Document:

leasegpcadamsllcandchemi

                                          EXHIBIT 10.1               LEASE              between         GPC ADAMS LLC,  a Michigan limited liability company             as Landlord                and         CHEMICAL BANK,    a Michigan banking corporation              as Tenant          Dated May 31, 2019                               

 

                             TABLE OF CONTENTS                                                                                                                     Page    1.    DEFINITIONS, CONSENTS AND CALCULATIONS:....................................................1        1.1   Definitions................................................................................................................1        1.2   Consents ...................................................................................................................5        1.3   Rentable Square Foot Calculations ..........................................................................5  2.    DEMISE OF PREMISES; QUIET ENJOYMENT; BUILDING 2: ....................................6  3.    USE: .....................................................................................................................................7  4.    TERM: .................................................................................................................................8  5.    RENTAL: .............................................................................................................................9  6.    TAXES:..............................................................................................................................10   7.    NET LEASE; NON-TERMINABILITY: ..........................................................................11   8.    SERVICES:........................................................................................................................12   9.    REPAIRS AND MAINTENANCE: ..................................................................................13   10.   DESTRUCTION OF OR DAMAGE TO PREMISES: .....................................................13   11.   INSURANCE, HOLD HARMLESS AND INDEMNIFICATION: .................................15         11.1  Release and Indemnification ..................................................................................15         11.2  Insurance ................................................................................................................17   12.   COMPLIANCE WITH LAWS, COVENANTS: ..............................................................19   13.   CONDEMNATION: ..........................................................................................................21         13.1  Condemnation ........................................................................................................21         13.2  Temporary Taking .................................................................................................21   14.   DEFAULT: ........................................................................................................................22   15.   RESULTS OF DEFAULT: ................................................................................................23         15.1  Remedies ................................................................................................................23         15.2  Cure by Landlord ...................................................................................................25   16.   SUBORDINATION AND TITLE: ....................................................................................25         16.1  Nondisturbance and Notice ....................................................................................25         16.2  Tenant’s Consent to Assignment for Indebtedness ................................................26   17.   LANDLORD’S RIGHT OF ENTRY; PARKING; SIGNAGE; ROOF RIGHTS: ...........28   18.   NOTICES:..........................................................................................................................29   19.   ESTOPPEL CERTIFICATES; FINANCIAL DATA:.......................................................30   20.   LIENS: ...............................................................................................................................31   21.   END OF TERM: ................................................................................................................32                                          -i-      

 

                             TABLE OF CONTENTS                                     (continued)                                                                            Page          21.1  Surrender ................................................................................................................32         21.2  Return of Premises .................................................................................................33   22.   ALTERATIONS: ...............................................................................................................33   23.   NOTICE OF LEASE: ........................................................................................................35   24.   SUBLETTING/ASSIGNMENT: .......................................................................................36         24.1  Rights and Obligations of Tenant ..........................................................................36         24.2  Assignment of Rents ..............................................................................................37   25.   HAZARDOUS MATERIAL: ............................................................................................37   26.   PERMITTED CONTESTS: ...............................................................................................39   27.   INTENTIONALLY DELETED. .......................................................................................40   28.   MISCELLANEOUS PROVISIONS: ................................................................................40                                             -ii-      

 

   EXHIBITS   A     FIXED RENT   A-1  FIXED RENT SCHEDULE   B     DESCRIPTION OF THE LAND   C     FORM OF MEMORANDUM OF LEASE   D     EXISTING PERMITTED ENCUMBRANCES                                                   -iii-      

 

         THIS LEASE, made and entered into on May 31, 2019 (together with all amendments and  supplements  hereto,  this  “ Lease ”),  by  and  between  GPC  ADAMS  LLC,  a  Michigan  limited  liability company (“ Landlord ”), with an office at 333 W. Fort Street, Suite 1350, Detroit, MI  48226; and CHEMICAL BANK, a Michigan banking corporation (“ Tenant ”),  with an office at  333 W. Fort Street, Suite 1800, Detroit, Michigan 48226.   1.    DEFINITIONS, CONSENTS AND CALCULATIONS:         1.1   Definitions.   The  following  terms  shall  have  the  following  meanings  for  all  purposes of this Lease and shall be equally applicable to both the singular and plural forms of the   terms herein defined.  Other terms defined in other Sections of this Lease are referenced in the   Schedule of Defined Terms following the Table of Contents.               (a)   “Additional Rent ” shall mean all amounts, liabilities and obligations, other  than Fixed Rent, which Tenant assumes or agrees to pay under this Lease to Landlord or others,  including without limitation the costs of maintenance, insurance, Property Taxes, and Other Taxes  and utilities relating to the Premises, including the Parking Garage.                (b)   “Affiliate ” shall mean a Person controlled by, controlling or under common  control with, the Person in question.               (c)   “Applicable Laws ” shall have the meaning given to such term in Section  12(a).               (d)   “Appraiser ” shall mean an individual having not less than ten (10) years’  current experience as a leasing broker specializing in commercial properties of a nature and type  similar to that of the Premises in the geographic area where the Premises is located.                (e)   “Assignment  of  Lease ”  shall  have  the  meaning  given  to  such  term  in  Section 16.2.               (f)   “Base  Building ”  shall  mean  the  Building  and  the  Parking  Garage  containing  approximately  421,481  gross  square  feet being  constructed  by  Landlord  as  more  particularly described in the Development Agreement.                (g)   “Base Building Work ” shall mean all work, services, labor, materials and  equipment, including clean-up and removal of debris, equipment and other materials, necessary to  perform the construction of the Base Building.   The delineation between Base Building Work and  Tenant Improvements (as defined in the Development Agreement) is set forth in the Development  Agreement.               (h)   “Building ” shall mean a twenty (20) floor office building containing  an  aggregate of approximately 199,370 rentable square feet of office space, 3,801 rentable square feet  of  first  floor  retail  space,  and  the  Parking  Garage,  which  shall  be  a  build-to-suit  project  in  accordance with the Development Agreement.               (i)   “Building  Systems ”  means  HVAC  systems,  security  systems,  fire  and  safety systems and any other mechanical systems serving the Premises.       

 

               (j)   “Business Day ” shall mean any day except Saturdays, Sundays and the days  observed by state chartered banks and national banks in the State of Michigan as public holidays.                (k)   “Commencement Date ” shall be the earlier of (i) the date Tenant opens for  business  within  the  Building  following  the  completion  of  the  Base  Building  pursuant  to  the   Development Agreement and (ii) January 1, 2022.                (l)    “Development Agreement ” means the Development Agreement between  Landlord and Tenant dated as of the date hereof relating to the construction of the Building.                (m)   “Effective Date ” shall mean the date of execution of this Lease, as set forth  on the first page hereof.               (n)   “Environmental  Laws ”  shall  mean  the  Resource  Conservation  and  Recovery  Act  of  1976,  as  amended,  42  U.S.C.  §§6901,  et  seq.  (RCRA),  as  amended,  the  Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended  by  the  Superfund  Amendments  and  Reauthorization  Act  of  1986,  42  U.S.C.  §§9601  et  seq.  (CERCLA), as amended, the Toxic Substance Control Act, as amended, 15 U.S.C. §§2601 et seq.,  the Federal Insecticide ; Fungicide and Rodenticide Act, as amended, 7 U.S.C. §§136 et seq., the  Clean Air Act, 42 U.S.C. §§ 7401 et seq., the Hazardous Materials Transportation Act, 49 U.S.C.  §§  5101 et seq., and all applicable federal, state and local environmental laws, ordinances, rules  and regulations (including Applicable Law), as any of the foregoing may have been or maybe from  time to time amended, supplemented or supplanted, and any other federal, state or local laws,  ordinances, rules and regulations, now or hereafter existing relating to pollution, protection of the  environmental or public or worker health or safety (regarding exposure to, control or management  of Hazardous Materials).               (o)   “Event of Default ” shall mean any of the events set forth in Section 14.               (p)   “Fair Market Rental ” has the meaning set forth on Exhibit A .               (q)   “First  Mortgage ” shall  mean a first priority Mortgage on the Premises  given by Landlord to the Mortgagee to secure a loan encumbered by Landlord’s interest in the  Premises.               (r)   “Fixed Rent ” shall mean the rental amounts specified on Exhibits A and  A-1.               (s)   “Hazardous  Materials ”  shall  mean  substances  and  wastes  defined  as  “hazardous substances”, “hazardous materials”, “hazardous wastes” or “chemical substances” in  any applicable federal, state or local statute, rule, regulation or determination, including but not  limited to Environmental Laws; and asbestos, PCBs, radioactive substances, methane, volatile  hydrocarbons, petroleum or petroleum-derived substances or wastes, radon, industrial solvents or  any other material as may be specified in or regulated by Applicable Laws due to its hazardous  toxic, dangerous or deleterious properties or characteristics.                                           2      

 

               (t)   “Imposition ” shall mean the various tax and other charges referred to in  Section 6 herein and the present and future governmental laws and regulations more specifically  described in Section 12 herein.               (u)   “Improvements ” shall mean the Base Building, the Building and all of the  structures, improvements, and all building fixtures therein, and all structures, improvements and  building fixtures hereafter located on the Land.               (v)   “Incentives ” shall have the meaning given to that term in Section 2(b)(ii).               (w)   “Land ” shall mean the land described on Exhibit B  hereto.                 (x)   “Landlord’s Representatives ” shall mean Landlord’s partners, members,  shareholders, agents, contractors, managers, directors, officers, employees or invitees or licensees.                (y)   “Lease Expiration Date ” shall mean the date which is twenty-two and one- half (221⁄2) years following the Commencement Date.               (z)   “Memorandum of Lease ” shall mean a memorandum of lease in the form  attached hereto as Exhibit C .               (aa)  “Mortgage ” shall mean any mortgage on the Premises given by Landlord  to a Mortgagee to secure a loan encumbered by Landlord’s interest in the Premises.               (bb)  “Mortgagee ”  shall  mean  any  holder  of  a  Mortgage  with  respect to  the  Premises or any part thereof.               (cc)  “Other Taxes ” shall mean all taxes, assessments, excises, levies, fees and  charges, including all payments related to the cost of providing facilities or services, whether or  not now customary or within the contemplation of Landlord and Tenant, that are levied, assessed,  charged, confirmed or imposed by any public or government authority upon, or measured by, or  reasonably attributable to (i) the Premises; (ii) the cost or value of Tenant’s Trade Fixtures or the  cost  or  value  of  any  leasehold  improvements  made  in  or  to  the  Premises  by  or  for  Tenant,  regardless of whether title to such improvements is vested in Tenant or Landlord; (iii) any Rent  payable under this Lease, including any gross income tax, sales tax or excise tax levied by any  public or government authority with respect to the receipt of any such Rent; (iv) the possession,  leasing, operation, management, maintenance, alteration, repair, use or occupancy by Tenant of  the Premises; or (v) this transaction or  any document  to  which  Tenant  is  a  party  creating  or  transferring an interest or an estate in the Premises.  Other Taxes shall not include federal, state or  local net income, documentary, transfer or inheritance taxes of Landlord.               (dd)  “Overdue Rate ” shall mean the greater of (1) the annual rate of interest  charged by the Mortgagee from time to time after default under the First Mortgage and/or the debt  instruments secured thereby (if any), and (2) the “Prime Rate” published in the Wall Street Journal  from time-to-time plus 5%.               (ee)  “Parking  Garage ”  shall  mean  the  parking  garage  located  on  the  Land  containing 311 vehicle parking spaces.                                         3      

 

               (ff)  “Permitted Encumbrances ” shall mean:                     (i)   Any liens for taxes, assessments and other governmental  charges                          which are not due and payable;                     (ii)  The matters affecting the title to the Land or any part thereof as of                          the Effective Date, which are listed on Exhibit D  attached hereto                          (the  “ Existing  Permitted  Encumbrances ”),  and  any  changes  to                          title to the Land or any part thereof occurring after the Effective Date                          which  are  approved  by  Tenant,  it  being  agreed  that Tenant  will                          promptly approve all changes to title requested by Landlord so long                          as such changes do not have a material adverse effect on the value,                          utility or estimated useful life of the Premises, do not have a material                          adverse  effect  on  Tenant’s  ability  to  operate  its  business  at  the                          Premises, and do not materially increase Tenant’s obligations under                          this  Lease  (it  being  agreed  that  if  Landlord  requests  Tenant’s                          approval  of  any  change  to  title  meeting  the  conditions  set  forth                          above and Tenant does not respond to such request within fifteen                          (15) Business Days, Tenant will be deemed to have approved such                          change),  and  any  Mortgage,  subordination  and  non-disturbance                          agreement,  assignment  of  lease  or  other  security  agreement                          encumbering the Premises; and                     (iii)  This Lease and the rights of Tenant hereunder.               (gg)  “Person ”  shall  mean  any  individual,  corporation,  partnership,  limited  liability  company,  joint  venture,  association,  joint  stock  company,  trust,  trustee(s)  of  a  trust,  unincorporated  organization,  or  government  or  governmental  authority,  agency  or  political  subdivision thereof.                (hh)  “Premises ” shall mean the Land and the Building.               (ii)  “Primary Term ” shall mean the period beginning on the Commencement  Date and ending on the Lease Expiration Date.               (jj)   “Proceeds Trustee ” shall mean the Mortgagee or a commercial bank or a  trust company licensed to do business in the State of Michigan which has a net worth of not less  than $500,000,000.               (kk)  “Property Taxes ” shall mean all taxes, assessments, excises, levies, fees  and charges (and any tax, assessment, excise, levy, fee or charge to the extent levied wholly or  partly in lieu thereof or as a substitute therefor) of every kind and description, general or special,  ordinary  or  extraordinary,  foreseen  or  unforeseen, secured  or  unsecured,  whether  or  not  now  customary or within the contemplation of Landlord and Tenant, that are levied, assessed, charged,  confirmed or imposed by any public or government authority on or against, or otherwise with  respect to, the Premises or any part thereof or any personal property owned or leased by Tenant                                           4      

 

   and used in connection with the Premises.  Property Taxes shall not include federal, state or local  net income, documentary, transfer or inheritance taxes of Landlord.               (ll)  “Real  Property  Award ”  shall  have  the  meaning  given  to  that  term  in  Section 13.1.               (mm)  “Renewal Notice ” shall have the meaning given to such term in Section  4(b).               (nn)  “Renewal Terms ” shall have the meaning given to such term in Section  4(b).               (oo)  “Rent ” shall mean Fixed Rent and Additional Rent.               (pp)  “Subordination Agreement ” shall have the meaning given to that term in  Section 16.1(a).               (qq)  “Superior Mortgage ” shall have the meaning given to that term in Section  16.1(a).               (rr)  “Taking ”  or  “ Taken ”  shall  have  the  meanings  given  to  these  terms  in  Section 13.1.               (ss)  “Tenant’s Damages ” shall have the meaning given to such term in Section  13.1.               (tt)  “Tenant’s  Parent ”  shall  mean  Chemical  Financial  Corporation,  a  Michigan corporation.               (uu)  “Tenant’s Representatives ” shall mean Tenant’s subtenants, shareholders,  agents, directors, officers, employees, contractors, invitees or licensees.                (vv)  “Tenant’s Trade Fixtures ” shall mean all personal property of Tenant in  or on the Premises which are not necessary for the operation of the Building.                (ww)  “Term ” shall mean the Primary Term and the exercised Renewal Terms.         1.2   Consents.  Except as otherwise provided herein, whenever in this Lease a party’s  approval or consent shall be required, same shall not be unreasonably withheld, conditioned or  delayed.  If given, such approval or consent shall be given in writing in the manner required for  notices under Section 18 herein.         1.3   Rentable  Square  Foot  Calculations.   It  will  be  conclusively  assumed  that  the  Premises contains 199,370 rentable square feet of office space, 3,801 rentable square feet of retail  space and a 311 space parking garage for all purposes of this Lease.  No building measurement  may modify such assumed square footage or parking spaces.                                           5      

 

   2.    DEMISE OF PREMISES; QUIET ENJOYMENT:               (a)   Tenant is obligated to pay Fixed Rent and Additional Rent for the entire  Premises and perform its covenants pursuant to this Lease beginning on the Commencement Date  regardless of whether Landlord has completed the Base Building Work or Tenant has commenced  occupancy of the Building by such date, or any other cause or state of affairs as further described  in Section 7.               (b)   The  effectiveness  of  this  Lease  is  subject  to  the  following  conditions  precedent:                      (i)   Landlord  and  Tenant  shall  mutually  agree  to  the  terms  of  a                           Construction  Agreement  between  Landlord  and  Colasanti                           Construction Services, Inc. (“Construction Agreement”) providing                           for a guaranteed maximum price of no greater than $76,000,000 (the                           “GMP ”) by not later than August 1, 2019 (the “ GMP Condition ”).                           The GMP and the GMP Condition include all hard and soft costs                          under  the  Construction  Agreement  and  all  costs  under  other                          agreements relating to demolition of any existing structures on the                          Land  and  construction  of  the  Base  Building  entered into  by                          Landlord,  but  shall  expressly  exclude  Landlord’s  carrying  costs,                          interest, or other  charges incurred in connection with  Landlord’s                          financing.   Landlord  and  Tenant  will  cooperate  and use                          commercially reasonable efforts to satisfy the GMP Condition.  In                          addition, if the GMP exceeds $76,000,000, Tenant, at  its  option,                          may agree to pay the excess over $76,000,000, in which case the                          Construction Agreement will be deemed to satisfy this condition.  In                          the event that the GMP Condition is not satisfied by August 1, 2019,                          Landlord, at its option, to be exercised on or before August 31, 2019,                          may elect to terminate this Lease by written notice to Tenant.  On                          the earlier of execution of the Construction Agreement and August                          31, 2019 (if Landlord has not then elected to terminate this Lease),                          the GMP Condition will be of no further force or effect.                     (ii)  It  is  anticipated  that  Landlord  and  Tenant  will  be able  to  obtain                          certain tax benefits and development incentives in connection with                          construction  of  the  Building  (the  “ Incentives ”).   Landlord  and                          Tenant agree to cooperate and use commercially reasonable efforts                          to attempt to obtain all available benefits and incentives.  Without                          limiting  the  foregoing,  (A)  Tenant  anticipates  receiving  for  the                          benefit of Tenant a PA 210 Property Tax Abatement, on terms to be                          reasonably  acceptable  to  Tenant  and  Landlord  (the  “Tenant                          Incentive  Contingency ”)  and  (B)  Landlord  anticipates  receiving                          for the benefit of Landlord an Act 381 Brownfield Tax Incremental                          Financing and reimbursement of Landlord’s and Tenant’s “Eligible                          Activity Costs” (as defined in Act 381), on terms to be reasonably                          acceptable  to  Landlord  and  Tenant  (the  “ Landlord  Incentive                                          6      

