COVERING PROPERTY IN THE
COMMUNITY IN WHICH THE LEASED PREMISES ARE SITUATED (INCLUDING EARTHQUAKE
COVERAGE) IN AN AMOUNT EQUAL TO 100% OF THE FULL REPLACEMENT VALUE OF SAID
BUILDINGS, IMPROVEMENTS, BUILDING EQUIPMENT AND PERSONAL PROPERTY (BUT IN NO
EVENT LESS THAN (1) $2,000,000 FOR BUILDINGS AND IMPROVEMENTS, AND
(2) $2,000,000 FOR EQUIPMENT AND PERSONAL PROPERTY) WITH AN INFLATION GUARD
ENDORSEMENT, OR THE AMOUNT REQUIRED UNDER ANY MORTGAGE TO WHICH THIS LEASE IS
SUBJECT, WHICHEVER IS GREATER.
NOTWITHSTANDING THE ABOVE, TENANT MAY
SELF-INSURE FOR EARTHQUAKE INSURANCE COVERAGE SPECIFIED ABOVE.
IF TENANT SELF
INSURES AS DESCRIBED HEREIN, THEN, FOR PURPOSES OF ARTICLE 10 BELOW, ANY LOSS OF
DAMAGE TO ANY BUILDINGS AND IMPROVEMENTS AND BUILDING EQUIPMENT AND ALL PERSONAL
PROPERTY APPERTAINING THERETO AND TENANT TRADE FIXTURES, OR ANY ADDITIONS OR
IMPROVEMENTS THERETO OR THE CONTENTS THEREOF THAT WOULD HAVE BEEN COVERED BY THE
EARTHQUAKE INSURANCE REQUIRED TO BE CARRIED HEREUNDER SHALL BE DEEMED COVERED BY
AND RECOVERABLE BY TENANT UNDER VALID AND COLLECTIVE POLICIES OF INSURANCE;
(II)
RENT INSURANCE IN A FACE AMOUNT NOT LESS THAN THE AMOUNT OF THE
FIXED NET RENT, IMPOSITIONS AND ADDITIONAL RENT UNDER THIS LEASE AGAINST LOSS
RESULTING FROM ANY OF THE RISKS AND HAZARDS REQUIRED TO BE COVERED BY INSURANCE
UNDER ALL OF THE OTHER PROVISIONS OF THIS SECTION;
(III)
INTENTIONALLY OMITTED;
(IV)
INSURANCE AGAINST LOSS OR DAMAGE BY EXPLOSION OF STEAM BOILER,
PRESSURE VESSELS OR SIMILAR APPARATUS WITH SUCH LIMITS AS FROM TIME TO TIME MAY
BE
10
REASONABLY REQUIRED BY LANDLORD BUT NOT LESS THAN $1,000,000 PER OCCURRENCE AND;
BOILER, MACHINERY, RENTAL INCOME COVERAGE EQUAL TO FIXED NET RENT, IMPOSITIONS,
AND ADDITIONAL RENT FOR ONE YEAR;
(V)
SUCH OTHER AND ADDITIONAL INSURANCE AND IN SUCH AMOUNTS AS AT THE
TIME CUSTOMARILY IS CARRIED WITH RESPECT TO BUILDINGS, IMPROVEMENTS AND BUILDING
EQUIPMENT AND PERSONAL PROPERTY SIMILAR IN CHARACTER, GENERAL LOCATION, USE AND
OCCUPANCY TO THE BUILDINGS, IMPROVEMENTS AND BUILDING EQUIPMENT AND PERSONAL
PROPERTY THEN ON THE LAND OF AND INCLUDED IN THE LEASED PREMISES; AND
(VI)
SUCH OTHER OR ADDITIONAL INSURANCE AND IN SUCH AMOUNTS AS MAY BE
REQUIRED UNDER ANY MORTGAGE TO WHICH THIS LEASE IS SUBJECT.
(B)
THE WORDS "FULL REPLACEMENT VALUE," AS USED IN SECTIONS 9.1(A)(I)
AND 9.1(A)(III), SHALL MEAN THE COST OF ACTUAL REPLACEMENT WITHOUT DEPRECIATION
(EXCLUDING FOUNDATIONS, FOOTINGS AND EXCAVATION COSTS BELOW THE LOWEST BASEMENT
FLOOR, AND COST OF UNDERGROUND FLUES, PIPES OR DRAINS) AND THE FULL REPLACEMENT
VALUE SHALL BE DETERMINED FROM TIME TO TIME, AT LANDLORD'S REQUEST, NOT MORE
FREQUENTLY THAN ONCE EVERY THREE YEARS, BY ONE OF THE INSURERS OR BY AN
ARCHITECT, ENGINEER, CONTRACTOR OR APPRAISER SELECTED BY TENANT, AT TENANT'S
EXPENSE, AND APPROVED BY LANDLORD.
NO OMISSION BY LANDLORD TO REQUEST SUCH
DETERMINATION SHALL RELIEVE TENANT OF ANY OF TENANT'S OBLIGATIONS UNDER THIS
SECTION.
(C)
TENANT SHALL NOT CARRY ANY SEPARATE INSURANCE OF THE SAME
CHARACTER REQUIRED UNDER THIS SECTION UNLESS LANDLORD AND THE HOLDER OF ANY
MORTGAGE SHALL BE NAMED AS AN INSURED WITH LOSS PAYABLE AS HEREIN PROVIDED.
TENANT SHALL PROMPTLY NOTIFY