Document:

Lease Agreement w/ JimJoy Holding

 

			
	Exhibit 10.19
	 	Page 1 of 36

LEASE AGREEMENT

(Candia, New Hampshire)

     THIS LEASE AGREEMENT (this “Lease”) is made this 15th day of March, 2000
(the “Effective Date”), by and between JIMJOY HOLDINGS, LLC, a New Hampshire
limited liability company (hereinafter called “Landlord”), and NATIONSRENT USA,
INC., a Delaware corporation, and/or its assigns (hereinafter called “Tenant”).

W I T N E S S E T H:

     Landlord, for and in consideration of the rentals herein promised to be
paid by Tenant and the covenants, conditions and agreements herein contained to
be kept and performed by Tenant, does hereby let and rent to Tenant, and Tenant
does hereby take and lease as Tenant of Landlord, the premises hereinafter
described for the term, at the rental and upon the terms and conditions
hereinafter set forth:

SECTION 1

PARTIES

     1.1 Landlord. Landlord warrants that it owns the Premises and has full
right and power to execute and deliver this Lease without the consent or
agreement of any other person, and that those persons executing this Lease on
behalf of Landlord have the authority and power to execute this Lease on
Landlord’s behalf and deliver this Lease to Tenant.

     1.2 Tenant. Tenant warrants that Tenant has full right and power to
execute and deliver this Lease without the consent or agreement of any other
person, and that those persons executing this Lease on behalf of Tenant have
the authority and power to execute this Lease on Tenant’s behalf and deliver
this Lease to Landlord.

SECTION 2

PREMISES

     2.1 Description. The premises herein leased (hereinafter called the
“Premises”) are legally described in Exhibit “A” attached hereto and made a
part hereof. The Premises also include the building(s) and improvements located
upon the land area described in Exhibit “A” and all rights appurtenant thereto.
The Premises are located at 17 Old Manchester Road, Candia, New Hampshire
03034.

     2.2 Quiet Enjoyment. Landlord agrees to warrant and defend Tenant in
the quiet enjoyment and possession of the Premises during the term of this
Lease so long as Tenant complies with the provisions hereof.

SECTION 3

TERM; OPTION TO EXTEND

     3.1 Lease Commencement Date. The term of this Lease (the “Term”) shall
commence as of the Effective Date (the “Lease Commencement Date”), and shall
terminate on the date which is the last day of the month preceding the tenth
(10th) anniversary date of the Lease Commencement Date unless extended by
Tenant in accordance with any extension option contained in this Lease or any
rider thereto or unless terminated at an earlier date in accordance with the
provisions of this Lease. Landlord shall give Tenant possession of the Premises
on the Lease Commencement Date.

 

 

			
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     3.2 Extension Terms. Tenant shall have the right to extend the Term of
this Lease for two (2) additional terms of five (5) years each (the “Extension
Terms” or individually an “Extension Term”) in its sole discretion upon
delivering written notice to the Landlord of its intent to exercise this option
to extend not less than ninety (90) days before the expiration date of the
initial Term or of any previously exercised Extension Term of this Lease. If
Tenant exercises any of the Extension Terms in the manner provided for in this
paragraph then the Lease shall terminate five (5) years after the initial
expiration period (as set forth in Section 3.1 above) or the end of the
previously exercised Extension Term unless a subsequent Extension Term is
exercised, and all provisions of this Lease shall be applicable to the
Extension Terms. As used herein, the reference to “Term” shall include the
Lease Term and as extended by all Extension Terms.

     3.3 Prorations. If any payments, rights or obligations hereunder
(whether relating to payment of rent, taxes, insurance, other impositions, or
to any other provision of this Lease) relate to a period in part before the
Lease Commencement Date or in part after the date of expiration or termination
of the term, appropriate adjustments and prorations shall be made.

     3.4 Surrender at End of Term. Upon the last day of the lease Term or
upon the earlier termination of this Lease pursuant to the provisions hereof
and irrespective of when and how such termination occurs, Tenant shall
surrender and deliver to Landlord the Premises, all buildings and improvements
thereon, other than Tenant’s Property, without delay, broom clean and in good
order, condition and repair, reasonable wear and tear and damage due to insured
casualty excepted, whereupon Tenant shall have no further right, title or
interest in and to said Premises, subject to the other terms of this Lease. Any
trade fixtures, business equipment, inventory, trademarked items, signs and
other removable personal property located or installed in or on the Premises
(“Tenant’s Property”) shall be removed by Tenant on or before the last day of
the lease Term or upon the earlier termination of this Lease pursuant to the
provisions hereof, and Tenant shall repair any damage occasioned by the removal
of Tenant’s Property. Landlord may remove and dispose of any of Tenant’s
Property remaining at the Premises after the expiration or termination of this
Lease at Tenant’s expense.

SECTION 4

RENT

     4.1 Rent. Commencing on the Lease Commencement Date, Tenant covenants
and agrees to pay to Landlord in lawful money of the United States of America,
during each lease year, an annual rental as shown on Exhibit “B” attached
hereto and made a part of this Lease (the “Rent”). The Rent shall be payable in
equal monthly installments as shown on Exhibit “B” in advance on or before the
first day of each and every calendar month of the Term of this Lease. The Rent
shall be paid in addition to and over and above all other payments to be made
by Tenant herein. The first lease year shall be a full year commencing on the
Lease Commencement Date and each following Lease year shall be an annual period
commencing on the anniversary date of the Lease Commencement Date. Appropriate
proration shall be made if the Lease Commencement Date is not on the first day
of a calendar month, or if the date of termination of the lease is not on the
last day of a calendar month.

     4.2 Taxes.

          (a) Tenant shall be responsible for the payment of all real property
taxes and assessments (“Real Estate Taxes”) levied against the Premises by any
governmental or quasi-governmental authority, which are due and payable during
the Term hereof, except as set forth herein. Real Estate Taxes shall include
any taxes, assessments, surcharges, or service or other fees of a nature not
presently in effect which shall hereinafter be levied on the Premises as a
result of the use, ownership or operation of the Premises or for any other
reason, whether in lieu of or in addition to any current real estate taxes and

 

 

			
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assessments. Any special assessments will be amortized over the maximum period
allowed by law or applicable tax rules, whichever is longer, and Real Estate
Taxes will include only the prorated and amortized amount, which becomes due
during the Term hereof. Real Estate Taxes shall exclude any income, excess
profits, single business, inheritance, succession, transfer, franchise, capital
or other tax assessments upon Landlord or Landlord’s interest in the Premises.

          (b) Tenant shall remit all payments for Real Estate Taxes directly to
the taxing or assessing authority unless Landlord has paid the Real Estate
Taxes to avoid interest or penalties accruing thereon, in which event the Real
Estate Taxes shall be immediately due and payable to Landlord. Upon receipt of
all tax bills and assessment bills attributed to any calendar year during the
Term hereof, Landlord shall furnish Tenant with a copy of the tax bill or
assessment bill upon receipt so as to allow Tenant to take advantage of the
maximum payment discount available, if Tenant so desires. Tenant shall provide
to Landlord written proof of payment of Real Estate Taxes at the time such
payments are made.

          (c) Tenant will have the right to contest, at its sole expense, the
amount or validity, in whole or in part, of any tax that Tenant is required to
pay, in whole or in part, by appropriate proceedings diligently conducted in
good faith, only after paying such tax or posting such security that Landlord
reasonably requires in order to protect the
Premises against loss or forfeiture. Upon the conclusion of any such protest
proceedings, Tenant will pay its share of the tax, as finally determined, in
accordance with this Lease, the payment of which tax may have been deferred
during the prosecution of the proceedings, together with any costs, fees,
interest, penalties, or other related liabilities. Landlord will not be
required to join in any contest or proceedings unless the provisions of any law
or regulations then in effect require that the proceedings be brought by or in
the name of Landlord. In that event, Landlord will join in the proceedings or
permit them to be brought in its name; however, Landlord will not be subjected
to any liability for the payment of any costs or expenses in connection with
any contest or proceedings, and Tenant will indemnify Landlord against and save
Landlord harmless from any costs and expenses in this regard.

     4.3 Services and Utilities.

          (a) Landlord shall not be liable to Tenant for any interruption of
utility services to the Premises not caused by Landlord, its agents, employees
or contractors; provided, however (i) Landlord shall be obligated to use its
best efforts to obtain the resumption of such utility services as quickly as is
reasonably possible (unless such interruption of service was caused by the
negligence of Tenant, or anyone acting by, through or under Tenant), and (ii)
if any utility service is interrupted as a result of acts or omissions of
Landlord, its agents, employees or contractors, there shall be an abatement of
Rent on a per diem basis during the period that such interruption continues.
Tenant shall have the right, throughout the Lease Term, to install, replace,
maintain and use such additional utility lines, conduits and facilities, and
upon request by Tenant, Landlord agrees to grant to utility companies (public
or private) providing said utility lines, facilities and/or service to the
Premises, perpetual, non-exclusive rights and easements to install, replace,
relocate, repair, operate and maintain lines, pipes, wires, conduits and other
facilities (together with the right of ingress and egress and other rights
appurtenant thereto), on, under, across and within the Premises as may from
time to time be necessary or desirable to supply the Premises with adequate
utility service.

          (b) Tenant shall pay for all water, gas, heat, light, power,
telephone, trash disposal and other utilities and services supplied to the
Premises, together with any taxes thereon.

SECTION 5

USE; COMPLIANCE WITH LAWS; MAINTENANCE AND REPAIRS

 

 

			
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     5.1 Use of Premises. Tenant shall have the right to use the Premises
for any lawful purpose. Tenant shall not commit waste on the Premises and shall
not use the Premises for any unlawful or improper purpose or in violation of
any certificate of occupancy or any ordinances or for any purpose which may
constitute a nuisance, public or private, nor suffer any dangerous article to
be brought on the Premises without permits if permits are required and unless
safeguarded as required by law.

     5.2 Compliance with Laws. Tenant shall reasonably, promptly and
effectively comply with all applicable and lawful statutes, regulations, rules,
ordinances, orders and requirements of any public official or agency having
jurisdiction in respect of the Premises and Tenant’s specific use thereof
(herein referred to as governmental authorities). Landlord shall promptly give
notice to Tenant of any written notice in respect of the Premises from
governmental authorities. Tenant may, in good faith and at its sole expense,
dispute the validity of any complaint or action taken pursuant to or under
color of any of the foregoing, defend against the same, and in good faith
diligently conduct any necessary proceedings to prevent and avoid any adverse
consequence of the same. Tenant agrees that any such contest shall be
prosecuted to a final conclusion as speedily as possible, and Tenant will hold
Landlord completely harmless with respect to any actions taken by any
governmental authorities with respect thereto.

     5.3 Maintenance and Repairs by Tenant. Except as otherwise provided in
Section 5.4 below, throughout the Term of this lease Tenant shall, at Tenant’s
sole cost and expense, keep the Premises and all improvements (if any) in good
order, condition and repair and shall make or cause to be made all repairs to
correct any damage thereto including, without limitation, the maintenance,
repair and replacement of the plumbing system, the electrical system, the
utility lines and connections to the Premises, the sprinkler mains, if any, and
the heating, ventilation and air conditioning system. Notwithstanding anything
to the contrary set forth herein, in no event shall Tenant be responsible in
any way for any of the following:

          (a) Costs of repairs or other work occasioned by fire, windstorm or
other insured casualty except as provided in Section 7 of this Lease.

          (b) Costs of repairs or rebuilding necessitated by condemnation.

          (c) Any costs, fines or penalties relating to environmental
investigation or remediation on, in or under the Premises not resulting from
the acts or omissions of Tenant, its agents and contractors.

     5.4 Maintenance, Repair and Replacement by Landlord. Landlord shall be
responsible for the maintenance, repair and replacement of any structural
components including, without limitation, the roof, roof membrane, load bearing
walls and floor slabs and masonry walls and foundations. The actual cost of any
item set forth above shall be amortized over the useful life of such item
according to generally accepted accounting principles and Tenant agrees to pay
annually during the Term hereof an amount equal to the annual amortized amount
of such replacement, maintenance or repair. Such payment shall be made by
Tenant once annually after receipt of written notice thereof from Landlord.
Landlord shall do all acts required to comply with all applicable laws,
ordinances, regulations and rules of any public authority relating to the
Premises, except to the extent that the foregoing are solely a result of
Tenant’s use of the Premises.

     5.5 Access; Inspection by Landlord. Landlord and its agents shall have
the right at all reasonable times during the Term to enter the Premises for the
purpose of
inspecting same, to show the Premises to prospective purchasers and lenders, to
place “For Sale” signs thereon and, during the last one hundred eighty (180)
days of the Term, to show the Premises to prospective tenants and to place “For
Rent” signs thereon. Landlord agrees not to interfere with Tenant’s operations
at the Premises

 

 

			
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during any such inspection and any signage placed on the Premises by
Landlord shall not interfere with Tenant’s operations at the
Premises during any such inspection and any signage placed on the
Premises by Landlord shall not interfere with any of Tenant’s signage or displays.

SECTION 6

ALTERATIONS; LIENS; SIGNAGE

     6.1 Alterations. Tenant shall not make any structural alterations in
the Premises exceeding $50,000.00 without Landlord’s prior written consent, not
to be unreasonably withheld or delayed. Tenant shall have the right to make
interior, non-structural alterations, and structural alterations under
$50,000.00, without Landlord’s consent, provided such alterations are made
without cost to Landlord and provided further that (a) no such alterations
shall lessen the fair market value of the Premises, (b) all alterations,
additions or improvements shall be constructed in a workmanlike manner, and (c)
if Tenant had plans and/or drawings prepared in connection with such
alterations, a set of such plans or drawings shall be provided to Landlord
subsequent to the completion of such alterations. In addition to the foregoing,
Landlord hereby consents to the construction by Tenant of a washbay on the
Premises which construction shall be in accordance with subsections (a), (b)
and (c) of the foregoing sentence.

     6.2 Lien. All persons are put on notice of the fact that the Tenant
under no circumstances shall have the power to subject the interest of the
Landlord in the Premises to any mechanic’s or materialman’s lien or liens of
any kind. All persons who hereafter, during the life of this Lease, may furnish
work, services or materials to the Premises upon the request or order of the
Tenant or any person claiming under, by or through the Tenant, must look wholly
to the interest of the Tenant and not to that of the Landlord. Tenant covenants
and agrees with Landlord that Tenant will not permit or suffer to be filed or
claimed against the interest of the Landlord in the Premises during the
continuance of this Lease any lien or liens of any kind by any person claiming
under, by, through or against the Tenant; and if any such lien is claimed or
filed, it shall be the duty of the Tenant shall, without regard to the validity
of such lien, within sixty (60) days after the claim of lien or suit claiming a
lien has been filed, cause the Premises to be released from such claim, either
through payment or through bonding with corporate surety or through deposit
into court, pursuant to statute, of the necessary sums of money, or in any
other way that will effect the release of the Landlord’s interest in the
Premises from such claim.

     6.3 Signage. Notwithstanding anything to the contrary set forth in
this Lease, Tenant shall have the absolute right to install such signage on the
Premises as Tenant may deem necessary or appropriate, subject to appropriate
governmental approvals which Tenant shall obtain and comply with at Tenant’s
sole expense. Landlord agrees to fully
cooperate with Tenant at Tenant’s expense in filing any required signage
application, permit and/or variance for said signage or with respect to the
Premises generally.

SECTION 7

INSURANCE

     7.1 Types of Insurance. Tenant shall, at its own cost and expense,
carry the following insurance in respect of the Premises and improvements:

          (a) Comprehensive public liability insurance in an amount not less
than $1,000,000.00 combined bodily injury and property damage liability.

          (b) With respect to improvements (if any), insurance against loss or
damage by all risks including fire and other risks covered by fire insurance
with extended coverage endorsements in an

 

 

			
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amount of the full insurable
replacement value of such improvements (exclusive of cost of excavation,
foundation, and footings below the ground floor and without deduction for
depreciation) and in amounts sufficient to prevent Landlord or Tenant from
becoming a co-insurer under such policies of insurance.

     7.2 Provisions Applicable to All Insurance. With respect to all
insurance required to be maintained hereunder by Tenant:

          (a) Each such policy shall name Landlord, Tenant and any mortgagee as
insured as their interests appear and shall contain a Standard Mortgagee Clause
reasonably satisfactory to Landlord.

          (b) Tenant shall, at Tenant’s sole cost and expense, observe and
comply with all policies of insurance in force with respect to the Premises and
improvements.

          (c) Upon Landlord’s request, Tenant shall send to Landlord
certificates of insurance or receipts or other evidence satisfactory to
Landlord showing the payments of all premiums and other charges due thereon.

From and after the date of the commencement of construction of Landlord’s Work
and through the completion of construction, Landlord shall procure, at its sole
cost and expense, a builder’s risk policy upon the building and the site
improvements in an amount equal to the full replacement value of the building
and the site improvements.

     7.3 Landlord’s Right to Obtain Insurance. If Tenant shall fail to
maintain any such insurance required hereunder, Landlord may, at Landlord
election, after ten (10) days written notice to Tenant, procure the same and
make demand for immediate payment thereof, adding the premium cost to the
monthly installment of rental next due, it being hereby expressly covenanted
and agreed that payment by Landlord of any such premium shall not be deemed to
waive or release the obligation of Tenant to make payment thereof. Tenant’s
failure to either procure or maintain the insurance required
hereunder or to reimburse Landlord, after thirty (30) days written notice from
Landlord to Tenant, shall constitute a default by Tenant under this Lease.

     7.4 Use of Insurance Proceeds. Any insurance proceeds recovered by
reason of damage to or destruction of improvements on the Premises shall be
made available to Tenant and must be used to repair, restore or replace the
improvements so damaged or destroyed with any excess proceeds made available to
Tenant.

     7.5 Damage or Destruction. If the Premises are damaged or destroyed
(partially or totally) during the Term by fire or other casualty, Tenant shall
either (i) restore the Premises to substantially the same condition as existed
prior to such casualty or (ii) restore the Premises in accordance with such
plans and specifications as are then generally in use by Tenant for the
construction of its stores. Notwithstanding anything to the contrary if such
casualty occurs during the last two (2) years of the Term and the improvements
on the Premises are damaged to the extent of eighty percent (80%) or more of
their replacement value, then Tenant may terminate this Lease by giving written
notice to Landlord within sixty (60) days of the casualty and the Lease shall
terminate within thirty (30) days after Tenant’s written notice, whereupon
Landlord shall be entitled to all proceeds of insurance and right of recovery
against insurers covering such damage. If Tenant elects to rebuild or restore
the Premises, it shall proceed with reasonable speed and diligence until such
repairs or restoration are completed.

     7.6 Subrogation. Landlord and Tenant shall each obtain from their
respective insurers under all policies of fire, theft, public liability,
workers’ compensation and other insurance maintained by

 

 

			
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either of them at any
time during the Term hereof insuring or covering the Premises, a waiver of all
rights of subrogation which the insurer of the party might otherwise have, if
at all, against the other party.

SECTION 8

EMINENT DOMAIN

     If any portion of the Premises which materially affects Tenant’s ability
to continue to use the remainder thereof for the purposes set forth herein, or
which renders the Premises untenantable, is taken by right of eminent domain or
by condemnation, or is conveyed in lieu of any such taking, then this Lease may
be terminated at the option of Tenant. Such option shall be exercised by Tenant
giving notice to Landlord of such termination within thirty (30) days after
such taking or conveyance, whereupon this Lease shall forthwith terminate and
the Rent shall be duly apportioned as of the date of such taking or conveyance.
Upon such termination, Tenant shall surrender to Landlord the Premises and all
of Tenant’s interest therein under this Lease, and Landlord may re-enter and
take possession of the Premises or remove Tenant therefrom. If any portion of
the Premises is taken which does not materially affect Tenant’s right to use
the remainder of the Premises for the purposes set forth herein, this Lease
shall continue in full force and effect, and Landlord shall promptly perform
any repair or restoration work required to restore the Premises, insofar as
possible, to its former condition, and the rental owing hereunder shall be
adjusted, if necessary, in such just manner and proportion as the part
so taken (and its effect on Tenant’s ability to use the remainder of the
Premises) bears to the whole. In the event of taking or conveyance as described
herein, Landlord shall receive the award or consideration for the lands and
improvements so taken; provided, however, that Landlord shall have no interest
in any award made for Tenant’s loss of business or value of its leasehold
interest or for the taking of Tenant’s fixtures or property, or for Tenant’s
relocation expenses. Landlord and Tenant shall cooperate with one another in
making claims for condemnation awards.

SECTION 9

ASSIGNMENT AND SUBLETTING; ATTORNMENT; TENANT FINANCING

     9.1 Assignment by Landlord. At any time, Landlord may sell its
interest in the Premises or assign this Lease or Landlord’s reversion
hereunder, either absolutely or as security for a loan, without the necessity
of obtaining Tenant’s consent or permission, but any such sale or assignment
shall be at all times subject to this Lease and the rights of Tenant hereunder.

     9.2 Assignment and Subletting by Tenant. Tenant shall have the right
to assign, sublet or otherwise transfer its interest in this Lease and its
rights hereunder to any entity or person, with Landlord’s written consent,
which shall not be unreasonably withheld, conditioned or delayed. In connection
with the foregoing, the failure of Landlord to respond in writing within thirty
(30) days after Tenant’s request for Landlord’s consent shall be deemed to
constitute Landlord’s approval of the proposed assignment, subletting or
transfer. Notwithstanding the foregoing, Tenant may assign, sublet or otherwise
transfer its interest in this Lease without Landlord’s consent, written or
otherwise, to any (i) parent, subsidiary or affiliate of Tenant, or to a
corporation or other business entity with which Tenant may merge, amalgamate or
consolidate, or (ii) entity in which the Premises — is intended to be leased
back by such entity to Tenant or any parent, subsidiary or affiliate of Tenant,
or to a corporation or other business entity with which Tenant may merge,
amalgamate or consolidate. Notwithstanding any assignment of the Lease pursuant
to the preceding two (2) sentences, Tenant shall not be released from liability
hereunder so long as the Lease is not modified or amended in any respect
without the prior written approval of Tenant. Notwithstanding the foregoing, in
the event of an assignment or other transfer, if the net worth of Tenant’s
assignee or transferee (or a guarantor of such assignee or transferee) exceeds
Fifty Million and 00/100 Dollars ($50,000,000.00) (the “Minimum Net Worth”),

 

 

			
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Tenant shall be released of any and all further liability under this Lease and
if such assignee does not have the Minimum Net Worth as of the effective date
of such assignment, but such assignee or transferee (or a guarantor of such
assignee or transferee) attains the Minimum Net Worth thereafter, Tenant shall
be immediately and automatically released from any further liability under this
Lease from and after such subsequent date. Tenant shall deliver to Landlord a
copy of the document of assignment, subletting or transfer as soon as
reasonably possible after the full execution thereof by both parties thereto.
This Lease contains no provision restricting, purporting to restrict or
referring in any manner to a change in control or change in stockholders,
directors, management or organization of Tenant, or any subsidiary, affiliate
or parent of Tenant or, to the issuance, sale, purchase,
public offering, disposition or recapitalization of the capital stock of
Tenant, or any subsidiary, affiliate or parent of Tenant.

     9.3 Attornment. Any assignee of Landlord or Tenant hereby agrees to
attorn to the Tenant or Landlord, respectively, as the case may be.

     9.4 Tenant Financing. Tenant shall have the absolute right from time
to time during the Term hereof and without Landlord’s further approval, written
or otherwise, to grant and assign a mortgage or other security interest in
Tenant’s interest in this Lease and all of Tenant’s property located on or used
in connection with the Premises to Tenant’s lenders in connection with Tenant’s
financing arrangements. Landlord agrees to execute such confirmation
certificates and other documents (except amendments to this Lease unless
Landlord hereafter consents) as Tenant’s lenders may reasonably request in
connection with any such financing.

SECTION 10

DEFAULT AND REMEDIES

     10.1 Events of Default. If:

          (a) Tenant shall default in the due and punctual payment of the Rent,
insurance premiums, impositions or any other amounts or rents due under this
Lease or any part thereof, and such default shall continue for twenty (20) days
after notice thereof in writing to Tenant; or

          (b) Tenant shall default in the performance or in compliance with any
of the other covenants, agreements or conditions contained in this Lease
(including any assignment or subletting in violation of Section 9.2 of this
Lease) and such default shall not be cured within thirty (30) days after notice
thereof in writing from Landlord to Tenant or such longer period of time if the
default is not susceptible to cure within such period provided Tenant is
diligently pursuing such cure; or

          (c) Tenant shall file a petition in voluntary bankruptcy or under
Chapter VII or XI of the United States Bankruptcy Code or any similar law,
state or federal, whether now or hereafter existing, or an answer admitting
insolvency or inability to pay its debts, or fail to obtain a vacation or stay
of involuntary proceedings within ninety (90) days after the involuntary
petition is filed; or

          (d) Tenant shall be adjudicated a bankrupt, or a trustee or receiver
shall be appointed for Tenant or for all of its property or the major part
thereof in any involuntary proceedings, or any court shall have taken
jurisdiction of the property of Tenant or the majority part thereof in any
involuntary proceeding for reorganization, dissolution, liquidation or winding
up of Tenant, and such trustee or receiver shall not be discharged or such
jurisdiction relinquished or vacated or stayed on appeal or otherwise within
ninety (90) days; or

          (e) Tenant shall make an assignment for the benefit of its creditors;

 

 

			
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then and in any such event referred to in clauses (a), (b), (c), (d) or (e)
above Landlord shall have the remedies with respect to the Premises as set
forth below.

     10.2 Landlord’s Remedies Upon Default. Upon the occurrence of an Event
of Default by Tenant, then Landlord shall be entitled to the following
remedies:

          (a) Terminate this Lease by giving written notice of termination to
Tenant, in which event Tenant shall immediately surrender the Premises to
Landlord. If Tenant fails to so surrender the Premises, then Landlord may,
without prejudice to any other remedy it has for possession of the Premises or
arrearages in rent or other damages, re-enter and take possession of the
Premises without trespass and expel or remove Tenant and any other person
occupying the Premises or any part thereof, in accordance with applicable law;
or

          (b) Landlord may re-enter and take possession of the Premises without
terminating the Lease in accordance with applicable law, and relet the Premises
and apply the Rent received to the account of Tenant. In the event Landlord so
re-enters and takes possession of the Premises as set forth above, Landlord
agrees to use reasonable efforts to relet the Premises for a commercially
reasonable rate at the time of such reletting. No reletting by Landlord is
considered to be for Landlord’s own account unless Landlord has notified Tenant
in writing that this Lease has been terminated. In addition, no such reletting
is to be considered an acceptance of Tenant’s surrender of the Premises unless
Landlord so notifies Tenant in writing.

     Notwithstanding anything to the contrary set forth herein, in no event
shall Landlord have the right to accelerate Rent (unless Tenant shall be more
than ninety (90) days delinquent in the payment of Rent or such other amounts
payable, after expiration of notice and all cure periods hereunder). In no
event shall Landlord have the right to sue Tenant for any consequential,
punitive or incidental damages (including, without limitation, any claims for
lost profits and/or lost business opportunity). If Landlord does accelerate the
Rent, then the accelerated rent shall be an amount equal to the Rent payable
over the balance of the Lease Term (as if this Lease had not been terminated)
less the fair rental value of the Premises for the corresponding period. The
accelerated rent shall be discounted to the date payable at an annual interest
rate equal to the prime rate as published from time to time in the Money
Section of the Wall Street Journal, or if same is not published anymore then at
the prime rate published by Citibank in Florida. Upon payment of the
accelerated rent discounted to present value, Tenant shall be released from any
and all further liability under this Lease.

     10.3 Mitigation of Damages. In the event that a right of action by
Landlord against Tenant arises under this Lease, Landlord shall attempt to
mitigate damages by using commercially reasonable efforts to seek to relet the
Premises.

     10.4 Landlord’s Default. The failure of Landlord to perform any
covenant, condition, agreement or provision contained herein within thirty (30)
days after receipt by Landlord of written notice of such failure or Landlord’s
breach of any representation of warranty contained herein shall constitute an
“Event of Default” hereunder. Upon the occurrence and continuance of an Event
of Default, Tenant may, at its option and without any obligation to do so,
other than those obligation created in this document, elect any one or more of
the following remedies:

          (a) Terminate and cancel this Lease provided Landlord is in material
default under this Lease and provided Tenant has delivered a second notice of
such default to Landlord and to Landlord’s lender (whose address Landlord shall
provide to Tenant upon request) and such default remains uncured for thirty
(30) days after Landlord and Landlord’s lender’s receipt of such notice; or

 

 

			
	Exhibit 10.19
	 	Page 10 of 36

          (b) Withhold payment or performance under the Lease until such time as
such Event of Default is cured; or

          (c) Cure such Event of Default and recover the costs thereof by an
action at law or by set off against the Rent due hereunder; or

          (d) Pursue any other remedy now or hereafter available at law or in
equity in the state in which the Premises are situated.

SECTION 11

OTHER PROVISIONS

     11.1 Remedies to Be Cumulative. No remedy conferred upon or reserved
to Landlord or Tenant shall be considered exclusive of any other remedy, but
the same shall be cumulative and shall be in addition to every other remedy
given under this Lease or now or hereafter existing at common law or by
statute. Every power and remedy given Landlord or Tenant may be exercised from
time to time and as often as occasion may arise or may be deemed expedient.

     11.2 Notices. All notices, requests, demands or other communications
which may be or are required or permitted to be served or given hereunder (in
this Section collectively called “Notices”) shall be in writing and shall be
sent by registered or certified mail, return receipt requested, postage
prepaid, or by a nationally recognized overnight delivery service to Tenant or
to Landlord at the address set forth below. Either party may, by Notice given
as aforesaid, change its address for all subsequent Notices. Notices shall be
deemed given when received in accordance herewith.

	 	 	 
	If to Landlord:

	 	JimJoy Holdings, LLC
	

	 	17 Old Manchester Road
	

	 	Candia, New Hampshire 03034
	 
	 	 
	with a copy to:
	 	 
	

	 	
 
	

	 	
 
	

	 	
 
	 
	 	 
	If to Tenant:

	 	NationsRent USA, Inc.
	

	 	200 East Broward Boulevard, 21st Floor
	

	 	Fort Lauderdale, Florida 33301
	

	 	Attn: Jorge L. Martin, Vice President of Real Estate and
Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.
	

	 	450 East Las Olas Boulevard, Suite 1400
	

	 	Fort Lauderdale, Florida 33301
	

	 	Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	Akerman, Senterfitt & Eidson, P.A.
	

	 	350 East Las Olas Boulevard, Suite 1600
	

	 	Fort Lauderdale, Florida 33301-4200
	

	 	Attn: Theresa M. McLaughlin, Esq.

     11.3 No Broker. Landlord and Tenant each warrant to the other that no
broker or agent has been employed with respect to this Lease and each agrees to
indemnify and hold the other harmless from

 

 

			
	Exhibit 10.19
	 	Page 11 of 36

any claims by any broker or agent
claiming compensation in respect of this Lease alleging an agreement by
Landlord or Tenant, as the case may be.

     11.4 Waiver of Jury Trial. Landlord and Tenant waive trial by jury in
any action or proceeding brought by either of the parties hereto against the
other or on any counterclaim in respect thereof on any matters whatsoever
arising out of or in any way connected with the Lease, the relationship of
Landlord and Tenant, Tenant’s use or occupancy of the Premises and/or any claim
of injury or damage under this Lease.

     11.5 No Partnership. Landlord shall not be construed or held to be a
partner or associate of Tenant in the conduct of Tenant’s business, it being
expressly understood and agreed that the relationship between the parties
hereto is and shall at all times remain, during the lease term, that of
Landlord and Tenant.

     11.6 Non-Waiver. No failure by Landlord or Tenant to insist upon the
performance of any covenant, agreement, provision or condition of this Lease or
to exercise any right or remedy, consequent upon a default hereunder, and no
acceptance of full or partial rent during the continuance of any such default,
shall constitute a waiver of any such default or of such covenant, agreement,
provision, or condition. No waiver of any default shall affect or alter this
Lease, but each and every covenant, agreement, provision and condition of this
Lease shall continue in full force and effect with respect to any other then
existing or subsequent default hereunder.

     11.7 Gender and Number. Words of any gender used in this Lease shall
be held to include another gender and words in the singular number shall be
held to include the plural and words in the plural shall be held to include the
singular, when the sense requires.

     11.8 Captions. The captions, titles and article, section or paragraph
headings are inserted only for convenience and they are in no way to be
construed as a part of this Lease or as a limitation on the scope of the
particular provisions to which they refer.

     11.9 Governing Law. This Lease is made pursuant to, and shall be
governed by, and construed in accordance with, the laws of the State in which
the Premises are located.

     11.10 Successors and Assigns. The covenants, conditions and
agreements in this Lease shall bind and inure to the benefit of Landlord and
Tenant and, except as otherwise provided in this Lease, their respective heirs,
devisees, executors, administrators, legal representatives, distributees,
successors and assigns.

     11.11 Amendment. Any agreement hereafter made shall be ineffective to
change, modify or discharge this Lease in whole or in part unless such
agreement is in writing and signed by the party against whom enforcement of the
change, modification or discharge is sought.

     11.12 Short Form Lease. The parties agree to execute a short form
Memorandum of Lease in the form of Exhibit “C” attached hereto for recording
containing the names of the parties, a description of the Premises, the Term of
the Lease and such other provisions as the parties may deem appropriate.

     11.13 Lien. Landlord hereby waives any statutory or common law rights
it may have granting Landlord a lien or the right to foreclose on any property
of Tenant, including without limitation, any of Tenant’s personal property
and/or the tenant improvements installed in the Premises by Tenant.

 

 

	 	 	 
	Exhibit 10.19

	 	Page 12 of 36

     11.14 Representations and Warranties. Notwithstanding anything in this
Lease to the contrary, Landlord represents and warrants to Tenant that no
mortgages, deeds of trusts or liens or encumbrances of any nature presently
encumber Landlord’s title to the Premises except as set forth on Exhibit “D”,
attached hereto and incorporated herein by this reference; that none of said
encumbrances shall prohibit or impede the use of the Premises as contemplated
herein or create any financial obligation on the part of Tenant except as
expressly set forth herein; that Landlord has the full right, power and
authority to enter into this Lease and make the agreements contained herein on
its part to be performed; that the execution, delivery and performance of this
Lease has been duly authorized by Landlord; that the Lease constitutes the
valid and binding obligation of Landlord, enforceable in accordance with its
terms subject to applicable bankruptcy, insolvency, reorganization, moratorium
and other laws affecting the enforceability of creditors rights generally and
the application of equitable principles affecting the
availability of remedies in the nature of specific enforcement; that the making
of this Lease and the performance thereof will not violate any present zoning
laws or ordinances of which Landlord has knowledge or the terms or provisions
of any mortgage, lease or other agreement to which Landlord is a party or under
which Landlord is otherwise bound, or which restricts Landlord in any way with
respect to the use or disposition of the Premises; that Landlord has no
knowledge of any pending zoning changes, moratorium, road widening or
construction affecting the Premises; that the Premises are presently in
compliance with any and all applicable laws, including without limitation any
laws pertaining to Hazardous Materials (defined below) and Environmental Laws
(defined below) and the Americans With Disabilities Act of 1990; that the
Premises will be kept in compliance by Landlord, at its cost, with all
applicable laws and regulations enacted from and after the date of this Lease
except when compliance is required solely as a result of Tenant’s use of the
Premises; that the Premises are presently zoned to permit the operation of the
Premises as contemplated in this Lease; that the Premises are free from
defects, have been maintained in accordance with normal industry practice and
are in good operating condition and repair and are suitable for the purposes
for which they are presently used; and that the Premises presently include full
legal access to one or more dedicated public rights-of-way.

     11.15 Subordination and Attornment. This Lease shall be subordinate to
any mortgage or deed of trust (now or hereafter placed upon the Premises), and
to any and all advances made under any mortgage or deed of trust and to all
renewals, modifications, consolidations, replacements and extensions thereof.
Tenant agrees to execute such documents as may be further required to evidence
such subordination or to make this Lease prior to the lien of any mortgage or
deed of trust, as the case may be, subject to the following sentence.
Notwithstanding the foregoing, Tenant shall only be obligated to subordinate
its leasehold interest to any mortgage, deed of trust, or ground lease now or
hereafter placed upon the Premises if the holder of such mortgage or deed of
trust or the Landlord under such ground lease delivers to Tenant a
non-disturbance agreement substantially in accordance with the form attached
hereto as Exhibit “E” (the “Non-Disturbance Agreement”). Upon the mutual
execution of this Lease, Landlord shall deliver to Tenant a Non-Disturbance
Agreement executed by Landlord and any present lender having a deed of trust or
mortgage on the Premises.

     11.16 Hazardous Materials. Tenant shall not do anything throughout the
Term of this Lease and any extension thereof that will violate any
Environmental Laws (defined below). Tenant shall indemnify, defend and hold
harmless Landlord, its directors, officers, employees, and agents and assignees
or successors to Landlord’s interest in the Premises, their directors,
officers, employees, and agents from and against any and all losses, claims,
suits, damages, judgments, penalties and liability including, without
limitation, (1) all out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or
indirectly arising out of the presence, use, generation, storage, release or
threatened release or disposal of Hazardous Materials on, under or in the
Premises after the Lease Commencement Date by or due to the acts or omissions
of Tenant or its agents and contractors, and (iii) the cost of and the
obligation to perform any required or necessary repair, clean-up,
investigation, removal,
remediation or abatement, and the preparation of any closure or other

 

 

	 	 	 
	Exhibit 10.19

	 	Page 13 of 36

required
plans, whether such action is required or necessary following the Lease
Commencement Date to the full extent that such action is attributable, directly
or indirectly, to the presence, use, generation, storage, release or threatened
release or disposal of Hazardous Materials on, under or in the Premises due to
the acts or omissions of Tenant or its agents and contractors. This
indemnification obligation of Tenant does not extend to any repair, clean-up,
investigation, removal, remediation or abatement of Hazardous Materials (i)
which were present on, under or in the Premises before or on the Lease
Commencement Date or for which Landlord is otherwise obligated to indemnify
Tenant pursuant to this Paragraph 11.16.

     Landlord shall indemnify, defend and hold harmless Tenant, its directors,
officers, employees, and agents, and any assignees, subtenants or successors to
Tenant’s interest in the Premises, their directors, officers, employees, and
agents, from and against any and all losses, claims, suits, damages, judgments,
penalties, and liability including, without limitation, all (i) out-of-pocket
litigation costs and reasonable attorneys’ fees, (ii) all damages (including
consequential damages), directly or indirectly arising out of the presence,
use, generation, storage, release, threatened release or disposal of Hazardous
Materials on, under or in the Premises before or after the Lease Commencement
Date by or due to the actions or omissions of any person other than Tenant or
its agents and contractors, and (iii) the cost of and the obligation to perform
any required or necessary repair, clean-up, investigation, removal, remediation
or abatement and the preparation of any closure or other required plans,
whether such action is required or necessary prior to or following the Lease
Commencement Date, to the full extent that such action is attributable,
directly or indirectly, to the presence, use, generation, storage, release,
threatened release, or disposal of Hazardous Materials on, under or in the
Premises due to the actions or omissions of any person other than Tenant or its
agents and contractors.

     For the purpose of this Paragraph 11.16, Hazardous Materials shall include
but not be limited to substances defined as “hazardous substances,” “hazardous
materials,” or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801 et
seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et
seq.; the common law; and any and all state, local or federal laws, rules,
regulations and orders pertaining to environmental, public health or welfare
matters, as the same may be amended or supplemented from time to time
(collectively, the “Environmental Laws”). Any terms mentioned in this Lease
which are defined in any applicable Environmental Laws shall have the meanings
ascribed to such terms in such laws, provided, however, that if any such laws
are amended so as to broaden any term defined therein, such broader meaning
shall apply subsequent to the effective date of such amendment.

     In the event any clean-up, investigation, removal, remediation, abatement,
or other similar action on, in or under the Premises is required by any
governmental or quasi-governmental agency as a result of the actions or
omissions of any party other than Tenant or its agents, contractors or invitees
before or after the Lease Commencement
Date and such action requires that Tenant be closed for business for greater
than a twenty four (24) hour period, or if access to the Premises as a result
of such action is materially adversely affected for a period in excess of
twenty four (24) hours, then Tenant’s rental and other payment obligations
under this Lease shall be abated entirely during the period beyond the twenty
four (24) hours that Tenant is required to be closed for business or abated in
proportion to the part required to be closed (and its effect on Tenant’s
ability to use the remainder of the Premises) bears to the whole. Moreover, if
Tenant is required to be closed for business during such remediation for a
period of one hundred and eighty (180) consecutive days, then Tenant shall have
the right to terminate this Lease upon thirty (30) days prior written notice,
whereupon the parties shall be relieved from any and all liability hereunder
except for the environmental indemnity and other indemnities in this Lease that
specifically survive the termination or expiration of this Lease. Should Tenant
not be required to close its business during such remediation then Tenant shall
not have the right to terminate this Lease due to

 

 

	 	 	 
	Exhibit 10.19

	 	Page 14 of 36

such remediation.

     The provisions of this Paragraph 11.16 shall survive the expiration or
sooner termination of this Lease.

     11.17 Permitted Operations. In the event Tenant reasonably determines
at any time that (a) applicable governmental regulations prohibit the use of
the Premises for the operation of an equipment rental, leasing and sales
facility and any related uses including, but not limited to, the business of
renting, selling, leasing, distributing, storing (indoor and outdoor),
servicing or repairing new or used equipment, spare parts and related supplies
to industrial, manufacturing and construction customers and related general
office use, or (b) Tenant’s access, visibility or parking has been adversely
affected, Tenant shall have the right, but not the obligation, to terminate
this Lease upon thirty (30) days written notice to Landlord and have no further
liability upon payment to Landlord of all rent prorated through the date of
termination. Notwithstanding above, if Landlord has commenced to cure either of
the above defaults within thirty (30) days after Tenant’s notice of termination
and is diligently pursuing the same and concludes such cure not later than
ninety (90) days after Tenant’s notice of termination, then in such event
Tenant’s notice of termination shall be deemed null and void.

     11.18 Attorney’s Fees. In the event that at any time during the Term
of this Lease either Landlord or Tenant shall institute any action or
proceeding against the other relating to the provisions of this Lease, or any
default hereunder, the unsuccessful party in such action or proceeding agrees
to reimburse the successful party for the reasonable expenses of attorney’s
fees and paralegal fees and disbursements incurred therein by the successful
party. Such reimbursement shall include all legal expenses incurred prior to
trial, at trial and at all levels of appeal and post judgment proceedings.

     11.19 Counterparts. This Lease may be executed in any number of
counterparts, each of which shall be an original but all of which together
shall constitute one and the same instrument. A telecopy signature of any party
shall be considered to have the same binding legal effect as an original
signature.

     11.20 Landlord’s Deliveries. No less than ten (10) days prior to the
Effective Date, Landlord has, to the extent in Landlord’s possession or
control, delivered to Tenant for inspection and review, all of the Landlord’s
Deliveries described on Exhibit “G” attached hereto and by this reference made
a part hereof (the “Landlord’s Deliveries”).

     11.21 Entire Agreement. This Lease contains all of the agreements of
the parties hereto with respect to matters covered or mentioned herein and no
prior agreement, letters, representations, warranties, promises or
understandings pertaining to such matters shall be effective for any such
purpose.

     11.22 Time. Time shall be of the essence in interpreting the
provisions of this Lease.

SECTION 12

TENANT’S OPTION TO PURCHASE

     Provided Tenant is not in default beyond all notice and applicable cure
periods hereunder, Tenant shall have the right to purchase the Premises at any
time during the Term, including any Extension Term, of this Lease upon giving
notice in writing to Landlord (the “Purchase Notice”) at least ninety (90) days
prior to the expiration of the initial Term or any Extension Term hereof of
Tenant’s intention to purchase the Premises. If Tenant exercises this Option to
Purchase, then Tenant shall purchase and

 

 

	 	 	 
	Exhibit 10.19

	 	Page 15 of 36

Landlord shall sell the Premises upon
the terms and conditions set forth on the Terms for Sale and Purchase attached
hereto as Exhibit “G” (the “Purchase Terms”). Upon the closing of title
pursuant to the above-mentioned Purchase Terms, this Lease shall terminate and
end. The purchase price for the Premises (“Purchase Price”) shall be determined
by agreement of the Landlord and Tenant, or, if the Landlord and Tenant fail to
reach an agreement within fifteen (15) days of the Tenant’s Purchase Notice,
then by the procedure set forth on the Purchase Terms. The option to purchase
shall expire without notice upon the termination of this Lease unless the
option was exercised prior to such termination, provided that this option to
purchase shall continue after any amendment, continuation or reinstatement of
this Lease.

SECTION 13

RIGHT OF FIRST REFUSAL

     If during the Term, including any Extension Term, of this Lease, Landlord
shall have received a bona fide arm’s length offer to purchase the Premises
which is acceptable to Landlord (the “Offer”) from any third party (the
“Transferee”), Landlord shall send a notice (herein referred to as the
“Transfer Notice”) to Tenant. The Transfer Notice shall set forth the exact
terms of the Offer so received, together with a copy of the Offer, and shall
state the desire of Landlord to sell the Premises on such terms and conditions.
Thereafter, Tenant shall have the right and option to purchase the Premises at
the price and upon the terms and conditions specified in the Offer, provided
that Tenant is not in material default of this Lease beyond all applicable
notice and cure periods hereunder.

     If Tenant desires to exercise its option, it shall give notice (the
“Counter Notice”) to that effect to Landlord within twenty (20) days after
receipt of the Transfer Notice. Such Counter Notice shall be accompanied by a
letter acknowledging Tenant’s agreement to be bound by the terms and conditions
of the Offer. Such Counter Notice shall set forth a date not later than sixty
(60) days from the service of the Counter Notice on which the closing shall be
held. The Tenant’s failure to give a timely Counter Notice (or notice of its
refusal to purchase) shall be deemed a waiver of its option to purchase the
Premises pursuant to the Offer, but shall not be deemed a waiver of its option
to purchase the Premises pursuant to any modification to the Offer or any
future offers. Tenant’s rights under this Section 13 are assignable to any
person or entity which is or would be a permitted assignee pursuant to Section
9 hereof. Tenant’s failure to, or its election not to, exercise its right of
first refusal hereunder shall not affect the continued enforceability of the
option to purchase provided in Section 12 hereof.

[Signature Pages Follow]

     IN WITNESS WHEREOF, on the day and year first above written, Landlord and
Tenant have duly executed this Lease under seal as their free act and deed.

	 	 	 	 	 	 	 
	Witnesses:	 	LANDLORD:
	 
	 	 	 	 	 	 
	 

Print Name: Lois A. Flynn	 	JIMJOY HOLDINGS, LLC,

a New Hampshire limited liability company
	 
	 	 	 	 	 	 
	

	 	 	 	By:	 	 
	

	 	 	 	Name:

Title:
	 	

Francis P. Rich, Jr.

Manager
	

Print Name:	 	 	 	 
	

	 	
	 	 	 	 

 

 

	 	 	 
	Exhibit 10.19

	 	Page 16 of 36

	 	 	 	 	 
	STATE OF NEW

	 	) 
	 	 
	HAMPSHIRE

	 	) 	 	 
	COUNTY OF ROCKINGHAM

	 	) ss:	 	 

     The foregoing instrument was acknowledged before me this 9th day of March,
2000, by Francis P. Rich, Jr., the Manager of JimJoy Holdings, LLC, a New
Hampshire limited liability company, on behalf of the limited liability
company. He is personally known to me or has produced                    
(type of identification) as identification.

	 	 	 	 	 
	 	 	

NOTARY PUBLIC
	 
	 	 	 	 
	 	 	Print
Name   Reed Miller

Commission No.
	 
	 	 	 	 
	 	 	

My Commission Expires:
	 
	 	 	 	 
	Witnesses:	 	TENANT:
	 
	 	 	 	 
	

Print Name: Sheri Freeman-Matterson	 	NATIONSRENT USA, LLC

a Delaware corporation
	 
	 	 	 	 
	

	 	By:	 	 
	

	 	 
Name:

Title:
	 	

Jorge L. Martin

Vice President
	 
	 	 	 	 
	

Print Name: Cynthia Jones
	 	 	 	 

	 	 	 	 	 
	STATE OF FLORIDA

	 	) 
	 	 
	

	 	) 	 	 
	COUNTY OF BROWARD

	 	) ss:	 	 

     The foregoing instrument was acknowledged before me this 14th day of
March, 2000, by Jorge L. Martin as Vice President, of NationsRent USA, Inc., a
Delaware corporation on behalf of the corporation. He/she is personally known
to me or has produced a driver’s license as identification.

	 	 	 
	

	 	

NOTARY PUBLIC
	 
	 	 
	

	 	Print Name   Doris Soberal-Jorge

Commission No. CC907127

My Commission Expires: 5/31/04

EXHIBIT “A”

DESCRIPTION OF PREMISES

 

 

	 	 	 
	Exhibit 10.19

	 	Page 17 of 36

     The Premises to which reference is made in the foregoing is hereby
described as all that lot, piece or parcel of land lying, being and situated in
the County of Rockingham, State of New Hampshire, more particularly described
as follows:

A certain tract or parcel of land, with any buildings thereon, situated in
Candia, County of Rockingham, State of New Hampshire, shown as Lot 158-1 on a
plan entitled “Minor Subdivision, S & M Investments, LLC, Old Manchester Road,
Candia, New Hampshire” dated August 11, 1995, and recorded in the Rockingham
County Registry of Deeds at Plan #D-24356 (the “Plan”), bounded and described
as follows:

Beginning at a granite bound set at the southwesterly corner of the within
described parcel near the northerly side of Old Manchester Road; thence North
18° 17’33” East, along Lot 158-2, a distance of 485.60 feet to a granite bound
set; thence South 80° 17’ 57” East, along Lot 138, a distance of 534.8893 feet
to a point; thence following a curve to the left with a radius of 1,746.67
feet, a distance of 150.66 feet to a point; thence South 04° 45’ 33” West,
along Lot 138, a distance of 668.41 feet to a point near the northerly side of
N.H. Route 43; thence North 86° 26’38” West, a distance of 148.76 feet to a
point; thence North 70° 30’39” West, a distance of 147.73 feet to a point;
thence North 53° 23’ 07” West, a distance of 313.13 feet to a point; thence
North 73° 24’ 31” West, a distance of 145.69 feet to a point; thence North 73°
57’ 32” West, crossing over the driveway leading into the within described
premises from Old Manchester Road, a distance of 98.45 feet to the granite
bound first mentioned above and the point of beginning.

EXHIBIT “B”

SCHEDULE OF RENT

	 	 	 	 	 
	
	 	Initial Term	 	 
	 	 	 	 	 
	
	 	Monthly Installment
	 	Annual Rent
	 	 	 	 	 
	Commencement Date -
	 	$14,800.00
	 	$177,600.00
	8/14/00	 	 	 	 
	 	 	 	 	 
	8/15/00 — Lease Year 10
	 	$15,300.00
	 	$183,600.00
	 	 	 	 	 
	
	 	First Extension Term	 	 
	 	 	 	 	 
	Lease Years
	 	Monthly Installment
	 	Annual Rent
	 	 	 	 	 
	11-15
	 	$15,606.00
	 	$187,272.00
	 	 	 	 	 
	
	 	Second Extension Term	 	 
	 	 	 	 	 
	Lease Years
	 	Monthly Installment
	 	Annual Rent
	 	 	 	 	 
	16-20
	 	$15,918.12
	 	$191,017.44

EXHIBIT “C”

FORM OF MEMORANDUM OF LEASE

 

 

	 	 	 
	Exhibit 10.19

	 	Page 18 of 36

PREPARED BY AND RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR

RECORDER’S USE

MEMORANDUM OF LEASE

(Candia, New Hampshire)

     THIS MEMORANDUM OF LEASE by and between JIMJOY HOLDINGS, LLC, a New
Hampshire limited liability company, the address of which is 17 Old Manchester
Road, Candia, New Hampshire 03034 (hereinafter called “Landlord”), and
NATIONSRENT USA, INC., a Delaware corporation, the address of which is 450 East
Las Olas Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (hereinafter
called “Tenant”).

     Landlord has granted to Tenant a lease which includes, among others, the
following provisions:

	 	1.	 	Date of Lease: March    , 2000.
	 
	 	2.	 	Description of leased Premises: See Exhibit “A” attached hereto.
	 
	 	3.	 	Lease Commencement Date: March    , 2000.
	 
	 	4.	 	Term: Ten (10) Years.
	 
	 	5.	 	Renewal Option(s): Two (2) five (5) year renewal options.
	 
	 	6.	 	The Lease contains a right of first refusal and an option to purchase
both in favor of Tenant.
	 
	 	7.	 	The Lease contains the following provision:

Liens. All persons are put on notice of the fact that Tenant under no
circumstances shall have the power to subject the interest of Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services or materials to the Premises upon the request or order of Tenant or
any person claiming under, by or through Tenant, must look wholly to the
interest of Tenant and not to that of Landlord. Tenant covenants and agrees
with Landlord that Tenant will not permit or suffer to be filed or claimed
against the interest of Landlord in the Premises during the continuance of this
Lease, any lien or liens of any kind by any person claiming under, by, through
or against Tenant; and if any such lien is claimed or filed, it shall be the
duty of Tenant, within sixty (60) days after the claim of lien or suit claiming
a lien has been filed, to cause the Premises to be released from such claim,
either through payment or through bonding with corporate surety or through the
deposit into court, pursuant to statute, of the necessary sums of money, or in
any other way that will effect the release of Landlord’s interest in the
Premises from such claim.

     The purpose of this Memorandum of Lease is to give record notice of the
Lease and of the rights created thereby, all of which are hereby confirmed.

     IN WITNESS WHEREOF the parties have executed this Memorandum of Lease as
of the dates

 

 

	 	 	 
	Exhibit 10.19

	 	Page 19 of 36

set forth in their respective acknowledgments.

	 	 	 	 	 	 	 
	Witnesses:	 	LANDLORD:
	 
	 	 	 	 	 	 
	 

	 	JIMJOY HOLDINGS, LLC.

a New Hampshire limited liability company
	 
	 	 	 	 	 	 
	Print Name:	 	 	 	 
	

	 	

	 	By:	 	 
	

	 	 	 	 
Name:

Title:
	 	

Francis P. Rich, Jr.

Manager
	 
	 	 	 	 	 	 
	
	 	 	 	 
	 
	 	 	 	 	 	 
	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 

	 	 	 	 	 
	STATE OF

	 	) 
	 	 
	 

	 	)ss:	 	 
	COUNTY OF

	 	) 	 	 

     The foregoing instrument was acknowledged before me this 9 day of March,
2000, by Francis P. Rich, Jr., Manager of JimJoy Holdings, LLC, a New Hampshire
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 	 	 
	 	 	

Notary Public
	

	 	Print Name	 	 
	

	 	 	 	

	

	 	Commission No.	 	 
	

	 	 	 	

	

	 	My Commission Expires:	 	 
	

	 	 	 	

	 	 	 	 	 	 	 
	Witnesses:	 	TENANT:
	 
	 	 	 	 	 	 
	 

	 	NATIONSRENT OF NEW HAMPSHIRE, INC.,

a Delaware corporation
	 
	 	 	 	 	 	 
	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 
	

	 	 	 	By:	 	 
	

	 	 	 	 	 	

	

	 	 	 	Name:	 	 
	

	 	 	 	 	 	

	

	 	 	 	Title:	 	 
	

 	 	 	 	

	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 

	 	 	 	 	 
	STATE OF FLORIDA

	 	) 
	 	 
	 

	 	)ss:	 	 
	COUNTY OF BROWARD

	 	) 	 	 

     The foregoing instrument was acknowledged before me this                     day of
March, 2000, by                     as
                    of NationsRent USA, Inc., a Delaware corporation, on
behalf of the corporation. He/she is personally known to me or has produced a
driver’s license as identification.

 

 

	 	 	 
	Exhibit 10.19

	 	Page 20 of 36

	 	 	 	 	 
	 

	 	Notary Public	 	 
	

	 	Print Name
	 	

	

	 	Commission No.	 	 
	

	 	 	 	

	

	 	My Commission Expires:	 	 
	

	 	 	 	

EXHIBIT “D”

TITLE EXCEPTIONS

	1.	 	Mortgage to Farmington National Bank, holder of a mortgage from JimJoy
Holdings, LLC, dated January 19, 1999 in the principal amount of
$935,000.00 and recorded on January 20, 1999 with Rockingham County
Registry of Deeds at Book 3360, Page 208.
	 
	2.	 	Collateral Assignment of Leases and Rents in favor of Farmington
National Bank recorded with said Deeds at Book 3360, Page 225.
	 
	3.	 	Mortgage to Farmington National Bank, holder of a Mortgage from JimJoy
Holdings, LLC, dated August 19, 1999 in the principal amount of
$600,000.00 and recorded with said Deeds at Book 3416, Page 2258.
	 
	4.	 	Collateral Assignment of Leases and Rents in favor of Farmington
National Bank recorded with said Deeds at Book 3416, Page 2275.

EXHIBIT “E”

FORM OF NON-DISTURBANCE AGREEMENT

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR

RECORDER’S USE

SUBORDINATION, NON-DISTURBANCE AND ATTORNMENT AGREEMENT

(Candia, New Hampshire)

     THIS SUBORDINATION NON-DISTURBANCE AND ATTORNMENT AGREEMENT (the
“Agreement”) is made and entered into this the    day of March, 2000, by
NATIONSRENT USA, INC., a Delaware corporation, the address of which is 450 East
Las Olas Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”),
FARMINGTON NATIONAL BANK, a New Hampshire banking institution, the address of
which is 8 Central Street, Farmington, New Hampshire 03835 (“Lender”) and
JIMJOY HOLDINGS, LLC, a New Hampshire limited liability company, the address

 

 

	 	 	 
	Exhibit 10.19

	 	Page 21 of 36

of which is 17 Old Manchester Road, Candia, New Hampshire 03034 (“Landlord”).

R E C I T A L S:

     WHEREAS, Landlord and Tenant executed a Lease dated as of March    , 2000
(the “Lease”), in favor of Tenant, a memorandum of which may be recorded
simultaneously herewith, covering Premises therein described located on a
parcel of real
estate, the legal description of which is attached hereto and incorporated
herein by this reference as Exhibit “A” (said parcel of real estate and the
Premises being sometimes collectively referred to herein as the “Property”);
and

     WHEREAS, Landlord has executed a Mortgage in the principal amount of
$935,000.00 dated January 19, 1999 and recorded on January 20, 1999 at Book
3360, Page 208; a Collateral Assignment of Leases and Rents recorded at Book
3360, Page 225; a Mortgage in the principal amount of $600,000.00 dated August
19, 1999 and recorded at Book 3416, Page 2258; and a Collateral Assignment of
Leases and Rents recorded at Book 3416, Page 2275, all in favor of the Lender
and all recorded in the Registry of Deeds of Rockingham County, New Hampshire
(collectively, the “Mortgage”); and

     WHEREAS, it is a condition to said loan that said Mortgage shall
unconditionally be and remain at all times a lien or charge upon the Property,
prior and superior to the Lease and to the leasehold estate created thereby;
and

     WHEREAS, the parties hereto desire to assure Tenant’s possession and
control of the Property under the Lease upon the terms and conditions therein
contained;

     NOW, THEREFORE, for and in consideration of the mutual covenants and
premises herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged and confessed by the parties
hereto, the parties hereto do hereby agree as follows:

A G R E E M E N T:

     1. The Lease is and shall be subject and subordinate to the Mortgage,
and to all renewals, modifications, consolidations, replacements and extensions
thereof, and to all future advances made thereunder.

     2. Should Lender become the owner of the Property, or should the
Property be sold by reason of foreclosure, or other proceedings brought to
enforce the Mortgage which encumbers the Property, or should the Property be
transferred by deed in lieu of foreclosure, or should any portion of the
Property be sold under a trustee’s sale, the Lease shall continue in full force
and effect as a direct lease between the then owner of the Property covered by
the Mortgage and Tenant, upon, and subject to, all of the terms, covenants and
conditions of the Lease for the balance of the Term thereof remaining,
including any extensions therein provided. Tenant does hereby agree to attorn
to Lender or to any such owner as its landlord, and Lender hereby agrees that
it will accept such attornment.

     3. Notwithstanding any other provision of this Agreement, Lender shall
not be (a) liable for any default of any landlord under the Lease (including
Landlord), except that Lender agrees to cure any default of Landlord that is
continuing as of the date Lender forecloses the Property within thirty (30)
days from the date Tenant delivers written
notice to Lender of such continuing default, unless such default is of such a
nature to reasonably require more than thirty (30) days to cure and then Lender
shall be permitted such additional time as is reasonably necessary to effect
such cure, provided Landlord diligently and continuously proceeds to cure such
default; (b) subject to any offsets or defenses which

 

 

	 	 	 
	Exhibit 10.19

	 	Page 22 of 36

have accrued prior to the
date of foreclosure, unless Tenant shall have delivered to Lender written
notice of the default which gave rise to such offset or defense and permitted
Lender the same right to cure such default as permitted Landlord under the
Lease; (c) bound by any Rent that Tenant may have paid under the Lease more
than one month in advance; (d) bound by any amendment or modification of the
Lease hereafter made without Lender’s prior written consent; (e) responsible
for the return of any security deposit delivered to Landlord under the Lease
and not subsequently received by Lender.

     4. If Lender sends written notice to Tenant to direct its Rent
payments under the Lease to Lender instead of Landlord, then Tenant agrees to
follow the instructions set forth in such written instructions and deliver Rent
payments to Lender; however, Landlord and Lender agree that Tenant shall be
credited under the Lease for any Rent payments sent to Lender pursuant to such
written notice.

     5. All notices which may or are required to be sent under this
Agreement shall be in writing and shall be sent by first-class certified U.S.
mail, postage prepaid, return receipt requested, and sent to the party at the
address appearing below or such other address as any party shall hereafter
inform the other party by written notice given as set forth above:

	 	 	 
	If to Landlord:

	 	JimJoy Holdings, LLC

17 Old Manchester Road

Candia, NH 03034
	 
	 	 
	with a copy to:

	 	                   
	

	 	                   
	

	 	                   
	 
	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, FL 33301

Attn: Jorge L. Martin, Vice President of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, FL 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	Akerman, Senterfitt & Eidson, P.A.

350 East Las Olas Boulevard, Suite 1600

Fort Lauderdale, FL 33301-4200

Attn: Theresa M. McLaughlin, Esq.
	 
	 	 
	Lender:

	 	Farmington National Bank

8 Central Street

Farmington, New Hampshire 03835

All notices delivered as set forth above shall be deemed effective three (3)
days from the date deposited in the U.S. mail.

     6. Said Mortgage shall not cover or encumber and shall not be
construed as subjecting in any manner to the lien thereof any of Tenant’s
improvements or trade fixtures, furniture, equipment or other personal property
at any time placed or installed in the Premises. In the event the Property or
any part thereof shall be taken for public purposes by condemnation or transfer
in lieu thereof or the same are

 

 

	 	 	 
	Exhibit 10.19

	 	Page 23 of 36

damaged or destroyed, the rights of the parties
to any condemnation award or insurance proceeds shall be determined and
controlled by the applicable provisions of the Lease.

     7. This Agreement shall inure to the benefit of and be binding upon
the parties hereto, their successors in interest, heirs and assigns and any
subsequent owner of the Property secured by the Mortgage.

     8. Should any action or proceeding be commenced to enforce any of the
provisions of this Agreement or in connection with its meaning, the prevailing
party in such action shall be awarded, in addition to any other relief it may
obtain, its reasonable costs and expenses, not limited to taxable costs, and
reasonable attorney’s fees.

     9. Tenant shall not be enjoined as a party/defendant in any action or
proceeding which may be instituted or taken by reason or under any default by
Landlord in the performance of the terms, covenants, conditions and agreements
set forth in the Mortgage.

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above written.

	 	 	 	 	 	 	 
	Witnesses	 	LENDER:
	 
	 	 	 	 	 	 
	 

	 	FARMINGTON NATIONAL BANK,

a New Hampshire banking institution
	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 
	

	 	 	 	By:	 	 
	

	 	 	 	 	 	

	

	 	 	 	Name:	 	 
	

	 	 	 	 	 	

	

	 	 	 	Title:	 	 
	
	 	 	 	

	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 

	 	 	 	 	 
	STATE OF

	 	) 
	 	 
	

	 	)ss:	 	 
	COUNTY OF

	 	) 	 	 

     The foregoing instrument was acknowledged before me this 10th day of March
2000, by Kenneth Davis as SKVP of Farmington National Bank, a New Hampshire
banking institution, on behalf of the institution. He/she is personally known
to me or has produced a driver’s license as identification.

	 	 	 	 	 
	 	 	

Notary Public
	

	 	Print Name	 	 
	

	 	 	 	

	

	 	Commission No.	 	 
	

	 	 	 	

	

	 	My Commission Expires:	 	 
	

	 	 	 	

	 	 	 	 	 	 	 
	Witnesses:	 	TENANT:
	 
	 	 	 	 	 	 
	 

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 	 	 	 	 
	Print Name:

	 	 	 	By:	 	 
	

	 	

	 	 	 	

 

 

	 	 	 
	Exhibit 10.19

	 	Page 24 of 36

	 	 	 	 	 	 	 
	

	 	 	 	Name:	 	 
	

	 	 	 	 	 	

	

	 	 	 	Title:	 	 
	
	 	 	 	

	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 

	 	 	 	 	 
	STATE OF FLORIDA

	 	) 
	 	 
	

	 	)ss:	 	 
	COUNTY OF BROWARD

	 	) 	 	 

     The foregoing instrument was acknowledged before me this                     day of
March, 2000, by                     as                     of
NationsRent USA, Inc., a Delaware corporation, on behalf of the corporation.
He/she is personally known to me or has produced a driver’s license as
identification.

	 	 	 	 	 
	 	 	

Notary Public
	

	 	Print Name	 	 
	

	 	 	 	

	

	 	Commission No.	 	 
	

	 	 	 	

	

	 	My Commission Expires:	 	 
	

	 	 	 	

	 	 	 	 	 	 	 
	Witnesses:	 	LANDLORD:
	 
	 	 	 	 	 	 
	 

	 	JIM JOY HOLDINGS, LLC 

a New Hampshire limited liability company
	 
	 	 	 	 	 	 
	Print Name:
	 	 	 	 	 	 
	

	 	
	 	 	 	 
	

	 	 	 	By:	 	 
	

	 	 	 	 
Name:

Title:
	 	

Francis P. Rich, Jr.

Manager
	

Print Name:	 	 	 	 
	

	 	
	 	 	 	 

	 	 	 	 	 
	STATE OF

	 	) 
	 	 
	

	 	)ss:	 	 
	COUNTY OF

	 	) 	 	 

     The foregoing instrument was acknowledged before me this    day of March,
2000, by Francis P. Rich, Jr., Manager of Jim Joy Holdings, LLC, a New
Hampshire limited liability company. He is personally known to me or has
produced a driver’s license as identification.

	 	 	 	 	 
	 	 	

Notary Public
	

	 	Print Name	 	 
	

	 	 	 	

	

	 	Commission No.	 	 
	

	 	 	 	

	

	 	My Commission Expires:	 	 
	

	 	 	 	

EXHIBIT “F”

LANDLORD’S DELIVERIES

	1.	 	Copy of prior title policy or other title work and copy of legal description.

 

 

			
	Exhibit 10.19
	 	Page 25 of 36

	2.	 	Copy of prior survey.
	 
	3.	 	Copy of prior environmental report.
	 
	4.	 	Copy of prior soil or other geotechnical reports, if any.
	 
	5.	 	Copy of real estate tax bill.

EXHIBIT “G”

TERMS FOR PURCHASE AND SALE

     If Tenant exercises the Option to Purchase contained in Section 12 of the
Lease, the closing of the transfer of the Premises shall be controlled by the
following provisions. Capitalized terms not defined herein shall have the
meaning given them in the Lease to which this Exhibit is attached.

	1.	 	PROPERTY DESCRIPTION:

	 	(a)	 	Premises: the property described on Exhibit “A” to the Lease.
	 
	 	(b)	 	Personal Property:                                        (“None” if blank).