 

                           Contingency ”).  Tenant shall have primary responsibility for, and                          shall  indemnify  Landlord  in  connection  with,  satisfying  the                          requirements  for  obtaining  the  above  incentives  (other  than                          Landlord’s  obligations  under  the  Development  Agreement  to                          complete  the  Base  Building)  both  before  and  after  the                          Commencement Date, including satisfying all job creation and job                          retention  requirements.   In  the  event  that  the  Tenant  Incentive                          Contingency is not satisfied by September 30, 2019, Tenant, at its                          option,  may  terminate  this  Lease  by  written  notice to  Landlord                          delivered within ten (10) days following such date.  In the event that                          the Landlord Incentive Contingency is not satisfied by September                          30,  2019,  Landlord,  at  its  option,  may  terminate  this  Lease  by                          written notice to Tenant delivered within ten (10) days following                          such date.  Landlord and Tenant agree that receipt of a commitment                          from the City of Detroit City Council and the Michigan Strategic                          Fund Board approving the incentives which are the subjects of the                          Tenant  Incentive  Contingency  and/or  the  Landlord  Incentive                          Contingency will be deemed to satisfy the applicable contingency.                     (iii)  Landlord and Mortgagee shall have closed on the Mortgage  loan                          (the “ Loan Condition ”) providing funding to Landlord sufficient to                          permit  Landlord  to  fund  the  $76,000,000  GMP  into  an  escrow                          account to be held by Mortgagee and used to fund construction of                          the  Base  Building  and  the  Excluded  Tenant  Improvements  (as                          defined in the Development Agreement) by not later than December                          1, 2019.  In the event that the Loan Condition is not satisfied by                          December 1, 2019, Landlord or Tenant, at either party’s option, may                          terminate this Lease by written notice to the other party delivered                          within ten (10) days following such date.               (c)   Landlord hereby demises and leases to Tenant and Tenant hereby leases and  rents from Landlord the Premises, on the terms and conditions set forth in this Lease.               (d)   So long as no uncured Event of Default exists, Tenant shall at all times   during the Term peaceably and quietly enjoy the Premises without any disturbance from Landlord   or from any person claiming by, through or under Landlord, subject to the terms of this Lease.    Exercise by Landlord of its rights to enter upon the Premises as set forth in this Lease shall not   constitute a violation of this subsection.    3.    USE:               (a)   Tenant may use and occupy the Premises for any use that does not violate  Applicable Laws or Permitted Encumbrances.  In all events, Tenant shall not use or occupy the  same, or knowingly permit them to be used or occupied, contrary to any Applicable Laws; or in  any manner which would violate any certificate of occupancy affecting the same; or which would  cause structural injury to the Premises.                                          7      

 

               (b)   Tenant shall not use, suffer or permit the Premises, or any portion thereof,  to be used by Tenant, any third party or the public, as such, in such manner as would impair  Landlord’s title to the Premises, or in such manner as might reasonably make possible a claim or  claims of adverse usage or adverse possession by the public, as such, or third Persons, or of implied  dedication of the Premises, or any portion thereof.  Nothing contained in this Lease and no action  by Landlord shall be construed to mean that Landlord has granted to Tenant any authority to do   any act or make any agreement that may create any such third party or public right, title, interest,   lien, charge or other encumbrance upon the estate of Landlord in the Premises.                (c)  Nothing in this Section shall be deemed to prevent Tenant from constructing   in the Building (i) a fitness center, (ii) auditorium, hospitality area, café and/or cafeteria for the   use of Tenant and its invitees (but not for public use), or (iii) interior connecting stairways, all to   the extent permitted under Applicable Laws, at no cost to Landlord.    4.    TERM:               (a)   The Primary Term shall be for a period beginning on the Commencement  Date and ending on the Lease Expiration Date, or such earlier or later date as hereinafter provided.               (b)   Tenant shall have the right, at its option, to renew the Term of this Lease  for four (4) renewal terms (the “ Renewal Terms ”), which shall renew the Term for an additional  seven (7) years each.  Each Renewal Term shall commence on the day after the expiration of the  preceding term and shall expire on the seventh (7 th ) anniversary of the last day of the preceding   term.  The option to renew the Term of this Lease as described above shall be exercisable by   Tenant giving notice to Landlord (the “ Renewal Notice ”) not less than fourteen (14) months prior  to the Lease Expiration Date or not less than fourteen (14) months prior to the expiration of the  previous Renewal Term, as the case may be.  Time shall be of the essence with respect to the date  of exercising the option , any principle of law to the contrary notwithstanding.  If Tenant renews  this Lease, except for the Fixed Rent, the terms and conditions of this Lease shall apply to each  Renewal  Term  with  the  same  force  and  effect  as  if  such  Renewal  Term  had  originally  been  included in the Primary Term of this Lease.  The right of Tenant to the Renewal Terms shall be  conditioned upon the following:  (i) no Event of Default shall have occurred and remain uncured  as of the date on which the Renewal Notice is to be delivered and on the Lease Expiration Date or  expiration of the previous Renewal Term, as the case may be; and (ii) this Lease being in full force  and effect as of the Lease Expiration Date or expiration of the previous Renewal Term, as the case  may be.               (c)   Each notice of election to extend given in accordance with the provisions of   this Section 4 shall, subject to the other provisions of this Section, automatically extend this Lease  for the Renewal Term selected, without further writing, provided, however, either party, upon  request of the other, will execute and acknowledge, in form suitable for recording as an amendment  to the Memorandum of Lease, an instrument confirming any such extension.  Time shall be of the  essence with respect to the giving of notice by Tenant to extend this Lease.  Tenant shall have no  right to extend this Lease except as provided in this Section 4.                                           8      

 

   5.    RENTAL:               (a)   Tenant  shall  pay  to  Landlord  the  following  amounts as  Rent  for  the  Premises:                     (i)   Beginning on the Commencement Date and thereafter on the first                          day of each month during the Primary Term, Tenant shall pay to                          Landlord, as annual rent, the Fixed Rent, in the amounts specified                          on Exhibits A and A-1 hereto, payable in advance in equal monthly                          installments (pro-rated for any partial month).                     (ii)  During any exercised Renewal Term, Tenant shall pay to Landlord                          as annual Fixed Rent an amount equal to 95% of the fair market                          rental value of the Premises determined pursuant to the procedure                          set  forth  on Exhibit  A ,  payable  in  advance  in  equal  monthly                          installments.                     (iii)  Commencing  on  the  Commencement  Date  and  continuing                          throughout the Term, Tenant shall pay all Additional Rent, whether                          or not such amounts of money or charges are designated Additional                          Rent.               (b)   It is the intention of Landlord and Tenant that the Fixed Rent payable during  the entire Term shall be absolutely net of all costs and expenses incurred in connection with the  management, operation, maintenance and repair of the Premises in accordance with this Lease.   Landlord  shall  have  no  obligations  or  liabilities  whatsoever  with  respect  to  the  management,  operation, maintenance or repair of the Premises during the Term of this Lease.  Tenant shall  manage, operate, maintain and repair the Premises in accordance with this Lease and shall pay all  costs  and  expenses  incurred  in  connection  therewith  before  such  costs  or  expenses  become  delinquent.  Without limiting the generality of the foregoing, beginning on the Commencement  Date and throughout the entire Term, Tenant shall pay, as Additional Rent, all Property Taxes and  all Other Taxes that accrue during or are allocable to the Term of this Lease; provided, however,  that  such  Property  Taxes  (prorated  on  a  “due  date” basis)  and  Other  Taxes  shall  be  prorated  between Landlord and Tenant so that Tenant is responsible only for the payment of Property Taxes  and Other Taxes attributable to the time periods within the Term of this Lease.               (c)   Tenant shall pay all Fixed Rent to Landlord, in advance, on or before 2 p.m.,  eastern time on the first day of each and every  calendar month during the Term of this Lease  without notice, by wire transfer or other electronic means, including ACH payment transfer (or  otherwise so there are collected funds available to  Landlord  on  the  due  date).   Interest  at  the  Overdue Rate shall accrue and be payable by Tenant on Fixed Rent not paid by the due date thereof,  from the due date thereof to the date of actual payment.  Tenant shall pay all Additional Rent when  due to the Person entitled thereto.  Tenant shall pay all Fixed Rent to Landlord without notice,  demand, deduction or offset, in lawful money of the United States of America, to the bank account  designated by Landlord, or to such other Person or at such other place as Landlord may from time  to time designate by notice to Tenant pursuant to Section 18 herein.                                           9      

 

               (d)   In the event Tenant fails to pay any Fixed Rent on the due date thereof, or   to pay Additional Rent payable to Landlord within three (3) Business Days of the due date thereof,   in addition to paying interest to Landlord on the unpaid amount at the Overdue Rate as set forth   above, Tenant shall pay Landlord the amount of any late fees, late charges, late interest (to the   extent in excess of, but not in duplication to, interest as the Overdue Rate), or the like, which   Landlord may incur to the holder of the Mortgage resulting from any late payment by Tenant   hereunder.  In no event shall such late payment charges be deemed to grant to Tenant a grace  period or extension of time within which to pay any Rent or prevent Landlord from exercising any   right or enforcing any remedy available to Landlord upon Tenant’s failure to pay all Rent due   under this Lease in a timely fashion, including the right to terminate this Lease.                (e)   If any day on which Fixed Rent or Additional Rent is due falls on a day   which is not a Business Day, Fixed Rent or Additional Rent shall be due and payable on the next   succeeding Business Day without interest or penalty if paid on such Business Day.                (f)   In the event of any failure by Tenant to pay or discharge any amount of   Additional Rent, Landlord shall have all rights, powers and remedies provided for herein or by law   or otherwise in the case of nonpayment of Fixed Rent.  Tenant shall pay Additional Rent directly   to the Person entitled thereto.    6.    TAXES:               (a)   Tenant  shall  pay,  as  Additional  Rent,  all  Property Taxes  prior  to  the  assessment  of  any  interest  or  penalty  for  late  payment.   Property  Taxes  that  become  due  and  payable prior to the Commencement Date will be paid by Landlord, and Tenant shall, within thirty  (30) days after receipt of an invoice therefor accompanied by reasonable backup documentation,  reimburse Landlord for any portion thereof that is Tenant’s responsibility under this Lease.               (b)   Tenant shall pay, as Additional Rent, all Other Taxes prior to the assessment  of any interest or penalty for late payment.               (c)   Tenant  shall  pay  all  Property  Taxes  and  Other  Taxes  directly  to  the  appropriate taxing authorities.  Tenant shall furnish Landlord, within thirty (30) days after payment  of Property Taxes and Other Taxes, official receipts of the appropriate taxing authority, if any, or  other appropriate proof reasonably satisfactory to Landlord, evidencing the payment of the same.   The certificate, advice or bill of the appropriate official designated by law to make or issue the  same or to receive payment of any  Imposition may  be  relied  upon  by  Landlord  as  sufficient  evidence  that  such  Imposition  is  due  and  unpaid  at the  time  of  making  or  issuance  of  such  certificate, advice or bill.               (d)   During the continuance of an Event of Default hereunder, Landlord may  deliver to Tenant Landlord’s reasonable estimate of the Property Taxes and Other Taxes which it  anticipates will be paid or incurred for the ensuing calendar year or fiscal year, as Landlord may  reasonably determine, and Tenant shall pay to Landlord (or if Landlord so directs, to Landlord’s  Mortgagee) an amount equal to the estimated amount of such Property Taxes and Other Taxes for  such year in equal monthly installments during such year with the installments of Fixed Rent.   Payment by Tenant of estimated amounts of Property Taxes and Other Taxes under this subsection                                         10      

 

   shall be considered as performance of such obligation under the provisions of subsections (a) and  (b) above.  If Landlord shall have elected to bill Tenant for Property Taxes and Other Taxes on an  estimated basis in accordance with this provision, Landlord will furnish to Tenant within ninety  (90) days following the end of the applicable calendar or fiscal year, as the case maybe, a statement  setting forth (i) the amount of such Property Taxes and Other Taxes paid or incurred during the  just ended calendar or fiscal year, and (ii) the amount that Tenant has paid to Landlord for credit  against such expenses for the stated period.  Landlord shall, at its election, either (i) credit the  amount of any overpayment toward the next ensuing payment or payments of Property Taxes and  Other  Taxes  that  would otherwise  be  due  or  (ii)  refund in cash to Tenant the amount of such  overpayment.  If such year-end statement shall show that Tenant did not pay its obligation for such  Property Taxes and Other Taxes in full, then Tenant shall pay to Landlord the amount of such  underpayment within thirty (30) days from Landlord’s billing of same to Tenant.  The provisions  of this Section shall survive the expiration or earlier termination of this Lease.                (e)   Tenant shall have the right to contest the amount or validity, in whole or in  part, of any Property Tax or Other Tax or to seek a reduction in the valuation of the Premises as  assessed for real estate property tax purposes by appropriate proceedings diligently conducted in  good faith pursuant to Section 26 herein.  Landlord shall not be required to join in any proceeding  referred to in this subsection unless required by law, in which event Landlord shall, upon written  request by Tenant, join in such proceedings or permit the same to be brought in its name.  Tenant  covenants that Landlord shall not suffer or sustain any costs or expenses (including, but not limited  to, counsel fees) or any liability in connection with any such proceeding.  No such consent shall  subject Landlord to any material civil liability or the risk of any criminal liability.                (f)   Landlord  and  Tenant  acknowledge  that  the  Premises  are  located  in  a  “Qualified Opportunity Zone”.  Tenant and Landlord will reasonably cooperate with each other,  at the party seeking the benefit of the Qualified Opportunity Zone’s request and expense, to enable  the  applicable  party  to  obtain  benefits  which  may  be  available  to  owners  of  real  estate  and  businesses located in a Qualified Opportunity Zone.  Any benefits available to the party seeking  the particular benefit from the Qualified Opportunity Zone will be for the benefit of such party.   7.    NET LEASE; NON-TERMINABILITY:               (a)   This is an absolutely net lease, and the Rent and all other sums payable   hereunder by Tenant shall be paid without notice (except as expressly provided herein), demand,   set-off, counterclaim, abatement, suspension, or deduction.  It is the intention of the parties hereto  that except as otherwise expressly provided in this Lease, the Fixed Rent shall be an absolutely net  return to Landlord throughout the Term of this Lease.  In order that such Fixed Rent shall be  absolutely net to  Landlord, except to the extent arising  out  of  the  gross  negligence  or  willful  misconduct of Landlord or Landlord’s breach of this Lease or as otherwise expressly provided in  this Lease, Tenant shall pay when due, and save Landlord harmless from and against, any and all  costs, charges and expenses attributable to the Premises and allocable to the Term, including but  not  limited  to,  each  fine,  fee,  penalty,  charge  (including  governmental  charges),  assessments,  sewer rent, Impositions, costs relating to the Incentives, insurance premiums, utility expenses,  costs, expenses and obligations of every kind and nature whatsoever, general and special, ordinary  and extraordinary, foreseen and unforeseen, the payment for which Landlord or Tenant is, or shall  become liable by reason of any rights or interest of Landlord or Tenant in, to or under the Premises                                         11      

 

   or  this  Lease  or  in  any  manner  relating  to  the  ownership,  leasing,  operation,  management,  maintenance,  repair,  rebuilding,  use  or  occupation of  the  Premises,  or  of  any  portion  thereof;  provided, however, that nothing herein contained shall be construed as imposing upon Tenant any  obligation  to  pay  any  net  income,  estate,  inheritance,  succession  or  transfer  tax  of  Landlord  growing out of, or levied in connection with, this Lease  or  Landlord’s  right  or  interest  in  the  Premises, except to the extent provided in Section 6 herein, or any prepayment or defeasance costs  on the Mortgage except as set forth in Section 15, or Landlord’s carrying costs, interest, or other  charges incurred in connection with Landlord’s financing.                (b)   This Lease shall not terminate, nor shall Tenant have any right to terminate   this Lease, nor shall Tenant be entitled to any abatement or reduction of Rent hereunder, nor shall   the obligations of Tenant under this Lease be affected, by reason of (i) any damage to or destruction   of all or any part of the Premises from whatever cause; (ii) except as provided in Section 13 herein,  the taking of the Premises or any portion thereof by condemnation, requisition or otherwise; (iii)  the prohibition, limitation or restriction of Tenant’s use of all or any part of the Premises, or any  interference  with  such  use;  (iv)  any  eviction  by  paramount  title  or  otherwise;  (v)  Tenant’s  acquisition or ownership of all or any part of the Premises, otherwise than as expressly provided  herein; (vi) any default on the part of Landlord under this Lease or under any other agreement to  which Landlord and Tenant may be parties; or (vii) any other cause whether similar or dissimilar  to the foregoing, any present or future law to the contrary notwithstanding.  It is the intention of  the  parties  hereto  that  the  obligations  of  Tenant  hereunder  shall  be  separate  and  independent  covenants and agreements; that the Rent and all other sums payable by Tenant hereunder shall  continue to be payable in all events; and that the obligations of Tenant hereunder shall continue  unaffected unless the requirement to pay or perform the same shall have been terminated pursuant  to any express provision of this Lease.  Tenant agrees that Tenant will not be relieved of the  obligations to pay Fixed Rent or any Additional Rent in case of damage to or destruction of the  Premises.               (c)   Tenant shall remain obligated under this Lease in accordance with its terms,  and will not take any action to terminate, rescind or avoid this Lease, notwithstanding (i) the  bankruptcy,  insolvency,  reorganization,  composition,  readjustment,  liquidation,  dissolution  or  winding-up or other proceeding affecting Landlord or its successor in interest; or (ii) any action  with  respect  to  this  Lease  which  may  be  taken  by  any  trustee  or  receiver  of  Landlord  or  its  successor in interest or by any court in any such proceeding.   8.    SERVICES:         Commencing on the Commencement Date, Tenant shall, at Tenant’s sole cost and expense,  supply the Premises with electricity, heating, ventilating and air conditioning, water, natural gas,  lighting, replacement for all lights, restroom supplies, telephone and internet service, window  washing, janitor and disposal services (including hazardous waste disposal, if applicable), and such  other services as Tenant determines to furnish to the Premises.  Landlord shall not be liable for  interruption of any such services unless caused by the gross negligence or willful misconduct of  Landlord.  No such interruption shall constitute a constructive or other eviction.  Tenant shall pay  the full cost of all of the foregoing services and all other utilities and services supplied to the  Premises.                                         12      

