
| BY:                                                                                                                                          |                             |   | Dated: |   |   |
|----------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------|--------|--------|--------|--------|
|                    David  E. Cookson, Trustee |                             |
|                                                                                                                                         |                             |
|                                                                                                                                         |                             |
| TENANT:                                                                                                                                      | Advanced Power Technology,  Inc. |   |
|                                                                                                                                         |                             |   |
|                                                                                                                                         |                             |   |
| BY:                                                                                                                                          |                             |   | Dated: |   |   |
|                                                                                                                                              |                                  |        |        |        |        |  |  |

 

 

----

 

**LEASEADDENDUM**

 
| **DATE:**     |   | July 8, 1998                     |   |                   |
|---------------|--------|----------------------------------|--------|------------------------|
|          |   |                             |   |                   |
| **PARTIES:**  |   | David E. Cookson                 |   | (“Landlord”) |
|          |   | 664 WoodStock Road               |   |                   |
|          |   | Hillsborough, CA 94010           |   |                   |
|          |   |                             |   |                   |
|          |   | Advanced Power Technology,  Inc. |   | (“Tenant”)   |
|          |   | 405 SW Columbia Street           |   |                   |
|          |   | Bend, OR 97702-1000              |   |                   |
|          |   |                             |   |                   |
| **PREMISES:** |   | 405 SW Columbia Street           |   |                   |
|          |   | Bend, OR 97702-1000              |   |                   |

 

**LEASE AMENDED:**

That Commercial Leasebetween Landlord and Tenant dated March 21, 1985 (the “Lease”).

 

**RECITALS:**

 

**A.**                                 Tenant is in possession of the Premises underthe terms of the Lease.

 

**B.**                                 Tenant wishes to extend fiber optic cablesfrom its offices at 296 SW Columbia Street, Bend, Oregon, and fiber optic andcopper cable from its offices at 397 SW Columbia Street, Bend, Oregon to thePremises. Landlord has agreed to such installation.

 

**C.**                                 The parties wish to amend the Lease toprovide for the installation of cable and the restoration and maintenance ofareas though which cable will be installed.

 

It is, therefore, agreedthat the Lease be amended to include the following terms:

 

**AGREEMENT:**

**1.**                                   **Permission to Installconduits and cables.**  Landlord grants to Tenant the right to installand maintain underground conduits containing fiber optic and copper cables onand under the property of Landlord on which the premises are located. Installationshall be at the location identified on Exhibit A attached hereto andincorporated herein by reference.

 

**2.**                                      **Tenant’s Obligations.** Tenant shall have the following obligationswith regard to the cable:

 

**2.1** Restoration of the surface of the ground,including asphalt and concrete surfaces, immediately following undergroundinstallation.

 

**2.2** Installation in a prompt and workmanlikemanner, including appropriate signange during excavation.

 

**3.**                                      **Landlord’s Obligations.** Landlord shall have no responsibilty formaintenance and/or repair of the cable.

 

**4.**                                      **Lease Preserved.** Upon execution, this Addendum shall beattached to and become a part of the Lease. Except as specifically set forthherein, the terms of the Lease remain unmodified and fully enforceable.

 
| **Landlord:**    | ** **                                  | **Tenant:**                      |
|------------------|---------------------------------------------|----------------------------------|
|             |                                        |                             |
|             |                                        | Advanced  Power Technology, Inc. |
|             |                                        |                             |
|             |                                        |                             |
| David E. Cookson | Greg Haugen                                 |
|             | Vice-President, Finance  and Administration |

 

----