	2.	 	PURCHASE PRICE: Landlord and Tenant agree to act reasonably and in
good faith to negotiate a Purchase Price for the Premises that will
be equal to the then current fair market value of the Premises. In
the event the parties are unable to reach an agreement with respect
to the Purchase Price within fifteen (15) days of the Purchase
Notice provided under Section 12 of the Lease between Landlord and
Tenant, then either party may notify the other of its intent to have
the Purchase Price determined by appraisal. Such notice must
identify the appraiser retained to make such determination, which
appraiser must be engaged full time as a real estate appraiser and
must be a member of the American Institute of Real Estate
Appraisers. A copy of such appraiser’s report indicating the
appraised fair market value of the Premises shall be delivered, upon
receipt, to the other party. Such other party shall then have thirty
(30) days to retain a second appraiser to make a separate
determination and to submit a separate report indicating the fair
market value of the Premises. Such second appraiser must also be
engaged full time as a real estate appraiser and must also be a
member of the American Institute of Real Estate Appraisers. A copy
of such second appraiser’s report shall be delivered, upon receipt,
to the other party. If the appraised fair market value of the
Premises according to such two (2) appraisal reports vary by twenty
five (25%) percent or less, then the fair market values indicated in
the two (2) reports shall be averaged and the value thus obtained,
shall, for all purposes, conclusively fix and be the Purchase Price.
If such values vary by more than twenty five (25%) percent then such
two (2) appraisers shall select a third appraiser, similarly
qualified, who shall determine the fair market value of the
Premises, such determination to be conclusive on the parties. If the
two (2) appraisers fail to appoint such third appraiser within
thirty (30) days after delivery of the second appraiser’s report,
the third appraiser shall be appointed by the presiding judge of the
state court of general jurisdiction for the county in which the
Premises are located, and such third appraiser shall then
individually determine the fair market value of the Premises, such
determination to be binding upon each of the parties. It is
expressly agreed that the determination of the fair market value of
the Premises by a third appraiser (whether appointed by the prior
two (2) appraisers or such presiding judge) shall be a value that
must be between the values determined by the results of the prior
two (2) appraisers, and the submission of the dispute to such third
appraiser shall so provide. It is further expressly

 

 

			
	Exhibit 10.19
	 	Page 26 of 36

	 	 	acknowledged,
understood and agreed that such appraisals shall determine the
actual fair market value of the Premises for the purposes of
determining the Purchase Price to be paid under the Option to
Purchase. The Appraisers should not consider the existence of the
Lease, or the options to extend the Term or to purchase the Premises
in arriving at the fair market value of the Premises. The fair
market value of the Premises as determined by the above procedure
shall be the Purchase Price for the Premises. Each party shall pay
all costs, fees and expenses of the appraiser appointed by it, and
fifty (50%) percent of the costs, fees and expenses of the third
appraiser, if any. The Closing Date of the sale and purchase shall
be extended as necessary to complete the procedure set forth above,
and if extended, the Closing shall occur fifteen (15) days after the
Purchase Price is finally determined. Notwithstanding any provision
of this Exhibit E to the contrary, the parties hereto agree that the
fair market value shall not be less than the sum of (a) the purchase
price paid by the Landlord for the Premises prior to the
commencement of the term of the Lease and (b) the unreimbursed costs
and expenses of improvements to the Premises incurred by Landlord.
	 
	3.	 	EFFECTIVE DATE: The date of Contract (“Effective Date”) will be the
date when the Tenant has delivered a Purchase Notice to the
Landlord.
	 
	4.	 	PAYMENT OF PURCHASE PRICE: The Purchase Price, subject to applicable
adjustments and prorations, shall be paid to Landlord on the Closing
Date by certified or cashier’s check or by wire transfer.
	 
	5.	 	CLOSING DATE: This transaction shall be closed and the deed and
other closing papers delivered on the sixtieth (60) day after the
Effective Date unless modified by other provisions of these Terms
for Purchase and Sale (these “Purchase Terms”)
	 
	6.	 	RESTRICTIONS; EASEMENTS; LIMITATIONS: Tenant shall take title
subject to: comprehensive land use plans, zoning, restrictions,
prohibitions and other requirements imposed by governmental
authority; restrictions and matters appearing on the plat or
otherwise common to the subdivision; public utility easements of
record servicing the Premises; taxes for year of closing and
subsequent years; assumed mortgages identified in the Purchase
Notice, if any; provided that there exists at closing no violation
of the foregoing and none prevents use of the Premises for purposes
identified in Section 11.17 of the Lease.
	 
	7.	 	OCCUPANCY: Landlord warrants that there are no parties in occupancy
other than Tenant and any party claiming under Tenant and Landlord
shall deliver sole occupancy of the Premises to Tenant at time of
closing, except for any parties in possession under agreements with
Tenant.
	 
	8.	 	ASSIGNABILITY: Tenant may assign its rights under this agreement to
the same extent and in the same manner as provided in Section 9 of
the Lease.
	 
	9.	 	EVIDENCE OF TITLE: Within twenty (20) days of receipt of a Purchase
Notice, Landlord shall deliver to Tenant a copy of Landlord’s
existing owner’s title insurance policy and all endorsements
thereto. Within thirty (30) days after the Purchase Notice, Tenant
at Tenant’s expense shall obtain a title insurance commitment (with
legible copies of instruments listed as exceptions attached thereto)
issued by a title insurer licensed in the state where the Premises
is located agreeing to issue Tenant, upon recording of the deed to
Tenant, an owner’s policy of title insurance in the amount of the
Purchase Price, insuring Tenant’s title to the Premises, subject
only to liens, encumbrances, exceptions or qualifications provided
in these Purchase Terms and those to be discharged by Landlord at or
before closing. Landlord shall convey marketable title subject only
to liens, encumbrances, exceptions or qualifications provided in
these Purchase Terms. Marketable title shall be determined according
to applicable law. Tenant shall have thirty (30) days from date of

 

 

			
	Exhibit 10.19
	 	Page 27 of 36

	 	 	receiving evidence of title to examine it. If title is found
defective, Tenant shall within three (3) days thereafter, notify
Landlord in writing specifying defect(s). If the defect(s) render
title unmarketable, Landlord will have thirty (30) days from receipt
of notice to remove the defects, failing which Tenant shall, within
five (5) days after expiration of the thirty (30) day period,
deliver written notice to Landlord either: (1) extending the time
for a reasonable period not to exceed one hundred twenty (120) days
within which Landlord shall use diligent effort to remove the
defects; or (2) terminating Tenant’s exercise of the Option to
Purchase the Premises. If Tenant fails to so notify Landlord, Tenant
shall be deemed to have accepted the title as it then is. Landlord
shall, if title is found unmarketable, use diligent effort to
correct defect(s) in the title within the time provided therefor. If
Landlord is unable to timely correct the defects, Tenant shall
either waive the defects or terminate the exercise of the Option to
Purchase, thereby releasing Tenant and Landlord from all further
obligation under these Purchase Terms.
	 
	10.	 	SURVEY: Tenant, at Tenant’s expense, within time allowed to deliver
evidence of title and to examine same, may have the Premises
surveyed and certified by a surveyor registered in the state where
the Premises is located. If survey discloses encroachment on the
Premises or that improvements located on the Premises encroach on
setback lines, easements, lands of others or violate any
restrictions, covenants of these Purchase Terns or applicable
governmental regulation, the same shall constitute a title defect.
	 
	11.	 	INGRESS AND EGRESS: Landlord warrants and represents that there is
ingress and egress to the Premises sufficient for its intended use
as described in Section 11.17 of the Lease, title to which is in
accordance with Section 9 of these Purchase Terms.
	 
	12.	 	LIENS: Landlord shall furnish to Tenant at time of closing an
affidavit attesting to the absence, unless otherwise provided for
herein, of any financing statement, claims of lien or potential
lienors arising as the result of any action or inaction of Landlord
and further attesting that there have been no improvements or
repairs to the Premises by Landlord for ninety (90) days immediately
preceding date of closing. If the Premises has been improved or
repaired by Landlord within that time, Landlord shall deliver
releases or waivers of construction liens executed by all general
contractors, subcontractors, suppliers and materialmen in addition
to Landlord’s lien affidavit setting forth the names of all such
general contractors, subcontractors, suppliers and materialmen,
further affirming that all charges for improvements or repairs
incurred by Landlord which could serve as a basis for a construction
lien or a claim for damages have been paid or will be paid at
closing of these Purchase Terms.
	 
	13.	 	PLACE OF CLOSING: Closing shall be held in the county where the
Premises are located at the office of the attorney or other closing
agent designated by Tenant.
	 
	14.	 	TIME: In computing time periods of less than six (6) days,
Saturdays, Sundays and state or national legal holidays shall be
excluded. Any time periods provided herein which shall end on a
Saturday, Sunday or a legal holiday shall extend to 5:00 p.m. on the
next business day. Time is of the essence in these Purchase Terms.
	 
	15.	 	DOCUMENTS FOR CLOSING: Landlord shall furnish the deed, bill of
sale, construction lien affidavit in compliance with Section 12 of
these Purchase Terms, owner’s possession affidavit, FIRPTA
affidavit, assignments of leases, tenant and mortgagee estoppel
letters and corrective instruments. Each party shall execute a
closing statement.
	 
	16.	 	EXPENSES: Transfer taxes, fees, documentary stamps and surtax on the
deed and recording of corrective instruments shall be paid by
Landlord. Recording of deed shall be paid by Tenant.

 

 

			
	Exhibit 10.19
	 	Page 28 of 36

	 	 	Unless
otherwise provided by law or rider to these Purchase Terms, charges
for the following related title services, namely title or abstract
charge, title examination, and settlement and closing fee, shall be
paid by the party responsible for furnishing the title evidence in
accordance with Section 9 of these Purchase Terms. Tenant shall pay
the premium for the owners title insurance policy insuring Tenant’s
interest.
	 
	17.	 	PRORATIONS; CREDITS: Taxes, assessments, rent, interest, insurance
and other expenses of the Premises shall be prorated through the day
before closing unless they are the responsibility of Tenant under
the Lease, in which case they shall not be prorated. Tenant shall
have the option of taking over existing policies of insurance, if
assumable, in which event premiums shall be prorated. Cash at
closing shall be increased or decreased as may be required by
prorations to be made through the day prior to closing. Advance rent
and security deposits will be credited to Tenant. Escrow deposits
held by any mortgagee will be credited to Tenant if Tenant has
provided the funds for the escrow, otherwise they will be paid to
Landlord. Taxes shall be prorated based on the current year’s tax
with due allowance made for maximum allowable discount, homestead
and other exemptions. If closing occurs at a date when the current
year’s millage is not fixed and current year’s assessment is
available, taxes will be prorated based upon such assessment and the
prior year’s millage. If the current year’s assessment is not
available, then taxes will be prorated on the prior year’s tax. Tax
proration based on an estimate shall, at request of either party, be
readjusted upon receipt of tax bill on condition that a statement to
that effect is signed at closing.
	 
	18.	 	SPECIAL ASSESSMENT LIENS: Certified, confirmed and ratified special
assessment liens as of date of closing (not as of Effective Date)
are to be paid by Landlord unless they are the responsibility of
Tenant under the Lease. Pending liens as of date of closing shall be
assumed by Tenant. If the improvement has been substantially
completed as of Effective Date, any pending lien shall be considered
certified, confirmed or ratified and Landlord shall, at closing,
(unless such lien is the responsibility of Tenant under the Lease)
be charged an amount equal to the last estimate or assessment for
the improvement by the public body.
	 
	19.	 	RISK OF LOSS: If the Premises is damaged by fire or other casualty
before closing and cost of restoration does not exceed fifty (50%)
percent of the assessed valuation of the Premises so damaged, cost
of restoration shall be an obligation of the Landlord and closing
shall proceed pursuant to the terms of these Purchase Terms with
restoration costs escrowed at closing. If the cost of restoration
exceeds fifty (50%) percent of the assessed valuation of the
Premises so damaged, Tenant shall have the option of either taking
the Premises as is, together with any insurance proceeds payable by
virtue of such loss or damage, or of terminating the exercise of the
Option to Purchase.
	 
	20.	 	ATTORNEY’S FEES; COSTS: In any litigation, including breach,
enforcement or interpretation, arising out of these Purchase Terms,
the prevailing party in such litigation shall be entitled to recover
from the non-prevailing party reasonable attorney’s fees, costs and
expenses.
	 
	21.	 	FAILURE OF PERFORMANCE: If Tenant fails to perform these Purchase
Terms within the time specified, Landlord may elect to terminate the
exercise of the Option to Purchase and be relieved of all
obligations under these Purchase Terms. If for any reason other than
failure of Landlord to make Landlord’s title marketable after
diligent effort, Landlord fails, neglects or refuses to perform
these Purchase Terms, the Tenant may seek specific performance or
may terminate the exercise of the option, whereupon Landlord shall
reimburse Tenant for all costs and expenses in connection with
Tenant’s exercise of the Option to Purchase. In the event either
party terminates the exercise of the Option to Purchase as set forth
herein, the parties shall continue to be bound by the terms and
provisions of the Lease, as the same shall apply.

 

 

			
	Exhibit 10.19
	 	Page 29 of 36

	22.	 	PERSONS BOUND; NOTICE: These Purchase Terms shall bind and inure to
the benefit of the parties and their successors in interest.
Whenever the context permits, singular shall include plural and one
gender shall include all. Notice given by or to the attorney for any
party shall be as effective as if given by or to that party.
	 
	23.	 	CONVEYANCE: Landlord shall convey title to the Premises by limited
warranty deed, subject only to matters contained in Section 6 of
these Purchase Terms and those otherwise accepted by Tenant.
Personal Property shall, at the request of Tenant, be transferred by
an absolute bill of sale with warranty of title, subject only to
such matters as may be otherwise provided for herein.
	 
	24.	 	OTHER AGREEMENTS: No prior or present agreements or representations
shall be binding upon Tenant or Landlord unless included in these
Purchase Terms. No modification to or change in these Purchase Terms
shall be valid or binding upon the parties unless in writing and
executed by the party or parties intended to be bound by it.
	 
	25.	 	ENVIRONMENTAL REPRESENTATIONS AND INSPECTIONS: Landlord hereby
represents and warrants to Tenant (the “Representations”) that,
exclusive of Tenant’s and Tenant’s employee’s, agent’s and invitee’s
actions or inactions: (1) the Premises and all uses of the Premises
have been, and presently are, in compliance with all federal, state,
and local Environmental Laws; (2) no Hazardous Materials have been
generated, stored, treated or transferred on the Premises, except in
the ordinary course of business and in compliance with Environmental
Laws; (3) Landlord has no knowledge of any spill or Environmental
Law violation on any property contiguous to or in the vicinity of
the Premises to be sold to Tenant; and (4) Landlord has not received
or otherwise obtained knowledge of any spill or contamination on the
Premises, any existing or threatened environmental lien against the
Premises, or any lawsuit, proceeding, or investigation regarding the
handling of Hazardous Materials on the Premises.
	 
	26.	 	WARRANTY: Landlord warrants that there are no facts known to
Landlord materially affecting the value of the Premises which are
not readily observable by Tenant or which have not been disclosed to
Tenant or that have not been created by Tenant, its employees and
agents.

LEASE TERMINATION AGREEMENT

(Candia, New Hampshire)

     THIS LEASE TERMINATION AGREEMENT (this “Agreement”) is made as of the 15th
day of March, 2000 (the “Effective Date”) by and between JIMJOY HOLDINGS, LLC,
a New Hampshire limited liability company (“Landlord”), and NATIONSRENT USA,
INC., a Delaware corporation (“Tenant”).

WITNESSETH:

     Landlord and Action Equipment Co., Inc. (the predecessor in interest to
Tenant) entered into that certain Lease Agreement dated August 15, 1996
(referred to herein, together with all amendments thereto, as the “Lease”)
pertaining to certain premises commonly known as 17 Old Manchester Road in the
Town of Candia, Rockingham County, State of New Hampshire (the “Premises”),
more particularly described on Exhibit “A”.

     Landlord and Tenant desire to terminate the Lease on the terms and
conditions hereinafter set forth.

 

 

			
	Exhibit 10.19
	 	Page 30 of 36

     NOW, THEREFORE, for good and valuable consideration, the receipt and
adequacy of which are hereby acknowledged, and in consideration of the mutual
covenants and agreements contained herein, Landlord and Tenant hereby agree as
follows:

     1. Termination of Lease. The Lease shall terminate and be of no
further force and effect as of 12:00 a.m. on the Effective Date (the
“Termination Date”) as if that were the date and time fixed for the expiration
of the term provided for in the Lease.

     3. Rent and Other Charges. Tenant shall pay to Landlord all rent,
utility charges and other charges relating to the Premises for which Tenant is
responsible pursuant to the Lease and which accrue prior to the Termination
Date. Tenant shall indemnify and hold Landlord harmless against any utility
charges or other charges relating to the Premises which are the obligation of
Tenant under the Lease and which accrue prior to the Termination Date.

     5. Certification. Each party hereto hereby certifies to the other that
said party has full authority to execute and deliver this Agreement and that no
consents or authorizations to this Agreement are required.

     6. Entire Agreement. This Agreement contains all the agreements of the
parties hereto with respect to the matters covered or mentioned in this
Agreement, and no prior agreements, letters, representations, warranties,
promises or understanding pertaining to any such matters shall be effective for
any such purpose.

     7. Successors and Assigns. All covenants, promises, conditions,
representations and agreements herein contained shall be binding upon and apply
and inure to the parties hereto and their respective heirs, personal
representatives, successors and assigns.

     IN WITNESS WHEREOF, the parties have executed this Lease Termination
Agreement as of the date first written above.

	 	 	 	 	 	 	 	 	 
	Witnesses:	 	 	 	LANDLORD:
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	JIMJOY HOLDINGS, LLC.
	 	 	 	 	 	 	a New Hampshire limited liability company
	
 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Print Name:
	 	 	 	 	 	 	 	 
	

	 	
 	 	 	 	 	 	 
	

	 	 	 	 	 	By:	 	 
	

	 	 	 	 	 	 	 	
 
	 	 	 	 	 	 	Name: Francis P. Rich, Jr.
	 	 	 	 	 	 	Title: Manager
	
 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	Print Name:
	 	 	 	 	 	 	 	 
	

	 	
 	 	 	 	 	 	 
	STATE OF

	 	)	 	 	 	 	 	 
	

	 	
 	 	 	 	 	 	 
	

	 	)
	 	ss:	 	 	 	 
	COUNTY OF

	 	)	 	 	 	 	 	 
	

	 	
 	 	 	 	 	 	 

     The foregoing instrument was acknowledged before me this    day of March,
2000, by Francis P. Rich, Jr., Manager of JimJoy Holdings, LLC, a New Hampshire
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

 

 

			
	Exhibit 10.19
	 	Page 31 of 36

	 	 	 	 	 	 	 
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Notary Public
	 
	 	 	 	 	 	 
	

	 	 	 	 	 	Print Name
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Commission No.
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	My Commission Expires:
	

	 	 	 	 	 	
 
	 
	 	 	 	 	 	 
	Witnesses:

	 	 	 	 	 	TENANT:
	 
	 	 	 	 	 	 
	

	 	 	 	 	 	NATIONSRENT OF NEW HAMPSHIRE, INC.,
	

	 	 	 	 	 	a Delaware corporation
	
 	 	 	 	 
	Print Name:

	 	 	 	 	 	By:
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Name:
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Title:
	
 	 	 	 	
 
	 
	 	 	 	 	 	 
	Print Name:
	 	 	 	 	 	 
	
 	 	 	 	 
	 
	 	 	 	 	 	 
	STATE OF FLORIDA

	 	) 	 	 	 	 
	

	 	)ss:	 	 	 	 
	COUNTY OF BROWARD

	 	) 	 	 	 	 

     The foregoing instrument was acknowledged before me this                     day of
March, 2000, by                                                        
                                        as
                                                          of NationsRent
USA, Inc., a Delaware corporation, on
behalf of the corporation. He/she is personally known to me or has produced
                                                          (type of
identification) as identification.

	 	 	 
	

	 	
 
	

	 	Notary Public
	 
	 	 
	

	 	Print Name
	

	 	
 
	

	 	Commission No.
	

	 	
 
	

	 	My Commission Expires:
	

	 	
 

 

 

			
	Exhibit 10.19
	 	Page 32 of 36

EXHIBIT “A”

LEGAL DESCRIPTION OF PROPERTY

A portion of the premises situated in the Town of Candia, Rockingham County,
New Hampshire shown as Lot 158-1 on a plan entitled “Minor Subdivision, Jim Joy
Holdings, LLC, Old Manchester Road, Candia, New Hampshire,” prepared by Ron
Natoli, R.L.S., dated August 11, 1995, and recorded in the Rockingham County
Registry of Deeds as Plan No. D-24356. The premises leased to the Lessee
includes the parking area and buildings shown on Schedule A attached hereto,
and the non exclusive right to use any rights of way over and leading to such
parking area and buildings.

 

 

			
	Exhibit 10.19
	 	Page 33 of 36

SCHEDULE A

[Drawing of Leased Premises including parking area and buildings.]

 

 

			
	Exhibit 10.19
	 	Page 34 of 36

LANDLORD’S WAIVER AND CONSENT

     This Agreement is made this 17th day of August between Francis P. Rica,
Jr. and Vigilant, Inc. as “Tenant” under a certain Lease Agreement dated June
17, 1996 and KeyBank National Association as “Lender”.

 

 

			
	Exhibit 10.19
	 	Page 35 of 36

     WHEREAS, Tenant has leased from Landlord certain space pursuant to said
Lease Agreement at 17 Old Manchester Rd, Second Floor, Candia, NH 03034 (the
“Leased Premises”): and

     WHEREAS, Tenant is obtaining financing from Lender secured by personal
property located at said Leased Premises; and

     WHEREAS, as an inducement to Lender, Tenant has agreed to seek Landlord’s
consent to the removal by Lender of such personal property from the Leased
Premises in the event of default by Tenant under the terms and conditions of
said financing;

     NOW, THEREFORE, in consideration of One Dollar ($1.00) and other valuable
consideration paid, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:

	1.	 	Landlord hereby agrees to allow Lender, its successors,
assigns, or its or their representative, to remove any and all
personal property that is the subject of a security interest in
savor of Lender from the Leased Premises. Lender agrees to
perform such removal in a manner that wi11 not materially
interfere with the use and enjoyment of other tenants, if any,
at or near the location of the Leased Premises. Notwithstanding
anything to the contrary contained in said Lease Agreement,
Landlord hereby waives any and all c1aims it may have with
respect to such personal property and agrees that Lender’s
security interest is superior to any claim or lien of Landlord
regarding such personal property.
	 
	2.	 	Lender hereby Agrees to give Landlord reasonable notice of its
intent to remove said personal property from the Leased
Premises.
	 
	3.	 	Landlord hereby agrees to give Lender notice of any default by
Tenant under the terms of its Lease and also agrees to give
Lender thirty (30) days from the date of such notice to remove
said personal property from the Leased Premises.

 

 

			
	Exhibit 10.19
	 	Page 36 of 36

     IN WITNESS WHEREOF, the parties hereto have caused this instrument to be
signed as of the day and year first above written.

	 	 	 	 	 	 	 
	WITNESS	 	 	 	LANDLORD
	

	 	 	 	 	 	 
	 	 	 	 	TENANT:
	

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	 	 	 	 	Vigilant, Inc.
	 
	 	 	 	 	 	 
	
 	 	 	 	
 
	 	 	 	 	Charles Griffiths, III
	 
	 	 	 	 	 	 
	 	 	 	 	KeyBank National Association
	

	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	

	 	 	 	By:	 	 
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Michael D. Hewitt
	

	 	 	 	 	 	Its: Vice PresidentLease Agreement w/TREC, LLC

 

Exhibit 10.20

LEASE AGREEMENT

(Woburn, Massachusetts)

     THIS LEASE AGREEMENT (this “Lease”) is made as of the 7th day of December,
1999 (the “Effective Date”), by and between TREC, LLC, a Massachusetts limited
liability company (hereinafter called “Landlord”), and NATIONSRENT USA, INC., a
Delaware corporation, and/or its assigns (hereinafter called “Tenant”).

WITNESSETH:

     Landlord, for and in consideration of the rentals herein promised to be
paid by Tenant and the covenants, conditions and agreements herein contained to
be kept and performed by Tenant, does hereby let and rent to Tenant, and Tenant
does hereby take and lease as Tenant of Landlord, the premises hereinafter
described for the term, at the rental and upon the terms and conditions
hereinafter set forth:

SECTION 1

PARTIES

     1.1 LANDLORD. Landlord warrants that it is the lessee of the Premises (as
defined below), that it has good and indefeasible leasehold title to the
Premises under the Prime Lease (as defined below), that it has obtained or
shall
obtain pursuant to Section 14.1 of this Lease, the consent of the Prime
Landlord
(as defined below) to entering into this Lease and to the subleasing of the
Premises pursuant hereto, that it has full right and power to execute and
deliver this Lease without the consent or agreement of any other person other
than the Prime Landlord, and that those persons executing this Lease on behalf
of Landlord have the right and power to execute and deliver this Lease. The
term
“Prime Lease” shall mean that certain Lease Agreement between Landlord and 195
New Boston Street, LLC, a Massachusetts limited liability company (“Prime
Landlord”), with respect to the Premises, dated August 12, 1999. Landlord
warrants and represents to Tenant that Landlord has provided Tenant with a true
and complete copy of the Prime Lease, a copy of which is attached hereto and
made a part hereof as Exhibit “I”.

     1.2 TENANT. Tenant warrants that Tenant has full right and power to
execute
and deliver this Lease without the consent or agreement of any other person,
and
that those persons executing this Lease on behalf of Tenant have the authority
and power to execute this Lease on Tenant’s behalf and deliver this Lease to
Landlord.

SECTION 2

PREMISES

     2.1 DESCRIPTION. The premises herein leased (hereinafter called the
“Premises”) are legally described in Exhibit “A” attached hereto and made a
part
hereof. The Premises also include the building(s) and improvements located upon
the land area described in Exhibit “A” and all rights appurtenant thereto. The
Premises are located at 195 New Boston Street, Woburn, Massachusetts 01888.

     2.2 QUIET ENJOYMENT. Landlord agrees to warrant and defend Tenant in the
quiet enjoyment and possession of the Premises during the term of this Lease so
long as Tenant complies with the provisions hereof.

     2.3 CERTAIN DEFINITIONS. Certain terms used in this Section with an
initial
capital letter are defined as follows:

          (a) The term “Delivery Date” shall mean the date that (i) exclusive
possession of the Premises is delivered to Tenant with all of landlord’s work
as

Page 1

 

defined in Section 2.4 herein and as set forth on Exhibit “B” hereof completed
(“Landlord’s Work”); and (ii) Landlord has obtained and delivered to Tenant a
duly executed “Non-Disturbance Agreement” (as hereinafter defined) from all
lenders having a lien or security interest on the Premises as required under
Section 11.15 hereof.

          (b) The term “Estimated Delivery Date” shall mean June 1, 2000.

          (c) The term “Outside Delivery Date” shall mean one (1) year after the
Effective Date.

     2.4 LANDLORD’S WORK. Landlord shall construct, improve, subdivide or
finish
out the Premises in accordance with Exhibit “B”, attached hereto. Landlord, at
Landlord’s sole cost and expense, has caused to be prepared and delivered to
Tenant for Tenant’s approval two (2) sets of plans and specifications (“Plans”)
for Landlord’s Work. Tenant’s approval shall be evidenced by Tenant causing one
(1) set of such Plans to be initialed on its behalf and returned to Landlord
(“Approved Plans”).

     2.5 DELIVERY DATE. Landlord estimates that the Delivery Date will occur on
or before the Estimated Delivery Date. Landlord agrees to use diligent efforts
to deliver possession of the Premises to Tenant, with Landlord’s Work
completed,
by the Estimated Delivery Date; and Landlord agrees to apprise Tenant of any
delays respecting the Delivery Date. If the Delivery Date has not occurred by
the Outside Delivery Date, subject to a Force Majeure Event, such failure shall
be an Event of Default under Section 10.4 of this Lease entitling Tenant to
exercise any of its rights and remedies thereunder and, in addition, Tenant
shall have the right and option (in addition to all other remedies available at
law, in equity or hereunder) to terminate this Lease any time thereafter upon
written notice thereof given to Landlord prior to the Delivery Date actually
occurring.

     2.6 COMMENCEMENT OF CONSTRUCTION. If Landlord shall not have (i) obtained
all governmental permits and approvals required for Landlord’s Work and (ii)
commenced the construction and/or renovation of the Premises in accordance with
the Approved Plans within thirty (30) days of the Effective Date, then, at any
time thereafter, but prior to Landlord having obtained such permits and
approvals and commenced such work, Tenant shall have the right, in addition to
all other remedies, to terminate this Lease by giving Landlord written notice
thereof.

     2.7 FORCE MAJEURE. If the performance by Landlord of any of its
obligations
in this Article 2 is delayed by reason of the act or neglect of Tenant or act
of
God, riot, insurrection, war, catastrophe or act of the public enemy
(collectively “Force Majeure Events”), then the period for commencement or
completion thereof shall be extended for a period equal to such delay, provided
that Landlord has given Tenant written notice of the occurrence of the Force
Majeure Event within a reasonable time after the occurrence of such event and
the notice specifies the amount of the anticipated delay.

     2.8 PUNCH LIST. Tenant’s occupancy of the Premises shall not constitute
acceptance thereof, but, as soon as practicable thereafter after the Delivery
Date, Tenant shall provide Landlord with a list of items still to be completed
by Landlord (the “Punch List”). Landlord shall, with reasonable diligence,
commence to complete or correct the Punch List items, which shall be completed
within a reasonable time thereafter not to exceed thirty (30) days. Nothing
herein shall be deemed to diminish Landlord’s obligation to make any repairs
(including, without limitation, remedying any latent defects in Landlord’s
Work)
as required by Section 5.4 hereof.

Page 2

 

SECTION 3

TERM; OPTION TO EXTEND

     3.1 LEASE COMMENCEMENT DATE. The term of this Lease (the “Term”) shall
commence as of the Effective Date (the “Lease Commencement Date”), and shall
terminate on the date which is the last day of the month preceding the
fifteenth
(15th) anniversary date of the Lease Commencement Date unless extended by
Tenant
in accordance with any extension option contained in this Lease or any rider
thereto or unless terminated at an earlier date in accordance with the
provisions of this Lease. Landlord shall give Tenant possession of the Premises
on the Lease Commencement Date.

     3.2 EXTENSION TERMS. Tenant shall have the right to extend the Term of
this
Lease for two (2) additional terms of five (5) years each (the “Extension
Terms”
or individually an “Extension Term”) in its sole discretion upon delivering
written notice to the Landlord of its intent to exercise this option to extend
not less than ninety (90) days before the expiration date of the initial Term
or
of any previously exercised Extension Term of this Lease. If Tenant exercises
any of the Extension Terms in the manner provided for in this paragraph then
the
Lease shall terminate five (5) years after the initial expiration period or the
end of the previously exercised Extension Term unless a subsequent Extension
Term is exercised, and all provisions of this Lease shall be applicable to the
Extension Terms. As used herein, the reference to “Term” shall include the
Lease
Term and as extended by all Extension Terms.

     3.3 PRORATIONS. If any payments, rights or obligations hereunder (whether
relating to payment of rent, taxes, insurance, other impositions, or to any
other provision of this Lease) relate to a period in part before the Lease
Commencement Date or in part after the date of expiration or termination of the
term, appropriate adjustments and prorations shall be made.

     3.4 SURRENDER AT END OF TERM. Upon the last day of the lease Term or upon
the earlier termination of this Lease pursuant to the provisions hereof and
irrespective of when and how such termination occurs, Tenant shall surrender
and
deliver to Landlord the Premises, all buildings and improvements thereon, other
than Tenant’s Property, without delay, broom clean and in good order, condition
and repair, reasonable wear and tear and damage due to insured casualty
excepted, whereupon Tenant shall have no further right, title or interest in
and
to said Premises, subject to the other terms of this Lease. Any trade fixtures,
business equipment, inventory, trademarked items, signs and other removable
personal property located or installed in or on the Premises (“Tenant’s
Property”) shall be removed by Tenant on or before the last day of the lease
Term or upon the earlier termination of this Lease pursuant to the provisions
hereof, and Tenant shall repair any damage occasioned by the removal of
Tenant’s
Property. Landlord may remove and dispose of any of Tenant’s Property remaining
at the Premises after the expiration or termination of this Lease at Tenant’s
expense.

SECTION 4

RENT

     4.1 RENT. Commencing on the Lease Commencement Date, Tenant covenants and
agrees to pay to Landlord in lawful money of the United States of America,
during each lease year, an annual rental pursuant to the following schedule
(the
“Rent”), which amounts are equal to the rent due under the Prime Lease:

	 	 	 	 	 
	YEAR 1
	 	$15,500.00 monthly	 	$186,000.00 annually
	YEAR 2
	 	$16,145.83 monthly	 	$193,750.00 annually
	YEAR 3
	 	$16,791.67 monthly	 	$201,500.00 annually
	YEAR 4
	 	$17,437.50 monthly	 	$209,250.00 annually
	YEAR 5
	 	$18,083.33 monthly	 	$217,000.00 annually

The Rent shall be payable in equal monthly installments, in advance on or
before
the first day of each and every calendar month of the Term of this Lease. The
Rent shall be paid in addition to and over and above all other payments to be
made by Tenant herein. The first lease year shall be a full year commencing on
the Lease Commencement Date and each following lease year shall be an annual

Page 3

 

period commencing on the anniversary date of the Lease Commencement Date.
Appropriate proration shall be made if the Lease Commencement Date is not on
the
first day of a calendar month, or if the date of termination of the lease is
not
on the last day of a calendar month.

During each Extension Term, the Rent for the Premises shall be the “Fair Market
Rent” determined as hereinafter provided. Within fifteen (15) days after
receipt
of Tenant’s notice of exercise of its option to extend the Term of this Lease,
Landlord shall give Tenant written notice of the Fair Market Rent proposed by
Landlord for the Renewal Term. Within fifteen (15) days of Landlord’s notice of
the proposed Fair Market Rent, the Tenant may, by written notice to the
Landlord, (i) accept the proposed Fair Market Rent, (ii) revoke its election to
renew the applicable term, or (iii) reject the proposed Fair Market Rent and
elect that Fair Market Rent be determined in accordance with the procedures set
forth herein. Within five (5) days after Tenant gives notice of its election
under subsection (iii) above, each party, at its sole cost and by giving notice
to the other party, shall appoint a fully licensed and certified real estate
appraiser with at least five (5) years commercial appraisal experience in
Massachusetts to appraise and establish the Fair Market Rent for the Premises.
Fair Market Rent shall be based upon rent for comparable buildings for
comparable uses in the Greater Woburn area for a similar term taking into
consideration factors such as the building age, size, amenities and location.
If
a party does not appoint an appraiser within five (5) days after the other
party
has given notice of the name of its appraiser, the single appraiser appointed
shall be the sole appraiser and shall set the Fair Market Rent for the Premises
for the Extension Term. If the two appraisers are appointed by the parties as
stated in this paragraph, they shall each submit within fifteen (15) days of
the
appointment of the second appraiser, a written appraisal stating the Fair
Market
Rent for the Premises. If the lower of the two appraisals is less than ten
percent (10%) lower than the higher appraisal, the average of the two
appraisals
will be deemed the Fair Market Rent for the Premises. If the lower appraisal is
more than ten percent (10%) lower than the higher appraisal, then the two
appraisers shall within five (5) days select a third appraiser who meets the
qualifications stated in this paragraph. Each of the parties shall bear one
half
of the cost of paying for the third appraiser’s fee. Within fifteen (15) days
after the selection of the third appraiser, a majority of the appraisers shall
set the Fair Market Rent for the Premises. If a majority of the appraisers are
unable to set the Fair Market Rent within the stipulated period of
time, the three appraisals shall be added together and their total divided by three. The
resulting quotient shall be the Fair Market Rent for the Premises, unless the
low appraisal and/or the high appraisal is/are more than 10% lower and/or
higher
than the middle appraisal, in which case the lower appraisal and/or the high
appraisal shall be disregarded. If only one appraisal is disregarded, the
remaining two appraisals shall be added together and their total divided by
two.
The resulting quotient shall be the Fair Market Rent for the Premises. In no
event shall the Fair Market Rent during the Extension Term be lower than the
Fair Market Rent for the last year of the Term or prior Extension Term, as the
case may be.

Notwithstanding the foregoing provisions for the payment of Rent, which
provisions correspond to the rent provisions in the Prime Lease, it is
anticipated that Landlord will close on the acquisition of the Premises on
August 13, 2001 or shortly thereafter (the “Closing”). Effective upon the
occurrence of the Closing, this Lease shall no longer be a sublease but shall
continue as a direct Lease between Landlord, as owner of the Premises, and
Tenant upon all of the terms and conditions set forth herein. Concurrent with
the Closing, Landlord shall reimburse Tenant in full for all amounts advanced
by
Tenant toward the cost of completing Landlord’s Work, which amounts are
estimated to total approximately $1,600,000.00 (the “Reimbursement Amount”).
Accordingly, upon the latter to occur of: (i) the Closing; and (ii) the payment
of the Reimbursement Amount (hereinafter referred to as the “Recalculation
Date”), the Rent previously referenced in this Lease shall be deleted and, in

Page 4

 

lieu thereof, the Rent shall be calculated by taking the actual costs incurred
by Landlord to purchase the Premises (i.e.- the cost of the building and the
land, which amount Landlord estimates to be approximately $1,810,000.00 plus
reasonable closing costs) and adding thereto the Reimbursement Amount and
taking
this sum and multiplying it by the Cap Rate (as hereinafter defined) to arrive
at the per annum rent figure for the remaining Lease Term. Landlord shall
provide to Tenant a copy of the closing statement for the purchase of the
Premises and such other reasonable documentation requested by Tenant. The Cap
Rate shall be 11.5% per annum for the remaining Lease Term if Landlord obtains
financing at a fixed rate of interest. If Landlord’s financing provides for an
adjustable interest rate (the “Mortgage Rate”), then the Cap Rate for the first
five (5) years after the Recalculation Date shall be 11.5% per annum.
Thereafter, if Landlord’s existing mortgagee increases the Mortgage Rate, then
Tenant’s Cap Rate shall also increase by the same percentage point increase but
Tenant’s Cap Rate shall not increase by more than two (2) percentage points
once
every five (5) year period (“ceiling”). By way of example, if Landlord’s
Mortgage Rate as of the Recalculation Date is 8.5% per annum and, after a five
(5) year period, Landlord’s mortgagee increases Landlord’s Mortgage Rate by one
(1) percent to 9.5% per annum, then Tenant’s Cap Rate shall be adjusted to
12.5%
per annum (i.e.-one (1) percentage point). Should Landlord’s Mortgage Rate
decrease, then Tenant’s Cap Rate shall also decrease by the same percentage
point decrease, but in no event shall Tenant’s Cap Rate decrease to a rate less
than 11.5% per annum (“floor”). Prior to any adjustment in the Cap Rate,
Landlord shall provide Tenant with reasonable documentation showing the
adjustment in the Mortgage Rate, the recalculation of the Cap Rate and the
recalculation of the Rent for the next five (5) year period. The increase or
decrease in the Rent, as the case may be, shall be retroactive to the date the
Mortgage Rate was adjusted (provided that the Cap Rate shall only be adjusted
once every five (5) years throughout the Lease Term and all extensions thereof
and subject to the ceiling and floor on the Cap Rate as described herein). If,
subsequent to the Closing, Landlord refinances its mortgage on the Premises
with
a bona fide third party lender, then the provisions of this paragraph shall
continue to apply including the limitation on adjustment of the Cap
Rate once every five (5) years during the Term and subject to the ceiling and the floor
as
provided herein. Payment of the recalculated Rent shall be retroactive to the
Recalculation Date and the appropriate proration shall be made if the
Recalculation Date is not the first day of a calendar month. The parties shall
execute, acknowledge and deliver to each other the written statement attached
hereto as Exhibit “C” specifying the Recalculation Date and the recalculated
Rent payable by Tenant hereunder. Further, upon request of either party, the
parties shall re-execute the written statement after any adjustment in the Rent
hereunder. In the event the Closing does not occur or in the event the Closing
does occur but Landlord fails to pay Tenant the Reimbursement Amount, then the
Rent shall not be calculated pursuant to the foregoing formula in the first
paragraph of this Section 4.1.

     4.2 TAXES.

          (a) Tenant shall be responsible for the payment of all real property
taxes and assessments (“Real Estate Taxes”) levied against the Premises by any
governmental or quasi-governmental authority, which are due and payable during
the Term hereof, except as set forth herein. Real Estate Taxes shall include
any
taxes, assessments, surcharges, or service or other fees of a nature not
presently in effect which shall hereinafter be levied on the Premises as a
result of the use, ownership or operation of the Premises or for any other
reason, whether in lieu of or in addition to any current real estate taxes and
assessments. Any special assessments will be amortized over the maximum period
allowed by law or applicable tax rules, whichever is longer, and Real Estate
Taxes will include only the prorated and amortized amount, which becomes due
during the Term hereof. Real Estate Taxes shall exclude any income, excess
profits, single business, inheritance, succession, transfer, franchise, capital
or other tax assessments upon Landlord or Landlord’s interest in the Premises.

Page 5

 

          (b) Tenant shall remit all payments for Real Estate Taxes directly to
the taxing or assessing authority unless Landlord has paid the Real Estate
Taxes
to avoid interest or penalties accruing thereon, in which event the Real Estate
Taxes shall be immediately due and payable to Landlord. Upon receipt of all tax
bills and assessment bills attributed to any calendar year during the Term
hereof Landlord shall furnish Tenant with a copy of the tax bill or assessment
bill upon receipt so as to allow Tenant to take advantage of the maximum
payment
discount available, if Tenant so desires. Tenant shall provide to Landlord
written proof of payment of Real Estate Taxes at the time such payments are
made.

          (c) Tenant will have the right to contest, at its sole expense, the
amount or validity, in whole or in part, of any tax that Tenant is required to
pay, in whole or in part, by appropriate proceedings diligently conducted in
good faith, only after paying such tax or posting such security that Landlord
reasonably requires in order to protect the Premises against loss or
forfeiture.
Upon the conclusion of any such protest proceedings, Tenant will pay its share
of the tax, as finally determined, in accordance with this Lease, the payment
of
which tax may have been deferred during the prosecution of the proceedings,
together with any costs, fees, interest, penalties, or other related
liabilities. Landlord will not be required to join in any contest or
proceedings
unless the provisions of any law or regulations then in effect require that the
proceedings be brought by or in the name of Landlord. In that event, Landlord
will join in the proceedings or permit them to be brought in its name; however,
Landlord will not be subjected to any liability for the payment of any costs or
expenses in connection with any contest or proceedings, and Tenant will
indemnify Landlord against and save Landlord harmless from any costs and
expenses in this regard.

     4.3 SERVICES AND UTILITIES.

          (a) Landlord shall not be liable to Tenant for any interruption of utility
services to the Premises not caused by Landlord, its agents, employees or
contractors; provided, however (i) Landlord shall be obligated to use its best
efforts to obtain the resumption of such utility services as quickly as is
reasonably possible (unless such interruption of service was caused by the
negligence of Tenant, or anyone acting by, through or under Tenant), and (ii)
if
any utility service is interrupted as a result of acts or omissions of
Landlord,
its agents, employees or contractors, there shall be an abatement of Rent on a
per diem basis during the period that such interruption continues. Tenant shall
have the right, throughout the Lease Term, to install, replace, maintain and
use
such additional utility lines, conduits and facilities, and upon request by
Tenant, Landlord agrees to grant to utility companies (public or private)
providing said utility lines, facilities and/or service to the Premises,
perpetual, non-exclusive rights and easements to install, replace, relocate,
repair, operate and maintain lines, pipes, wires, conduits and other facilities
(together with the right of ingress and egress and other rights appurtenant
thereto), on, under, across and within the Premises as may from time to time be
necessary or desirable to supply the Premises with adequate utility service.

          (b) Tenant shall pay for all water, gas, heat, light, power, telephone,
trash disposal and other utilities and services supplied to the Premises,
together with any taxes thereon.

SECTION 5

USE; COMPLIANCE WITH LAWS; MAINTENANCE AND REPAIRS

     5.1 USE OF PREMISES. Tenant shall have the right to use the Premises for
any lawful purpose. Tenant shall not commit waste on the Premises and shall not
use the Premises for any unlawful or improper purpose or in violation of any
certificate of occupancy or any ordinances or for any purpose which may
constitute a nuisance, public or private, nor suffer any dangerous article to
be
brought on the Premises without permits if permits are required and unless
safeguarded as required by law.

Page 6

 

     5.2 COMPLIANCE WITH LAWS. Tenant shall reasonably, promptly and
effectively
comply with all applicable and lawful statutes, regulations, rules, ordinances,
orders and requirements of any public official or agency having jurisdiction in
respect of the Premises and Tenant’s specific use thereof (herein referred to
as
governmental authorities). Landlord shall promptly give notice to Tenant of any
written notice in respect of the Premises from governmental authorities. Tenant
may, in good faith and at its sole expense, dispute the validity of any
complaint or action taken pursuant to or under color of any of the foregoing,
defend against the same, and in good faith diligently conduct any necessary
proceedings to prevent and avoid any adverse consequence of the same. Tenant
agrees that any such contest shall be prosecuted to a final conclusion as
speedily as possible, and Tenant will hold Landlord completely harmless with
respect to any actions taken by any governmental authorities with respect
thereto.

     5.3 MAINTENANCE AND REPAIRS BY TENANT. Except as otherwise provided in
Section 5.4 below, throughout the Term of this lease Tenant shall, at Tenant’s
sole cost and expense, keep the Premises and all improvements (if any) in good
order, condition and repair and shall make or cause to be made all
repairs to correct any damage thereto including without limitation the maintenance, repair
and replacement of the plumbing system, the electrical system, the utility
lines
and connections to the Premises, the sprinkler mains, if any, and the heating,
ventilation, and air conditioning system. Notwithstanding anything to the
contrary set forth herein, in no event shall Tenant be responsible in any way
for any of the following:

          (a) Costs of repairs or other work occasioned by fire, windstorm or
other insured casualty except as provided in Section 7 of the Lease.

          (b) Costs of repairs or rebuilding necessitated by condemnation.

          (c) Any costs, fines or penalties relating to environmental
investigation or remediation on, in or under the Premises not resulting from
the
acts or omissions of Tenant, its agents and contractors.

     5.4 MAINTENANCE, REPAIR AND REPLACEMENT BY LANDLORD. Landlord shall be
responsible for at Landlord’s sole cost and expense for the maintenance, repair
and replacement of any structural components including, without limitation, the
roof, roof membrane, load bearing walls and floor slabs and masonry walls and
foundations. Landlord shall do all acts required to comply with all applicable
laws, ordinances, regulations and rules of any public authority relating to the
Premises, except to the extent that the foregoing are solely a result of
Tenant’s use of the Premises. Landlord shall, at Landlord’s sole cost and
expense (and, notwithstanding any provision of this Lease to the contrary, not
to be charged to Tenant under this Lease), remedy any latent defects relating
to
the Premises, including, without limitation, defects arising out of or relating
to Landlord’s Work. Landlord hereby assigns to Tenant (to the extent
assignable)
all warranties, if any, received by Landlord from contractors, subcontractors,
suppliers, manufacturers, and for material for construction of that portion of
the Premises which is the Landlord’s Work but which will be Tenant’s
maintenance
responsibility; alternatively, Landlord shall allow Tenant to enforce such
warranties, if any, in Landlord’s name at no cost of liability to Landlord.
Landlord shall do all acts required to comply with all applicable laws,
ordinances, regulations and rules of any public authority relating to the
Premises, except to the extent that the foregoing are solely a result of
Tenant’s particular use of the Premises.

     5.5 ACCESS; INSPECTION BY LANDLORD. Landlord and its agents shall have the
right at all reasonable times during the Term to enter the Premises for the
purpose of inspecting same, to show the Premises to prospective purchasers and
lenders, to place “For Sale” signs thereon and, during the last one hundred

Page 7

 

eighty (180) days of the Term, to show the Premises to prospective tenants and
to place “For Rent” signs thereon. Landlord agrees not to interfere with
Tenant’s operations at the Premises during any such inspection and any signage
placed on the Premises by Landlord shall not interfere with Tenant’s operations
at the Premises during any such inspection and any signage placed on the
Premises by Landlord shall not interfere with any of Tenant’s signage or
displays.

SECTION 6

ALTERATIONS; LIENS; SIGNAGE

     6.1 ALTERATIONS. Tenant shall not make any structural alterations in the
Premises exceeding $25,000.00 without Landlord’s prior written consent, not to
be unreasonably withheld or delayed. Tenant shall have the right to make
interior, non-structural alterations, and structural alterations
under $25,000.00, without Landlord’s consent, provided such alterations are made
without cost to Landlord and provided further that (a) no such alterations
shall
lessen the fair market value of the Premises, (b) all alterations, additions or
improvements shall be constructed in a workmanlike manner, and (c) if Tenant
had
plans and/or drawings prepared in connection with such alterations, a set of
such plans or drawings shall be provided to Landlord subsequent to the
completion of such alterations.

     6.2 LIENS. All persons are put on notice of the fact that the Tenant under
no circumstances shall have the power to subject the interest of the Landlord
in
the Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of the Tenant or any
person claiming under, by or through the Tenant, must look wholly to the
interest of the Tenant and not to that of the Landlord. Tenant covenants and
agrees with Landlord that Tenant will not permit or suffer to be filed or
claimed against the interest of the Landlord in the Premises during the
continuance of this Lease any lien or liens of any kind by any person claiming
under, by, through or against the Tenant; and if any such lien is claimed or
filed, it shall be the duty of the Tenant shall, without regard to the validity
of such lien, within sixty (60) days after the claim of lien or suit claiming a
lien has been filed, cause the Premises to be released from such claim, either
through payment or through bonding with corporate surety or through deposit
into
court, pursuant to statute, of the necessary sums of money, or in any other way
that will effect the release of the Landlord’s interest in the Premises from
such claim.

     6.3 SIGNAGE. Notwithstanding anything to the contrary set forth in this
Lease, Tenant shall have the absolute right to install such signage on the
Premises as Tenant may deem necessary or appropriate, subject to appropriate
governmental approvals which Tenant shall obtain and comply with at Tenant’s
sole expense. Landlord agrees to fully cooperate with Tenant at Tenant’s
expense
in filing any required signage application, permit and/or variance for said
signage or with respect to the Premises generally.

SECTION 7

INSURANCE

     7.1 TYPES OF INSURANCE. Tenant shall, at its own cost and expense, carry
the following insurance in respect of the Premises and improvements:

          (a) Comprehensive public liability insurance in an amount not less
than $1,000,000.00 combined bodily injury and property damage liability.

          (b) With respect to improvements (if any), insurance against loss or
damage by all risks including fire and other risks covered by fire insurance
with extended coverage endorsements in an amount of the full insurable
replacement value of such improvements (exclusive of cost of excavation,

Page 8

 

foundation, and footings below the ground floor and without deduction for
depreciation) and in amounts sufficient to prevent Landlord or Tenant from
becoming a co-insurer under such policies of insurance.

     7.2 PROVISIONS APPLICABLE TO ALL INSURANCE. With respect to all insurance
required to be maintained hereunder by Tenant:

          (a) Each such policy shall name Landlord, Tenant and any mortgagee as
insured as their interests appear and shall contain a Standard
Mortgagee Clause reasonably satisfactory to Landlord.

          (b) Tenant shall, at Tenant’s sole cost and expense, observe and
comply with all policies of insurance in force with respect to the Premises and
improvements.

          (c) Upon Landlord’s request, Tenant shall send to Landlord
certificates of insurance or receipts or other evidence satisfactory to
Landlord
showing the payments of all premiums and other charges due thereon.

From and after the date of the commencement of construction of Landlord’s Work
and through the completion of construction, Landlord shall procure, at its sole
cost and expense, a builder’s risk policy upon the building and the site
improvements in an amount equal to the full replacement value of the building
and the site improvements.

     7.3 LANDLORD RIGHT TO OBTAIN INSURANCE. If Tenant shall fail to maintain
any such insurance required hereunder, Landlord may, at Landlord election,
after
ten (10) days written notice to Tenant, procure the same and make demand for
immediate payment thereof, adding the premium cost to the monthly installment
of
rental next due, it being hereby expressly covenanted and agreed that payment
by
Landlord of any such premium shall not be deemed to waive or release the
obligation of Tenant to make payment thereof. Tenant’s failure to either
procure
or maintain the insurance required hereunder or to reimburse Landlord, after
thirty (30) days written notice from Landlord to Tenant, shall constitute a
default by Tenant under this Lease.

     7.4 USE OF INSURANCE PROCEEDS. Any insurance proceeds recovered by reason
of damage to or destruction of improvements on the Premises shall be made
available to Tenant and must be used to repair, restore or replace the
improvements so damaged or destroyed with any excess proceeds made available to
Tenant.

     7.5 DAMAGE OR DESTRUCTION. If the Premises are damaged or destroyed
(partially or totally) during the Term by fire or other casualty, Tenant shall
either (i) restore the Premises to substantially the same condition as existed
prior to such casualty or (ii) restore the Premises in accordance with such
plans and specifications as are then generally in use by Tenant for the
construction of its stores. Notwithstanding anything to the contrary if such
casualty occurs during the last two (2) years of the Term and the improvements
on the Premises are damaged to the extent of eighty percent (80%) or more of
their replacement value, then Tenant may terminate this Lease by giving written
notice to Landlord within sixty (60) days of the casualty and the Lease shall
terminate within thirty (30) days after Tenant’s written notice, whereupon
Landlord shall be entitled to all proceeds of insurance and right of recovery
against insurers covering such damage. If Tenant elects to rebuild or restore
the Premises, it shall proceed with reasonable speed and diligence until such
repairs or restoration are completed.

     7.6 SUBROGATION. Landlord and Tenant shall each obtain from their
respective insurers under all policies of fire, theft, public liability,
workers’ compensation and other insurance maintained by either of them at any
time during the Term hereof insuring or covering the Premises, a waiver of all
rights of subrogation which the insurer of the party might otherwise have, if
at
all, against the other party.

Page 9

 

SECTION 8

EMINENT DOMAIN

     If any portion of the Premises which materially affects Tenant’s ability
to
continue to use the remainder thereof for the purposes set forth herein, or
which renders the Premises untenantable, is taken by right of eminent domain or
by condemnation, or is conveyed in lieu of any such taking, then this Lease may
be terminated at the option of Tenant. Such option shall be exercised by Tenant
giving notice to Landlord of such termination within thirty (30) days after
such
taking or conveyance, whereupon this Lease shall forthwith terminate and the
Rent shall be duly apportioned as of the date of such taking or conveyance.
Upon
such termination, Tenant shall surrender to Landlord the Premises and all of
Tenant’s interest therein under this Lease, and Landlord may re-enter and take
possession of the Premises or remove Tenant therefrom. If any portion of the
Premises is taken which does not materially affect Tenant’s right to use the
remainder of the Premises for the purposes set forth herein, this Lease shall
continue in full force and effect, and Landlord shall promptly perform any
repair or restoration work required to restore the Premises, insofar as
possible, to its former condition, and the rental owing hereunder shall be
adjusted, if necessary, in such just manner and proportion as the part so taken
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. In the event of taking or conveyance as described herein,
Landlord
shall receive the award or consideration for the lands and improvements so
taken; provided, however, that Landlord shall have no interest in any award
made
for Tenant’s loss of business or value of its leasehold interest or for the
taking of Tenant’s fixtures or property, or for Tenant’s relocation expenses.
Landlord and Tenant shall cooperate with one another in making claims for
condemnation awards.

SECTION 9

ASSIGNMENT AND SUBLETTING; ATTORNMENT; TENANT FINANCING

     9.1 ASSIGNMENT BY LANDLORD. At any time, Landlord may sell its interest in
the Premises or assign this Lease or Landlord’s reversion hereunder, either
absolutely or as security for a loan, without the necessity of obtaining
Tenant’s consent or permission, but any such sale or assignment shall be at all
times subject to this Lease and the rights of Tenant hereunder.

     9.2 ASSIGNMENT AND SUBLETTING BY TENANT. Tenant shall have the right to
assign, sublet or otherwise transfer its interest in this Lease and its rights
hereunder to any entity or person, with Landlord’s written consent, which shall
not be unreasonably withheld, conditioned or delayed. In connection with the
foregoing, the failure of Landlord to respond in writing within thirty (30)
days
after Tenant’s request for Landlord’s consent shall be deemed to constitute
Landlord’s approval of the proposed assignment, subletting or transfer.
Notwithstanding the foregoing, Tenant may assign, sublet or otherwise transfer
its interest in this Lease without Landlord’s consent, written or otherwise, to
any (i) parent, subsidiary or affiliate of Tenant, or to a corporation or other
business entity with which Tenant may merge, amalgamate or consolidate, or (ii)
entity in which the Premises is intended to be leased back by such entity to
Tenant or any parent, subsidiary or affiliate of Tenant or to a corporation or
other business entity with which Tenant may merge, amalgamate or consolidate.
Notwithstanding any assignment of the Lease pursuant to the preceding two (2)
sentences, Tenant shall not be released from liability hereunder so long as the
Lease is not modified or amended in any respect without the prior written
approval of Tenant. Notwithstanding the foregoing, in the event of an
assignment
or other transfer, if the net worth of Tenant’s assignee or transferee (or a
guarantor of such assignee or transferee) exceeds Fifty Million and
00/100 Dollars ($50,000,000.00) (the “Minimum Net Worth”), Tenant shall be released of
any and all further liability under this Lease and if such assignee does not
have the Minimum Net Worth as of the effective date of such assignment, but
such

Page 10

 

assignee or transferee (or a guarantor of such assignee or transferee) attains
the Minimum Net Worth thereafter, Tenant shall be immediately and automatically
released from any further liability under this Lease from and after such
subsequent date. Tenant shall deliver to Landlord a copy of the document of
assignment, subletting or transfer as soon as reasonably possible after the
full
execution thereof by both parties thereto. This Lease contains no provision
restricting, purporting to restrict or referring in any manner to a change in
control or change in stockholders, directors, management or organization of
Tenant, or any subsidiary, affiliate or parent of Tenant or, to the issuance,
sale, purchase, public offering, disposition or recapitalization of the capital
stock of Tenant, or any subsidiary, affiliate or parent of Tenant.

     9.3 ATTORNMENT. Any assignee of Landlord or Tenant hereby agrees to attorn
to the Tenant or Landlord, respectively, as the case may be.

     9.4 TENANT FINANCING. Tenant shall have the absolute right from time to
time during the Term hereof and without Landlord’s further approval, written or
otherwise, to grant and assign a mortgage or other security interest in
Tenant’s
interest in this Lease and all of Tenant’s property located on or used in
connection with the Premises to Tenant’s lenders in connection with Tenant’s
financing arrangements. Landlord agrees to execute such confirmation
certificates and other documents (except amendments to this Lease unless
Landlord hereafter consents) as Tenant’s lenders may reasonably request in
connection with any such financing.

SECTION 10

DEFAULT AND REMEDIES

     10.1 EVENTS OF DEFAULT. If:

          (a) Tenant shall default in the due and punctual payment of the Rent,
insurance premiums, impositions or any other amounts or rents due under this
Lease or any part thereof, and such default shall continue for twenty (20) days
after notice thereof in writing to Tenant; or

          (b) Tenant shall default in the performance or in compliance with any
of the other covenants, agreements or conditions contained in this Lease
(including any assignment or subletting in violation of Section 9.2 of this
Lease) and such default shall not be cured within thirty (30) days after notice
thereof in writing from Landlord to Tenant or such longer period of time if the
default is not susceptible to cure within such period provided Tenant is
diligently pursuing such cure; or

          (c) Tenant shall file a petition in voluntary bankruptcy or under
Chapter VII or XI of the United States Bankruptcy Code or any similar law,
state
or federal, whether now or hereafter existing, or an answer admitting
insolvency
or inability to pay its debts, or fail to obtain a vacation or stay of
involuntary proceedings within ninety (90) days after the involuntary petition
is filed; or

          (d) Tenant shall be adjudicated a bankrupt, or a trustee or receiver
shall be appointed for Tenant or for all of its property or the major part
thereof in any involuntary proceedings, or any court shall have taken
jurisdiction of the property of Tenant or the majority part thereof in any
involuntary proceeding for reorganization, dissolution, liquidation or winding
up of Tenant, and such trustee or receiver shall not be discharged or such
jurisdiction relinquished or vacated or stayed on appeal or otherwise within
ninety (90) days; or

          (e) Tenant shall make an assignment for the benefit of its creditors;
then and in any such event referred to in clauses (a), (b), (c), (d) or (e)
above Landlord shall have the remedies with respect to the Premises as set
forth
below.

Page 11

 

     10.2 LANDLORD’S REMEDIES UPON DEFAULT. Upon the occurrence of an Event of
Default by Tenant, then Landlord shall be entitled to the following remedies:

          (a) Terminate this Lease by giving written notice of termination to
Tenant, in which event Tenant shall immediately surrender the Premises to
Landlord. If Tenant fails to so surrender the Premises, then Landlord may,
without prejudice to any other remedy it has for possession of the Premises or
arrearages in rent or other damages, re-enter and take possession of the
Premises without trespass and expel or remove Tenant and any other person
occupying the Premises or any part thereof, in accordance with applicable law;
or

          (b) Landlord may re-enter and take possession of the Premises without
terminating the Lease in accordance with applicable law, and relet the Premises
and apply the Rent received to the account of Tenant. In the event Landlord so
re-enters and takes possession of the Premises as set forth above, Landlord
agrees to use reasonable efforts to relet the Premises for a commercially
reasonable rate at the time of such reletting. No reletting by Landlord is
considered to be for Landlord’s own account unless Landlord has notified Tenant
in writing that this Lease has been terminated. In addition, no such reletting
is to be considered an acceptance of Tenant’s surrender of the Premises unless
Landlord so notifies Tenant in writing.

Notwithstanding anything to the contrary set forth herein, in no event
shall Landlord have the right to accelerate Rent (unless Tenant shall be more
than ninety (90) days delinquent in the payment of Rent or such other amounts
payable, after expiration of notice and all cure periods hereunder). In no
event
shall Landlord have the right to sue Tenant for any consequential, punitive or
incidental damages (including, without limitation, any claims for lost profits
and/or lost business opportunity). If Landlord does accelerate the Rent, then
the accelerated rent shall be an amount equal to the Rent payable over the
balance of the Lease Term (as if this Lease had not been terminated) less the
fair rental value of the Premises for the corresponding period. The accelerated
rent shall be discounted to the date payable at an annual interest rate equal
to
the prime rate as published from time to time in the Money Section of the Wall
Street Journal, or if same is not published anymore then at the prime rate
published by Citibank in Florida. Upon payment of the accelerated rent
discounted to present value, Tenant shall be released from any and all further
liability under this Lease.

     10.3 MITIGATION OF DAMAGES. In the event that a right of action by
Landlord
against Tenant arises under this Lease, Landlord shall attempt to mitigate
damages by using commercially reasonable efforts to seek to relet the Premises.

     10.4 LANDLORD’S DEFAULT. The failure of Landlord to perform any covenant,
condition, agreement or provision contained herein within thirty (30) days
after
receipt by Landlord of written notice of such failure or Landlord’s breach of

     any representation of warranty contained herein shall constitute an “Event of
Default” hereunder. Upon the occurrence and continuance of an Event of Default,
Tenant may, at its option and without any obligation to do so, other than those
obligation created in this document, elect any one or more of the following
remedies:

          (a) Terminate and cancel this Lease provided Landlord is in material
default under this Lease and provided Tenant has delivered a second notice of
such default to Landlord and to Landlord’s lender (whose address Landlord shall
provide to Tenant upon request) and such default remains uncured for thirty
(30)
days after Landlord and Landlord’s lender’s receipt of such notice; or

          (b) Withhold payment or performance under the Lease until such time as
such Event of Default is cured; or

Page 12

 

          (c) Cure such Event of Default and recover the costs thereof by an
action at law or by set off against the Rent due hereunder; or

          (d) Pursue any other remedy now or hereafter available at law or in
equity in the state in which the Premises are situated.

SECTION 11

OTHER PROVISIONS

     11.1 REMEDIES TO BE CUMULATIVE. No remedy conferred upon or reserved to
Landlord or Tenant shall be considered exclusive of any other remedy, but the
same shall be cumulative and shall be in addition to every other remedy given
under this Lease or now or hereafter existing at common law or by statute.
Every
power and remedy given Landlord or Tenant may be exercised from time to time
and
as often as occasion may arise or may be deemed expedient.

     11.2 NOTICES. All notices, requests, demands or other communications which
may be or are required or permitted to be served or given hereunder (in this
Section collectively called “Notices”) shall be in writing and shall be sent by
registered or certified mail, return receipt requested, postage prepaid, or by
a
nationally recognized overnight delivery service to Tenant or to Landlord at
the
address set forth below. Either party may, by Notice given as aforesaid, change
its address for all subsequent Notices. Notices shall be deemed given when
received in accordance herewith.

	 	 	 
	If to Landlord:

	 	TREC, LLC

217 Whitney Street

Northboro, Massachusetts 01532
	 
	 	 
	with a copy to:

	 	M. Robert Queler, Esq.

865 Providence Highway

Dedham, Massachusetts 02026
	 
	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301

Attn: Jorge L. Martin, Vice President of Real

Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	Akerman, Senterfitt & Eidson, P.A.

350 East Las Olas Boulevard, Suite 1600

Fort Lauderdale, Florida 33301-4200

Attn: Theresa M. McLaughlin, Esq.

     11.3 NO-BROKER. Landlord and Tenant each warrant to the other that no
broker or agent has been employed with respect to this Lease and each agrees to
indemnify and hold the other harmless from any claims by any broker or agent
claiming compensation in respect of this Lease alleging an agreement by
Landlord
or Tenant, as the case may be.

     11.4 WAIVER OF JURY TRIAL. Landlord and Tenant waive trial by jury in any
action or proceeding brought by either of the parties hereto against the other
or on any counterclaim in respect thereof on any matters whatsoever arising out
of or in any way connected with the Lease, the relationship of Landlord and
Tenant, Tenant’s use or occupancy of the Premises and/or any claim of injury or
damage under this Lease.

Page 13

 

     11.5 NO PARTNERSHIP. Landlord shall not be construed or held to be a
partner or associate of Tenant in the conduct of Tenant’s business, it being
expressly understood and agreed that the relationship between the parties
hereto
is and shall at all times remain, during the lease term, that of Landlord and
Tenant.

     11.6 NON-WAIVER. No failure by Landlord or Tenant to insist upon the
performance of any covenant, agreement, provision or condition of this Lease or
to exercise any right or remedy, consequent upon a default hereunder, and no
acceptance of full or partial rent during the continuance of any such default,
shall constitute a waiver of any such default or of such covenant, agreement,
provision, or condition. No waiver of any default shall affect or alter this
Lease, but each and every covenant, agreement, provision and condition of this
Lease shall continue in full force and effect with respect to any other then
existing or subsequent default hereunder.

     11.7 GENDER AND NUMBER. Words of any gender used in this Lease shall be
held to include another gender and words in the singular number shall be held
to
include the plural and words in the plural shall be held to include the
singular, when the sense requires.

     11.8 CAPTIONS. The captions, titles and article, section or paragraph
headings are inserted only for convenience and they are in no way to be
construed as a part of this Lease or as a limitation on the scope of the
particular provisions to which they refer.

     11.9 GOVERNING LAW. This Lease is made pursuant to, and shall be governed
by, and construed in accordance with, the laws of the State in which the
Premises are located.

     11.10 SUCCESSORS AND ASSIGNS. The covenants, conditions and agreements in
this Lease shall bind and inure to the benefit of Landlord and Tenant and,
except as otherwise provided in this Lease, their respective heirs, devisees,
executors, administrators, legal representatives. distributees, successors and
assigns.

     11.11 AMENDMENT. Any agreement hereafter made shall be ineffective to
change, modify or discharge this Lease in whole or in part unless such
agreement
is in writing and signed by the party against whom enforcement of the change,
modification or discharge is sought.

     11.12 SHORT TERM LEASE. The parties agree to execute a short form
Memorandum of Lease in the form of Exhibit “D” attached hereto for recording
containing the names of the parties, a description of the Premises, the Term of
the Lease and such other provisions as the parties may deem appropriate.

     11.13 LIEN. Landlord hereby waives any statutory or common law rights it
may have granting Landlord a lien or the right to foreclose on any property of
Tenant, including without limitation, any of Tenant’s personal property and/or
the tenant improvements installed in the Premises by Tenant.

     11.14 REPRESENTATIONS AND WARRANTIES. Notwithstanding anything in this
Lease to the contrary, Landlord represents and warrants to Tenant that no
mortgages, deeds of trusts or liens or encumbrances of any nature presently
encumber Landlord’s title to the Premises except as set forth on Exhibit “E”,
attached hereto and incorporated herein by this reference; that none of said
encumbrances shall prohibit or impede the use of the Premises as contemplated
herein or create any financial obligation on the part of Tenant except as
expressly set forth herein; that Landlord has the full right, power and
authority to enter into this Lease and make the agreements contained herein on
its part to be performed; that the execution, delivery and performance of this
Lease has been duly authorized by Landlord; that the Lease constitutes the
valid
and binding obligation of Landlord, enforceable in accordance with its terms

Page 14

 

subject to applicable bankruptcy, insolvency, reorganization, moratorium and
other laws affecting the enforceability of creditors rights generally and the
application of equitable principles affecting the availability of remedies in
the nature of specific enforcement; that the making of this Lease and the
performance thereof will not violate any present zoning laws or ordinances of
which Landlord has knowledge or the terms or provisions of any mortgage, lease
or other agreement to which Landlord is a party or under which Landlord is
otherwise bound, or which restricts Landlord in any way with respect to the use
or disposition of the Premises; that Landlord has no knowledge of any pending
zoning changes, moratorium, road widening or construction affecting the
Premises; that the Premises are presently in compliance with any and all
applicable laws, including without limitation any laws pertaining to Hazardous
Materials (defined below) and Environmental Laws (defined below) and the
Americans With Disabilities Act of 1990; that the Premises will be kept in
compliance by Landlord, at its cost, with all applicable laws and regulations
enacted from and after the date of this Lease except when compliance is
required
solely as a result of Tenant’s use of the Premises; that the Premises are
presently zoned to permit the operation of the Premises as contemplated in this
Lease; that the Premises are free from defects, have been maintained in
accordance with normal industry practice and are in good operating condition
and
repair and are suitable for the purposes for which they are presently used; and
that the Premises presently include full legal access to one or more dedicated
public rights-of-way.