 

   9.    REPAIRS AND MAINTENANCE:               (a)   Commencing  on  the  Commencement  Date,  Tenant  shall, at  its  expense,  keep the Premises in good order and condition at all times during the Term of this Lease.  Tenant  shall promptly, and adequately repair the Premises and all its component parts, and replace or  repair all damaged or broken fixtures (including Tenant’s Trade Fixtures) and appurtenances.  In  addition, Tenant shall timely and properly maintain and repair all components of the Premises, to  the extent necessary in Landlord’s reasonable judgment so as to preserve the effectiveness of any  warranty relating thereto.  At Landlord’s request, the parties shall arrange an annual inspection by  Landlord’s Representatives to review compliance with Tenant’s obligations hereunder.   If  any  Building System or component shall become obsolete, Tenant shall remove such item from the  Premises and, promptly replace it with a new item of comparable value and function.  Except as  otherwise permitted under Section 22 of this Lease, Tenant shall obtain Landlord’s prior written  consent before making any change in the structure of the Parking Garage, Building or any Building  System.  Landlord shall have no obligation to repair or maintain the Premises (or any equipment  therein), whether ordinary or extraordinary.  Tenant shall deliver to Landlord a statement showing  all removals and replacements of such systems or components during the preceding calendar year,  and on the date of expiration or termination of the Lease, including manufacturers, model numbers,  and serial numbers.               (b)   Tenant  shall  maintain  on  the  Premises,  and  turn  over  to  Landlord  upon  expiration  or  termination  of  this  Lease,  current  operating  manuals  for  the  equipment  now  or  hereafter located on the Premises.  Tenant will also provide Landlord with copies of any operating  manuals in Tenant’s possession relating to (i) new equipment added to the Premises by Tenant  after the Commencement Date and (ii) replacement equipment added to the Premises after the  Commencement Date, as well as (iii) updates and supplements to any operating manuals relating  to equipment located on the Premises.  Tenant shall not install any underground storage tank on  the Land.   10.   DESTRUCTION OF OR DAMAGE TO PREMISES:               (a)   If the Premises, or any part thereof, are damaged by fire or other casualty  during  the  Term,  Tenant  shall  diligently  repair  such  damage  and  restore  the  Premises  to  substantially the same or better condition as existed before the occurrence of such fire or other  casualty, using materials of the same or better grade than that of the materials being replaced, and  this Lease shall remain in full force and effect.  Such repair and replacement by Tenant shall be  done in accordance with Sections 9 and 22 herein, subject to then Applicable Laws, and Tenant  shall, at its expense, obtain all permits required for such work.  In no event shall Fixed Rent or  Additional Rent abate, nor shall this Lease terminate by reason of such damage or destruction.   Provided that no Event of Default has occurred hereunder and is continuing and provided Tenant  has (i) delivered to Landlord plans and specifications and a budget for such repair and restoration  (all of which Landlord shall have approved in its reasonable judgment) and (ii) deposited with  Landlord or the Proceeds Trustee hereinafter mentioned cash in the sum equal to the excess, if any,  of the total cost set forth in such approved budget over the amount of insurance proceeds received  on account of such casualty, then Landlord shall make available to Tenant all insurance proceeds  actually received by Landlord, if any, and not paid over to the Proceeds Trustee on account of such  casualty, for application to the costs of such approved repair and restoration, as set forth below.                                          13      

 

   Tenant’s obligations under this Section 10 shall survive the termination or expiration of this Lease.   If this Lease shall terminate by its terms prior to completion of Tenant’s renovation obligations,  Fixed Rent shall continue to be payable hereunder until substantial completion of the restoration,  at the same rate as the  Fixed Rent for the last month  of  the  Term,  and  Tenant’s  obligations  hereunder,  including  payment  of  Additional  Rent,  shall  continue  until  completion  of  the  restoration, provided that in such event, Tenant may elect not to restore all or any part of damaged  Tenant improvements and remit any insurance proceeds paid with respect to damages to Tenant  improvements to Landlord.               (b)   In the event the estimated cost of reconstruction is in excess of $1,000,000,   all insurance proceeds shall be paid to or deposited with the Proceeds Trustee in the name of the   Proceeds  Trustee  as  trustee  for  Landlord  and  Tenant  and  disbursed  in  the  manner  hereinafter  provided.  If no Mortgage is then in effect, the Proceeds Trustee shall be designated by Landlord.    Insurance  proceeds  shall  be  deposited  in  an  interest  bearing  account  and  interest  shall  be   distributed  to  Tenant  upon  completion  of  portions  of  said  installation,  repair,  replacement  or   rebuilding, provided no Event of Default has occurred and is continuing hereunder.  All checks   drawn on said account shall be co-signed by the Proceeds Trustee and Tenant.  Provided that no   Event of Default has occurred and is continuing hereunder, insurance proceeds shall be disbursed   to Tenant by the Proceeds Trustee under the following procedure:                      (i)  No  more  frequently  than  once  per  calendar  month,  Tenant  may                           request that the Proceeds Trustee disburse to Tenant  out  of  such                           insurance proceeds for costs incurred by Tenant for work in place to                           repair and restore the Premises during the immediately preceding                           calendar month, less customary retainage retained by Tenant from                           the contractor, as reflected in the contractor’s request for payment,                           Tenant’s request shall include a certification by Tenant, Tenant’s                           independent,  licensed  architect  and  its  general  contractor  that  all                           work  for  which  reimbursement  is  requested  was  performed  in                           compliance with the plans and specifications approved by Landlord                          pursuant to Section 22 herein and all Applicable Laws, and shall                          include  reasonably  satisfactory  evidence  of  the  costs  incurred  by                          Tenant  and  unconditional  lien  releases  in  form  and substance                          reasonably  satisfactory  to  the  Proceeds  Trustee  executed  by                          Tenant’s general contractor and any subcontractor entitled to receive                          payment in excess of $50,000 as part of the applicable disbursement,                          to the extent that such waivers are permitted under Applicable Laws.                     (ii)  Within  20  days  after  receiving  Tenant’s  request,  the  Proceeds                          Trustee  shall  approve  or  disapprove  Tenant’s  request,  which                          approval shall not be unreasonably withheld, by notice to Tenant.  If                          the Proceeds Trustee approves all or any portion of a request and the                          Proceeds  Trustee  has  received  (and  not  previously  disbursed)                          insurance  proceeds,  then  the  Proceeds  Trustee’s  approval  shall                          include a check in the amount approved by the Proceeds Trustee.  If                          the Proceeds Trustee disapproves all or any portion of a request, then                          the  Proceeds  Trustee’s  notice  shall  state  the  reasons  for  that                                        14      

 

                           disapproval, but the Proceeds Trustee shall immediately fund that                          portion  of  the  request  of  which  the  Proceeds  Trustee  does  not                          disapprove.   Further,  the  Proceeds  Trustee  shall  fund  the                          disapproved portion of the request once Tenant has satisfactorily                          addressed  the  Proceeds  Trustee’s  objections.   The  Proceeds                          Trustee’s  failure  to  deliver  a  notice  approving  or disapproving  a                          request within such 20 day period shall be conclusively deemed the                          Proceeds  Trustee’s  approval  of  the  request.   In  addition,  the                          Proceeds Trustee shall have the right to impose other  reasonable                          conditions upon disbursement so long as they are consistent with                          customary construction loan disbursement practices.                     (iii)  In addition, prior to commencement of restoration and at any time                          during restoration, if the estimated cost of restoration, as reasonably                          determined by the Proceeds Trustee, exceeds the then amount of the                          proceeds account, the amount of such excess shall be paid by Tenant                          to the Proceeds Trustee promptly after Tenant’s receipt of written                          notice  and  be  added  to  the  proceeds  account.   Any  sum  which                          remains in the proceeds account upon the completion of restoration                          shall be paid to Tenant.               (c)   Provided no Event of Default has occurred and  is continuing,  Landlord  agrees that throughout the Term the Mortgage will provide that the insurance proceeds relating to  a casualty will be made available to Tenant, subject to compliance by Tenant with the terms of this  Section 10.               (d)   Landlord agrees that the Mortgage, if any, will at all times provide that  provided no Event of Default is continuing, the net insurance proceeds relating to any casualty  affecting the Property will be made available to Tenant in accordance with this Section 10 and that  the Mortgagee will release such proceeds to Tenant in  accordance  herewith  as  a  condition  to  Tenant’s restoration obligation.   11.   INSURANCE, HOLD HARMLESS AND INDEMNIFICATION:         11.1  Release and Indemnification.               (a)   Landlord shall not be liable to Tenant for any damage to or loss or theft of  any property or for any bodily or personal injury, illness or death of any person in, on or about the  Premises arising at any time on and after the Commencement Date and from any cause whatsoever,  except that Landlord shall be liable for any such matters caused by the gross negligence or willful  misconduct of Landlord or Landlord’s Representatives.  This subsection shall in no way modify  the obligations of Tenant which are set forth in subsection 7(a) herein.  Except as specified above,  Tenant waives all claims against Landlord arising from any liability described in this subsection.   This subsection shall survive the termination of this Lease with respect to any event arising or  occurring during the Term.                                          15      

 

               (b)   Tenant  shall  pay  and  indemnify  and  defend  Landlord,  Landlord’s  Representatives and any Mortgagee against and hold Landlord, Landlord’s Representatives and  any Mortgagee harmless from all claims, demands, liabilities, damages, losses, costs and expenses,  including reasonable attorneys’ fees and disbursements, arising during the Term on and after the  Commencement Date and arising from or related to (i) any use or occupancy of the Premises, (ii)  any  default  in  the  performance  of  Tenant’s  obligations  hereunder  or  (iii)  any  damage  to  any  property (including property of employees and invitees of Tenant) or any bodily or personal injury,  illness  or  death  of  any  person  (including  employees  and  invitees  of  Tenant)  from  any  cause  whatsoever, occurring (A) in, on or about the Premises or any part thereof or any part of the  Improvements or the Land constituting a part of the Premises or (B) occurring outside the Premises  when such damage, bodily or personal injury, illness or death is caused by willful misconduct or  negligence of Tenant or Tenant’s Representatives, except, in the case of (i) through (iii) above, to  the extent caused by (x) the gross negligence or willful misconduct of Landlord or Landlord’s  Representatives, (y) the gross negligence or willful misconduct of any Mortgagee, or its agents,  contractors,  employees  or  invitees;  or  (z)  any  act or  omission  of  Landlord,  Landlord’s  Representatives  or  any  Mortgagee  or  of  its  agents, contractors,  employees  or  invitees,  which  results in a violation of or liability under an Environmental Law.  This subsection (b) shall in no  way modify the obligations of Tenant which are set forth in subsection 7(a) herein.  This Section  shall survive the termination of this Lease with respect to any event arising or occurring during the  Term.  Notwithstanding the foregoing, in no event shall Tenant be liable for consequential or  indirect  damages,  unless  the  party  entitled  to  indemnification  hereunder  is  itself  liable  for  consequential or indirect damages to a third party.               (c)   Should any event occur for which any Person is entitled to indemnification  pursuant to subsection (b) above or other provisions of this Lease, such Person shall provide  prompt written notice to Tenant describing the nature of such claim (provided, however, that the  failure by such Person to so notify Tenant shall not limit or otherwise affect the obligations and  liabilities  of  Tenant  hereunder  provided  that  such failure  does  not  prevent  Tenant  from  so  indemnifying such Person).  Tenant may assume responsibility for any action to be taken to contest  the claim, provided that Tenant will notify the indemnified Person in writing of its intention to  contest such claim within ten (10) days after receipt of notice of the claim.  Tenant, at its sole  expense,  may  control  all  proceedings  relating  to  such  contest,  provided  that  Tenant  has  acknowledged its obligation to provide indemnification hereunder relating to the applicable claim.   The indemnified Person will cooperate with Tenant in contesting such claim, provided that Tenant  indemnifies and holds harmless the indemnified Person  for  all  reasonable  costs  and  expenses  (including, without limitation, reasonable attorneys’ fees and expenses) relating to contesting such  claim.   Any  counsel  selected  by  Tenant  hereunder  shall  be  reasonably  acceptable  to  the  indemnified Person, and the indemnified Person, at its option, shall have the right to contest such  claim through separate counsel in the event any claims against or defenses of such Person are in  conflict under the applicable standards of professional conduct with those of Tenant, and Tenant  shall  be  obligated  to  pay  for  all  reasonable  costs and  expenses  (including  without  limitation  reasonable attorneys’ fees and expenses) actually incurred relating to any such separate contest of  such claim.                                          16      

 

         11.2  Insurance Tenant shall, commencing on the Commencement Date and at all times  during the Term, at Tenant’s sole expense, obtain and keep in force the following:                      (i)   comprehensive  commercial  general  liability  insurance,  including                           contractual  liability  (specifically  covering  this  Lease),  fire  legal                           liability,  and  premises  operations,  all  on  an  “occurrence”  policy                           form,  with  a  minimum  combined  single  limit  in  the  amount  of                           $2,000,000 per occurrence for bodily or personal injury to, illness                           of, or death of persons and damage to property occurring in, on or                           about the Premises, and such insurance shall name Landlord and the                           Mortgagee  as  additional  insureds  as  their  interests  may  appear.                            Tenant shall maintain excess or umbrella liability insurance in an                           amount not less than $25,000,000 written on an occurrence basis                           (i.e. not claims made basis) providing coverage limits in excess of                           the  insurance  limits  required  under  this  subsection  (a).   Such                           insurance shall follow from the primary insurance and the aggregate                           and drop down in case of exhaustion of underlying limits and /or                           damages where insurable under Applicable Laws.  Tenant shall, at                           Tenant’s  expense,  be  responsible  for  insuring  Tenant’s  furniture,                           equipment,  fixtures,  computers,  office  machines  and  personal                          property.  At the end of every year of the Lease Term, in the event                           that the foregoing requirements of this subsection shall  be  below                           then current industry standards for Class A office buildings in the                           Detroit  Metropolitan  Area,  Tenant  shall,  at  Landlord’s  request,                           increase the requirement amount of liability insurance to such then                          prevailing industry standard, in which case  Landlord  and  Tenant                           shall amend this Lease to reflect such required increased amount.  If                           Tenant voluntarily carries any greater amount of liability insurance                           than  required  hereunder  and  applicable  to  the  Premises,  such                           insurance  shall  name  Landlord  and  the  Mortgagee  as additional                           insureds, as their interests may appear;                      (ii)  worker’s  compensation  with  statutory  limits,  and  employment                          practices  liability  insurance  in  the  amount  $2,000,000  for  each                           accident;                      (iii)  insurance against loss (including earthquake and flood) or damage                           to the Premises by fire and all other risks of physical loss covered                          by insurance of the type now known as “all risk,” with difference in                           conditions coverage, in an amount not less than the full replacement                           cost of the Premises (as reasonably determined from time to time by                           Landlord and without deduction for depreciation), including the cost                           of  debris  removal  and  such  endorsements  as  Landlord  may                           reasonably  require,  including  without  limitation,  insurance  in                           amounts  and  against  such  other  risks  as  the  Mortgagee  may                           reasonably require and against such risks as are customarily insured                           against by operators of similar properties in the area.  Such insurance                                        17      

 

                           must include coverage for certified acts of terrorism, both domestic                          and foreign, so long as such coverage is commercially available and                          is  being  required  by  institutional  mortgagees.   Such  terrorism                          coverage may be self-insured by Tenant so long as Tenant has a net                          worth (determined under generally accepted accounting principles)                          of $100,000,000 or more and either (A) the long term unsecured debt                          rating of the Tenant is either “BBB” or better by Standard & Poor’s                          Financial Services LLC or “Baa2” or better by Moody’s Investors                          Service, Inc. or (B) the Tenant is rated “NAIC-2” or better by the                          Securities Valuation Office of the National Association of Insurance                          Commissioners;                     (iv)  insurance for boilers and pressure vessels or equipment located on                          the Premises in a minimum amount of $2,000,000 per occurrence;                      (v)  business interruption insurance covering one (1) year of Fixed Rent                           and Additional Rent; and                      (vi)  such other insurance, in such amounts and against such risks, as is                           customarily  maintained  by  owners  and  operators  of  similar                          properties, or is reasonably required by any Mortgagee.                (b)   All insurance required to be maintained by Tenant under this Section and   all renewals thereof shall be issued by good and responsible companies qualified to do and doing  business in the State of Michigan and having Standard & Poor’s Corporation claims paying ability   rating of  at least “A-” and shall be satisfactory to Landlord and Mortgagee.  In the event that   Tenant’s insurance company’s Standard & Poor’s Corporation claims paying ability rating falls  below an “A-” rating, unless Landlord and Mortgagee consent to an insurance company with a   lower rating, Tenant shall diligently, and in all events within not more than one hundred eighty   (180) days after becoming aware of the insurance company’s downgrade, acquire all insurance   required to be maintained by Tenant hereunder from a new insurance company having Standard   & Poor’s Corporation claims paying ability rating of at least “A-”; provided however, that at no   time shall Tenant permit any insurance policy to lapse.  Deductible amounts in excess of $500,000   for  “all  risk”  property  insurance  required  by  Section  11.2(a)(iii)  and  insurance  required  under   Section 11.2(a)(iv) shall be subject to Landlord’s and Mortgagee’s prior written approval.  In the   event payment is made on any policy where a deductible amount is in effect, Tenant shall pay such   deductible amount to the recipient of the insurance proceeds at the time such insurance proceeds   are paid to such recipient.  Each policy to be maintained by Tenant hereunder shall provide that   such policy may not be canceled without thirty (30) days’ prior written notice (ten (10) days’ for   non-payment  of  premiums)  to  Landlord  and  Mortgagee.   In  no  event  shall  Tenant  agree  to   materially reduce or alter any policy in violation of the minimum requirements provided in this   section 11(b) during the term of such policy without the prior written consent of Landlord and   Mortgagee.  All property and casualty insurance shall list Landlord and Mortgagee as an additional   insured  and  as  “loss  payee”,  and  the  liability  insurance  coverages  under  this  Section  to  be   maintained by Tenant shall name Landlord, any property manager and the Mortgagee as additional   insureds.  All insurance shall be primary and noncontributing with any insurance which may be   carried by Landlord (the cost of which insurance shall not be deemed an expense that Tenant is                                         18      

 

   obligated to reimburse Landlord for except as provided in Section 15.2 herein), shall afford general  liability coverage for all claims based on any act or omission, but only with respect to liability for  “bodily injury”, “property damage” or “personal and advertising injury” and for real and personal  property under the property insurance to the extent permitted by law that occurred or arose (or the   onset  of  which  occurred  or  arose)  during  the  policy  period,  and  shall  expressly  provide  that   Landlord, although named as an additional insured, shall nevertheless be entitled to recover under   the policy for any loss, injury or damage to Landlord.  Tenant may provide such insurance under   “blanket” policies, and where available and practicable, provide for “per occurrence” limits for   insurance required in Sections 11.2(a)(i) and (ii).  Upon the issuance or renewal of each such policy   to be maintained by Tenant, Tenant shall deliver a certificate thereof (Accord 27 form for property   coverage) to Landlord for retention by Landlord or the Mortgagee.  Tenant shall provide additional   information regarding the terms and conditions of any insurance policy to the extent reasonably   requested from time to time by any Mortgagee.                (c)   Landlord and Tenant each hereby waives its respective right of recovery   against  the  other  and  each  releases  the  other  from any  claim  arising  out  of  loss,  damage  or   destruction to the Premises and contents thereon or therein, to the extent of net insurance proceeds   actually received by the releasing party or the Proceeds Trustee, whether or not such loss, damage   or destruction may be attributable to the fault or negligence of either party, or any of its respective  partners,  agents,  invitees,  contractors  or  employees,  or  any  agents,  invitees,  contractors  or   employees of any partner or member of Landlord.  The property insurance policy shall include a   waiver of the insurer’s rights of subrogation.  If such waiver is not available at reasonable cost,   Tenant shall promptly notify Landlord of such fact.  Each party shall look first to the proceeds of   its respective property insurance policy (and to its own funds to the extent it is self-insured) to   compensate it for any such loss, damage or destruction.                (d)   Tenant shall not obtain or carry separate insurance concurrent in form or   contributing in the event of loss with that required in this Section 11.2 to be furnished by Tenant,   unless Landlord and Mortgagee are named as loss payee on all property and casualty policies and   Landlord and Mortgagee are included therein as additional insureds on all other policies, with loss  payable as in this Lease provided.  Tenant shall immediately notify Landlord whenever any such   separate insurance is obtained and shall deliver to Landlord and Mortgagee the policy or policies   or certificates evidencing the same.                (e)   Tenant shall comply with all of the terms and conditions of each insurance  policy maintained pursuant to the terms of this Lease, and shall not use the Premises in any manner   which would void or otherwise adversely affect any insurance then in force with respect thereto.    12.   COMPLIANCE WITH LAWS, COVENANTS:               (a)   Commencing on the Commencement Date and throughout the Term, Tenant   shall, with respect to Tenant’s use, occupancy and maintenance of the Premises, promptly comply   and cause the Premises to comply with or remove or cure any violation of any and all present and   future laws, including, without limitation, the Americans with Disabilities Act of 1990, as the same   may be amended from time to time, ordinances (zoning or otherwise), orders, rules, regulations   and  requirements  of  all  Federal,  State,  municipal  and  other  governmental  bodies  having  jurisdiction over the Premises and the appropriate departments, commissions, boards and officers                                         19      

 

   thereof, and the orders, rules and regulations of the Board of Fire Underwriters where the Premises  are situated, or any other body now or hereafter constituted exercising lawful or valid authority  over the Premises, or any portion thereof, or exercising authority with respect to the use or manner  of use of the Premises, and whether the compliance, curing or removal of any such violation and  the costs and expenses necessitated thereby shall have been foreseen or unforeseen, ordinary or  extraordinary, and whether or not the same shall be presently within the contemplation of Landlord  or Tenant or shall involve any change in governmental policy, or require structural or extraordinary  repairs, alterations or additions by Tenant and irrespective of the amount of the costs thereof.   Tenant, at its sole cost and expense, shall comply with the Existing Permitted Encumbrances, and  any agreements, contracts, easements, restrictions, reservations or covenants hereafter created by  Tenant or consented to, in writing, by Tenant or requested, in writing, by Tenant.  Tenant shall  also comply with, observe and perform all provisions and requirements of all policies of insurance  maintained by Tenant with respect to the Premises under the terms of Section 11 herein and shall  comply with all development permits issued by governmental authorities issued in connection with  development of the Premises.  The laws, ordinances, rules, regulations and requirements referred  to in this Section 12 are collectively referred to as  “ Applicable  Laws ”.   Notwithstanding  the  foregoing, Landlord shall be responsible, at its sole cost and expense, for ensuring that the Base  Building complies with all Applicable Laws as of the Commencement Date.                (b)   If Tenant shall at any time fail to pay any Imposition in accordance with the  provisions of this Lease, or to take out, pay for, maintain and deliver any of the insurance policies  or  certificates  of  insurance  provided  for  in  Section 11 herein, or shall fail to make any other  payment or perform any other act on its part to be made or performed hereunder, then Landlord,   after 30 days’ prior notice to Tenant (or with notice only to the extent reasonably practicable in   situations where Landlord reasonably determines that delay is likely to cause material harm to   Landlord’s interest in the Premises), and without waiving or releasing Tenant from any obligation   of Tenant contained in this Lease, may, but shall be under no obligation to do so, cure such non- performance for the account of Tenant in accordance with the provisions of Section 15.2 herein,  and any amount of reasonable costs so incurred by Landlord shall be reimbursed by Tenant to  Landlord, together with interest from the date of payment by Landlord to the date of reimbursement  by Tenant at the Overdue Rate, within 30 days following Landlord’s statement therefor.                (c)   Upon at least two Business Days’ prior written notice, or such lesser notice  as is practical in the event of an emergency, Landlord may enter upon the Premises for any such  purpose described in subsection (b) above and take all such action therein or thereon as may be  necessary therefor.  All sums, reasonable under the circumstances, actually so paid by Landlord  and  all  costs  and  expenses,  including  reasonable  attorneys’  fees  incurred  by  Landlord  in  connection with the performance of any such act, shall be paid by Tenant to Landlord within 30  days  after  Landlord’s  statement  therefor  and  submission  of  reasonable  evidence  of  such  expenditures,  together  with  interest  from  the  date of  payment  by  Landlord  to  the  date  of  reimbursement by Tenant at the Overdue Rate.  Landlord shall not be limited in the proof of any  damages which Landlord may claim against Tenant arising out of or by reason of Tenant’s failure  to provide and keep in force insurance as aforesaid, to the amount of the insurance premium or  premiums  not  paid  or  incurred  by  Tenant,  and  which would  have  been  payable  upon  such  insurance, but Landlord shall also be entitled to recover, as damages for such breach, the uninsured  amount of any loss, damages, costs and expenses of suit, including reasonable attorneys’ fees,  suffered or incurred by reason of damage to or destruction of the Premises, or any portion thereof                                        20      

 

   or other damage or loss which Tenant is required to insure against hereunder, occurring during any  period when Tenant shall have failed or neglected to provide insurance as aforesaid.   13.   CONDEMNATION:         13.1  Condemnation.  If all of the Premises should be taken for any public or quasi-public  use under governmental law, ordinance, or regulation, or by right of eminent domain, or by private  purchase in lieu thereof (a “Taking” or “Taken”), or if any part of the Premises should be Taken  and, after giving effect to restoration, the partial Taking would prevent or materially interfere with  Tenant’s access to or use of the Premises, then Tenant may, not later than ninety (90) days after  such Taking, give written notice to Landlord of such determination, in which case this Lease shall  terminate on the date set forth in such notice (which date shall not be earlier than thirty (30) days  after the date of such notice) and Rent shall be apportioned as of said date.  If part of the Premises  shall be Taken, and this Lease is not terminated as provided above, Tenant shall promptly, at its  sole cost and expense, restore and reconstruct the Premises, and the Rent payable hereunder shall  not be reduced or abated.  If any Taking occurs, then Landlord shall receive the entire award or  other compensation for the Premises (including, without limitation, the Land and the Building),  and except as provided in the next succeeding sentence, Tenant has no right to receive any award  for its interest in this Lease or for loss of leasehold, and Tenant expressly waives and assigns to  Landlord any interest of Tenant in any damages, awards, compensation or payments to the extent  constituting  compensation  for  a  Taking  of  any  real property  interests  (including,  without  limitation, Tenant’s leasehold interest) (the “Real Property Award”), provided that, if this Lease  has not been terminated as a result of such Taking, Landlord shall reimburse Tenant for the costs  incurred by Tenant for the restoration of the Premises up to the amount of the Real Property Award  received  by  Landlord,  net  of  any  reasonable  expenses  incurred  by  Landlord  in  connection  therewith.  In addition, if following a partial Taking where this Lease remains in effect, if the Real  Property Award exceeds any reimbursement to Tenant for costs of restoration and the reasonable  expenses of Landlord with the result that Landlord retains a portion of the Real Property Award in  excess of One Hundred Thousand Dollars ($100,000), the annual Fixed Rent for each full calendar  year thereafter until the end of the Primary Term will be reduced by six percent (6%) of the amount  of the Real Property Award so retained by Landlord.  Tenant may elect to pursue a separate claim  against the condemnor for compensation for the loss of any Tenant Trade Fixtures, moving costs,  loss  of  business,  and  other  business  damages  suffered  by  Tenant  as  a  result  of  the  Taking  (collectively, “Tenant’s Damages”), provided that Tenant may only pursue any such claim to the  extent the claim can be brought by Tenant separately from Landlord’s claim for the Real Property  Award and without reducing any award (including, without limitation, the Real Property Award)  payable to Landlord.  Without limiting the foregoing, if the condemning authority specifically  designates that a portion of any award payable to Landlord  is  attributable  to  any  of  Tenant’s  Damages, then Landlord shall promptly pay Tenant any such portion of the award received by  Landlord that is attributable to Tenant’s Damages, so long as such payment to Tenant would not  reduce  the  award  that  would  otherwise  be  payable  to  Landlord  pursuant  to  this  paragraph.   Landlord shall promptly notify Tenant of any threatened Taking actually known to Landlord, and  shall allow Tenant to participate in negotiations with public authorities with respect to any separate  award for Tenant’s Damages.         13.2  Temporary Taking.  Notwithstanding any other provision to the contrary contained  in this Section 13, in the event of a temporary condemnation, this Lease shall remain in full force                                        21      

 

   and effect and Tenant shall be entitled to the award allocable to such temporary condemnation;  except that such portion of the award allocable to the time period after the expiration or termination  of the Term of this Lease shall be paid to Landlord.   14.   DEFAULT:         The occurrence of any one or more of the following events shall constitute an “ Event of  Default ” by Tenant:               (a)   Tenant  fails  to  pay  any  Rent  as  and  when  such  Rent becomes  due  and  payable and such failure continues for more than five  (5)  days  [after  written  notice  thereof  to  Tenant, in the case of Fixed Rent, or ten (10) days after written notice thereof to Tenant, in the  case of Additional Rent, provided that with respect to Fixed Rent, Tenant will be entitled to notice  of non-payment only twice during any calendar year and any additional late payment within such  calendar year shall be an immediate Event of Default]; or               (b)   Tenant fails to perform or breaches any other agreement or covenant of this  Lease to be performed or observed by Tenant as and when performance or observance is due and  such failure or breach continues for more than 30 days  after  written  notice  thereof  to  Tenant;  provided, however, that if, by the nature of such agreement or covenant, such failure or breach is  capable  of  being  cured,  cannot  reasonably  be  cured by  the  payment  of  money  and  cannot  reasonably be cured within such period of 30 days, an Event of Default shall not exist as long as  Tenant commences with due diligence and dispatch the curing of such failure or breach within  such  period  of  30  days  and,  having  so  commenced,  thereafter  prosecutes  with  diligence  and  dispatch and completes the curing of such failure or breach within a reasonable time, to be not  later than one hundred twenty (120) days following receipt of such notice; or               (c)   Tenant (i) files, or consents by answer or otherwise to the filing against it  of, a petition for relief or reorganization or arrangement or any other petition in bankruptcy or for  liquidation or to take advantage of any bankruptcy, insolvency or other debtors’ relief law of any  jurisdiction,  (ii)  makes  an  assignment  for  the  benefit  of  its  creditors,  or  (iii)  consents  to  the  appointment of a custodian, receiver, trustee or other officer with similar powers, with respect to  Tenant or of any substantial part of Tenant’s property; or               (d)   Without consent by Tenant, as applicable, a court or government authority  enters an order, and such order is not vacated within 90 days, (i) appointing a custodian, receiver,  trustee or other officer with similar powers with respect to Tenant or with respect to any substantial  part of Tenant’s property, or (ii) constituting an order for relief or approving a petition for relief or  reorganization or arrangement or any other petition in bankruptcy, insolvency or other debtors’  relief law of any jurisdiction, or (iii) ordering the dissolution, winding-up or liquidation of Tenant;  or               (e)   This  Lease  or  any  estate  of  Tenant  hereunder  is  levied  upon  under  any  attachment, or execution and such attachment or execution is not vacated within 90 days; or               (f)   Tenant fails to maintain insurance in accordance with Section 11.2 hereof.                                          22      

 

         Landlord may treat the occurrence of any one or more of the foregoing Events of Default  as a breach of this Lease.  For so long as such Event of Default continues, Landlord, at its option  and with or without notice or demand of any kind to Tenant or any other person, may have any  one or more of the remedies provided in this Lease, in addition to all other remedies and rights  provided at law or in equity.   15.   RESULTS OF DEFAULT:         15.1  Remedies.  In the event of any Event of Default, Landlord may, in addition to, and  not in derogation of any remedies for any preceding breach, with or without notice of demand  (except as otherwise expressly provided herein or as may be required by law) and without limiting  Landlord in the exercise of any right or remedy which Landlord may have by reason of such Event  of Default, exercise any one or more of the following remedies:                (a)   Landlord shall have the right at any time to give a written termination notice   to Tenant and, on the date specified in such notice, Tenant’s right to possession shall terminate   and  this  Lease  shall  terminate  and  Tenant  shall  immediately  quit  the  Premises.   Upon  such   termination, Landlord shall have the right to recover from Tenant:                      (i)   The worth at the time of determination of all unpaid Rent which had                          been earned at the date of termination;                      (ii)  The worth at the time of determination of the amount by which all                           unpaid Rent which would have been earned after termination until                           the time of determination exceeds Landlord’s net income from the                           Premises, as determined pursuant to subsection (b) below; and                     (iii)  All other amounts reasonably necessary to compensate Landlord for                          all the detriment proximately caused by Tenant’s failure to perform                          all  of  Tenant’s  obligations  under  this  Lease,  including  without                          limitation any prepayment premium, make-whole premium or fee                          (however  denominated)  payable  under  the  First  Mortgage.   The                          “worth at the time of determination” of the amounts referred to in                          clause  (i)  above  shall  be  computed  by  allowing  interest  at  the                          Overdue Rate.  The “worth at the time of determination”  of  the                          amount  referred  to  in  clause  (ii)  above  shall  be  computed  by                          discounting  such  amount  at  the  discount  rate  of  the  New  York                          Federal Reserve Bank at the time of award plus two percent (2%),                          but  not  greater  than  the  interest  rate  on  the  Mortgage.   For  the                          purpose of determining unpaid Rent under clauses (i) and (ii) above,                          the Fixed Rent and Additional Rent reserved in this Lease shall be                          deemed to be the total Rent payable by Tenant under this Lease.               (b)   At any time after any such termination, without duplication of any amount  collected from Tenant under Section 15.1(a), whether or not Landlord shall have collected any  monthly deficiencies as aforesaid, Landlord shall be entitled to recover from Tenant, and Tenant  shall pay to Landlord, on demand, as and for liquidated and agreed final damages for Tenant’s                                         23      

 

   default, the Fixed Rent as it would become due hereunder absent termination; provided that Tenant  shall be entitled to a credit against such amounts equal to the amounts received by Landlord by  re-leasing the Premises or otherwise mitigating its damages.  Any Rent or damages not paid by  Tenant within 30 days after the due date thereof shall thereafter be payable with interest at the  Overdue Rate in effect from time to time, from the due date to the date of full payment.                (c)   Even though Tenant has breached this Lease, this Lease shall continue in  effect for so long as Landlord does not terminate Tenant’s right to possession, and Landlord shall  have the right to enforce all its rights and remedies under this Lease, including the right to recover  all Rent as it becomes due under this Lease.  Acts of maintenance or preservation or efforts to relet  the Premises or the appointment of a receiver upon initiative of Landlord to protect Landlord’s  interest under this Lease shall not constitute a termination of Tenant’s right to possession unless  notice of termination is given by Landlord to Tenant.  If Landlord elects to relet the Premises, any  net  income  (after  reasonable  costs  of  preparing  the Premises for reletting including marketing  costs,  the  cost  of  alterations  and  improvements  paid  by  Landlord,  brokerage  commissions,  attorneys’ fees and other costs incurred in connection with reletting, all of which shall be prorated  to apply only to the remainder of the then current Term) shall be deducted from the amount Tenant  is obligated to pay under this Section.               (d)   If Tenant abandons or surrenders the Premises, or is dispossessed by process  of  law  or  otherwise,  any  movable  furniture,  equipment,  trade  fixtures  or  personal  property  belonging to Tenant and left in the Premises shall be deemed to be abandoned, at the option of  Landlord, and Landlord shall have the right to sell or otherwise dispose of such personal property  in any commercially reasonable manner at Tenant’s expense.  If Tenant abandons the Premises,  Landlord shall have the right, but not the obligation, to sublet the Premises on reasonable terms  for the account of Tenant, and Tenant shall be liable for all cost of such subletting, including  without limitation the cost of preparing the Premises for subtenants and leasing commissions paid  to brokers.               (e)   To the extent permitted by, and subject to the requirements of, Applicable  Laws, each and every right, power and remedy herein specifically given to Landlord or otherwise  in this Lease shall be cumulative and shall be in addition to every other right, power and remedy  herein specifically given or now or hereafter existing at law, in equity or by statute.  Each and  every right, power and remedy, whether specifically herein given or otherwise existing, may be  exercised from time to time and as often and in such  order  as  may  be  deemed  expedient  by  Landlord, and the exercise or the beginning of the exercise of any power or remedy shall not be  construed to be a waiver of the right to exercise at the same time or thereafter any right, power or  remedy.  No delay or omission by Landlord in the exercise of any right, power or remedy or in the  pursuit of any remedy shall impair any such right, power or remedy or be construed to be a waiver  of any default on the part of Tenant or to be an acquiescence therein.  Landlord’s consent to any  request made by Tenant shall not be deemed to constitute or preclude the necessity for, obtaining  Landlord’s consent, in the future, to all similar requests.  No express or implied waiver by Landlord  of any Event of Default shall in any way be, or be construed to be, a waiver of any future or  subsequent Event of Default.   Landlord shall use reasonable  efforts  to  mitigate  any  damages  suffered by Landlord that result from an Event of Default.                                          24      