     11.15 SUBORDINATION AND ATTORNMENT. This Lease shall be subordinate to any
mortgage or deed of trust (now or hereafter placed upon the Premises), and to
any and all advances made under any mortgage or deed of trust and to all
renewals, modifications, consolidations, replacements and extensions thereof.
Tenant agrees to execute such documents as may be further required to evidence
such subordination or to make this Lease prior to the lien of any mortgage or
deed of trust, as the case may be, subject to the following sentence.
Notwithstanding the foregoing, Tenant shall only be obligated to subordinate
its
leasehold interest to any mortgage, deed of trust, or ground lease now or
hereafter placed upon the Premises if the holder of such mortgage or deed of
trust or the Landlord under such ground lease delivers to Tenant a
non-disturbance agreement substantially in accordance with the form attached
hereto as Exhibit “F” (the “Non-Disturbance Agreement”). Upon the mutual
execution of this Lease, Landlord shall deliver to Tenant a Non-Disturbance
Agreement executed by Landlord and any present lender having a deed of trust or
mortgage on the Premises.

     11.16 HAZARDOUS MATERIALS. Tenant shall not do anything throughout the
Term
of this Lease and any extension thereof that will violate any Environmental
Laws
(defined below). Tenant shall indemnify, defend and hold harmless Landlord, its
directors, officers, employees, and agents and assignees or successors to
Landlord’s interest in the Premises, their directors, officers, employees, and
agents from and against any and all losses, claims, suits, damages, judgments,
penalties and liability including, without limitation, (i) all out-of-pocket
litigation costs and reasonable attorneys’ fees, (ii) all damages (including
consequential damages), directly or indirectly arising out of the presence,
use,
generation, storage, release or threatened release or disposal of Hazardous
Materials on, under or in the Premises after the Lease Commencement Date by or
due to the acts or omissions of Tenant or its agents and contractors, and (iii)
the cost of and the obligation to perform any required or necessary repair,
clean-up, investigation, removal, remediation or abatement, and the preparation
of any closure or other required plans, whether such action is required or
necessary following the Lease Commencement Date to the full extent that such
action is attributable, directly or indirectly, to the presence, use,
generation, storage, release or threatened release or disposal of Hazardous
Materials on, under or in the Premises due to the acts or omissions of Tenant
or
its agents and contractors. This indemnification obligation of Tenant does not
extend to any repair, clean-up, investigation, removal, remediation or
abatement
of Hazardous Materials (i) which were present on, under or in the Premises

Page 15

 

before or on the Lease Commencement Date or (ii) for which Landlord is
otherwise
obligated to indemnify Tenant pursuant to this Paragraph 11.16.

     Landlord shall indemnify, defend and hold harmless Tenant, its directors,
officers, employees, and agents, and any assignees, subtenants or successors to
Tenant’s interest in the Premises, their directors, officers, employees, and
agents, from and against any and all losses, claims, suits, damages, judgments,
penalties, and liability including, without limitation, all (i) out-of-pocket
litigation costs and reasonable attorneys’ fees, (ii) all damages (including
consequential damages), directly or indirectly arising out of the presence,
use,
generation, storage, release, threatened release or disposal of Hazardous
Materials on, under or in the Premises before or after the Lease Commencement
Date by or due to the actions or omissions of any person other than Tenant or
its agents and contractors, and (iii) the cost of and the obligation to perform
any required or necessary repair, clean-up, investigation, removal, remediation
or abatement and the preparation of any closure or other required plans,
whether
such action is required or necessary prior to or following the Lease
Commencement Date, to the full extent that such action is attributable,
directly
or indirectly, to the presence, use, generation, storage, release, threatened
release, or disposal of Hazardous Materials on, under or in the Premises due to
the actions or omissions of any person other than Tenant or its agents and
contractors.

     For
the purpose of this Paragraph 11.16, Hazardous Materials shall include but not be limited to substances defined as “hazardous substances,” “hazardous
materials,” or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801 et
seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, of et
seq.; the common law; and any and all state, local or federal laws, rules,
regulations and orders pertaining to environmental, public health or welfare
matters, as the same may be amended or supplemented from time to time
(collectively, the “Environmental Laws”). Any terms mentioned in this Lease
which are defined in any applicable Environmental Laws shall have the meanings
ascribed to such terms in such laws, provided, however, that if any such laws
are amended so as to broaden any term defined therein, such broader meaning
shall apply subsequent to the effective date of such amendment.

     In the event any clean-up, investigation, removal, remediation, abatement,
or other similar action on, in or under the Premises is required by any
governmental or quasi-governmental agency as a result of the actions or
omissions of any party other than Tenant or its agents, contractors or invitees
before or after the Lease Commencement Date and such action requires that
Tenant
be closed for business for greater than a twenty four (24) hour period, or if
access to the Premises as a result of such action is materially adversely
affected for a period in excess of twenty four (24) hours, then Tenant’s rental
and other payment obligations under this Lease shall be abated entirely during
the period beyond the twenty four (24) hours that Tenant is required to be
closed for business or abated in proportion to the part required to be closed
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. Moreover, if Tenant is required to be closed for business during
such remediation for a period of one hundred and eighty (180) consecutive days,
then Tenant shall have the right to terminate this Lease upon thirty (30) days
prior written notice, whereupon the parties shall be relieved from any and all
liability hereunder except for the environmental indemnity and other
indemnities
in this Lease that specifically survive the termination or expiration of this
Lease. Should Tenant not be required to close its business during such
remediation then Tenant shall not have the right to terminate this Lease due to
such remediation.

     The provisions of this Paragraph 11.16 shall survive the expiration or
sooner termination of this Lease.

Page 16

 

     11.17 PERMITTED OPERATIONS. In the event Tenant reasonably determines at
any time that (a) applicable governmental regulations prohibit the use of the
Premises for the operation of an equipment rental, leasing and sales facility
and any related uses including, but not limited to, the business of renting,
selling, leasing, distributing, storing (indoor and outdoor), servicing or
repairing new or used equipment, spare parts and related supplies to
industrial,
manufacturing and construction customers and related general office use, or (b)
Tenant’s access, visibility or parking has been adversely affected, Tenant
shall
have the right, but not the obligation, to terminate this Lease upon thirty
(30)
days written notice to Landlord and have no further liability upon payment to
Landlord of all rent prorated through the date of termination. Notwithstanding
above, if Landlord has commenced to cure either of the above defaults within
thirty (30) days after Tenant’s notice of termination and is diligently
pursuing
the same and concludes such cure not later than ninety (90) days after Tenant’s
notice of termination, then in such event Tenant’s notice of termination shall
be deemed null and void.

     11.18 ATTORNEY’S FEES. In the event that at any time during the Term of
this Lease either Landlord or Tenant shall institute any action or proceeding
against the other relating to the provisions of this Lease, or any default
hereunder, the unsuccessful party in such action or proceeding agrees to
reimburse the successful party for the reasonable expenses of attorney’s fees
and paralegal fees and disbursements incurred therein by the successful party.
Such reimbursement shall include all legal expenses incurred prior to trial, at
trial and at all levels of appeal and post judgment proceedings.

     11.19 COUNTERPARTS. This Lease may be executed in any number of
counterparts, each of which shall be an original but all of which together
shall
constitute one and the same instrument. A telecopy signature of any party shall
be considered to have the same binding legal effect as an original signature.

     11.20 LANDLORD’S DELIVERIES. No less than ten (10) days prior to the
Effective Date, Landlord has, to the extent in Landlord’s possession or
control,
delivered to Tenant for inspection and review, all of the Landlord’s Deliveries
described on Exhibit “G” attached hereto and by this reference made a part
hereof (the “Landlord’s Deliveries”).

     11.21 ENTIRE AGREEMENT. This Lease contains all of the agreements of the
parties hereto with respect to matters covered or mentioned herein and no prior
agreement, letters, representations, warranties, promises or understandings
pertaining to such matters shall be effective for any such purpose.

     11.22 TIME. Time shall be of the essence in interpreting the provisions of
this Lease.

SECTION 12

TENANT’S OPTION TO PURCHASE

     Provided Tenant is not in default beyond all notice and applicable cure
periods hereunder, Tenant shall have the right to purchase the Premises at any
time during the Term, including any Extension Term, of this Lease upon giving
notice in writing to Landlord (the “Purchase Notice”) at least ninety (90) days
prior to the expiration of the initial Term or any Extension Term hereof of
Tenant’s intention to purchase the Premises. If Tenant exercises this Option to
Purchase, then Tenant shall purchase and Landlord shall sell the Premises upon
the terms and conditions set forth on the Terms for Sale and Purchase attached
hereto as Exhibit “H” (the “Purchase Terms”). Upon the closing of title
pursuant
to the above-mentioned Purchase Terms, this Lease shall terminate and end. The
purchase price for the Premises (“Purchase Price”) shall be determined by
agreement of the Landlord and Tenant, or, if the Landlord and Tenant fail to
reach an agreement within fifteen (15) days of the Tenant’s Purchase Notice,
then by the procedure set forth on the Purchase Terms. The option to purchase
shall expire without notice upon the termination of this Lease unless the
option

Page 17

 

was exercised prior to such termination, provided that this option to purchase
shall continue after any amendment, continuation or reinstatement of this
Lease.

SECTION 13

RIGHT OF FIRST REFUSAL

     If during the Term, including any Extension Term, of this Lease, Landlord
shall have received a bona fide arm’s length offer to purchase the Premises
which is acceptable to Landlord (the “Offer”) from any third party (the
“Transferee”), Landlord shall send a notice (herein referred to as the
“Transfer
Notice”) to Tenant. The Transfer Notice shall set forth the exact terms of the
Offer so received, together with a copy of the Offer, and shall state the
desire
of Landlord to sell the Premises on such terms and conditions. Thereafter,
Tenant shall have the right and option to purchase the Premises at the price
and
upon the terms and conditions specified in the Offer, provided that Tenant is
not in material default of this Lease beyond all applicable notice and cure
periods hereunder.

     If Tenant desires to exercise its option, it shall give notice (the
“Counter Notice”) to that effect to Landlord within twenty (20) days after
receipt of the Transfer Notice. Such Counter Notice shall be accompanied by a
letter acknowledging Tenant’s agreement to be bound by the terms and conditions
of the Offer. Such Counter Notice shall set forth a date not later than sixty
(60) days from the service of the Counter Notice on which the closing shall be
held. The Tenant’s failure to give a timely Counter Notice (or notice of its
refusal to purchase) shall be deemed a waiver of its option to purchase the
Premises pursuant to the Offer, but shall not be deemed a waiver of its option
to purchase the Premises pursuant to any modification to the Offer or any
future
offers. Tenant’s rights under this Section 13 are assignable to any person or
entity which is or would be a permitted assignee pursuant to Section 9 hereof.
Tenant’s failure to, or its election not to, exercise its right of first
refusal
hereunder shall not affect the continued enforceability of the option to
purchase provided in Section 12 hereof.

SECTION 14

PRIME LEASE

     14.1 Tenant acknowledges that this Lease is subject and subordinate to the
Prime Lease; provided, however, that Landlord shall deliver to Tenant a
Consent,
Estoppel and Non-Disturbance Agreement substantially in the form attached
hereto
and made a part hereof as Exhibit “J” (the “Prime Landlord Non-Disturbance
Agreement”) executed by Landlord and the Prime Landlord on or before May 1,
2000. If Landlord shall not have obtained the Prime Landlord Non-Disturbance
Agreement on or before May 1, 2000, then at any time thereafter, but prior to
Landlord having obtained the Prime Landlord Non-Disturbance Agreement, such
failure shall be an Event of Default under Section 10.4 of this Lease entitling
Tenant to exercise any of its rights and remedies thereunder and, in addition,
Tenant shall have the right to terminate this Lease by giving Landlord written
notice thereof.

     Landlord represents and warrants to Tenant that:

          (a) The Prime Lease is in full force and effect, and that no default
exists (nor is there any fact or condition which with notice or lapse of time
may become a default) thereunder, and that all rental payments under the Prime
Lease are current;

          (b) Landlord shall not amend, modify or terminate the Prime Lease, or
fail to exercise any option or right thereunder, or grant its consent where
required thereunder, to the extent that same would adversely affect Tenant’s
rights and entitlements under this Lease or its use or enjoyment of the
Premises, without Tenant’s prior written consent;

Page 18

 

          (c) Landlord shall not violate or breach any of the terms, covenants
or agreements on its part to be performed under the Prime Lease;

          (d) Landlord shall promptly, upon written request of Tenant, use its
best efforts to enforce the full compliance by the Prime Landlord of its
obligations under the Prime Lease to the extent that same affects Tenant’s use
and enjoyment of the Premises;

          (e) Landlord shall promptly furnish Tenant with any default notices
Landlord receives from the Prime Landlord;

          (f) Should Landlord ever be in default under the Prime Lease and the
Prime Lease shall be in jeopardy due to Landlord’s failure to timely cure such
default, then Tenant shall have the right, but not the obligation, to cure the
default on behalf of Landlord and at Landlord’s cost and account. Landlord
shall
promptly reimburse Tenant for any reasonable costs incurred by Tenant in
connection with Tenant’s efforts to cure Landlord’s default; and Tenant shall
have the right to deduct such costs from its rental obligations hereunder if
Landlord fails to so reimburse Tenant within thirty (30) days after Tenant’s
demand therefor accompanied by bills or receipts evidencing such costs;

          (g) Should Landlord purchase the Premises, then this Lease shall
continue as a direct lease between Landlord and Tenant on the terms and
conditions contained in this Lease;

          (h) Landlord shall indemnify, protect, defend and hold Tenant and its
agents, employees and directors harmless from and against any and all damages,
suits, loss, costs, expenses, claims, causes of action, liabilities, including,
without limitation, reasonable attorneys’ fees and costs and litigation
expenses
relating or resulting from (i) termination of the Prime Lease for any reason
other than Prime Landlord’s default thereunder (and all damages, suits, loss,
costs, expenses, claims, causes of action, liabilities and attorneys’ fees
incurred by Prime Landlord in connection with any such termination), or (ii)
breach by Landlord of any of its obligations under the Prime Lease, Landlord
shall, at its own expense, defend all actions brought against Tenant, its
agents
or employees, for which Landlord is responsible for indemnification hereunder,
with legal counsel reasonably acceptable to Tenant and, if Landlord fails to do
so, Tenant (at its option, but without being obligated to do so) may, at the
expense of Landlord and upon notice to Landlord, defend such actions and
Landlord shall reimburse Tenant for all such costs and expenses. The provisions
of this subparagraph shall survive the expiration or early termination of this
Lease or the Prime Lease and shall continue to remain an obligation of Landlord
for the term of this Lease and all renewals and extensions thereof, even if
this
Lease or the Prime Lease is assigned, sublet, or the Premises is purchased or
in
any way transferred; and

          (i) Upon the request of Tenant, Landlord agrees that, as tenant under
the Prime Lease, it shall be obligated to timely exercise the option contained
in the Prime Lease to extend the Prime Lease, and to perform such other
obligations under the Prime Lease necessary to extend the term of the Prime
Lease so that the term of the Prime Lease is at least as long as the Term of
this Lease, as extended by Tenant. Landlord shall furnish Tenant with a copy of
its notice to the Prime Landlord evidencing its exercise of the renewal option
under the Prime Lease. In the event Tenant does not timely receive a true copy
of Landlord’s election to extend the term of the Prime Lease, Landlord hereby
irrevocably appoints Tenant as its attorney-in-fact to make such election in
the
name and on behalf of Landlord.

SECTION 15

PURCHASE AGREEMENT

     15.1 Pursuant to a Standard Form Purchase and Sale Agreement dated August
12, 1999, executed by Prime Landlord and Landlord (the “Purchase Agreement”), a

Page 19

 

copy of which is attached hereto as Exhibit “K”, Landlord has the option to
purchase the Premises. Pursuant to Section 12 of the Prime Lease, Landlord is
to
close on the acquisition of the Premises upon ninety (90) days prior written
notice to Prime Landlord at any time after December 7, 2001 but before December
7, 2004. Landlord agrees that it shall simultaneously provide to Tenant a copy
of the written notice of closing given to Prime Landlord. Landlord and Tenant
hereby agree that in the event that Landlord has not closed on the acquisition
of the Premises prior to December 7, 2002, then, at Tenant’s option and upon
written notice from Tenant to Landlord and Prime Landlord, Tenant shall have
the
right, but not the obligation, to purchase the Premises in accordance with the
terms of the Purchase Agreement, as modified by Section 12 of the Prime Lease.
In furtherance of the foregoing, Landlord hereby assigns, transfers and sets
over to Tenant all of Landlord’s right, title and interest under the Purchase
Agreement, as modified by Section 12 of the Prime Leases, including any
deposits
or other amounts paid by Landlord pursuant to the Purchase Agreement and/or the
Prime Lease which are to be applied toward the purchase price of the Premises.
Such assignment shall be operative upon written notice from Tenant to Landlord
and Prime Landlord without the requirement of execution by Landlord of any
further assignment or agreement and Tenant shall thereafter be entitled to
exercise all of Landlord’s rights under the Purchase Agreement, as modified by
Section 12 of the Prime Lease, as if Tenant was the original purchaser
thereunder. In the event that Tenant purchases the Premises, then this Lease
shall terminate and be of no further force or effect except for such
indemnities
that specifically survive the termination or expiration of this Lease. Landlord
agrees that it shall not amend, modify or terminate the Purchase Agreement or
the Prime Lease without the prior written consent of Tenant. Tenant shall not
be
liable for any default by Landlord under the terms and conditions of the
Purchase Agreement, as modified by Section 12 of the Prime Lease, and Landlord
hereby indemnifies and holds Tenant harmless in connection therewith. Moreover,
Tenant shall have no liability or obligation arising from or in connection with
this assignment of the Purchase Agreement, as modified by Section 12 of the
Prime Lease, unless Tenant shall assume the obligations of Landlord thereunder.

[Signature Pages Follow]

     IN WITNESS WHEREOF, on the day and year first above written, Landlord and
Tenant have duly executed this Lease under seal as their free act and deed.

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	TREC, LLC,

a Massachusetts limited liability

company
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
2000, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts limited
liability company. He is personally known to me or has produced
___(type of identification) as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 20

 

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
2000, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has produced ___(type of identification) as
identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 21

 

GUARANTY

     NATIONSRENT, INC., a Delaware corporation (hereinafter “Guarantor”),
hereby
guarantees to TREC, LLC, a Massachusetts limited liability company
(“Landlord”):
(i) the full and punctual payment by NATIONSRENT USA, INC., a Delaware
corporation (“Tenant”), its successors and assigns of all rent and all other
monetary obligations required to be paid by Tenant under the foregoing Lease
Agreement (the “Lease”) by and between Landlord and Tenant; and (ii) the
performance and observance by Tenant of all terms, covenants and conditions to
be performed or observed by Tenant pursuant to the Lease. Guarantor hereby
waives demand, protest and notice of any indulgences or extensions granted to
Tenant, provided, however, that Guarantor shall be furnished with a duplicate
copy of any notice of default or termination of the Lease to which Tenant is
entitled or which is served upon Tenant at the time the same is sent to or
served upon Tenant. Guarantor shall be granted ten (10) days following receipt
of written notice of any monetary defaults and Guarantor shall be granted
thirty
(30) days following receipt of written notice of non-monetary defaults, to
correct or remedy such defaults or cause such default to be corrected or
remedied on behalf of Tenant (provided, however, that if any non-monetary
default by Tenant cannot reasonably be remedied within thirty (30) days after
written notice of such non-monetary default, then Guarantor shall have such
additional time as shall be reasonably necessary to remedy such non-monetary
default; further provided, however, that Guarantor shall pursue cure within the
thirty (30) day period and shall be diligently prosecuting such cure to
completion). For purposes of providing Guarantor with written notice hereunder,
Guarantor shall be given a separate notice at the address of Tenant as provided
for in Section 11.2 of the Lease.

	 	 	 
	 	 	NATIONSRENT, INC.,

a Delaware corporation

By:

Name:

Title:

Date:

Page 22

 

EXHIBIT “A”

DESCRIPTION OF PREMISES

     The Premises to which reference is made in the foregoing and attached
Lease
is hereby described as all that lot, piece or parcel of land lying, being and
situated in the County of Middlesex, State of Massachusetts, more particularly
described as follows:

WESTERLY By the easterly line of New Boston Street, five hundred sixty-four and
07/100 feet;

NORTHEASTERLY by lot 3 as shown on the plan hereinafter mentioned, six hundred
seventy one and 08/100 feet;

NORTHEASTERLY again, four hundred ninety and 88/100 feet by land now or
formerly
of the Boston and Maine Railroad;

SOUTHERLY sixty-eight and 93/100 feet by land now or formerly of the Boston and
Maine Railroad; and

SOUTHWESTERLY and SOUTHERLY by land now formerly of Stanislaw Stefanowich, six
hundred seventy-one and 34/100 feet.

Said parcel is shown as lot 21 on said plan (Plan No. 7312-I).

All of said boundaries are determined by the Court to be located as shown on a
subdivision plan, as approved by the Court, filed in the Land Registration
Office, a copy of which is filed in the Registry of Deeds for the South
Registry
District of Middlesex County in Registration Book 859, Page 65, with
Certificate
145815.

Page 23

 

EXHIBIT “B”

LANDLORD’S WORK

     A. Landlord agrees to do all work required of Landlord hereunder
(“Landlord’s Work”) in accordance with the Approved Plans, which Landlord’s
Work
shall include, without limitation, all of the following:

          (1) The Premises shall be substantially completed in accordance with
the Approved Plans, with all utility services, equipment and systems (the
equipment and systems being referenced in the Approved Plans), all herein fully
operational.

          (2) The Premises shall be delivered to Tenant by Landlord in a neat
and clean condition, lien free and free of all tenants and occupants.

          (3) The paving and striping of parking areas and installation of light
standards shall be substantially completed; in addition, such street, storm
drainage, traffic signalization, and other offsite improvements required for
the
Premises to open for business and Tenant to receive the “Certificate of
Occupancy” (as defined in Paragraph D below) shall be substantially completed.

          (4) The Premises shall be in full compliance with all laws, codes,
regulations and other governmental requirements including, without limitation,
the “Americans with Disabilities Act,” and Tenant shall be in a position to
receive the Certificate of Occupancy from the appropriate municipal authority.

Page 24

 

Notwithstanding the foregoing, Tenant shall be responsible for obtaining the
use
permit from the appropriate municipality to enable Tenant to use and operate
the
Premises as an equipment rental, leasing and sales facility and any related
uses
including, but not limited to, the business of renting, selling, leasing,
distributing, storing (indoor and outdoor), servicing or repairing new or used
equipment, spare parts and related supplies to industrial, manufacturing and
construction customers and related general office use (“Tenant’s Use Permit”).
Should Tenant be unable after good faith efforts, to obtain Tenant’s Use Permit
prior to the Lease Commencement Date, then Tenant shall, at Tenant’s option
have
the right to terminate this Lease upon ten business days notice and the parties
shall be released from all liability hereunder except for those indemnities
that
specifically survive expiration or termination of the Lease hereunder.

The term “substantially complete” or “substantially completed” or words of
similar import used herein to describe a work of improvement shall mean that
the
particular work of improvement has been completed in accordance with the
Approved Plans, excepting only minor “punch list” items, the completion, repair
or correction of which do not have a material, adverse effect on the use and/or
occupancy of the building or other improvement and, in the case of the
Premises,
will also not materially hinder or delay Tenant’s fixturization and preparation
of the Premises for Tenant’s intended use thereof.

     B. Landlord and Tenant agree that any changes to the Approved Plans shall
require the prior written approval of Tenant. Tenant shall further be entitled
to make changes to the Approved Plans (“Change Orders”), provided that Tenant
shall be responsible for the reasonable increased cost of construction and
amount of delay in the Delivery Date, if any, which is occasioned by such
revisions. Upon receipt of Tenant’s request for a Change Order and prior to
implementing same, Landlord shall provide Tenant with a written estimate of the
amount of cost to implement same and the amount of delay that will be incurred
(if any) in the Delivery Date. The cost of the Change Order shall be the lesser
of the actual cost to implement same or the amount shown in Landlord’s
estimate.
Any change to the Approved Plans that results in a cost savings to Landlord
shall be netted against any Change Orders which increased the cost of
construction. The reconciliation of the Change Orders shall be made within
thirty (30) days of the Delivery Date and added to the cost of Landlord’s Work
hereunder. Change Orders which have not been approved in writing by Tenant
shall
be permitted or allowed hereunder, except for minor changes in Landlord’s Work
made by Landlord (which Tenant has received prior written notice of ) due to
field conditions which do not increase the cost of Landlord’s Work, delay the
Estimated Delivery Date of the Premises to Tenant or decrease the quality of
Landlord’s Work hereunder.

     C. Landlord shall obtain all governmental permits, approvals,
authorizations and entitlement required for performance of Landlord’s Work and
occupancy of the Premises for the purposes permitted under the terms of this
Lease (collectively “Permits”), except that Tenant shall be responsible for
obtaining Tenant’s Use Permit hereunder. Landlord shall furnish to Tenant
copies
of all Permits within fifteen (15) days after issuance of same, but in no event
later than the Delivery Date.

     D. Notwithstanding (i) any provisions of this Lease to the contrary, (ii)
the delivery to Tenant of an architect’s certificate of completion or a
certificate of completion by Tenant’s general contractor and (iii) any tender
of
delivery of possession of the Premises, Landlord’s Work shall not be deemed
substantially complete, the Delivery Date shall not be deemed to have occurred,
Tenant shall have no obligation to accept possession of the Premises until a
final and unconditional certificate of occupancy (or its equivalent) has been
issued (“Certificate of Occupancy”).

     E. If Tenant in its discretion elects to open for business to the public
prior to issuance of the Certificate of Occupancy, then Rent and any other

Page 25

 

charge or amount that is payable under this Lease shall fully abate during any
periods in which there is material interference with Tenant’s occupancy of the
Premises or the conduct of its business operations therein by reason of the
action of governmental authority which results from the absence of the
Certificate of Occupancy or completion of Landlord’s Work. Further, in the
event
that Tenant elects to open for business to the public although Landlord’s Work
has not been substantially completed, Rent and any other charge or amount that
is payable under this Lease shall fully abate until such time as Landlord’s
Work
has been substantially completed.

     Tenant’s election to open for business prior to issuance of the
Certificate
of Occupancy or prior to substantial completion of Landlord’s Work shall not be
construed as a waiver of Landlord’s obligation to complete Landlord’s Work.

     F. Tenant shall have the right to come onto the Premises in order to
observe the performance of Landlord’s Work, take measurements and commence
Tenant’s preparation of the premises for Tenant’s occupancy, even while
Landlord
is completing Landlord’s Work, but such entry by Tenant shall be at Tenant’s
sole risk and shall not be deemed a waiver of Landlord’s obligation fully to
complete Landlord’s Work. Any such entry and work performed by Tenant prior to
the Delivery Date shall be performed in a manner which does not materially
interfere with the completion of Landlord’s Work. Landlord and Tenant agree, to
the extent reasonably possible, to coordinate their work in the Premises to the
end that Landlord’s Work may be completed on the earliest date reasonably
practicable.

     G. Landlord shall unconditionally guarantee all work performed by or
for Landlord in the construction of Landlord’s Work against defective
workmanship and materials for the period of one (1) year from the commencement
of the Lease Term. Landlord shall assign to Tenant any and all guarantees of
workmanship and materials for items that Tenant is required to maintain
hereunder which it may receive, and Landlord shall use its best efforts to
enforce unexpired, non-assignable warranties and guarantees at Tenant’s request
and on Tenant’s behalf, but such assignment shall not relieve Landlord of any
obligations provided in this Lease.

Page 26

 

EXHIBIT “C”

ACKNOWLEDGMENT OF LANDLORD AND TENANT

Landlord and Tenant acknowledge and confirm the following:

	 	 	 
	1. Lease Commencement-Date:

	 	

	 
	 	 
	2. Lease Expiration Date:

	 	

	 
	 	 
	3. Rent:

	 	

	 
	 	 
	LANDLORD:

	 	TENANT:
	 
	 	 
	TREC, LLC,

a Massachusetts limited liability company

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	By:

Byran T. Rich, Manager
Date:

	 	By:

Name:

Title:

Date:

Page 27

 

EXHIBIT “D”

FORM OF MEMORANDUM OF LEASE

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

MEMORANDUM OF LEASE

(Woburn, Massachusetts)

     THIS MEMORANDUM OF LEASE by and between TREC, LLC, a Massachusetts limited
liability company, the address of which is 217 Whitney Street, Northboro,
Massachusetts 05132 (hereinafter called “Landlord”), and NATIONSRENT USA, INC.,
a Delaware corporation, the address of which is 450 East Las Olas Boulevard,
Suite 1400, Fort Lauderdale, Florida 33301 (hereinafter called “Tenant”).

     Landlord has granted to Tenant a lease which includes, among others, the
following provisions:

     1. Date of Lease: December 7, 1999.

     2. Description of leased Premises: See Exhibit “A” attached hereto.

     3. Lease Commencement Date: December 7, 1999.

     4. Term: Fifteen (15) Years.

     5. Renewal Options: Two (2) five (5) year renewal options.

     6. The Lease contains a right of first refusal and an option to purchase
both in favor of Tenant.

     7. The Lease contains the following provision:

Liens. All persons are put on notice of the fact that Tenant under no
circumstances shall have the power to subject the interest of Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of Tenant or any person
claiming under, by or through Tenant, must look wholly to the interest of
Tenant
and not to that of Landlord.

Tenant covenants and agrees with Landlord that Tenant will not permit or suffer
to be filed or claimed against the interest of Landlord in the Premises during
the continuance of this Lease, any lien or liens of any kind by any person
claiming under, by, through or against Tenant; and if any such lien is claimed
or filed, it shall be the duty of Tenant, within sixty (60) days after the
claim
of lien or suit claiming a lien has been filed, to cause the Premises to be
released from such claim, either through payment or through bonding with
corporate surety or through the deposit into court, pursuant to statute, of the
necessary sums of money, or in any other way that will effect the release of
Landlord’s interest in the Premises from such claim.

The purpose of this Memorandum of Lease is to give record notice of the Lease
and of the rights created thereby, all of which are hereby confirmed.

Page 28

 

     IN WITNESS WHEREOF the parties have executed this Memorandum of Lease as
of
the dates set forth in their respective acknowledgments.

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	TREC, LLC,

a Massachusetts limited liability

company
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of

     ___, 2000, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
2000, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 29

 

EXHIBIT “E”

TITLE EXCEPTIONS

	1.	 	Commercial Real Estate Mortgage from 195 New Boston Street, LLC to Warren
Five Cents Savings Bank dated December 10, 1988, in the original principal
amount of $800,000.00, filed as Land Court Document #1089410 (sh 42).

	 	a.	 	Conditional Assignment of Leases and Rents filed as Land Court
Document #1089411 (sh 46).

2. UCC-1 secured by Warren Five Cents Savings Bank against 195 New Boston
Street, LLC, filed December 11, 1998, as Land Court Document #1089412 (sh
49).

Page 30

 

EXHIBIT “F”

FORM OF NON-DISTURBANCE AGREEMENT

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT

(Woburn, Massachusetts)

     THIS SUBORDINATION NON-DISTURBANCE AND ATTORNMENT AGREEMENT (the
“Agreement”) is made and entered into this the day of , 2000, by NATIONSRENT
USA, INC., a Delaware corporation, the address of which is 450 East Las Olas
Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”), (“Lender”)
and
TREC, LLC, a Massachusetts limited liability company, the address of which is
217 Whitney Street, Northboro, Massachusetts 05132 (“Landlord”).

R E C I T A L S:

     WHEREAS, Landlord and Tenant executed a Lease dated as of December 7, 1999
(the “Lease”), in favor of Tenant, a memorandum of which may be recorded
simultaneously herewith, covering Premises therein described located on a
parcel
of real estate, the legal description of which is attached hereto and
incorporated herein by this reference as Exhibit “A” (said parcel of real
estate
and the Premises being sometimes collectively referred to herein as the
“Property”); and

     WHEREAS, Landlord has executed a ___(the “Mortgage”) dated
___and recorded on ___at Book ___, Page
___, of the ___Records of ___County, State of
___in favor of Lender, payable upon the terms and conditions
described
therein; and

     WHEREAS, it is a condition to said loan that said Mortgage shall
unconditionally be and remain at all times a lien or charge upon the Property,
prior and superior to the Lease and to the leasehold estate created thereby;
and

     WHEREAS, the parties hereto desire to assure Tenant’s possession and
control of the Property under the Lease upon the terms and conditions therein
contained;

Page 31

 

     NOW, THEREFORE, for and in consideration of the mutual covenants and
premises herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged and confessed by the parties
hereto,
the parties hereto do hereby agree as follows:

A G R E E M E N T:

     l. The Lease is and shall be subject and subordinate to the Mortgage, and
to all renewals, modifications, consolidations, replacements and extensions
thereof, and to all future advances made thereunder.

     2. Should Lender become the owner of the Property, or should the Property
be sold by reason of foreclosure, or other proceedings brought to enforce the
Mortgage which encumbers the Property, or should the Property be transferred by
deed in lieu of foreclosure, or should any portion of the Property be sold
under
a trustee’s sale, the Lease shall continue in full force and effect as a direct
lease between the then owner of the Property covered by the Mortgage and
Tenant,
upon, and subject to, all of the terms, covenants and conditions of the Lease
for the balance of the Term thereof remaining, including any extensions therein
provided. Tenant does hereby agree to attorn to Lender or to any such owner as
its landlord, and Lender hereby agrees that it will accept such attornment.

     3. Notwithstanding any other provision of this Agreement, Lender shall not
be (a) liable for any default of any landlord under the Lease (including
Landlord), except that Lender agrees to cure any default of Landlord that is
continuing as of the date Lender forecloses the Property within thirty (30)
days
from the date Tenant delivers written notice to Lender of such continuing
default, unless such default is of such a nature to reasonably require more
than
thirty (30) days to cure and then Lender shall be permitted such additional
time
as is reasonably necessary to effect such cure, provided Landlord diligently
and
continuously proceeds to cure such default; (b) subject to any offsets or
defenses which have accrued prior to the date of foreclosure, unless Tenant
shall have delivered to Lender written notice of the default which gave rise to
such offset or defense and permitted Lender the same right to cure such default
as permitted Landlord under the Lease; (c) bound by any Rent that Tenant may
have paid under the Lease more than one month in advance; (d) bound by any
amendment or modification of the Lease hereafter made without Lender’s prior
written consent; (e) responsible for the return of any security deposit
delivered to Landlord under the Lease and not subsequently received by Lender.

     4. If Lender sends written notice to Tenant to direct its Rent payments
under the Lease to Lender instead of Landlord, then Tenant agrees to follow the
instructions set forth in such written instructions and deliver Rent payments
to
Lender; however, Landlord and Lender agree that Tenant shall be credited under
the Lease for any Rent payments sent to Lender pursuant to such written notice.

     5. All notices which may or are required to be sent under this Agreement
shall be in writing and shall be sent by first-class certified U.S. mail,
postage prepaid, return receipt requested, and sent to the party at the address
appearing below or such other address as any party shall hereafter inform the
other party by written notice given as set forth above:

	 	 	 
	If to Landlord:

	 	TREC, LLC

217 Whitney Street

Northboro, Massachusetts 05132
	 
	 	 
	with a copy to:

	 	M. Robert Queler, Esq.

865 Providence Highway

Dedham, Massachusetts 02026

Page 32

 

	 	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301

Attn: Jorge L. Martin, Vice President

of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	Akerman, Senterfitt & Eidson, P.A.

350 East Las Olas Boulevard, Suite 1600

Fort Lauderdale, Florida 33301-4200

Attn: Theresa M. McLaughlin, Esq.
	 
	 	 
	Lender:

	 	

All notices delivered as set forth above shall be deemed effective three (3)
days from the date deposited in the U.S. mail.

     6. Said Mortgage shall not cover or encumber and shall not be construed as
subjecting in any manner to the lien thereof any of Tenant’s improvements or
trade fixtures, furniture, equipment or other personal property at any time
placed or installed in the Premises. In the event the Property or any part
thereof shall be taken for public purposes by condemnation or transfer in lieu
thereof or the same are damaged or destroyed, the rights of the parties to any
condemnation award or insurance proceeds shall be determined and controlled by
the applicable provisions of the Lease.

     7. This Agreement shall inure to the benefit of and be binding upon the
parties hereto, their successors in interest, heirs and assigns and any
subsequent owner of the Property secured by the Mortgage.

     8. Should any action or proceeding be commenced to enforce any of the
provisions of this Agreement or in connection with its meaning, the prevailing
party in such action shall be awarded, in addition to any other relief it may
obtain, its reasonable costs and expenses, not limited to taxable costs, and
reasonable attorney’s fees.

     9. Tenant shall not be enjoined as a party/defendant in any action or
proceeding which may be instituted or taken by reason or under any default by
Landlord in the performance of the terms, covenants, conditions and agreements
set forth in the Mortgage.

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above written.

	 	 	 
	WITNESSES:

	 	LENDER:
	

Print Name:

Print Name:

	 	

a 

company

By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

Page 33

 

     The foregoing instrument was acknowledged before me this ___day of ___,
2000, by ___as___of ___,
a ___corporation, on behalf of the corporation. He/she is personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
2000, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	TREC, LLC,

a Massachusetts limited liability

company
	 
	 	 
	

Print Name:

	 	By: 

Name: Bryan T. Rich

Title: Manager

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of
___, 2000, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 34

 

EXHIBIT “G”

LANDLORD’S DELIVERIES

	1.	 	Copy of prior title policy or other title work and copy of legal
description.

	2.	 	Copy of prior survey.

	3.	 	Copy of prior environmental report.

	4.	 	Copy of prior soil or other geotechnical reports, if any.

	5.	 	Copy of real estate tax bill.

Page 35

 

EXHIBIT “H”

TERMS FOR PURCHASE AND SALE

     If Tenant exercises the Option to Purchase contained in Section 12 of the
Lease, the closing of the transfer of the Premises shall be controlled by the
following provisions. Capitalized terms not defined herein shall have the
meaning given them in the Lease to which this Exhibit is attached.

	1.	 	PROPERTY DESCRIPTION:

	 	(a)	 	Premises: the property described on Exhibit “A” to the Lease.

	 	(b)	 	Personal Property: (“None” if blank).

	2.	 	PURCHASE PRICE: Landlord and Tenant agree to act reasonably and in good
faith to negotiate a Purchase Price for the Premises that will be equal to
the then current fair market value of the Premises. In the event the
parties are unable to reach an agreement with respect to the Purchase
Price
within fifteen (15) days of the Purchase Notice provided under Section 12
of the Lease between Landlord and Tenant, then either party may notify the
other of its intent to have the Purchase Price determined by appraisal.
Such notice must identify the appraiser retained to make such
determination, which appraiser must be engaged full time as a real estate
appraiser and must be a member of the American Institute of Real Estate
Appraisers. A copy of such appraiser’s report indicating the appraised
fair
	 
	 	 	market value of the Premises shall be delivered, upon receipt, to the
other
party. Such other parry shall then have thirty (30) days to retain a
second
appraiser to make a separate determination and to submit a separate report
indicating the fair market value of the Premises. Such second appraiser
must also be engaged full time as a real estate appraiser and must also be
a member of the American Institute of Real Estate Appraisers. A copy of
such second appraiser’s report shall be delivered, upon receipt, to the
other party. If the appraised fair market value of the Premises according
to such two (2) appraisal reports vary by twenty-five (25%) percent or
less, then the fair market values indicated in the two (2) reports shall
be
averaged and the value thus obtained, shall, for all purposes,
conclusively
fix and be the Purchase Price. If such values vary by more than
twenty-five
(25%) percent then such two (2) appraisers shall select a third appraiser,
similarly qualified, who shall determine the fair market value of the
Premises, such determination to be conclusive on the parties. If the two

Page 36

 

	 	 	(2) appraisers fail to appoint such third appraiser within thirty (30)
days
after delivery of the second appraiser’s report, the third appraiser shall
be appointed by the presiding judge of the state court of general
jurisdiction for the county in which the Premises are located, and such
third appraiser shall then individually determine the fair market value of
the Premises, such determination to be binding upon each of the parties.
It
is expressly agreed that the determination of the fair market value of the
Premises by a third appraiser (whether appointed by the prior two (2)
appraisers or such presiding judge) shall be a value that must be between
the values determined by the results of the prior two (2) appraisers, and
the submission of the dispute to such third appraiser shall so provide. It
is further expressly acknowledged, understood and agreed that such
appraisals shall determine the actual fair market value of the Premises
for
the purposes of determining the Purchase Price to be paid under the Option
to Purchase. The Appraisers should not consider the existence of the
Lease,
or the options to extend the Term or to purchase the Premises in arriving
at the fair market value of the Premises. The fair market value of the
Premises as determined by the above procedure shall be the Purchase Price
for the Premises. Each party shall pay all costs, fees and expenses of the
appraiser appointed by it, and fifty (50%) percent of the costs, fees and
expenses of the third appraiser, if any. The Closing Date of the sale and
purchase shall be extended as necessary to complete the procedure set
forth
above, and if extended, the Closing shall occur fifteen (15) days after
the
Purchase Price is finally determined. Notwithstanding any provision of
this
Exhibit E to the contrary, the parties hereto agree that the fair market
value shall not be less than the sum of (a) the purchase price paid by the
Landlord for the Premises prior to the commencement of the term of the
Lease and (b) the unreimbursed costs and expenses of improvements to the
Premises incurred by Landlord.

	3.	 	EFFECTIVE DATE: The date of Contract (“Effective-Date”) swill be the date
when the Tenant has delivered a Purchase Notice to the Landlord.

	4.	 	PAYMENT OF PURCHASE PRICE: The Purchase Price, subject to applicable
adjustments and prorations, shall be paid to Landlord on the Closing Date
by certified or cashier’s check or by wire transfer.

	5.	 	CLOSING DATE: This transaction shall be closed and the deed and other
closing papers delivered on the sixtieth (60) day after the Effective Date
unless modified by other provisions of these Terms for Purchase and Sale
(these “Purchase Terms”)

	6.	 	RESTRICTIONS; EASEMENTS; LIMITATIONS: Tenant shall take title subject to:
comprehensive land use plans, zoning, restrictions, prohibitions and other
requirements imposed by governmental authority; restrictions and matters
appearing on the plat or otherwise common to the subdivision; public
utility easements of record servicing the Premises; taxes for year of
closing and subsequent years; assumed mortgages identified in the Purchase
Notice, if any; provided that there exists at closing no violation of the
foregoing and none prevents use of the Premises for purposes identified in
Section 11.17 of the Lease.

	7.	 	OCCUPANCY: Landlord warrants that there are no parties in occupancy other
than Tenant and any party claiming under Tenant and Landlord shall deliver
sole occupancy of the Premises to Tenant at time of closing, except for
any
parties in possession under agreements with Tenant.

	8.	 	ASSIGNABILITY: Tenant may assign its rights under this agreement to the
same extent and in the same manner as provided in Section 9 of the Lease.

Page 37

 

	9.	 	EVIDENCE OF TITLE: Within twenty (20) days of receipt of a Purchase
Notice,
Landlord shall deliver to Tenant a copy of Landlord’s existing owner’s
title insurance policy and all endorsements thereto. Within thirty (30)
days after the Purchase Notice, Tenant at Tenant’s expense shall obtain a
title insurance commitment (with legible copies of instruments listed as
exceptions attached thereto) issued by a title insurer licensed in the
state where the Premises is located agreeing to issue Tenant, upon
recording of the deed to Tenant, an owner’s policy of title insurance in
the amount of the Purchase Price, insuring Tenant’s title to the Premises,
subject only to liens, encumbrances, exceptions or qualifications provided
in these Purchase Terms and those to be discharged by Landlord at or
before
closing. Landlord shall convey marketable title subject only to liens,
encumbrances, exceptions or qualifications provided in these Purchase
Terms. Marketable title shall be determined according to applicable law.
Tenant shall have thirty (30) days from date of receiving evidence of
title
to examine it. If title is found defective, Tenant shall within three (3)
days thereafter, notify Landlord in writing specifying defect(s). If the
defect(s) render title unmarketable, Landlord will have thirty (30) days
from receipt of notice to remove the defects, failing which Tenant shall,
within five (5) days after expiration of the thirty (30) day period,
deliver written notice to Landlord either: (1) extending the time for a
reasonable period not to exceed one hundred twenty (120) days within which
Landlord shall use diligent effort to remove the defects; or (2)
terminating Tenant’s exercise of the Option to Purchase the Premises. If
Tenant fails to so notify Landlord, Tenant shall be deemed to have
accepted
the title as it then is. Landlord shall, if title is found unmarketable,
use diligent effort to correct defect(s) in the title within the time
provided therefor. If Landlord is unable to timely correct the defects,
Tenant shall either waive the defects or terminate the exercise of the
Option to Purchase, thereby releasing Tenant and Landlord from all further
obligation under these Purchase Terms.

	10.	 	SURVEY: Tenant, at Tenant’s expense, within time allowed to deliver
evidence of title and to examine same, may have the Premises surveyed and
certified by a surveyor registered in the state where the Premises is
located. If survey discloses encroachment on the Premises or that
improvements located on the Premises encroach on setback lines, easements,
lands of others or violate any restrictions, covenants of these Purchase
Terms or applicable governmental regulation, the same shall constitute a
title defect.

	11.	 	INGRESS AND EGRESS: Landlord warrants and represents that there is ingress
and egress to the Premises sufficient for its intended use as described in
Section 11.17 of the Lease, title to which is in accordance with Section 9
of these Purchase Terms.

	12.	 	LIENS: Landlord shall furnish to Tenant at time of closing an affidavit
attesting to the absence, unless otherwise provided for herein, of any
financing statement, claims of lien or potential lienors arising as the
result of any action or inaction of Landlord and further attesting that
there have been no improvements or repairs to the Premises by Landlord for
ninety (90) days immediately preceding date of closing. If the Premises
has
been improved or repaired by Landlord within that time, Landlord shall
deliver releases or waivers of construction liens executed by all general
contractors, subcontractors, suppliers and materialmen in addition to
Landlord’s lien affidavit setting forth the names of all such general
contractors, subcontractors, suppliers and materialmen, further affirming
that all charges for improvements or repairs incurred by Landlord which
could serve as a basis for a construction lien or a claim for damages have
been paid or will be paid at closing of these Purchase Terms.

	13.	 	PLACE OF CLOSING: Closing shall be held in the county where the Premises
are located at the office of the attorney or other closing agent
designated
by Tenant.

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	14.	 	TIME: In computing time periods of less than six (6) days, Saturdays,
Sundays and state or national legal holidays shall be excluded. Any time
periods provided herein which shall end on a Saturday, Sunday or a legal
holiday shall extend to 5:00 p.m. on the next business day. Time is of the
essence in these Purchase Terms.

	15.	 	DOCUMENTS FOR CLOSING: Landlord shall furnish the deed, bill of sale,
construction lien affidavit in compliance with Section 12 of these
Purchase
Terms, owner’s possession affidavit, FIRPTA affidavit, assignments of
leases, tenant and mortgagee estoppel letters and corrective instruments.
Each party shall execute a closing statement.

	16.	 	EXPENSES: Transfer taxes, fees, documentary stamps and surtax on the deed
and recording of corrective instruments shall be paid by Landlord.
Recording of deed shall be paid by Tenant. Unless otherwise provided by
law
or rider to these Purchase Terms, charges for the following related title
services, namely title or abstract charge, title examination, and
settlement and closing fee, shall be paid by the party responsible for
furnishing the title evidence in accordance with Section 9 of these
Purchase Terms. Tenant shall pay the premium for the owners title
insurance
policy insuring Tenant’s interest.

	17.	 	PRORATIONS; CREDITS: Taxes, assessments, rent, interest, insurance and
other expenses of the Premises shall be prorated through the day before
closing unless they are the responsibility of Tenant under the Lease, in
which case they shall not be prorated. Tenant shall have the option of
taking over existing policies of insurance, if assumable, in which event
premiums shall be prorated. Cash at closing shall be increased or
decreased
as may be required by prorations to be made through the day prior to
closing. Advance rent and security deposits will be credited to Tenant.
Escrow deposits held by any mortgagee will be credited to Tenant if Tenant
has provided the funds for the escrow, otherwise they will be paid to
Landlord. Taxes shall be prorated based on the current year’s tax with due
allowance made for maximum allowable discount, homestead and other
exemptions. If closing occurs at a date when the current year’s millage is
not fixed and current years assessment is available, taxes will be
prorated
based upon such assessment and the prior year’s millage. If the current
year’s assessment is not available, then taxes will be prorated on the
prior year’s tax. Tax proration based on an estimate shall, at request of
either party, be readjusted upon receipt of tax bill on condition that a
statement to that effect is signed at closing.

	18.	 	SPECIAL ASSESSMENT LIENS: Certified, confirmed and ratified special
assessment liens as of date of closing (not as of Effective Date) are to
be
paid by Landlord unless they are the responsibility of Tenant under the
Lease. Pending liens as of date of closing shall be assumed by Tenant. If
the improvement has, been substantially completed as of Effective Date,
any
pending lien shall be considered certified, confirmed or ratified and
Landlord shall, at closing, (unless such lien is the responsibility of
Tenant under the Lease) be charged an amount equal to the last estimate or
assessment for the improvement by the public body.

	19.	 	RISK OF LOSS: If the Premises is damaged by fire or other casualty before
closing and cost of restoration does not exceed fifty (50%) percent of the
assessed valuation of the Premises so damaged, cost of restoration shall
be
an obligation of the Landlord and closing shall proceed pursuant to the
terms of these Purchase Terms with restoration costs escrowed at closing.
If the cost of restoration exceeds fifty (50%) percent of the assessed
valuation of the Premises so damaged, Tenant shall have the option of
either taking the Premises as is, together with any insurance proceeds
payable by virtue of such loss or damage, or of terminating the exercise
of
the Option to Purchase.

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	20.	 	ATTORNEY’S FEES; COSTS: In any litigation, including breach, enforcement
or
interpretation, arising out of these Purchase Terms, the prevailing party
in such litigation shall be entitled to recover from the non-prevailing
party reasonable attorney’s fees, costs and expenses.

	21.	 	FAILURE OF PERFORMANCE: If Tenant fails to perform these Purchase Terms
within the time specified, Landlord may elect to terminate the exercise of
the Option to Purchase and be relieved of all obligations under these
Purchase Terms. If for any reason other than failure of Landlord to make
Landlord’s title marketable after diligent effort, Landlord fails,
neglects
or refuses to perform these Purchase Terms, the Tenant may seek specific
performance or may terminate the exercise of the option, whereupon
Landlord
shall reimburse Tenant for all costs and expenses in connection with
Tenant’s exercise of the Option to Purchase. In the event either party
terminates the exercise of the Option to Purchase as set forth herein, the
parties shall continue to be bound by the terms and provisions of the
Lease, as time same shall apply.

	22.	 	PERSONS BOUND; NOTICE: These Purchase Terms shall bind and inure to the
benefit of the parties and their successors in interest. Whenever the
context permits, singular shall include plural and one gender shall
include
all. Notice given by or to the attorney for any party shall be as
effective
as if given by or to that party.

	23.	 	CONVEYANCE: Landlord shall convey title to the Premises by limited
warranty
	 
	 	 	deed, subject only to matters contained in Section 6 of these Purchase
Terms and those otherwise accepted by Tenant. Personal Property shall, at
the request of Tenant, be transferred by an absolute bill of sale with
warranty of title, subject only to such matters as may be otherwise
provided for herein.

	24.	 	OTHER AGREEMENTS: No prior or present agreements or representations shall
be binding upon Tenant or Landlord unless included in these Purchase
Terms.
No modification to or change in these Purchase Terms shall be valid or
binding upon the parties unless in writing and executed by the party or
parties intended to be bound by it.

	25.	 	ENVIRONMENTAL REPRESENTATIONS AND INSPECTIONS: Landlord hereby represents
and warrants to Tenant (the “Representations”) that, exclusive of Tenant’s
and Tenant’s employee’s, agent’s and invitee’s actions or inactions: (l)
the Premises and all uses of the Premises have been, and presently are, in
compliance with all federal, state, and local Environmental Laws; (2) no
Hazardous Materials have been generated, stored, treated or transferred on
the Premises, except in the ordinary course of business and in compliance
with Environmental Laws; (3) Landlord has no knowledge of any spill or
Environmental Law violation on any property contiguous to or in the
vicinity of the Premises to be sold to Tenant; and (4) Landlord has not
received or otherwise obtained knowledge of any spill or contamination on
the Premises, any existing or threatened environmental lien against the
Premises, or any lawsuit, proceeding, or investigation regarding the
handling of Hazardous Materials on the Premises.

	26.	 	WARRANTY: Landlord warrants that there are no facts known to Landlord
materially affecting the value of the Premises which are not readily
observable by Tenant or which have not been disclosed to Tenant or that
have not been created by Tenant, its employees and agents.

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EXHIBIT “I”

COPY OF PRIME LEASE

LEASE AGREEMENT

     THIS LEASE AGREEMENT (the “Lease”) is made this 12th day of August, 1999,
by and between 195 New Boston Street, LLC, a Massachusetts limited liability
company (hereinafter called “Landlord”), and TREC, LLC, Inc., a Massachusetts
limited liability company, with a principal place of business at 800 Hartford
Turnpike, Shrewsbury, MA 01545 and/or its assigns (hereinafter called
“Tenant”).

W I T N E S S E T H:

     Landlord, for and in consideration of the rentals herein promised to be
paid by Tenant and the covenants, conditions and agreements herein contained to
be kept and performed by Tenant, does hereby let and rent to Tenant, and Tenant
does hereby take and lease as Tenant of the Landlord, the premises hereinafter
described for the term, at the rental and upon the terms and conditions
hereinafter set forth:

SECTION 1

PARTIES

     1.1 LANDLORD. Landlord warrants that it owns the Premises and has full
right and power to execute and deliver this Lease without the consent or
agreement of any other person, and that those persons executing this Lease on
behalf of Landlord have the right and power to execute and deliver this Lease.

     1.2 TENANT. Tenant warrants that Tenant has full right and power to
execute
and deliver this Lease without the consent or agreement of any other person,
and
that those persons who have executed and delivered this Lease have the
authority
and power to execute this Lease on Tenant’s behalf and deliver this Lease to
Landlord.

SECTION 2

PREMISES

     2.1 DESCRIPTION. The premises herein leased (hereinafter called the
“Premises”) are legally described in Exhibit “A” attached hereto and made a
part
hereof. The Premises also include the building(s) and improvements located upon
the land area described in Exhibit “B” and all rights appurtenant thereto. The
Premises are located at 195 New Boston Street, Woburn, MA 01888.

     2.2 QUIET ENJOYMENT. Landlord agrees to warrant and defend Tenant in the
quiet enjoyment and possession of the Premises during the term of this Lease so
long as Tenant complies with the provisions hereof.

SECTION 3

TERM; OPTION TO EXTEND

     3.1 LEASE COMMENCEMENT DATE. The term of this Lease (the “Term”) shall
commence on or before December 1, 1999 (the “Lease Commencement Date”), and
shall terminate on the date (the “Lease Termination Date”) which is the last
day
of the month preceding the fifth (5th) anniversary date of the Lease
Commencement Date unless extended by Tenant in accordance with any extension
option contained in this Lease or any rider thereto or unless terminated at an
earlier date by Tenant or Landlord pursuant to the terms hereof. Landlord shall
give Tenant possession of the Premises, free of all tenants, on the Lease
Commencement Date, or within sixty (60) days upon receipt from Tenant by
written
notice that the Tenant has received all necessary permits and approvals for the
Tenant’s proposed use of the premises.

     3.2 EXTENSION TERMS. Tenant shall have the right to extend the Term of
this
Lease for one (1) additional term of five (5) years (the “Extension Term”) in
its sole discretion upon delivering written notice to the Landlord of its
intent
to exercise this option to extend not less than 365 days before the expiration
date of the initial Term. If Tenant exercises the Extension Term in the manner
provided for in this paragraph then the Lease shall terminate five (5) years
after the initial expiration period, and all provisions of this Lease shall be
applicable to the Extension Terms.

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     3.3 OPTION RENT. Upon the expiration of the Term of this Lease and
provided
that Tenant is not in default under any provision of this Lease beyond any
applicable cure period, Tenant shall have the option to extend the term of this
Lease for one consecutive term of five (5) years (the “Renewal Term”) subject
to
the terms and conditions of the Lease except for the Fixed Rent, which will be
determined in accordance with this Section 3.3. Tenant’s option to renew the
term of this Lease for the Renewal Term commencing on the expiration of the
Term
hereunder shall be on all of the same terms and conditions as are contained in
the Lease except that fixed minimum annual rent during the Renewal Term shall
be

     the “Fair Market Rent” for the Leased Premises determined as hereinafter
provided. Tenant shall exercise such option by giving written notice thereof to
Landlord not less than twelve (12) months prior to the expiration of the term
of
the Lease then in effect. Within thirty (30) days after receipt of Tenant’s
notice of exercise, Landlord shall give Tenant written notice of the Fair
Market
Rent proposed by Landlord for the Renewal Term. Within thirty (30) days of
Landlord’s notice of the Proposed Fair Market Rent, the Tenant may by written
notice to the Landlord, (i) accept the proposed Fair Market Rent, (ii) revoke
its election to renew the applicable term or (iii) reject the proposed Fair
Market Rent and elect that Fair Market Rent be determined in accordance with
the
procedures set forth herein. Within ten (10) days after Tenant gives notice of
its election under subsection (iii) above, each party, at its sole cost and by
giving notice to other party, shall appoint a fully licensed and certified real
estate appraiser with at least five (5) years commercial appraisal experience
in
Massachusetts to appraise and establish the Fair Market Rent for the Leased
Premises. Fair Market Rent shall be based upon rent for comparable Buildings
for
comparable uses in the Greater Woburn area for a similar term taking into
consideration factors such as the Building age, size, amenities and location.
If
a party does not appoint an appraiser within ten (10) days after the other
party
has given notice of the name of its appraiser, the single appraiser appointed
shall be the sole appraiser and shall set the Fair Market Rent for the Leased
Premises for the Renewal Term. If the two appraisers are appointed by the
parties as stated in this paragraph, they shall each submit, within fifteen
(15)
days of the appointment of the second appraiser, a written appraisal stating
the
Fair Market Rent for the Leased Premises. If the lower of the two appraisals is
less than 10% lower than the higher appraisal, the average of the two
appraisals
will be deemed the Fair Market Rent for the Leased Premises. If the lower
appraisal is more than 10% lower than the higher appraisal, then the two
appraisers shall, within ten (10) days select a third appraiser who meets the
qualifications stated in this paragraph. Each of the parties shall bear one
half
of the cost of paying for the third appraiser’s fee.

Within thirty (30) days after the selection of the third appraiser, a majority
of the appraisers shall set the Fair Market Rent for the Leased Premises. If a
majority of the appraisers are unable to set the Fair Market Rent within the
stipulated period of time, the three appraisals shall be added together and
their total divided by three; the resulting quotient shall be the Fair Market
Rent for the Leased Premises; unless the low appraisal and/or the high
appraisal
is/are more than 10% lower and/or higher than the middle appraisal, in which
case the lower appraisal and/or the high appraisal shall be disregarded. If
only
one appraisal is disregarded, the remaining two appraisals shall be added
together and their total divided by two; the resulting quotient shall be the
Fair Market Rent for the Leased Premises. In no event shall the Fair Market
Rent
during the Renewal Term be lower than the Fair Market Rent for the last year of
the Term.

     3.4 PRORATIONS. If any payments, rights or obligations hereunder (whether
relating to payment of rent, taxes, insurance, other impositions, or to any
other provision of this Lease) relate to a period in part before the Lease
Commencement Date or in part after the date of expiration or termination of the
term, appropriate adjustments and prorations shall be made.

Page 42

 

     3.5 SURRENDER AT END OF TERM. Upon the last day of the lease Term or upon
the earlier termination of this Lease pursuant to the provisions hereof and
irrespective of when and how such termination occurs, Tenant shall surrender
and
deliver to Landlord the Premises, all buildings and improvements thereon, other
than Tenant’s Property, without delay, broom clean and in good order, condition

     and repair, reasonable wear and tear and damage due to insured casualty
excepted
and subject to the other terms of this Lease, whereupon Tenant shall have no
further right, title or interest in and to said Premises. Any trade fixtures,
business equipment, inventory, trademarked items, signs and other removable
personal property located or installed in or on the Premises (“Tenant’s
Property”) shall be removed by Tenant on or before the last day of the lease
Term or upon the earlier termination of this Lease pursuant to the provisions
hereof, and Tenant shall repair any damage occasioned by the removal of
Tenant’s
Property. Landlord may remove and dispose of any of Tenant’s Property remaining
at the Premises after the expiration or termination of the Lease at the
Tenant’s
expense.

     3.5.1 SECURITY DEPOSIT. Tenant agrees to deposit with Landlord at the
execution hereof the sum of $31,000 as a security deposit to assure the
Landlord
of the full and prompt payment and performance of the Tenant’s Obligations
under
this lease and throughout the term thereof. Landlord agrees to credit one half
of the security deposit to the Tenant toward the rent payment due in the
thirteenth (13) month of the lease, and thereafter the balance shall be
credited
to the Tenant, if and when, the Tenant purchases the property and a deed to
that
effect is recorded.

     3.7 The Tenant’s Obligations hereunder are conditioned upon the Tenant
successfully completing the following:

	 	a)	 	The Tenant acknowledges that it has had the opportunity, to review of
any and all environmental information which the Seller has in its
possession, including an ROA report submitted by the Seller’s
environmental engineers to Mass. Dept. of Environmental Protection.

	 	 	 	Unless the Tenant submits to the Landlord a fully executed proposal
from a Licensed Site Professional by July 30th, 1999, for additional
environmental studies to be performed on the Premises, at Tenant’s
sole expense to conduct, then any and all environmental contingencies
to this lease shall be waived.

	 	 	 	Should Tenant seek additional environmental studies, said work shall
be performed by September 30, 1999. Tenant may access the site to
conduct such reviews and studies, however, should any subsurface
exploration be required, Tenant shall give Landlord twenty-four hour
prior written notice thereof, a copy of an insurance certificate for
all workman which Tenant brings to the site, an agreement to indemnify
the Landlord from any all liability stemming from such investigations,
and an agreement to restore the premises to its condition prior to any
of the Tenant’s work. Should the Tenant be dissatisfied wish the
results of its review, it may terminate this agreement upon written
notice to the Landlord, on or before September 30, 1999.

	 	b)	 	Tenant expressly waives any and all structural or physical inspection
of the building contingencies it may have had by executing this Lease.

	 	c)	 	Tenant shall also have until September 30, 1999 to secure any and all
necessary permits for its use from the City of Woburn and its related
boards and commissions. Should the Tenant be unable to secure the
necessary permits by September 30, 1999 the Tenant, upon written
notice to the Landlord on or before September 30, 1999 shall be able
to terminate this Agreement, but agrees to forfeit half of the
security deposit paid herein, as consideration for taking the Property
off the market during the Tenant’s due diligence period.

	 	d)	 	Should the Tenant seek to terminate this Lease, and complies with the
terms of subsection a) of this paragraph, for environmental concerns,
then the Tenant upon written notification to the Landlord on or before
September 30, 1999, after submitting a copy of its environmental
report to the Landlord, shall be untitled to a full refund of all
deposits hereunder, and this Agreement shall be void without recourse
to the parties.

Page 43

 

SECTION 4

RENT

     4.1 RENT. Commencing on the Lease Commencement Date, Tenant covenants and
agrees to pay to Landlord in lawful money of the United States of America,
during each lease year, an annual rental per the following schedule:

	 	 	 	 	 
	YEAR 1
	 	15,500.00/monthly	 	$186,000.00 annually
	YEAR 2
	 	16,145.83/monthly	 	$193,750.00 annually
	YEAR 3
	 	16,791.67/monthly	 	$201,500.00 annually
	YEAR 4
	 	17,437.50/monthly	 	$209,250.00 annually
	YEAR 5
	 	18,083.33/monthly	 	$217,000.00 annually

The Rent shall be payable in equal monthly installments, in advance on or
before
the first day of each and every calendar month of the Term of this Lease. The
Rent shall be paid in addition to and over and above all other payments to be
made by Tenant herein. The first lease year shall be a full year commencing on
the Lease Commencement Date and each following lease year shall be an annual
period commencing on the anniversary date of the Lease Commencement Date.
Appropriate proration shall be made if the Lease Commencement Date is not on
the
first day of a calendar month, or if the date of termination of the lease is
not
on the last day of a calendar month.

NO PAYMENT OF RENT BY TENANT SHALL BE DEEMED LATE UNLESS LANDLORD PROVIDES
TENANT TEN (10) DAYS WRITTEN NOTICE THAT THE AMOUNT REMAINS DUE AND
OUTSTANDING.
LATE FEES NOT TO EXCEED 1.5% OF THE AMOUNT DUE FOR EACH MONTH, MAY BE ASSESSED
BY LANDLORD BEGINNING THE FIFTEENTH DAY AFTER THE AMOUNT IS DUE PROVIDED THE
TEN
DAY WRITTEN NOTICE HAS BEEN GIVEN BY LANDLORD.

     4.2 TAXES.

          (a) Tenant shall be responsible for the payment of all real property
taxes and assessments (“Real Estate Taxes”) levied against the Premises by any
governmental or quasi-governmental authority, which are due and payable during
the Term hereof, except as set forth herein. For purposes of this Lease, “Real
Estate Taxes” shall include any and all public charges against the Premises.
Real Estate Taxes shall include any taxes, assessments, surcharges, or service
or other fees of a nature not presently in effect which shall hereinafter be
levied on the Premises as a result of the use, ownership or operation of the
Premises or for any other reason, whether in lieu of or in addition to any
current real estate taxes and assessments. Any special assessments will be
amortized over the maximum period allowed by law or applicable tax rules,
whichever is longer, and Real Estate Taxes will include only the prorated and
amortized amount, which becomes due during the Term hereof. Real Estate Taxes
shall exclude any income, excess profits, single business, inheritance,
succession, transfer, franchise, capital or other tax assessments upon Landlord
or Landlord’s interest in the Premises.

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          (b) Tenant shall remit all payments for Real Estate Taxes directly to
the taxing or assessing authority unless Landlord has paid the Real Estate
Taxes
to avoid interest or penalties accruing thereon, in which event the Real Estate
Taxes shall be immediately due and payable to Landlord. Upon receipt of all tax
bills and assessment bills attributed to any calendar year during the Term
hereof Landlord shall furnish Tenant with a copy of the tax bill or assessment
bill upon receipt so as to allow Tenant to take advantage of the maximum
payment
discount available, if Tenant so desires. Tenant shall provide written proof of
payment of Real Estate Taxes at the time such payments are made.

          (c) Tenant will have the right to contest at its sole expense, the
amount or validity, in whole or in part, of any tax that Tenant is required to
pay, in whole or in part, by appropriate proceedings diligently conducted in
good faith, only after paying such tax or posting such security that Landlord
reasonably requires in order to protect the Premises against loss or
forfeiture. Upon the conclusion of any such protest proceedings, Tenant will pay its share
of the tax, as finally determined, in accordance with this Lease, the payment
of which tax may have been deferred during the prosecution of the proceedings,
together with any costs, fees, interest, penalties or other related
liabilities. Landlord will not be required to join in any contest or proceedings unless the
provisions of any law or regulations then in effect require that the
proceedings be brought by or in the name of Landlord. In that event, Landlord will join in
the proceedings or permit them to be brought in its name; however, Landlord
will not be subjected to any liability for the payment of any costs or expenses in
connection with any contest or proceedings, including but not limited to
reasonable attorney’s fees and other reasonable professional fees and Tenant
will indemnify Landlord against and save Landlord harmless from any such costs and expenses in this regard.

     4.3 SERVICES AND UTILITIES.

          
(a) Tenant agrees that Landlord shall not be liable for failure to
supply any heating, air conditioning, electrical, janitorial, lighting or other
services. In the event of any interruption, reduction or discontinuance of
services (either temporarily or permanently), Landlord shall not be liable for
damages to persons or property as a result thereof, nor shall the occurrence of
any such event in any way be construed as an eviction of Tenant.

          (b) Tenant shall pay for all water, gas, heat, light, power,
telephone, trash disposal, building and liability insurance and other utilities
and services supplied to the Premises, together with any taxes thereon.

SECTION 5

USE; COMPLIANCE WITH LAWS; MAINTENANCE AND REPAIRS

     5.1 USE OF PREMISES. Tenant shall have the right to use the Premises for
the purpose of the operation of an equipment rental, leasing and sales facility
and any related uses including, but not limited to, the business of renting,
selling, leasing, distributing, servicing or repairing new or used equipment,
spare parts and related supplies to industrial, manufacturing, and construction
customers, and/or, after obtaining Landlord’s prior written consent, which
consent shall not be unreasonably withheld or delayed, for any other lawful
purpose, all uses of the Premises being subject, however, to all applicable
laws. Notwithstanding the foregoing, Tenant shall not use or occupy the
Premises
in any manner or for any purpose which voids or makes voidable any insurance
covering any portion of the Premises. Tenant shall not commit waste on the
Premises and shall not use the Premises for any unlawful or improper purpose or
in violation of any certificate of occupancy or for any purpose which may
constitute a nuisance, public or private, nor suffer any dangerous article to
be
brought on the Premises without permits if permits are required and unless
safeguarded as required by law.