 

               (f)   If an action shall be brought for the enforcement of any provision of this   Lease, in which it shall be determined that an Event of Default has occurred, Tenant shall pay to   Landlord all costs and other expenses which may become payable as a result thereof; including   reasonable attorneys’ fees and expenses.  If Landlord shall, without fault on its part, be made a  party  to  any  litigation  commenced  against  Tenant,  Tenant  shall  pay  all  costs  and  reasonable   attorneys’ fees actually incurred or paid by Landlord in connection with such litigation.          15.2  Cure by Landlord.  All agreements and covenants to be performed or observed by  Tenant under this Lease shall be at Tenant’s sole cost and expense and without any abatement of  Fixed Rent or Additional Rent.  If Tenant fails to pay any sum of money to be paid by Tenant or  to perform any other act to be performed by Tenant under this Lease as and when due or required  to be performed, and such failure continues beyond 30 days’ written notice to Tenant, except in  the event of emergencies (when only notice reasonably practicable under the circumstances shall  be required), Landlord shall have the right, but shall not be obligated, and without waiving or   releasing Tenant from any obligations of Tenant, to make any such payment or to perform any   such other act on behalf of Tenant in accordance with this Lease.  All reasonable sums so paid by   Landlord and all necessary incidental costs shall be deemed Additional Rent hereunder and shall  be payable by Tenant to Landlord within 30 days following Landlord’s statement therefor and   submission  of  reasonable  evidence  of  such  expenditures,  together  with  interest  thereon  at  the   Overdue Rate.  Landlord shall have the same rights and remedies in the event of the nonpayment   of such sums plus interest by Tenant as in the case of default by Tenant in the payment of Rent.    16.   SUBORDINATION AND TITLE:         16.1  Nondisturbance and Notice.               (a)   Tenant shall at any time hereafter, and from time to time within 30 days of  written  request  of  Landlord,  execute  and  deliver  to  Landlord  an  instrument  in  commercially  reasonable form reasonably acceptable to Tenant subjecting and subordinating this Lease to the  lien  of  any  mortgage,  deed  of  trust,  security  instrument,  ground  or  underlying  lease  or  other  document of like nature (hereinafter collectively referred to as “ Superior Mortgage ”) which at  any time may be placed upon the Premises, or  any  portion  thereof,  by  Landlord,  and  to  any  replacements, renewals, amendments, consolidations, modifications, extensions or refinancings  thereof,  and  to  each  and  every  advance  made  under  any  Superior  Mortgage.   It  is  agreed,  nevertheless, and any such instrument (herein “ Subordination Agreement ”) shall so state, that so  long as there exists no Event of Default that remains uncured, such Superior Mortgage or other  instrument, release or document shall not interfere with, hinder or reduce Tenant’s right to quiet  enjoyment under this Lease, nor the right of Tenant to continue to occupy the Premises, and all  portions thereof, and to conduct its business thereon in accordance with the covenants, conditions,  provisions, terms and agreements of this Lease.               (b)   If any Mortgagee shall succeed to the rights of Landlord under this Lease  or to ownership of the Premises, whether through possession or foreclosure or the delivery of a  deed to the Premises in lieu of foreclosure, then such Mortgagee shall automatically be deemed to  have recognized this Lease and to assume the obligations of Landlord hereunder accruing on and  after  the  date  such  Mortgagee  acquired  title  to  the  Premises,  and  Tenant  shall  attorn  to  and  recognize such Mortgagee as Tenant’s landlord under this Lease and shall promptly execute and                                         25      

 

   deliver any instrument in commercially reasonable form reasonably acceptable to Tenant that such  Mortgagee  may  reasonably  request  to  evidence  such  attornment  (whether  before  or  after  the  making of the Mortgage).  In the event of any other transfer of Landlord’s interest hereunder, such  transferee  shall  automatically  be  deemed  to  have  recognized  this  Lease  and  to  assume  the  obligations of Landlord hereunder accruing on and after the date of such transfer, Tenant shall  attorn to and recognize such transferee as Tenant’s landlord under this Lease and shall promptly  execute  and  deliver  any  instrument  in  commercially reasonable  form  reasonably  acceptable  to  Tenant  that such transferee and Landlord may reasonably request to evidence such attornment.                (c)  Notwithstanding  the  provisions  of  subsection  (a),  the  holder  of  any  Mortgage to which this Lease is subject and subordinate shall have the right, at its sole option, at  any time, to subordinate and subject the Mortgage, in whole or in part, to this Lease by recording  a unilateral declaration to such effect.               (d)   Upon thirty (30) days’ advance notice, Tenant shall execute, acknowledge  and deliver a document consenting to the assignment by Landlord of this Lease to a Mortgagee, in  a form then in use among institutional lenders, with no changes to the terms of this Lease.               (e)   As of the Effective Date, Tenant and the current Mortgagee have executed  a  Subordination,  Non-Disturbance  and  Attornment  Agreement  among  the  current  Mortgagee,  Tenant and Landlord.           16.2  Tenant’s Consent to Assignment for Indebtedness.         Tenant acknowledges that in order to secure Landlord’s obligations under any Mortgage  debt  documents,  Landlord  will  be  required  to  agree in  an  assignment  of  lease  and/or  in  the  Mortgage  (an  “ Assignment  of  Lease ”), among  other things, to the  assignment (to the extent  provided therein) to the Mortgagee of Landlord’s right, title and interest to this Lease and to the   undertakings of Tenant in this Section.  While the Assignment of Lease and the Mortgage are in   effect, Tenant hereby:                (a)   consents to such assignment;                (b)   if directed by Landlord and otherwise upon notice from the Mortgagee of  Landlord’s default under the Mortgage, covenants to make in full to Mortgagee, in Mortgagee’s  name, when due (without offset, deduction, defense, deferment, abatement or diminution, except  as provided in this Lease), by wire transfer of immediately available funds in accordance with the  terms of this Lease:                      (i)   each payment of Fixed Rent and, to the extent not directly payable                          by Tenant to third parties or governmental authorities, all Additional                           Rent.                      (ii)  all other sums payable to Landlord under this Lease;                (c)   agrees:                                          26      

 

               (i)   to deliver to the Mortgagee all notices and other communications        which Tenant is required to deliver to the Mortgagee pursuant to this        Lease;   (ii)  that all consents to be delivered by Landlord pursuant to this Lease        shall not be effective unless consent is also given by the Mortgagee,        to the extent Mortgagee’s consent is required by the debt documents;   (iii)  to deliver to the Mortgagee duplicate originals of all written notices        and other communications delivered to Landlord pursuant to this        Lease,  in  accordance  with  this  Lease,  of  the  occurrence  of  any        default  or  breach  by  Landlord,  the  making  of  any  election,  the        exercise of any right to terminate all or any portion of this Lease,        and the exercise of any option;   (iv)  to deliver to the Mortgagee, at such address as the Mortgagee shall        designate, all such payments and sums and all such notices and other        communications to which the Mortgagee is entitled pursuant to the        terms of this Lease or the Subordination Agreement;   (v)   that it shall not, except as provided in this Lease or under Applicable        Law, seek to recover from the Mortgagee any moneys paid to the        Mortgagee by virtue of the Assignment of Lease and the foregoing        provisions; provided, however, that neither the Assignment of Lease        nor the foregoing provisions shall limit Tenant’s right to recover (x)        any  duplicate  payment  made  to  the  Mortgagee,  whether  due  to        computational or administrative error or otherwise, if the Mortgagee        has received such payment; (y) all or any portion of a payment in        excess of the amount then due under this Lease or otherwise owed        by  Tenant  to  Landlord  under  this  Lease,  if  the  Mortgagee  has        received such payment or amount; and (z) any amounts that have        been paid to or are actually held by the Mortgagee that are required        to be refunded to, repaid, or otherwise released to or for the benefit        of Tenant under this Lease;   (vi)  that no payment of Rent (other than payments required by this Lease        to  be  paid  to  third  parties)  or  delivery  of  such  notices  or  other        communications by Tenant shall be of any force or effect unless paid        to the Mortgagee or delivered to the Mortgagee, if, and to the extent,        required under this Lease or the Subordination Agreement;   (vii)  that Tenant shall not pay any Rent more than thirty 30 days prior to        such payment’s scheduled due date except as provided in this Lease;   (viii)  that  Tenant  shall  not  enter  into  any  agreement  subordinating  or        (except  as  expressly  permitted  by  the  terms  of  this  Lease)        terminating  this  Lease  without  the  prior  written  consent  of  the                       27                              

 

                           Mortgagee,  and any such attempted subordination or termination                          without such consent shall be void;                     (ix)  that Tenant shall not enter into any amendment or modification of                          this Lease without the prior written consent of the Mortgagee, and                          any  such  attempted  amendment  or  modification  without  such                          consent shall be void;                     (x)   that if this Lease shall be amended, it shall continue to constitute                          collateral under the Mortgage without the necessity of any further                          act by Landlord, Tenant or the Mortgagee;                     (xi)  that except as expressly provided in this Lease, Tenant shall not take                          any  action  to  terminate,  rescind  or  avoid  this  Lease,                          notwithstanding,  to  the  fullest  extent  permitted  by  law,  the                          bankruptcy, insolvency, reorganization, composition, readjustment,                          liquidation, dissolution or other proceeding affecting  Landlord or                          any  assignee  of  Landlord  and  notwithstanding  any  action  with                          respect to the Lease which may be taken by an assignee, trustee or                          receiver of Landlord or of any such assignee or by any court in any                          such proceedings; and                     (xii)  that the Mortgagee is entitled to all rights and benefits, including                          without limitation rights to indemnification, specifically referencing                          Mortgagee as set forth in this Lease, notwithstanding the fact that                          Mortgagee is not a party to this Lease.         The parties acknowledge and agree that the Mortgagee shall be a third party beneficiary of   the provisions contained in this Section.    17.   LANDLORD’S RIGHT OF ENTRY; PARKING; SIGNAGE; ROOF RIGHTS:               (a)   Upon at least two (2) Business Days’ prior written notice to Tenant (or such  shorter notice as is practical in the case of an emergency), Landlord and its designees shall have  the right to enter the Premises at any time during Tenant’s normal business hours in order to  perform its obligations under this Lease, and to enter any part of the Premises to inspect the same,  post notices of non-responsibility, post notices required by Applicable Laws, exhibit the Premises  to prospective purchasers and mortgagees, and to examine certificates of occupancy  and other  permits in Tenant’s possession with respect to the Premises, all of which shall be customary and  adequate and reasonably satisfactory to Landlord.               (b)   Commencing on the Commencement Date, Tenant shall be allocated and  have the exclusive use of 311 parking spaces in the Parking Garage for Tenant’s exclusive use.  In  consideration thereof, Tenant shall pay rent to Landlord for such parking spaces in the Parking  Garage at the rate listed as the “Parking Rent” in Exhibit A-1.               (c)   Tenant shall have the exclusive right to name the Premises and the exclusive   right to exterior signage on the Building.  Tenant shall have the right to monument signage and                                        28      

 

   other exterior building signage on the Building, provided that such signage is in accordance with  Applicable  Laws,  and  is  appropriate  for  a  Class  A  office  building  and  will  not  degrade  the  reputation or value of the Building.  Landlord will cooperate with and assist Tenant in obtaining  any  necessary  consents  to  allow  Tenant’s  exterior  building signage, at the expense of Tenant.   Other than signage which must be installed by Landlord in order to comply with a temporary  certificate  of  occupancy  or  other  Applicable  Laws, Tenant  shall  have  the  exclusive  right  to  determine and establish all interior signage within the Premises.  Upon Landlord’s request not less  than three (3) months prior to the Lease Expiration Date or the end of a Renewal Term, or within  ten (10) days after an earlier termination of this Lease, as the case may  be, Tenant at its own  expense shall remove such signage prior to the termination of this Lease and restore any damage  to the Premises resulting from such removal.               (d)   Tenant shall have the exclusive right, at Tenant’s expense, to install, access   and  maintain  antennae,  satellite  dishes  or  other  communications  devices  on  the  roof  of  the   Building,  subject  to  compliance  with  Applicable  Laws,  in  a  manner  reasonably  acceptable  to   Landlord and so as to not adversely affect the character of the Building.  Tenant shall take all   actions necessary to prevent any such installations from adversely affecting applicable warranties   with respect to the roof, and will indemnify and hold harmless Landlord with respect to any actions   which adversely affect such warranties.    18.  NOTICES:         Notices, statements, demands, or other communications required or permitted to be given,  rendered or made by either party to the other pursuant to this Lease or pursuant to any Applicable  Law or requirement of public authority, shall be in writing (whether or not so stated elsewhere in  this Lease) and shall be deemed to have been properly given, tendered or made, when received by  overnight courier delivery with receipt of delivery, or email transmission with a confirmation copy  sent by overnight courier delivery on the same day addressed to the other parties, as follows:         To Landlord:         GPC Adams LLC        333 W. Fort Street, Suite 1350        Detroit, MI 48226        Attn:  Elie Torgow        Email:  eliet@sgdetroit.com         To Tenant:         Chemical Bank        333 W. Fort Street, Suite 1800        Detroit, Michigan 48226        Attn:  Thomas Shafer, President        Email:  thomas.shafer@chemicalbank.com                                          29      

 

         With a copy to:         Chemical Bank        235 E. Main Street, P.O. Box 569        Midland, MI  48640        Attn:  General Counsel        Email:  william.collins@chemicalbank.com          Any party listed in this Section may, by notices as aforesaid, designate a different address for  addresses for notices, statements, demands or other communications intended for it.   19.   ESTOPPEL CERTIFICATES; FINANCIAL DATA:               (a)   At any time and from time to time, Landlord and Tenant shall, within 20   days after written request by the other or by a Mortgagee, execute, acknowledge and deliver to the   other and/or such Mortgagee a certificate certifying:  (i) that this Lease is unmodified and in full   force and effect (or, if there have been modifications, that this Lease is in full force and effect as   modified, and stating the date of each modification);  (ii)  the  Commencement  Date,  the  Lease   Expiration Date and the date, if any, to which all Rent and other sums payable hereunder have  been paid; (iii) the amount of Fixed Rent currently payable monthly, (iv) that no notice has been   received by the certifying party of any default by the certifying party hereunder which has not been   cured, except as to defaults specified in such certificate; (v) to the certifying party’s knowledge   that the other party is not in default under this Lease,  except  as  to  defaults  specified  in  such   certificate; and (vi) such other matters as may be reasonably requested by Landlord or Tenant or   any current or prospective purchaser or mortgage lender.  Any such certificate may be relied upon  by Landlord or Tenant, as the case may be, and any current or prospective purchaser or mortgage   lender of the Premises or any part thereof.                (b)   Tenant  shall  deliver  to  Landlord  and  any  Mortgagee the  following   information with respect to Tenant at any time that neither Tenant nor Tenant’s Parent is a public   company  or  otherwise  provides  open  and  free  access to its financial statements to the general  public, at the following times:                      (i)   within  180  days  after  the  end  of  each  fiscal  year  of  Tenant  or                           Tenant’s Parent, (i) an audited balance sheet of Tenant or Tenant’s                           Parent and its consolidated subsidiaries, if any, at the end of such                           year, (ii) an audited statement of profits and losses  of  Tenant  or                           Tenant’s Parent and its consolidated subsidiaries for such year, and                           (iii) an audited statement of cash flows of Tenant or Tenant’s Parent                           and its consolidated subsidiaries, if any, setting forth in each case,                           in  comparative  form,  the  corresponding  figures  for the  preceding                           fiscal  year  in  reasonable  detail  and  scope  and  certified  by                           independent certified public accountants of recognized international                           standing selected by Tenant or Tenant’s Parent;                      (ii)  within 45 days after the end of each of the first three  (3)  fiscal                           quarters of Tenant or Tenant’s Parent (i) a balance sheet of Tenant                                         30      

 

                           or Tenant’s Parent and its consolidated subsidiaries at the end of                          such  quarter,  (ii)  statements  of  profits  and  losses  of  Tenant  or                          Tenant’s Parent and its consolidated subsidiaries for such quarter                          and (iii) a statement of cash flows of Tenant or Tenant’s Parent and                          its consolidated subsidiaries for such quarter, setting forth in each                          case, in comparative form, the corresponding figures for the similar                          quarter of the preceding year, in reasonable detail and scope, and                          certified to be true and complete by a financial officer of Tenant or                          Tenant’s  Parent,  as  applicable  having  knowledge  thereof;  the                          foregoing financial statements all being prepared in accordance with                          generally accepted accounting principles consistently applied.    20.   LIENS:               (a)   Tenant shall not suffer or permit any mechanic’s lien or other lien, security  interest  or  encumbrance  to  be  filed  or  recorded  against  the  Premises,  the  Rent,  equipment  or  materials  supplied  or  claimed  to  have  been  supplied  to  the  Premises,  other  than  Permitted  Encumbrances and liens relating to the Base Building Work.  If any such mechanic’s lien or other  lien or encumbrance shall at any time be filed or recorded against the Premises, or any portion  thereof, Tenant shall cause the same to be discharged of record (by bonding off or otherwise)  within thirty (30) days after the date of filing or recording of the same.  However, in the event  Tenant desires to contest the validity of any lien it shall (i) on or before 60 days prior to the due  date  thereof  (but  in  no  event  later  than  30  days  after  the  filing  or  recording  thereof),  notify  Landlord, in writing, that Tenant intends to so contest same; (ii) on or before the due date thereof,  if such lien involves an amount in excess of $100,000 or if any Mortgagee so requires, deposit  with Landlord a bond or other security (in form and content reasonably satisfactory to Landlord  and the Mortgagee) for the payment of the full amount of such lien, and from time to time deposit  additional security so that, at all times, adequate security will be available for the payment of the  full amount of the lien together with all interest, penalties, costs and other charges in respect  thereof.               (b)   If Tenant complies with the foregoing, and Tenant continues, in good faith,  to contest the validity of such lien in accordance with the requirements of Section 26, Tenant shall  be under no obligation to pay such lien until such time as the same has been decreed, by court   order, to be a valid lien on the Premises.  Any surplus deposit retained by Landlord, after the  payment or discharge of the lien shall be repaid to Tenant.  Tenant shall indemnify and defend   Landlord and any Mortgagee against and save Landlord and any Mortgagee and the Premises, and   any portion thereof, harmless from and against all losses, costs, damages, expenses, liabilities,   suits,  penalties,  claims,  demands  and  obligations, including  without  limitation,  reasonable   attorneys’ fees, resulting from the assertion, filing, foreclosure or other legal proceedings with   respect to any such mechanic’s lien or other lien or the attempt by Tenant to discharge same as   above provided.                (c)   All materialmen, contractors, artisans, engineers, mechanics, laborers and  any other Person now or hereafter furnishing any labor, services, materials, supplies or equipment  to Tenant with respect to the Premises, or any portion thereof, are hereby charged with notice that  they must look exclusively to Tenant to obtain payment for the same.  Notice is hereby given that                                         31      

 

   Landlord shall not be liable for any labor, services, materials, supplies, skill, machinery, fixtures  or equipment furnished or to be furnished to Tenant upon credit, and that no mechanic’s lien or  other lien for any such labor, services, materials, supplies, machinery, fixtures or equipment shall  attach to or affect the estate or interest of Landlord in and to the Premises, or any portion thereof.               (d)   In the event of the failure of Tenant to discharge any charge, lien, security  interest or encumbrance within the required time as aforesaid, Landlord may, if not discharged by  Tenant within three (3)  Business Days after written notice to Tenant, discharge such items by  payment or bond or both, and Tenant will repay to Landlord, upon demand, any and all amounts  paid by Landlord therefor, or by reason of any liability on such bond, and also any and all incidental  expenses,  including  reasonable  attorneys’  fees,  actually  incurred  by  Landlord  in  connection  therewith, together with interest at the Overdue Rate.   21.   END OF TERM:         21.1  Surrender.               (a)   Upon the expiration or earlier termination of the Term of this Lease, Tenant  shall surrender the Premises to Landlord in substantially the same condition in which the Premises  were on the Commencement Date, except as repaired, rebuilt or altered as required or permitted  by this Lease (or, in the case of termination pursuant to Section 13 herein, as condemned), and in  all cases except for ordinary wear and tear, and shall surrender keys to the Premises to Landlord  at the place then fixed for notices to Landlord and shall inform Landlord of all combinations on  locks, safes and vaults, if any.  Except as otherwise provided herein, Tenant shall at such time  remove all of its property (including Tenant’s Trade Fixtures).  All property of Tenant not removed  on or before the last day of the Term of this Lease shall be deemed abandoned.  Landlord may  remove  all  property  of  Tenant,  including  Tenant’s  Trade  Fixtures,  from  the  Premises  upon  termination of this Lease and cause its transportation and storage, at the sole risk of Tenant, and  Landlord shall not be liable for damage, theft, misappropriation or loss thereof and Landlord shall  not be liable in any manner in respect thereto and Landlord shall be entitled to dispose of such  property, as Landlord deems fit, without the requirement of an accounting.                (b)   If  the  Premises  are  not  surrendered  as  above  set  forth,  Tenant  shall  indemnify,  defend  and  hold  Landlord  and  any  Mortgagee  harmless  from  and  against  loss  or  liability  resulting  from  the  delay  by  Tenant  in  so surrendering  Premises,  including,  without  limitation,  any  claim  made  by  any  succeeding  occupant  founded  on  such  delay.   Tenant’s  obligation to observe or perform this covenant shall survive the expiration or other termination of  this Lease.               (c)   If Tenant holds possession of the Premises after expiration of the Term of  this Lease, Tenant shall become a tenant from month to month upon the terms herein specified.   Such month to month tenancy may be terminated by either Landlord or Tenant by giving 30 days’  notice of termination to the other at any time.  In addition to the foregoing, and in addition to the  Additional Rent, Tenant shall pay to Landlord a sum equal to 125% of the Fixed Rent payable  hereunder immediately prior to the termination for the first month, 150% of such Fixed Rent for  the second and third month and 150% of such Fixed Rent plus any consequential damages incurred  by Landlord thereafter, during each month or portion thereof for which Tenant shall remain in                                         32      

 

   possession of the Premises or any part thereof after the termination of the Term or of Tenant’s   rights of possession, whether by lapse of time or otherwise.  The provisions of this subsection shall   not be deemed to limit or -constitute a waiver of any other rights or remedies of Landlord provided   herein, at law or at equity.                (d)   Except for surrender upon the expiration or earlier termination of the Term  hereof as expressly provided herein, no surrender to Landlord of this Lease or of the Premises shall  be valid or effective unless agreed to and accepted in writing by Landlord and Mortgagee.         21.2  Return of Premises.         Tenant shall, upon the expiration or termination of this Lease, and at its own expense,  return the Premises to Landlord by surrendering the same into the possession of Landlord:                (a)   free and clear of all liens, except Permitted Encumbrances and liens created   or caused by Landlord or Landlord’s Representatives; and               (b)   in  compliance  with  all  Applicable  Laws  and  in  compliance  with  the   maintenance conditions required by this Lease.                (c)   Upon the return of the Premises, Tenant shall deliver therewith:                      (i)   all transferable licenses, permits and the like by general assignment,                           without warranty as to the transferability or otherwise and without                           recourse;                      (ii)  as-built  drawings  including  plans  for  HVAC,  mechanical  and                           electrical systems, to the extent in Tenant’s possession or control;                           and                      (iii)  an assignment of maintenance contracts designated by Landlord and                           existing warranties by general assignment, without warranty as to                           assignability or otherwise and without recourse.    22.   ALTERATIONS:               (a)   Tenant shall not make any alterations, additions or improvements in or to  the Premises or any part thereof, or attach any fixtures or equipment thereto, without Landlord’s  prior written consent, not to be unreasonably withheld, conditioned, or delayed.  Notwithstanding   the preceding sentence, Tenant may make such alterations, additions or improvements without   Landlord’s consent only if (i) such alterations, additions or improvements will be in compliance   with all Applicable Laws; (ii) such alterations, additions or improvements will not reduce the fair   market value of the Premises, considered as unencumbered by this Lease or reduce the useful life   of the Building or materially adversely change the Building; (iii) such alterations, additions or   improvements will not adversely affect in any way the structural, exterior or roof elements of the   Premises, or mechanical, electrical, plumbing, utility or life safety systems of the Premises and   (iv) such alterations are reasonably estimated to have a cost (with respect to any particular project)  of  less  than  $5,000,000.   Tenant  shall  give  prior  notice  of  any  such  alterations,  additions  or                                        33      

 

   improvements (regardless of whether consent is required) to Landlord.  In no event shall Tenant  be  permitted  to  install  underground  storage  tanks  or  fuel  systems  on  the  Premises.   Notwithstanding the foregoing, Landlord’s consent shall not be required in connection with the   initial completion of the Building and the Premises, nor shall Landlord’s consent be required in   connection with the buildout of Tenant’s and any subtenants’ premises from time to time as long   as clauses (i)-(iii) above are satisfied.                (b)   All  alterations,  additions  or  improvements  proposed  by  Tenant  and   expressly requiring Landlord’s consent under this Lease shall be made at Tenant’s sole cost and   expense as follows:                      (i)   Tenant shall submit to Landlord complete plans and specifications                           for all work to be done by Tenant.  Such plans and specifications                           shall  be  prepared  by  licensed  architect(s)  and  engineer(s),  shall                           comply  with  all  Applicable  Laws,  shall  not  adversely  affect  the                           structural elements of the Building and shall be in a form sufficient                           to  secure  any  required  approval  of  government  authorities  with                          jurisdiction over the Premises.                      (ii)  With  respect  to  alterations  for  which  Landlord’s  approval  is                           required, within ten (10) Business Days after receipt of the complete                          plans  and  specifications  described  above,  Landlord shall  notify                           Tenant in writing whether Landlord approves or disapproves such                          plans and specifications; and Landlord shall describe the reasons for                           any such disapproval.  Landlord’s failure to deliver a notice within                           the  time  period  specified  above  approving  or  disapproving  such                          plans and specifications shall be conclusively deemed  Landlord’s                           approval of such plans and specifications.  Tenant may submit to                           Landlord  revised  plans  and  specifications  for  Landlord’s  prior                           written approval, which approval shall be granted if (x) the work to                          be done would not, in Landlord’s reasonable judgment, adversely                           affect the value, character, rentability or usefulness of the Premises                           or any part thereof, or (y) the work to be done shall be required by                           any Applicable Law or required of Tenant under the terms of this                           Lease.  Tenant shall pay all costs, including the fees and expenses                           of the licensed architect(s) and engineer(s), in preparing such plans                           and specifications.                      (iii)  All material changes in the plans and specifications required to be                           approved by Landlord shall be subject to Landlord’s prior written                           approval,  and  changes  not  requiring  Landlord’s  approval  will  be                          provided to Landlord prior to commencement of the construction                           described therein.  For the purpose of this subsection a “material                           change”  shall  be  one  which  (x)  exceeds  $250,000,  and/or  (y)                           adversely affects the structure or the Building Systems.  If Tenant                           wishes  to  make  a  change  in  approved  plans  and  specifications,                           Tenant  shall  have  such  architect(s)  and  engineer(s)  prepare  plans                                         34      

 

                           and specifications for such change and submit them to  Landlord.                           For alterations requiring Landlord’s approval, Landlord shall notify                          Tenant  in  writing  promptly  whether  Landlord  approves  or                          disapproves such change; and, if Landlord disapproves such change,                          Landlord shall describe  the reasons for disapproval.  Tenant may                          submit to Landlord revised plans and specifications for such change                          for  Landlord’s  written  approval.   Landlord’s  failure  to  respond                          within  ten  (10)  days  shall  be  deemed  approval  of  the  proposed                          change.  After Landlord’s written approval or deemed approval of                          such  change,  such  change  shall  become  part  of  the  plans  and                          specifications approved by Landlord.                     (iv)  Tenant shall obtain and comply with all building permits and other                          government permits and approvals required in connection with the                          work.  Tenant shall, through Tenant’s licensed contractor, perform                          the  work  in  a  good  and  workmanlike  manner  substantially  in                          accordance with the plans and specifications prepared as set forth                          above.  Tenant shall pay, as Additional Rent, the entire cost of all                          work  (including  the  cost  of  all  utilities,  permits,  fees,  taxes,  and                          property, worker’s compensation and liability insurance premiums                          in connection therewith) required to make the alterations, additions                          or improvements.  Under no circumstances shall Landlord be liable                          to Tenant for any  damage, loss, cost or expenses incurred by Tenant                          on  account  of  any  plans  and  specifications,  contractors  or                          subcontractors, design of any work, construction of  any work, or                          delay  in  completion  of  any  work,  whether  or  not  Landlord  had                          approved the plans and specifications.                     (v)   No Event of Default shall have occurred and be continuing prior to                          commencement of any such alterations.               (c)   Tenant shall keep the Premises free from mechanics’  and  materialmen’s  liens arising out of any work performed, labor supplied, materials furnished or other obligations  incurred by Tenant in accordance with the requirements of Section 20.               (d)   All alterations, additions, fixtures and improvements, whether temporary or  permanent in character, made in or to the Premises by Tenant, shall become part of the Premises  and Landlord’s property.  Termination of this Lease shall not affect the obligations of Tenant  pursuant to this Section to be performed after such termination.  Under no circumstances shall  Tenant  be  required  to  remove  any  Tenant  improvements,  alterations,  additions  or  other  improvements to the Premises made by Tenant.   23.   MEMORANDUM OF LEASE:           The parties shall promptly execute a Memorandum of Lease in the form attached hereto as  Exhibit C , which shall be promptly and duly recorded with the Wayne County Register of Deeds.                                          35      

 

   24.   SUBLETTING/ASSIGNMENT:         24.1  Rights and Obligations of Tenant.               (a)   Tenant may not mortgage, pledge or otherwise encumber its interest in this   Lease or in any sublease of the Premises or any part thereof or the rentals payable thereunder.  Any   such mortgage, pledge or encumbrance, made in violation of this Section shall be void.  Provided   that no Event of Default has occurred and is continuing, Tenant may (i) sublease the Premises or   any portion thereof without Landlord’s consent provided that the subtenant is appropriate for a   Class A office building and will not denigrate the reputation or value of the Building, or (ii) assign  this Lease to an Affiliate of Tenant or Tenant’s Parent or to a purchaser (by merger or otherwise)  of all or a substantial portion of the business operations of Tenant or Tenant’s Parent without  Landlord’s consent, or (iii) assign this Lease to any other party with Landlord’s consent, not to be  unreasonably  withheld.   Any  such  sublease  or  assignment  shall  expressly  be  subject  and  subordinate to the provisions of this Lease and no such sublease shall permit the tenant thereunder  to pay rent in advance for a period of more than one (1) month, and provided, further, that no such  sublease or assignment shall affect or reduce any obligations of Tenant or any rights of Landlord  hereunder, and all obligations of the then current Tenant hereunder shall continue in full effect as  the obligations of a principal and not of a guarantor or surety, to the same extent as though no  assignment or sublease had been made.  If Tenant assigns its interest in this Lease, the assignee  shall, in an instrument delivered to Landlord at the time of such assignment, expressly assume all  the  obligations  of  Tenant  hereunder.   Tenant  shall,  within  ten  (10)  Business  Days  after  the  execution  of  any  such  sublease  or  assignment,  deliver  an  executed  copy  thereof  to  Landlord.   Except as set forth above, this Lease shall not, nor shall any interest herein, be assignable as to the  interest  of  Tenant  involuntarily  or  by  operation  of  law  without  the  prior  written  consent  of  Landlord, and any such assignment without the prior written consent of Landlord shall be void and  shall,  at  the  option  of  Landlord,  constitute  an  Event  of  Default,  provided,  that  a  merger,  consolidation or similar reorganization of Tenant where Tenant’s obligations are assumed by the  successor entity by operation of law shall not be deemed to be an assignment hereunder provided  that such successor entity has a net worth at least equal to the net worth of Tenant at the time of  the acquisition.  Notwithstanding the foregoing or anything to the contrary in this Lease, Landlord  hereby  consents  to  the  proposed  merger  of  Tenant’s Parent  and  TCF  Financial  Corp.  (the  “Proposed Merger ”) and agrees that such merger and any transactions directly related thereto or  resulting therefrom shall not be deemed to violate the terms of this Lease.                (b)  No assignment or sublease whatsoever shall release Tenant from Tenant’s   obligations and liabilities under this Lease (which shall continue as the obligations of a principal   and not of a guarantor or surety) or alter the primary liability of Tenant to pay all Rent and to  perform all obligations to be paid and performed by Tenant.  The acceptance of Rent by Landlord   from any other person or entity shall not be deemed to be a waiver by Landlord of any provision   of this Lease.  If any assignee, subtenant or successor of Tenant defaults in the performance of any   obligation to be performed by Tenant under this Lease, Landlord may proceed directly against   Tenant without the necessity of exhausting remedies against such assignee, subtenant or successor.                (c)   Tenant will be entitled to retain the profits, if any, of any sublease  of part or   all of the Premises and of any assignment of this Lease.                                         36      

 

               (d)   In no event may Tenant sublease or assign this Lease to a tax-exempt entity   if such assignment or sublease has a material adverse effect on the tax treatment of Landlord’s   ownership of the Premises.          24.2  Assignment of Rents.  Tenant hereby assigns to Landlord all security deposits and  rents due or to become due from any subtenant, effective as of the date of the happening of an  Event of Default under the provisions of this Lease.  Thereupon, Landlord shall apply any net  amount collected by it from subtenants to the Rent due under this Lease.  No collection of Rent by  Landlord from an assignee of this Lease or from a subtenant shall constitute a waiver of any of the  provisions of this Section 24 or an acceptance of the assignee or subtenant as a tenant or a release  of Tenant from performance by Tenant of its obligations under this Lease.  Tenant shall not directly  or indirectly collect or accept any payment of subrent under any sublease more than one (1) month  in advance of the date when the same shall become due.  Each sublease shall require the subtenant  to attorn to Landlord, at Landlord’s request, in the event Tenant shall default under this Lease.   Upon an Event of Default by Tenant under this Lease, Landlord shall have the right to require  subtenants to make their rent payments directly to Landlord.   25.   HAZARDOUS MATERIAL:               (a)   Tenant  shall  (i)  comply,  and  cause  the  Premises  to comply,  with  all  Environmental Laws (as hereinafter defined) applicable to the Premises (including the making of  all submissions to governmental authorities required by Environmental Laws and the carrying out  of any remediation program specified by such authority); (ii) prohibit the use of the Premises for  the  manufacture,  refinement,  production,  or  processing  of  any  Hazardous  Material  or  for  the  generation, storage, handling, transfer or transportation of any Hazardous Material (other than in  connection with the operation, business and maintenance of the Premises and in commercially  reasonable quantities as a consumer thereof and in compliance with Environmental Laws); (iii) not  install  or  permit  the  installation  on  the  Premises of  any  surface  impoundments,  underground  storage tanks, PCB-containing transformers or asbestos-containing materials without Landlord’s  prior written consent; and (iv) cause any alterations of the Premises to be done in a way so as to  not expose in an unsafe manner the persons working in or visiting the Premises to Hazardous  Materials, and in connection with any such alterations  shall  remove  any  Hazardous  Materials  present upon the Premises which are not in compliance with Environmental Laws or which present  a danger to persons working in or visiting the Premises.               (b)   Tenant shall protect, defend, indemnify  and hold harmless  Landlord,  its  direct  and  indirect  members,  partners,  shareholders,  beneficiaries,  managers,  Mortgagees,  directors, officers, employees and agents, and any successors and assigns from and against any  and all liability, including all foreseeable and all unforeseeable damages including but not limited  to attorneys’ and consultants’ fees, fines, penalties and civil or criminal damages, and including  loss of value, directly or indirectly arising out of the use, generation, storage, treatment, release,  threatened release, discharge, spill, presence or disposal of Hazardous Materials from, on, at, to or  under the Premises during the Term of this Lease including without limitation, the cost of any  required or necessary repair, response action, remediation, investigation, cleanup or detoxification  and the preparation of any closure or other required plans, except to the extent caused by the  negligence or misconduct of Landlord or Landlord’s Representatives, which results in a violation  of any Environmental Law.  This agreement to indemnify and hold harmless shall be in addition                                         37      