     5.2 COMPLIANCE WITH LAWS. Tenant shall reasonably, promptly and
effectively
comply with all applicable and lawful statutes, regulations, rules, ordinances,
orders and requirements of any public official or agency having jurisdiction in
respect of the Premises and Tenant’s specific use thereof (herein referred to
as
governmental authorities). Landlord shall promptly give notice to Tenant of any
written notice in respect of the Premises from governmental authorities. Tenant
may, in good faith, and at its sole expense dispute the validity of any
complaint or action taken pursuant to or under color of any of the foregoing,
defend against the same, and in good faith diligently conduct any necessary
proceedings to prevent and avoid any adverse consequence of the same Tenant
agrees that any such contest shall be prosecuted to a final conclusion as
speedily as possible, and Tenant will hold Landlord completely harmless with
respect to any actions taken by any governmental authorities with respect
thereto.

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     5.3 MAINTENANCE AND REPAIRS BY TENANT. Except as otherwise provided in
Section 5.4 below, throughout the Term of this lease Tenant shall, at Tenant’s
sole cost and expense, keep the Premises and all improvements (if any) in good
order, condition and repair and shall make or cause to be made all repairs to
correct any damage thereto.

     5.4 MAINTENANCE, REPAIR AND REPLACEMENT BY LANDLORD. Tenant shall be
responsible for the maintenance, repair and replacement of (a) any structural
components including, without limitation, the roof, roof membrane, load bearing
walls and floor slabs and masonry walls and foundations, (b) the plumbing
system, (c) the electrical system, (d) the utility lines and connections to the
Premises, and (e) the sprinkler mains, if any. Further, Tenant shall be
responsible for the replacement, maintenance and repair of the heating,
ventilation, and air conditioning system.

Tenant shall reasonably, promptly and effectively comply with all applicable
laws, ordinances, regulations and rules of any public authority relating to the
Premises.

     5.5 ACCESS; INSPECTION BY LANDLORD. Landlord and its agents shall have the
right at all reasonable times during the Term to enter the Premises for the
purpose of inspecting the same, to show the Premises to prospective purchasers
and lenders, to place “For Sale” signs thereon and, during the last 180 days of
the Term, to show the Premises to prospective tenants and to place “For Rent”
signs thereon. Landlord agrees not to interfere with Tenant’s operation of the
Premises during any such inspection and any signage placed on the Premises by
Landlord shall not interfere with any of Tenant’s signage or displays.

SECTION 6

ALTERATIONS; LIENS; SIGNAGE

     6.1 ALTERATIONS. Tenant shall not make any structural or non-structural
alterations in the Premises without Landlord’s prior written consent, not to be
unreasonably withheld or delayed, without Landlord’s consent; provided such
alterations are made without cost to Landlord and provided further, that (a) no
such alterations shall lessen the fair market value of the Premises, and (b)
all
alterations, additions or improvements shall be constructed in a workmanlike
manner.

     6.2 LIENS. All persons are put on notice of the fact that the Tenant under
no circumstances shall have the power to subject the interest of the Landlord
in
the Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of the Tenant or any
person claiming under, by or through the Tenant, must look wholly to the
interest of the Tenant and not to that of the Landlord. Tenant covenants and
agrees with Landlord that Tenant will not permit or suffer to be filed or
claimed against the interest of the Landlord in the Premises during the
continuance of this Lease any lien or liens of any kind by any person claiming
under, by, through or against the Tenant; and if any such lien is claimed or
filed, it shall be the duty of the Tenant, without regard to the validity of
such lien, within thirty (30) days after the claim of lien or suit claiming a
lien has been filed, to cause the Premises to be released from such claim,
either through payment or through bonding with corporate surety or through
deposit into court, pursuant to statute, of the necessary sums of money, or in
any other way that will effect the release of the Landlord’s interest in the
Premises from such claim.

Page 46

 

     6.3 SIGNAGE. Notwithstanding anything to the contrary set forth in this
Lease, Tenant shall have the absolute right to install such signage on the
Premises as Tenant may deem necessary or appropriate, subject to appropriate
governmental approvals with which Tenant shall comply at its sole expense.
Landlord agrees to fully cooperate with Tenant, at Tenant’s expense, in filing
any required signage application, permit and/or variance for said signage or
with respect to the Premises generally.

SECTION 7

INSURANCE

     7.1 TYPES OF INSURANCE. Tenant shall, at its own cost and expense, carry
the following insurance in respect of the Premises and improvements: (evidence
thereof shall be provided to the Landlord at the execution hereof),

          (a) Comprehensive public liability insurance in an amount not less
than $2,000,000.00 combined bodily injury and property damage liability.

          (b) With respect to improvements (if any), insurance against loss or
damage by all risks including fire and other risks covered by fire insurance
with extended coverage endorsements in an amount of the full insurable
replacement value of such improvements (exclusive of cost of excavation,
foundation, and footings below the ground floor and without deduction for
depreciation) and in amounts sufficient to prevent Landlord or Tenant from
becoming a co-insurer under such policies of insurance.

     7.2 PROVISIONS APPLICABLE TO ALL INSURANCE. With respect to all insurance
required to be maintained hereunder by Tenant:

          (a) Each such policy shall name Landlord, Tenant and any mortgagee as
insured as their interests appear and shall contain a Standard Mortgagee Clause
reasonably satisfactory to Landlord.

          (b) Tenant shall, at Tenant’s sole cost and expense, observe and

          comply with all policies of insurance in force with respect to the Premises and
improvements.

          (c) Upon Landlord’s request, Tenant shall send to Landlord
certificates of insurance or receipts or other evidence satisfactory to
Landlord
showing the payments of all premiums and other charges due thereon.

     7.3 LANDLORD’S RIGHT TO OBTAIN INSURANCE. If Tenant shall fail to maintain
any such insurance required hereunder, Landlord may, at Landlord’s election,
after ten (10) days written notice to Tenant, procure the same and make demand
for immediate payment thereof, adding the premium cost to the monthly
installment of rental next due, it being hereby expressly covenanted and agreed
that payment by Landlord of any such premium shall not be deemed to waive or
release the obligation of Tenant to make payment thereof. Tenant’s failure to
either procure or maintain the insurance required hereunder or to reimburse
Landlord, after thirty (30) days written notice from Landlord to Tenant, shall
constitute a default by Tenant under this Lease.

     7.4 USE OF INSURANCE PROCEEDS. Any insurance proceeds recovered by reason
of damage to or destruction of improvements on the Premises shall be made
available to Tenant and must be used to repair, restore or replace the
improvements so damaged or destroyed with any excess proceeds made available to
Tenant. Subject to any documents previously executed with Landlord’s lender.

Page 47

 

     7.5 DAMAGE OR DESTRUCTION. If the improvements on the Premises are damaged
to the extent of fifty (50%) percent or more of their insurable value, Tenant
may, in its sole discretion, elect (a) to repair or restore the improvements,
(b) to construct new improvements. If Tenant elects to repair or restore the
improvements or construct new improvements, it shall do so promptly and shall
receive no abatement of rent during such repair period, but in no event shall
Tenant’s repair, restoration or reconstruction exceed one hundred eighty (180)
days.

     7.6 SUBROGATION: Landlord and Tenant shall each obtain from their
respective insurers under all policies of fire, theft, public liability,
workers’ compensation and other insurance maintained by either of them at any
time during the Term hereof insuring or covering the Premises, a waiver of all
rights of subrogation which the insurer of the party might otherwise have, if
at
all, against the other party.

SECTION 8

EMINENT DOMAIN

     If any portion of the Premises which materially affects Tenant’s ability
to
continue to use the remainder thereof for the purposes set forth herein, or
which renders the Premises untenantable, is taken by right of eminent domain or
by condemnation, or is conveyed in lieu of any such taking, then this Lease may
be terminated at the option of Tenant. Such option shall be exercised by Tenant
giving notice to Landlord of such termination within thirty (30) days after
such
taking or conveyance, whereupon this Lease shall forthwith terminate and the
Rent shall be duly apportioned as of the date of such taking or conveyance.
Upon
such termination, Tenant shall surrender to Landlord the Premises and all of
Tenant’s interest therein under this Lease, and Landlord may re-enter and take
possession of the Premises or remove Tenant therefrom. If any portion of the
Premises is taken which does not materially affect Tenant’s right to use the
remainder of the Premises for the purposes set forth herein, this Lease shall
continue in full force and effect, and Landlord shall promptly perform any
repair or restoration work required to restore the Premises, insofar as
possible, to its former condition, and the rental owing hereunder shall be
adjusted, if necessary, in such just manner and proportion as the part so taken
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. In the event of taking or conveyance as described herein,
Landlord
shall receive the award or consideration for the lands and improvements so
taken; provided, however, that Landlord shall have no interest in any award
made
for Tenant’s loss of business or value of its leasehold interest or for the
taking of Tenant’s fixtures or property, or for Tenant’s relocation expenses.
Landlord and Tenant shall cooperate with one another in making claims for
condemnation awards.

SECTION 9

ASSIGNMENT AND SUBLETTING; ATTORNMENT; TENANT FINANCING

     9.1 ASSIGNMENT BY LANDLORD. At any time, Landlord may sell its interest in
the Premises or assign this Lease or Landlord’s reversion hereunder, either
absolutely or as security for a loan, without the necessity of obtaining
Tenant’s consent or permission, but any such sale or assignment shall be at all
times subject to this Lease and the rights of Tenant hereunder.

     9.2 ASSIGNMENT AND SUBLETTING BY TENANT. Tenant shall have the right to
assign, sublet or otherwise transfer its interest in this Lease and its rights
hereunder to any entity or person with Landlord’s prior written consent, which
shall not be unreasonably withheld, conditioned or delayed.

Page 48

 

Tenant may assign, sublet or otherwise transfer its interest in this Lease
without Landlord’s consent, written or otherwise, to any (i) parent, subsidiary
or affiliate of Tenant, or to a corporation or other business entity with which
Tenant may merge, amalgamate or consolidate, or (ii) entity in which the
Premises is intended to be leased back by such entity to Tenant or any parent,
subsidiary or affiliate of Tenant, or to a corporation or other business entity
with which Tenant may merge, amalgamate or consolidate. Notwithstanding any
assignment of the Lease pursuant to the preceding two (2) sentences Tenant
shall
not be released from liability hereunder so long as the Lease is not modified
or
amended in any respect without the prior written approval of Tenant. This Lease
contains no provision restricting, purporting to restrict or referring in any
manner to a change in control or change in stockholders, directors, management
or organization of Tenant, or any subsidiary, affiliate or parent of Tenant or,
to the issuance, sale, purchase, public offering, disposition or
recapitalization of the capital stock of Tenant, or any subsidiary, affiliate
or
parent of Tenant.

     9.3 ATTORNMENT. Any assignee of Landlord or Tenant hereby agrees to attorn
to the Tenant or Landlord, respectively, as the case may be.

     9.4 TENANT FINANCING. Tenant shall have the absolute right from time to
time during the Term hereof and without Landlord’s further approval, written or
otherwise, to grant and assign a mortgage or other security interest in
Tenant’s
interest in this Lease and all of Tenant’s property located on or used in
connection with the Premises to Tenant’s lenders in connection with Tenant’s
financing arrangements provided that no such mortgage or other security
interest
shall in any respect prevent the Landlord from pursuing each of its rights and
remedies under this Lease. Landlord agrees to execute such confirmation
certificates and other documents (except amendments to this Lease unless
Landlord hereafter consents) as Tenant’s lenders may reasonably request in
connection with any such financing.

SECTION 10

DEFAULT AND REMEDIES

     10.1 EVENTS OF DEFAULT. If:

          (a) Tenant shall default in the due and punctual payment of the Rent,
insurance premiums, impositions or any other amounts or rents due under this
Lease or any part thereof, and such default shall continue for ten (10) days
after notice thereof in writing to Tenant; or

          (b) Tenant shall default in the performance or in compliance with any
of the other covenants, agreements or conditions contained in this Lease and
such default shall not be cured within thirty (30) days after notice thereof in
writing from Landlord to Tenant; or

          (c) Tenant shall file a petition in voluntary bankruptcy or under
Chapter 7 or 11 of the United States Bankruptcy Code or any similar law, state
or federal, whether now or hereafter existing, or an answer admitting
insolvency
or inability to pay its debts, or fail to obtain a vacation or stay of
involuntary proceedings within ninety (90) days after the involuntary petition
is filed; or

          (d) Tenant shall be adjudicated a bankrupt, or a trustee or receiver
shall be appointed for Tenant or for all of its property or the major part
thereof in any involuntary proceedings, or any court shall have taken
jurisdiction of the property of Tenant or the majority part thereof in any
involuntary proceeding for reorganization, dissolution, liquidation or winding
up of Tenant, and such trustee or receiver shall not be discharged or such
jurisdiction relinquished or vacated or stayed on appeal or otherwise within
ninety (90) days;

          (e) Tenant shall make an assignment for the benefit of its creditors;

          (f) the unauthorized assignment or subletting of all or any portion of
the Premises; or

Page 49

 

          (g) the occurrence of uninsured material damage to the Premises due to
the negligence, carelessness or willful misconduct of Tenant or a person within
tenant’s control.

then and in any such event referred to in clauses (a), (b), (c), (d) or (e)
above Landlord shall have the remedies with respect to the Premises as set
forth
below.

     10.2 Landlord’s Remedies Upon Default. Upon the occurrence of an Event of
Default by Tenant, then Landlord shall be entitled to the following remedies:

          (a) Terminate this Lease by giving written notice of termination to
Tenant, in which event Tenant shall immediately surrender the Premises to
Landlord. If Tenant fails to so surrender the Premises, then Landlord may,
without prejudice to any other remedy it has for possession of the Premises or
arrearages in rent or other damages, re-enter and take possession of the
Premises without trespass and expel or remove Tenant and any other person
occupying the Premises or any part thereof; in accordance with applicable law;
or

          (b) Landlord may re-enter and take possession of the Premises without
terminating the Lease in accordance with applicable law, and relet the Premises
and apply the Rent received to the account of Tenant. In the event Landlord so
re-enters and takes possession of the Premises as set forth above, Landlord
agrees to use reasonable efforts to relet the Premises for a commercially
reasonable rate at the time of such reletting. No reletting by Landlord is
considered to be for Landlord’s own account unless Landlord has notified Tenant
in writing that this Lease has been terminated. In addition, no such reletting
is to be considered an acceptance of Tenant’s surrender of the Premises unless
Landlord so notifies Tenant in writing.

          (c) In the event that Tenant shall be in default in the payment of
Rent for ninety (90) consecutive days, Landlord shall have the right to
accelerate the Rent remaining during the then existing Term (less any amounts
received by Landlord in mitigation thereof), which sum shall be discounted to
present value utilizing the United States Treasury Bill rate (at the date of
such acceleration) having a maturity comparable to the remaining Term of the
Lease to the nearest full calendar year.

          (d) Tenant shall be and remain liable for rent at the rate herein
before reserved, and Landlord may, at its discretion, re-let the Premises at
the
risk of Tenant who for the residue of the term hereof and for such further time
as said term shall have been extended, if at all, shall remain responsible for
the rent and charges herein reserved and shall be credited with such amounts
only as shall be actually realized by Landlord.

     10.3 MITIGATION OF DAMAGES. In the event that a right of action by
Landlord
against Tenant arises under this Lease, Landlord shall attempt to mitigate
damages by using commercially reasonable efforts to seek to relet the Premises.

     10.4 LANDLORD’S DEFAULT. The failure of Landlord to perform any covenant,
condition, agreement or provision contained herein within thirty (30) days
after
receipt by Landlord of written notice of such failure shall constitute an
“Event
of Default” hereunder.

SECTION 11

OTHER PROVISIONS

     11.1 REMEDIES TO BE CUMULATIVE. No remedy conferred upon or reserved to
Landlord or Tenant shall be considered exclusive of any other remedy, but the
same shall be cumulative and shall be in addition to every other remedy given
under this Lease or now or hereafter existing at common law or by statute.
Every
power and remedy given Landlord or Tenant may be exercised from time to time
and
as often as occasion may arise or may be deemed expedient.

Page 50

 

     11.2 NOTICES. All notices, requests, demands or other communications which
may be or are required or permitted to be served or given hereunder (in this
Section collectively called “Notices”) shall be in writing and shall be sent by
registered or certified mail, return receipt requested, postage prepaid, or by
a
nationally recognized overnight delivery service to Tenant or to Landlord at
the
address set forth below. Either party may, by Notice given as aforesaid, change
its address for all subsequent Notices. Notices shall be deemed given when
received in accordance herewith.

	 	 	 	 	 	 	 
	If to

Landlord:

	 	195 New Boston Street LLC

Richard Mattivello

195 New Boston Street

Woburn, MA
	 	If to

Tenant:
	 	TREC, LLC

800 Hartford Turnpike

Shrewsbury, MA 01545
	 
	 	 	 	 	 	 
	With a

copy to:

	 	Attorney Michael J. Burkin

318 Bear HM Road, Suite 1

Waltham, MA 02451
	 	with a

copy to:
	 	Robert Queler, Esq.

865 Providence Highway

Dedham, MA 020026-6825

     11.3 BROKER. Landlord and Tenant each warrant to the other that Mark St.
Jean of Phoenix Corporate Services and Blue Chip Properties have been employed
as a Brokers with respect to this Lease and each agrees to indemnify and hold
the other harmless from any claims by any other broker or agent claiming
compensation in respect of this Lease alleging an agreement by Landlord or
Tenant, as the case may be. The Landlord shall be responsible for the payment
at
lease commencement of all commissions due for this transaction at the rate of
6%
of the annual lease rate for the first year of the lease term, and 3% of the
annual lease rate for the second year of the lease term.

In the event the Tenant does not purchase the property after the completion of
the second year of the lease term, Landlord agrees to pay a fee to the Brokers
listed above, equal to 3% of the annual lease rate for every year thereafter
that the Tenant leases the Premises, until the Tenant exercises its option to
purchase.

     11.4 WAIVER OF JURY TRIAL. Landlord and Tenant waive trial by jury in any
action or proceeding brought by either of the parties hereto against the other
or on any counterclaim in respect thereof on any matters whatsoever arising out
of or in any way connected with the Lease, the relationship of Landlord and
Tenant, Tenant’s use or occupancy of the Premises and/or any claim of injury or
damage under this Lease.

     11.5 NO PARTNERSHIP. Landlord shall not be construed or held to be a
partner or associate of Tenant in the conduct of Tenant’s business, it being
expressly understood and agreed that the relationship between the parties
hereto
is and shall at all times remain, during the lease term, that of Landlord and
Tenant.

     11.6 NON-WAIVER. No failure by Landlord or Tenant to insist upon the
performance of any covenant, agreement, provision or condition of this Lease or
to exercise any right or remedy, consequent upon a default hereunder, and no
acceptance of full or partial rent during the continuance of any such default,
shall constitute a waiver of any such default or of such covenant, agreement,
provision, or condition. No waiver of any default shall affect or alter this
Lease, but each and every covenant, agreement, provision and condition of this
Lease shall continue in full force and effect with respect to any other then
existing or subsequent default hereunder.

Page 51

 

     11.7 GENDER AND NUMBER. Words of any gender used in this Lease shall be
held to include another gender and words in the singular number shall be held
to
include the plural and words in the plural shall be held to include the
singular, when the sense requires.

     11.8 CAPTIONS. The captions, titles and article, section or paragraph
headings are inserted only for convenience and they are in no way to be
construed as a part of this Lease or as a limitation on the scope of the
particular provisions to which they refer.

     11.9 GOVERNING LAW. This Lease is made pursuant to, and shall be governed
by, and construed in accordance with, the laws of the State in which the
Premises are located.

     11.10 SUCCESSORS AND ASSIGNS. The covenants, conditions and agreements in
this Lease shall bind and inure to the benefit of Landlord and Tenant and,
except as otherwise provided in this Lease, their respective heirs, devisees,
executors, administrators, legal representatives, distnbutees, successors and
assigns.

     11.11 AMENDMENT. Any agreement hereafter made shall be ineffective to
change, modify or discharge this Lease in whole or in part unless such
agreement
is in writing and signed by the party against whom enforcement of the change,
modification or discharge is sought.

     11.12 SHORT FORM LEASE. The parties agree to execute a short form
Memorandum of Lease in the form of Exhibit “B” attached hereto for recording
containing the names of the parties, a description of the Premises, the Term of
the Lease and such other provisions as the parties may deem appropriate.

     11.13 LIEN. Landlord hereby waives any statutory or common law rights 176it
may have granting Landlord a lien or the right to foreclose on any property of
Tenant, including without limitation, any of Tenant’s personal property and/or
the tenant improvements installed in the Premises by Tenant.

     11.14 REPRESENTATIONS AND WARRANTIES. Notwithstanding anything in this
Lease to the contrary, Landlord represents and warrants to Tenant that no
mortgages, deeds of trusts or liens or encumbrances of any nature presently
encumber Landlord’s title to the Premises except as set forth on Exhibit “C”,
attached hereto and incorporated herein by this reference; that none of said
encumbrances shall prohibit or impede the use of the Premises as contemplated
herein or create any financial obligation on the part of Tenant except as
expressly set forth herein; that Landlord has the full right, power and
authority to enter into this Lease and make the agreements contained herein on
its part to be performed; that the execution, delivery and performance of this
Lease has been duly authorized by Landlord; that the Lease constitutes the
valid
and binding obligation of Landlord, enforceable in accordance with its terms
subject to applicable bankruptcy, insolvency, reorganization, moratorium and
other laws affecting the enforceability of creditors rights generally and the
application of equitable principles affecting the availability of remedies in
the nature of specific enforcement.

     11.15 SUBORDINATION AND ATTORNMENT. This Lease shall be subordinate to any
mortgage or deed of trust (now or hereafter placed upon the Premises), and to
any and all advances made under any mortgage or deed of trust and to all
renewals, modifications, consolidations, replacements and extensions thereof.
Tenant agrees to execute such documents as may be further required to evidence
such subordination or to make this Lease prior to the lien of any mortgage or
deed of trust, as the case may be, subject to the following sentence.
Notwithstanding the foregoing, Tenant shall only be obligated to subordinate
its
leasehold interest to any mortgage, deed of trust, or ground lease now or
hereafter placed upon the Premises if the holder of such mortgage or deed of
trust or the Landlord under such ground lease delivers to Tenant a
non-disturbance agreement substantially in accordance with the form attached
hereto as Exhibit “E” (the “Non-Disturbance Agreement”). Upon the mutual
execution of this Lease, Landlord shall make best efforts to deliver (subject
to
Landlord’s lender approval) to Tenant a Non-Disturbance Agreement executed by
Landlord and any present lender having a deed of trust or mortgage on the
Premises.

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     11.16 HAZARDOUS MATERIALS. Tenant shall not do anything throughout the
Term
of this Lease and any extension thereof that will violate any Environmental
Laws
(defined below). Tenant shall indemnify, defend and hold harmless Landlord, its
directors, officers, employees, and agents and assignees or successors to
Landlord’s interest in the Premises, their directors, officers, employees, and
agents from and against any and all losses, claims, suits, damages, judgments,
penalties and liability including, without limitation, (i) all out-of-pocket
litigation costs and reasonable attorneys’ fees, (ii) all damages (including
consequential damages), directly or indirectly arising out of the presence,
use,
generation, storage, release or threatened release or disposal of Hazardous
Materials by Tenant, its agents and contractors on, under or in the Premises
after the Lease Commencement Date by or due to the actions or omissions of
Tenant, its agents, contractors and invitees and (iii) the cost of and the
obligation to perform any required or necessary repair, clean-up,
investigation,
removal, remediation or abatement, and the preparation of any closure or other
required plans, whether such action is required or necessary following the
commencement of the initial lease term, to the full extent that such action is
attributable, directly or indirectly, to the presence, use, generation,
storage,
release, threatened release or disposal of Hazardous Materials on, under or in
the Premises due to the acts or omissions of Tenant, its agents, contractors
and
invitees. This indemnification obligation of Tenant does not extend to any
repair, clean-up, investigation, removal, remediation or abatement of Hazardous
Materials (i) which were present on, under or in the Premises before or on the
Lease Commencement Date or (ii) for which Landlord is otherwise obligated to
indemnify Tenant pursuant to this Paragraph 11.16.

     Landlord and Tenant shall mutually indemnify, defend and hold harmless
each
others directors, officers, employees, and agents, and any assignees,
subtenants
or successors to Tenant’s interest in the Premises, their directors, officers,
employees, and agents, from and against any and all losses, claims, suits,
damages, judgments, penalties, and liability including, without limitation, all
(i) out-of-pocket litigation costs and reasonable attorneys’ fees, (ii) all
damages (including consequential damages), directly or indirectly arising out
of
the presence, use, generation, storage, release, threatened release or disposal
of Hazardous Materials on, under or in the Premises before or after the Lease
Commencement Date by or due to the actions or omissions of Landlord and (iii)
the cost of and the obligation to perform any required or necessary repair,
clean-up, investigation, removal, remediation or abatement and the preparation
of any closure or other required plans, whether such action is required or
necessary prior to or following the commencement of the initial lease term, to
the full extent that such action is attributable, directly or indirectly, to
the
presence, use, generation, storage, release, threatened release, or disposal of
Hazardous Materials on, under or in the Premises due to the actions or
omissions
of Landlord.

     For the purpose of this Paragraph 11.16, Hazardous Materials shall include
but not be limited to substances defined as “hazardous substances,” “hazardous
materials,” or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801 et
seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et
seq.; judicial decisions; and any and all state, local or federal laws, rules,
regulations and orders pertaining to environmental, public health or welfare
matters, as the same may be amended or supplemented from time to time
(collectively, the “Environmental Laws”). Any terms mentioned in this Lease
which are defined in any applicable Environmental Laws shall have the meanings
ascribed to such terms in such laws, provided, however, that if any such laws
are amended so as to broaden any term defined therein, such broader meaning
shall apply subsequent to the effective date of such amendment.

Page 53

 

     The provisions of this Paragraph 11.16 shall survive the expiration or
sooner termination of this Lease.

     11.17 PERMITTED OPERATIONS. The Tenant shall determine to its
satisfaction,
during its due diligence period, whether the Premises can be used for its
intended purpose.

     11.18 ATTORNEYS FEES. In the event that at any time during the Term of
this
Lease either Landlord or Tenant shall institute any action or proceeding
against
the other relating to the provisions of this Lease, or any default hereunder,
the unsuccessful party in such action or proceeding agrees to reimburse the
successful party for the reasonable expenses of attorney’s fees and paralegal
fees and disbursements incurred therein by the successful party. Such
reimbursement shall include all legal expenses incurred prior to trial, at
trial
and at all levels of appeal and post judgment proceedings.

     11.19 COUNTERPARTS. This Lease maybe executed in any number of
counterparts, each of which shall be an original but all of which together
shall
constitute one and the same instrument. A telecopy signature of any party shall
be considered to have the same binding legal effect as an original signature.

SECTION 12

TENANT’S OPTION TO PURCHASE

     Tenant shall have the right to purchase the Premises at any time after the
second lease year but before the end of the fifth (5) lease year upon giving
notice in writing to Landlord (the “Purchase Notice”) at least ninety (90) days
of its intention to purchase the Premises. If Tenant exercises this Option to
Purchase, then Tenant shall purchase and Landlord shall sell the Premises upon
the terms and conditions set forth on the Terms for Sale and Purchase attached
hereto as Exhibit “D” (the “Purchase Terms”). Upon the closing of title
pursuant
to the above-mentioned Purchase Terms, this Lease shall terminate and end. The
purchase price for the Premises (“Purchase Price”) shall be $1,810,000.00
dollars. Should the Seller be unable to provide good, clear, marketable title
per Massachusetts Conveyancers Standards after receipt of Tenant’s intention to
exercise this option, than the rent hereunder shall abate to interest only
payable per the following formula: simple interest only at the Fleet Bank prime
rate as published in the Boston Globe on the amount of $1,800,000 dollars,
until
such time as the Landlord can convey good title. The option to purchase shall
expire without notice after the expiration of the fifth year of the lease.

     IN WITNESS WHEREOF, on the day and year first above written, Landlord and
Tenant have duly executed this Lease under seal as their free act and deed.

	 	 	 
	SIGNED, SEALED AND DELIVERED

	 	LANDLORD:
	IN THE PRESENCE OF:
	 	 
	 
	 	 
	

PRINT NAME OF WITNESS BELOW:

Title: Manager

	 	By:

195 NEW BOSTON STREET, LLC

Print Name: Richard M. Mattivello
	 
	 	 
	SIGNED, SEALED AND DELIVERED

	 	TENANT:
	IN THE PRESENCE OF:
	 	 
	

	 	TREC, LLC
	 
	 	 
	

PRINT NAME OF WITNESS BELOW:

	 	By:

195 NEW BOSTON STREET, LLC

Print Name: Bryan T. Rich

Title: Manager

Page 54

 

	 	 	 
	

	 	GUARANTOR:
	 
	 	 
	 

	 	NATIONSRENT, INC.
	

	 	By: 

Print Name:

Title:

Page 55

 

EXHIBIT “A”

DESCRIPTION OF PREMISES

     The Premises to which reference is made in the foregoing and attached
Lease
is hereby described as all that lot, piece or parcel of land lying, being and
situated in the County of Middlesex, State of Massachusetts, more particularly
described as follows:

FIDUCIARY DEED

     We, Virginia M. Winn, Executrix of the Will of Francis X. Winn (See
Middlesex Probate Court Docket No. 554642), and Jeanne G. Winn, Executrix of
the
Will of Robert M. Winn (See Middlesex Probate Court Docket No. 85P6799E) by
power contained in said Wills and every other power, for consideration paid of
One Million ($1,000,000.00) Dollars, grant to 195 New Boston Street LLC, a
Massachusetts limited liability company with a usual place of business at 195
New Boston Street, Woburn, Massachusetts, that certain parcel of land with the
building and improvements located thereon, now known as and numbered 195 New
Boston Street, Woburn, Middlesex County, Massachusetts, bounded and described
as
follows:

     Westerly by the easterly line of New Boston Street, five hundred
sixty-four
and 07/100 feet;

     Northeasterly by lot 3 as shown an the plan hereinafter mentioned, six
hundred seventy one and 08/100 feet;

     Northeasterly again, four hundred ninety and 88/100 feet by land now or
formerly of the Boston and Maine Railroad; and

     Southerly, sixty-eight and 93/100 feet by land now or formerly of the
Boston and Maine Railroad; and

     Southwesterly and Southerly by land now or formerly of Stanislaw
Stefanowich, six hundred seventy-one and 34/100 feet.

     Said parcel is shown as lot 21 on said plan, (Plan No. 7312(1).

     All of said boundaries are determined by the Court to be located as shown
on a subdivision plan, as approved by the Court, filed in the Land Registration
Office, a copy of which is filed in the Registry of Deeds for the South
Registry
District of Middlesex County in Registration Book 157, Page 35, with
Certificate
145815.

     The above described land is subject to easements as set forth in a grant
made by the Merrimac Chemical Company to the City of Woburn, dated August 9,
1915, duly recorded in Book 4015, Page 524.

Page 56

 

     The above described land is subject to a revocable license made by said
Merrimac Chemical Company to the Boston and Maine Railroad, dated November 4,
1924, duly recorded in Book 4791, Page 466; and said land is also subject to a
grant of easements in favor of the Boston and Lowell Railroad Corporation,
dated
September 16, 1891, duly recorded in Book 2070, Page 427

     The above described land is subject to the flow of a natural water course
through the same as shown on said plan.

     The above described land is subject to the agreement set forth in Document
No. 454956.

     The above described land is subject to and has the benefit of the
restrictions more particularly set forth in Deed Documents Nos. 397266 and
454956.

     The above described land is subject to a Grant of Easement from Robert M.
Winn, et al to the City of Woburn as set forth in Document No. 524494.

     The above described land is subject to an Order of Court approving plan
No.
7312-I delineating the sewer easement as set forth in Document No. 443648 and a
relocation of the brook as affected by Document No. 484448.

     By this deed, all of the remaining land described in Certificate of Title
No. 126721 has been conveyed.

     For grantors’ title, see Certificate of Title No. 126721 filed with the
Middlesex South Registry District of the Land Court in Registration Book 763,
Page 171.

     WITNESS our hands and seals this 7th day of December, 1998.

	 	 	 
	

	 	

Virginia M. Winn, Executrix

of the Will of Francis X. Winn
	 
	 	 
	

	 	

Jeanne G. Winn, Executrix

of the Will of Robert M. Winn

Page 57

 

COMMONWEALTH OF MASSACHUSETTS

			
	Middlesex, ss.
	 	December 7, 1998

     Then personally appeared the above-named Virginia M. Winn, Executrix as
aforesaid, and acknowledged the foregoing to be her free act and deed, before
me

	 	 	 
	12/7/98

APPROVED FOR REGISTRATION

BY THE COURT

	 	

James R. Peluso, Notary Public

My Commission Expires: November 17, 2000
	 
	 	 
	

CHIEF TITLE EXAMINER
	 	 

[MORTGAGE INSPECTION SURVEY]

Page 58

 

EXHIBIT “B”

[MORTGAGE INSPECTION CERTIFICATE]

Page 59

 

EXHIBIT “B”

FORM OF MEMORANDUM OF LEASE

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

MEMORANDUM OF LEASE

(Woburn, Massachusetts)

     THIS
MEMORANDUM OF LEASE by and between ____________________ a
_____________________________________ , the address of which is (hereinafter called “Landlord”), and NATIONSRENT USA, INC.,
a Delaware corporation, the address of which is 450 East Las Olas Boulevard,
Suite 1400, Fort Lauderdale, Florida 33301 (hereinafter called “Tenant”).

     Landlord has granted to Tenant a lease which includes, among others, the
following provisions:

     1. Date
of Lease: _______________ .

     2. Description of leased Premises: See Exhibit “A” attached hereto.

     3. Lease Commencement Date: _____________________.

     4. Term: Fifteen (15) Years.

     5. Renewal Options: Two (2) five (5) year renewal options.

     6. The Lease contains a right of first refusal and an option to purchase
both in favor of Tenant.

     7. The Lease contains the following provision:

Liens. All persons are put on notice of the fact that Tenant under no
circumstances shall have the power to subject the interest of Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of Tenant or any person
claiming under, by or through Tenant, must look wholly to the interest of
Tenant
and not to that of Landlord.

Tenant covenants and agrees with Landlord that Tenant will not permit or suffer
to be filed or claimed against the interest of Landlord in the Premises during
the continuance of this Lease, any lien or liens of any kind by any person
claiming under, by, through or against Tenant; and if any such lien is claimed
or filed, it shall be the duty of Tenant, within sixty (60) days after the
claim
of lien or suit claiming a lien has been filed, to cause the Premises to be
released from such claim, either through payment or through bonding with
corporate surety or through the deposit into court, pursuant to statute, of the
necessary sums of money, or in any other way that will effect the release of
Landlord’s interest in the Premises from such claim.

The purpose of this Memorandum of Lease is to give record notice of the Lease
and of the rights created thereby, all of which are hereby confirmed.

Page 60

 

     IN WITNESS WHEREOF the parties have executed this Memorandum of Lease as
of
the dates set forth in their respective acknowledgments.

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	 

 

 
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of

     ___,
____, by Bryan T. Rich, the Manager of
__________________________________________________________. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 61

 

EXHIBIT “C”

TITLE EXCEPTIONS

None.

Page 62

 

EXHIBIT “D”

FORM OF NON-DISTURBANCE AGREEMENT

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT

(Woburn, Massachusetts)

     THIS SUBORDINATION NON-DISTURBANCE AND ATTORNMENT AGREEMENT (the
“Agreement”) is made and entered into this the day of , 2000, by NATIONSRENT
USA, INC., a Delaware corporation, the address of which is 450 East Las Olas
Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”), (“Lender”)
and
__________ a _______________________________________, the address of which is
__________________________________________________ (“Landlord”).

R E C I T A L S:

     WHEREAS, Landlord and Tenant executed a Lease dated as of _____________________
(the “Lease”), in favor of Tenant, a memorandum of which may be recorded
simultaneously herewith, covering Premises therein described located on a
parcel
of real estate, the legal description of which is attached hereto and
incorporated herein by this reference as Exhibit “A” (said parcel of real
estate
and the Premises being sometimes collectively referred to herein as the
“Property”); and

     WHEREAS, Landlord has executed a ___(the “Mortgage”) dated
___and recorded on ___at Book ___, Page
___, of the ___Records of ___County, State of
___in favor of Lender, payable upon the terms and conditions
described
therein; and

     WHEREAS, it is a condition to said loan that said Mortgage shall
unconditionally be and remain at all times a lien or charge upon the Property,
prior and superior to the Lease and to the leasehold estate created thereby;
and

     WHEREAS, the parties hereto desire to assure Tenant’s possession and
control of the Property under the Lease upon the terms and conditions therein
contained;

Page 63

 

     NOW, THEREFORE, for and in consideration of the mutual covenants and
premises herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged and confessed by the parties
hereto,
the parties hereto do hereby agree as follows:

A G R E E M E N T:

     l. The Lease is and shall be subject and subordinate to the Mortgage, and
to all renewals, modifications, consolidations, replacements and extensions
thereof, and to all future advances made thereunder.

     2. Should Lender become the owner of the Property, or should the Property
be sold by reason of foreclosure, or other proceedings brought to enforce the
Mortgage which encumbers the Property, or should the Property be transferred by
deed in lieu of foreclosure, or should any portion of the Property be sold
under
a trustee’s sale, the Lease shall continue in full force and effect as a direct
lease between the then owner of the Property covered by the Mortgage and
Tenant,
upon, and subject to, all of the terms, covenants and conditions of the Lease
for the balance of the Term thereof remaining, including any extensions therein
provided. Tenant does hereby agree to attorn to Lender or to any such owner as
its landlord, and Lender hereby agrees that it will accept such attornment.

     3. Notwithstanding any other provision of this Agreement, Lender shall not
be (a) liable for any default of any landlord under the Lease (including
Landlord), except that Lender agrees to cure any default of Landlord that is
continuing as of the date Lender forecloses the Property within thirty (30)
days
from the date Tenant delivers written notice to Lender of such continuing
default, unless such default is of such a nature to reasonably require more
than
thirty (30) days to cure and then Lender shall be permitted such additional
time
as is reasonably necessary to effect such cure, provided Landlord diligently
and
continuously proceeds to cure such default; (b) subject to any offsets or
defenses which have accrued prior to the date of foreclosure, unless Tenant
shall have delivered to Lender written notice of the default which gave rise to
such offset or defense and permitted Lender the same right to cure such default
as permitted Landlord under the Lease; (c) bound by any Rent that Tenant may
have paid under the Lease more than one month in advance; (d) bound by any
amendment or modification of the Lease hereafter made without Lender’s prior
written consent; (e) responsible for the return of any security deposit
delivered to Landlord under the Lease and not subsequently received by Lender.

     4. If Lender sends written notice to Tenant to direct its Rent payments
under the Lease to Lender instead of Landlord, then Tenant agrees to follow the
instructions set forth in such written instructions and deliver Rent payments
to
Lender; however, Landlord and Lender agree that Tenant shall be credited under
the Lease for any Rent payments sent to Lender pursuant to such written notice.

     5. All notices which may or are required to be sent under this Agreement
shall be in writing and shall be sent by first-class certified U.S. mail,
postage prepaid, return receipt requested, and sent to the party at the address
appearing below or such other address as any party shall hereafter inform the
other party by written notice given as set forth above:

	 	 	 
	If to Landlord:

	 	 

 

 
	 
	 	 
	with a copy to:

	 	 

 

 

Page 64

 

	 	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301

Attn: Jorge L. Martin, Vice President

of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	

	 
	 	 
	Lender:

	 	

All notices delivered as set forth above shall be deemed effective three (3)
days from the date deposited in the U.S. mail.

     6. Said Mortgage shall not cover or encumber and shall not be construed as
subjecting in any manner to the lien thereof any of Tenant’s improvements or
trade fixtures, furniture, equipment or other personal property at any time
placed or installed in the Premises. In the event the Property or any part
thereof shall be taken for public purposes by condemnation or transfer in lieu
thereof or the same are damaged or destroyed, the rights of the parties to any
condemnation award or insurance proceeds shall be determined and controlled by
the applicable provisions of the Lease.

     7. This Agreement shall inure to the benefit of and be binding upon the
parties hereto, their successors in interest, heirs and assigns and any
subsequent owner of the Property secured by the Mortgage.

     8. Should any action or proceeding be commenced to enforce any of the
provisions of this Agreement or in connection with its meaning, the prevailing
party in such action shall be awarded, in addition to any other relief it may
obtain, its reasonable costs and expenses, not limited to taxable costs, and
reasonable attorney’s fees.

     9. Tenant shall not be enjoined as a party/defendant in any action or
proceeding which may be instituted or taken by reason or under any default by
Landlord in the performance of the terms, covenants, conditions and agreements
set forth in the Mortgage.

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above written.

	 	 	 
	WITNESSES:

	 	LENDER:
	

Print Name:

Print Name:

	 	

a 

company

By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

Page 65

 

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of ___,
a ___corporation, on behalf of the corporation. He/she is personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	 

 

 
	 
	 	 
	

Print Name:

	 	By: 

Name:  

Title:  

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of
___, ____, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 66

 

EXHIBIT “E”

TERMS FOR PURCHASE AND SALE

     If Tenant exercises the Option to Purchase contained in Section 12 of the
Lease, the closing of the transfer of the Premises shall be controlled by the
following provisions. Capitalized terms not defined herein shall have the
meaning given them in the Lease to which this Exhibit is attached.

	1.	 	PROPERTY DESCRIPTION:

	 	(a)	 	Premises: the property described on Exhibit “A” to the Lease.

	 	(b)	 	Personal Property: (“None” if blank).

	2.	 	PURCHASE PRICE: Landlord and Tenant agree to act reasonably and in good
faith to negotiate a Purchase Price for the Premises that will be equal to
the then current fair market value of the Premises. In the event the
parties are unable to reach an agreement with respect to the Purchase
Price
within fifteen (15) days of the Purchase Notice provided under Section 12
of the Lease between Landlord and Tenant, then either party may notify the
other of its intent to have the Purchase Price determined by appraisal.
Such notice must identify the appraiser retained to make such
determination, which appraiser must be engaged full time as a real estate
appraiser and must be a member of the American Institute of Real Estate
Appraisers. A copy of such appraiser’s report indicating the appraised
fair
	 
	 	 	market value of the Premises shall be delivered, upon receipt, to the
other
party. Such other parry shall then have thirty (30) days to retain a
second
appraiser to make a separate determination and to submit a separate report
indicating the fair market value of the Premises. Such second appraiser
must also be engaged full time as a real estate appraiser and must also be
a member of the American Institute of Real Estate Appraisers. A copy of
such second appraiser’s report shall be delivered, upon receipt, to the
other party. If the appraised fair market value of the Premises according
to such two (2) appraisal reports vary by twenty-five (25%) percent or
less, then the fair market values indicated in the two (2) reports shall
be
averaged and the value thus obtained, shall, for all purposes,
conclusively
fix and be the Purchase Price. If such values vary by more than
twenty-five
(25%) percent then such two (2) appraisers shall select a third appraiser,
similarly qualified, who shall determine the fair market value of the
Premises, such determination to be conclusive on the parties. If the two

Page 67

 

	 	 	(2) appraisers fail to appoint such third appraiser within thirty (30)
days
after delivery of the second appraiser’s report, the third appraiser shall
be appointed by the presiding judge of the state court of general
jurisdiction for the county in which the Premises are located, and such
third appraiser shall then individually determine the fair market value of
the Premises, such determination to be binding upon each of the parties.
It
is expressly agreed that the determination of the fair market value of the
Premises by a third appraiser (whether appointed by the prior two (2)
appraisers or such presiding judge) shall be a value that must be between
the values determined by the results of the prior two (2) appraisers, and
the submission of the dispute to such third appraiser shall so provide. It
is further expressly acknowledged, understood and agreed that such
appraisals shall determine the actual fair market value of the Premises
for
the purposes of determining the Purchase Price to be paid under the Option
to Purchase. The Appraisers should not consider the existence of the
Lease,
or the options to extend the Term or to purchase the Premises in arriving
at the fair market value of the Premises. The fair market value of the
Premises as determined by the above procedure shall be the Purchase Price
for the Premises. Each party shall pay all costs, fees and expenses of the
appraiser appointed by it, and fifty (50%) percent of the costs, fees and
expenses of the third appraiser, if any. The Closing Date of the sale and
purchase shall be extended as necessary to complete the procedure set
forth
above, and if extended, the Closing shall occur fifteen (15) days after
the
Purchase Price is finally determined. Notwithstanding any provision of
this
Exhibit E to the contrary, the parties hereto agree that the fair market
value shall not be less than the sum of (a) the purchase price paid by the
Landlord for the Premises prior to the commencement of the term of the
Lease and (b) the unreimbursed costs and expenses of improvements to the
Premises incurred by Landlord.

	3.	 	EFFECTIVE DATE: The date of Contract (“Effective-Date”) swill be the date
when the Tenant has delivered a Purchase Notice to the Landlord.

	4.	 	PAYMENT OF PURCHASE PRICE: The Purchase Price, subject to applicable
adjustments and prorations, shall be paid to Landlord on the Closing Date
by certified or cashier’s check or by wire transfer.

	5.	 	CLOSING DATE: This transaction shall be closed and the deed and other
closing papers delivered on the sixtieth (60) day after the Effective Date
unless modified by other provisions of these Terms for Purchase and Sale
(these “Purchase Terms”)

	6.	 	RESTRICTIONS; EASEMENTS; LIMITATIONS: Tenant shall take title subject to:
comprehensive land use plans, zoning, restrictions, prohibitions and other
requirements imposed by governmental authority; restrictions and matters
appearing on the plat or otherwise common to the subdivision; public
utility easements of record servicing the Premises; taxes for year of
closing and subsequent years; assumed mortgages identified in the Purchase
Notice, if any; provided that there exists at closing no violation of the
foregoing and none prevents use of the Premises for purposes identified in
Section 11.17 of the Lease.

	7.	 	OCCUPANCY: Landlord warrants that there are no parties in occupancy other
than Tenant and any party claiming under Tenant and Landlord shall deliver
sole occupancy of the Premises to Tenant at time of closing, except for
any
parties in possession under agreements with Tenant.

	8.	 	ASSIGNABILITY: Tenant may assign its rights under this agreement to the
same extent and in the same manner as provided in Section 9 of the Lease.

Page 68

 

	9.	 	EVIDENCE OF TITLE: Within twenty (20) days of receipt of a Purchase
Notice,
Landlord shall deliver to Tenant a copy of Landlord’s existing owner’s
title insurance policy and all endorsements thereto. Within thirty (30)
days after the Purchase Notice, Tenant at Tenant’s expense shall obtain a
title insurance commitment (with legible copies of instruments listed as
exceptions attached thereto) issued by a title insurer licensed in the
state where the Premises is located agreeing to issue Tenant, upon
recording of the deed to Tenant, an owner’s policy of title insurance in
the amount of the Purchase Price, insuring Tenant’s title to the Premises,
subject only to liens, encumbrances, exceptions or qualifications provided
in these Purchase Terms and those to be discharged by Landlord at or
before
closing. Landlord shall convey marketable title subject only to liens,
encumbrances, exceptions or qualifications provided in these Purchase
Terms. Marketable title shall be determined according to applicable law.
Tenant shall have thirty (30) days from date of receiving evidence of
title
to examine it. If title is found defective, Tenant shall within three (3)
days thereafter, notify Landlord in writing specifying defect(s). If the
defect(s) render title unmarketable, Landlord will have thirty (30) days
from receipt of notice to remove the defects, failing which Tenant shall,
within five (5) days after expiration of the thirty (30) day period,
deliver written notice to Landlord either: (1) extending the time for a
reasonable period not to exceed one hundred twenty (120) days within which
Landlord shall use diligent effort to remove the defects; or (2)
terminating Tenant’s exercise of the Option to Purchase the Premises. If
Tenant fails to so notify Landlord, Tenant shall be deemed to have
accepted
the title as it then is. Landlord shall, if title is found unmarketable,
use diligent effort to correct defect(s) in the title within the time
provided therefor. If Landlord is unable to timely correct the defects,
Tenant shall either waive the defects or terminate the exercise of the
Option to Purchase, thereby releasing Tenant and Landlord from all further
obligation under these Purchase Terms.

	10.	 	SURVEY: Tenant, at Tenant’s expense, within time allowed to deliver
evidence of title and to examine same, may have the Premises surveyed and
certified by a surveyor registered in the state where the Premises is
located. If survey discloses encroachment on the Premises or that
improvements located on the Premises encroach on setback lines, easements,
lands of others or violate any restrictions, covenants of these Purchase
Terms or applicable governmental regulation, the same shall constitute a
title defect.

	11.	 	INGRESS AND EGRESS: Landlord warrants and represents that there is ingress
and egress to the Premises sufficient for its intended use as described in
Section 11.17 of the Lease, title to which is in accordance with Section 9
of these Purchase Terms.

	12.	 	LIENS: Landlord shall furnish to Tenant at time of closing an affidavit
attesting to the absence, unless otherwise provided for herein, of any
financing statement, claims of lien or potential lienors arising as the
result of any action or inaction of Landlord and further attesting that
there have been no improvements or repairs to the Premises by Landlord for
ninety (90) days immediately preceding date of closing. If the Premises
has
been improved or repaired by Landlord within that time, Landlord shall
deliver releases or waivers of construction liens executed by all general
contractors, subcontractors, suppliers and materialmen in addition to
Landlord’s lien affidavit setting forth the names of all such general
contractors, subcontractors, suppliers and materialmen, further affirming
that all charges for improvements or repairs incurred by Landlord which
could serve as a basis for a construction lien or a claim for damages have
been paid or will be paid at closing of these Purchase Terms.

	13.	 	PLACE OF CLOSING: Closing shall be held in the county where the Premises
are located at the office of the attorney or other closing agent
designated
by Tenant.

Page 69

 

	14.	 	TIME: In computing time periods of less than six (6) days, Saturdays,
Sundays and state or national legal holidays shall be excluded. Any time
periods provided herein which shall end on a Saturday, Sunday or a legal
holiday shall extend to 5:00 p.m. on the next business day. Time is of the
essence in these Purchase Terms.

	15.	 	DOCUMENTS FOR CLOSING: Landlord shall furnish the deed, bill of sale,
construction lien affidavit in compliance with Section 12 of these
Purchase
Terms, owner’s possession affidavit, FIRPTA affidavit, assignments of
leases, tenant and mortgagee estoppel letters and corrective instruments.
Each party shall execute a closing statement.

	16.	 	EXPENSES: Transfer taxes, fees, documentary stamps and surtax on the deed
and recording of corrective instruments shall be paid by Landlord.
Recording of deed shall be paid by Tenant. Unless otherwise provided by
law
or rider to these Purchase Terms, charges for the following related title
services, namely title or abstract charge, title examination, and
settlement and closing fee, shall be paid by the party responsible for
furnishing the title evidence in accordance with Section 9 of these
Purchase Terms. Tenant shall pay the premium for the owners title
insurance
policy insuring Tenant’s interest.

	17.	 	PRORATIONS; CREDITS: Taxes, assessments, rent, interest, insurance and
other expenses of the Premises shall be prorated through the day before
closing unless they are the responsibility of Tenant under the Lease, in
which case they shall not be prorated. Tenant shall have the option of
taking over existing policies of insurance, if assumable, in which event
premiums shall be prorated. Cash at closing shall be increased or
decreased
as may be required by prorations to be made through the day prior to
closing. Advance rent and security deposits will be credited to Tenant.
Escrow deposits held by any mortgagee will be credited to Tenant if Tenant
has provided the funds for the escrow, otherwise they will be paid to
Landlord. Taxes shall be prorated based on the current year’s tax with due
allowance made for maximum allowable discount, homestead and other
exemptions. If closing occurs at a date when the current year’s millage is
not fixed and current years assessment is available, taxes will be
prorated
based upon such assessment and the prior year’s millage. If the current
year’s assessment is not available, then taxes will be prorated on the
prior year’s tax. Tax proration based on an estimate shall, at request of
either party, be readjusted upon receipt of tax bill on condition that a
statement to that effect is signed at closing.

	18.	 	SPECIAL ASSESSMENT LIENS: Certified, confirmed and ratified special
assessment liens as of date of closing (not as of Effective Date) are to
be
paid by Landlord unless they are the responsibility of Tenant under the
Lease. Pending liens as of date of closing shall be assumed by Tenant. If
the improvement has, been substantially completed as of Effective Date,
any
pending lien shall be considered certified, confirmed or ratified and
Landlord shall, at closing, (unless such lien is the responsibility of
Tenant under the Lease) be charged an amount equal to the last estimate or
assessment for the improvement by the public body.

	19.	 	RISK OF LOSS: If the Premises is damaged by fire or other casualty before
closing and cost of restoration does not exceed fifty (50%) percent of the
assessed valuation of the Premises so damaged, cost of restoration shall
be
an obligation of the Landlord and closing shall proceed pursuant to the
terms of these Purchase Terms with restoration costs escrowed at closing.
If the cost of restoration exceeds fifty (50%) percent of the assessed
valuation of the Premises so damaged, Tenant shall have the option of
either taking the Premises as is, together with any insurance proceeds
payable by virtue of such loss or damage, or of terminating the exercise
of
the Option to Purchase.

Page 70

 

	20.	 	ATTORNEY’S FEES; COSTS: In any litigation, including breach, enforcement
or
interpretation, arising out of these Purchase Terms, the prevailing party
in such litigation shall be entitled to recover from the non-prevailing
party reasonable attorney’s fees, costs and expenses.

	21.	 	FAILURE OF PERFORMANCE: If Tenant fails to perform these Purchase Terms
within the time specified, Landlord may elect to terminate the exercise of
the Option to Purchase and be relieved of all obligations under these
Purchase Terms. If for any reason other than failure of Landlord to make
Landlord’s title marketable after diligent effort, Landlord fails,
neglects
or refuses to perform these Purchase Terms, the Tenant may seek specific
performance or may terminate the exercise of the option, whereupon
Landlord
shall reimburse Tenant for all costs and expenses in connection with
Tenant’s exercise of the Option to Purchase. In the event either party
terminates the exercise of the Option to Purchase as set forth herein, the
parties shall continue to be bound by the terms and provisions of the
Lease, as time same shall apply.

	22.	 	PERSONS BOUND; NOTICE: These Purchase Terms shall bind and inure to the
benefit of the parties and their successors in interest. Whenever the
context permits, singular shall include plural and one gender shall
include
all. Notice given by or to the attorney for any party shall be as
effective
as if given by or to that party.

	23.	 	CONVEYANCE: Landlord shall convey title to the Premises by limited
warranty
	 
	 	 	deed, subject only to matters contained in Section 6 of these Purchase
Terms and those otherwise accepted by Tenant. Personal Property shall, at
the request of Tenant, be transferred by an absolute bill of sale with
warranty of title, subject only to such matters as may be otherwise
provided for herein.

	24.	 	OTHER AGREEMENTS: No prior or present agreements or representations shall
be binding upon Tenant or Landlord unless included in these Purchase
Terms.
No modification to or change in these Purchase Terms shall be valid or
binding upon the parties unless in writing and executed by the party or
parties intended to be bound by it.

	25.	 	ENVIRONMENTAL REPRESENTATIONS AND INSPECTIONS: Landlord hereby represents
and warrants to Tenant (the “Representations”) that, exclusive of Tenant’s
and Tenant’s employee’s, agent’s and invitee’s actions or inactions: (l)
the Premises and all uses of the Premises have been, and presently are, in
compliance with all federal, state, and local Environmental Laws; (2) no
Hazardous Materials have been generated, stored, treated or transferred on
the Premises, except in the ordinary course of business and in compliance
with Environmental Laws; (3) Landlord has no knowledge of any spill or
Environmental Law violation on any property contiguous to or in the
vicinity of the Premises to be sold to Tenant; and (4) Landlord has not
received or otherwise obtained knowledge of any spill or contamination on
the Premises, any existing or threatened environmental lien against the
Premises, or any lawsuit, proceeding, or investigation regarding the
handling of Hazardous Materials on the Premises.

	26.	 	WARRANTY: Landlord warrants that there are no facts known to Landlord
materially affecting the value of the Premises which are not readily
observable by Tenant or which have not been disclosed to Tenant or that
have not been created by Tenant, its employees and agents.

Page 71

 

EXHIBIT “J”

CONSENT, ESTOPPEL AND NON-DISTURBANCE AGREEMENT

THIS DOCUMENT PREPARED BY

AND, UPON RECORDATION, RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

350 East Las Olas Boulevard, Suite 1600

Fort Lauderdale, Florida 33301-4200

SPACE ABOVE THIS LINE

FOR RECORDER’S USE

CONSENT, ESTOPPEL AND NON-DISTURBANCE AGREEMENT

(Woburn, Massachusetts)

     THIS CONSENT, ESTOPPEL AND NON-DISTURBANCE AGREEMENT (this “Agreement”) is
made and entered into as of the day of , 2000, by and between 195 NEW BOSTON
STREET, LLC, a Massachusetts limited liability company, the address of which is
195 New Boston Street, Woburn, Massachusetts 01888 (“Prime Landlord”), TREC,
LLC, a Massachusetts limited liability company, the address of which is 217
Whitney Street, Northboro, Massachusetts 01532 (“TREC”), and NATIONSRENT USA,
INC., a Delaware corporation, the address of which is 450 East Las Olas
Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”)

WITNESSETH:

     WHEREAS, Prime Landlord, as landlord, and TREC, as tenant, entered into a
certain Lease Agreement dated August 12, 1999 (referred to herein as the “Prime
Lease”) pertaining to premises located at 195 New Boston Street, Woburn,
Massachusetts 01888 (the “Premises”) and more particularly described in the
Prime Lease.

     WHEREAS, TREC and Tenant have entered into, or are about to enter into, a
Sublease (the “Sublease”) with respect to the Premises, a copy of which is
attached hereto as Exhibit “A” and by this reference incorporated herein (the
“Sublease”); and

     WHEREAS, it is the mutual desire of TREC and Tenant to: (i) obtain the
consent of the Prime Landlord to the subletting of the Premises pursuant to the
terms of the Sublease; (ii) assure Tenant’s possession of the Premises upon the
terms and conditions set forth in the Sublease, irrespective of the termination
or expiration of the Prime Lease; and (iii) establish certain contractual
rights, obligations and agreements among the parties relative to the Premises,
the Prime Lease and the Sublease as more specifically set forth herein.

     NOW, THEREFORE, in consideration of the mutual covenants and agreements
herein contained, and for other valuable considerations, the receipt and
sufficiency of which is hereby acknowledged, the parties hereto agree as
follows:

Page 72

 

     1. CONSENT. Prime Landlord hereby grants its consent to the subletting of
the Premises by TREC to Tenant upon the terms and conditions of the Sublease.
Further, Landlord hereby consents to the alterations and improvements to the
Premises which have been undertaken and/or performed by TREC and/or Tenant.

     2. ESTOPPEL. Prime Landlord hereby certifies to Tenant, its successors and
assigns, knowing that same will be relied upon by Tenant, its successors and
assigns, as follows:

          (a) That the Prime Lease is currently in full force and effect, and
has not been amended, modified, extended or renewed except as set forth herein,
and that no defaults exist thereunder, nor has any event or circumstance
occurred which, with the giving of notice or passage of time, or both, would
constitute a default under the Prime Lease, nor has Prime Landlord commenced
any
action or sent any notice to terminate the Prime Lease.

          (b) A correct and complete copy of the Prime Lease (inclusive of all
amendments, modifications and exhibits thereof) is attached hereto as Exhibit
“B”.

          (c) There are no past due real estate taxes against the Premises.

          (d) To the best of Prime Landlord’s knowledge, all municipal and
governmental ordinances, rules and regulations with respect to the Premises
have
been complied with and there are no citations or violations thereof.

          (e) To the best of Prime Landlord’s knowledge, there are no pending or
contemplated condemnation or eminent domain proceedings which affect any
portion
of the Premises.

          (f) To the best of Prime Landlord’s knowledge, there is no litigation
or threatened litigation involving all or any portion of Premises or with
respect to the Prime Lease.

     3. NON-DISTURBANCE AND RECOGNITION. In the event of the termination or
expiration of the Prime Lease prior to the end of the term of the Sublease (as
same may have been extended by the terms thereof), and provided that Tenant is
not then in default under the Sublease beyond applicable notice and the
expiration of cure periods: (i) Tenant’s peaceful and quiet enjoyment and
possession of the Premises shall not be disturbed, nor shall the rights and
entitlements of Tenant under the Sublease be affected in any manner; (ii) the
Sublease shall continue in full force and effect as a direct lease with the
Prime Landlord upon all the same terms and conditions thereof and in such event
Tenant agrees to attorn to and recognize the Prime Landlord as the landlord
under the Sublease and to pay all rents payable thereunder to the Prime
Landlord; and (iii) the rights and obligations of Tenant and the Prime
Landlord,
as to each other, shall be identical to those between the landlord and tenant,
respectively, under the Sublease, as amended by this Agreement.

     4. DEFAULT BY TLREC. In any instance in which Prime Landlord gives notice
to TREC alleging default by TREC in the performance of any covenant or
obligation under the Prime Lease, Prime Landlord shall also simultaneously give
a copy of such notice to Tenant and Tenant shall have the right, but not the
obligation, to cure or remedy such default of TREC during the same time period
that is permitted to TREC for the remedying or curing of such default or within
ten (10) days after the expiration of such time period and Prime Landlord shall
accept such cure or remedial action taken by Tenant with the same effect as if
such action had been taken by TREC.

     5. DEFAULT OF PRIME LANDLORD. In the event of any default by Prime
Landlord, Tenant shall have the same right as TREC to give notice of such
default to Prime Landlord and to pursue any remedy available to TREC under the
terms of the Prime Lease with or without the joinder of TREC. Tenant agrees to
give notice of any such default to TREC and TREC shall have the right, but not
the obligation, to cure such default.

Page 73

 

     6. PURCHASE AGREEMENT. Pursuant to a Standard Form Purchase and Sale
Agreement dated August 12, 1999, executed by Prime Landlord and TREC (the
“Purchase Agreement”), a copy of which is attached hereto as Exhibit “C”, TREC
has the option to purchase the Premises. Pursuant to Section 12 of the Prime
Lease, TREC is to close on the acquisition of the Premises upon ninety (90)
days
prior written notice to Prime Landlord at any time after December 7, 2001, but
before December 7, 2004. TREC agrees that it shall simultaneously provide to
Tenant a copy of the written notice of closing given to Prime Landlord. Prime
Landlord, TREC and Tenant hereby agree that, in the event that TREC has not
closed on the acquisition of the Premises prior to December 7, 2002, then, at
Tenant’s option and upon written notice from Tenant to TREC and Prime Landlord,
Tenant shall have the right, but not the obligation, to purchase the Premises
in
accordance with the terms of the Purchase Agreement, as modified by Section 12
of the Prime Lease. In furtherance of the foregoing, TREC hereby assigns,
transfers and sets over to Tenant all of TREC’s right, title and interest under
the Purchase Agreement, as modified by Section 12 of the Prime Lease, including
any deposits or other amounts paid by TREC pursuant to the Purchase Agreement
and/or the Prime Lease which are to be applied toward the purchase price of the
Premises. Such assignment shall be operative upon written notice from Tenant to
TREC and Prime Landlord without the requirement of execution by TREC of any
further assignment or agreement and Tenant shall thereafter be entitled to
exercise all of TREC’s rights under the Purchase Agreement, as modified by
Section 12 of the Prime Lease, as if Tenant was the original purchaser
thereunder. In the event that Tenant purchases the Premises, then this Lease
shall terminate and be of no further force or effect except for such
indemnities
that specifically survive the termination or expiration of this Lease. Prime
Landlord and TREC agree that they shall not amend, modify or terminate the
Purchase Agreement or the Prime Lease without the prior written consent of
Tenant. Tenant shall not be liable for any default by TREC under the terms and
conditions of the Purchase Agreement, as modified by Section 12 of the Prime
Lease, and TREC hereby indemnifies and holds Tenant harmless in connection
therewith. Moreover, Tenant shall have no liability or obligation arising from
or in connection with this assignment of the Purchase Agreement, as modified by
Section 12 of the Prime Lease, unless Tenant shall assume the obligations of
TREC thereunder. Further, Prime Landlord hereby agrees that, upon receipt of
written notice from Tenant, Prime Landlord shall recognize Tenant as purchaser
under the Purchase Agreement, as modified by Section 12 of the Prime Lease, and
consummate the sale of the Premises to Tenant upon the terms set forth in the
Purchase Agreement, as modified by Section 12 of the Prime Lease, whereupon the
Prime Lease shall terminate and be of no further force or effect.

     In connection with this Paragraph and knowing that same will be relied
upon
by Tenant, its successors and assigns, Prime Landlord and TREC hereby represent
and warrant to Tenant as follows:

          (a) The Lease Commencement Date of the Prime Lease is December 7, 1999
and the first lease year under the Prime Lease commenced on that date.

          (b) The second sentence of Section 12 of the Prime Lease is hereby
corrected, amended and restated to read as follows:

“If Tenant exercises this option to purchase, then Tenant shall
purchase and Landlord shall sell the Premises upon the terms and
conditions set forth in that Standard Form Purchase and Sale
Agreement dated August 12, 1999, executed by Landlord and Tenant
(the “Purchase Terms”).”

          (c) The provisions of Section 12 of the Prime Lease, as corrected,
amended and restated as set forth in Subparagraph 6(b) above, supersede and
replace any contradictory or inconsistent provisions of the Purchase Agreement.

Page 74

 

     7. MEMORANDUM OF SUBLEASE. Notwithstanding anything to the contrary
contained in the Prime Lease or the Sublease, Tenant shall be permitted to
record a Memorandum of Lease pertaining to the Sublease and this Agreement in
the public records wherein the Premises are located, at Tenant’s sole cost and
expense.

     8. WAIVER OF LIEN RIGHTS. Prime Landlord acknowledges and agrees that all
personal property, fixtures, equipment and machinery (other than the base
building) attached to or located in all or any part of the Premises from time
to
time during the term of the Sublease (including any extensions) shall belong to
Tenant, may be used by Tenant and Tenant’s designees, free of charge, and shall
at all times be deemed the property of Tenant. Accordingly, Prime Landlord
expressly waives any and all applicable statutory, common law and contractual
lien rights and security interests in any such personal property, fixtures,
equipment and machinery (other than the base building) attached to or located
in
all or any part of the Premises.

     9. NOTICES. All notices, requests, demands or other communications which
may be or are required or permitted to be served or given hereunder (in this
Section collectively called “Notices”) shall be in writing and shall be sent by
registered or certified mail, return receipt requested, postage prepaid, or by
a
nationally recognized overnight delivery service to Prime Landlord, Landlord or
Tenant at the address set forth below. Any party may, by Notice given as
aforesaid, change its address for all subsequent Notices. Notices shall be
deemed given when received in accordance herewith.

	 	 	 
	If to Prime Landlord:

	 	195 New Boston Street, LLC

5 Cyrus Circle

Peabody, Massachusetts 01960

Attn: Richard Mattivello
	 
	 	 
	With a copy to:

	 	Michael J. Burkin, Esq.

318 Bear Hill Road, Suite 1

Waltham, Massachusetts 02451
	 
	 	 
	If to Landlord:

	 	TREC, LLC

217 Whitney Street

Northboro, Massachusetts 01532

Attn: Bryan T. Rich
	 
	 	 
	with a copy to:

	 	M. Robert Queler, Esq.

865 Providence Highway

Dedham, Massachusetts 02026
	 
	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301

Attn: Jorge L. Martin, Vice President

of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	Akerman, Senterfitt & Eidson, P.A.

350 East Las Olas Boulevard, Suite 1600

Fort Lauderdale, Florida 33301-4200

Attn: Theresa M. McLaughlin, Esq.

Page 75

 

     10. SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon and inure
to the benefit of the parties hereto and their respective successors, assigns
and sublessees.

     11. MODIFICATIONS. This Agreement may not be amended, modified or
terminated except by agreement in writing duly executed by all of the parties
hereto.

     12. NO MERGER. No union of the interests of Prime Landlord and Tenant
shall
result in a merger of the Sublease or the fee and leasehold interests in all or
any portion of the Premises or Additional Premises.

     13. ATTORNEY’S FEES. In connection with any litigation concerning this
Agreement, the prevailing party shall be entitled to recover all reasonable
attorneys’ fees and expenses incurred by said party through and including all
appellate and bankruptcy proceedings.

     14. GOVERNING LAW. This Agreement shall be governed in accordance with the
laws of the state where the Premises is located.

     15. COUNTERPARTS. This Agreement may be executed in any number of
counterparts, each of which shall be deemed an original, but such counterparts
shall constitute but one and the same instrument.

     16. CAPITALIZED TERMS. Except as otherwise set forth herein, all initially
capitalized terms shall have the same meaning as set forth in the Sublease.

[SIGNATURE PAGES FOLLOW]

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
the day and year first written above.

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF FLORIDA

	 	)

)

)	 	ss:
	COUNTY OF BROWARD

     The foregoing instrument was acknowledged before me this ___day of ___,
2000, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has produced ___(type of identification) as
identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 76

 

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	TREC, LLC,

a Massachusetts limited liability

company
	 
	 	 
	

Print Name:

Title: Manager

	 	By:

Name: Bryan T. Rich

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of
___, 2000, by Bryan T. Rich, as Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	PRIME LANDLORD:
	 
	 	 
	

Print Name:

	 	195 NEW BOSTON, LLC,

a Massachusetts limited liability

company
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of
___, 2000, by ___, as ___, of 195 NEW BOSTON,
LLC, a Massachusetts limited liability company. He is personally known to me or
has produced ___(type of identification) as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 77

 

EXHIBIT “A”

COPY OF SUBLEASE AGREEMENT

Page 78

 

EXHIBIT “A”

COPY OF SUBLEASE AGREEMENT

LEASE AGREEMENT

(Woburn, Massachusetts)

     THIS LEASE AGREEMENT (this “Lease”) is made as of the 7th day of December,
1999 (the “Effective Date”), by and between TREC, LLC, a Massachusetts limited
liability company (hereinafter called “Landlord”), and NATIONSRENT USA, INC., a
Delaware corporation, and/or its assigns (hereinafter called “Tenant”).