 

   to any other obligations or liabilities Tenant may have to Landlord at common law, under all  Applicable Laws or otherwise, and shall survive, with respect to liability that accrues during the  Term of this Lease, without limit of time.  The representations, warranties and covenants made  and the indemnities stated in this Lease are not personal to Landlord, and the benefits under this  Lease shall be automatically assigned to subsequent parties in interest to the chain of title to the  Premises  and  Mortgagees,  which  subsequent  parties  in  interest  may  proceed  directly  against  Tenant to recover pursuant to this Lease.  Tenant, at its expense, may institute appropriate legal  proceedings with respect to environmental matters of the type specified in this Section or any lien  for such environmental matters, not involving Landlord or its Mortgagee as a defendant (unless  Landlord or its Mortgagee is the alleged cause of the damage), conducted in good faith and with  due diligence, provided that such proceedings shall not in any way impair the interests of Landlord  or Mortgagee under this Lease or contravene the provisions of any First Mortgage.  Counsel to  Tenant in such proceedings shall be reasonably approved by Landlord if Landlord is a defendant  in the same proceeding, Landlord shall have the right to appoint co-counsel, which co-counsel will  cooperate with Tenant’s counsel in such proceedings.  The fees and expenses of such co-counsel  shall be paid by Landlord, unless such co-counsel are appointed because the interests of Landlord  and Tenant in such proceedings, in such counsel’s opinion, are or have become adverse, in which  events the fees and expenses of such co-counsel shall be paid by Tenant.                (c)   Tenant, upon not less than two (2) Business Days’ prior notice, shall permit  such  persons  as  Landlord  or  Mortgagee  may  designate  and  (unless  an  Event  of  Default  has  occurred  and  is  continuing)  reasonably  approved  by Tenant  (“ Site  Reviewers ”)  to  visit  the  Premises from time to time and perform an environmental site investigation and assessment (“ Site  Assessment ”) on the Premises for the purpose of determining whether there exists on the Premises  any environmental condition which may result in any liability, cost or expense to Landlord or any  other owner or occupier of the Premises, taking all due care to minimize disruption to Tenant’s  use and occupation of the Premises.  If warranted by Landlord’s reasonable belief of the existence  of any such environmental condition, such Site Assessments may include both above and below  the  ground  testing  for  environmental  damage  or  the presence  of  Hazardous  Materials  on  the  Premises and such other tests on the Premises as may be necessary to conduct the Site Assessments  in the reasonable opinion of the Site Reviewers.  Tenant shall supply to the Site Reviewers such  non-privileged historical and operational information regarding the Premises as may be reasonably  requested  by  the  Site  Reviewers  to  facilitate  the  Site  Assessments  and  shall  reasonably  make  available for meetings with the Site Reviewers appropriate personnel having knowledge of such  matters.  Provided that, the cost of performing and reporting such Site Assessment shall be paid  solely by Landlord, except to the extent that at the time that it orders a Site Assessment, Landlord  has reasonable cause to believe that Tenant is not in material compliance with Environmental Laws  with respect to the Premises for which Tenant is responsible under this Section and Tenant has not  taken reasonable steps to address such violation, or if an Event of Default has occurred and is  continuing, then the reasonable cost of performing and reporting such Site Assessment shall be  paid by Tenant within 30 days after demand by Landlord.  Landlord, promptly after written request  by Tenant and payment by Tenant to the extent required as aforesaid, shall deliver to Tenant copies   of reports, summaries or other compilations of the results of such Site Assessments.                (d)   Landlord and Tenant shall each notify the other party in writing, promptly  upon Landlord’s or Tenant’s learning thereof, of any:                                         38      

 

                     (i)   notice  or  claim  to  the  effect  that  Landlord,  Tenant  or  any  other                          Person is or may be liable to any Person as a result of the release or                          threatened release of any Hazardous Material into the environment                          from the Premises;                     (ii)  notice  that  Landlord,  Tenant  or  any  other  Person  is  subject  to                          investigation by any governmental authority evaluating whether any                          remedial action is needed to respond to the release or threatened                          release of any Hazardous Material into the environment from the                          Premises;                     (iii)  notice that the Premises are subject to an environmental lien; or                     (iv)  notice of violation to Landlord or Tenant or awareness by Landlord                          or Tenant of a condition which might reasonably result in a notice                          of violation of any applicable Environmental Law that could have a                          material  adverse  effect  upon  the  Premises  or  the  value  of  the                          Premises.                     (v)   Release  of  Hazardous  Materials  on  the  Premises  or  presence  of                          Hazardous Materials on the Premises in violation of Environmental                          Laws, or that could reasonably be expected to pose an  imminent                          threat to safety or result in material liability under Environmental                          Law.   26.   PERMITTED CONTESTS:           Tenant shall not be required to (i) pay any Imposition, (ii) comply with any Applicable  Law, (iii) remove any lien or encumbrance, (iv) take any action with respect to any encroachment,  hindrance,  obstruction,  violation  or  impairment  referred to in this  Lease, or  (v) discontinue a  particular use under subsection 3(a) herein, so long as Tenant shall contest, in good faith and at its  expense, the existence, the amount or the validity thereof, the amount of the damages caused  thereby, or the extent of its liability therefor, by appropriate proceedings which shall operate during  the  pendency  thereof  to  prevent  (W)  the  collection of,  or  other  realization  upon,  the  tax,  assessment, levy, fee, rent or charge or lien, encumbrance or charge so contested; (X) the sale,  forfeiture or loss of the Premises, or any part thereof, or the Fixed Rent or any Additional Rent, or  any portion thereof; (Y) any interference with the use or occupancy of the Premises or any part  thereof; and (Z) any interference with the payment of the Fixed Rent or any Additional Rent, or  any portion thereof.  While any such proceedings are pending, Landlord shall not have the right to  pay, remove or cause to be discharged the tax, assessment, levy, fee, rent or charge or encumbrance  or charge thereby being contested, and each such contest shall be promptly prosecuted by Tenant  to a final conclusion.  Tenant shall pay, and save Landlord and the Mortgagee harmless against,  any  and all losses, judgments, decrees and costs (including  all  reasonable  attorneys’  fees  and  expenses)  in  connection  with  any  such  contest  and  shall,  promptly  after  the  final  settlement,  compromise or determination of such contest, fully pay and discharge the amounts which shall be  levied, assessed, charged or imposed or be determined to be payable therein or in connection  therewith, together with all penalties, fines, interests, costs and expenses thereof or in connection                                         39      

 

   therewith, and perform all acts, the performance of which shall be ordered or decreed as a result  thereof; provided, however, that nothing herein contained shall be construed to require Tenant to  pay or discharge any lien, encumbrance or other charge created by any act or failure to act of  Landlord or the payment of which by Tenant is not otherwise required hereunder, or to perform  any act which Tenant is not otherwise required to perform hereunder.  No such contest may subject  Landlord or the Mortgagee to the risk of any criminal or civil liability.   27.   INTENTIONALLY DELETED.   28.   MISCELLANEOUS PROVISIONS:               (a)   This Lease and all of the covenants and provisions hereof shall inure to the  benefit  of,  and  be  binding  upon,  the  parties  hereto  and  the  heirs,  personal  representatives,   successors and permitted assigns of the parties.                (b)   The titles and headings appearing in this Lease are for reference only and   shall not be considered a part of this Lease or in any way to modify, amend or affect the provisions   thereof.                (c)   This Lease contains the complete agreement of the parties with reference to   the leasing of the Premises, and may not be amended except by an instrument in writing signed by   Landlord and Tenant.  Any amendment for which a Mortgagee’s consent is required pursuant to   the terms of this Lease and the same is not consented to by such Mortgagee shall be void and have   no force and effect.                (d)   Any provision or provisions of this Lease which shall prove to be invalid,   void or illegal shall in no way affect, impair or invalidate any other provision hereof, and the   remaining provisions hereof shall nevertheless remain in full force and effect.                (e)   This Lease may be executed in one or more counterparts, and may be signed  by each party on a separate counterpart, each of which, taken together, shall be an original, and all   of which shall constitute one and same instrument.  This Lease may be signed and delivered by   electronically  transmitted  “pdf”;  any  such  “pdf”  signatures  shall  constitute  original  signatures   hereof with all force and effect of law.                (f)   The term “Landlord” as used in this Lease shall mean only the owner or   owners at the time in question of the Premises.  In the event of any transfer of such title or interest,   Landlord named in this Lease (and in case of any subsequent transfers, the then grantor), provided   that the transferee has assumed all of Landlord’s obligations under this Lease arising from and   after the date of transfer, shall be relieved from and after the date of such transfer of all liability   accruing from and after the date of such transfer as respects Landlord’s obligations thereafter to  be performed hereunder, provided that any funds in the hands of Landlord or the then grantor at   the time of such transfer, in which Tenant has an interest, shall be delivered to the grantee.  The   obligations contained in this Lease to be performed by Landlord shall, subject as aforesaid, be  binding on Landlord’s successors and assigns, only during their respective periods of ownership.                (g)   This Lease shall be governed by, and construed in accordance with, the laws   of the State of Michigan, without reference to its conflict of laws principles.                                        40      

 

         LANDLORD AND TENANT HEREBY SUBMIT TO NON-EXCLUSIVE PERSONAL  JURISDICTION IN THE STATE OF MICHIGAN AND THE FEDERAL COURTS OF THE  UNITED STATES OF AMERICA LOCATED IN THE STATE OF MICHIGAN (AND ANY  APPELLATE COURTS TAKING APPEALS THEREFROM) FOR THE ENFORCEMENT OF  SUCH PERSON’S OBLIGATIONS HEREUNDER AND WAIVE ANY AND ALL PERSONAL  RIGHTS  UNDER  THE  LAW  OF  ANY  OTHER  STATE  TO  OBJECT  TO  JURISDICTION  WITHIN SUCH STATE FOR THE PURPOSES OF SUCH ACTION, SUIT, PROCEEDING OR  LITIGATION TO ENFORCE SUCH OBLIGATIONS OF TENANT OR LANDLORD.  WITH  RESPECT  TO  A  SUIT  COMMENCED  IN  A  COURT  LOCATED  IN  THE  STATE  OF  MICHIGAN,  LANDLORD  AND  TENANT  HEREBY  WAIVE  AND  AGREE  NOT  TO  ASSERT, AS A DEFENSE IN ANY ACTION, SUIT OR PROCEEDING ARISING OUT OF  OR RELATING TO THIS LEASE (i) THAT IT IS NOT SUBJECT TO SUCH JURISDICTION  OR THAT SUCH ACTION, SUIT OR PROCEEDING MAY NOT BE BROUGHT OR IS NOT  MAINTAINABLE  IN  THOSE  COURTS  OR  THAT  IT  IS  EXEMPT  OR  IMMUNE  FROM  EXECUTION;  (ii)  THAT  THE  ACTION,  SUIT  OR  PROCEEDING  IS  BROUGHT  IN  AN  INCONVENIENT  FORUM;  OR  (iii)  THAT  THE  VENUE  OF  THE   ACTION,  SUIT  OR  PROCEEDING IS IMPROPER.  TENANT AND LANDLORD EACH HEREBY EXPRESSLY  WAIVES  ANY  AND  ALL  RIGHTS  TO  TRIAL  BY  JURY  IN  ANY  ACTION  OR  PROCEEDING RELATED TO THE ENFORCEMENT OF THIS LEASE.               (h)   Any claim based on or in respect of any liability of Landlord under this  Lease shall, so long as Landlord continues to own the Premises, be enforced only against the  Premises and/or the rents, income, awards, and proceeds derived therefrom and not against any  other assets, properties or funds of (i) Landlord or any manager, director, officer, shareholder,  general partner, limited partner, or direct or indirect partners, employee or agent of Landlord or its  managers (or any legal representative, heir, estate, successor or assign of any thereof); (ii) any  predecessor or successor Person of Landlord or its managers, either directly or through Landlord  or  its  predecessor  or  successor  Person  of  Landlord or  its  general  partners;  and  (iii)  any  other  Person.               (i)   Without the written approval of Landlord and Tenant, no Person other than  Landlord  (including  its  direct  and  indirect  partners),  Mortgagee,  Tenant  and  their  respective  successors and assigns shall have any rights under this Lease.               (j)   There shall be no merger of the leasehold estate created hereby by reason  of the fact that the same Person may own directly or indirectly, (i) the leasehold estate created  hereby or any interest in this Lease or such leasehold estate and (ii) the fee estate in the Premises.   Notwithstanding any such combined ownership, this Lease shall continue in full force and effect   until terminated by an instrument executed by both Landlord and Tenant.                (k)   Subject  to  Section  24.1,  in  the  event  that  Tenant, directly  or  indirectly   consolidates  with  or  merges  into  any  corporation,  association,  partnership  or  other  business   organization or permits any corporation, association, partnership or other business organization to   consolidate with or merge into it, or sells or otherwise  transfers  all  or  substantially  all  of  its  properties  and  assets,  or  acquires  all  or  substantially  all  of  the  assets  of  any  corporation,   association, partnership or other business organization or individual, unless Tenant shall be the   entity surviving such consolidation, merger or other action, the surviving entity or transferee shall                                         41      

 

   enter  into  an  assumption  of  this  Lease  (including, without  limitation,  an  assumption  of  all  obligations  set  forth  in  Section  19(b)  hereof)  and the  other  agreements  contemplated  by  this  transaction  in  form  and  substance  reasonably  satisfactory  to  Landlord.   Notwithstanding  the  foregoing, the terms of this Section 28(k) shall not apply to the Proposed Merger.                (l)   During the one year period preceding the date on which the Term of this  Lease shall terminate or otherwise expire, Landlord may show the Premises to prospective tenants  or purchasers at such reasonable times during Tenant’s normal business hours as Landlord may  select upon reasonable prior written notice to Tenant (no less than two Business Days in advance),  provided that Landlord takes precautions not to unreasonably inconvenience Tenant or any persons  occupying the Premises in accordance with this Lease and is accompanied by an employee or other  representative of Tenant at all times during such entry.               (m)   In  the  event  of  the  termination  of  this  Lease  as  herein  provided,  the  obligations and liabilities of Landlord and Tenant, as the case may be, actual or contingent, under  this Lease which arose at or prior to such termination shall survive such termination.               (n)   This Lease is intended as, and shall constitute, a true lease, and Landlord  and Tenant shall report their interests herein of accounting, tax and all other purposes as being a  true lease and shall not take any action or position inconsistent therewith.               (o)   Landlord  and  Tenant  agree  to  reasonably  cooperate  with  each  other,  at  Tenant’s expense, in order to permit Tenant to attempt to obtain a sales tax exemption with respect  to materials used in construction of the Improvements.  Any sales tax savings resulting from such  exemption shall be paid to (or retained by) Tenant at the time the applicable sales taxes would  otherwise have been payable.               (p)   Landlord may grant easements, licenses, rights of way or similar rights, or  release or amend any such easements or rights with respect to the Premises, so long as such actions  do not interfere with the benefits or increase the duties or obligations of Tenant hereunder.  Tenant  agrees to reasonably cooperate with Landlord in connection therewith, at no cost to Tenant.               (q)   From and after the Commencement Date, if performance of any obligation  of Tenant or Landlord required hereunder, other than an obligation which can be accomplished by  the payment of money, is prevented or substantially impeded by a strike, labor troubles, material  shortages, riots, acts of God, including without limitation governmental preemption in connection  with  a  national  emergency,  any  order  or  regulation of  any  department  or  subdivision  of  any  government  agency,  conditions  of  supply  and  demand which  are  affected  by  war,  an  act  of  terrorism or any other emergency, the time given to a party to comply with such obligation shall  be extended for the period of time equal to the period of delay resulting from any of the foregoing  causes or events, provided that such party gives notice to the other party of the occurrence of such  event describing the nature thereof, as promptly as is reasonably possible following discovery of  the existence of such event.               (r)   Landlord is prohibited from using Tenant’s name, logo, mark, or any other  identifying  symbol  as  a  business  reference,  in  any advertising  or  sales  promotion,  or  in  any  publicity matter without Tenant’s prior written consent.                                         42      

 

               (s)   In no event shall Landlord have the right to place a lien, whether statutory,  consensual  or  otherwise,  and  whether  pre-judgment  or  post-judgment,  on  any  furniture,  trade  fixtures, signage, equipment, wiring, systems or other personal property of Tenant located in or  about the Premises.               (t)   Landlord and Tenant each represent that it has not dealt with any broker or   real estate agent in connection with this transaction, except for Signature Associates, as Tenant’s  broker.   Tenant  shall  be  solely  responsible  for  any  and  all  of  Signature  Associates’  fees,   commissions and the like.  Landlord and Tenant will indemnify each other with respect to claims   of brokers claiming to have been engaged by either of them.                (u)   If any legal action, suit or proceeding is commenced between Landlord and   Tenant regarding their respective rights and obligations under this Lease, the prevailing party shall  be  entitled  to  recover,  in  addition  to  damages  or  other  relief,  reasonable  costs  and  expenses,  attorneys’ fees and court costs (including, without limitation, expert witness fees).  As used herein,  the term “prevailing party” shall mean the party which obtains the principal relief it has sought,  whether by compromise settlement or judgment.  If the party which commenced or instituted the  action, suit or proceeding shall dismiss or discontinue it without the concurrence of the other party,  such other party shall be deemed the prevailing party.                                  [Signature Page Follows ]                                             43      

 

         IN WITNESS WHEREOF, the parties have executed this Lease on the day and year first  above written.                                          Landlord:                                          GPC ADAMS LLC,                                         a Michigan limited liability company                                          By: /s/ Elie Torgow                                                                                   Name: Elie Torgow                                                                                   Its: Manager                                                                                                                              Tenant:                                          CHEMICAL BANK,                                         a Michigan banking corporation                                                                                  By: /s/ Thomas C. Shafer                                                                                   Name: Thomas C. Shafer                                                                                   Its: President and Chief Executive Officer                                                     

 