WITNESSETH:

     Landlord, for and in consideration of the rentals herein promised to be
paid by Tenant and the covenants, conditions and agreements herein contained to
be kept and performed by Tenant, does hereby let and rent to Tenant, and Tenant
does hereby take and lease as Tenant of Landlord, the premises hereinafter
described for the term, at the rental and upon the terms and conditions
hereinafter set forth:

SECTION 1

PARTIES

     1.1 LANDLORD. Landlord warrants that it is the lessee of the Premises (as
defined below), that it has good and indefeasible leasehold title to the
Premises under the Prime Lease (as defined below), that it has obtained or
shall
obtain pursuant to Section. 14-1 of this Lease, the consent of the Prime
Landlord (as defined below) to entering into this Lease and to the subleasing
of
the Premises pursuant hereto, that it has full right and power to execute and
deliver this Lease without the consent or agreement of any other person other
than the Prime Landlord, and that those persons executing this Lease on behalf
of Landlord have the right and power to execute and deliver this Lease. The
term
“Prime Lease” shall mean that certain Lease Agreement between Landlord and 195
New Boston Street, LLC, a Massachusetts limited liability company (“Prime
Landlord”), with respect to the Premises, dated August 12, 1999. Landlord
warrants and represents to Tenant that Landlord has provided Tenant with a true
and complete copy of the Prime Lease, a copy of which is attached hereto and
made a part hereof as Exhibit “I”.

     1.2 TENANT. Tenant warrants that Tenant has
full right and power to execute and deliver this Lease without the consent or
agreement of any other person, and that those persons executing this Lease on
behalf of Tenant have the authority and power to execute this Lease on Tenant’s
behalf and deliver this Lease to Landlord.

SECTION 2

PREMISES

     2.1 DESCRIPTION. The premises herein leased (hereinafter called the
“Premises”) are legally described in Exhibit “A” attached hereto and made a
part
hereof. The Premises also include the building(s) and improvements located upon
the land area described in Exhibit “A” and all rights appurtenant
thereto. The Premises are located at 195 New Boston Street, Woburn,
Massachusetts 01888.

     2.2
QUIET ENJOYMENT. Landlord agrees to warrant and defend Tenant in the
quiet enjoyment and possession of the Premises during the term of this Lease so
long as Tenant complies with the provisions hereof.

     2.3
CERTAIN DEFINITIONS. Certain terms used in this Section with an initial
capital letter are defined as follows:

Page 79

 

          (a) The term “Delivery Date” shall mean the date that (i) exclusive
possession of the Premises is delivered to Tenant with all of landlord’s work
as defined in Section 2.4 herein and as set forth on EXHIBIT B hereof completed
(“Landlord’s Work”); and (ii) Landlord has obtained and delivered to Tenant a
duly executed “Non-Disturbance Agreement” (as hereinafter defined) from all
lenders having a lien or security interest on the Premises as required under
Section  11.15 hereof.

          (b) The term “Estimated Delivery Date” shall mean June 1, 2000.

          (c) The term “Outside Delivery Date” shall mean one (1) year after the
Effective Date.

     2.4
LANDLORD’S WORK. Landlord shall construct, improve, subdivide or
finish
out the Premises in accordance with EXHIBIT “B”, attached hereto. Landlord, at
Landlord’s sole cost and expense, has caused to be prepared and delivered to
Tenant for Tenant’s approval two (2) sets of plans and specifications (“Plans”)
for Landlord’s Work. Tenant’s approval shall be evidenced by Tenant causing one
(1) set of such Plans to be initialed on its behalf and returned to Landlord
(“Approved Plans”).

     2.5
DELIVERY DATE. Landlord estimates that the Delivery Date will occur on
or
before the Estimated Delivery Date. Landlord agrees to use diligent efforts to
deliver possession of the Premises to Tenant, with Landlord’s Work completed,
by
the Estimated Delivery Date; and Landlord agrees to apprise Tenant of any
delays
respecting the Delivery Date. If the Delivery Date has not occurred by the
Outside Delivery Date, subject to a Force Majeure Event, such failure shall be
an Event of Default under Section 10.4 of this Lease entitling Tenant to
exercise any of its rights and remedies thereunder and, in addition, Tenant
shall have the right and option (in addition to all other remedies available at
law, in equity or hereunder) to terminate this Lease any time thereafter upon
written notice thereof given to Landlord prior to the Delivery Date actually
occurring.

     2.6
COMMENCEMENT OF CONSTRUCTION. If Landlord shall not have (i) obtained
all governmental permits and approvals required for Landlord’s Work and (ii)
commenced the construction and/or renovation of the Premises in accordance with
the Approved Plans within thirty (30) days of the Effective Date, then, at any
time thereafter, but prior to Landlord having obtained such permits and
approvals and commenced such work, Tenant shall have the right, in addition to
all other remedies, to terminate this Lease by giving Landlord written notice
thereof.

     2.7 FORCE MAJEURE. If the performance by Landlord of any of its
obligations
in this Article 2 is delayed by reason of the act or neglect of Tenant or act
of
God, riot, insurrection, war, catastrophe or act of the public enemy
(collectively “Force Majeure Events”), then the period for commencement or
completion thereof shall be extended for a period equal to such delay, provided
that Landlord has given Tenant written notice of the occurrence of the Force
Majeure Event within a reasonable time after the occurrence of such event and
the notice specifies the amount of the anticipated delay.

     2.8
PUNCH LIST. Tenant’s occupancy of the Premises shall not constitute
acceptance thereof, but, as soon as practicable thereafter after the Delivery
Date, Tenant shall provide Landlord with a list of items still to be completed
by Landlord (the “Punch List”). Landlord shall, with reasonable diligence,
commence to complete or correct the Punch List items, which shall be completed
within a reasonable time thereafter not to exceed thirty (30) days. Nothing
herein shall be deemed to diminish Landlord’s obligation to make any repairs
(including, without limitation, remedying any latent defects in Landlord’s
Work)
as required by Section 5.4 hereof.

SECTION 3

Page 80

 

TERM; OPTION TO EXTEND

     3.1 LEASE COMMENCEMENT DATE. The term of this Lease (the “Term”) shall
commence as of the Effective Date (the “Lease Commencement Date”), and shall
terminate on the date which is the last day of the month preceding the
fifteenth
(15th) anniversary date of the Lease Commencement Date unless extended by
Tenant
in accordance with any extension option contained in this Lease or any rider
thereto or unless terminated at an earlier date in accordance with the
provisions of this Lease. Landlord shall give Tenant possession of the Premises
on the Lease Commencement Date.

     3.2
EXTENSION TERMS. Tenant shall have the right to extend the Term of
this
Lease for two (2) additional terms of five (5) years each (the “Extension
Terms”
or individually an “Extension Term”) in its sole discretion upon delivering
written notice to the Landlord of its intent to exercise this option to extend
not less than ninety (90) days before the expiration date of the initial Term
or
of any previously exercised Extension Term of this Lease. If Tenant exercises
any of the Extension Terms in the manner provided for in this paragraph then
the
Lease shall terminate five (5) years after the initial expiration period or the
end of the previously exercised Extension Term unless a subsequent Extension
Term is exercised, and all provisions of this Lease shall be applicable to the
Extension Terms. As used herein, the reference to “Term” shall include the
Lease
Term and as extended by all Extension Terms.

     3.3 PRORATIONS. If any payments, rights or obligations hereunder (whether
relating to payment of rent, taxes, insurance, other impositions, or to any
other provision of this Lease) relate to a period in part before the Lease
Commencement Date or in part after the date of expiration or termination of the
term, appropriate adjustments and prorations shall be made.

     3.4
SURRENDER AT END OF TERM. Upon the last day of the lease Term or upon
the earlier termination of this Lease pursuant to the provisions hereof and
irrespective of when and how such termination occurs, Tenant shall surrender
and
deliver to Landlord the Premises, all buildings and improvements thereon, other
than Tenant’s Property, without delay, broom clean and in good order, condition
and repair, reasonable wear and tear and damage due to insured casualty
excepted, whereupon Tenant shall have no further right, title or interest in
and
to said Premises, subject to the other terms of this Lease. Any trade fixtures,
business equipment, inventory, trademarked items, signs and other removable
personal property located or installed in or on the Premises (“Tenant’s
Property”) shall be removed by Tenant on or before the last day of the lease
Term or upon the earlier termination of this Lease pursuant to the provisions
hereof, and Tenant shall repair any damage occasioned by the removal of
Tenant’s
Property. Landlord may remove and dispose of any of Tenant’s Property remaining
at the Premises after the expiration or termination of this Lease at Tenant’s
expense.

SECTION 4

RENT

     4.1 RENT. Commencing on the Lease Commencement Date, Tenant covenants and
agrees to pay to Landlord in lawful money of the United States of America,
during each lease year, an annual rental pursuant to the following schedule
(the
“Rent”), which amounts are equal to the rent due under the Prime Lease:

	 	 	 	 	 	 	 	 	 
	YEAR 1
	 	$15,500.00 monthly	 	$186,000.00 annually
	YEAR 2
	 	$16,145.83 monthly	 	$193,750.00 annually
	YEAR 3
	 	$16,791.67 monthly	 	$201,500.00 annually
	YEAR 4
	 	$17,437.50 monthly	 	$209,250.00 annually
	YEAR 5
	 	$18,083.33 monthly	 	$217,000.00 annually

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The Rent shall be payable in equal monthly installments, in advance on or
before the first day of each and every calendar month of the Term of this Lease.
The Rent shall be paid in addition to and over and above all other payments to be
made by Tenant herein. The first lease year shall be a full year commencing on
the Lease Commencement Date and each following lease year shall be an annual
period commencing on the anniversary date of the Lease Commencement Date.
Appropriate proration shall be made if the Lease Commencement Date is not on
the
first day of a calendar month, or if the date of termination of the lease is
not
on the last day of a calendar month.

During each Extension Term, the Rent for the Premises shall be the “Fair Market
Rent” determined as hereinafter provided. Within fifteen (15) days after
receipt
of Tenant’s notice of exercise of its option to extend the Term of this Lease,
Landlord shall give Tenant written notice of the Fair Market Rent proposed by
Landlord for the Renewal Term. Within fifteen (15) days of Landlord’s notice
of
the proposed Fair Market Rent, the Tenant may, by written notice to the
Landlord, (i) accept the proposed Fair Market Rent, (ii) revoke its election to
renew the applicable term, or (iii) reject the proposed Fair Market Rent and
elect that Fair Market Rent be determined in accordance with the procedures set
forth herein. Within five (5) days after Tenant gives notice of its election
under subsection (iii) above, each party, at its sole cost and by giving notice
to the other party, shall appoint a fully licensed and certified real estate
appraiser with at least five (5) years commercial appraisal experience in
Massachusetts to appraise and establish the Fair Market Rent for the Premises.
Fair Market Rent shall be based upon rent for comparable buildings for
comparable uses in the Greater Woburn area for a similar term taking into
consideration factors such as the building age, size, amenities and location.
If
a party does not appoint an appraiser within five (5) days after the other
party
has given notice of the name of its appraiser, the single appraiser appointed
shall be the sole appraiser and shall set the Fair Market Rent for the Premises
for the Extension Term. If the two appraisers are appointed by the parties as
stated in this paragraph, they shall each submit within fifteen (15) days of
the
appointment of the second appraiser, a written appraisal stating the Fair
Market
Rent for the Premises. If the lower of the two appraisals is less than ten
percent (10%) lower than the higher appraisal, the average of the two
appraisals
will be deemed the Fair Market Rent for the Premises. If the lower appraisal is
more than ten percent (10%) lower than the higher appraisal, then the two
appraisers shall within five (5) days select a third appraiser who meets the
qualifications stated in this paragraph. Each of the parties shall bear one
half
of the cost of paying for the third appraiser’s fee. Within fifteen (15) days
after the selection of the third appraiser, a majority of the appraisers shall
set the Fair Market Rent for the Premises. If a majority of the appraisers are
unable to set the Fair Market Rent within the stipulated period of time, the
three appraisals shall be added together and their total divided by three. The
resulting quotient shall be the Fair Market Rent for the Premises, unless the
low appraisal and/or the high appraisal is/are more than 10% lower and/or
higher
than the middle appraisal, in which case the lower appraisal and/or the high
appraisal shall be disregarded. If only one appraisal is disregarded, the
remaining two appraisals shall be added together and their total divided by
two.
The resulting quotient shall be the Fair Market Rent for the Premises. In no
event shall the Fair Market Rent during the Extension Term be lower than the
Fair Market Rent for the last year of the Term or prior Extension Term, as the
case may be.

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Notwithstanding the foregoing provisions for the payment of Rent, which
provisions correspond to the rent provisions in the Prime Lease, it is
anticipated that Landlord will close on the acquisition of the Premises on
August 13, 2001 or shortly thereafter (the “Closing”). Effective upon the
occurrence of the Closing, this Lease shall no longer be a sublease but shall
continue as a direct Lease between Landlord, as owner of the Premises, and
Tenant upon all of the terms and conditions set forth herein. Concurrent with
the Closing, Landlord shall reimburse Tenant in full for all amounts advanced
by
Tenant toward the cost of completing Landlord’s Work, which amounts are
estimated to total approximately $1,600,000.00 (the “Reimbursement Amount”).
Accordingly, upon the latter to occur of (i) The Closing; and (ii) the payment
of the Reimbursement Amount (hereinafter referred to as the “Recalculation
Date”), the Rent previously referenced in this Lease shall be deleted and, in
lieu thereof, the Rent shall be calculated by taking the actual costs incurred
by Landlord to purchase the Premises (i.e.- the cost of the building and the
land, which amount Landlord estimates to be approximately $1,810,000.00 plus
reasonable closing costs) and adding thereto the Reimbursement Amount and
taking
this sum and multiplying it by the Cap Rate (as hereinafter defined) to arrive
at the per annum rent figure for the remaining Lease Term. Landlord shall
provide to Tenant a copy of the closing statement for the purchase of the
Premises and such other reasonable documentation requested by Tenant. The Cap
Rate shall be 11.5% per annum for the remaining Lease Term if Landlord obtains
financing at a fixed rate of interest. If Landlord’s financing provides for an
adjustable interest rate (the “Mortgage Rate”), then the Cap Rate for the first
five (5) years after the Recalculation Date shall be 11.5% per annum.
Thereafter, if Landlord’s existing mortgagee increases the Mortgage Rate, then
Tenant’s Cap Rate shall also increase by the same percentage point increase but
Tenant’s Cap Rate shall not increase by more than two (2) percentage points
once
every five (5) year period (“ceiling”). By way of example, if Landlord’s
Mortgage Rate as of the Recalculation Date is 8.5% per annum and, after a five
(5) year period, Landlord’s mortgagee increases Landlord’s Mortgage Rate by one
(1) percent to 9.5% per annum, then Tenant’s Cap Rate shall be adjusted to
12.5%
per annum (i.e.-one (1) percentage point). Should Landlord’s Mortgage Rate
decrease, then Tenant’s Cap Rate shall also decrease by the same percentage
point decrease, but in no event shall Tenant’s Cap Rate decrease to a rate less
than 11.5% per annum (“floor”). Prior to any adjustment in the Cap Rate,
Landlord shall provide Tenant with reasonable documentation showing the
adjustment in the Mortgage Rate, the recalculation of the Cap Rate and the
recalculation of the Rent for the next five (5) year period. The increase or
decrease in the Rent, as the case may be, shall be retroactive to the date the
Mortgage Rate was adjusted (provided that the Cap Rate shall only be adjusted
once every five (5) years throughout the Lease Term and all extensions thereof
and subject to the ceiling and floor on the Cap Rate as described herein). If,
subsequent to the Closing, Landlord refinances its mortgage on the Premises
with a bona fide third party lender, then the provisions of this paragraph shall
continue to apply including the limitation on adjustment of the Cap Rate once
every five (5) years during the Term and subject to the ceiling and the floor
as
provided herein. Payment of the recalculated Rent shall be retroactive to the
Recalculation Date and the appropriate proration shall be made if the
Recalculation Date is not the first day of a calendar month. The parties shall
execute, acknowledge and deliver to each other the written statement attached
hereto as Exhibit “C” specifying the Recalculation Date and the recalculated
Rent payable by Tenant hereunder. Further, upon request of either party, the
parties shall re-execute the written statement after any adjustment in the Rent
hereunder. In the event the Closing does not occur or in the event the Closing
does occur but Landlord fails to pay Tenant the Reimbursement Amount, then the
Rent shall not be calculated pursuant to the foregoing formula in the first
paragraph of this Section 4.1.

     4.2 TAXES.

          (a) Tenant shall be responsible for the payment of all real property
taxes and assessments (“Real Estate Taxes”) levied against the Premises by any
governmental or quasi-governmental authority, which are due and payable during
the Term hereof, except as set forth herein. Real Estate Taxes shall include
any
taxes, assessments, surcharges, or service or other fees of a nature not
presently in effect which shall hereinafter be levied on the Premises as a
result of the use, ownership or operation of the premises or for any other
reason, whether in lieu of or in addition to any current real estate taxes and
assessments. Any special assessments will be amortized over the maximum period
allowed by law or applicable tax rules, whichever is longer, and Real Estate
Taxes will include only the prorated and amortized amount, which becomes due
during the Term hereof. Real Estate Taxes shall exclude any income, excess
profits, single business, inheritance, succession, transfer,
franchise, capital or other tax assessments upon Landlord or Landlord’s interest in the Premises.

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     (b) Tenant shall remit all payments for Real Estate Taxes directly to the
taxing or assessing authority unless Landlord has paid the Real Estate Taxes to
avoid interest or penalties accruing thereon, in which event the Real Estate
Taxes shall be immediately due and payable to Landlord. Upon receipt of all tax
bills and assessment bills attributed to any calendar year during the Term
hereof, Landlord shall furnish Tenant with a copy of the tax bill or assessment
bill upon receipt so as to allow Tenant to take advantage of the maximum
payment
discount available, if Tenant so desires. Tenant shall provide to Landlord
written proof of payment of Real Estate Taxes at the time such payments are
made.

     (c) Tenant will have the right to contest, at its sole expense, the amount
or validity, in whole or in part, of any tax that Tenant is required to pay, in
whole or in part, by appropriate proceedings diligently conducted in good
faith,
only after paying such tax or posting such security that Landlord reasonably
requires in order to protect the Premises against loss or forfeiture. Upon the
conclusion of any such protest proceedings, Tenant will pay its share of the
tax, as finally determined, in accordance with this Lease, the payment of which
tax may have been deferred during the prosecution of the proceedings, together
with any costs, fees, interest, penalties, or other related liabilities.
Landlord will not be required to join in any contest or proceedings unless the
provisions of any law or regulations then in effect require that the
proceedings
be brought by or in the name of Landlord. In that event, Landlord will join in
the proceedings or permit them to be brought in its name; however, Landlord
will
not be subjected to any liability for the payment of any costs or expenses in
connection with any contest or proceedings, and Tenant will indemnify Landlord
against and save Landlord harmless from any costs and expenses in this regard.

     4.3
SERVICES AND UTILITIES.

          (a) Landlord shall not be liable to Tenant for any interruption of
utility services to the Premises not caused by Landlord, its agents, employees
or contractors; provided, however (i) Landlord shall be obligated to use its
best efforts to obtain the resumption of such utility services as quickly as is
reasonably possible (unless such interruption of service was caused by the
negligence of Tenant, or anyone acting by, through or under Tenant), and (ii)
if
any utility service is interrupted as a result of acts or omissions of
Landlord,
its agents, employees or contractors, there shall be an abatement of Rent on a
per diem basis during the period that such interruption continues. Tenant shall
have the right, throughout the Lease Term, to install, replace, maintain and
use
such additional utility lines, conduits and facilities, and upon request by
Tenant, Landlord agrees to grant to utility companies (public or private)
providing said utility lines, facilities and/or service to the Premises,
perpetual, non-exclusive rights and easements to install, replace, relocate,
repair, operate and maintain lines, pipes, wires, conduits and other facilities
(together with the right of ingress and egress and other rights appurtenant
thereto), on, under, across and within the Premises as may from time to time be
necessary or desirable to supply the Premises with adequate utility service.

          (b) Tenant shall pay for all water, gas, heat, light, power,
telephone, trash disposal and other utilities and services supplied to the
Premises, together with any taxes thereon.

SECTION 5

USE; COMPLIANCE WITH LAWS; MAINTENANCE AND REPAIRS

     5.1 USE OF PREMISES. Tenant shall have the right to use the Premises for
any lawful purpose. Tenant shall not commit waste on the Premises and shall not
use the Premises for any unlawful or improper purpose or in violation of any
certificate of occupancy or any ordinances or for any purpose which may
constitute a nuisance, public or private, nor suffer any dangerous article to
be brought on the Premises without permits if permits are required and unless
safeguarded as required by law.

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     5.2
COMLIANCE WITH LAWS. Tenant shall reasonably, promptly and
effectively
comply with all applicable and lawful statutes, regulations, rules, ordinances,
orders and requirements of any public official or agency having jurisdiction in
respect of the Premises and Tenant’s specific use thereof (herein referred to
as
governmental authorities). Landlord shall promptly give notice to Tenant of any
written notice in respect of the Premises from governmental authorities. Tenant
may, in good faith and at its sole expense, dispute the validity of any
complaint or action taken pursuant to or under color of any of the foregoing,
defend against the same and in good faith diligently conduct any necessary
proceedings to prevent and avoid any adverse consequence of the same. Tenant
agrees that any such contest shall be prosecuted to a final conclusion as
speedily as possible, and Tenant will hold Landlord completely harmless with
respect to any actions taken by any governmental authorities with respect
thereto.

     5.3
MAINTENANCE AND REPAIRS BY TENANT. Except as otherwise provided in
SECTION
5.4 below, throughout the Term of this LEASE Tenant shall, at Tenant’s sole
cost
and expense, keep the Premises and all improvements (if any) in good order,
condition and repair and shall make or cause to be made all repairs to correct
any damage thereto including without limitation the maintenance, repair and
replacement of the plumbing system, the electrical system, the utility lines
and
connections to the Premises, the sprinkler mains, if any, and the heating,
ventilation, and air conditioning system. Notwithstanding anything to the
contrary set forth herein, in no event shall Tenant be responsible in any way
for any of the following:

          (a) Costs of repairs or other work occasioned by fire, windstorm or
other insured casualty except as provided in Section 7 of the Lease.

          (b) Costs of repairs or rebuilding necessitated by condemnation.

          (c) Any costs, fines or penalties relating to environmental
investigation or remediation on, in or under the Premises not resulting from
the
acts or omissions of Tenant, its agents and contractors.

     5.4
MAINTENANCE, REPAIR AND REPLACEMENT BY LANDLORD. Landlord shall be
responsible for at Landlord’s sole cost and expense for the maintenance, repair
and replacement of any structural components including, without limitation, the
roof, roof membrane, load bearing walls and floor slabs and masonry walls and
foundations. Landlord shall do all acts required to comply with all
applicable
laws, ordinances, regulations and rules of any public authority relating to the
Premises, except to the extent that the foregoing are solely a result of
Tenant’s use of the Premises. Landlord shall, at Landlord’s sole cost and
expense (and, notwithstanding any provision of this Lease to the contrary, not
to be charged to Tenant under this Lease), remedy any latent defects relating
to
the Premises, including, without limitation, defects arising out of or relating
to Landlord’s Work. Landlord hereby assigns to Tenant (to the extent
assignable)
all warranties, if any, received by Landlord from contractors, subcontractors,
suppliers, manufacturers, and for material for construction of that portion of
the Premises which is the Landlord’s Work but which will be Tenant’s
maintenance
responsibility; alternatively, Landlord shall allow Tenant to enforce such
warranties, if any, in Landlord’s name at no cost of liability to Landlord.
Landlord shall do all acts required to comply with all applicable laws,
ordinances, regulations and rules of any public authority relating to the
Premises, except to the extent that the foregoing are solely a result of
Tenant’s particular use of the Premises.

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     5.5 ACCESS; INSPECTION BY LANDLORD. Landlord and its agents shall have the
right at all reasonable times during the Term to enter the Premises for the
purpose of inspecting same, to show the Premises to prospective purchasers and
lenders, to place “For Sale” signs thereon and, during the last one hundred
eighty (180) days of the Term, to show the Premises to prospective tenants and
to place “For Rent” signs thereon. Landlord agrees not to interfere with
Tenant’s operations at the Premises during any such inspection and any signage
placed on the Premises by Landlord shall not interfere with Tenant’s operations
at the Premises during any such inspection and any signage placed on the
Premises by Landlord shall not interfere with any of Tenant’s signage or
displays.

SECTION 6

ALTERATIONS; LIENS; SIGNAGE

     6.1 ALTERATIONS. Tenant shall not make any structural alterations in the
Premises exceeding $25,000.00 without Landlord’s prior written consent, not to
be unreasonably withheld or delayed. Tenant shall have the right to make
interior, non-structural alterations, and structural alterations under
$25,000.00, without Landlord’s consent, provided such alterations are made
without cost to Landlord and provided further that (a) no such alterations
shall
lessen the fair market value of the Premises, (b) all alterations, additions or
improvements shall be constructed in a workmanlike manner, and (c) if Tenant
had
plans and/or drawings prepared in connection with such alterations, a set of
such plans or drawings shall be provided to Landlord subsequent to the
completion of such alterations.

     6.2 LIENS. All persons are put on notice of the fact that the Tenant under
no circumstances shall have the power to subject the interest of the Landlord
in
the Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of the Tenant or any
person claiming under, by or through the Tenant, must look wholly to the
interest of the Tenant and not to that of the Landlord. Tenant covenants and
agrees with Landlord that Tenant will not permit or suffer to be filed or
claimed against the interest of the Landlord in the Premises during the
continuance of this Lease any lien or liens of any kind by any person claiming
under, by, through or against the Tenant; and if any such lien is claimed or
filed, it shall be the duty of the Tenant shall, without regard to the validity
of such lien, within sixty (60) days after the claim of lien or suit claiming a
lien has been filed, cause the Premises to be released from such claim, either
through payment or through bonding with corporate surety or through deposit
into
court, pursuant to statute, of the necessary sums of money, or in any other way
that will effect the release of the Landlord’s interest in the Premises from
such claim.

     6.3 SIGNAGE. Notwithstanding anything to the contrary set forth in this
Lease; Tenant shall have the absolute right to install such signage on the
Premises as Tenant may deem necessary or appropriate, subject to appropriate
governmental approvals which Tenant shall obtain and comply with at Tenant’s
sole expense. Landlord agrees to fully cooperate with Tenant at Tenant’s
expense
in filing any required signage application, permit and/or variance for said
signage or with respect to the Premises generally.

SECTION 7

INSURANCE

     7.1 TYPES OF INSURANCE. Tenant shall, at its own cost and expense, carry
the following insurance in respect of the Premises and improvements:

          (a) Comprehensive public liability insurance in an amount not less
than $1,000,000.00 combined bodily injury and property damage liability.

          (b) With respect to improvements (if any), insurance against loss or
damage by all risks including fire and other risks covered by fire insurance
with extended coverage endorsements in an amount of the full insurable
replacement value of such improvements (exclusive of cost of excavation,
foundation, and footings below the ground floor and without deduction for
depreciation) and in amounts sufficient to prevent Landlord or Tenant from
becoming a co-insurer under such policies of insurance.

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     7.2 PROVISIONS APPLICABLE TO ALL INSURANCE. With respect to all insurance
required to be maintained hereunder by Tenant:

          (a) Each such policy shall name Landlord, Tenant and any mortgagee as
insured as their interests appear and shall contain a Standard Mortgagee Clause
reasonably satisfactory to Landlord.

          (b) Tenant shall, at Tenant’s sole cost and expense, observe and
comply with all policies of insurance in force with respect to the Premises and
improvements.

          (c) Upon Landlord’s request, Tenant shall send to Landlord
certificates of insurance or receipts or other evidence satisfactory to
Landlord
showing the payments of all premiums and other charges due thereon.

From and after the date of the commencement of construction of Landlord’s Work
and through the completion of construction, Landlord shall procure, at its sole
cost and expense, a builder’s risk policy upon the building and the site
improvements in an amount equal to the full replacement value of the building
and the site improvements.

          7.3 Landlord S RIGHT TO OBTAIN INSURANCE. If Tenant shall fail to maintain
any such insurance required hereunder, Landlord may, at Landlord election,
after
ten (10) days written notice to Tenant, procure the same and make demand for
immediate payment thereof, adding the premium cost to the monthly installment
of
rental next due, it being hereby expressly covenanted and agreed that payment
by
Landlord of any such premium shall not be deemed to waive or release the
obligation of Tenant to make payment thereof. Tenant’s failure to either
procure
or maintain the insurance required hereunder or to reimburse Landlord, after
thirty (30) days written notice from Landlord to Tenant, shall constitute a
default by Tenant under this Lease.

          7.4 USE OF INSURANCE PROCEEDS. Any insurance proceeds recovered by reason
of damage to or destruction of improvements on the Premises shall be made
available to Tenant and must be used to repair, restore or replace the
improvements so damaged or destroyed with any excess proceeds made available to
Tenant.

          7.5 DAMAGE OR DESTRUCTION. If the Premises are damaged or destroyed
(partially or totally) during the Term by fire or other casualty, Tenant shall
either (i) restore the Premises to substantially the same condition as existed
prior to such casualty or (ii) restore the Premises in accordance with such
plans and specifications as are then generally in use by Tenant for the
construction of its stores. Notwithstanding anything to the contrary if such
casualty occurs during the last two (2) years of the Term and the improvements
on the Premises are damaged to the extent of eighty percent (80%) or more of
their replacement value, then Tenant may terminate this Lease by giving written
notice to Landlord within sixty (60) days of the casualty and the Lease shall
terminate within thirty (30) days after Tenant’s written notice, whereupon
Landlord shall be entitled to all proceeds of insurance and right of recovery
against insurers covering such damage. If Tenant elects to rebuild or restore
the Premises, it shall proceed with reasonable speed and diligence until such
repairs or restoration are completed.

          7.6 SUBROGATION. Landlord and Tenant shall each obtain from their
respective insurers under all policies of fire, theft, public liability,
workers’ compensation and other insurance maintained by either of them at any
time during the Term hereof insuring or covering the Premises, a waiver of all
rights of subrogation which the insurer of the party might otherwise have, if
at
all, against the other party.

Page 87

 

SECTION 8

EMINENT DOMAIN

     If any portion of the Premises which materially affects Tenant’s ability
to
continue to use the remainder thereof for the purposes set forth herein, or
which renders the Premises untenantable, is taken by right of eminent domain or
by condemnation, or is conveyed in lieu of any such taking, then this Lease may
be terminated at the option of Tenant. Such option shall be exercised by Tenant
giving notice to Landlord of such termination within thirty (30) days after
such
taking or conveyance, whereupon this Lease shall forthwith terminate and the
Rent shall be duly apportioned as of the date of such taking or conveyance.
Upon
such termination, Tenant shall surrender to Landlord the Premises and all of
Tenant’s interest therein under this Lease, and Landlord may re-enter and take
possession of the Premises or remove Tenant therefrom. If any portion of the
Premises is taken which does not materially affect Tenant’s right to use the
remainder of the Premises for the purposes set forth herein, this Lease shall
continue in full force and effect, and Landlord shall promptly perform any
repair or restoration work required to restore the Premises, insofar as
possible, to its former condition, and the rental owing hereunder shall be
adjusted, if necessary, in such just manner and proportion as the part so taken
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. In the event of taking or conveyance as described herein,
Landlord
shall receive the award or consideration for the lands and improvements so
taken; provided, however, that Landlord shall have no interest in any award
made
for Tenant’s loss of business or value of its leasehold interest or for the
taking of Tenant’s fixtures or property, or for Tenant’s relocation expenses.
Landlord and Tenant shall cooperate with one another in making claims for
condemnation awards.

SECTION 9

ASSIGNMENT AND SUBLETTING; ATTORNMENT; TENANT FINANCING

     9.1 ASSIGNMENT LANDLORD. At any time, Landlord may sell its interest in
the
Premises or assign this Lease or Landlord’s reversion hereunder, either
absolutely or as security for a loan, without the necessity of obtaining
Tenant’s consent or permission, but any such sale or assignment shall be at all
times subject to this Lease and the rights of Tenant hereunder.

     9.2 ASSIGNMENT AND SUBLETTING BY TENANT. Tenant shall have the right to
assign, sublet or otherwise transfer its interest in this Lease and its rights
hereunder to any entity or person, with Landlord’s written consent, which shall
not be unreasonably withheld, conditioned or delayed. In connection with the
foregoing, the failure of Landlord to respond in writing within thirty (30)
days
after Tenant’s request for Landlord’s consent shall be deemed to constitute
Landlord’s approval of the proposed assignment, subletting or transfer.
Notwithstanding the foregoing, Tenant may assign, sublet or otherwise transfer
its interest in this Lease without Landlord’s consent, written or otherwise, to
any (i) parent, subsidiary or affiliate of Tenant, or to a corporation or other
business entity with which Tenant may merge, amalgamate or consolidate, or (ii)
entity in which the Premises is intended to be leased back by such entity to
Tenant or any parent, subsidiary or affiliate of Tenant, or to a corporation or
other business entity with which Tenant may merge, amalgamate or consolidate.
Notwithstanding any assignment of the Lease pursuant to the preceding two (2)
sentences, Tenant shall not be released from liability hereunder so long as the
Lease is not modified or amended in any respect without the prior written
approval of Tenant. Notwithstanding the foregoing, in the event of an
assignment
or other transfer, if the net worth of Tenant’s assignee or transferee (or a
guarantor of such assignee or transferee) exceeds Fifty Million and 00/100
Dollars ($50,000,000.00) (the “Minimum Net Worth”), Tenant shall be released of
any and all further liability under this Lease and if such assignee does not
have the Minimum Net Worth as of the effective date of such assignment, but
such
assignee or transferee (or a guarantor of such assignee or transferee) attains
the Minimum Net Worth thereafter, Tenant shall be immediately and automatically
released from any further liability under this Lease from and after such
subsequent date. Tenant shall deliver to Landlord a copy of the document of
assignment, subletting or transfer as soon as reasonably possible after the
full
execution thereof by both parties thereto. This Lease contains no provision
restricting, purporting to restrict or referring in any manner to a change in
control or change in stockholders, directors, management or organization of
Tenant, or any subsidiary, affiliate or parent of Tenant or, to the issuance,
sale, purchase, public offering, disposition or recapitalization of the capital
stock of Tenant, or any subsidiary, affiliate or parent of Tenant.

Page  88

 

     9.3 ATTORNMENT. Any assignee of Landlord or Tenant hereby agrees to attorn
to the Tenant or Landlord, respectively, as the case may be.

     9.4 TENANT FINANCING. Tenant shall have the absolute right from time to
time during the Term hereof and without Landlord’s further approval, written or
otherwise, to grant and assign a mortgage or other security interest in
Tenant’s
interest in this Lease and all of Tenant’s property located on or used in
connection with the Premises to Tenant’s lenders in connection with Tenant’s
financing arrangements. Landlord agrees to execute such confirmation
certificates and other documents (except amendments to this Lease unless
Landlord hereafter consents) as Tenant’s lenders may reasonably request in
connection with any such financing.

SECTION 10

DEFAULT AND REMEDIES

     10.1 EVENTS OF DEFAULT. If

          (a) Tenant shall default in the due and punctual payment of the Rent,
insurance premiums, impositions or any other amounts or rents due under this
Lease or any part thereof, and such default shall continue for twenty (20) days
after notice thereof in writing to Tenant; or

          (b) Tenant shall default in the performance or in compliance with any
of the other covenants, agreements or conditions contained in this Lease
(including any assignment or subletting in violation of Section 9.2 of this
Lease) and such default shall not be cured within thirty (30) days after notice
thereof in writing from Landlord to Tenant or such longer period of time if the
default is not susceptible to cure within such period provided Tenant is
diligently pursuing such cure; or

          (c) Tenant shall file a petition in voluntary bankruptcy or under
Chapter VII or XI of the United States Bankruptcy Code or any similar law,
state
or federal, whether now or hereafter existing, or an answer admitting
insolvency
or inability to pay its debts, or fail to obtain a vacation or stay of
involuntary proceedings within ninety (90) days after the involuntary petition
is filed; or

          (d) Tenant shall be adjudicated a bankrupt, or a trustee or receiver
shall be appointed for Tenant or for all of its property or the major part
thereof in any involuntary proceedings, or any court shall have taken
jurisdiction of the property of Tenant or the majority part thereof in any
involuntary proceeding for reorganization, dissolution, liquidation or winding
up of Tenant, and such trustee or receiver shall not be discharged or such
jurisdiction relinquished or vacated or stayed on appeal or otherwise within
ninety (90) days; or

          (e) Tenant shall make an assignment for the benefit of its creditors;
then and in any such event referred to in clauses (a), (b), (c), (d) or (e)
above Landlord shall have the remedies with respect to the Premises as set
forth
below.

Page 89

 

     10.2 LANDLORD’S REMEDIES UPON DEFAULT. Upon the occurrence of an Event of
Default by Tenant, then Landlord shall be entitled to the following remedies:

          (a) Terminate this Lease by giving written notice of termination to Tenant, in
which event Tenant shall immediately surrender the Premises to Landlord. If
Tenant fails to so surrender the Premises, then Landlord may, without prejudice
to any other remedy it has for possession of the Premises or arrearages in rent
or other damages, re-enter and take possession of the Premises without trespass
and expel or remove Tenant and any other person occupying the Premises or any
part thereof, in accordance with applicable law; or

          (b) Landlord may re-enter and take possession of the Premises without
terminating the Lease in accordance with applicable law, and relet the Premises
and apply the Rent received to the account of Tenant. In the event Landlord so
re-enters and takes possession of the Premises as set forth above, Landlord
agrees to use reasonable efforts to relet the Premises for a commercially
reasonable rate at the time of such reletting. No reletting by Landlord is
considered to be for Landlord’s own account unless Landlord has notified Tenant
in writing that this Lease has been terminated. In addition, no such reletting
is to be considered an acceptance of Tenant’s surrender of the Premises unless
Landlord so notifies Tenant in writing.

     Notwithstanding anything to the contrary set forth herein, in no event
shall Landlord have the right to accelerate Rent (unless Tenant shall be more
than ninety (90) days delinquent in the payment of Rent or such other amounts
payable, after expiration of notice and all cure periods hereunder). In no
event
shall Landlord have the right to sue Tenant for any consequential, punitive or
incidental damages (including, without limitation, any claims for lost profits
and/or lost business opportunity). If Landlord does accelerate the Rent, then
the accelerated rent shall be an amount equal to the Rent payable over the
balance of the Lease Term (as if this Lease had not been terminated) less the
fair rental value of the Premises for the corresponding period. The accelerated
rent shall be discounted to the date payable at an annual interest rate equal
to
the prime rate as published from time to time in the Money Section of the Wall
Street Journal, or if same is not published anymore then at the prime rate
published by Citibank in Florida. Upon payment of the accelerated rent
discounted to present value, Tenant shall be released from any and all further
liability under this Lease.

     10.3 MITIGATION OF DAMAGES. In the event that a right of action by
Landlord
against Tenant arises under this Lease, Landlord shall attempt to mitigate
damages by using commercially reasonable efforts to seek to relet the Premises.

     10.4 LANDLORD’S DEFAULT. The failure of Landlord to perform any covenant,
condition, agreement or provision contained herein within thirty (30) days
after
receipt by Landlord of written notice of such failure or Landlord’s breach of
any representation of warranty contained herein shall constitute an “Event of
Default” hereunder. Upon the occurrence and continuance of an Event of Default,
Tenant may, at its option and without any obligation to do so, other than those
obligation created in this document, elect any one or more of the following
remedies:

          (a) Terminate and cancel this Lease provided Landlord is in material
default under this Lease and provided Tenant has delivered a second notice of
such default to Landlord and to Landlord’s lender (whose address Landlord shall
provide to Tenant upon request) and such default remains uncured for thirty
(30)
days after Landlord and Landlord’s lender’s receipt of such notice; or

          (b) Withhold payment or performance under the Lease until such time as
such Event of Default is cured; or

          (c) Cure such Event of Default and recover the costs thereof by an
action at law or by set off against the Rent due hereunder; or

          (d) Pursue any other remedy now or hereafter available at law or in
equity in the state in which the Premises are situated.

Page 90

 

SECTION 11

OTHER PROVISIONS

     11.1 REMEDIES TO BE CUMULATIVE. No remedy conferred upon or reserved to
Landlord or Tenant shall be considered exclusive of any other remedy, but the
same shall be cumulative and shall be in addition to every other remedy given
under this Lease or now or hereafter existing at common law or by statute.
Every
power and remedy given Landlord or Tenant may be exercised from time to time
and
as often as occasion may arise or may be deemed expedient.

     11.2 NOTICES. All notices, requests, demands or other communications which
may be or are required or permitted to be served or given hereunder (in this
Section collectively called “Notices”) shall be in writing and shall be sent by
registered or certified mail, return receipt requested, postage prepaid, or by
a
nationally recognized overnight delivery service to Tenant or to Landlord at
the
address set forth below. Either party may, by Notice given as aforesaid, change
its address for all subsequent Notices. Notices shall be deemed given when
received in accordance herewith.

	 	 	 
	If to Landlord:

	 	TREC, LLC
	

	 	217 Whitney Street
	

	 	Northboro, Massachusetts 01532
	 
	 	 
	with a copy to:

	 	M. Robert Queler, Esq.
	

	 	865 Providence Highway
	

	 	Dedham, Massachusetts 02026
	 
	 	 
	If to Tenant:

	 	NationsRent USA, Inc.
	

	 	200 East Broward Boulevard, 21st Floor
	

	 	Fort Lauderdale, Florida 33301
	

	 	Attn: Jorge L. Martin,
	

	 	Vice President of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.
	

	 	450 East Las Olas Boulevard, Suite 1400
	

	 	Fort Lauderdale, Florida 33301
	

	 	Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	Akerman, Senterfitt & Eidson, P.A.
	

	 	350 East Las Olas Boulevard, Suite 1600
	

	 	Fort Lauderdale, Florida 33301-4200
	

	 	Attn: Theresa M. McLaughlin, Esq.

     11.3 NO BROKER. Landlord and Tenant each warrant to the other that no
broker or agent has been employed with respect to this Lease and each agrees to
indemnify and hold the other harmless from any claims by any broker or agent
claiming compensation in respect of this Lease alleging an agreement by
Landlord
or Tenant, as the case may be.

     11.4 WAIVER OF JURY TRIAL. Landlord and Tenant waive trial by jury in any
action or proceeding brought by either of the parties hereto against the other
or on any counterclaim in respect thereof on any matters whatsoever arising out
of or in any way connected with the Lease, the relationship of Landlord and
Tenant, Tenant’s use or occupancy of the Premises and/or any claim of injury or
damage under this Lease.

Page 91

 

     11.5 NO PARTNERSHIP. Landlord shall not be construed or held to be a
partner or associate of Tenant in the conduct of Tenant’s business, it being
expressly understood and agreed that the relationship between the parties
hereto
is and shall at all times remain, during the lease term, that of Landlord and
Tenant.

     11.6 NON-WAIVER. No failure by Landlord or Tenant to insist upon the
performance of any covenant, agreement, provision or condition of this Lease or
to exercise any right or remedy, consequent upon a default hereunder, and no
acceptance of full or partial rent during the continuance of any such default,
shall constitute a waiver of any such default or of such covenant, agreement,
provision, or condition. No waiver of any default shall affect or alter this
Lease, but each and every covenant, agreement, provision and condition of this
Lease shall continue in full force and effect with respect to any other then
existing or subsequent default hereunder.

     11.7 GENDER AND NUMBER. Words of any gender used in this Lease shall be
held to include another gender and words in the singular number shall be held
to
include the plural and words in the plural shall be held to include the
singular, when the sense requires.

     11.8 CAPTIONS. The captions, titles and
article, section or paragraph headings are inserted only for convenience and
they are in no way to be construed as a part of this Lease or as a limitation
on
the scope of the particular provisions to which they refer.

     11.9 GOVERNING LAW. This Lease is made pursuant to, and shall be governed
by, and construed in accordance with, the laws of the State in which the
Premises are located.

     11.10 SUCCESSORS AND ASSIGNS. The covenants, conditions and agreements in
this Lease shall bind and inure to the benefit of Landlord and Tenant and,
except as otherwise provided in this Lease, their respective heirs, devisees,
executors, administrators, legal representatives, distributees, successors and
assigns.

     11.11 AMENDMENT. Any agreement hereafter made shall be ineffective to
change, modify or discharge this Lease in whole or in part unless such
agreement
is in writing and signed by the party against whom enforcement of the change,
modification or discharge is sought.

     11.12 SHORT FORM LEASE. The parties agree
to execute a short form Memorandum of Lease in the form of Exhibit “D” attached
hereto for recording containing the names of the parties, a description of the
Premises, the Term of the Lease and such other provisions as the parties may
deem appropriate.

     11.13 LIEN. Landlord hereby waives any statutory or common law rights it
may have granting Landlord a lien or the right to foreclose on any property of
Tenant, including without limitation, any of Tenant’s personal property and/or
the tenant improvements installed in the Premises by Tenant.

Page 92

 

     11.14 REPRESENTATIONS AND WARRANTIES. Notwithstanding anything in this
Lease to the contrary, Landlord represents and warrants to Tenant that no
mortgages, deeds of trusts or liens or encumbrances of any nature presently
encumber Landlord’s title to the Premises except as set forth on Exhibit “E”,
attached hereto and incorporated herein by this reference; that none of said
encumbrances shall prohibit or impede the use of the Premises as contemplated
herein or create any financial obligation on the part of Tenant except as
expressly set forth herein; that Landlord has the full right, power and
authority to enter into this Lease and make the agreements contained herein on
its part to be performed; that the execution, delivery and performance of this
Lease has been duly authorized by Landlord; that the Lease constitutes the
valid
and binding obligation of Landlord, enforceable in accordance with its terms
subject to applicable bankruptcy, insolvency, reorganization, moratorium and
other laws affecting the enforceability of creditors rights generally and the
application of equitable principles affecting the availability of remedies in
the nature of specific enforcement; that the making of this Lease and the
performance thereof will not violate any present zoning laws or ordinances of
which Landlord has knowledge or the terms or provisions of any mortgage, lease

or other agreement to which Landlord is a party or under which Landlord is
otherwise bound, or which restricts Landlord in any way with respect to the use
or disposition of the Premises; that Landlord has no knowledge of any pending
zoning changes, moratorium, road widening or construction affecting the
Premises; that the Premises are presently in compliance with any and all
applicable laws, including without limitation any laws pertaining to Hazardous
Materials (defined below) and Environmental Laws (defined below) and the
Americans With Disabilities Act of 1990; that the Premises will be kept in
compliance by Landlord, at its cost, with all applicable laws and regulations
enacted from and after the date of this Lease except when compliance is
required
solely as a result of Tenant’s use of the Premises; that the Premises are
presently zoned to permit the operation of the Premises as contemplated in this
Lease; that the Premises are free from defects, have been maintained in
accordance-with normal industry practice and are in good operating condition
and
repair and are suitable for the purposes for which they are presently used; and
that the Premises presently include full legal access to one or more dedicated
public rights-of-way.

     11.15
SUBORDINATION AND ATTORNMENT. This Lease shall be
subordinate to any mortgage or deed of trust (now or hereafter placed upon the
Premises), and to any and all advances made under any mortgage or deed of trust
and to all renewals, modifications, consolidations, replacements and extensions
thereof. Tenant agrees to execute such documents as may be further required to
evidence such subordination or to make this Lease prior to the lien of any
mortgage or deed of trust, as the case may be, subject to the following
sentence. Notwithstanding the foregoing, Tenant shall only be obligated to
subordinate its leasehold interest to any mortgage, deed of trust, or ground
lease now or hereafter placed upon the Premises if the holder of such mortgage
or deed of trust or the Landlord under such ground lease delivers to Tenant a
non-disturbance agreement substantially in accordance with the form attached
hereto as Exhibit “F” (the “Non-Disturbance Agreement”). Upon the mutual
execution of this Lease, Landlord shall deliver to Tenant a Non-Disturbance
Agreement executed by Landlord and any present lender having a deed of trust or
mortgage on the Premises.

     11.16
HAZARDOUS MATERIALS. Tenant shall not do
anything throughout the Term of this Lease and any extension thereof that will
violate any Environmental Laws (defined below). Tenant shall indemnify, defend
and hold harmless Landlord, its directors, officers, employees, and agents and
assignees or successors to Landlord’s interest in the Premises, their
directors,
officers, employees, and agents from and against any and all losses, claims,
suits, damages, judgments, penalties and liability including, without
limitation, (i) all out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or
indirectly
arising out of the presence, use, generation, storage, release or threatened
release or disposal of Hazardous Materials on, under or in the Premises after
the Lease Commencement Date by or due to the acts or omissions of Tenant or its
agents and contractors, and (iii) the cost of and the obligation to perform any
required or necessary repair, clean-up, investigation, removal, remediation or
abatement, and the preparation of any closure or other required plans, whether
such action is required or necessary following the Lease Commencement Date to
the full extent that such action is attributable, directly or indirectly, to
the
presence, use, generation, storage, release or threatened release or disposal
of
Hazardous Materials on, under or in the Premises due to the acts or omissions
of
Tenant or its agents and contractors. This indemnification obligation of Tenant
does not extend to any repair, clean-up, investigation, removal, remediation or abatement
of Hazardous Materials (i) which were present on, under or in the
Premises before or on the Lease Commencement Date or (ii) for which Landlord is
otherwise obligated to indemnify Tenant pursuant to this Paragraph 11.16.

Page 93

 

     Landlord shall indemnify, defend and hold
harmless Tenant, its directors, officers, employees, and agents, and any
assignees, subtenants or successors to Tenant’s interest in the Premises, their
directors, officers, employees, and agents, from and against any and all
losses,
claims, suits, damages, judgments, penalties, and liability including, without
limitation, all (i) out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or
indirectly
arising out of the presence, use, generation, storage, release, threatened
release or disposal of Hazardous Materials on, under or in the Premises before
or after the Lease Commencement Date by or due to the actions or omissions of
any person other than Tenant or its agents and contractors, and (iii) the cost
of and the obligation to perform any required or necessary repair, clean-up,
investigation, removal, remediation or abatement and the preparation of any
closure or other required plans, whether such action is required or necessary
prior to or following the Lease Commencement Date, to the full extent that such
action is attributable, directly or indirectly, to the presence, use,
generation, storage, release, threatened release, or disposal of Hazardous
Materials on, under or in the Premises due to the actions or omissions of any
person other than Tenant or its agents and contractors.

     For the purpose of this Paragraph 11.16, Hazardous Materials shall include
but not be limited to substances defined as “hazardous substances,“hazardous
materials,“or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801 et
seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et
seq.; the common law; and any and all state, local or federal laws, rules,
regulations and orders pertaining to environmental, public health or welfare
matters, as the same may be amended or supplemented from time to time
(collectively, the “Environmental Laws”). Any terms mentioned in this Lease
which are defined in any applicable Environmental Laws shall have the meanings
ascribed to such terms in such laws, provided, however, that if any such laws
are amended so as to broaden any term defined therein, such broader meaning
shall apply subsequent to the effective date of such amendment.

     In the event any clean-up, investigation, removal, remediation, abatement,
or other similar action on, in or under the Premises is required by any
governmental or quasi-governmental agency as a result of the actions or
omissions of any party other than Tenant or its agents, contractors or invitees
before or after the Lease Commencement Date and such action requires that
Tenant
be closed for business for greater than a twenty four (24) hour period, or if
access to the Premises as a result of such action is materially adversely
affected for a period in excess of twenty four (24) hours, then Tenant’s rental
and other payment obligations under this Lease shall be abated entirely during
the period beyond the twenty four (24) hours that Tenant is required to be
closed for business or abated in proportion to the part required to be closed
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. Moreover, if Tenant is required to be closed for business during
such remediation for a period of one hundred and eighty (180) consecutive days,
then Tenant shall have the right to terminate this Lease upon thirty (30) days
prior written notice, whereupon the parties shall be relieved from any and all
liability hereunder except for the environmental indemnity and other
indemnities
in this Lease that specifically survive the termination or expiration of this
Lease. Should Tenant not be required to close its business during such
remediation then Tenant shall not have the right to terminate this Lease due to
such remediation.

     The provisions of this Paragraph 11.16 shall survive the expiration or
sooner termination of this Lease.

Page 94

 

     11.17 PERMITTED OPERATIONS. In the event Tenant reasonably determines at
any time that (a) applicable governmental regulations prohibit the use of the
Premises for the operation of an equipment rental, leasing and sales facility
and any related uses including, but not limited to, the business of renting,
selling, leasing, distributing, storing (indoor and outdoor), servicing or
repairing new or used equipment, spare parts and related supplies to
industrial,
manufacturing and construction customers and related general office use, or (b)
Tenant’s access, visibility or parking has been adversely affected, Tenant
shall
have the right, but not the obligation, to terminate this Lease upon thirty
(30)
days written notice to Landlord and have no further liability upon payment to
Landlord of all rent prorated through the date of termination. Notwithstanding

above, if Landlord has commenced to cure either of the above defaults within
thirty (30) days after Tenant’s notice of termination and is diligently
pursuing
the same and concludes such cure not later than ninety (90) days after Tenant’s
notice of termination, then in such event Tenant’s notice of termination shall
be deemed null and void.

     11.18
ATTORNEY’S FEES. In the event that at any time during the Term of
this Lease either Landlord or Tenant shall institute any action or proceeding
against the other relating to the provisions of this Lease, or any default
hereunder, the unsuccessful party in such action or proceeding agrees to
reimburse the successful party for the reasonable expenses of attorney’s fees
and paralegal fees and disbursements incurred therein by the successful party.
Such reimbursement shall include all legal expenses incurred prior to trial, at
trial and at all levels of appeal and post judgment proceedings.

     11.19 COUNTERPARTS. This Lease may be executed in any number of
counterparts, each of which shall be an original but all of which together
shall
constitute one and the same instrument. A telecopy signature of any party shall
be considered to have the same binding legal effect as an original signature.

     11.20 LANDLORD’S DELIVERIES. No less than ten (10) days prior to the
Effective Date, Landlord has, to the extent in Landlord’s possession or
control,
delivered to Tenant for inspection and review, all of the Landlord’s Deliveries
described on Exhibit “G” attached hereto and by this reference made a part
hereof (the “Landlord’s Deliveries”).

     11.21
ENTIRE AGREEMENT. This Lease contains all of the agreements of the
parties hereto with respect to matters covered or mentioned herein and no prior
agreement, letters, representations, warranties, promises or understandings
pertaining to such matters shall be effective for any such purpose.

     11.22 TIME. Time shall be of the essence in interpreting the provisions of
this Lease.

SECTION 12

TENANT’S OPTION TO PURCHASE

     Provided Tenant is not in default beyond all notice and applicable cure
periods hereunder, Tenant shall have the right to purchase the Premises at any
time during the Term, including any Extension Term, of this Lease upon giving
notice in writing to Landlord (the “Purchase Notice”) at least ninety (90) days
prior to the expiration of the initial Term or any Extension Term hereof of
Tenant’s intention to purchase the Premises. If Tenant exercises this Option to
Purchase, then Tenant shall purchase and Landlord shall sell the Premises upon
the terms and conditions set forth on the Terms for Sale and Purchase attached
hereto as Exhibit “H” (the “Purchase Terms”). Upon the closing of title
pursuant
to the above-mentioned Purchase Terms, this Lease shall terminate and end. The
purchase price for the Premises (“Purchase Price”) shall be determined by
agreement of the Landlord and Tenant, or, if the Landlord and Tenant fail to
reach an agreement within fifteen (15) days of the Tenant’s Purchase Notice,
then by the procedure set forth on the Purchase Terms. The option to purchase
shall expire without notice upon the termination of this Lease unless the
option
was exercised prior to such termination, provided that this option to purchase
shall continue after any amendment, continuation or reinstatement of this
Lease.

Page 95

 

SECTION 13

RIGHT OF FIRST REFUSAL

     If during the Term, including any Extension Term, of this Lease, Landlord
shall have received a bona fide arm’s length offer to purchase the Premises
which is acceptable to Landlord (the “Offer”) from any third party (the
“Transferee”), Landlord shall send a notice (herein referred to as the
“Transfer
Notice”) to Tenant. The Transfer Notice shall set forth the exact terms of the
Offer so received, together with a copy of the Offer, and shall state the
desire
of Landlord to sell the Premises on such terms and conditions. Thereafter,
Tenant shall have the right and option to purchase the Premises at the price
and
upon the terms and conditions specified in the offer, provided that Tenant is
not in material default of this Lease beyond all applicable notice and cure
periods hereunder.

     If Tenant desires to exercise its option, it shall give notice (the
“Counter Notice”) to that effect to Landlord within twenty (20) days after
receipt of the Transfer Notice. Such Counter Notice shall be accompanied by a
letter acknowledging Tenant’s agreement to be bound by the terms and conditions
of the Offer. Such Counter Notice shall set forth a date not later than sixty
(60) days from the service of the Counter Notice on which the closing shall be
held. The Tenant’s failure to give a timely Counter Notice (or notice of its
refusal to purchase) shall be deemed a waiver of its option to purchase the
Premises pursuant to the Offer, but shall not be deemed a waiver of its option
to purchase the Premises pursuant to any modification to the Offer or any
future
offers. Tenant’s rights under this Section 13 are assignable to any person or
entity which is or would be a permitted assignee pursuant to Section 9 hereof.
Tenant’s failure to, or its election not to, exercise its right of first
refusal
hereunder shall not affect the continued enforceability of the option to
purchase provided in Section 12 hereof.

SECTION 14

PRIME LEASE

     14.1 Tenant acknowledges that this Lease is subject and subordinate to the
Prime Lease; provided, however, that Landlord shall deliver to Tenant a
Consent,
Estoppel and Non-Disturbance Agreement substantially in the form attached
hereto
and made a part hereof as Exhibit “J” (the “Prime Landlord Non-Disturbance
Agreement”) executed by Landlord and the Prime Landlord on or before May 1,
2000. If Landlord shall not have obtained the Prime Landlord Non-Disturbance
Agreement on or before May 1, 2000, then at any time thereafter, but prior to
Landlord having obtained the Prime Landlord Non-Disturbance Agreement, such
failure shall be an Event of Default under Section 10.4 of this Lease entitling
Tenant to exercise any of its rights and remedies thereunder and, in addition,
Tenant shall have the right to terminate this Lease by giving Landlord written
notice thereof.

     14.2 Landlord represents and warrants to Tenant that:

          (a) The Prime Lease is in full force and effect, and that no default
exists (nor is there any fact or condition which with notice or lapse of time
may become a default) thereunder, and that all rental payments under the Prime
Lease are current;

          (b) Landlord shall not amend, modify or terminate the Prime Lease, or
fail to exercise any option or right thereunder, or grant its consent where
required thereunder, to the extent that same would adversely affect Tenant’s
rights and entitlements under this Lease or its use or enjoyment of the
Premises, without Tenant’s prior written consent;

          (c) Landlord shall not violate or breach any of the terms, covenants
or agreements on its part to be performed under the Prime Lease;

          (d) Landlord shall promptly, upon written request of Tenant, use its
best efforts to enforce the full compliance by the Prime Landlord of its
obligations under the Prime Lease to the extent that same affects Tenant’s use
and enjoyment of the Premises;

          (e) Landlord shall promptly furnish Tenant with any default notices
Landlord receives from the Prime Landlord;

Page 96

 

          (f) Should Landlord ever be in default under the Prime Lease and the
Prime Lease shall be in jeopardy due to Landlord’s failure to timely cure such
default, then Tenant shall have the right, but not the obligation, to cure the
default on behalf of Landlord and at Landlord’s cost and account. Landlord
shall
promptly reimburse Tenant for any reasonable costs incurred by Tenant in
connection with Tenant’s efforts to cure Landlord’s default; and Tenant shall
have the right to deduct such costs from its rental obligations hereunder if
Landlord fails to so reimburse Tenant within thirty (30) days after Tenant’s
demand therefor accompanied by bills or receipts evidencing such costs;

          (g) Should Landlord purchase the Premises, then this Lease shall
continue as a direct lease between Landlord and Tenant on the terms and
conditions contained in this Lease;

          (h) Landlord shall indemnify, protect, defend and hold Tenant and its
agents, employees and directors harmless from and against any and all damages,
suits, loss, costs, expenses, claims, causes of action, liabilities, including,
without limitation, reasonable attorneys’ fees and costs and litigation
expenses
relating or resulting from (i) termination of the Prime Lease for any reason
other than Prime Landlord’s default thereunder (and all damages, suits, loss,
costs, expenses, claims, causes of action, liabilities and attorneys’ fees
incurred by Prime Landlord in connection with any such termination), or (ii)
breach by Landlord of any of its obligations under the Prime Lease. Landlord
shall, at its own expense, defend all actions brought against Tenant, its
agents
or employees, for which Landlord is responsible for indemnification hereunder,
with legal counsel reasonably acceptable to Tenant and, if Landlord fails to do
so, Tenant (at its option, but without being obligated to do so) may, at the
expense of Landlord and upon notice to Landlord, defend such actions and
Landlord shall reimburse Tenant for all such costs and expenses. The provisions
of this subparagraph shall survive the expiration or early termination of this
Lease or the Prime Lease and shall continue to remain an obligation of Landlord
for the term of this Lease and all renewals and extensions thereof, even if
this
Lease or the Prime Lease is assigned, sublet, or the Premises is purchased or
in
any way transferred; and

          (i) Upon the request of Tenant, Landlord agrees that, as tenant under the
Prime Lease, it shall be obligated to timely exercise the option contained in
the Prime Lease to extend the Prime Lease, and to perform such other
obligations
under the Prime Lease necessary to extend the term of the Prime Lease so that
the term of the Prime Lease is at least as long as the Term of this Lease, as
extended by Tenant. Landlord shall furnish Tenant with a copy of its notice to
the Prime Landlord evidencing its exercise of the renewal option under the
Prime
Lease. In the event Tenant does not timely receive a true copy of Landlord’s
election to extend the term of the Prime Lease, Landlord hereby irrevocably
appoints Tenant as its attorney-in-fact to make such election in the name and
on
behalf of Landlord.

Page 97

 

SECTION 15

PURCHASE AGREEMENT

     15.1 Pursuant to a Standard Form Purchase and Sale Agreement dated August
12, 1999, executed by Prime Landlord and Landlord (the “Purchase Agreement”), a
copy of which is attached hereto as Exhibit “K”, Landlord has the option to
purchase the Premises. Pursuant to Section 12 of the Prime Lease, Landlord is
to
close on the acquisition of the Premises upon ninety (90) days prior written
notice to Prime Landlord at any time after December 7, 2001 but before December
7, 2004. Landlord agrees that it shall simultaneously provide to Tenant a copy
of the written notice of closing given to Prime Landlord. Landlord and Tenant
hereby agree that in the event that Landlord has not closed on the acquisition
of the Premises prior to December 7, 2002, then, at Tenant’s option and upon
written notice from Tenant to Landlord and Prime Landlord, Tenant shall have
the
right, but not the obligation, to purchase the Premises in accordance with the
terms of the Purchase Agreement, as modified by Section 12 of the Prime Lease.
In furtherance of the foregoing, Landlord hereby assigns, transfers and sets
over to Tenant all of Landlord’s right, title and interest under the Purchase
Agreement, as modified by Section 12 of the Prime Leases, including any
deposits
or other amounts paid by Landlord pursuant to the Purchase Agreement and/or the
Prime Lease which are to be applied toward the purchase price of the Premises.
Such assignment shall be operative upon written notice from Tenant to Landlord
and Prime Landlord without the requirement of execution by Landlord of any
further assignment or agreement and Tenant shall thereafter be entitled to
exercise all of Landlord’s rights under the Purchase Agreement, as modified by
Section 12 of the Prime Lease, as if Tenant was the original purchaser
thereunder. In the event that Tenant purchases the Premises, then this Lease
shall terminate and be of no further force or effect except for such
indemnities
that specifically survive the termination or expiration of this Lease. Landlord
agrees that it shall not amend, modify or terminate the Purchase Agreement or
the Prime Lease without the prior written consent of Tenant. Tenant shall not
be
liable for any default by Landlord under the terms and conditions of the
Purchase Agreement, as modified by Section 12 of the Prime Lease, and Landlord
hereby indemnifies and holds Tenant harmless in connection therewith. Moreover,
Tenant shall have no liability or obligation arising from or in connection with
this assignment of the Purchase Agreement, as modified by Section 12 of the
Prime Lease, unless Tenant shall assume the obligations of Landlord thereunder.

[Signature Pages Follow]

98

 

     IN WITNESS WHEREOF, on the day and year first above written, Landlord and
Tenant have duly executed this Lease under seal as their free act and deed.

	 	 	 	 	 	 	 	 	 
	Witnesses:	 	 	 	LANDLORD:
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	TREC, LLC,
	
 	 	 	 	 	 	 
	Print Name	 	 	 	a Massachusetts limited liability company
	 
	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	By:	 	 
	
 	 	 	 	 	 	
 
	Print Name:	 	 	 	Name:	 	Bryan T. Rich
	

	 	 	 	 	 	Title:
	 	Manager
	 
	 	 	 	 	 	 	 	 
	STATE OF

	 	)	 	 	 	 	 	 
	

	 	
 	 	 	 	 	 	 
	

	 	)
	 	   ss:	 	 	 	 
	COUNTY OF

	 	)	 	 	 	 	 	 
	

	 	
 	 	 	 	 	 	 

     The foregoing instrument was acknowledged before me this    day of                    ,
2000, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts limited
liability company. He is personally known to me or has produced
                                       (type of identification) as identification.

	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	
 
	 	 	 	 	 	 	Notary Public
	 	 	 	 	 	 	Print Name:
	 	 	 	 	 	 	
 
	 	 	 	 	 	 	Commission No.
	 	 	 	 	 	 	
 
	 	 	 	 	 	 	My Commission Expires
	 	 	 	 	 	 	
 
	 
	 	 	 	 	 	 	 	 
	Witnesses:	 	 	 	TENANT:
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	NATIONSRENT USA, INC.,
	
 	 	 	 	 	 	 
	Print Name:	 	 	 	a Delaware corporation
	

	 	 	 	 	 	By:	 	 
	
 	 	 	 	 	 	
 
	Print Name:	 	 	 	Name:	 	 
	

	 	 	 	 	 	Title:	 	 
	STATE OF FLORIDA

	 	      )	 	 	 	 	 	 
	

	 	      )   ss:	 	   	 	 	 	 
	COUNTY OF BROWARD

	 	      )	 	 	 	 	 	 

     The foregoing instrument was acknowledged before me this    day of                    ,
2000, by                                                           as                                                           of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has produced          
                
            (type of identification) as
identification.

	 	 	 
	 

	 	

	

	 	Notary Public
	

	 	Print Name
	 

	 	

	

	 	Commission No.
	 

	 	

	

	 	My Commission Expires
	 

	 	

Page 99

 

GUARANTY

     NATIONSRENT,
INC., a Delaware corporation (hereinafter “Guarantor”),
hereby
guarantees to TREC, LLC, a Massachusetts limited liability company
(“Landlord”):
(i) the full and punctual payment by NATIONSRENT USA, INC., a Delaware
corporation (“Tenant”), its successors and assigns of all rent and all other
monetary obligations required to be paid by Tenant under the foregoing Lease
Agreement (the “Lease”) by and between Landlord and Tenant; and (ii) the
performance and observance by Tenant of all terms, covenants and conditions to
be performed or observed by Tenant pursuant to the Lease. Guarantor hereby
waives demand, protest and notice of any indulgences or extensions granted to
Tenant, provided, however, that Guarantor shall be furnished with a duplicate
copy of any notice of default or termination of the Lease to which Tenant is
entitled or which is served upon Tenant at the time the same is sent to or
served upon Tenant. Guarantor shall be granted ten (10) days following receipt
of written notice of any monetary defaults and Guarantor shall be granted
thirty
(30) days following receipt of written notice of non-monetary defaults, to
correct or remedy such defaults or cause such default to be corrected or
remedied on behalf of Tenant (provided, however, that if any non-monetary
default by Tenant cannot reasonably be remedied within thirty (30) days after
written notice of such non-monetary default, then Guarantor shall have such
additional time as shall be reasonably necessary to remedy such non-monetary
default; further provided, however, that Guarantor shall pursue cure within the
thirty (30) day period and shall be diligently prosecuting such cure to
completion). For purposes of providing Guarantor with written notice hereunder,
Guarantor shall be given a separate notice at the address of Tenant as provided
for in Section 11.2 of the Lease.

	 	 	 
	 

	 	NATIONSRENT, INC.,
	

	 	a Delaware corporation
	 
	 
	

	 	By:
	 

	 	

	

	 	Name:
	 

	 	

	

	 	Title:
	 

	 	

	

	 	Date:
	 

	 	

Page 100

 

EXHIBIT “A”

DESCRIPTION OF PREMISES

     The Premises to which reference is made in the foregoing and attached
Lease
is hereby described as all that lot, piece or parcel of land lying, being and
situated in the County of Middlesex, State of Massachusetts, more particularly
described as follows:

WESTERLY By the easterly line of New Boston Street, five hundred sixty-four and
07/100 feet;

NORTHEASTERLY by lot 3 as shown on the plan hereinafter mentioned, six hundred
seventy-one and 08/100 feet;

NORTHEASTERLY again, four hundred ninety and 88/100 feet by land now or
formerly
of the Boston and Maine Railroad;

SOUTHERLY sixty-eight and 93/100 feet by land now or formerly of the Boston and
Maine Railroad; and

SOUTHWESTERLY and SOUTHERLY by land now formerly of Stanislaw Stefanowich, six
hundred seventy-one and 34/100 feet.

Said parcel is shown as lot
21 on said plan (Plan No. 7312-I).

All of said boundaries are determined by the Court to be located as shown on a
subdivision plan, as approved by the Court, filed in the Land Registration
Office, a copy of which is filed in the Registry of Deeds for the South
Registry
District of Middlesex County in Registration Book 859, Page 65, with
Certificate
145815.

Page 101

 

EXHIBIT “B”

LANDLORD’S WORK

     A. Landlord agrees to do all work required of Landlord hereunder
(“Landlord’s Work”) in accordance with the Approved Plans, which Landlord’s
Work
shall include, without limitation, all of the following:

          (1) The Premises shall be substantially completed in accordance with
the Approved Plans, with all utility services, equipment and systems (the
equipment and systems being referenced in the Approved Plans), all herein fully
operational.

          (2) The Premises shall be delivered to Tenant by Landlord in a neat
and clean condition, lien free and free of all tenants and occupants.

          (3) The paving and striping of parking areas and installation of light
standards shall be substantially completed; in addition, such street, storm
drainage, traffic signalization, and other offsite improvements required for
the
Premises to open for business and Tenant to receive the “Certificate of
Occupancy” (as defined in Paragraph D below) shall be substantially completed.

          (4) The Premises shall be in full compliance with all laws, codes,
regulations and other governmental requirements including, without limitation,
the “Americans with Disabilities Act,” and Tenant shall be in a position to
receive the Certificate of Occupancy from the appropriate municipal authority.
Notwithstanding the foregoing, Tenant shall be responsible for obtaining the
use
permit from the appropriate municipality to enable Tenant to use and operate
the
Premises as an equipment rental, leasing and sales facility and any related
uses
including, but not limited to, the business of renting, selling, leasing,
distributing, storing (indoor and outdoor), servicing or repairing new or used
equipment, spare parts and related supplies to industrial, manufacturing and
construction customers and related general office use (“Tenant’s Use Permit”).

Page 102

 

Should Tenant be unable after good faith efforts, to obtain Tenant’s Use Permit
prior to the Lease Commencement Date, then Tenant shall, at Tenant’s option
have
the right to terminate this Lease upon ten business days notice and the parties
shall be released from all liability hereunder except for those indemnities
that
specifically survive expiration or termination of the Lease hereunder.

The term “substantially complete” or “substantially completed” or words of
similar import used herein to describe a work of improvement shall mean that
the
particular work of improvement has been completed in accordance with the
Approved Plans, excepting only minor “punch list” items, the completion, repair
or correction of which do not have a material, adverse effect on the use and/or
occupancy of the building or other improvement and, in the case of the
Premises,
will also not materially hinder or delay Tenant’s fixturization and preparation
of the Premises for Tenant’s intended use thereof.

     B. Landlord and Tenant agree that any changes to the Approved Plans shall
require the prior written approval of Tenant. Tenant shall further be entitled
to make changes to the Approved Plans (“Change Orders”), provided that Tenant
shall be responsible for the reasonable increased cost of construction and
amount of delay in the Delivery Date, if any, which is occasioned by such
revisions. Upon receipt of Tenant’s request for a Change Order and prior to
implementing same, Landlord shall provide Tenant with a written estimate of the
amount of cost to implement same and the amount of delay that will be
incurred
(if any) in the Delivery Date. The cost of the Change Order shall be the lesser
of the actual cost to implement same or the amount shown in Landlord’s
estimate.
Any change to the Approved Plans that results in a cost savings to Landlord
shall be netted against any Change Orders which increased the cost of
construction. The reconciliation of the Change Orders shall be made within
thirty (30) days of the Delivery Date and added to the cost of Landlord’s Work
hereunder. Change Orders which have not been approved in writing by Tenant
shall
be permitted or allowed hereunder, except for minor changes in Landlord’s Work
made by Landlord (which Tenant has received prior written notice of) due to
field conditions which do not increase the cost of Landlord’s
Work, delay the
Estimated Delivery Date of the Premises to Tenant or decrease the quality of
Landlord’s Work hereunder.

     C. Landlord shall obtain all governmental permits, approvals,
authorizations and entitlement required for performance of Landlord’s Work and
occupancy of the Premises for the purposes permitted under the term’s of this
Lease (collectively “Permits”), except that Tenant shall be responsible for
obtaining Tenant’s Use Permit hereunder. Landlord shall furnish to Tenant
copies
of all Permits within fifteen (15) days after issuance of same, but in no event
later than the Delivery Date.

     D. Notwithstanding (i) any provisions of this Lease to the contrary, (ii)
the delivery to Tenant of an architect’s certificate of completion or a
certificate of completion by Tenant’s general contractor and (iii) any tender
of
delivery of possession of the Premises, Landlord’s Work shall not be deemed
substantially complete,the Delivery Date shall not be deemed to have occurred,
Tenant shall have no obligation to accept possession of the Premises until a
final and unconditional certificate of occupancy (or its equivalent) has been
issued (“Certificate of Occupancy”).

     E. If Tenant in its discretion elects to open for business to the public
prior to issuance of the Certificate of Occupancy, then Rent and any other
charge or amount that is payable under this Lease shall fully abate during any
periods in which there is material interference with Tenant’s occupancy of the
Premises or the conduct of its business operations therein by reason of the
action of governmental authority which results from the absence of the
Certificate of Occupancy or completion of Landlord’s Work. Further, in the
event
that Tenant elects to open for business to the public although Landlord’s Work
has not been substantially completed, Rent and any other charge or amount that
is payable under this Lease shall fully abate until such time as Landlord’s
Work

Page 103

 

has been substantially completed.

     Tenant’s election to open for business prior to issuance of the
Certificate of Occupancy or prior to substantial completion of Landlord’s Work
shall not be construed as a waiver of Landlord’s obligation to complete
Landlord’s Work.

     F. Tenant shall have the right to come onto the Premises in order to
observe the performance of Landlord’s Work, take measurements and commence
Tenant’s preparation of the premises for Tenant’s
occupancy, even while
Landlord
is completing Landlord’s Work, but such entry by Tenant shall be at Tenant’s
sole risk and shall not be deemed a waiver of Landlord’s obligation fully to
complete Landlord’s Work. Any such entry and work performed by Tenant prior to
the Delivery Date shall be performed in a manner which does not materially
interfere with the completion of Landlord’s Work. Landlord and Tenant agree, to
the extent reasonably possible, to coordinate their work in the Premises to the
end that Landlord’s Work may be completed on the earliest date reasonably
practicable.

     G. Landlord shall unconditionally guarantee all work performed by or for
Landlord in the construction of Landlord’s Work against defective workmanship
and materials for the period of one (1) year from the commencement of the Lease
Term. Landlord shall assign to Tenant any and all guarantees of workmanship and
materials for items that Tenant is required to maintain hereunder which it may
receive, and Landlord shall use its best efforts to enforce unexpired,
non-assignable warranties and guarantees at Tenant’s request and on Tenant’s
behalf, but such assignment shall not relieve Landlord of any obligations
provided in this Lease.

Page 104

 

EXHIBIT “C”

ACKNOWLEDGMENT OF LANDLORD AND TENANT

Landlord and Tenant acknowledge and confirm the following:

1. Lease Commencement Date:

2. Lease Expiration Date:

3. Rent:

	 	 	 	 	 	 	 	 	 
	LANDLORD:	 	 	 	TENANT:
	 
	 	 	 	 	 	 	 	 
	TREC, LLC,	 	 	 	NATIONSRENT USA, INC.,
	a Massachusetts limited liability company	 	 	 	a Delaware corporation
	

	 	 	 	 	 	 	 	 
	By:

	 	 	 	 	 	By:	 	 
	

	 	
 
	 	 	 	 	 	
 
	

	 	Byran T. Rich, Manager
	 	 	 	Name:	 	 
	

	 	 	 	 	 	 	 	
 
	

	 	 	 	 	 	Title:	 	 
	

	 	 	 	 	 	 	 	
 
	Date:

	 	 	 	 	 	Date:	 	 
	

	 	
 
	 	 	 	 	 	
 

Page 105

 

EXHIBIT “D”

FORM OF MEMORANDUM OF LEASE

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

MEMORANDUM OF LEASE

(Woburn, Massachusetts)

     THIS MEMORANDUM OF LEASE by and between TREC, LLC, a Massachusetts limited
liability company, the address of which is 217 Whitney Street, Northboro,
Massachusetts 05132 (hereinafter called “Landlord”), and NATIONSRENT USA, INC.,
a Delaware corporation, the address of which is 450 East Las Olas Boulevard,
Suite 1400, Fort Lauderdale, Florida 33301 (hereinafter called “Tenant”).

     Landlord has granted to Tenant a lease which includes, among others, the
following provisions:

	1.	 	Date of Lease: December 7, 1999.
	 
	2.	 	Description of leased Premises: See Exhibit “A” attached hereto.
	 
	3.	 	Lease Commencement Date: December 7, 1999.
	 
	4.	 	Term: Fifteen (15) Years.
	 
	5.	 	Renewal Options: Two (2) five (5) year renewal options.
	 
	6.	 	The Lease contains a right of first refusal and an option to purchase both
in favor of Tenant.
	 
	7.	 	The Lease contains the following provision:

Liens. All persons are put on notice of the fact that Tenant under no
circumstances shall have the power to subject the interest of Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of Tenant or any person
claiming under, by or through Tenant, must look wholly to the interest of
Tenant
and not to that of Landlord.

Tenant covenants and agrees with Landlord that Tenant will not permit or suffer
to be filed or claimed against the interest of Landlord in the Premises during
the continuance of this Lease, any lien or liens of any kind by any person
claiming under, by, through or against Tenant; and if any such lien is claimed
or filed, it shall be the duty of Tenant, within sixty (60) days after the
claim
of lien or suit claiming a lien has been filed, to cause the Premises to be
released from such claim, either through payment or through bonding with
corporate surety or through the deposit into court, pursuant to statute, of the
necessary sums of money, or in any other way that will effect the release of
Landlord’s interest in the Premises from such claim.

     The purpose of this Memorandum of Lease is to give record notice of the
Lease and of the rights created thereby, all of which are hereby confirmed.

     IN WITNESS WHEREOF the parties have executed this Memorandum of Lease as
of
the dates set forth in their respective acknowledgments.

Page 106

 

	 	 	 	 	 	 	 	 	 
	WITNESSES:

	 	 	 	 	 	 	 	LANDLORD:
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	TREC, LLC,

a Massachusetts limited liability company
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	By: 

Name:
	

	 	 	 	 	 	 	 	Title:
	 
	 	 	 	 	 	 	 	 
	STATE OF                                                          

	 	 	)

)	 	 	ss:	 	 
	COUNTY OF                                                          

	 	 	)	 	 	 	 	 

     The foregoing instrument was acknowledged before me this                     day of
                   , 2000, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	
 
	

	 	 	 	 	 	 	 	Notary Public

Print Name:
	

	 	 	 	 	 	 	 	Commission No.:
	

	 	 	 	 	 	 	 	My Commission Expires :
	 
	 	 	 	 	 	 	 	 
	WITNESSES:

	 	 	 	 	 	 	 	TENANT:
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	NATIONSRENT USA, INC.,
a Delaware corporation
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	By: 

Name:
	

	 	 	 	 	 	 	 	Title:
	STATE OF FLORIDA

	 	 	)

)	 	 	ss:	 	 
	COUNTY OF BROWARD

	 	 	)	 	 	 	 	 

     The foregoing instrument was acknowledged before me this                     day of                    ,
2000, by                                       as                                       of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she produced a driver’s
license as identification.

	 	 	 	 	 	 	 
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Notary Public

Print Name:
	

	 	 	 	 	 	Commission No.:
	

	 	 	 	 	 	My Commission Expires :

Page 107

 

EXHIBIT “E”

TITLE EXCEPTIONS

	1.	 	Commercial Real Estate Mortgage from 195 New Boston Street, LLC to Warren
Five Cents Savings Bank dated December 10, 1988, in the original principal
amount of $800,000.00, filed as Land Court Document #1089410 (sh 42).

	 	a.	 	Conditional Assignment of Leases and Rents filed as Land Court
Document 41089411 (sh 46).

	2.	 	UCC-1 secured by Warren Five Cents Savings Bank against 195 New Boston
Street, LLC, filed December 11, 1998, as Land Court Document #1089412 (sh
49).

Page 108

 

EXHIBIT “F”

FORM OF NON-DISTURBANCE AGREEMENT

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT

(Woburn, Massachusetts)

     THIS SUBORDINATION NON-DISTURBANCE AND ATTORNMENT AGREEMENT (the
“Agreement”) is made and entered into this the — day
of                            , 2000, by NATIONSRENT
USA, INC., a Delaware corporation, the address of which is 450 East Las Olas
Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”),                    
(“Lender”) and TREC, LLC, a Massachusetts limited liability company, the
address
of which is 217 Whitney Street, Northboro, Massachusetts 05132 (“Landlord”).

RECITALS:

     WHEREAS, Landlord and Tenant executed a Lease dated as of December 7, 1999
(the “Lease”), in favor of Tenant, a memorandum of which may be recorded
simultaneously herewith, covering Premises therein described located on a
parcel
of real estate, the legal description of which is attached hereto and
incorporated herein by this reference as Exhibit “A” (said parcel of real
estate
and the Premises being sometimes collectively referred to herein as the
“Property”); and

     WHEREAS, Landlord has executed a                    (the “Mortgage”) dated                    and recorded on                    at Book                    , Page
                   , of the                    Records of                    County, State of                    in favor of Lender, payable upon the terms and conditions
described
therein; and

     WHEREAS, it is a condition to said loan that said Mortgage shall
unconditionally be and remain at all times a lien or charge upon the Property,
prior and superior to the Lease and to the leasehold estate created thereby;
and

     WHEREAS, the parties hereto desire to assure Tenant’s possession and
control of the Property under the Lease upon the terms and conditions therein
contained;

     NOW, THEREFORE, for and in consideration of the mutual covenants and

Page 109

 

premises herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged and confessed by the parties
hereto,
the parties hereto do hereby agree as follows:

AGREEMENT:

     1. The Lease is and shall be subject and subordinate to the Mortgage, and
to all renewals, modifications, consolidations, replacements and extensions
thereof, and to all future advances made thereunder.

2. Should Lender become the owner of the Property, or should the Property
be sold by reason of foreclosure, or other proceedings brought to enforce the
Mortgage which encumbers the Property, or should the Property be transferred by
deed in lieu of foreclosure, or should any portion of the Property be sold
under
a trustee’s sale, the Lease shall continue in full force and effect as a direct
lease between the then owner of the Property covered by the Mortgage and
Tenant,
upon, and subject to, all of the terms, covenants and conditions of the Lease
for the balance of the Term thereof remaining, including any extensions therein
provided. Tenant does hereby agree to attorn to Lender or to any such owner as
its landlord, and Lender hereby agrees that it will accept such attornment.

     3. Notwithstanding any other provision of this Agreement, Lender shall not
be (a) liable for any default of any landlord under the Lease (including
Landlord), except that Lender agrees to cure any default of Landlord that is
continuing as of the date Lender forecloses the Property within thirty (30)
days
from the date Tenant delivers written notice to Lender of such continuing
default, unless such default is of such a nature to reasonably require more
than
thirty (30) days to cure and then Lender shall be permitted such additional
time
as is reasonably necessary to effect such cure, provided Landlord diligently
and
continuously proceeds to cure such default; (b) subject to any offsets or
defenses which have accrued prior to the date of foreclosure, unless Tenant
shall have delivered to Lender written notice of the default which gave rise to
such offset or defense and permitted Lender the same right to cure such default
as permitted Landlord under the Lease; (c) bound by any Rent that Tenant may
have paid under the Lease more than one month in advance; (d) bound by any
amendment or modification of the Lease hereafter made without Lender’s prior
written consent; (e) responsible for the return of any security deposit
delivered to Landlord under the Lease and not subsequently received by Lender.

     4. If Lender sends written notice to Tenant to direct its Rent payments
under the Lease to Lender instead of Landlord, then Tenant agrees to follow the
instructions set forth in such written instructions and deliver Rent payments
to
Lender; however, Landlord and Lender agree that Tenant shall be credited under
the Lease for any Rent payments sent to Lender pursuant to such written notice.

     5. All notices which may or are required to be sent under this Agreement
shall be in writing and shall be sent by first-class certified U.S. mail,
postage prepaid, return receipt requested, and sent to the party at the address
appearing below or such other address as any party shall hereafter inform the
other party by written notice given as set forth above:

	 	 	 	 	 	 	 
	If to Landlord:

	 	 	 	 	 	TREC, LLC

217 Whitney Street

Northboro, Massachusetts 05132
	 
	 	 	 	 	 	 
	with a copy to:

	 	 	 	 	 	M. Robert Queler, Esq.

865 Providence Highway

Dedham, Massachusetts 02026
	 
	 	 	 	 	 	 
	If to Tenant:

	 	 	 	 	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301
	

	 	 	 	 	 	Attn: Jorge L. Martin, Vice President

of Real Estate and Construction

Page 110

 

	 	 	 	 	 	 	 
	with a copy to:

	 	 	 	 	 	NationsRent, Inc.
	

	 	 	 	 	 	450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.

 

	 
	 	 	 	 	 	 
	with a copy to:

	 	 	 	 	 	Akerman, Senterfitt & Eidson, P.A.

350 East Las Olas Boulevard, Suite 1600

Fort Lauderdale, Florida 33301-4200

Attn: Theresa M. McLaughlin, Esq.
	 
	Lender:

	 	 	 	 	 	

	

	 	 	 	 	 	

	

	 	 	 	 	 	

All notices delivered as set forth above shall be deemed effective three (3)
days from the date deposited in the U.S. mail.

     6. Said Mortgage shall not cover or encumber and shall not be construed as
subjecting in any manner to the lien thereof any of Tenant’s improvements or
trade fixtures, furniture, equipment or other personal property at any time
placed or installed in the Premises. In the event the Property or any part
thereof shall be taken for public purposes by condemnation or transfer in lieu
thereof or the same are damaged or destroyed, the rights of the parties to any
condemnation award or insurance proceeds shall be determined and controlled by
the applicable provisions of the Lease.

     7. This Agreement shall inure to the benefit of and be binding upon the
parties hereto, their successors in interest, heirs and assigns and any
subsequent owner of the Property secured by the Mortgage.

     8. Should any action or proceeding be commenced to enforce any of the
provisions of this Agreement or in connection with its meaning, the prevailing
party in such action shall be awarded, in addition to any other relief it may
obtain, its reasonable costs and expenses, not limited to taxable costs, and
reasonable attorney’s fees.

     9. Tenant shall not be enjoined as a party/defendant in any action or
proceeding which may be instituted or taken by reason or under any default by
Landlord in the performance of the terms, covenants, conditions and agreements
set forth in the Mortgage.

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above written.

	 	 	 	 	 	 	 	 	 
	WITNESSES:

	 	 	 	 	 	 	 	LENDER:
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	

a 

	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	By: 

Name:
	

	 	 	 	 	 	 	 	Title:
	 
	 	 	 	 	 	 	 	 
	STATE OF                                                          

	 	 	)

)	 	 	ss:	 	 
	COUNTY OF                                                          

	 	 	)	 	 	 	 	 

     The foregoing instrument was acknowledged before me this                    day of                    ,
2000, by                                        as                    of                                       ,
a                     corporation, on behalf of the corporation. He/she is personally
known to me or has produced a driver’s
license as identification.

Page 111

 

	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	
 
	

	 	 	 	 	 	 	 	Notary Public

Print Name:
	

	 	 	 	 	 	 	 	Commission No.:
	

	 	 	 	 	 	 	 	My Commission Expires :
	 
	 	 	 	 	 	 	 	 
	WITNESSES:

	 	 	 	 	 	 	 	TENANT:
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	NATIONSRENT USA, INC.,
a Delaware corporation
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	By: 

Name:
	

	 	 	 	 	 	 	 	Title:
	STATE OF FLORIDA

	 	 	)

)	 	 	ss:	 	 
	COUNTY OF BROWARD

	 	 	)	 	 	 	 	 

     The
foregoing instrument was acknowledged before me this    
                day of
                 
  ,
2000, by               
                      , as                                       of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has produced a driver’s
license as identification.

	 	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	
 
	

	 	 	 	 	 	 	 	Notary Public

Print Name:
	

	 	 	 	 	 	 	 	Commission No.:
	

	 	 	 	 	 	 	 	My Commission Expires :
	 
	 	 	 	 	 	 	 	 
	WITNESSES:

	 	 	 	 	 	 	 	LANDLORD:
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	TREC, LLC,

a Massachusetts limited liability company
	 
	 	 	 	 	 	 	 	 
	

Print Name:

	 	 	 	 	 	 	 	By: 

Name: Bryan T. Rich

Title: Manager
	 
	 	 	 	 	 	 	 	 
	STATE OF                                                          

	 	 	)

)	 	 	ss:	 	 
	COUNTY OF                                                          

	 	 	)	 	 	 	 	 

     The foregoing instrument was acknowledged before me this                    day of
                   , 2000, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a driver’s license as identification.

	 	 	 	 	 	 	 
	

	 	 	 	 	 	
 
	

	 	 	 	 	 	Notary Public

Print Name:
	

	 	 	 	 	 	Commission No.:
	

	 	 	 	 	 	My Commission Expires :

Page 112

 

EXHIBIT “G”

LANDLORD’S DELIVERIES

	1.	 	Copy of prior title policy or other title work and copy of legal
description.
	 
	2.	 	Copy of prior survey.
	 
	3.	 	Copy of prior environmental report.
	 
	4.	 	Copy of prior soil or other geotechnical reports, if any.
	 
	5.	 	Copy of real estate tax bill.

Page 113

 

EXHIBIT “H”

TERMS FOR PURCHASE AND SALE

     If Tenant exercises the Option to Purchase contained in Section 12 of
the Lease, the closing of the transfer of the Premises shall be controlled by
the following provisions. Capitalized terms not defined herein shall have the meaning given them in the Lease to which this Exhibit is attached.

	1.	 	PROPERTY DESCRIPTION:

	 	(a)	 	Premises: the property described on Exhibit “A” to the Lease.
	 
	 	(b)	 	Personal Property: ________________________ (“None” if blank).

	2.	 	PURCHASE PRICE: Landlord and Tenant agree to act reasonably and in good
faith to negotiate a Purchase Price for the Premises that will be equal to
the then current fair market value of the Premises. In the event the
parties are unable to reach an agreement with respect to the Purchase
Price within fifteen (15) days of the Purchase Notice provided
under Section 12
of the Lease between Landlord and Tenant, then either party may notify the
other of its intent to have the Purchase Price determined by appraisal.
Such notice must identify the appraiser retained to make such
determination, which appraiser must be engaged full time as a real estate
appraiser and must be a member of the American Institute of Real Estate
Appraisers. A copy of such appraiser’s report indicating the appraised fair market value of the Premises shall be delivered, upon receipt, to the
other party. Such other party shall then have thirty (30) days to retain a
second appraiser to make a separate determination and to submit a separate report
indicating the fair market value of the Premises. Such second appraiser
must also be engaged full time as a real estate appraiser and must also be
a member of the American Institute of Real Estate Appraisers. A copy of
such second appraiser’s report shall be delivered, upon receipt, to the
other party. If the appraised fair market value of the Premises according
to such two (2) appraisal reports vary by twenty five (25%) percent or
less, then the fair market values indicated in the two (2) reports shall be averaged and the value thus obtained, shall, for all purposes,
conclusively fix and be the Purchase Price. If such values vary by more than twenty
five (25%) percent then such two (2) appraisers shall select a third appraiser,
similarly qualified. who shall determine the fair market value of the
Premises, such determination to be conclusive on the parties. If the two
(2) appraisers fail to appoint such third appraiser within thirty (30)
days
after delivery of the second appraiser’s report, the third appraiser shall
be appointed by the presiding judge of the state court of general jurisdiction for the county in which the Premises are located, and such
third appraiser shall then individually determine the fair market value of
the Premises, such determination to be binding upon each of the parties.
It
is expressly agreed that the determination of the fair market value of the
Premises by a third appraiser (whether appointed by the prior two (2)
appraisers or such presiding judge) shall be a value that must be between
the values determined by the results of the prior two (2) appraisers, and
the submission of the dispute to such third appraiser shall so provide. It
is further expressly acknowledged, understood and agreed that such
appraisals shall determine the actual fair market value of the Premises
for
the purposes of determining the Purchase Price to be paid under the Option
to Purchase. The Appraisers should not consider the existence of the
Lease,
or the options to extend the Term or to purchase the Premises in arriving
at the fair market value of the Premises. The fair market value of the
Premises as determined by the above procedure shall be the Purchase Price
for the Premises. Each party shall pay all costs. fees and expenses of the
appraiser appointed by it, and fifty (50%) percent of the costs, fees and
expenses of the third appraiser, if any. The Closing Date of the sale and
purchase shall be extended as necessary to complete the procedure set
forth
above, and if extended, the Closing shall occur fifteen (15) days after
the
Purchase Price is finally determined. Notwithstanding any provision of
this
Exhibit E to the contrary, the parties hereto agree that the fair market
value shall not be less than the sum of (a) the purchase price paid by the
Landlord for the Premises prior to the commencement of the term of the
Lease and (b) the unreimbursed costs and expenses of improvements to the
Premises incurred by Landlord.

Page 114

 

	3.;	 	EFFECTIVE DATE: The date of Contract (“Effective
Date”) will be the date when the
Tenant has delivered a Purchase Notice to the Landlord.
	 
	4.	 	PAYMENT OF PURCHASE PRICE: The Purchase Price, subject to applicable
adjustments and prorations, shall be paid to Landlord on the Closing Date
by certified or cashier’s check or by wire transfer.
	 
	5.	 	CLOSING DATE: This transaction shall be closed and the deed and other
closing papers delivered on the sixtieth (60) day after the Effective Date
unless modified by other provisions of these Terms for Purchase and Sale
(these “Purchase Terms”)
	 
	6.	 	RESTRICTIONS; EASEMENTS; LIMITATIONS: Tenant shall take title subject to:
comprehensive land use plans, zoning, restrictions, prohibitions and other
requirements imposed by governmental authority; restrictions and matters
appearing on the plat or otherwise common to the subdivision; public
utility easements of record servicing the Premises; taxes for year of
closing and subsequent years; assumed mortgages identified in the Purchase
Notice, if any; provided that there exists at closing no violation of the
foregoing and none prevents use of the Premises for purposes identified in
SECTION 11.17 of the Lease.
	 
	7.	 	OCCUPANCY: Landlord warrants that there are no parties in occupancy other
than Tenant and any party claiming under Tenant and Landlord shall deliver
sole occupancy of the Premises to Tenant at time of closing, except for
any
parties in possession under agreements with Tenant.
	 
	8.	 	ASSIGNABILITY: Tenant may assign its rights under this agreement to the
same extent and in the same manner as provided in Section 9 of the Lease.
	 
	9.	 	EVIDENCE OF TITLE: Within twenty (20) days of receipt of a Purchase Notice,
Landlord shall deliver to Tenant a copy of Landlord’s existing owner’s
title insurance policy and all endorsements thereto. Within thirty (30)
days after the Purchase Notice, Tenant at Tenant’s expense shall obtain a
title insurance commitment (with legible copies of instruments listed as
exceptions attached thereto) issued by a title insurer licensed in
the state where the Premises is located agreeing to issue Tenant, upon
recording of the deed to Tenant, an owner’s policy of title insurance in
the amount of the Purchase Price, insuring Tenant’s title to the Premises,
subject only to liens, encumbrances, exceptions or qualifications provided
in these Purchase Terms and those to be discharged by Landlord at or
before
closing. Landlord shall convey marketable title subject only to liens,
encumbrances, exceptions or qualifications provided in these Purchase
Terms. Marketable title shall be determined according to applicable law.
Tenant shall have thirty (30) days from date of receiving evidence of
title
to examine it. If title is found defective, Tenant shall within three (3)
days thereafter, notify Landlord in writing specifying defect(s). If the
defect(s) render title unmarketable, Landlord will have thirty (30) days
from receipt of notice to remove the defects, failing which Tenant shall,
within five (5) days after expiration of the thirty (30) day period,
deliver written notice to Landlord either: (1) extending the time for a
reasonable period not to exceed one hundred twenty (120) days within which
Landlord shall use diligent effort to remove the defects; or (2)
terminating Tenant’s exercise of the Option to Purchase the Premises. If
Tenant fails to so notify Landlord, Tenant shall be deemed to have
accepted
the title as it then is. Landlord shall, if title is found unmarketable,
use diligent effort to correct defect(s) in the title within the time
provided therefor. If Landlord is unable to timely correct the defects,
Tenant shall either waive the defects or terminate the exercise of the
Option to Purchase, thereby releasing Tenant and Landlord from all further
obligation under these Purchase Terms.

Page 115

 

	10.	 	SURVEY: Tenant, at Tenant’s expense, within time allowed to deliver
evidence of title and to examine same, may have the Premises surveyed and
certified by a surveyor registered in the state where the Premises is
located. If survey discloses encroachment on the Premises or that
improvements located on the Premises encroach on setback lines, easements,
lands of others or violate any restrictions, covenants of these Purchase
Terms or applicable governmental regulation, the same shall constitute a
title defect.
	 
	11.	 	INGRESS AND EGRESS: Landlord warrants and represents that there is ingress
and egress to the Premises sufficient for its intended use as described in
Section 11.17 of the Lease, title to which is in accordance with
Section 9 of
these Purchase Terms.
	 
	12.	 	LIENS: Landlord shall furnish to Tenant at time of closing an affidavit
attesting to the absence, unless otherwise provided for herein, of any
financing statement, claims of lien or potential lienors arising as the
result of any action or inaction of Landlord and further attesting that
there have been no improvements or repairs to the Premises by Landlord for
ninety (90) days immediately preceding date of closing. If the Premises
has
been improved or repaired by Landlord within that time, Landlord shall
deliver releases or waivers of construction liens executed by all general
contractors, subcontractors, suppliers and materialmen in addition to
Landlord’s lien affidavit setting forth the names of all such general
contractors, subcontractors, suppliers and materialmen, further affirming
that all charges for improvements or repairs incurred by Landlord which
could serve as a basis for a construction lien or a claim for damages have
been paid or will be paid at closing of these Purchase Terms.
	 
	13.	 	PLACE OF CLOSING: Closing shall be held in the county where the Premises
are located at the office of the attorney or other closing agent
designated
by Tenant.
	 
	14.	 	TIME. In computing time periods of less than six (6) days, Saturdays,
Sundays and state or national legal holidays shall be excluded. Any time
periods provided herein which shall end on a Saturday, Sunday or a legal
holiday shall extend to 5:00 p.m. on the next business day. Time is
of the essence in these Purchase Terms.

Page 116

 

	 	 	[CO]
	15.	 	DOCUMENTS FOR CLOSING: Landlord shall furnish the deed, bill of sale,
construction lien affidavit in compliance with SECTION 12 of these
Purchase
Terms, owner’s possession affidavit, FIRPTA affidavit, assignments of
leases, tenant and mortgagee estoppel letters and corrective instruments.
Each party shall execute a closing statement.
	 
	16.	 	EXPENSES: Transfer taxes, fees, documentary stamps and surtax on the deed
and recording of corrective instruments shall be paid by Landlord.
Recording of deed shall be paid by Tenant. Unless otherwise provided by
law
or rider to these Purchase Terms, charges for the following related title
services, namely title or abstract charge, title examination, and
settlement and closing fee, shall be paid by the party responsible for
furnishing the title evidence in accordance with Section 9 of these Purchase
Terms. Tenant shall pay the premium for the owners title insurance policy
insuring Tenant’s interest.
	 
	17.	 	PRORATIONS; CREDITS: Taxes, assessments, rent, interest, insurance and
other expenses of the Premises shall be prorated through the day before
closing unless they are the responsibility of Tenant under the Lease, in
which case they shall not be prorated. Tenant shall have the option of
taking over existing policies of insurance, if assumable, in which event
premiums shall be prorated. Cash at closing shall be increased or
decreased
as may be required by prorations to be made through the day prior to
closing. Advance rent and security deposits will be credited to Tenant.
Escrow deposits held by any mortgagee will be credited to Tenant if Tenant
has provided the funds for the escrow. otherwise they will be paid to
Landlord. Taxes shall be prorated based on the current year’s tax with due
allowance made for maximum allowable discount, homestead and other
exemptions. If closing occurs at a date when the current year’s millage is
not fixed and current year’s assessment is available, taxes will be
prorated based upon such assessment and the prior year’s millage. If the
current year’s assessment is not available, then taxes will be prorated on
the prior year’s tax. Tax proration based on an estimate shall, at request
of either party, be readjusted upon receipt of tax bill on condition that
a
statement to that effect is signed at closing.
	 
	18.	 	SPECIAL ASSESSMENT LIENS: Certified, confirmed and ratified special
assessment liens as of date of closing (not as of Effective Date) are to
be
paid by Landlord unless they are the responsibility of Tenant under the
Lease. Pending liens as of date of closing shall be assumed by Tenant. If
the improvement has been substantially completed as of Effective Date, any
pending lien shall be considered certified, confirmed or ratified and
Landlord shall, at closing, (unless such lien is the responsibility of
Tenant under the Lease) be charged an amount equal to the last estimate or
assessment for the improvement by the public body.
	 
	19.	 	RISK OF LOSS: If the Premises is damaged by fire or other casualty before
closing and cost of restoration does not exceed fifty (50%) percent of the
assessed valuation of the Premises so damaged, cost of restoration shall
be
an obligation of the Landlord and closing shall proceed pursuant to the
terms of these Purchase Terms with restoration costs escrowed at closing.
If the cost of restoration exceeds fifty (50%) percent of the assessed
valuation of the Premises so damaged, Tenant shall have the option of
either taking the Premises as is, together with any insurance proceeds
payable by virtue of such loss or damage, or of terminating the exercise
of
the Option to Purchase.
	 
	20.	 	ATTORNEY’S FEES; COSTS: In any litigation, including breach, enforcement
or
interpretation, arising out of these Purchase Terms, the prevailing party
in such litigation shall be entitled to recover from the non-prevailing
party reasonable attorney’s fees, costs and expenses.

Page 117

 

	21.	 	FAILURE OF PERFORMANCE: If Tenant fails to perform these Purchase Terms
within the time specified, Landlord may elect to terminate the exercise of
the Option to Purchase and be relieved of all obligations under these
Purchase Terms. If for any reason other than failure of Landlord to make
Landlord’s title marketable after diligent effort. Landlord
fails,
neglects
or refuses to perform these Purchase Terms, the Tenant may seek specific
performance or may terminate the exercise of the option, whereupon
Landlord
shall reimburse Tenant for all costs and expenses in connection with
Tenant’s exercise of the Option to Purchase. In the event either party
terminates the exercise of the Option to Purchase as set forth herein, the
parties shall continue to be bound by the terms and provisions of the
Lease, as the same shall apply.
	 
	22.	 	PERSONS BOUND; NOTICE: These Purchase Terms shall bind and inure to the
benefit of the parties and their successors in interest. Whenever the
context permits, singular shall include plural and one gender shall
include
all. Notice given by or to the attorney for any party shall be as
effective
as if given by or to that party.
	 
	23.	 	CONVEYANCE: Landlord shall convey title to the Premises by limited
warranty
deed, subject only to matters contained in Section 6 of these Purchase
Terms and those otherwise accepted by Tenant. Personal Property shall, at
the request of Tenant, be transferred by an absolute bill of sale with
warranty of title, subject only to such matters as may be otherwise
provided for herein.
	 
	24.	 	OTHER AGREEMENTS: No prior or present agreements or representations shall
be binding upon Tenant or Landlord unless included in these Purchase
Terms.
No modification to or change in these Purchase Terms shall be valid or
binding upon the parties unless in writing and executed by the party or
parties intended to be bound by it.
	 
	25.	 	ENVIRONMENTAL REPRESENTATIONS AND INSPECTIONS: Landlord hereby represents
and warrants to Tenant (the “Representations”) that, exclusive of Tenant’s
and Tenant’s employee’s, agent’s and invitee’s actions or inactions: (1)
the Premises and all uses of the Premises have been, and presently are, in
compliance with all federal, state, and local Environmental Laws; (2) no
Hazardous Materials have been generated, stored, treated or transferred on
the Premises, except in the ordinary course of business and in compliance
with Environmental Laws; (3) Landlord has no knowledge of any spill or
Environmental Law violation on any property contiguous to or in the
vicinity of the Premises to be sold to Tenant; and (4) Landlord has not
received or otherwise obtained knowledge of any spill or contamination on
the Premises, any existing or threatened environmental lien against the
Premises, or any lawsuit, proceeding, or investigation regarding the
handling of Hazardous Materials on the Premises.
	 
	26.	 	WARRANTY: Landlord warrants that there are no facts known to Landlord
materially affecting the value of the Premises which are not readily
observable by Tenant or which have not been disclosed to Tenant or that
have not been created by Tenant, its employees and agents.

Page 118

 

EXHIBIT “I”

COPY OF PRIME LEASE

Page 119

 

LEASE AGREEMENT

     THIS LEASE AGREEMENT (the “Lease”) is made this ___day of August, 1999,
by and between 195 New Boston Street, LLC, a Massachusetts limited liability
company, (hereinafter called “Landlord”), and TREC, LLC, Inc., a Massachusetts
limited liability company, with a principal place of business at 800 Hartford
Turnpike, Shrewsbury, MA 01545 and/or its assigns, (hereinafter called
“Tenant”).

W I T N E S S E T H :

     Landlord, for and in consideration of the rentals herein promised to be
paid by Tenant and the covenants, conditions and agreements herein contained to
be kept and performed by Tenant, does hereby let and rent to Tenant, and Tenant
does hereby take and lease as Tenant of the Landlord, the premises hereinafter
described for the term, at the rental and upon the terms and conditions
hereinafter set forth:

SECTION 1

PARTIES

     1.1
Landlord. Landlord warrants that it owns the Premises and has full
right and power to execute and deliver this Lease without the consent or
agreement of any other person, and that those persons executing this Lease on
behalf of Landlord have the right and power to execute and deliver this Lease.

     1.2
Tenant. Tenant warrants that Tenant has full right and power to execute
and deliver this Lease without the consent or agreement of any other person,
and that those persons who have executed and delivered this Lease have the
authority and power to execute this Lease on Tenant’s behalf and deliver this
Lease to Landlord.

SECTION 2

PREMISES

     2.1 Description. The premises herein leased (hereinafter called the
“Premises”) are legally described in Exhibit “A” attached hereto and made a
part hereof. The Premises also include the building(s) and improvements located
upon the land area described in Exhibit “B” and all rights appurtenant thereto.
The Premises are located at 195 New Boston Street, Woburn, MA 01888.

     2.2 Quiet Enjoyment. Landlord agrees to warrant and defend Tenant in the
quiet enjoyment and possession of the Premises during the term of this Lease so
long as Tenant complies with the provisions hereof.

Page 120

 

SECTION 3

TERM; OPTION TO EXTEND

     3.1 Lease Commencement Date. The term of this Lease (the “Term”) shall
commence on or before December 1, 1999 (the “Lease
Commencement Date”), and shall
terminate on the date (the “Lease Termination Date”) which is the last day of
the month preceding the fifth (5th) anniversary date of the Lease Commencement
Date unless extended by Tenant in accordance with any extension option
contained in this Lease or any rider thereto or unless terminated at an earlier
date by Tenant or Landlord pursuant to the terms thereof. Landlord shall give
Tenant possession of the Premises, free of all tenants, on the Lease
Commencement Date, or within sixty (60) days upon receipt from Tenant by written
notice that the Tenant has received all necessary permits and approvals for the
Tenant’s proposed use of the premises.

     3.2 Extension Terms. Tenant shall have the right to extend the Term of
this Lease for one (1) additional term of five (5) years (the “Extension Term”)
in its sole discretion upon delivering written notice to the Landlord of its
intent to exercise this option to extend not less than 365 days before the
expiration date of the initial Term. If Tenant exercises the Extension Term in
the manner provided for in this paragraph then the Lease shall terminate five
(5) years after the initial expiration period, and all provisions of this Lease
shall be applicable to the Extension Terms.

     3.3 Option Rent. Upon the expiration of the Term of this Lease and
provided that Tenant is not in default under any provision of this Lease beyond
any applicable cure period, Tenant shall have the option to extend the term of
this Lease for one consecutive term of five (5) years (the “Renewal Term”)
subject to the terms and conditions of the Lease except for the Fixed Rent,
which will be determined in accordance with this Section 3.3. Tenant’s option
to renew the term of this Lease for the Renewal Term commencing on the
expiration of the Term hereunder shall be on all of the same terms and
conditions as are contained in the Lease except that fixed minimum annual rent
during the Renewal Term shall be the “Fair Market Rent” for the Leased Premises
determined as hereinafter provided. Tenant shall exercise such option by
giving written notice thereof to Landlord not less than twelve (12) months
prior to the expiration of the term of the Lease then in effect. Within thirty
(30) days of after receipt of Tenant’s notice of exercise.
Landlord shall give Tenant written notice of the Fair Market Rent
proposed by Landlord for the Renewal Term. Within thirty (30) days of Landlord’s notice of the Proposed Fair Market Rent, the Tenant may
by written notice to the Landlord, (i) accept the proposed Fair Market Rent,
(ii) revoke its election to renew the applicable term or (iii) reject the
proposed Fair Market Rent and elect that Fair Market Rent be determined in
accordance with the procedures set forth herein. Within ten (10) days after
Tenant gives notice of its election under subsection (iii) above, each party,
at its sole cost and by giving notice to other party, shall appoint a fully
licensed and certified real estate appraiser with at least five (5)
years commercial appraisal experience in Massachusetts to appraise and establish the Fair Market Rent
for the Leased Premises. Fair Market Rent shall be based upon rent for
comparable Buildings for comparable uses in the Greater Woburn area for a
similar term taking into consideration factors such as the Building age, size,
amenities and location. If a party does not appoint an appraiser within ten
(10) days after the other party has given notice of the name of its appraiser,
the single appraiser appointed shall be the sole appraiser and shall
set the Fair Market Rent for the Leased Premises for the Renewal Term. If the two
appraisers are appointed by the parties as stated in this paragraph, they shall
each submit, within fifteen (15) days of the appointment of the second
appraiser, a written appraisal stating the Fair Market Rent for the Leased
Premises. If the lower of the two appraisals is less than 10% lower than the
higher appraisal, the average of the two

Page 121

 

appraisals will be deemed the Fair Market Rent for the Leased Premises.
If the lower appraisal is more than 10% lower than the higher appraisal, then
the two appraisers shall, within ten (10) days select a third appraiser who
meets the qualifications stated in this paragraph. Each of the parties shall
bear one half of the cost of paying for the third appraiser’s fee.

Within thirty (30) days after the selection of the third appraiser, a majority
of the appraisers shall set the Fair Market Rent for the Leased Premises. If a
majority of the appraisers are unable to set the Fair Market Rent within the
stipulated period of time, the three appraisals shall be added together and
their total divided by three; the resulting quotient shall be the Fair Market
Rent for the Leased Premises; unless the low appraisal and/or the high
appraisal is/are more than 10% lower and/or higher than the middle appraisal, in
which case the lower appraisal and/or the high appraisal shall be disregarded.
If only one appraisal is disregarded, the remaining two appraisals shall be
added together and their total divided by two; the resulting quotient shall be
the Fair Market Rent for the Leased Premises. In no event shall the Fair
Market Rent during the Renewal Term be lower than the Fair Market Rent for the
last year of the Term.

     3.4 Prorations. If any payments, rights or obligations hereunder (whether
relating to payment of rent, taxes, insurance, other impositions, or to any
other provision of this Lease) relate to a period in part before the Lease
Commencement Date or in part after the date of expiration or termination of the
term, appropriate adjustments and prorations shall be made.

     3.5 Surrender at End of Term. Upon the last day of the lease Team or upon
the earlier termination of this Lease pursuant to the provisions hereof and
irrespective of when and how such termination occurs, Tenant shall surrender and
deliver to Landlord the Premises, all buildings and improvements
thereon, other
than Tenant’s Property, without delay, broom clean and in good order, condition
and repair, reasonable wear and tear and damage due to insured casualty
excepted and subject to the other terms of this Lease, whereupon Tenant shall
have no further right, title or interest in and to said Premises. Any trade
fixtures, business equipment, inventory, trademarked items, signs and other
removable personal property located or installed in or on the Premises (the
“Tenant’s Property”) shall be removed by Tenant on or before the last day of
the lease Term or upon the earlier termination of this Lease pursuant to the
provisions hereof, and Tenant shall repair any damage occasioned by the removal
of Tenant’s Property. Landlord may remove and dispose of any of Tenant’s
Property remaining at the Premises after the expiration or termination of the
Lease at the Tenant’s expense.

     3.6 Security Deposit. Tenant agrees; to deposit with Landlord at the
execution hereof the sum of $31,000 as a security deposit to assure the
Landlord of the full and prompt payment and performance of the Tenant’s
Obligations under this lease and throughout the term hereof. Landlord agrees
to credit one half of the security deposit to the Tenant toward the rent
payment due in the thirteenth (13) month of the lease, and thereafter the
balance shall be credited to the Tenant, if and when the Tenant purchases the
property and a deed to that effect is recorded.

     3.7 The Tenant’s obligations hereunder are conditioned upon the Tenant
successfully completing the following:

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	 	a)	 	The Tenant acknowledges that it has had the
opportunity, to review of any and all environmental
information which the Seller has in its possession, including
an ROA report submitted by the Seller’s environmental
engineers to Mass. Dept. of Environmental Protection.

	 	 	 	Unless the Tenant submits to the Landlord a fully executed
proposal from a Licensed Site Professional by July 30th,
1999, for additional environmental studies to be performed on
the Premises, at Tenant’s sole expense to conduct, then any
and all environmental contingencies to this lease shall be
waived.

	 	 	 	Should Tenant seek additional environmental studies, said
work shall be performed by September 30, 1999. Tenant may
access the site to conduct such reviews and studies, however,
should any subsurface exploration be required, Tenant shall
give Landlord twenty four hour prior written notice thereof,
a copy of an insurance certificate for all workman which
Tenant brings to the site, an agreement to indemnify the
Landlord from any and all liability stemming from such
investigations, and an agreement to restore the premises to
its condition prior to any of the Tenant’s work. Should the
Tenant be dissatisfied with the results of its review, it may
terminate this agreement upon written notice to the Landlord,
on or before September 30, 1999.

	 	b)	 	Tenant expressly waives any and all structural or
physical inspection of the building contingencies it may have
had by executing this Lease.

	 	c)	 	Tenant shall have until September 30, 1999 to
secure any and all necessary permits for its use from the City
of Woburn and its related boards and commissions. Should the
Tenant be unable to secure the necessary permits by September
30, 1999 the Tenant, upon written notice to the Landlord on or
before September 30, 1999 shall be able to terminate this
Agreement, but agrees to forfeit half of the security deposit
paid herein, as consideration for taking the Property off the
market during the Tenant’s due diligence period.

	 	d)	 	Should the Tenant seek to terminate this Lease,
and complies with the terms of subsection a) of this
paragraph, for environmental concerns, then the Tenant upon
written notification to the Landlord on or before September
30, 1999, after submitting a copy of its environmental report
to the Landlord, shall be untitled to a full refund of all
deposits hereunder, and this Agreement shall be void without
recourse to the parties.

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SECTION 4

RENT

     4.1 Rent. Commencing on the Lease Commencement Date, Tenant covenants and
agrees to pay to Landlord in lawful money of the United States of America,
during each lease year, an annual rental per the following schedule:

	 	 	 	 	 
	YEAR 1

	 	15,500.00/monthly
	 	$186,000.00 annually
	YEAR 2

	 	16,145.83/monthly
	 	$193,750.00 annually
	YEAR 3

	 	16,791.67/monthly
	 	$201,500.00 annually
	YEAR 4

	 	17,437.50/monthly
	 	$209,250.00 annually
	YEAR 5

	 	18,083.33/monthly
	 	$217,000.00 annually

The Rent shall be payable in equal monthly installments, in advance on or
before the first day of each and every calendar month of the Term of this
Lease. The Rent shall be paid in addition to and over and above all other
payments to be made by Tenant herein. The first lease year shall be a full
year commencing on the Lease Commencement Date and each following lease year
shall be an annual period commencing on the anniversary date of the Lease
Commencement Date. Appropriate proration shall be made if the Lease
Commencement Date is not on the first day of a calendar month, or if the date
of termination of the lease is not on the last day of a calendar month.

No payment of rent by Tenant shall be deemed late unless Landlord provides
Tenant ten (10) days written notice that the amount remains due and
outstanding. Late fees not to exceed 1.5% of the amount due for each month,
may be assessed by Landlord beginning the fifteenth day after the amount is due
provided the ten day written notice has been given by Landlord.

     4.2 Taxes.

          (a) Tenant shall be responsible for the payment of all real property taxes
and assessments (“Real Estate Taxes”) levied against the Premises by any
governmental or quasi-governmental authority, which are due and payable during
the Term hereof except as set forth herein. For purposes of this Lease, “Real
Estate Taxes” shall include any and all public charges against the Premises.
Real Estate Taxes shall include any taxes, assessments, surcharges, or service
or other fees of a nature not presently in effect which shall hereinafter be
levied on the Premises as a result of the use, ownership or operation of the
Premises or for any other reason, whether in lieu of or in addition to any
current real estate taxes and assessments. Any special assessments will be
amortized over the maximum period allowed by law or applicable tax rules,
whichever is longer, and Real Estate Taxes will include only the prorated and,
amortized amount, which becomes due during the Term hereof. Real Estate Taxes
shall exclude any income, excess profits, single business, inheritance,
succession, transfer, franchise, capital or other tax assessments upon Landlord
or, Landlord’s interest in the Premises.

          (b) Tenant shall remit all payments for Real Estate Taxes directly to the
taxing or assessing authority unless Landlord has paid the Real Estate Taxes to
avoid interest or penalties accruing thereon, in which event the Real Estate
Taxes shall be immediately due and

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payable to Landlord. Upon receipt of all tax bills and assessment bills
attributed to any calendar year during the Term hereof, Landlord shall furnish
Tenant with a copy of the tax bill or assessment bill upon receipt so as to
allow Tenant to take advantage of the maximum payment discount available, if
Tenant so desires. Tenant shall provide written proof of payment of Real
Estate Taxes at the time such payments are made.

          (c) Tenant will have the right to contest at its sole expense, the amount
or validity, in whole or in part, of any tax that Tenant is required to pay, in
whole or in part, by appropriate proceedings diligently conducted in good
faith, only after paying such tax or posting such security that Landlord
reasonably requires in order to protect the Premises against loss or
forfeiture. Upon the conclusion of any such protest proceedings, Tenant will
pay its share of the tax, as finally determined, in accordance with this Lease,
the payment of which tax may have been deferred during the prosecution of the
proceedings, together with any costs, fees, interest, penalties, or other
related liabilities. Landlord will not be required to join in any contest or
proceedings unless the provisions of any law or regulations then in effect
require that the proceedings be brought by or in the name of Landlord. In that
event, Landlord will join in the proceedings or permit them to be brought in
its name; however, Landlord will not be subjected to any liability for the
payment of any costs or expenses in connection with any contest or proceedings,
including but not limited to reasonable attorney’s fees and other reasonable
professional fees and Tenant will indemnify Landlord against and save Landlord
harmless from any such costs and expenses in this regard.

     4.3 Services and Utilities.

          (a) Tenant agrees that Landlord shall act be liable for failure to supply
any heating, air conditioning, electrical, janitorial, lighting or other
services. In the event of any interruption, reduction or discontinuance of
services (either temporarily or permanently), Landlord shall not be liable for
damages to persons or property as a result thereof, nor shall the occurrence of
any such event in any way be construed as an eviction of Tenant.

          (b) Tenant shall pay for all water, gas, heat, light, power, telephone,
trash disposal, building and liability insurance and other utilities and
services supplied to the Premises, together with any taxes thereon.

SECTION 5

USE; COMPLIANCE WITH LAWS; MAINTENANCE AND REPAIRS

     5.1 Use of Premises. Tenant shall have the right to use the Premises for
the purpose of the operation of an equipment rental, leasing and sales facility
and any related uses including, but not limited to, the business of renting,
selling, leasing, distributing, servicing or repairing new or used equipment,
spare parts and related supplies to industrial, manufacturing, and construction
customers, and/or, after obtaining Landlord’s prior written consent, which
consent shall not be unreasonably withheld or delayed, for any other lawful
purpose, all uses of the Premises being subject, however, to all applicable
laws. Notwithstanding the foregoing, Tenant shall not use or occupy the
Premises in any manner or for any purpose which voids or makes voidable any
insurance covering any portion of the Premises. Tenant shall not commit waste
on the Premises and shall not use the Premises for any unlawful or improper
purpose or in violation

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of any certificate of occupancy or for any purpose which may constitute a
nuisance, public or private, nor suffer any dangerous article to be brought on
the Premises without permits if permits are required and unless safeguarded as
required by law.

     5.2 Compliance with Laws. Tenant shall reasonably, promptly and
effectively comply with all applicable and lawful statutes, regulations, rules,
ordinances, orders and requirements of any public official or agency having
jurisdiction in respect of the Premises and Tenant’s specific use thereof
(herein referred to as governmental authorities). Landlord shall promptly give
notice to Tenant of any written notice in respect of the Premises from
governmental authorities. Tenant may, in good faith, and at its sole expense
dispute the validity of any complaint or action taken pursuant to or under
color of any of the foregoing, defend against the same, and in good faith
diligently conduct any necessary proceedings to prevent and avoid any adverse
consequence of the same. Tenant agrees that any such contest shall be
prosecuted to a final conclusion as speedily as possible, and Tenant will hold
Landlord completely harmless with respect to any actions taken by any
governmental authorities with respect thereto.

     5.3 Maintenance and Repairs by Tenant. Except as otherwise provided in
Section 5.4 below, throughout the Term of this lease Tenant shall, at Tenant’s
sole cost and expense, keep the Premises and all improvements (if any) in good
order, condition and repair and shall make or cause to be made all repairs to
correct any damage thereto.

     5.4 Maintenance, Repair and Replacement by Landlord. Tenant shall be
responsible for the maintenance, repair and replacement of (a) any structural
components including, without limitation, the roof, roof membrane, load bearing
walls and floor slabs and masonry walls and foundations, (b) the plumbing
system, (c) the electrical system, (d) the utility lines and connections to the
Premises, and (e) the sprinkler mains, if any. Further, Tenant shall be
responsible for the replacement, maintenance and repair of the heating,
ventilation, and air conditioning system.

Tenant shall reasonably, promptly and effectively comply, with all applicable
laws, ordinances, regulations and rules of any public authority relating to the
Premises

     5.5 Access; Inspection by Landlord. Landlord and its agents shall have
the right at all reasonable times during the Term to enter the Premises for the
purpose of inspecting the same, to show the Premises to prospective purchasers
and lenders, to place “For Sale” signs thereon and, during the last 180 days of
the Term, to show the Premises to prospective tenants and to place “For Rent”
signs thereon. Landlord agrees not to interfere with Tenant’s operation of the
Premises during any such inspection and any signage placed on the Premises by
Landlord shall not interfere with any of Tenant’s signage or displays.

SECTION 6

ALTERATIONS; LIENS; SIGNAGE

     6.1 Alterations. Tenant shall not make any structural or non-structural
alterations in the Premises without Landlord’s prior written consent, not to be
unreasonably withheld or delayed, without Landlord’s consent; provided such
alterations are made without cost to

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Landlord and provided further, that (a) no such alterations shall lessen
the fair market value of the Premises, and (b) all alterations, additions or
improvements shall be constructed in a workmanlike manner.

     6.2 Liens. All persons are put on notice of the fact that the Tenant
under no circumstances shall have the power to subject the interest of the Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services or materials to the Premises upon the request or order of the Tenant
or any person claiming under, by or through the Tenant, must look wholly to the
interest of the Tenant and not to that of the Landlord. Tenant covenants and
agrees with Landlord that Tenant will not permit or suffer to be filed or
claimed against the interest of the Landlord in the Premises during the
continuance of this Lease any lien or liens of any kind by any person claiming
under, by, through or against the Tenant; and if any such lien is claimed or
filed, it shall be the duty of the Tenant, without regard to the validity of
such lien, within thirty (30) days after the claim of lien or suit claiming a
lien has been filed, to cause the Premises to be released from such claim,
either through payment or through bonding with corporate surety or through
deposit into court, pursuant to statute, of the necessary sums of money, or in
any other way that will effect the release of the Landlord’s interest in the
Premises from such claim

     6.3 Signage. Notwithstanding; anything to the contrary set forth in this
Lease, Tenant shall have the absolute right to install such signage on the
Premises as Tenant may deem necessary or appropriate, subject to appropriate
governmental approvals with which Tenant shall comply at its sole expense.
Landlord agrees to fully cooperate with Tenant, at Tenant’s expense, is filing
any required signage application, permit and/or variance for said signage or
with respect to the Premises generally.

SECTION 7

INSURANCE

     7.1 Types of Insurance. Tenant shall, as its own cost and expense, carry
the following insurance in respect of the Premises and improvements: (evidence
thereof shall be provided to the Landlord at the execution hereof),

          (a) Comprehensive public liability insurance in an amount not less than
$2,000,000.00 combined bodily injury and property damage liability.

          (b) With respect to improvements (if any), insurance against; loss or
damage by all risks including fire and other risks covered by fire insurance
with extended coverage endorsements in an amount of the full insurable
replacement value of such improvements (exclusive of cost of excavation,
foundation, and footings below the ground floor and without deduction for
depreciation) and in amounts sufficient to prevent Landlord or Tenant from
becoming a co-insurer under such policies of insurance.

     7.2 Provisions Applicable to All Insurance. With respect to all insurance
required to be maintained hereunder by Tenant:

Page 127

 

          (a) Each such policy shall name Landlord, Tenant and any mortgagee as
insured as their interests appear and shall contain a Standard Mortgagee Clause
reasonably satisfactory to Landlord.

          (b) Tenant shall, at Tenant’s sole cost and expense, observe and comply
with all policies of insurance in force with respect to the Premises and
improvements.

          (c) Upon Landlord’s request, Tenant shall send to Landlord certificates of
insurance or receipts or other evidence satisfactory to Landlord showing the
payments of all premiums and other charges due thereon.

     7.3 Landlord’s Right to Obtain Insurance. If Tenant shall fail to
maintain any such insurance required hereunder, Landlord may, at Landlord’s
election, after ten (10) days written notice to Tenant, procure the same and
make demand for immediate payment thereof adding the premium cost to the
monthly installment of rental next due, it being hereby expressly covenanted
and agreed that payment by Landlord of any such premium shall not be deemed to
waive or release the obligation of Tenant to make payment thereof. Tenant’s
failure to either procure or maintain the insurance required hereunder or to
reimburse Landlord, after thirty (30) days written notice from Landlord to
Tenant, shall constitute a default by Tenant under this Lease.

     7.4 Use of Insurance Proceeds. Any insurance proceeds recovered by reason
of damage to or destruction of improvements on the Premises shall, be made
available to Tenant and must be used to repair, restore or replace the
improvements so damaged or destroyed with any excess proceeds made available to
Tenant. Subject to any documents previously executed with Landlord’s lender.

     7.5 Damage or Destruction. If the improvements on the Premises are
damaged to the extent of fifty (50%) percent or more of their insurable value,
Tenant may, in its sole discretion, elect (a) to repair or restore the
improvements, (b) to construct new improvements. If Tenant elects to repair or
restore the improvements or construct new improvements, it shall do so promptly
and shall receive no abatement of rent during such repair period, but in no
event shall. Tenant’s repair, restoration or reconstruction exceed one hundred
eighty (180) days.

     7.6 Subrogation. Landlord and Tenant shall each obtain from their
respective insurers under all policies of fire, theft, public liability,
workers’ compensation and other insurance maintained by either of them at any
time during the Term hereof insuring or covering the Premises, a waiver of all
rights of subrogation which the insurer of the party might otherwise have, if
at all, against the other party.

SECTION 8

EMINENT DOMAIN

     If any portion of the Premises which materially affects Tenant’s ability
to continue to use the remainder thereof for the purposes set forth herein, or
which renders the Premises untenantable, is taken by right of eminent domain or
by condemnation, or is conveyed in lieu of any such taking, then this Lease may
be terminated at the option of Tenant. Such option shall be exercised by
Tenant giving notice to Landlord of such termination within thirty (30) days
after such taking or conveyance, whereupon this Lease shall forthwith terminate
and the Rent shall be

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duly apportioned as of the date of such taking or conveyance. Upon such
termination, Tenant shall surrender to Landlord the Premises and all of
Tenant’s interest therein under this Lease, and Landlord may re-enter and take
possession of the Premises or remove Tenant therefrom. If any portion of the
Premises is taken which does not materially affect Tenant’s right to use the
remainder of the Premises for the purposes set forth herein, this Lease shall
continue in full force and effect, and Landlord shall promptly perform any
repair or restoration work required to restore the Premises, insofar as
possible, to its former condition, and the rental owing hereunder shall be
adjusted, if necessary, in such just manner and proportion as the part so taken
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. In the event of taking or conveyance as described herein,
Landlord shall receive the award or consideration for the lands and
improvements so taken; provided, however, that Landlord shall have no interest
in any award made for Tenant’s loss of business or value of its leasehold
interest or for the taking of Tenant’s fixtures or property, or for Tenant’s
relocation expenses. Landlord and Tenant shall cooperate with one another in
making claims for condemnation awards.

SECTION 9

ASSIGNMENT AND SUBLETTING; ATTORNMENT; TENANT FINANCING

     9.1 Assignment by Landlord. At any time, Landlord may sell its interest
in the Premises or assign this Lease or Landlord’s reversion hereunder; either
absolutely or as security for a loan, without the necessity of obtaining
Tenant’s consent or permission, but any such sale or assignment shall be at all
times subject to this Lease and the rights of Tenant hereunder.

     9.2 Assignment and Subletting by Tenant. Tenant shall have the right to
assign, sublet or otherwise transfer its interest in this Lease and is rights
hereunder to any entity or person with Landlord’s prior written consent, which
shall not be unreasonably withheld, conditioned or delayed.

Tenant may assign, sublet or otherwise transfer its interest in this Lease
without Landlord’s consent, written or otherwise, to any (i) parent, subsidiary
or affiliate of Tenant, or to a corporation or other business entity with which
Tenant may merge, amalgamate or consolidate, or (ii) entity in which the
Premises is intended to be leased back by such entity to Tenant or any parent,
subsidiary or affiliate of Tenant, or to a corporation or other business entity
with which Tenant may merge, amalgamate or consolidate. Notwithstanding any
assignment of the Lease pursuant to the preceding two (2) sentences Tenant
shall not be released from liability hereunder so long as the Lease is not
modified or amended in any respect without the prior written approval of
Tenant. This Lease contains no provision restricting, purporting to restrict
of referring in any manner to a change in control or change in stockholders,
directors, management or organization of Tenant, or any subsidiary, affiliate
or parent of Tenant or, to the issuance, sale, purchase, public offering,
disposition or recapitalization of the capital stock of Tenant, or any
subsidiary, affiliate or parent of Tenant.

     9.3 Attornment. Any assignee of Landlord or Tenant hereby agrees to
attorn to the Tenant or Landlord, respectively, as the case may be.

     9.4 Tenant Financing. Tenant shall have the absolute right from time to
time during the Term hereof and without Landlord’s further approval, written or
otherwise, to grant and

Page 129

 

assign a mortgage or other security interest in Tenant’s interest in this
Lease and all of Tenant’s property located on or used in connection with the
Premises to Tenant’s lenders in connection with Tenant’s financing arrangements
provided that no such mortgage or other security interest shall in any respect
prevent the Landlord from pursuing each of its rights and remedies under this
Lease. Landlord agrees to execute such confirmation certificates and other
documents (except amendments to this Lease unless Landlord hereafter consents)
as Tenant’s lenders may reasonably request in connection with any such
financing.

SECTION 10

DEFAULT AND REMEDIES

     10.1 Events of Default. If:

          (a) Tenant shall default in the due and punctual payment of the Rent,
insurance premiums, impositions or any other amounts or rents due under this
Lease or any part thereof, and such default shall continue for ten (10) days
after notice thereof in writing to Tenant; or

          (b) Tenant shall default in the performance or in compliance with any of
the other covenants, agreements or conditions contained in this Lease and such
default shall not be cured within thirty (30) days after notice thereof in
writing from Landlord to Tenant; or

          (c) Tenant shall file a petition in voluntary bankruptcy or under Chapter
7 or 11 of the United States Bankruptcy Code or any similar law, state or
federal, whether now or hereafter existing, or an answer admitting insolvency
or inability to pay its debts, or fail to obtain a vacation or stay of
involuntary proceedings within ninety (90) days after the involuntary petition
is filed; or

          (d) Tenant shall be adjudicated a bankrupt, or a trustee or receiver shall
be appointed for Tenant or for all of its property or the major part thereof in
any involuntary proceedings, or any court shall have taken jurisdiction of the
property of Tenant or the majority part thereof in any involuntary proceeding
for reorganization, dissolution, liquidation or winding up of Tenant, and such
trustee or receiver shall not be discharged or such jurisdiction relinquished
or vacated or stayed on appeal or otherwise within ninety (90) days;

          (e) Tenant shall make an assignment for the benefit of its creditors;

          (f) the unauthorized assignment or subletting of all or any portion of the
Premises; or

          (g) the occurrence of uninsured material damage to the Premises due to the
negligence, carelessness or willful misconduct of Tenant or a person within
tenant’s control.

then and in any such event referred to in clauses (a), (b), (c), (d) or (e)
above Landlord shall have the remedies with respect to the Premises as set
forth below.

     10.2 Landlord’s Remedies Upon Default. Upon the occurrence of an Event of
Default by Tenant, then Landlord shall be entitled to the following remedies:

Page 130

 

          (a) Terminate this Lease by giving written notice of termination to
Tenant, in which event Tenant shall immediately surrender the Premises to
Landlord. If Tenant fails to so surrender the Premises, then Landlord may,
without prejudice to any other remedy it has for possession of the Premises or
arrearages in rent or other damages, re-enter and take possession of the
Premises without trespass and expel or remove Tenant and any other person
occupying the Premises or any part thereof, in accordance with
applicable law;
or

          (b) Landlord may re-enter and take possession of the Premises without
terminating the Lease in accordance with applicable law, and relet the Premises
and apply the Rent received to the account of Tenant. In the event Landlord so
re-enters and takes possession of the Premises as set forth above, Landlord
agrees to use reasonable efforts to relet the Premises for a commercially
reasonable rate at the time of such reletting. No reletting by Landlord is
considered to be for Landlord’s own account unless Landlord has notified Tenant
in writing that this Lease has been terminated. In addition, no such reletting
is to be considered an acceptance of Tenant’s surrender of the Premises unless
Landlord so notifies Tenant in writing.

          (c) In the event that Tenant shall be in default in the payment of Rent
for ninety (90) consecutive days, Landlord shall have the right to accelerate
the Rent remaining during the then existing Term (less any amounts received by
Landlord in mitigation thereof), which sum shall be discounted to present value
utilizing the United States Treasury Bill rate (at the date of such
acceleration) having a maturity comparable to the remaining Term of the Lease
to the nearest full calendar year.

          (d) Tenant shall be and remain liable for rent at the rate herein before
reserved, and Landlord may, at its discretion, re-let the Premises at the risk
of Tenant who for the residue of the term hereof and for such further time as
said term shall have been extended, if at all, shall remain responsible for the
rent and charges herein reserved and shall be credited with such
amounts only as
shall be actually realized by Landlord.

     10.3 Mitigation of Damages. In the event that a right of action by
Landlord against Tenant arises under this Lease, Landlord shall attempt to
mitigate damages by using commercially reasonable efforts to seek to relet the
Premises.

     10.4 Landlord’s Default. The failure of Landlord to perform any covenant,
condition, agreement or provision contained herein within thirty (30) days
after receipt by Landlord of written notice of such failure shall constitute an
“Event of Default” hereunder.

SECTION 11

OTHER PROVISIONS

     11.1 Remedies to Be Cumulative. No remedy conferred upon or reserved to
Landlord or Tenant shall be considered exclusive of any other remedy, but the
same shall be cumulative and shall be in addition to every other remedy given
under this Lease or now or hereafter existing at common law, or by statute.
Every power and remedy given Landlord or Tenant may be exercised from time to
time and as often as occasion may arise or may be deemed expedient.

     11.2 Notices. All notices, requests, demands or other communications
which may be or are required or permitted to be served or given hereunder (in
this Section collectively called

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“Notices”) shall be in writing and shall be sent by registered or
certified mail, return receipt requested, postage prepaid, or by a nationally
recognized overnight delivery service to Tenant or to Landlord at the address
set forth below. Either party may, by Notice given as aforesaid, change its
address for all subsequent Notices. Notices shall be deemed given when
received in accordance herewith.

	 	 	 	 	 	 	 
	If to Landlord:

	 	195 New Boston Street LLC
	 	If to Tenant:
	 	TREC, LLC
	

	 	Richard Mattivello
	 	 	 	800 Hartford Turnpike
	

	 	195 New Boston Street
	 	 	 	Shrewbury, MA 01545
	

	 	Woburn, MA	 	 	 	 
	 
	 	 	 	 	 	 
	With a copy to:

	 	Attorney Michael J. Burkin
	 	with a copy to:
	 	Robert Queler, Esq.
	

	 	318 Bear Hill Road, Suite 1
	 	 	 	865 Providence Highway
	

	 	Waltham, MA 02451
	 	 	 	Dedham, MA 020026-6825

     11.3 Broker. Landlord and Tenant each warrant to the other that Mark St.
Jean of Phoenix Corporate Services and Blue Chip Properties have been employed
as a Brokers with respect to this Lease and each agrees to indemnify and hold
the other harmless from any claims by any other broker or agent claiming
compensation in respect of this Lease alleging an agreement by Landlord or
Tenant, as the case may be. The Landlord shall be responsible for the payment
at lease commencement of all commissions due for this transaction at the rate
of 6% of the annual lease rate for the first year of the lease term, and 3% of
the annual lease rate for the second year of the lease term.

In the event the Tenant does not purchase the property after the completion of
the second year of the lease term, Landlord agrees to pay a fee to the Brokers
listed above, equal to 3% of the annual lease rate for every year thereafter
that the Tenant leases the Premises, until the Tenant exercises its option to
purchase.

     11.4 Waiver of Jury Trial. Landlord and Tenant waive trial by jury in any
action or proceeding brought by either of the parties hereto against the other
or on any counterclaim in respect thereof on any matters whatsoever arising out
of or in any way connected with the Lease, the relationship of Landlord and
Tenant, Tenant’s use or occupancy of the Premises and/or any claim of injury or
damage under this Lease.

     11.5 No Partnership. Landlord shall not be construed or held to be a
partner or associate of Tenant in the conduct of Tenant’s business, it being
expressly understood and agreed that the relationship between the parties
hereto is and shall at all times remain, during the lease term, that of
Landlord and Tenant.

     11.6 Non-Waiver. No failure by Landlord or Tenant to insist upon the
performance of any covenant, agreement, provision or condition of this Lease or
to exercise any right or remedy, consequent upon a default hereunder, and no
acceptance of full or partial rent during the continuance of any such default,
shall constitute a waiver of any such default or of such covenant, agreement,
provision, or condition. No waiver of any default shall affect or alter this
Lease, but each and every covenant, agreement, provision and condition of this
Lease shall

Page 132

 

continue in full force and effect with respect to any other then existing
or subsequent default hereunder.

     11.7 Gender and Number. Words of any gender used in this Lease shall be
held to include another gender and words in the singular number shall be held
to include the plural and words in the plural shall be held to include the
singular, when the sense requires.

     11.8 Captions. The captions, titles and article, section or paragraph
headings are inserted only for convenience and they are in no way to be
construed as a part of this Lease or as a limitation on the scope of the
particular provisions to which they refer.

     11.9 Governing Law. This Lease is made pursuant to, and shall be governed
by, and construed in accordance with, the laws of the State in which the
Premises are located.

     11.10 Successors and Assigns. The covenants, conditions and agreements in
this Lease shall bind and inure to the benefit of Landlord and Tenant and,
except as otherwise provided in this Lease, their respective heirs, devisees,
executors, administrators, legal representatives, distributees, successors and
assigns.

     11.11 Amendment. Any agreement hereafter made shall be ineffective to
change, modify or discharge this Lease in whole or in part unless such
agreement is in writing and signed by the party against whom enforcement of the
change, modification or discharge is sought.

     11.12 Short Form Lease. The parties agree to execute a short form
Memorandum of Lease in the form of Exhibit “B” attached hereto for recording
containing the names of the parties, a description of the Premises, the Term of
the Lease and such other provisions as the parties may deem appropriate.

     11.13 Lien. Landlord hereby waives any statutory or common law rights it
may have granting Landlord a lien or the right to foreclose on any property of
Tenant, including without limitation, any of Tenant’s personal property and/or
the tenant improvements installed in the Premises by Tenant.

     11.14 Representations and Warranties. Notwithstanding anything in this
Lease to the contrary, Landlord represents and warrants to Tenant that no
mortgages, deeds of trusts or liens or encumbrances of any nature presently
encumber Landlord’s title to the Premises except as set forth on Exhibit “C”,
attached hereto and incorporated herein by this reference; that none of said
encumbrances shall prohibit or impede the use of the Premises as contemplated
herein or create any financial obligation on the part of Tenant except as
expressly set forth herein; that Landlord has the full right, power and
authority to enter into this Lease and make the agreements contained herein on
its part to be performed; that the execution, delivery and performance of this
Lease has been duly authorized by Landlord; that the Lease constitutes the
valid and binding obligation of Landlord, enforceable in accordance with its
terms subject to applicable bankruptcy, insolvency, reorganization, moratorium
and other laws affecting the enforceability of creditors rights generally and
the application of equitable principles affecting the availability of remedies
in the nature of specific enforcement.

Page 133

 

     11.15 Subordination and Attornment. This Lease shall be subordinate to
any mortgage or deed of trust (now or hereafter placed upon the Premises), and
to any and all advances made under any mortgage or deed of trust and to all
renewals, modifications, consolidations, replacements and extensions thereof.
Tenant agrees to execute such documents as may be further required to evidence
such subordination or to make this Lease prior to the lien of any mortgage or
deed of trust, as the case may be, subject to the following sentence.
Notwithstanding the foregoing, Tenant shall only be obligated to subordinate
its leasehold interest to any mortgage, deed of trust, or ground lease now or
hereafter placed upon the Premises if the holder of such mortgage or deed of
trust or the Landlord under such ground lease delivers to Tenant a
non-disturbance agreement substantially in accordance with the form attached
hereto as Exhibit “E” (the “Non-Disturbance Agreement”). Upon the mutual
execution of this Lease, Landlord shall make best efforts to deliver (subject
to Landlord’s lender approval) to Tenant a Non-Disturbance Agreement executed
by Landlord and any present lender having a deed of trust or mortgage on the
Premises.

     11.16 Hazardous Materials. Tenant shall not do anything throughout the
Term of this Lease and any extension thereof that will violate any
Environmental Laws (defined below). Tenant shall indemnify, defend and hold
harmless Landlord, its directors, officers, employees, and agents and assignees
or successors to Landlord’s interest in the Premises, their
directors,
officers, employees, and agents from and against any and all losses, claims,
suits, damages, judgments, penalties and liability including, without
limitation, (i) all out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or indirectly
arising out of the presence, use, generation, storage, release or threatened
release or disposal of Hazardous Materials by Tenant, its agents and
contractors on, under or in the Premises after the Lease Commencement Date by
or due to the actions or omissions of Tenant, its agents, contractors and
invitees and (iii) the cost of and the obligation to perform any required or
necessary repair, clean-up, investigation, removal, remediation or abatement,
and the preparation of any closure or other required plans, whether such action
is required or necessary following the commencement of the initial lease term,
to the full extent that such action is attributable, directly or indirectly, to
the presence, use, generation, storage, release, threatened release or disposal
of Hazardous Materials on, under or in the Premises due to the acts or
omissions of Tenant, its agents, contractors and invitees. This
indemnification obligation of Tenant does not extend to any repair, clean-up,
investigation, removal, remediation or abatement of Hazardous Materials (i)
which were present on, under or in the Premises before or on the Lease
Commencement Date or (ii) for which Landlord is otherwise obligated to
indemnify Tenant pursuant to this Paragraph 11.16.

     Landlord and Tenant shall mutually indemnify, defend and hold harmless
each others directors, officers, employees, and agents, and any assignees,
subtenants or successors to Tenant’s interest in the Premises, their directors,
officers, employees, and agents, from and against any and all losses, claims,
suits, damages, judgments, penalties, and liability including, without
limitation, all (i) out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or indirectly
arising out of the presence, use, generation, storage, release, threatened
release or disposal of Hazardous Materials on, under or in the Premises before
or after the Lease Commencement Date by or due to the actions or omissions of
Landlord and (iii) the cost of and the obligation to perform any required or
necessary repair, cleanup, investigation, removal, remediation or abatement and
the preparation of any closure or

Page 134

 

other required plans, whether such action is required or necessary prior
to or following the commencement of the initial lease term, to the full extent
that such action is attributable, directly or indirectly, to the presence, use,
generation, storage, release, threatened release, or disposal of Hazardous
Materials on, under or in the Premises due to the actions or omissions of
Landlord.

     For the purpose of this Paragraph 11.16, Hazardous Materials shall include
but not be limited to substances defined as “hazardous substances,” “hazardous
materials,” or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801 et
seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et
seq.; judicial decisions; and any and all state, local or federal laws, rules,
regulations and orders pertaining to environmental, public health or welfare
matters, as the same may be amended or supplemented from time to time
(collectively, the “Environmental Laws”). Any terms mentioned in this Lease
which are defined in any applicable Environmental Laws shall have the meanings
ascribed to such terms in such laws, provided, however, that if any such laws
are amended so as to broaden any term defined therein, such broader meaning
shall apply subsequent to the effective date of such amendment.

     The provisions of this Paragraph 11.16 shall survive the expiration or
sooner termination of this Lease.

     11.17 Permitted Operations. The Tenant shall determine to its
satisfaction, during its due diligence period, whether the Premises can be used
for its intended purpose.

     11.18 Attorney’s Fees. In the event that at any time during the Term of
this Lease either Landlord or Tenant shall institute any action or proceeding
against the other relating to the provisions of this Lease, or any default
hereunder, the unsuccessful party in such action or proceeding agrees to
reimburse the successful party for the reasonable expenses of attorney’s fees
and paralegal fees and disbursements incurred therein by the successful party.
Such reimbursement shall include all legal expenses incurred prior to trial, at
trial and at all levels of appeal and post judgment proceedings.

     11.19 Counterparts. This Lease may be executed in any number of
counterparts, each of which shall be an original but all of which together
shall constitute one and the same instrument. A telecopy signature of any
party shall be considered to have the same binding legal effect as an original
signature.

Page 135

 

SECTION 12

TENANT’S OPTION TO PURCHASE

     Tenant
shall have the right to purchase the Premises at any time after the
second lease year but before the end of the fifth (5) lease year upon giving
notice in writing to Landlord (the “Purchase Notice”) at least ninety (90) days
of its intention to purchase the Premises. If Tenant exercises this Option to
Purchase, then Tenant shall purchase and Landlord shall sell the Premises upon
the terms and conditions set forth on the Terms for Sale and Purchase attached
hereto as Exhibit “D” (the “Purchase Terms”). Upon the closing of title
pursuant to the above-mentioned Purchase Terms, this Lease shall terminate and
end. The purchase price for the Premises (“Purchase Price”) shall be $1,810,000.00 dollars. Should the
Seller be unable to provide good, clear, marketable title per Massachusetts
Conveyancers Standards after receipt of Tenant’s intention to exercise this
option, than the rent hereunder shall abate to interest only payable per the
following formula: simple interest only at the Fleet Bank prime rate as
published in the Boston Globe on the amount of $1,800,000 dollars, until such
time as the Landlord can convey good title. The option to purchase shall
expire without notice after the expiration of the fifth year of the lease.

Page 136

 

     IN WITNESS WHEREOF, on the day and year first above written, Landlord and
Tenant have duly executed this Lease under seal as their free act and deed.

	 	 	 
	Signed, Sealed and Delivered

In the Presence of:

	 	LANDLORD:

195 New Boston Street, LLC
	 
	 	 
	

PRINT NAME OF WITNESS BELOW:
	 	 
	

	 	By:
	

	 	
 
	

	 	Print Name:
	

	 	
 
	

	 	Title:
	

	 	
 
	 
	 	 
	Signed, Sealed and Delivered

In the Presence of:

	 	TENANT:
	 
	 	 
	

	 	TREC, LLC
	 
	 	 
	

PRINT NAME OF WITNESS BELOW:
	 	 
	

	 	By:
	

	 	
 
	

	 	Print Name:
	

	 	
 
	

	 	Title:
	

	 	
 
	 
	 	 
	

	 	Guarantor:
	 
	 	 
	

	 	By:
	

	 	
 
	

	 	Print Name:
	

	 	
 
	

	 	Title:
	

	 	
 
	 
	 	 

EXHIBIT “A”

DESCRIPTION OF PREMISES

     The Premises to which reference is made in the foregoing and attached
Lease is hereby described as all that lot, piece or parcel of land lying, being
and situated in the County of Middlesex, State of Massachusetts, more
particularly described as follows:

Page 137

 

FIDUCIARY DEED

     We, Virginia M. Winn, Executrix of the Will of Francis X. Winn (See
Middlesex Probate Court Docket No. 554642), and Jeanne G. Winn, Executrix of
the Will of Robert M. Winn (See Middlesex Probate Court Docket No. 85P6799E) by
power contained in said Wills and every other power, for consideration paid of
One Million ($1,000,000.00) Dollars, grant to 195 New Boston Street LLC, a
Massachusetts limited liability company with a usual place of business at 195
New Boston Street, Woburn, Massachusetts, that certain parcel of land with the
building and improvements located thereon, now known as and numbered 195 New
Boston Street, Woburn, Middlesex County, Massachusetts, bounded and described
as follows:

     Westerly by the easterly line of New Boston Street, five hundred
sixty-four and 07/100 feet;

     Northeasterly by lot 3 as shown on the plan hereinafter mentioned, six
hundred seventy one and 08/100 feet;

     Northeasterly again, four hundred ninety and 88/100 feet by land now or
formerly of the Boston and Maine Railroad; and

     Southerly, sixty-eight and 93/100 feet by land now or formerly of the
Boston and Maine Railroad; and

     Southwesterly and Southerly by land now or formerly of Stanislaw
Stefanowich, six hundred seventy-one and 34/100 feet.

     Said parcel is shown as lot 21 on said plan, (Plan No. 73121).

     All of said boundaries are determined by the Court to be located as shown
on a subdivision plan, as approved by the Court, filed in the Land Registration
Office, a copy of which is filed in the Registry of Deeds for the South
Registry District of Middlesex County in Registration Book 157, Page 35, with
Certificate 145815.

     The above described land is subject to easements as set forth in a grant
made by the Merrimac Chemical Company to the City of Woburn, dated August 9,
1915, duly recorded in Book 4015, Page 524

     The above described land is subject to a revocable license made by said
Merrimac Chemical Company to the Boston and Maine Railroad, dated November 4,
1924, duly recorded in Book 4791, Page 466; and said land is also subject to a
grant of easements in favor of the Boston and Lowell Railroad Corporation,
dated September 16, 1891, duly recorded in Book 2070, Page 427.

     The
above described land is subject to the flow of a natural water course
through the same as shown on said plan.

     The above described land is subject to the agreement set forth in Document
No. 454956.

     The above described land is subject to and has the benefit of the
restrictions more particularly set forth in Deed Documents Nos. 397266 and
454956.

Page 138

 

     The above described land is subject to a Grant of Easement from Robert M.
Winn. et al to the City of Woburn as set forth in Document No. 524494.

     The above described land is subject to an Order of Court approving plan
No. 7312-I delineating the sewer easement as set forth in Document No. 443648
and a relocation of the brook as affected by Document No. 484448.

     By this deed, all of the remaining land described in Certificate of Title
No. 126721 has been conveyed.

     For
grantors’ title, see Certificate of Title No. 126721 filed with the
Middlesex South Registry District of the Land Court in Registration Book 763,
Page 171.

     WITNESS our hands and seals this 7th day of December, 1998.

	 	 	 
	 

	 	

Virginia M. Winn, Executrix

of the Will of Francis X. Winn
	 
	 	 
	

	 	
 
	

	 	Jeanne G. Winn, Executrix

of the Will of Robert M. Winn

COMMONWEALTH OF MASSACHUSETTS

			
	Middlesex, ss
	 	December 7, 1998

     Then personally appeared the above-named Virginia M. Winn. Executrix as
aforesaid, and acknowledged the foregoing to be her free act and deed, before me

	 	 	 
	 

	 	
James R. Peluso, Notary Public

My Commission Expires: November 17, 2000

Page 139

 

EXHIBIT “B”

[MORTGAGE INSPECTION CERTIFICATE]

Page 140

 

EXHIBIT “B”

FORM OF MEMORANDUM OF LEASE

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

MEMORANDUM OF LEASE

(Woburn, Massachusetts)

     THIS MEMORANDUM OF LEASE by and between __________ a _____________________
_________________, the address of which is ______________________________
___________________ (hereinafter called “Landlord”), and NATIONSRENT USA, INC.,
a Delaware corporation, the address of which is 450 East Las Olas Boulevard,
Suite 1400, Fort Lauderdale, Florida 33301 (hereinafter called “Tenant”).

     Landlord has granted to Tenant a lease which includes, among others, the
following provisions:

     1. Date
of Lease: _______________ .

     2. Description of leased Premises: See Exhibit “A” attached hereto.

     3. Lease Commencement Date: _____________________.

     4. Term: Fifteen (15) Years.

     5. Renewal Options: Two (2) five (5) year renewal options.

     6. The Lease contains a right of first refusal and an option to purchase
both in favor of Tenant.

     7. The Lease contains the following provision:

Liens. All persons are put on notice of the fact that Tenant under no
circumstances shall have the power to subject the interest of Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of Tenant or any person
claiming under, by or through Tenant, must look wholly to the interest of
Tenant
and not to that of Landlord.

Tenant covenants and agrees with Landlord that Tenant will not permit or suffer
to be filed or claimed against the interest of Landlord in the Premises during
the continuance of this Lease, any lien or liens of any kind by any person
claiming under, by, through or against Tenant; and if any such lien is claimed
or filed, it shall be the duty of Tenant, within sixty (60) days after the
claim
of lien or suit claiming a lien has been filed, to cause the Premises to be
released from such claim, either through payment or through bonding with
corporate surety or through the deposit into court, pursuant to statute, of the
necessary sums of money, or in any other way that will effect the release of
Landlord’s interest in the Premises from such claim.

The purpose of this Memorandum of Lease is to give record notice of the Lease
and of the rights created thereby, all of which are hereby confirmed.

Page 141

 

     IN WITNESS WHEREOF the parties have executed this Memorandum of Lease as
of
the dates set forth in their respective acknowledgments.

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	 

 

 
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of

     ___, ____, by Bryan T. Rich, the Manager of _________, a _____________
_________________________. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 142

 

EXHIBIT “C”

TITLE EXCEPTIONS

None.

Page 143

 

EXHIBIT “D”

FORM OF NON-DISTURBANCE AGREEMENT

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT

(Woburn, Massachusetts)

     THIS SUBORDINATION NON-DISTURBANCE AND ATTORNMENT AGREEMENT (the
“Agreement”) is made and entered into this the day of , 2000, by NATIONSRENT
USA, INC., a Delaware corporation, the address of which is 450 East Las Olas
Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”), (“Lender”)
and
_________, a _______________________________________, the address of which is
__________________________________________________ (“Landlord”).

R E C I T A L S:

     WHEREAS, Landlord and Tenant executed a Lease dated as of _____________________
(the “Lease”), in favor of Tenant, a memorandum of which may be recorded
simultaneously herewith, covering Premises therein described located on a
parcel
of real estate, the legal description of which is attached hereto and
incorporated herein by this reference as Exhibit “A” (said parcel of real
estate
and the Premises being sometimes collectively referred to herein as the
“Property”); and

     WHEREAS, Landlord has executed a ___(the “Mortgage”) dated
___and recorded on ___at Book ___, Page
___, of the ___Records of ___County, State of
___in favor of Lender, payable upon the terms and conditions
described
therein; and

     WHEREAS, it is a condition to said loan that said Mortgage shall
unconditionally be and remain at all times a lien or charge upon the Property,
prior and superior to the Lease and to the leasehold estate created thereby;
and

     WHEREAS, the parties hereto desire to assure Tenant’s possession and
control of the Property under the Lease upon the terms and conditions therein
contained;

Page 144

 

     NOW, THEREFORE, for and in consideration of the mutual covenants and
premises herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged and confessed by the parties
hereto,
the parties hereto do hereby agree as follows:

A G R E E M E N T:

     l. The Lease is and shall be subject and subordinate to the Mortgage, and
to all renewals, modifications, consolidations, replacements and extensions
thereof, and to all future advances made thereunder.

     2. Should Lender become the owner of the Property, or should the Property
be sold by reason of foreclosure, or other proceedings brought to enforce the
Mortgage which encumbers the Property, or should the Property be transferred by
deed in lieu of foreclosure, or should any portion of the Property be sold
under
a trustee’s sale, the Lease shall continue in full force and effect as a direct
lease between the then owner of the Property covered by the Mortgage and
Tenant,
upon, and subject to, all of the terms, covenants and conditions of the Lease
for the balance of the Term thereof remaining, including any extensions therein
provided. Tenant does hereby agree to attorn to Lender or to any such owner as
its landlord, and Lender hereby agrees that it will accept such attornment.

     3. Notwithstanding any other provision of this Agreement, Lender shall not
be (a) liable for any default of any landlord under the Lease (including
Landlord), except that Lender agrees to cure any default of Landlord that is
continuing as of the date Lender forecloses the Property within thirty (30)
days
from the date Tenant delivers written notice to Lender of such continuing
default, unless such default is of such a nature to reasonably require more
than
thirty (30) days to cure and then Lender shall be permitted such additional
time
as is reasonably necessary to effect such cure, provided Landlord diligently
and
continuously proceeds to cure such default; (b) subject to any offsets or
defenses which have accrued prior to the date of foreclosure, unless Tenant
shall have delivered to Lender written notice of the default which gave rise to
such offset or defense and permitted Lender the same right to cure such default
as permitted Landlord under the Lease; (c) bound by any Rent that Tenant may
have paid under the Lease more than one month in advance; (d) bound by any
amendment or modification of the Lease hereafter made without Lender’s prior
written consent; (e) responsible for the return of any security deposit
delivered to Landlord under the Lease and not subsequently received by Lender.

     4. If Lender sends written notice to Tenant to direct its Rent payments
under the Lease to Lender instead of Landlord, then Tenant agrees to follow the
instructions set forth in such written instructions and deliver Rent payments
to
Lender; however, Landlord and Lender agree that Tenant shall be credited under
the Lease for any Rent payments sent to Lender pursuant to such written notice.

     5. All notices which may or are required to be sent under this Agreement
shall be in writing and shall be sent by first-class certified U.S. mail,
postage prepaid, return receipt requested, and sent to the party at the address
appearing below or such other address as any party shall hereafter inform the
other party by written notice given as set forth above:

	 	 	 
	If to Landlord:

	 	 

 

 
	 
	 	 
	with a copy to:

	 	 

 

 

Page 145

 

	 	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301

Attn: Jorge L. Martin, Vice President

of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	 

 

 

 
	 
	 	 
	Lender:

	 	

All notices delivered as set forth above shall be deemed effective three (3)
days from the date deposited in the U.S. mail.

     6. Said Mortgage shall not cover or encumber and shall not be construed as
subjecting in any manner to the lien thereof any of Tenant’s improvements or
trade fixtures, furniture, equipment or other personal property at any time
placed or installed in the Premises. In the event the Property or any part
thereof shall be taken for public purposes by condemnation or transfer in lieu
thereof or the same are damaged or destroyed, the rights of the parties to any
condemnation award or insurance proceeds shall be determined and controlled by
the applicable provisions of the Lease.

     7. This Agreement shall inure to the benefit of and be binding upon the
parties hereto, their successors in interest, heirs and assigns and any
subsequent owner of the Property secured by the Mortgage.

     8. Should any action or proceeding be commenced to enforce any of the
provisions of this Agreement or in connection with its meaning, the prevailing
party in such action shall be awarded, in addition to any other relief it may
obtain, its reasonable costs and expenses, not limited to taxable costs, and
reasonable attorney’s fees.

     9. Tenant shall not be enjoined as a party/defendant in any action or
proceeding which may be instituted or taken by reason or under any default by
Landlord in the performance of the terms, covenants, conditions and agreements
set forth in the Mortgage.

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above written.

	 	 	 
	WITNESSES:

	 	LENDER:
	

Print Name:

Print Name:

	 	

a 

company

By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

Page 146

 

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of ___,
a ___corporation, on behalf of the corporation. He/she is personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	 

 

 
	 
	 	 
	

Print Name:

	 	By: 

Name: 

Title: 

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of
___, ____, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 147

 

EXHIBIT “E”

TERMS FOR PURCHASE AND SALE

     If Tenant exercises the Option to Purchase contained in Section 12 of the
Lease, the closing of the transfer of the Premises shall be controlled by the
following provisions. Capitalized terms not defined herein shall have the
meaning given them in the Lease to which this Exhibit is attached.

	1.	 	PROPERTY DESCRIPTION:

	 	(a)	 	Premises: the property described on Exhibit “A” to the Lease.

	 	(b)	 	Personal Property: (“None” if blank).

	2.	 	PURCHASE PRICE: Landlord and Tenant agree to act reasonably and in good
faith to negotiate a Purchase Price for the Premises that will be equal to
the then current fair market value of the Premises. In the event the
parties are unable to reach an agreement with respect to the Purchase
Price
within fifteen (15) days of the Purchase Notice provided under Section 12
of the Lease between Landlord and Tenant, then either party may notify the
other of its intent to have the Purchase Price determined by appraisal.
Such notice must identify the appraiser retained to make such
determination, which appraiser must be engaged full time as a real estate
appraiser and must be a member of the American Institute of Real Estate
Appraisers. A copy of such appraiser’s report indicating the appraised
fair
	 
	 	 	market value of the Premises shall be delivered, upon receipt, to the
other
party. Such other parry shall then have thirty (30) days to retain a
second
appraiser to make a separate determination and to submit a separate report
indicating the fair market value of the Premises. Such second appraiser
must also be engaged full time as a real estate appraiser and must also be
a member of the American Institute of Real Estate Appraisers. A copy of
such second appraiser’s report shall be delivered, upon receipt, to the
other party. If the appraised fair market value of the Premises according
to such two (2) appraisal reports vary by twenty-five (25%) percent or
less, then the fair market values indicated in the two (2) reports shall
be
averaged and the value thus obtained, shall, for all purposes,
conclusively
fix and be the Purchase Price. If such values vary by more than
twenty-five
(25%) percent then such two (2) appraisers shall select a third appraiser,
similarly qualified, who shall determine the fair market value of the
Premises, such determination to be conclusive on the parties. If the two

Page 148

 

	 	 	(2) appraisers fail to appoint such third appraiser within thirty (30)
days
after delivery of the second appraiser’s report, the third appraiser shall
be appointed by the presiding judge of the state court of general
jurisdiction for the county in which the Premises are located, and such
third appraiser shall then individually determine the fair market value of
the Premises, such determination to be binding upon each of the parties.
It
is expressly agreed that the determination of the fair market value of the
Premises by a third appraiser (whether appointed by the prior two (2)
appraisers or such presiding judge) shall be a value that must be between
the values determined by the results of the prior two (2) appraisers, and
the submission of the dispute to such third appraiser shall so provide. It
is further expressly acknowledged, understood and agreed that such
appraisals shall determine the actual fair market value of the Premises
for
the purposes of determining the Purchase Price to be paid under the Option
to Purchase. The Appraisers should not consider the existence of the
Lease,
or the options to extend the Term or to purchase the Premises in arriving
at the fair market value of the Premises. The fair market value of the
Premises as determined by the above procedure shall be the Purchase Price
for the Premises. Each party shall pay all costs, fees and expenses of the
appraiser appointed by it, and fifty (50%) percent of the costs, fees and
expenses of the third appraiser, if any. The Closing Date of the sale and
purchase shall be extended as necessary to complete the procedure set
forth
above, and if extended, the Closing shall occur fifteen (15) days after
the
Purchase Price is finally determined. Notwithstanding any provision of
this
Exhibit E to the contrary, the parties hereto agree that the fair market
value shall not be less than the sum of (a) the purchase price paid by the
Landlord for the Premises prior to the commencement of the term of the
Lease and (b) the unreimbursed costs and expenses of improvements to the
Premises incurred by Landlord.

	3.	 	EFFECTIVE DATE: The date of Contract (“Effective-Date”) swill be the date
when the Tenant has delivered a Purchase Notice to the Landlord.

	4.	 	PAYMENT OF PURCHASE PRICE: The Purchase Price, subject to applicable
adjustments and prorations, shall be paid to Landlord on the Closing Date
by certified or cashier’s check or by wire transfer.

	5.	 	CLOSING DATE: This transaction shall be closed and the deed and other
closing papers delivered on the sixtieth (60) day after the Effective Date
unless modified by other provisions of these Terms for Purchase and Sale
(these “Purchase Terms”)

	6.	 	RESTRICTIONS; EASEMENTS; LIMITATIONS: Tenant shall take title subject to:
comprehensive land use plans, zoning, restrictions, prohibitions and other
requirements imposed by governmental authority; restrictions and matters
appearing on the plat or otherwise common to the subdivision; public
utility easements of record servicing the Premises; taxes for year of
closing and subsequent years; assumed mortgages identified in the Purchase
Notice, if any; provided that there exists at closing no violation of the
foregoing and none prevents use of the Premises for purposes identified in
Section 11.17 of the Lease.

	7.	 	OCCUPANCY: Landlord warrants that there are no parties in occupancy other
than Tenant and any party claiming under Tenant and Landlord shall deliver
sole occupancy of the Premises to Tenant at time of closing, except for
any
parties in possession under agreements with Tenant.

	8.	 	ASSIGNABILITY: Tenant may assign its rights under this agreement to the
same extent and in the same manner as provided in Section 9 of the Lease.

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	9.	 	EVIDENCE OF TITLE: Within twenty (20) days of receipt of a Purchase
Notice,
Landlord shall deliver to Tenant a copy of Landlord’s existing owner’s
title insurance policy and all endorsements thereto. Within thirty (30)
days after the Purchase Notice, Tenant at Tenant’s expense shall obtain a
title insurance commitment (with legible copies of instruments listed as
exceptions attached thereto) issued by a title insurer licensed in the
state where the Premises is located agreeing to issue Tenant, upon
recording of the deed to Tenant, an owner’s policy of title insurance in
the amount of the Purchase Price, insuring Tenant’s title to the Premises,
subject only to liens, encumbrances, exceptions or qualifications provided
in these Purchase Terms and those to be discharged by Landlord at or
before
closing. Landlord shall convey marketable title subject only to liens,
encumbrances, exceptions or qualifications provided in these Purchase
Terms. Marketable title shall be determined according to applicable law.
Tenant shall have thirty (30) days from date of receiving evidence of
title
to examine it. If title is found defective, Tenant shall within three (3)
days thereafter, notify Landlord in writing specifying defect(s). If the
defect(s) render title unmarketable, Landlord will have thirty (30) days
from receipt of notice to remove the defects, failing which Tenant shall,
within five (5) days after expiration of the thirty (30) day period,
deliver written notice to Landlord either: (1) extending the time for a
reasonable period not to exceed one hundred twenty (120) days within which
Landlord shall use diligent effort to remove the defects; or (2)
terminating Tenant’s exercise of the Option to Purchase the Premises. If
Tenant fails to so notify Landlord, Tenant shall be deemed to have
accepted
the title as it then is. Landlord shall, if title is found unmarketable,
use diligent effort to correct defect(s) in the title within the time
provided therefor. If Landlord is unable to timely correct the defects,
Tenant shall either waive the defects or terminate the exercise of the
Option to Purchase, thereby releasing Tenant and Landlord from all further
obligation under these Purchase Terms.

	10.	 	SURVEY: Tenant, at Tenant’s expense, within time allowed to deliver
evidence of title and to examine same, may have the Premises surveyed and
certified by a surveyor registered in the state where the Premises is
located. If survey discloses encroachment on the Premises or that
improvements located on the Premises encroach on setback lines, easements,
lands of others or violate any restrictions, covenants of these Purchase
Terms or applicable governmental regulation, the same shall constitute a
title defect.

	11.	 	INGRESS AND EGRESS: Landlord warrants and represents that there is ingress
and egress to the Premises sufficient for its intended use as described in
Section 11.17 of the Lease, title to which is in accordance with Section 9
of these Purchase Terms.

	12.	 	LIENS: Landlord shall furnish to Tenant at time of closing an affidavit
attesting to the absence, unless otherwise provided for herein, of any
financing statement, claims of lien or potential lienors arising as the
result of any action or inaction of Landlord and further attesting that
there have been no improvements or repairs to the Premises by Landlord for
ninety (90) days immediately preceding date of closing. If the Premises
has
been improved or repaired by Landlord within that time, Landlord shall
deliver releases or waivers of construction liens executed by all general
contractors, subcontractors, suppliers and materialmen in addition to
Landlord’s lien affidavit setting forth the names of all such general
contractors, subcontractors, suppliers and materialmen, further affirming
that all charges for improvements or repairs incurred by Landlord which
could serve as a basis for a construction lien or a claim for damages have
been paid or will be paid at closing of these Purchase Terms.

	13.	 	PLACE OF CLOSING: Closing shall be held in the county where the Premises
are located at the office of the attorney or other closing agent
designated
by Tenant.

Page 150

 

	14.	 	TIME: In computing time periods of less than six (6) days, Saturdays,
Sundays and state or national legal holidays shall be excluded. Any time
periods provided herein which shall end on a Saturday, Sunday or a legal
holiday shall extend to 5:00 p.m. on the next business day. Time is of the
essence in these Purchase Terms.

	15.	 	DOCUMENTS FOR CLOSING: Landlord shall furnish the deed, bill of sale,
construction lien affidavit in compliance with Section 12 of these
Purchase
Terms, owner’s possession affidavit, FIRPTA affidavit, assignments of
leases, tenant and mortgagee estoppel letters and corrective instruments.
Each party shall execute a closing statement.

	16.	 	EXPENSES: Transfer taxes, fees, documentary stamps and surtax on the deed
and recording of corrective instruments shall be paid by Landlord.
Recording of deed shall be paid by Tenant. Unless otherwise provided by
law
or rider to these Purchase Terms, charges for the following related title
services, namely title or abstract charge, title examination, and
settlement and closing fee, shall be paid by the party responsible for
furnishing the title evidence in accordance with Section 9 of these
Purchase Terms. Tenant shall pay the premium for the owners title
insurance
policy insuring Tenant’s interest.

	17.	 	PRORATIONS; CREDITS: Taxes, assessments, rent, interest, insurance and
other expenses of the Premises shall be prorated through the day before
closing unless they are the responsibility of Tenant under the Lease, in
which case they shall not be prorated. Tenant shall have the option of
taking over existing policies of insurance, if assumable, in which event
premiums shall be prorated. Cash at closing shall be increased or
decreased
as may be required by prorations to be made through the day prior to
closing. Advance rent and security deposits will be credited to Tenant.
Escrow deposits held by any mortgagee will be credited to Tenant if Tenant
has provided the funds for the escrow, otherwise they will be paid to
Landlord. Taxes shall be prorated based on the current year’s tax with due
allowance made for maximum allowable discount, homestead and other
exemptions. If closing occurs at a date when the current year’s millage is
not fixed and current years assessment is available, taxes will be
prorated
based upon such assessment and the prior year’s millage. If the current
year’s assessment is not available, then taxes will be prorated on the
prior year’s tax. Tax proration based on an estimate shall, at request of
either party, be readjusted upon receipt of tax bill on condition that a
statement to that effect is signed at closing.

	18.	 	SPECIAL ASSESSMENT LIENS: Certified, confirmed and ratified special
assessment liens as of date of closing (not as of Effective Date) are to
be
paid by Landlord unless they are the responsibility of Tenant under the
Lease. Pending liens as of date of closing shall be assumed by Tenant. If
the improvement has, been substantially completed as of Effective Date,
any
pending lien shall be considered certified, confirmed or ratified and
Landlord shall, at closing, (unless such lien is the responsibility of
Tenant under the Lease) be charged an amount equal to the last estimate or
assessment for the improvement by the public body.

	19.	 	RISK OF LOSS: If the Premises is damaged by fire or other casualty before
closing and cost of restoration does not exceed fifty (50%) percent of the
assessed valuation of the Premises so damaged, cost of restoration shall
be
an obligation of the Landlord and closing shall proceed pursuant to the
terms of these Purchase Terms with restoration costs escrowed at closing.
If the cost of restoration exceeds fifty (50%) percent of the assessed
valuation of the Premises so damaged, Tenant shall have the option of
either taking the Premises as is, together with any insurance proceeds
payable by virtue of such loss or damage, or of terminating the exercise
of
the Option to Purchase.

Page 151

 

	20.	 	ATTORNEY’S FEES; COSTS: In any litigation, including breach, enforcement
or
interpretation, arising out of these Purchase Terms, the prevailing party
in such litigation shall be entitled to recover from the non-prevailing
party reasonable attorney’s fees, costs and expenses.

	21.	 	FAILURE OF PERFORMANCE: If Tenant fails to perform these Purchase Terms
within the time specified, Landlord may elect to terminate the exercise of
the Option to Purchase and be relieved of all obligations under these
Purchase Terms. If for any reason other than failure of Landlord to make
Landlord’s title marketable after diligent effort, Landlord fails,
neglects
or refuses to perform these Purchase Terms, the Tenant may seek specific
performance or may terminate the exercise of the option, whereupon
Landlord
shall reimburse Tenant for all costs and expenses in connection with
Tenant’s exercise of the Option to Purchase. In the event either party
terminates the exercise of the Option to Purchase as set forth herein, the
parties shall continue to be bound by the terms and provisions of the
Lease, as time same shall apply.

	22.	 	PERSONS BOUND; NOTICE: These Purchase Terms shall bind and inure to the
benefit of the parties and their successors in interest. Whenever the
context permits, singular shall include plural and one gender shall
include
all. Notice given by or to the attorney for any party shall be as
effective
as if given by or to that party.

	23.	 	CONVEYANCE: Landlord shall convey title to the Premises by limited
warranty
	 
	 	 	deed, subject only to matters contained in Section 6 of these Purchase
Terms and those otherwise accepted by Tenant. Personal Property shall, at
the request of Tenant, be transferred by an absolute bill of sale with
warranty of title, subject only to such matters as may be otherwise
provided for herein.

	24.	 	OTHER AGREEMENTS: No prior or present agreements or representations shall
be binding upon Tenant or Landlord unless included in these Purchase
Terms.
No modification to or change in these Purchase Terms shall be valid or
binding upon the parties unless in writing and executed by the party or
parties intended to be bound by it.

	25.	 	ENVIRONMENTAL REPRESENTATIONS AND INSPECTIONS: Landlord hereby represents
and warrants to Tenant (the “Representations”) that, exclusive of Tenant’s
and Tenant’s employee’s, agent’s and invitee’s actions or inactions: (l)
the Premises and all uses of the Premises have been, and presently are, in
compliance with all federal, state, and local Environmental Laws; (2) no
Hazardous Materials have been generated, stored, treated or transferred on
the Premises, except in the ordinary course of business and in compliance
with Environmental Laws; (3) Landlord has no knowledge of any spill or
Environmental Law violation on any property contiguous to or in the
vicinity of the Premises to be sold to Tenant; and (4) Landlord has not
received or otherwise obtained knowledge of any spill or contamination on
the Premises, any existing or threatened environmental lien against the
Premises, or any lawsuit, proceeding, or investigation regarding the
handling of Hazardous Materials on the Premises.

	26.	 	WARRANTY: Landlord warrants that there are no facts known to Landlord
materially affecting the value of the Premises which are not readily
observable by Tenant or which have not been disclosed to Tenant or that
have not been created by Tenant, its employees and agents.

Page 152

 

EXHIBIT “B”

COPY OF PRIME LEASE

LEASE AGREEMENT

     THIS LEASE AGREEMENT (the “Lease”) is made this ___day of August, 1999,
by and between 195 New Boston Street, LLC, a Massachusetts limited liability
company, (hereinafter called “Landlord”), and TREC, LLC, Inc., a Massachusetts
limited liability company, with a principal place of business at 800 Hartford
Turnpike, Shrewsbury, MA 01545 and/or its assigns, (hereinafter called
“Tenant”).

W I T N E S S E T H :

     Landlord, for and in consideration of the rentals herein promised to be
paid by Tenant and the covenants, conditions and agreements herein contained to
be kept and performed by Tenant, does hereby let and rent to Tenant, and Tenant
does hereby take and lease as Tenant of the Landlord, the premises hereinafter
described for the term, at the rental and upon the terms and conditions
hereinafter set forth:

SECTION 1

PARTIES

     1.1
Landlord. Landlord warrants that it owns the Premises and has full
right and power to execute and deliver this Lease without the consent or
agreement of any other person, and that those persons executing this Lease on
behalf of Landlord have the right and power to execute and deliver this Lease.

     1.2
Tenant. Tenant warrants that Tenant has full right and power to execute
and deliver this Lease without the consent or agreement of any other person,
and that those persons who have executed and delivered this Lease have the
authority and power to execute this Lease on Tenant’s behalf and deliver this
Lease to Landlord.

SECTION 2

PREMISES

     2.1 Description. The premises herein leased (hereinafter called the
“Premises”) are legally described in Exhibit “A” attached hereto and made a
part hereof. The Premises also include the building(s) and improvements located
upon the land area described in Exhibit “B” and all rights appurtenant thereto.
The Premises are located at 195 New Boston Street, Woburn, MA 01888.

     2.2 Quiet Enjoyment. Landlord agrees to warrant and defend Tenant in the
quiet enjoyment and possession of the Premises during the term of this Lease so
long as Tenant complies with the provisions hereof.

Page 153

 

SECTION 3

TERM; OPTION TO EXTEND

     3.1 Lease Commencement Date. The term of this Lease (the “Term”) shall
commence on or before December 1, 1999 (the “Lease
Commencement Date”), and shall
terminate on the date (the “Lease Termination Date”) which is the last day of
the month preceding the fifth (5th) anniversary date of the Lease Commencement
Date unless extended by Tenant in accordance with any extension option
contained in this Lease or any rider thereto or unless terminated at an earlier
date by Tenant or Landlord pursuant to the terms thereof. Landlord shall give
Tenant possession of the Premises, free of all tenants, on the Lease
Commencement Date, or within sixty (60) days upon receipt from Tenant by written
notice that the Tenant has received all necessary permits and approvals for the
Tenant’s proposed use of the premises.

     3.2 Extension Terms. Tenant shall have the right to extend the Term of
this Lease for one (1) additional term of five (5) years (the “Extension Term”)
in its sole discretion upon delivering written notice to the Landlord of its
intent to exercise this option to extend not less than 365 days before the
expiration date of the initial Term. If Tenant exercises the Extension Term in
the manner provided for in this paragraph then the Lease shall terminate five
(5) years after the initial expiration period, and all provisions of this Lease
shall be applicable to the Extension Terms.

     3.3 Option Rent. Upon the expiration of the Term of this Lease and
provided that Tenant is not in default under any provision of this Lease beyond
any applicable cure period, Tenant shall have the option to extend the term of
this Lease for one consecutive term of five (5) years (the “Renewal Term”)
subject to the terms and conditions of the Lease except for the Fixed Rent,
which will be determined in accordance with this Section 3.3. Tenant’s option
to renew the term of this Lease for the Renewal Term commencing on the
expiration of the Term hereunder shall be on all of the same terms and
conditions as are contained in the Lease except that fixed minimum annual rent
during the Renewal Term shall be the “Fair Market Rent” for the Leased Premises
determined as hereinafter provided. Tenant shall exercise such option by
giving written notice thereof to Landlord not less than twelve (12) months
prior to the expiration of the term of the Lease then in effect. Within thirty
(30) days of after receipt of Tenant’s notice of exercise.
Landlord shall give Tenant written notice of the Fair Market Rent
proposed by Landlord for the Renewal Term. Within thirty (30) days of Landlord’s notice of the Proposed Fair Market Rent, the Tenant may
by written notice to the Landlord, (i) accept the proposed Fair Market Rent,
(ii) revoke its election to renew the applicable term or (iii) reject the
proposed Fair Market Rent and elect that Fair Market Rent be determined in
accordance with the procedures set forth herein. Within ten (10) days after
Tenant gives notice of its election under subsection (iii) above, each party,
at its sole cost and by giving notice to other party, shall appoint a fully
licensed and certified real estate appraiser with at least five (5)
years commercial appraisal experience in Massachusetts to appraise and establish the Fair Market Rent
for the Leased Premises. Fair Market Rent shall be based upon rent for
comparable Buildings for comparable uses in the Greater Woburn area for a
similar term taking into consideration factors such as the Building age, size,
amenities and location. If a party does not appoint an appraiser within ten
(10) days after the other party has given notice of the name of its appraiser,
the single appraiser appointed shall be the sole appraiser and shall
set the Fair Market Rent for the Leased Premises for the Renewal Term. If the two
appraisers are appointed by the parties as stated in this paragraph, they shall
each submit, within fifteen (15) days of the appointment of the second
appraiser, a written appraisal stating the Fair Market Rent for the Leased
Premises. If the lower of the two appraisals is less than 10% lower than the
higher appraisal, the average of the two

Page 154

 

appraisals will be deemed the Fair Market Rent for the Leased Premises.
If the lower appraisal is more than 10% lower than the higher appraisal, then
the two appraisers shall, within ten (10) days select a third appraiser who
meets the qualifications stated in this paragraph. Each of the parties shall
bear one half of the cost of paying for the third appraiser’s fee.

Within thirty (30) days after the selection of the third appraiser, a majority
of the appraisers shall set the Fair Market Rent for the Leased Premises. If a
majority of the appraisers are unable to set the Fair Market Rent within the
stipulated period of time, the three appraisals shall be added together and
their total divided by three; the resulting quotient shall be the Fair Market
Rent for the Leased Premises; unless the low appraisal and/or the high
appraisal is/are more than 10% lower and/or higher than the middle appraisal, in
which case the lower appraisal and/or the high appraisal shall be disregarded.
If only one appraisal is disregarded, the remaining two appraisals shall be
added together and their total divided by two; the resulting quotient shall be
the Fair Market Rent for the Leased Premises. In no event shall the Fair
Market Rent during the Renewal Term be lower than the Fair Market Rent for the
last year of the Term.

     3.4 Prorations. If any payments, rights or obligations hereunder (whether
relating to payment of rent, taxes, insurance, other impositions, or to any
other provision of this Lease) relate to a period in part before the Lease
Commencement Date or in part after the date of expiration or termination of the
term, appropriate adjustments and prorations shall be made.

     3.5 Surrender at End of Term. Upon the last day of the lease Team or upon
the earlier termination of this Lease pursuant to the provisions hereof and
irrespective of when and how such termination occurs, Tenant shall surrender and
deliver to Landlord the Premises, all buildings and improvements
thereon, other
than Tenant’s Property, without delay, broom clean and in good order, condition
and repair, reasonable wear and tear and damage due to insured casualty
excepted and subject to the other terms of this Lease, whereupon Tenant shall
have no further right, title or interest in and to said Premises. Any trade
fixtures, business equipment, inventory, trademarked items, signs and other
removable personal property located or installed in or on the Premises (the
“Tenant’s Property”) shall be removed by Tenant on or before the last day of
the lease Term or upon the earlier termination of this Lease pursuant to the
provisions hereof, and Tenant shall repair any damage occasioned by the removal
of Tenant’s Property. Landlord may remove and dispose of any of Tenant’s
Property remaining at the Premises after the expiration or termination of the
Lease at the Tenant’s expense.

     3.6 Security Deposit. Tenant agrees; to deposit with Landlord at the
execution hereof the sum of $31,000 as a security deposit to assure the
Landlord of the full and prompt payment and performance of the Tenant’s
Obligations under this lease and throughout the term hereof. Landlord agrees
to credit one half of the security deposit to the Tenant toward the rent
payment due in the thirteenth (13) month of the lease, and thereafter the
balance shall be credited to the Tenant, if and when the Tenant purchases the
property and a deed to that effect is recorded.

     3.7 The Tenant’s obligations hereunder are conditioned upon the Tenant
successfully completing the following:

Page 155

 

	 	a)	 	The Tenant acknowledges that it has had the
opportunity, to review of any and all environmental
information which the Seller has in its possession, including
an ROA report submitted by the Seller’s environmental
engineers to Mass. Dept. of Environmental Protection.

	 	 	 	Unless the Tenant submits to the Landlord a fully executed
proposal from a Licensed Site Professional by July 30th,
1999, for additional environmental studies to be performed on
the Premises, at Tenant’s sole expense to conduct, then any
and all environmental contingencies to this lease shall be
waived.

	 	 	 	Should Tenant seek additional environmental studies, said
work shall be performed by September 30, 1999. Tenant may
access the site to conduct such reviews and studies, however,
should any subsurface exploration be required, Tenant shall
give Landlord twenty four hour prior written notice thereof,
a copy of an insurance certificate for all workman which
Tenant brings to the site, an agreement to indemnify the
Landlord from any and all liability stemming from such
investigations, and an agreement to restore the premises to
its condition prior to any of the Tenant’s work. Should the
Tenant be dissatisfied with the results of its review, it may
terminate this agreement upon written notice to the Landlord,
on or before September 30, 1999.

	 	b)	 	Tenant expressly waives any and all structural or
physical inspection of the building contingencies it may have
had by executing this Lease.

	 	c)	 	Tenant shall have until September 30, 1999 to
secure any and all necessary permits for its use from the City
of Woburn and its related boards and commissions. Should the
Tenant be unable to secure the necessary permits by September
30, 1999 the Tenant, upon written notice to the Landlord on or
before September 30, 1999 shall be able to terminate this
Agreement, but agrees to forfeit half of the security deposit
paid herein, as consideration for taking the Property off the
market during the Tenant’s due diligence period.

	 	d)	 	Should the Tenant seek to terminate this Lease,
and complies with the terms of subsection a) of this
paragraph, for environmental concerns, then the Tenant upon
written notification to the Landlord on or before September
30, 1999, after submitting a copy of its environmental report
to the Landlord, shall be untitled to a full refund of all
deposits hereunder, and this Agreement shall be void without
recourse to the parties.

Page 156

 

SECTION 4

RENT

     4.1 Rent. Commencing on the Lease Commencement Date, Tenant covenants and
agrees to pay to Landlord in lawful money of the United States of America,
during each lease year, an annual rental per the following schedule:

	 	 	 	 	 
	YEAR 1

	 	15,500.00/monthly
	 	$186,000.00 annually
	YEAR 2

	 	16,145.83/monthly
	 	$193,750.00 annually
	YEAR 3

	 	16,791.67/monthly
	 	$201,500.00 annually
	YEAR 4

	 	17,437.50/monthly
	 	$209,250.00 annually
	YEAR 5

	 	18,083.33/monthly
	 	$217,000.00 annually

The Rent shall be payable in equal monthly installments, in advance on or
before the first day of each and every calendar month of the Term of this
Lease. The Rent shall be paid in addition to and over and above all other
payments to be made by Tenant herein. The first lease year shall be a full
year commencing on the Lease Commencement Date and each following lease year
shall be an annual period commencing on the anniversary date of the Lease
Commencement Date. Appropriate proration shall be made if the Lease
Commencement Date is not on the first day of a calendar month, or if the date
of termination of the lease is not on the last day of a calendar month.

No payment of rent by Tenant shall be deemed late unless Landlord provides
Tenant ten (10) days written notice that the amount remains due and
outstanding. Late fees not to exceed 1.5% of the amount due for each month,
may be assessed by Landlord beginning the fifteenth day after the amount is due
provided the ten day written notice has been given by Landlord.

     4.2 Taxes.

          (a) Tenant shall be responsible for the payment of all real property taxes
and assessments (“Real Estate Taxes”) levied against the Premises by any
governmental or quasi-governmental authority, which are due and payable during
the Term hereof except as set forth herein. For purposes of this Lease, “Real
Estate Taxes” shall include any and all public charges against the Premises.
Real Estate Taxes shall include any taxes, assessments, surcharges, or service
or other fees of a nature not presently in effect which shall hereinafter be
levied on the Premises as a result of the use, ownership or operation of the
Premises or for any other reason, whether in lieu of or in addition to any
current real estate taxes and assessments. Any special assessments will be
amortized over the maximum period allowed by law or applicable tax rules,
whichever is longer, and Real Estate Taxes will include only the prorated and,
amortized amount, which becomes due during the Term hereof. Real Estate Taxes
shall exclude any income, excess profits, single business, inheritance,
succession, transfer, franchise, capital or other tax assessments upon Landlord
or, Landlord’s interest in the Premises.

          (b) Tenant shall remit all payments for Real Estate Taxes directly to the
taxing or assessing authority unless Landlord has paid the Real Estate Taxes to
avoid interest or penalties accruing thereon, in which event the Real Estate
Taxes shall be immediately due and

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payable to Landlord. Upon receipt of all tax bills and assessment bills
attributed to any calendar year during the Term hereof, Landlord shall furnish
Tenant with a copy of the tax bill or assessment bill upon receipt so as to
allow Tenant to take advantage of the maximum payment discount available, if
Tenant so desires. Tenant shall provide written proof of payment of Real
Estate Taxes at the time such payments are made.

          (c) Tenant will have the right to contest at its sole expense, the amount
or validity, in whole or in part, of any tax that Tenant is required to pay, in
whole or in part, by appropriate proceedings diligently conducted in good
faith, only after paying such tax or posting such security that Landlord
reasonably requires in order to protect the Premises against loss or
forfeiture. Upon the conclusion of any such protest proceedings, Tenant will
pay its share of the tax, as finally determined, in accordance with this Lease,
the payment of which tax may have been deferred during the prosecution of the
proceedings, together with any costs, fees, interest, penalties, or other
related liabilities. Landlord will not be required to join in any contest or
proceedings unless the provisions of any law or regulations then in effect
require that the proceedings be brought by or in the name of Landlord. In that
event, Landlord will join in the proceedings or permit them to be brought in
its name; however, Landlord will not be subjected to any liability for the
payment of any costs or expenses in connection with any contest or proceedings,
including but not limited to reasonable attorney’s fees and other reasonable
professional fees and Tenant will indemnify Landlord against and save Landlord
harmless from any such costs and expenses in this regard.

     4.3 Services and Utilities.

          (a) Tenant agrees that Landlord shall act be liable for failure to supply
any heating, air conditioning, electrical, janitorial, lighting or other
services. In the event of any interruption, reduction or discontinuance of
services (either temporarily or permanently), Landlord shall not be liable for
damages to persons or property as a result thereof, nor shall the occurrence of
any such event in any way be construed as an eviction of Tenant.

          (b) Tenant shall pay for all water, gas, heat, light, power, telephone,
trash disposal, building and liability insurance and other utilities and
services supplied to the Premises, together with any taxes thereon.

SECTION 5

USE; COMPLIANCE WITH LAWS; MAINTENANCE AND REPAIRS

     5.1 Use of Premises. Tenant shall have the right to use the Premises for
the purpose of the operation of an equipment rental, leasing and sales facility
and any related uses including, but not limited to, the business of renting,
selling, leasing, distributing, servicing or repairing new or used equipment,
spare parts and related supplies to industrial, manufacturing, and construction
customers, and/or, after obtaining Landlord’s prior written consent, which
consent shall not be unreasonably withheld or delayed, for any other lawful
purpose, all uses of the Premises being subject, however, to all applicable
laws. Notwithstanding the foregoing, Tenant shall not use or occupy the
Premises in any manner or for any purpose which voids or makes voidable any
insurance covering any portion of the Premises. Tenant shall not commit waste
on the Premises and shall not use the Premises for any unlawful or improper
purpose or in violation

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of any certificate of occupancy or for any purpose which may constitute a
nuisance, public or private, nor suffer any dangerous article to be brought on
the Premises without permits if permits are required and unless safeguarded as
required by law.

     5.2 Compliance with Laws. Tenant shall reasonably, promptly and
effectively comply with all applicable and lawful statutes, regulations, rules,
ordinances, orders and requirements of any public official or agency having
jurisdiction in respect of the Premises and Tenant’s specific use thereof
(herein referred to as governmental authorities). Landlord shall promptly give
notice to Tenant of any written notice in respect of the Premises from
governmental authorities. Tenant may, in good faith, and at its sole expense
dispute the validity of any complaint or action taken pursuant to or under
color of any of the foregoing, defend against the same, and in good faith
diligently conduct any necessary proceedings to prevent and avoid any adverse
consequence of the same. Tenant agrees that any such contest shall be
prosecuted to a final conclusion as speedily as possible, and Tenant will hold
Landlord completely harmless with respect to any actions taken by any
governmental authorities with respect thereto.

     5.3 Maintenance and Repairs by Tenant. Except as otherwise provided in
Section 5.4 below, throughout the Term of this lease Tenant shall, at Tenant’s
sole cost and expense, keep the Premises and all improvements (if any) in good
order, condition and repair and shall make or cause to be made all repairs to
correct any damage thereto.

     5.4 Maintenance, Repair and Replacement by Landlord. Tenant shall be
responsible for the maintenance, repair and replacement of (a) any structural
components including, without limitation, the roof, roof membrane, load bearing
walls and floor slabs and masonry walls and foundations, (b) the plumbing
system, (c) the electrical system, (d) the utility lines and connections to the
Premises, and (e) the sprinkler mains, if any. Further, Tenant shall be
responsible for the replacement, maintenance and repair of the heating,
ventilation, and air conditioning system.

Tenant shall reasonably, promptly and effectively comply, with all applicable
laws, ordinances, regulations and rules of any public authority relating to the
Premises

     5.5 Access; Inspection by Landlord. Landlord and its agents shall have
the right at all reasonable times during the Term to enter the Premises for the
purpose of inspecting the same, to show the Premises to prospective purchasers
and lenders, to place “For Sale” signs thereon and, during the last 180 days of
the Term, to show the Premises to prospective tenants and to place “For Rent”
signs thereon. Landlord agrees not to interfere with Tenant’s operation of the
Premises during any such inspection and any signage placed on the Premises by
Landlord shall not interfere with any of Tenant’s signage or displays.

SECTION 6

ALTERATIONS; LIENS; SIGNAGE

     6.1 Alterations. Tenant shall not make any structural or non-structural
alterations in the Premises without Landlord’s prior written consent, not to be
unreasonably withheld or delayed, without Landlord’s consent; provided such
alterations are made without cost to

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Landlord and provided further, that (a) no such alterations shall lessen
the fair market value of the Premises, and (b) all alterations, additions or
improvements shall be constructed in a workmanlike manner.

     6.2 Liens. All persons are put on notice of the fact that the Tenant
under no circumstances shall have the power to subject the interest of the Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services or materials to the Premises upon the request or order of the Tenant
or any person claiming under, by or through the Tenant, must look wholly to the
interest of the Tenant and not to that of the Landlord. Tenant covenants and
agrees with Landlord that Tenant will not permit or suffer to be filed or
claimed against the interest of the Landlord in the Premises during the
continuance of this Lease any lien or liens of any kind by any person claiming
under, by, through or against the Tenant; and if any such lien is claimed or
filed, it shall be the duty of the Tenant, without regard to the validity of
such lien, within thirty (30) days after the claim of lien or suit claiming a
lien has been filed, to cause the Premises to be released from such claim,
either through payment or through bonding with corporate surety or through
deposit into court, pursuant to statute, of the necessary sums of money, or in
any other way that will effect the release of the Landlord’s interest in the
Premises from such claim

     6.3 Signage. Notwithstanding; anything to the contrary set forth in this
Lease, Tenant shall have the absolute right to install such signage on the
Premises as Tenant may deem necessary or appropriate, subject to appropriate
governmental approvals with which Tenant shall comply at its sole expense.
Landlord agrees to fully cooperate with Tenant, at Tenant’s expense, is filing
any required signage application, permit and/or variance for said signage or
with respect to the Premises generally.

SECTION 7

INSURANCE

     7.1 Types of Insurance. Tenant shall, as its own cost and expense, carry
the following insurance in respect of the Premises and improvements: (evidence
thereof shall be provided to the Landlord at the execution hereof),

          (a) Comprehensive public liability insurance in an amount not less than
$2,000,000.00 combined bodily injury and property damage liability.

          (b) With respect to improvements (if any), insurance against; loss or
damage by all risks including fire and other risks covered by fire insurance
with extended coverage endorsements in an amount of the full insurable
replacement value of such improvements (exclusive of cost of excavation,
foundation, and footings below the ground floor and without deduction for
depreciation) and in amounts sufficient to prevent Landlord or Tenant from
becoming a co-insurer under such policies of insurance.

     7.2 Provisions Applicable to All Insurance. With respect to all insurance
required to be maintained hereunder by Tenant:

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          (a) Each such policy shall name Landlord, Tenant and any mortgagee as
insured as their interests appear and shall contain a Standard Mortgagee Clause
reasonably satisfactory to Landlord.

          (b) Tenant shall, at Tenant’s sole cost and expense, observe and comply
with all policies of insurance in force with respect to the Premises and
improvements.

          (c) Upon Landlord’s request, Tenant shall send to Landlord certificates of
insurance or receipts or other evidence satisfactory to Landlord showing the
payments of all premiums and other charges due thereon.

     7.3 Landlord’s Right to Obtain Insurance. If Tenant shall fail to
maintain any such insurance required hereunder, Landlord may, at Landlord’s
election, after ten (10) days written notice to Tenant, procure the same and
make demand for immediate payment thereof adding the premium cost to the
monthly installment of rental next due, it being hereby expressly covenanted
and agreed that payment by Landlord of any such premium shall not be deemed to
waive or release the obligation of Tenant to make payment thereof. Tenant’s
failure to either procure or maintain the insurance required hereunder or to
reimburse Landlord, after thirty (30) days written notice from Landlord to
Tenant, shall constitute a default by Tenant under this Lease.

     7.4 Use of Insurance Proceeds. Any insurance proceeds recovered by reason
of damage to or destruction of improvements on the Premises shall, be made
available to Tenant and must be used to repair, restore or replace the
improvements so damaged or destroyed with any excess proceeds made available to
Tenant. Subject to any documents previously executed with Landlord’s lender.

     7.5 Damage or Destruction. If the improvements on the Premises are
damaged to the extent of fifty (50%) percent or more of their insurable value,
Tenant may, in its sole discretion, elect (a) to repair or restore the
improvements, (b) to construct new improvements. If Tenant elects to repair or
restore the improvements or construct new improvements, it shall do so promptly
and shall receive no abatement of rent during such repair period, but in no
event shall. Tenant’s repair, restoration or reconstruction exceed one hundred
eighty (180) days.

     7.6 Subrogation. Landlord and Tenant shall each obtain from their
respective insurers under all policies of fire, theft, public liability,
workers’ compensation and other insurance maintained by either of them at any
time during the Term hereof insuring or covering the Premises, a waiver of all
rights of subrogation which the insurer of the party might otherwise have, if
at all, against the other party.

SECTION 8

EMINENT DOMAIN

     If any portion of the Premises which materially affects Tenant’s ability
to continue to use the remainder thereof for the purposes set forth herein, or
which renders the Premises untenantable, is taken by right of eminent domain or
by condemnation, or is conveyed in lieu of any such taking, then this Lease may
be terminated at the option of Tenant. Such option shall be exercised by
Tenant giving notice to Landlord of such termination within thirty (30) days
after such taking or conveyance, whereupon this Lease shall forthwith terminate
and the Rent shall be

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duly apportioned as of the date of such taking or conveyance. Upon such
termination, Tenant shall surrender to Landlord the Premises and all of
Tenant’s interest therein under this Lease, and Landlord may re-enter and take
possession of the Premises or remove Tenant therefrom. If any portion of the
Premises is taken which does not materially affect Tenant’s right to use the
remainder of the Premises for the purposes set forth herein, this Lease shall
continue in full force and effect, and Landlord shall promptly perform any
repair or restoration work required to restore the Premises, insofar as
possible, to its former condition, and the rental owing hereunder shall be
adjusted, if necessary, in such just manner and proportion as the part so taken
(and its effect on Tenant’s ability to use the remainder of the Premises) bears
to the whole. In the event of taking or conveyance as described herein,
Landlord shall receive the award or consideration for the lands and
improvements so taken; provided, however, that Landlord shall have no interest
in any award made for Tenant’s loss of business or value of its leasehold
interest or for the taking of Tenant’s fixtures or property, or for Tenant’s
relocation expenses. Landlord and Tenant shall cooperate with one another in
making claims for condemnation awards.

SECTION 9

ASSIGNMENT AND SUBLETTING; ATTORNMENT; TENANT FINANCING

     9.1 Assignment by Landlord. At any time, Landlord may sell its interest
in the Premises or assign this Lease or Landlord’s reversion hereunder; either
absolutely or as security for a loan, without the necessity of obtaining
Tenant’s consent or permission, but any such sale or assignment shall be at all
times subject to this Lease and the rights of Tenant hereunder.

     9.2 Assignment and Subletting by Tenant. Tenant shall have the right to
assign, sublet or otherwise transfer its interest in this Lease and is rights
hereunder to any entity or person with Landlord’s prior written consent, which
shall not be unreasonably withheld, conditioned or delayed.

Tenant may assign, sublet or otherwise transfer its interest in this Lease
without Landlord’s consent, written or otherwise, to any (i) parent, subsidiary
or affiliate of Tenant, or to a corporation or other business entity with which
Tenant may merge, amalgamate or consolidate, or (ii) entity in which the
Premises is intended to be leased back by such entity to Tenant or any parent,
subsidiary or affiliate of Tenant, or to a corporation or other business entity
with which Tenant may merge, amalgamate or consolidate. Notwithstanding any
assignment of the Lease pursuant to the preceding two (2) sentences Tenant
shall not be released from liability hereunder so long as the Lease is not
modified or amended in any respect without the prior written approval of
Tenant. This Lease contains no provision restricting, purporting to restrict
of referring in any manner to a change in control or change in stockholders,
directors, management or organization of Tenant, or any subsidiary, affiliate
or parent of Tenant or, to the issuance, sale, purchase, public offering,
disposition or recapitalization of the capital stock of Tenant, or any
subsidiary, affiliate or parent of Tenant.

     9.3 Attornment. Any assignee of Landlord or Tenant hereby agrees to
attorn to the Tenant or Landlord, respectively, as the case may be.

     9.4 Tenant Financing. Tenant shall have the absolute right from time to
time during the Term hereof and without Landlord’s further approval, written or
otherwise, to grant and

Page 162

 

assign a mortgage or other security interest in Tenant’s interest in this
Lease and all of Tenant’s property located on or used in connection with the
Premises to Tenant’s lenders in connection with Tenant’s financing arrangements
provided that no such mortgage or other security interest shall in any respect
prevent the Landlord from pursuing each of its rights and remedies under this
Lease. Landlord agrees to execute such confirmation certificates and other
documents (except amendments to this Lease unless Landlord hereafter consents)
as Tenant’s lenders may reasonably request in connection with any such
financing.

SECTION 10

DEFAULT AND REMEDIES

     10.1 Events of Default. If:

          (a) Tenant shall default in the due and punctual payment of the Rent,
insurance premiums, impositions or any other amounts or rents due under this
Lease or any part thereof, and such default shall continue for ten (10) days
after notice thereof in writing to Tenant; or

          (b) Tenant shall default in the performance or in compliance with any of
the other covenants, agreements or conditions contained in this Lease and such
default shall not be cured within thirty (30) days after notice thereof in
writing from Landlord to Tenant; or

          (c) Tenant shall file a petition in voluntary bankruptcy or under Chapter
7 or 11 of the United States Bankruptcy Code or any similar law, state or
federal, whether now or hereafter existing, or an answer admitting insolvency
or inability to pay its debts, or fail to obtain a vacation or stay of
involuntary proceedings within ninety (90) days after the involuntary petition
is filed; or

          (d) Tenant shall be adjudicated a bankrupt, or a trustee or receiver shall
be appointed for Tenant or for all of its property or the major part thereof in
any involuntary proceedings, or any court shall have taken jurisdiction of the
property of Tenant or the majority part thereof in any involuntary proceeding
for reorganization, dissolution, liquidation or winding up of Tenant, and such
trustee or receiver shall not be discharged or such jurisdiction relinquished
or vacated or stayed on appeal or otherwise within ninety (90) days;

          (e) Tenant shall make an assignment for the benefit of its creditors;

          (f) the unauthorized assignment or subletting of all or any portion of the
Premises; or

          (g) the occurrence of uninsured material damage to the Premises due to the
negligence, carelessness or willful misconduct of Tenant or a person within
tenant’s control.

then and in any such event referred to in clauses (a), (b), (c), (d) or (e)
above Landlord shall have the remedies with respect to the Premises as set
forth below.

     10.2 Landlord’s Remedies Upon Default. Upon the occurrence of an Event of
Default by Tenant, then Landlord shall be entitled to the following remedies:

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          (a) Terminate this Lease by giving written notice of termination to
Tenant, in which event Tenant shall immediately surrender the Premises to
Landlord. If Tenant fails to so surrender the Premises, then Landlord may,
without prejudice to any other remedy it has for possession of the Premises or
arrearages in rent or other damages, re-enter and take possession of the
Premises without trespass and expel or remove Tenant and any other person
occupying the Premises or any part thereof, in accordance with
applicable law;
or

          (b) Landlord may re-enter and take possession of the Premises without
terminating the Lease in accordance with applicable law, and relet the Premises
and apply the Rent received to the account of Tenant. In the event Landlord so
re-enters and takes possession of the Premises as set forth above, Landlord
agrees to use reasonable efforts to relet the Premises for a commercially
reasonable rate at the time of such reletting. No reletting by Landlord is
considered to be for Landlord’s own account unless Landlord has notified Tenant
in writing that this Lease has been terminated. In addition, no such reletting
is to be considered an acceptance of Tenant’s surrender of the Premises unless
Landlord so notifies Tenant in writing.

          (c) In the event that Tenant shall be in default in the payment of Rent
for ninety (90) consecutive days, Landlord shall have the right to accelerate
the Rent remaining during the then existing Term (less any amounts received by
Landlord in mitigation thereof), which sum shall be discounted to present value
utilizing the United States Treasury Bill rate (at the date of such
acceleration) having a maturity comparable to the remaining Term of the Lease
to the nearest full calendar year.

          (d) Tenant shall be and remain liable for rent at the rate herein before
reserved, and Landlord may, at its discretion, re-let the Premises at the risk
of Tenant who for the residue of the term hereof and for such further time as
said term shall have been extended, if at all, shall remain responsible for the
rent and charges herein reserved and shall be credited with such
amounts only as
shall be actually realized by Landlord.

     10.3 Mitigation of Damages. In the event that a right of action by
Landlord against Tenant arises under this Lease, Landlord shall attempt to
mitigate damages by using commercially reasonable efforts to seek to relet the
Premises.

     10.4 Landlord’s Default. The failure of Landlord to perform any covenant,
condition, agreement or provision contained herein within thirty (30) days
after receipt by Landlord of written notice of such failure shall constitute an
“Event of Default” hereunder.

SECTION 11

OTHER PROVISIONS

     11.1 Remedies to Be Cumulative. No remedy conferred upon or reserved to
Landlord or Tenant shall be considered exclusive of any other remedy, but the
same shall be cumulative and shall be in addition to every other remedy given
under this Lease or now or hereafter existing at common law, or by statute.
Every power and remedy given Landlord or Tenant may be exercised from time to
time and as often as occasion may arise or may be deemed expedient.

     11.2 Notices. All notices, requests, demands or other communications
which may be or are required or permitted to be served or given hereunder (in
this Section collectively called

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“Notices”) shall be in writing and shall be sent by registered or
certified mail, return receipt requested, postage prepaid, or by a nationally
recognized overnight delivery service to Tenant or to Landlord at the address
set forth below. Either party may, by Notice given as aforesaid, change its
address for all subsequent Notices. Notices shall be deemed given when
received in accordance herewith.

	 	 	 	 	 	 	 
	If to Landlord:

	 	195 New Boston Street LLC
	 	If to Tenant:
	 	TREC, LLC
	

	 	Richard Mattivello
	 	 	 	800 Hartford Turnpike
	

	 	195 New Boston Street
	 	 	 	Shrewbury, MA 01545
	

	 	Woburn, MA	 	 	 	 
	 
	 	 	 	 	 	 
	With a copy to:

	 	Attorney Michael J. Burkin
	 	with a copy to:
	 	Robert Queler, Esq.
	

	 	318 Bear Hill Road, Suite 1
	 	 	 	865 Providence Highway
	

	 	Waltham, MA 02451
	 	 	 	Dedham, MA 020026-6825

     11.3 Broker. Landlord and Tenant each warrant to the other that Mark St.
Jean of Phoenix Corporate Services and Blue Chip Properties have been employed
as a Brokers with respect to this Lease and each agrees to indemnify and hold
the other harmless from any claims by any other broker or agent claiming
compensation in respect of this Lease alleging an agreement by Landlord or
Tenant, as the case may be. The Landlord shall be responsible for the payment
at lease commencement of all commissions due for this transaction at the rate
of 6% of the annual lease rate for the first year of the lease term, and 3% of
the annual lease rate for the second year of the lease term.

In the event the Tenant does not purchase the property after the completion of
the second year of the lease term, Landlord agrees to pay a fee to the Brokers
listed above, equal to 3% of the annual lease rate for every year thereafter
that the Tenant leases the Premises, until the Tenant exercises its option to
purchase.

     11.4 Waiver of Jury Trial. Landlord and Tenant waive trial by jury in any
action or proceeding brought by either of the parties hereto against the other
or on any counterclaim in respect thereof on any matters whatsoever arising out
of or in any way connected with the Lease, the relationship of Landlord and
Tenant, Tenant’s use or occupancy of the Premises and/or any claim of injury or
damage under this Lease.

     11.5 No Partnership. Landlord shall not be construed or held to be a
partner or associate of Tenant in the conduct of Tenant’s business, it being
expressly understood and agreed that the relationship between the parties
hereto is and shall at all times remain, during the lease term, that of
Landlord and Tenant.

     11.6 Non-Waiver. No failure by Landlord or Tenant to insist upon the
performance of any covenant, agreement, provision or condition of this Lease or
to exercise any right or remedy, consequent upon a default hereunder, and no
acceptance of full or partial rent during the continuance of any such default,
shall constitute a waiver of any such default or of such covenant, agreement,
provision, or condition. No waiver of any default shall affect or alter this
Lease, but each and every covenant, agreement, provision and condition of this
Lease shall

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continue in full force and effect with respect to any other then existing
or subsequent default hereunder.

     11.7 Gender and Number. Words of any gender used in this Lease shall be
held to include another gender and words in the singular number shall be held
to include the plural and words in the plural shall be held to include the
singular, when the sense requires.

     11.8 Captions. The captions, titles and article, section or paragraph
headings are inserted only for convenience and they are in no way to be
construed as a part of this Lease or as a limitation on the scope of the
particular provisions to which they refer.

     11.9 Governing Law. This Lease is made pursuant to, and shall be governed
by, and construed in accordance with, the laws of the State in which the
Premises are located.

     11.10 Successors and Assigns. The covenants, conditions and agreements in
this Lease shall bind and inure to the benefit of Landlord and Tenant and,
except as otherwise provided in this Lease, their respective heirs, devisees,
executors, administrators, legal representatives, distributees, successors and
assigns.

     11.11 Amendment. Any agreement hereafter made shall be ineffective to
change, modify or discharge this Lease in whole or in part unless such
agreement is in writing and signed by the party against whom enforcement of the
change, modification or discharge is sought.

     11.12 Short Form Lease. The parties agree to execute a short form
Memorandum of Lease in the form of Exhibit “B” attached hereto for recording
containing the names of the parties, a description of the Premises, the Term of
the Lease and such other provisions as the parties may deem appropriate.

     11.13 Lien. Landlord hereby waives any statutory or common law rights it
may have granting Landlord a lien or the right to foreclose on any property of
Tenant, including without limitation, any of Tenant’s personal property and/or
the tenant improvements installed in the Premises by Tenant.

     11.14 Representations and Warranties. Notwithstanding anything in this
Lease to the contrary, Landlord represents and warrants to Tenant that no
mortgages, deeds of trusts or liens or encumbrances of any nature presently
encumber Landlord’s title to the Premises except as set forth on Exhibit “C”,
attached hereto and incorporated herein by this reference; that none of said
encumbrances shall prohibit or impede the use of the Premises as contemplated
herein or create any financial obligation on the part of Tenant except as
expressly set forth herein; that Landlord has the full right, power and
authority to enter into this Lease and make the agreements contained herein on
its part to be performed; that the execution, delivery and performance of this
Lease has been duly authorized by Landlord; that the Lease constitutes the
valid and binding obligation of Landlord, enforceable in accordance with its
terms subject to applicable bankruptcy, insolvency, reorganization, moratorium
and other laws affecting the enforceability of creditors rights generally and
the application of equitable principles affecting the availability of remedies
in the nature of specific enforcement.

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     11.15 Subordination and Attornment. This Lease shall be subordinate to
any mortgage or deed of trust (now or hereafter placed upon the Premises), and
to any and all advances made under any mortgage or deed of trust and to all
renewals, modifications, consolidations, replacements and extensions thereof.
Tenant agrees to execute such documents as may be further required to evidence
such subordination or to make this Lease prior to the lien of any mortgage or
deed of trust, as the case may be, subject to the following sentence.
Notwithstanding the foregoing, Tenant shall only be obligated to subordinate
its leasehold interest to any mortgage, deed of trust, or ground lease now or
hereafter placed upon the Premises if the holder of such mortgage or deed of
trust or the Landlord under such ground lease delivers to Tenant a
non-disturbance agreement substantially in accordance with the form attached
hereto as Exhibit “E” (the “Non-Disturbance Agreement”). Upon the mutual
execution of this Lease, Landlord shall make best efforts to deliver (subject
to Landlord’s lender approval) to Tenant a Non-Disturbance Agreement executed
by Landlord and any present lender having a deed of trust or mortgage on the
Premises.

     11.16 Hazardous Materials. Tenant shall not do anything throughout the
Term of this Lease and any extension thereof that will violate any
Environmental Laws (defined below). Tenant shall indemnify, defend and hold
harmless Landlord, its directors, officers, employees, and agents and assignees
or successors to Landlord’s interest in the Premises, their
directors,
officers, employees, and agents from and against any and all losses, claims,
suits, damages, judgments, penalties and liability including, without
limitation, (i) all out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or indirectly
arising out of the presence, use, generation, storage, release or threatened
release or disposal of Hazardous Materials by Tenant, its agents and
contractors on, under or in the Premises after the Lease Commencement Date by
or due to the actions or omissions of Tenant, its agents, contractors and
invitees and (iii) the cost of and the obligation to perform any required or
necessary repair, clean-up, investigation, removal, remediation or abatement,
and the preparation of any closure or other required plans, whether such action
is required or necessary following the commencement of the initial lease term,
to the full extent that such action is attributable, directly or indirectly, to
the presence, use, generation, storage, release, threatened release or disposal
of Hazardous Materials on, under or in the Premises due to the acts or
omissions of Tenant, its agents, contractors and invitees. This
indemnification obligation of Tenant does not extend to any repair, clean-up,
investigation, removal, remediation or abatement of Hazardous Materials (i)
which were present on, under or in the Premises before or on the Lease
Commencement Date or (ii) for which Landlord is otherwise obligated to
indemnify Tenant pursuant to this Paragraph 11.16.

     Landlord and Tenant shall mutually indemnify, defend and hold harmless
each others directors, officers, employees, and agents, and any assignees,
subtenants or successors to Tenant’s interest in the Premises, their directors,
officers, employees, and agents, from and against any and all losses, claims,
suits, damages, judgments, penalties, and liability including, without
limitation, all (i) out-of-pocket litigation costs and reasonable attorneys’
fees, (ii) all damages (including consequential damages), directly or indirectly
arising out of the presence, use, generation, storage, release, threatened
release or disposal of Hazardous Materials on, under or in the Premises before
or after the Lease Commencement Date by or due to the actions or omissions of
Landlord and (iii) the cost of and the obligation to perform any required or
necessary repair, cleanup, investigation, removal, remediation or abatement and
the preparation of any closure or

Page 167

 

other required plans, whether such action is required or necessary prior
to or following the commencement of the initial lease term, to the full extent
that such action is attributable, directly or indirectly, to the presence, use,
generation, storage, release, threatened release, or disposal of Hazardous
Materials on, under or in the Premises due to the actions or omissions of
Landlord.

     For the purpose of this Paragraph 11.16, Hazardous Materials shall include
but not be limited to substances defined as “hazardous substances,” “hazardous
materials,” or “toxic substances” in the Comprehensive Environmental Response,
Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601, et
seq.; the Hazardous Materials Transportation Act, 49 U.S.C. Section 1801 et
seq.; the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901, et
seq.; judicial decisions; and any and all state, local or federal laws, rules,
regulations and orders pertaining to environmental, public health or welfare
matters, as the same may be amended or supplemented from time to time
(collectively, the “Environmental Laws”). Any terms mentioned in this Lease
which are defined in any applicable Environmental Laws shall have the meanings
ascribed to such terms in such laws, provided, however, that if any such laws
are amended so as to broaden any term defined therein, such broader meaning
shall apply subsequent to the effective date of such amendment.

     The provisions of this Paragraph 11.16 shall survive the expiration or
sooner termination of this Lease.

     11.17 Permitted Operations. The Tenant shall determine to its
satisfaction, during its due diligence period, whether the Premises can be used
for its intended purpose.

     11.18 Attorney’s Fees. In the event that at any time during the Term of
this Lease either Landlord or Tenant shall institute any action or proceeding
against the other relating to the provisions of this Lease, or any default
hereunder, the unsuccessful party in such action or proceeding agrees to
reimburse the successful party for the reasonable expenses of attorney’s fees
and paralegal fees and disbursements incurred therein by the successful party.
Such reimbursement shall include all legal expenses incurred prior to trial, at
trial and at all levels of appeal and post judgment proceedings.

     11.19 Counterparts. This Lease may be executed in any number of
counterparts, each of which shall be an original but all of which together
shall constitute one and the same instrument. A telecopy signature of any
party shall be considered to have the same binding legal effect as an original
signature.

Page 168

 

SECTION 12

TENANT’S OPTION TO PURCHASE

     Tenant
shall have the right to purchase the Premises at any time after the
second lease year but before the end of the fifth (5) lease year upon giving
notice in writing to Landlord (the “Purchase Notice”) at least ninety (90) days
of its intention to purchase the Premises. If Tenant exercises this Option to
Purchase, then Tenant shall purchase and Landlord shall sell the Premises upon
the terms and conditions set forth on the Terms for Sale and Purchase attached
hereto as Exhibit “D” (the “Purchase Terms”). Upon the closing of title
pursuant to the above-mentioned Purchase Terms, this Lease shall terminate and
end. The purchase price for the Premises (“Purchase Price”) shall be $1,810,000.00 dollars. Should the
Seller be unable to provide good, clear, marketable title per Massachusetts
Conveyancers Standards after receipt of Tenant’s intention to exercise this
option, than the rent hereunder shall abate to interest only payable per the
following formula: simple interest only at the Fleet Bank prime rate as
published in the Boston Globe on the amount of $1,800,000 dollars, until such
time as the Landlord can convey good title. The option to purchase shall
expire without notice after the expiration of the fifth year of the lease.

Page 169

 

     IN WITNESS WHEREOF, on the day and year first above written, Landlord and
Tenant have duly executed this Lease under seal as their free act and deed.

	 	 	 
	Signed, Sealed and Delivered

In the Presence of:

	 	LANDLORD:

195 New Boston Street, LLC
	 
	 	 
	

PRINT NAME OF WITNESS BELOW:
	 	 
	

	 	By:
	

	 	
 
	

	 	Print Name:
	

	 	
 
	

	 	Title:
	

	 	
 
	 
	 	 
	Signed, Sealed and Delivered

In the Presence of:

	 	TENANT:
	 
	 	 
	

	 	TREC, LLC
	 
	 	 
	

PRINT NAME OF WITNESS BELOW:
	 	 
	

	 	By:
	

	 	
 
	

	 	Print Name:
	

	 	
 
	

	 	Title:
	

	 	
 
	 
	 	 
	

	 	Guarantor:
	 
	 	 
	

	 	By:
	

	 	
 
	

	 	Print Name:
	

	 	
 
	

	 	Title:
	

	 	
 
	 
	 	 

EXHIBIT “A”

DESCRIPTION OF PREMISES

     The Premises to which reference is made in the foregoing and attached
Lease is hereby described as all that lot, piece or parcel of land lying, being
and situated in the County of Middlesex, State of Massachusetts, more
particularly described as follows:

Page 170

 

FIDUCIARY DEED

     We, Virginia M. Winn, Executrix of the Will of Francis X. Winn (See
Middlesex Probate Court Docket No. 554642), and Jeanne G. Winn, Executrix of
the Will of Robert M. Winn (See Middlesex Probate Court Docket No. 85P6799E) by
power contained in said Wills and every other power, for consideration paid of
One Million ($1,000,000.00) Dollars, grant to 195 New Boston Street LLC, a
Massachusetts limited liability company with a usual place of business at 195
New Boston Street, Woburn, Massachusetts, that certain parcel of land with the
building and improvements located thereon, now known as and numbered 195 New
Boston Street, Woburn, Middlesex County, Massachusetts, bounded and described
as follows:

     Westerly by the easterly line of New Boston Street, five hundred
sixty-four and 07/100 feet;

     Northeasterly by lot 3 as shown on the plan hereinafter mentioned, six
hundred seventy one and 08/100 feet;

     Northeasterly again, four hundred ninety and 88/100 feet by land now or
formerly of the Boston and Maine Railroad; and

     Southerly, sixty-eight and 93/100 feet by land now or formerly of the
Boston and Maine Railroad; and

     Southwesterly and Southerly by land now or formerly of Stanislaw
Stefanowich, six hundred seventy-one and 34/100 feet.

     Said parcel is shown as lot 21 on said plan, (Plan No. 73121).

     All of said boundaries are determined by the Court to be located as shown
on a subdivision plan, as approved by the Court, filed in the Land Registration
Office, a copy of which is filed in the Registry of Deeds for the South
Registry District of Middlesex County in Registration Book 157, Page 35, with
Certificate 145815.

     The above described land is subject to easements as set forth in a grant
made by the Merrimac Chemical Company to the City of Woburn, dated August 9,
1915, duly recorded in Book 4015, Page 524

     The above described land is subject to a revocable license made by said
Merrimac Chemical Company to the Boston and Maine Railroad, dated November 4,
1924, duly recorded in Book 4791, Page 466; and said land is also subject to a
grant of easements in favor of the Boston and Lowell Railroad Corporation,
dated September 16, 1891, duly recorded in Book 2070, Page 427.

     The
above described land is subject to the flow of a natural water course
through the same as shown on said plan.

     The above described land is subject to the agreement set forth in Document
No. 454956.

     The above described land is subject to and has the benefit of the
restrictions more particularly set forth in Deed Documents Nos. 397266 and
454956.

Page 171

 

     The above described land is subject to a Grant of Easement from Robert M.
Winn. et al to the City of Woburn as set forth in Document No. 524494.

     The above described land is subject to an Order of Court approving plan
No. 7312-I delineating the sewer easement as set forth in Document No. 443648
and a relocation of the brook as affected by Document No. 484448.

     By this deed, all of the remaining land described in Certificate of Title
No. 126721 has been conveyed.

     For
grantors’ title, see Certificate of Title No. 126721 filed with the
Middlesex South Registry District of the Land Court in Registration Book 763,
Page 171.

     WITNESS our hands and seals this 7th day of December, 1998.

	 	 	 
	 

	 	

Virginia M. Winn, Executrix

of the Will of Francis X. Winn
	 
	 	 
	

	 	
 
	

	 	Jeanne G. Winn, Executrix

of the Will of Robert M. Winn

COMMONWEALTH OF MASSACHUSETTS

			
	Middlesex, ss
	 	December 7, 1998

     Then personally appeared the above-named Virginia M. Winn. Executrix as
aforesaid, and acknowledged the foregoing to be her free act and deed, before me

	 	 	 
	 

	 	
James R. Peluso, Notary Public

My Commission Expires: November 17, 2000

Page 172

 

EXHIBIT “B”

[MORTGAGE INSPECTION CERTIFICATE]

Page 173

 

EXHIBIT “B”

FORM OF MEMORANDUM OF LEASE

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

MEMORANDUM OF LEASE

(Woburn, Massachusetts)

     THIS MEMORANDUM OF LEASE by and between __________ a _____________________
_________________, the address of which is ______________________________
___________________ (hereinafter called “Landlord”), and NATIONSRENT USA, INC.,
a Delaware corporation, the address of which is 450 East Las Olas Boulevard,
Suite 1400, Fort Lauderdale, Florida 33301 (hereinafter called “Tenant”).

     Landlord has granted to Tenant a lease which includes, among others, the
following provisions:

     1. Date
of Lease: _______________ .

     2. Description of leased Premises: See Exhibit “A” attached hereto.

     3. Lease Commencement Date: _____________________.

     4. Term: Fifteen (15) Years.

     5. Renewal Options: Two (2) five (5) year renewal options.

     6. The Lease contains a right of first refusal and an option to purchase
both in favor of Tenant.

     7. The Lease contains the following provision:

Liens. All persons are put on notice of the fact that Tenant under no
circumstances shall have the power to subject the interest of Landlord in the
Premises to any mechanic’s or materialman’s lien or liens of any kind. All
persons who hereafter, during the life of this Lease, may furnish work,
services
or materials to the Premises upon the request or order of Tenant or any person
claiming under, by or through Tenant, must look wholly to the interest of
Tenant
and not to that of Landlord.

Tenant covenants and agrees with Landlord that Tenant will not permit or suffer
to be filed or claimed against the interest of Landlord in the Premises during
the continuance of this Lease, any lien or liens of any kind by any person
claiming under, by, through or against Tenant; and if any such lien is claimed
or filed, it shall be the duty of Tenant, within sixty (60) days after the
claim
of lien or suit claiming a lien has been filed, to cause the Premises to be
released from such claim, either through payment or through bonding with
corporate surety or through the deposit into court, pursuant to statute, of the
necessary sums of money, or in any other way that will effect the release of
Landlord’s interest in the Premises from such claim.

The purpose of this Memorandum of Lease is to give record notice of the Lease
and of the rights created thereby, all of which are hereby confirmed.

Page 174

 

     IN WITNESS WHEREOF the parties have executed this Memorandum of Lease as
of
the dates set forth in their respective acknowledgments.

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	 

 

 
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of

     ___, ____, by Bryan T. Rich, the Manager of _________, a _____________
_________________________. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 175

 

EXHIBIT “C”

TITLE EXCEPTIONS

None.

Page 176

 

EXHIBIT “D”

FORM OF NON-DISTURBANCE AGREEMENT

RECORDING REQUESTED BY, AND

WHEN RECORDED RETURN TO:

Theresa M. McLaughlin, Esq.

Akerman, Senterfitt & Eidson, P.A.

450 East Las Olas Boulevard, Suite 950

Fort Lauderdale, Florida 33301

SPACE ABOVE THIS LINE FOR RECORDER’S USE

SUBORDINATION, NONDISTURBANCE AND ATTORNMENT AGREEMENT

(Woburn, Massachusetts)

     THIS SUBORDINATION NON-DISTURBANCE AND ATTORNMENT AGREEMENT (the
“Agreement”) is made and entered into this the day of , 2000, by NATIONSRENT
USA, INC., a Delaware corporation, the address of which is 450 East Las Olas
Boulevard, Suite 1400, Fort Lauderdale, Florida 33301 (“Tenant”), (“Lender”)
and
_________, a _______________________________________, the address of which is
__________________________________________________ (“Landlord”).

R E C I T A L S:

     WHEREAS, Landlord and Tenant executed a Lease dated as of _____________________
(the “Lease”), in favor of Tenant, a memorandum of which may be recorded
simultaneously herewith, covering Premises therein described located on a
parcel
of real estate, the legal description of which is attached hereto and
incorporated herein by this reference as Exhibit “A” (said parcel of real
estate
and the Premises being sometimes collectively referred to herein as the
“Property”); and

     WHEREAS, Landlord has executed a ___(the “Mortgage”) dated
___and recorded on ___at Book ___, Page
___, of the ___Records of ___County, State of
___in favor of Lender, payable upon the terms and conditions
described
therein; and

     WHEREAS, it is a condition to said loan that said Mortgage shall
unconditionally be and remain at all times a lien or charge upon the Property,
prior and superior to the Lease and to the leasehold estate created thereby;
and

     WHEREAS, the parties hereto desire to assure Tenant’s possession and
control of the Property under the Lease upon the terms and conditions therein
contained;

Page 177

 

     NOW, THEREFORE, for and in consideration of the mutual covenants and
premises herein and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged and confessed by the parties
hereto,
the parties hereto do hereby agree as follows:

A G R E E M E N T:

     l. The Lease is and shall be subject and subordinate to the Mortgage, and
to all renewals, modifications, consolidations, replacements and extensions
thereof, and to all future advances made thereunder.

     2. Should Lender become the owner of the Property, or should the Property
be sold by reason of foreclosure, or other proceedings brought to enforce the
Mortgage which encumbers the Property, or should the Property be transferred by
deed in lieu of foreclosure, or should any portion of the Property be sold
under
a trustee’s sale, the Lease shall continue in full force and effect as a direct
lease between the then owner of the Property covered by the Mortgage and
Tenant,
upon, and subject to, all of the terms, covenants and conditions of the Lease
for the balance of the Term thereof remaining, including any extensions therein
provided. Tenant does hereby agree to attorn to Lender or to any such owner as
its landlord, and Lender hereby agrees that it will accept such attornment.

     3. Notwithstanding any other provision of this Agreement, Lender shall not
be (a) liable for any default of any landlord under the Lease (including
Landlord), except that Lender agrees to cure any default of Landlord that is
continuing as of the date Lender forecloses the Property within thirty (30)
days
from the date Tenant delivers written notice to Lender of such continuing
default, unless such default is of such a nature to reasonably require more
than
thirty (30) days to cure and then Lender shall be permitted such additional
time
as is reasonably necessary to effect such cure, provided Landlord diligently
and
continuously proceeds to cure such default; (b) subject to any offsets or
defenses which have accrued prior to the date of foreclosure, unless Tenant
shall have delivered to Lender written notice of the default which gave rise to
such offset or defense and permitted Lender the same right to cure such default
as permitted Landlord under the Lease; (c) bound by any Rent that Tenant may
have paid under the Lease more than one month in advance; (d) bound by any
amendment or modification of the Lease hereafter made without Lender’s prior
written consent; (e) responsible for the return of any security deposit
delivered to Landlord under the Lease and not subsequently received by Lender.

     4. If Lender sends written notice to Tenant to direct its Rent payments
under the Lease to Lender instead of Landlord, then Tenant agrees to follow the
instructions set forth in such written instructions and deliver Rent payments
to
Lender; however, Landlord and Lender agree that Tenant shall be credited under
the Lease for any Rent payments sent to Lender pursuant to such written notice.

     5. All notices which may or are required to be sent under this Agreement
shall be in writing and shall be sent by first-class certified U.S. mail,
postage prepaid, return receipt requested, and sent to the party at the address
appearing below or such other address as any party shall hereafter inform the
other party by written notice given as set forth above:

	 	 	 
	If to Landlord:

	 	 

 

 
	 
	 	 
	with a copy to:

	 	 

 

 

Page 178

 

	 	 	 
	If to Tenant:

	 	NationsRent USA, Inc.

200 East Broward Boulevard, 21st Floor

Fort Lauderdale, Florida 33301

Attn: Jorge L. Martin, Vice President

of Real Estate and Construction
	 
	 	 
	with a copy to:

	 	NationsRent, Inc.

450 East Las Olas Boulevard, Suite 1400

Fort Lauderdale, Florida 33301

Attn: Joseph H. Izhakoff, Esq.
	 
	 	 
	with a copy to:

	 	 

 

 

 
	 
	 	 
	Lender:

	 	

All notices delivered as set forth above shall be deemed effective three (3)
days from the date deposited in the U.S. mail.

     6. Said Mortgage shall not cover or encumber and shall not be construed as
subjecting in any manner to the lien thereof any of Tenant’s improvements or
trade fixtures, furniture, equipment or other personal property at any time
placed or installed in the Premises. In the event the Property or any part
thereof shall be taken for public purposes by condemnation or transfer in lieu
thereof or the same are damaged or destroyed, the rights of the parties to any
condemnation award or insurance proceeds shall be determined and controlled by
the applicable provisions of the Lease.

     7. This Agreement shall inure to the benefit of and be binding upon the
parties hereto, their successors in interest, heirs and assigns and any
subsequent owner of the Property secured by the Mortgage.

     8. Should any action or proceeding be commenced to enforce any of the
provisions of this Agreement or in connection with its meaning, the prevailing
party in such action shall be awarded, in addition to any other relief it may
obtain, its reasonable costs and expenses, not limited to taxable costs, and
reasonable attorney’s fees.

     9. Tenant shall not be enjoined as a party/defendant in any action or
proceeding which may be instituted or taken by reason or under any default by
Landlord in the performance of the terms, covenants, conditions and agreements
set forth in the Mortgage.

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed as of the day and year first above written.

	 	 	 
	WITNESSES:

	 	LENDER:
	

Print Name:

Print Name:

	 	

a 

company

By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

Page 179

 

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of ___,
a ___corporation, on behalf of the corporation. He/she is personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	TENANT:
	 
	 	 
	

Print Name:

	 	NATIONSRENT USA, INC.,

a Delaware corporation
	 
	 	 
	

Print Name:

	 	By: 

Name:

Title:

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of ___,
____, by ___as___of NATIONSRENT USA,
INC., a Delaware corporation, on behalf of the corporation. He/she is
personally
known to me or has He/she is personally known to me or has produced a driver’s
license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

	 	 	 
	WITNESSES:

	 	LANDLORD:
	 
	 	 
	

Print Name:

	 	 

 

 
	 
	 	 
	

Print Name:

	 	By: 

Name: 

Title: 

	 	 	 	 	 	 	 
	STATE OF ____________

	 	)

)

)	 	ss:
	COUNTY OF __________

     The foregoing instrument was acknowledged before me this ___day of
___, ____, by Bryan T. Rich, the Manager of TREC, LLC, a Massachusetts
limited liability company. He is personally known to me or has produced a
driver’s license as identification.

	 	 	 
	 	 	

Notary Public

Print Name:

Commission No.:

My Commission Expires:

Page 180

 

EXHIBIT “E”

TERMS FOR PURCHASE AND SALE

     If Tenant exercises the Option to Purchase contained in Section 12 of the
Lease, the closing of the transfer of the Premises shall be controlled by the
following provisions. Capitalized terms not defined herein shall have the
meaning given them in the Lease to which this Exhibit is attached.

	1.	 	PROPERTY DESCRIPTION:

	 	(a)	 	Premises: the property described on Exhibit “A” to the Lease.

	 	(b)	 	Personal Property: (“None” if blank).

	2.	 	PURCHASE PRICE: Landlord and Tenant agree to act reasonably and in good
faith to negotiate a Purchase Price for the Premises that will be equal to
the then current fair market value of the Premises. In the event the
parties are unable to reach an agreement with respect to the Purchase
Price
within fifteen (15) days of the Purchase Notice provided under Section 12
of the Lease between Landlord and Tenant, then either party may notify the
other of its intent to have the Purchase Price determined by appraisal.
Such notice must identify the appraiser retained to make such
determination, which appraiser must be engaged full time as a real estate
appraiser and must be a member of the American Institute of Real Estate
Appraisers. A copy of such appraiser’s report indicating the appraised
fair
	 
	 	 	market value of the Premises shall be delivered, upon receipt, to the
other
party. Such other parry shall then have thirty (30) days to retain a
second
appraiser to make a separate determination and to submit a separate report
indicating the fair market value of the Premises. Such second appraiser
must also be engaged full time as a real estate appraiser and must also be
a member of the American Institute of Real Estate Appraisers. A copy of
such second appraiser’s report shall be delivered, upon receipt, to the
other party. If the appraised fair market value of the Premises according
to such two (2) appraisal reports vary by twenty-five (25%) percent or
less, then the fair market values indicated in the two (2) reports shall
be
averaged and the value thus obtained, shall, for all purposes,
conclusively
fix and be the Purchase Price. If such values vary by more than
twenty-five
(25%) percent then such two (2) appraisers shall select a third appraiser,
similarly qualified, who shall determine the fair market value of the
Premises, such determination to be conclusive on the parties. If the two

Page 181

 

	 	 	(2) appraisers fail to appoint such third appraiser within thirty (30)
days
after delivery of the second appraiser’s report, the third appraiser shall
be appointed by the presiding judge of the state court of general
jurisdiction for the county in which the Premises are located, and such
third appraiser shall then individually determine the fair market value of
the Premises, such determination to be binding upon each of the parties.
It
is expressly agreed that the determination of the fair market value of the
Premises by a third appraiser (whether appointed by the prior two (2)
appraisers or such presiding judge) shall be a value that must be between
the values determined by the results of the prior two (2) appraisers, and
the submission of the dispute to such third appraiser shall so provide. It
is further expressly acknowledged, understood and agreed that such
appraisals shall determine the actual fair market value of the Premises
for
the purposes of determining the Purchase Price to be paid under the Option
to Purchase. The Appraisers should not consider the existence of the
Lease,
or the options to extend the Term or to purchase the Premises in arriving
at the fair market value of the Premises. The fair market value of the
Premises as determined by the above procedure shall be the Purchase Price
for the Premises. Each party shall pay all costs, fees and expenses of the
appraiser appointed by it, and fifty (50%) percent of the costs, fees and
expenses of the third appraiser, if any. The Closing Date of the sale and
purchase shall be extended as necessary to complete the procedure set
forth
above, and if extended, the Closing shall occur fifteen (15) days after
the
Purchase Price is finally determined. Notwithstanding any provision of
this
Exhibit E to the contrary, the parties hereto agree that the fair market
value shall not be less than the sum of (a) the purchase price paid by the
Landlord for the Premises prior to the commencement of the term of the
Lease and (b) the unreimbursed costs and expenses of improvements to the
Premises incurred by Landlord.

	3.	 	EFFECTIVE DATE: The date of Contract (“Effective-Date”) swill be the date
when the Tenant has delivered a Purchase Notice to the Landlord.

	4.	 	PAYMENT OF PURCHASE PRICE: The Purchase Price, subject to applicable
adjustments and prorations, shall be paid to Landlord on the Closing Date
by certified or cashier’s check or by wire transfer.

	5.	 	CLOSING DATE: This transaction shall be closed and the deed and other
closing papers delivered on the sixtieth (60) day after the Effective Date
unless modified by other provisions of these Terms for Purchase and Sale
(these “Purchase Terms”)

	6.	 	RESTRICTIONS; EASEMENTS; LIMITATIONS: Tenant shall take title subject to:
comprehensive land use plans, zoning, restrictions, prohibitions and other
requirements imposed by governmental authority; restrictions and matters
appearing on the plat or otherwise common to the subdivision; public
utility easements of record servicing the Premises; taxes for year of
closing and subsequent years; assumed mortgages identified in the Purchase
Notice, if any; provided that there exists at closing no violation of the
foregoing and none prevents use of the Premises for purposes identified in
Section 11.17 of the Lease.

	7.	 	OCCUPANCY: Landlord warrants that there are no parties in occupancy other
than Tenant and any party claiming under Tenant and Landlord shall deliver
sole occupancy of the Premises to Tenant at time of closing, except for
any
parties in possession under agreements with Tenant.

	8.	 	ASSIGNABILITY: Tenant may assign its rights under this agreement to the
same extent and in the same manner as provided in Section 9 of the Lease.

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\

	9.	 	EVIDENCE OF TITLE: Within twenty (20) days of receipt of a Purchase
Notice,
Landlord shall deliver to Tenant a copy of Landlord’s existing owner’s
title insurance policy and all endorsements thereto. Within thirty (30)
days after the Purchase Notice, Tenant at Tenant’s expense shall obtain a
title insurance commitment (with legible copies of instruments listed as
exceptions attached thereto) issued by a title insurer licensed in the
state where the Premises is located agreeing to issue Tenant, upon
recording of the deed to Tenant, an owner’s policy of title insurance in
the amount of the Purchase Price, insuring Tenant’s title to the Premises,
subject only to liens, encumbrances, exceptions or qualifications provided
in these Purchase Terms and those to be discharged by Landlord at or
before
closing. Landlord shall convey marketable title subject only to liens,
encumbrances, exceptions or qualifications provided in these Purchase
Terms. Marketable title shall be determined according to applicable law.
Tenant shall have thirty (30) days from date of receiving evidence of
title
to examine it. If title is found defective, Tenant shall within three (3)
days thereafter, notify Landlord in writing specifying defect(s). If the
defect(s) render title unmarketable, Landlord will have thirty (30) days
from receipt of notice to remove the defects, failing which Tenant shall,
within five (5) days after expiration of the thirty (30) day period,
deliver written notice to Landlord either: (1) extending the time for a
reasonable period not to exceed one hundred twenty (120) days within which
Landlord shall use diligent effort to remove the defects; or (2)
terminating Tenant’s exercise of the Option to Purchase the Premises. If
Tenant fails to so notify Landlord, Tenant shall be deemed to have
accepted
the title as it then is. Landlord shall, if title is found unmarketable,
use diligent effort to correct defect(s) in the title within the time
provided therefor. If Landlord is unable to timely correct the defects,
Tenant shall either waive the defects or terminate the exercise of the
Option to Purchase, thereby releasing Tenant and Landlord from all further
obligation under these Purchase Terms.

	10.	 	SURVEY: Tenant, at Tenant’s expense, within time allowed to deliver
evidence of title and to examine same, may have the Premises surveyed and
certified by a surveyor registered in the state where the Premises is
located. If survey discloses encroachment on the Premises or that
improvements located on the Premises encroach on setback lines, easements,
lands of others or violate any restrictions, covenants of these Purchase
Terms or applicable governmental regulation, the same shall constitute a
title defect.

	11.	 	INGRESS AND EGRESS: Landlord warrants and represents that there is ingress
and egress to the Premises sufficient for its intended use as described in
Section 11.17 of the Lease, title to which is in accordance with Section 9
of these Purchase Terms.

	12.	 	LIENS: Landlord shall furnish to Tenant at time of closing an affidavit
attesting to the absence, unless otherwise provided for herein, of any
financing statement, claims of lien or potential lienors arising as the
result of any action or inaction of Landlord and further attesting that
there have been no improvements or repairs to the Premises by Landlord for
ninety (90) days immediately preceding date of closing. If the Premises
has
been improved or repaired by Landlord within that time, Landlord shall
deliver releases or waivers of construction liens executed by all general
contractors, subcontractors, suppliers and materialmen in addition to
Landlord’s lien affidavit setting forth the names of all such general
contractors, subcontractors, suppliers and materialmen, further affirming
that all charges for improvements or repairs incurred by Landlord which
could serve as a basis for a construction lien or a claim for damages have
been paid or will be paid at closing of these Purchase Terms.

	13.	 	PLACE OF CLOSING: Closing shall be held in the county where the Premises
are located at the office of the attorney or other closing agent
designated
by Tenant.

Page 183

 

	14.	 	TIME: In computing time periods of less than six (6) days, Saturdays,
Sundays and state or national legal holidays shall be excluded. Any time
periods provided herein which shall end on a Saturday, Sunday or a legal
holiday shall extend to 5:00 p.m. on the next business day. Time is of the
essence in these Purchase Terms.

	15.	 	DOCUMENTS FOR CLOSING: Landlord shall furnish the deed, bill of sale,
construction lien affidavit in compliance with Section 12 of these
Purchase
Terms, owner’s possession affidavit, FIRPTA affidavit, assignments of
leases, tenant and mortgagee estoppel letters and corrective instruments.
Each party shall execute a closing statement.

	16.	 	EXPENSES: Transfer taxes, fees, documentary stamps and surtax on the deed
and recording of corrective instruments shall be paid by Landlord.
Recording of deed shall be paid by Tenant. Unless otherwise provided by
law
or rider to these Purchase Terms, charges for the following related title
services, namely title or abstract charge, title examination, and
settlement and closing fee, shall be paid by the party responsible for
furnishing the title evidence in accordance with Section 9 of these
Purchase Terms. Tenant shall pay the premium for the owners title
insurance
policy insuring Tenant’s interest.

	17.	 	PRORATIONS; CREDITS: Taxes, assessments, rent, interest, insurance and
other expenses of the Premises shall be prorated through the day before
closing unless they are the responsibility of Tenant under the Lease, in
which case they shall not be prorated. Tenant shall have the option of
taking over existing policies of insurance, if assumable, in which event
premiums shall be prorated. Cash at closing shall be increased or
decreased
as may be required by prorations to be made through the day prior to
closing. Advance rent and security deposits will be credited to Tenant.
Escrow deposits held by any mortgagee will be credited to Tenant if Tenant
has provided the funds for the escrow, otherwise they will be paid to
Landlord. Taxes shall be prorated based on the current year’s tax with due
allowance made for maximum allowable discount, homestead and other
exemptions. If closing occurs at a date when the current year’s millage is
not fixed and current years assessment is available, taxes will be
prorated
based upon such assessment and the prior year’s millage. If the current
year’s assessment is not available, then taxes will be prorated on the
prior year’s tax. Tax proration based on an estimate shall, at request of
either party, be readjusted upon receipt of tax bill on condition that a
statement to that effect is signed at closing.

	18.	 	SPECIAL ASSESSMENT LIENS: Certified, confirmed and ratified special
assessment liens as of date of closing (not as of Effective Date) are to
be
paid by Landlord unless they are the responsibility of Tenant under the
Lease. Pending liens as of date of closing shall be assumed by Tenant. If
the improvement has, been substantially completed as of Effective Date,
any
pending lien shall be considered certified, confirmed or ratified and
Landlord shall, at closing, (unless such lien is the responsibility of
Tenant under the Lease) be charged an amount equal to the last estimate or
assessment for the improvement by the public body.

	19.	 	RISK OF LOSS: If the Premises is damaged by fire or other casualty before
closing and cost of restoration does not exceed fifty (50%) percent of the
assessed valuation of the Premises so damaged, cost of restoration shall
be
an obligation of the Landlord and closing shall proceed pursuant to the
terms of these Purchase Terms with restoration costs escrowed at closing.
If the cost of restoration exceeds fifty (50%) percent of the assessed
valuation of the Premises so damaged, Tenant shall have the option of
either taking the Premises as is, together with any insurance proceeds
payable by virtue of such loss or damage, or of terminating the exercise
of
the Option to Purchase.

Page 184

 

	20.	 	ATTORNEY’S FEES; COSTS: In any litigation, including breach, enforcement
or
interpretation, arising out of these Purchase Terms, the prevailing party
in such litigation shall be entitled to recover from the non-prevailing
party reasonable attorney’s fees, costs and expenses.

	21.	 	FAILURE OF PERFORMANCE: If Tenant fails to perform these Purchase Terms
within the time specified, Landlord may elect to terminate the exercise of
the Option to Purchase and be relieved of all obligations under these
Purchase Terms. If for any reason other than failure of Landlord to make
Landlord’s title marketable after diligent effort, Landlord fails,
neglects
or refuses to perform these Purchase Terms, the Tenant may seek specific
performance or may terminate the exercise of the option, whereupon
Landlord
shall reimburse Tenant for all costs and expenses in connection with
Tenant’s exercise of the Option to Purchase. In the event either party
terminates the exercise of the Option to Purchase as set forth herein, the
parties shall continue to be bound by the terms and provisions of the
Lease, as time same shall apply.

	22.	 	PERSONS BOUND; NOTICE: These Purchase Terms shall bind and inure to the
benefit of the parties and their successors in interest. Whenever the
context permits, singular shall include plural and one gender shall
include
all. Notice given by or to the attorney for any party shall be as
effective
as if given by or to that party.

	23.	 	CONVEYANCE: Landlord shall convey title to the Premises by limited
warranty
	 
	 	 	deed, subject only to matters contained in Section 6 of these Purchase
Terms and those otherwise accepted by Tenant. Personal Property shall, at
the request of Tenant, be transferred by an absolute bill of sale with
warranty of title, subject only to such matters as may be otherwise
provided for herein.

	24.	 	OTHER AGREEMENTS: No prior or present agreements or representations shall
be binding upon Tenant or Landlord unless included in these Purchase
Terms.
No modification to or change in these Purchase Terms shall be valid or
binding upon the parties unless in writing and executed by the party or
parties intended to be bound by it.

	25.	 	ENVIRONMENTAL REPRESENTATIONS AND INSPECTIONS: Landlord hereby represents
and warrants to Tenant (the “Representations”) that, exclusive of Tenant’s
and Tenant’s employee’s, agent’s and invitee’s actions or inactions: (l)
the Premises and all uses of the Premises have been, and presently are, in
compliance with all federal, state, and local Environmental Laws; (2) no
Hazardous Materials have been generated, stored, treated or transferred on
the Premises, except in the ordinary course of business and in compliance
with Environmental Laws; (3) Landlord has no knowledge of any spill or
Environmental Law violation on any property contiguous to or in the
vicinity of the Premises to be sold to Tenant; and (4) Landlord has not
received or otherwise obtained knowledge of any spill or contamination on
the Premises, any existing or threatened environmental lien against the
Premises, or any lawsuit, proceeding, or investigation regarding the
handling of Hazardous Materials on the Premises.

	26.	 	WARRANTY: Landlord warrants that there are no facts known to Landlord
materially affecting the value of the Premises which are not readily
observable by Tenant or which have not been disclosed to Tenant or that
have not been created by Tenant, its employees and agents.

Page 185

 

EXHIBIT “C”

COPY OF PURCHASE AGREEMENT

Page 186

 

EXHIBIT “K”

COPY OF PURCHASE AGREEMENT

STANDARD FORM

PURCHASE AND SALE AGREEMENT

From the Office of:

Michael J. Burkin, Esq.

318 Bear Hill Rd., Suite 1

Waltham, MA 02451

781.895.9562 (f) 890.5877

	 	 	This 12th day of August 1999

	1.	 	PARTIES AND MAILING ADDRESSES Richard Mattivello as Manager of 195 New
Boston Street, LLC of 195 New Boston Street, Woburn, MA hereinafter called
the SELLER, agrees to SELL and TREC, LLC of 800 Hartford Turnpike,
Shrewsbury, MA 01545

(fill in)

	2.	 	DESCRIPTION (fill in and include title reference) hereinafter called the
BUYER or PURCHASER, agrees to BUY, upon the terms hereinafter set forth,
the following described premises: the land and buildings thereon known as
195 New Boston Street, Woburn, MA containing approximately ___acres,
and
31,000 sf of useable warehouse/office space, as more particularly
described
in Certificate of Title 126721 at the Middlesex South Registry of Deeds in
the Land Court Registration Book 763, Page 171.

	3.	 	BUILDINGS, STRUCTURES, IMPROVEMENTS, FIXTURES Included In the sale as a
part of said premises are the buildings, structures, and improvements now
thereon, and the fixtures belonging to the SELLER and used in connection
therewith including, if any, all wall-to-wail carpeting, drapery nods,
automatic garage door openers, venetian blinds, window shades, screens,
screen doors, storm windows and doors, awnings, shutters, furnaces,
heaters, heating equipment, stoves, ranges, oil and gas burners and
fixtures appurtenant thereto, hot water heaters, plumbing and bathroom
fixtures, garbage disposers, electric and other lighting fixtures,
mantels,
outside television antennas, fences, gates, trees, shrubs, plants, and,
ONLY IF BUILT IN, refrigerators, air conditioning equipment, ventilators,
dishwashers, washing machines and dryers; and

(fill in or delete)

	 	 	but excluding

	4.	 	TITLE DEED (fill in) Include here by specific reference any restrictions,
easements, rights end obligations in party walls not included in (b),
leases, municipal and other liens, other encumbrances, and make provision
to protect SELLER against BUYER’s breech of SELLER’s covenants in leases,
where necessary.

	 	 	Said premises are to be conveyed by a good and sufficient quitclaim deed
running to the BUYER, or to the nominee designated by the BUYER by written
notice to the SELLER at least seven 7 days before the deed is to be
delivered as herein provided, and said deed shall convey a good and clear
record and marketable title thereto, free from encumbrances, except

Page 187

 

	 	(a)	 	Provisions of existing building and zoning laws;

	 	(b)	 	Existing rights and obligations in party walls which are not the
subject of written agreement;

	 	(c)	 	Such taxes for the then current year as are not due and payable on
the
date of the delivery of such deed:

	 	(d)	 	Any liens for municipal betterments assessed after the data of this
agreement;

	 	(e)	 	Easements, restrictions and reservations of record, if any, so long
as
the same do not prohibit or materially interfere with the current use
of said premises; as a warehouse facility

	 	*	 	(f)

	5.	 	PLANS If said deed refers to a plan necessary to be recorded therewith the
SELLER shall deliver such plan with the deed in form adequate for
recording
or registration.

	6.	 	REGISTERED TITLE In addition to the foregoing, if the title to said
premises is registered, said deed shall be in form sufficient to entitle
the BUYER in a Certificates of Title of said premises, and the SELLER
shall
deliver with said deed all instruments, if any, necessary to enable the
BUYER to obtain such Certificate of Title.

	7.	 	PURCHASE PRICE (fill in); space is allowed to write out the amounts if
desired

	 	 	The agreed purchase price for said premises is ONE MILLION, EIGHT HUNDRED
TEN ($1,810,000.00) THOUSAND dollars, of which $ 1,000.00 have been paid
as
a deposit this day and $1,809,000.00 are to be paid at the time of
delivery of the deed in cash, or by certified, cashiers, treasurer’s or
bank check(s).

$

	 	 	___
$ 1,810,000.00 TOTAL

All rights reserved. This form may not be copied or reproduced in whole or in
part in any manner without the prior express written consent of the Greater
Boston Real Estate Board.

	8.	 	TIME FOR PERFORMANCE; DELIVERY OF DEED (fill in) Such deed is to be
delivered at * o’clock A. M. on the ___day of___, at the
Middlesex Registry of Deeds, unless otherwise agreed upon in writing. It
is
agreed that time is of the essence of this agreement. See Paragraph 33 of
Rider A attached hereto.

	9.	 	POSSESSION AND CONDITION OF PREMISE (attach a list of exceptions, if any)
Full possession of said premises * all tenants and occupants, except as
herein provided, is to be delivered at the time of the delivery of the
deed, said premises to be then (a) in the same condition as they now are,
reasonable use and wear thereof excepted, and (b) not in violation of said
building and zoning laws, and (c) in compliance with provisions of any
instrument referred to in clause 4 hereof. The BUYER shall be entitled to
personally enter said premises prior to the delivery of the deed in order
to determine whether the condition thereof complies with the terms of this
clause. *subject to (specifically a lease to TREC, LLC.)

Page 188

 

	10.	 	EXTENSION TO PERFECT TITLE OR MAKE PREMISES CONFORM (Change period of time
if desired). If the SELLER shall be unable to give title or to make
conveyance, or to deliver possession of the premises, all as herein
stipulated, or if at the time of the delivery of the deed the premises do
not conform with the provisions hereof, then any payments made under this
agreement shall be forthwith refunded and all other obligations of the
parties hereto shall cease and this agreement shall be void without
recourse to the parties hereto, unless the SELLER shall use reasonable
efforts to remove any defects in title, or to deliver possession as
provided herein, or to make the said premises conform to the provisions
hereof, as the case may be, in which event the SELLER shall give written
notice thereof to the BUYER at or before the time for performance
hereunder, and thereupon the time for performance hereof shall be extended
for a period of thirty (30) days. Seller’s obligation to clear title shall
be limited to $5,000.

	11.	 	FAILURE TO PERFECT TITLE OR MAKE PREMISES CONFORM, etc. If at the
expiration of the extended time the SELLER shall have failed so to remove
any defects in title, deliver possession, or make the premises conform, as
the case may be, all as herein agreed, or if at any time during the period
of this agreement or any extension thereof, the holder of a mortgage on
said premises shall refuse to permit the insurance proceeds, if any, to be
used for such purposes, then any payments made under this agreement shelf
be forthwith refunded and all other obligations of the parties hereto
shall
cease and this agreement shall be void without recourse to the parties
hereto.

	12.	 	BUYER’s ELECTION TO ACCEPT TITLE The BUYER shall have the election, at
either the original or any extended time for performance, to accept such
title as the SELLER con deliver to the said premises in their then
condition and to pay therefore the purchase price without deduction, in
which case the SELLER shall corrvey such title, except that in the event
of
such conveyance in accord with the provisions of this clause, if the said
premises shall have been damaged by fire or casualty insured against, then
the SELLER shall, unless the SELLER has previously restored the premises
to
their former condition, either

	 	(a)	 	pay over or assign to the BUYER, on delivery of the deed, all amounts
recovered or recoverable on account of such insurance, less any
amounts reasonably expended by the SELLER for any partial restoration,
or

	 	(b)	 	if a holder of a mortgage on said premises shall not permit the
insurance proceeds or a part thereof to be used to restore the said
	 
	 	 	 	premises to their former condition or to be so paid over or assigned,
give to the BUYER a credit against the purchase price, on delivery of
the deed, equal to said amounts so recovered or recoverable and
retained by the holder of the said mortgage less any amounts
reasonably expended by the SELLER for any partial restoration.

	13.	 	ACCEPTANCE OF DEED The acceptance of a deed by the BUYER or his norninee
as
the case may be, shall be deemed to be a full performance and discharge of
every agreement and obligation herein contained or expressed, except such
as are, by the terms hereof, to be performed after the delivery of said
deed.

	14.	 	USE OF MONEY TO CLEAR TITLE To enable the SELLER to make conveyance as
herein provided, the SELLER may, at the time of delivery of the deed, use
the purchase money or any portion thereof to dear the title of any or all
encumbrances or interests, provided that all instruments so procured are
recorded simultaneously with the delivery of said deed.

Page 189

 

	15.	 	INSURANCE *Insert amount (list additional types of insurance and amounts
as
agreed) Until the delivery of the deed, the SELLER shall maintain
insurance
on said premises as follows:

	 	 	 	 	 
	Type of Insurance
	 	Amount of Coverage
	(a) Fire and Extended Coverage
	 	* $as presently insured
	(b)
	 	 	 	 

	16.	 	ADJUSTMENTS (list operating expenses, if any, or attach schedule)
Collected
rents, mortgage interest, water and sewer use charges, operating expenses
(if any) according to the schedule attached hereto or set forth below,
taxes for the then current fiscal year, shall be apportioned and fuel
value
shall be adjusted, as of the day of performance of this agreement and the
net amount thereof shall be added to or deducted from, as the case may
be,
the purchase price payable by the BUYER at the time of delivery of the
deed. Uncollected rents for the current rental period shall be apportioned
if and when collected by either party.

	17.	 	ADJUSTMENT OF UNASSESSED AND ABATED TAXES If the amount of said taxes is
not known at the time of the delivery of the deed, they shall be
apportioned on the basis of the taxes assessed for the preceding fiscal
year, with a reapportionment as soon as the new tax rate and valuation can
be ascertained; and, if the taxes which are to be apportioned shall
thereafter be reduced by abatement, the amount of such abatement, less the
reasonable cost of obtaining the same, shall be apportioned between the
parties, provided that neither party shall be obligated to institute or
prosecute proceedings for an abatement unless herein otherwise agreed.

	18.	 	BROKER’s FEE (fill in fee with dollar amount or percentage; also name of
Brokerage firm(s)) A Brokers fee for professional services of Five (5%)
percent of the purchase is due from the SELLER to price or $90,500 to
split
equally between Mark St. Jean of Phoenix Corporate Services, LLP and Blue
Chip Properties.

	19.	 	BROKER(S) WARRANTY (fill in name) The Broker(s) named herein Mark St. Jean
and Blue Chip Properties warrant(s) that the Broker(s) is(are) duly
licensed as such by the Commonwealth of Massachusetts.

	20.	 	DEPOSIT (fill in name) All deposits made hereunder shall be held in escrow
by Attorney Michael J. Burkin as escrow agent subject to the terms of this
agreement and shall be duly accounted for at the time for performance of
this agreement. In the event of any disagreement between the parties, the
escrow agent may retain all deposits made under this agreement pending
instructions mutually given by the SELLER and the BUYER.

	21.	 	BUYER’s DEFAULT; DAMAGES If the BUYER shall fail to fulfill the BUYER’s
agreements herein, all deposits made hereunder by the BUYER shall be
retained by the SELLER as liquidated damages. This shall be the Seller’s
sale remedy at law and equity.

	22.	 	RELEASE BY HUSBAND OR WIFE The SELLER’s spouse hereby agrees to join in
said deed and to release and convey all statutory and other rights and
interests in said premises.

	23.	 	BROKER AS PARTY The Broker(s) named herein join(s) in this agreement and
become(s) a party hereto, insofar as any provisions of this agreement
expressly apply to the Broker(s), and to any amendments or modifications
of
such provisions to which the Broker(s) agree(s) in writing.

	24.	 	LIABILITY OF TRUSTEE, SHAREHOLDER, BENEFICIARY, etc. If the SELLER or
BUYER
executes this agreement in a representative or fiduciary capacity, only
the
principal or the estate represented shall be bound, and neither the SELLER
or BUYER so executing, nor any shareholder or beneficiary of any trust,
shall be personally liable for any obligation, express or implied,
hereunder.

Page 190

 

	25.	 	WARRANTIES AND REPRESENTATIONS (fill in); If none, state “none”; if any
listed, indicate by whom each warranty or representation was made The
BUYER acknowledges that the BUYER has not been influenced to enter into
this transaction nor has he relied upon any warranties or representations
not set forth or incorporated in this agreement or previously made in
writing, except for the following additional warranties and
representations, if any, made by either the SELLER or the Broker(s): None.

	26.	 	MORTGAGE CONTINGENCY CLAUSE (omit if not provided for in Offer to
Purchase)
In order to help fiance the acquisition of said premises, the BUYER shall
apply for a conventional bank or other Institutional mortgage loan of $
N/A
at prevailing rates, terms and conditions. If despite the BUYER’s diligent
efforts a commitment for such loan cannot be obtained on or before N/A,
19___the BUYER may terminate this agreement by written notice to the
SELLER
and/or the Broker(s), as agent(s) for the SELLER, prior to the expiration
of such time, whereupon any payments made under this agreement shall be
forthwith refunded and all other obligations of the parties hereto shall
cease and this agreement shall be void without recourse to the parties
hereto. In no event will the BUYER be deemed to have used diligent efforts
to obtain such commitment unless the BUYER submits a complete mortgage
loan
application conforming to the foregoing provisions on or before N/A, 19___.

	27.	 	CONSTRUCTION OF AGREEMENT This instrument, executed in multiple
counterparts, is to be construed as a Massachusetts contract, is to take
effect as a sealed instrument, sets forth the entire contract between the
parties, is binding upon and ensures to the benefit of the parties hereto
and their respective heirs, devisees, executors, administrators,
successors
and assigns, and may be cancelled, modified or amended only by a written
instrument executed by both the SELLER and the BUYER. If two or more
	 
	 	 	persons are named herein as BUYER their obligations hereunder shall be
joint and several. The captions and marginal notes are used only as a
matter of convenience and are not to be considered a part of this
agreement
or to be used in determining the intent of the parties to it.

	28.	 	LEAD PAINT LAW The parties acknowledge that, under Massachusetts law,
whenever a child or children under six years of age resides in any
residential premises in which any paint, plaster or other accessible
material contains dangerous levels of lead, the owner of said premises
must
remove or cover said paint, plaster or other material so as to make it
inaccessible to children under six years of age.

	29.	 	SMOKE DETECTORS The SELLER shall, at the time of the delivery of the deed,
deliver a certificate from the fire department of the city or town in
which
said premises are located stating that said premises have been equipped
with approved smoke detectors in conformity with applicable law.

	30.	 	ADDITIONAL PROVISIONS The initialed riders, if any, attached hereto, are
incorporated herein by reference. Legal Description Mortgage Survey Rider
“A”

	 	 	FOR RESIDENTIAL PROPERTY CONSTRUCTED PRIOR TO 1978, BUYER MUST ALSO HAVE
SIGNED LEAD PAINT “PROPERTY TRANSFER NOTIFICATION CERTIFICATION”

NOTICE This is a legal document that creates binding obligations. If not
understood, consult an attorney.

	 	 	 
	

SELLER (or spouse) 195 New Boston Street,

LLC’s tax Id is:

	 	

SELLER Richard Mattivello, Manager
195 New Boston Street, LLC
	 
	 	 
	

BUYERTREC, LLC Tax ID. # is as
follows:

	 	

BUYERTREC, LLC by Brian Rich,
Manager

Broker(s)

EXTENSION OF TIME FOR PERFORMANCE

Date ___________________

     The time for the performance of the foregoing agreement is extended until
___o’clock ___M on the ___day of ___19___, time still being
of
the essence of this agreement as extended. In all other respects, this
agreement
is hereby ratified and confirmed.

     This extension, executed in multiple counterparts, is intended to take
effect as a sealed instrument.

	 	 	 
	

SELLER (or spouse)

	 	

SELLER
	 
	 	 
	

BUYER

	 	

BUYER

Page 191

 

Broker(s)

RIDER “A”

ATTACHED TO AND FORMING A

PART OF PURCHASE AND SALE AGREEMENT BY

AND BETWEEN THE

195 NEW BOSTON STREET, LLC, AS SELLER, AND

NATIONS RENT, INC., AS BUYER DATED JULY, 1999

	31.	 	PERMITS FOR BUYERS USE. This Agreement is subject to and conditioned upon
Buyer, at Buyer’s sole cost and expense, obtaining all permits and
approvals (collectively “Permits”) from the appropriate local governmental
authorities having jurisdiction in the City of Woburn in order to use
rehabilitate and/or construct a 31,000 square foot warehouse/distribution
facility on the within described premises. It is agreed that the Buyer
shall until September 30th, 1999 to obtain a building permit and/or
special
permits/variances from the Planning Board and Zoning Board of Appeals,
approval from the Board of Health and Conservation Commission (the “Permit
Period”). Buyer shall use all due diligence to consummate the permitting
of
the site.

	 	 	In the event that Buyer is not able to obtain all the Permits referenced
above, then Buyer shall immediately notify the Seller in writing, prior to
September 30, 1999 and this Agreement shall be deemed cancelled and
terminated without recourse, whereby all deposits made hereunder shall be
returned to Buyer.

	32.	 	The Buyer acknowledges that the Seller may choose to engage in a 1031
tax-free exchange in order to convey the subject property. The Buyer
agrees
to cooperate in this process by executing whatever documents are required
by the Seller in order to properly consummate an exchange, and Seller
agrees to pay any additional costs relating to said exchange.

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	33.	 	TIME FOR PERFORMANCE: The Buyer agrees herein to close on the acquisition
of the site, upon ten (10) day written notice to the Seller, any business
day after the two year anniversary, but before the five (5) year
anniversary of the execution of this Agreement. If the Time For
Performance
is scheduled for a Saturday, Sunday or holiday, then the Time For
Performance shall be the next business day the Middlesex Registry of Deeds
is open for business.

	34.	 	ENVIRONMENT/STRUCTURAL SITE ASSESSMENT. It is acknowledged that the Buyer
has performed a review of all previous site inspections/studies conducted
on the site. Seller has supplied to the Buyer any and all environmental
reports (including ROA issued by the Mass. Dept. of Envirn. Protection),
studies, notifications etc... that it has received from any source. The
Buyer shall have until July 30th, 1999 to review all previous
environmental
materials for the property. If Buyer is not satisfied with these prior
reports and investigations, then Buyer shall have until July 30th, 1999,
the right and option to cancel and terminate this Agreement without
recourse to either party, provided Buyer delivers to Seller written notice
of the exercise of its option to cancel and terminate.

	 	 	Should the Buyer execute a contract with a Massachusetts Licensed Site
Professional to conduct additional testing on the Property before July
30th, 1999, and sends written confirmation and copies of the same to the
Seller prior to July 30th, 1999, then this contingency shall be extended
to
September 30, 1999 to perform said additional testing at the Buyer’s sole
cost and expense. If Buyer is not satisfied with the results of its
additional reports and investigations, and notifies the Seller prior to
September 30th, 1999, it may exercise its right and option to cancel and
terminate this Agreement without recourse to either party, provided Buyer
has delivered to Seller written notice of the exercise of its option to
cancel and terminate. If Buyer does deliver notice of the exercise of its
right and option to cancel and terminate, as aforesaid, then this
Agreement
shall be deemed cancelled and terminated and all deposits made hereunder
shall be returned to Buyer unless Seller in its sole discretion notifies
Buyer in writing within ten (10) days of Seller’s decision at Seller’s
sole
cost and expense to correct any environmental issues noted in the Buyer’s
notification before the Time For Performance, in which event this
Agreement
shall remain in full force and effect.

	35.	 	PREMISES IN “AS-IS” CONDITION. Except only as herein specifically set
forth, Buyer agrees to accept the within described premises in its “as is”
condition at the execution of this Agreement. It is specifically agreed,
that since the purchase of the property shall be delayed from anywhere
between two and five years from the date hereof, that any changes in the
condition of the Building, whatsoever, shall not be assessed against the
Seller and/or the purchase price in anyway.

	 	 	Consistent with the foregoing, Seller agrees to use Seller’s best efforts
to prevent changes to the premises, excluding matters beyond Seller’s
reasonable control and excluding any changes caused by Buyer or Buyer’s
agents, independent contractors or the like; therefore, Buyer shall be
deemed to be satisfied with the condition of the within described premises
without any modifications or improvements required to be made by Seller.

	36.	 	NO BROKER EXCEPT AS SHOWN. Buyer warrants and represents to Seller and
Seller warrants and represents to Buyer that neither party has dealt with
any broker or finder in connection with the purchase and sale of the
premises or in connection with this Agreement which would give rise to any
claim(s) for a real estate commission due as a result thereof. It is
agreed
that the party breaching the foregoing representation or warranty shall be
deemed liable for any and all such commissions and any other related cost
thereof. The provisions of this paragraph shall survive the closing.

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	37.	 	ACCESS BY BUYER. Buyer and Buyer’s agents shall have limited access to the
within described premises upon verbal notice 24 hours prior to said
inspections for the purpose of making surveys, studies and soil tests
provided that prior to such entry Buyer provides to Seller evidence of (i)
liability insurance coverage naming Seller as an additional insured in
such
amounts to adequately protect Seller and with companies authorized to do
business in Massachusetts and (ii) workman’s compensation insurance
covering any and all employees of Buyer or Buyer’s agents or independent
contractors. Consistent with the foregoing, Buyer (i) shall restore the
within described premises to the same approximate condition as existed
immediately prior to said surveys, studies, soil and percolation tests and
the like and (ii) shall not change the topography of said premises without
the prior written permission of the Seller. All the foregoing shall be at
the sole cost and expense of Buyer, and the Buyer hereby agrees to
indemnify and hold Seller harmless from and against any and all claims and
demands of all persons for damage to persons or property arising out of or
in connection with the surveys, studies, soil and percolation tests and
the
like conducted by Buyer.

	38.	 	MISCELLANEOUS MORTGAGEE’S DOCUMENTS. The Seller agrees to execute and
deliver at the time of closing such customary forms as may be required by
the Buyer’s Mortgagee or title company.

	39.	 	MUNICIPAL ASSESSMENTS. The Seller, as the case may be, shall pay and
discharge at or before closing any assessment of any public or taxing
authority which affects or is a lien upon the premises; this applies to
but
is not limited to assessments as to which the installment method of
payment
applies.

	40.	 	SELLER’S REPRESENTATION. The Seller represents, covenants and warrants and
agrees with the Buyer as follows;

	 	A.	 	Seller has the legal right, power and authority to enter into this
Agreement, and perform all of Seller’s obligations hereunder;

	 	B.	 	Seller has not commenced nor has the Seller received notice of the
commencement of any proceeding which would affect the present zoning
classification of the Premises.

	 	C.	 	No work has been done to the premises which could give rise to any
liens under MGL Chapter 254, and there are no outstanding contracts in
effect for such work.

	 	D.	 	There is to the best of Seller’s knowledge and belief, no suit or
notice of suit, order or decree, claim, writ, injunction or judgment
relating to material violations of any laws, ordinances, codes
regulations or other requirements with respect to the premises by
governmental authorities having jurisdiction, or from any private
party.

	 	E.	 	To the best of Seller’s knowledge and belief, hazardous waste has
never been generated, treated, stored, released, discarded or disposed
of by the Seller on the within described premises; EXCLUDING ANY UST’S
PREVIOUSLY REMOVED FROM THE SITE BY A PREVIOUS OWNER.

	41.	 	BUYER’S REPRESENTATION. The Buyer represents, covenants and warrants and
agrees with Seller that Buyer has the legal right, power and authority to
enter into this Agreement and perform all of Buyer’s obligations
hereunder.

Page 194

 

	42.	 	MASSACHUSETTS CONVEYANCER’S ASSOCIATION STANDARDS/TIDE CONFORMITY. Any
title or practice matter arising or relating to this Agreement which is
the
subject of a title or practice standard of the Mass. Conveyancer’s
Association at the time for the delivery of the deed contemplated
hereunder
shall be governed by such title or practice standard, as the case may be
to
the extent applicable.

	 	 	It is understood and agreed by the parties that the premises shall not be
in conformity with the title provisions of this Agreement unless:

	 	(a)	 	All buildings, structures and improvements, including but limited to,
any driveways, garages and cesspools and all means of access to the
premises, shall be located and completely within the boundary lines of the
premises and shall not encroach upon or under the property of any other
person or entity, except pursuant to a validly recorded, indefeasible
easement.

	 	(b)	 	structures and improvements, of any kind belonging to any other person
or entity shall encroach upon or under the premises;

	 	(c)	 	The premises shall abut a public way, duly laid out or accepted as
such
by the city or town in which the premises are located or have an
indefeasible legal access to same; and,

	 	(d)	 	Title to the premises is insurable at ordinary rates, for the benefit
of the buyer in a fee owners policy in the American Land Title Association
form currently in use subject only to standard printed exceptions.

	43.	 	NOTICE. Unless otherwise specified herein, any notice to be given
hereunder
shall be in writing and signed by the party or the party’s attorney and
shall be deemed to have been given (a) when delivered by hand, or by a
nationally recognized delivery company, or (b) when mailed by registered
or
certified mail, return receipt requested, all charges prepaid, addressed,
or (c) by facsimile upon sending:

	 	 	In the case of Buyer to:Brian Rich, Manager, TREC, LLC 800 Hartford
Turnpike, Shrewsbury, MA 01545

	 	 	With a copy to Buyer’s Attorney:Robert Queler, 865 Providence Highway,
Dedham, MA 02026-6825.

In the case of Seller to:

Richard Mattivello, Manager

195 New Boston Street, LLC

195 New Boston Street

Woburn, MA 01888

with a copy to Seller’s Attorney

Michael J. Burkin, Esquire

318 Bear Hill Road, Suite 1

Waltham, MA 02154

781-895-9562

(f)781-890-5877

By such notice, either party or such party’s attorney may notify the other of a
new address, in which case such new address shall be employed for all
subsequent
deliveries and mailings.

	 	 	 
	Buyer

	 	Seller

	 
	 	 
	Buyer

	 	Seller

Page 195

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