                                     EXHIBIT A                                      Fixed Rent         (a)   Fixed Rent during the Primary Term shall be payable monthly in advance on the  Commencement  Date  and  thereafter  on  the  first  Business Day of each month.  Each monthly  payment shall be in the amount set forth on Exhibit A-1, pro-rated for any partial month.         (b)   Fixed  Rent  during  any  exercised  Renewal  Term  shall be an amount per annum  equal to the greater of (x) the Fixed Rent for the last year of the Primary Term or immediately  preceding Renewal Term, as applicable, and (y) ninety five percent (95%) of “Fair Market Rental”.   “Fair Market Rental” shall mean the fair market rental that would be obtained in an arm’s-length  transaction between an informed and willing tenant and an informed and willing landlord, in either  case under no compulsion to lease, for the lease of the Premises on the terms set forth in this Lease.   Such fair market rental shall be calculated for the use of the Premises to be leased in place on the  Land, assuming, in the  determination of such fair market  rental,  that  the  Premises  have  been  maintained  in  accordance  with  the  provisions  of  this  Lease,  and  that  Tenant  is  a  tenant  in  possession of the Premises at the time of renewal which is renewing its net lease, taking into  consideration the prevailing market for rental space in buildings of comparable quality and age for  tenants of similar size, credit quality and stature, and including consideration of market conditions  for improvement allowances, tenant procurement costs, free rent, other lease concessions, lease  term, base years and operating expenses and taxes.  Fair Market Rental shall be determined as of  the date which is six months prior to the commencement of each Renewal Term in accordance  with the Appraisal Procedure set forth below. Fixed Rent will increase by two percent (2%) on  each anniversary of the first day of the applicable Renewal Term.  Fair Market Rental will be paid  monthly in advance with a level amount for each month within each year of the applicable Renewal  Term.         Appraisal  Procedure  shall  mean  the  following  procedure  for  determining  Fair  Market  Rental: Within twenty (20) days following the date on which Tenant gives notice of its election to  extend the Term for any Renewal Term, representatives of Tenant and Landlord will meet and  attempt to agree on the Fair Market Rental.  If Tenant and Landlord are unable to so agree within  forty  (40)  days  of  Tenant’s  extension  notice,  then Tenant  shall  have  the  right,  but  not  the  obligation, to rescind its exercise of the applicable Renewal Term by providing written notice of  such rescission within twenty (20) days thereafter.  If Tenant rescinds its exercise of a Renewal  Term,  Landlord,  at  its  option  exercised  by  written notice  to  Tenant  within  twenty  (20)  days  following receipt of Tenant’s rescission notice, may void Tenant’s rescission by agreeing that the  Fair Market Rental will be deemed to be equal to the Fixed Rent for the last year of the Primary  Term or immediately preceding Renewal Term, as applicable.  If Tenant fails to rescind its exercise  of the applicable Renewal Term, Tenant and Landlord shall mutually agree upon the appointment  of a qualified Appraiser, but if the parties shall fail to choose an Appraiser within twenty (20) days  after notice from either party of the necessity to select an Appraiser, then Landlord and Tenant  shall each, at their own cost, select an Appraiser of their own choosing, and the two (2) Appraisers  shall jointly select a third Appraiser (the “Neutral Appraiser”). Within fifteen (15) days following  the appointment of the Neutral Appraiser, each  party shall submit to the Neutral Appraiser its  determination of the Fair Market Rental.  The Neutral Appraiser shall within fifteen (15) days  following the submission of such determinations render its decision by selecting the determination                                     Exhibit A-1      

 

   of Fair Market Rental submitted by either party which, in the judgment of the Neutral Appraiser,  most nearly reflects the Fair Market Rental.  It is expressly understood that the Neutral Appraiser  shall have no power or authority to select any Fair Market Rental other than one of the two Fair  Market  Rental  estimates  submitted  by  Landlord  or  Tenant,  and  the  decision  of  the  Neutral  Appraiser shall be final and binding upon the parties hereto.  The fees and expenses of the Neutral  Appraiser shall be divided equally between Tenant and Landlord.                                          Exhibit A-2      

 

                                    EXHIBIT A-1                                  Fixed Rent Schedule   Office Space First Year Rent Per Square Foot:  $35  Office Rentable Square Feet:  199,370  First Year Office Rent  $6,977,950.00  Retail Space First Year Rent Per Square Foot:  $50  Retail Rentable Square Feet:  3,801  First Year Retail Rent:  $190,050.00  Parking Rent Per Space:  $300  Parking Spaces:  311  First Year Parking Rent:  $1,119,600  Rent Escalations:  2% per year on all components of Rent                                                                                                                                                                                                               Exhibit A-1-1      

 

                                                EXHIBIT B                               Description of the Land   Land situated in the City of Detroit, County of Wayne, State of Michigan, described as follows:     Parcel 1 :   Lots 24, 25 and 26 of Plat of Park Lots 84, 85 and 86, as subdivided May 7, 1835 by A.E. Hathon,  Surveyor, as recorded in Liber 7 City Records, Page 27, Wayne County Records.   Tax Parcel No.:  000389, Ward 02   Common Address:  25 W. Elizabeth Street, Detroit, MI 48201   Parcel 2 :   Lots 3 and 4 of the Subdivision of Park Lots 84, 85 and 86, Detroit, as recorded in Liber 7 City  Records, Page 27, Wayne County Records   Tax Parcel No.:  001865, Ward 02   Common Address:  2047 Woodward Avenue, Detroit, MI 48201                                          Exhibit B-1                                            

 

                                     EXHIBIT C                             Form of Memorandum of Lease                                   MEMORANDUM OF LEASE                                             See Exhibit “A”  for Legal Description, Tax Parcel Identification No., and Common Address          THIS  MEMORANDUM  OF  LEASE  (this  “Memorandum”)  is  made  and  entered  into  effective as of ___________________, 2019, by and between GPC ADAMS LLC , a Michigan  limited liability company (“Landlord”), whose address is 333 W. Fort Street, Suite 1350, Detroit,  Michigan 48226, and CHEMICAL BANK   , a Michigan banking corporation (“Tenant”), whose  address is _____________________________.                                     RECITALS         A.    Landlord and Tenant have entered into that certain  Lease  (the  “Lease”)  dated  effective  ______________________,  2019,  pursuant  to  which  Landlord  leased  to  Tenant  and  Tenant leased from Landlord the land described on Exhibit “A”  attached hereto and incorporated  herein  (the  “Land”),  together  with  all  improvements  to  be  constructed  thereon  (the  “Improvements”)  (the  Land  and  the  Improvements  are referred  to  herein  collectively  as  the  “Demised Premises”), on and subject to the terms and conditions of the Lease.          B.    Landlord and Tenant desire to execute this Memorandum to provide record notice  of Tenant’s rights, title and interest in and to the Demised Premises under the Lease.         Now, therefore, for good and valuable consideration, the receipt and sufficiency of which  are hereby acknowledged, the parties agree as follows:          1.    Lease.  Landlord hereby acknowledges that it has leased the Demised Premises to  Tenant pursuant to the Lease.  Landlord hereby repeats and restates such lease of the Demised  Premises  to  Tenant  pursuant  to  the  terms  and  conditions  of  the  Lease,  which  are  hereby  incorporated herein by  reference.  This Memorandum has  been  entered  into  by  Landlord  and  Tenant  for  purposes  of  recordation  in  the  appropriate  real  estate  records  of  Wayne  County,  Michigan to provide notice to third parties of the Lease and nothing contained herein shall be  deemed or construed to amend, modify, change, alter, amplify, interpret or supersede any of the  terms and provisions of the Lease.  In the event of a conflict between the terms of the Lease and  the terms of this Memorandum, the terms of the Lease shall control.  All capitalized terms not  otherwise defined in this Memorandum shall have the meaning ascribed to them in the Lease.          2.    Lease Term.   The  Primary  Term  of  the  leasehold  estate  of  the  Tenant  in  the  Demised Premises is for a term that commences on the Commencement Date (defined in the Lease  as the earlier of the date Tenant opens for business at the Demised Premises or January 1, 2022),  and expires twenty-two and one-half (22 1/2) years following the Commencement Date, unless                                     Exhibit C-1        

 

   sooner terminated in accordance with the provisions of the Lease or by operation of law.  Tenant  has options to extend the Primary Term for four (4) Renewal Terms of seven (7) years each.          3.    Successors and Assigns.  This Memorandum and the Lease shall bind and inure to  the benefit of the parties hereto and their respective successors and assigns, subject however to the  provisions of the Lease regarding assignment.                      [Remainder of this page intentionally left blank; signature pages follow.]                                                Exhibit C-2        

 

         This Memorandum has been executed by Landlord and Tenant as of the date first above  written.                                       LANDLORD    :                                                                            GPC ADAMS LLC    ,                                       a Michigan limited liability company                                        By:                                                                   Name:                                                                 Its:                                                                  Date:                                                                                              LANDLORD NOTARY    STATE OF                   )                             ) SS:  COUNTY OF                  )          The undersigned, a Notary Public in and for the County and State aforesaid, does hereby  certify that _______________________, known to me to be the _____________________ of GPC  Adams LLC, a Michigan limited liability company, and personally known to me to be the same  person whose name is subscribed to the foregoing instrument, appeared before me this day in  person and acknowledged under oath that in such capacity he/she signed and delivered the said  instrument pursuant to authority duly given to him/her by said limited liability company.           Given under my hand and seal this _____ day of ________________, 2019.                                                                                                                                                                                                                            Notary Public,                                                                                                  Acting in the County of:        My Commission Expires:    ______________________________                                                                                                                          Exhibit C-3        

 

                              TENANT            :                                        CHEMICAL BANK     ,                                       a Michigan banking corporation                                                                            By:                                                                                                 Name:                                                                                                     Its:                                                                                                      Date:                                                                                                      TENANT NOTARY                                           STATE OF                      )                                ) SS:  COUNTY OF                     )         The undersigned, a Notary Public, in and for the County and State aforesaid, does hereby  certify  that   __________________________,   known    to   me    to   be   the  _________________________  of  Chemical  Bank,  a  Michigan  banking  corporation,  and  personally  known  to  me  to  be  the  same  person  whose name  is  subscribed  to  the  foregoing  instrument, appeared before me this day in person and acknowledged under oath that in such  capacity  he/she  signed  and  delivered  the  said  instrument  pursuant  to  authority  duly  given  to  him/her by said banking corporation.   Given under my hand and seal this _____ day of _________________, 2019.                                                                                                                                                              Notary Public,                                                                                                  Acting in the County of:        My Commission Expires:    ______________________________    THIS DOCUMENT PREPARED BY  AND WHEN RECORDED RETURN TO:    DYKEMA GOSSETT PLLC  Kyle R. Hauberg, Esq.  39577 Woodward Avenue, Suite 300  Bloomfield Hills, Michigan 48304-5086                                       Exhibit C-4        

 

                                               EXHIBIT “A”                        LEGAL DESCRIPTION OF THE LAND   Land situated in the City of Detroit, County of Wayne, State of Michigan, described as follows:     Parcel 1 :   Lots 24, 25 and 26 of Plat of Park Lots 84, 85 and 86, as subdivided May 7, 1835 by A.E. Hathon,  Surveyor, as recorded in Liber 7 City Records, Page 27, Wayne County Records.   Tax Parcel No.:  000389, Ward 02   Common Address:  25 W. Elizabeth Street, Detroit, MI 48201   Parcel 2 :   Lots 3 and 4 of the Subdivision of Park Lots 84, 85 and 86, Detroit, as recorded in Liber 7 City  Records, Page 27, Wayne County Records   Tax Parcel No.:  001865, Ward 02   Common Address:  2047 Woodward Avenue, Detroit, MI 48201                                                                                    Exhibit C-5                                            

 

                                                EXHIBIT D                           Existing Permitted Encumbrances      Taxes  and  assessments  due  and  payable  from  and  after  the  Commencement  Date,  subject  to    proration in accordance with Section 6.   City of Detroit Building and Safety Engineering Department Decision and Order as recorded in     Liber 30164, Page 1661, Wayne County Records.   Terms and provisions which are revealed by Board of  Zoning Appeals  Decision and Order as     recorded in Liber 33553, Page 873, Wayne County Records.   Terms and provisions as revealed by resolution which states captioned land is within an area     designated as the Grand Circus Park Local Historic District as recorded in Liber 38581, Page     391, Wayne County Records.                                           Exhibit D-1EX-10.1

 Exhibit 10.1 

LOAN FACILITY AGREEMENT 
 This loan
facility agreement (this “Agreement”) is dated June 4, 2019 
 BETWEEN 

 

	(1)	 Shell Midstream Partners, L.P., a limited partnership organised under the laws of the State of Delaware in the
United States of America with its registered office at Corporation Trust Company, 1209 Orange Street, Wilmington, Delaware 19801, USA (the “Borrower’’); and 

 

	(2)	 Shell Treasury Center (West) Inc., a company incorporated under the laws of the State of Delaware in the United
States of America with its registered office at Corporation Trust Company, 1209 Orange Street, Wilmington, Delaware 19801, USA (the “Lender’’). 

It is agreed as follows: 
  

	1.	 DEFINITIONS 

In this Agreement: 
 “Advance”
means a loan in US Dollars made or to be made under this Agreement or the principal amount in US Dollars outstanding for the time being of that loan. 

“Agreement” has the meaning given it in the preamble above, as amended, novated, supplemented, extended or restated from time
to time. 
 “Business Day” means a day on which banks in New York are open for the transaction of the business contemplated
by this Agreement. 
 “Commitment” means six hundred million US Dollars (USD 600,000,000), to the extent not cancelled or
reduced by the Lender under this Agreement. 
 “Commitment Period” means the period from the Effective Date up to and
including thirty (30) days thereafter. 
 “Disbursement Date” means the day on which an Advance is made or to be made
under this Agreement. 
 “Disruption Event” means either or both of: 

 

	 	(a)	 A material disruption to those payment or communication systems or to those financial markets which are, in
each case, required to operate in order for payments to be made in connection with the Advance (or otherwise in order for the transactions contemplated by this Agreement to be carried out) which disruption is not caused by, and is beyond the control
of, either of the Parties; or 

  

	 	(b)	 The occurrence of any other event which results in a disruption of a technical or systems-related nature to the
treasury or payments operations of a Party preventing either Party: 

  

	 	(i)	 from performing its payment obligations under this Agreement; or 

 

	 	(ii)	 from communicating with other Parties in accordance with the terms of this Agreement, and

 which (in either such case) is not caused by, and is beyond the control of, the Party whose operations are disrupted.

 “Effective Date” means the date of this Agreement above. 

“Event of Default” means any event or circumstance specified as such in Clause 8. 

“Final Repayment Date” means the date ten (10) years after the Effective Date, or if that is not a Business Day, the next
Business Day in that calendar month (if there is one) or the preceding Business Day (if there is not). 
 “Financial
Indebtedness” means any indebtedness for or in respect of: 
  

	 	(a)	 moneys borrowed; 

  

	 	(b)	 any amount raised by acceptance under any acceptance credit facility; 

 

	 	(c)	 any amount raised pursuant to any note purchase facility or the issuance of bonds, notes debentures, loan stock
or any similar instrument; 

  

	 	(d)	 the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with
generally accepted accounting principles in the United States of America, be treated as a finance or capital lease; 

  

	 	(e)	 receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis); 

  

	 	(f)	 any amount raised under any other transaction (including any forward sale or purchase agreement) having the
commercial effect of a borrowing; or 

  

	 	(g)	 the amount of any liability in respect of any guarantee or indemnity for any items referred to in paragraphs
(a) to (f) above. 

 “Fixed Interest Rate” means 4.18% (four point one eight percent) per annum. 

“Group Company” means and includes Royal Dutch Shell plc and any entity (other than the Lender) which Royal Dutch Shell plc
from time to time directly or indirectly controls. For this purpose: 
  

	 	(a)	 an entity directly controls another entity if it has the direct power to direct or cause the direction of the
management and policies of such other entity, whether through ownership of voting securities or partnership or other ownership interests, by contract or otherwise; and 

  
 2 

	 	(b)	 an entity indirectly controls another entity if a series of entities can be specified, beginning with the first
entity and ending with the other entity, so related that each entity of the series (except the ultimate controlling entity) is directly controlled by one or more of the entities earlier in the series. 

“Increased Cost” means: 
  

	 	(a)	 an additional or increased cost; 

 

	 	(b)	 a reduction in the rate of return under this Agreement or on the Lender’s overall capital; or

  

	 	(c)	 a reduction of an amount due and payable under this Agreement, which is incurred by the Lender but only to the
extent attributable to the Lender having entered into this Agreement or funding or performing its obligations under this Agreement. 

“Interest Payment Date” means, in relation to each Advance, the twenty-fifth
(25th) day of April, July, October and January in each year or, if that is not a Business Day, the next Business Day in that calendar month (if there is one) or the preceding Business Day (if
there is not), and the relevant Repayment Date. 
 “Interest Period” means each period by reference to which interest is
calculated and payable in respect of an Advance, as determined in accordance with Clause 3.3. 
 “Repayment Date” means, in
relation to an Advance, the repayment date for that Advance: 
  

	 	(a)	 specified by the Borrower in the notice referred to under Clause 2.1 or if that is not a Business Day, the next
Business Day in that calendar month (if there is one) or the preceding Business Day (if there is not), and which shall be a date on or before the Final Repayment Date; or 

 

	 	(b)	 If not specified by the Borrower in the notice referred to under Clause 2.1, the Final Repayment Date.

 “Tax Payment” has the meaning given to that term in Clause 6.4. 

“Virtual Treasurer Loans Advisor” means the secure electronic information storage and communications system used by the Lender
and the Borrower through which requests for Advances may be made. 
  

	2.	 DRAWDOWNS 

  

	 	2.1	 Subject to the terms of this Agreement, the Borrower shall be entitled during the Commitment Period to borrow
Advances up to an aggregate amount not exceeding the Commitment provided that the Borrower has requested the relevant Advance by not less than two (2) Business Days’ written notice to

  
 3 

	 	
the Lender, such notice specifying the proposed Disbursement Date which shall be a Business Day, the amount of the Advance and the Repayment Date, and provided further that at the time of
drawdown, no Event of Default has occurred or is, in the reasonable opinion of the Lender, expected to occur. 

  

	 	2.2	 A disbursement request shall be irrevocable; provided, that a disbursement request will not be regarded
as having been duly completed unless (a) the proposed disbursement date is a business day within the availability period; (b) the amount of the proposed disbursement plus any prior disbursements must be an amount which is not more than the
total facility commitment amount; (c) it specifies the account and bank to which the proceeds of the disbursement are to be credited. 

  

	 	2.3	 Subject to the terms of this Agreement, the Lender shall make available to the Borrower each Advance referred
to in Clause 2.1, before the close of business on the requested Disbursement Date by transferring such Advance to the bank account or by crediting such Advance to such current account with a Group Company as shall be designated by the Borrower.

  

	3.	 INTEREST 

  

	 	3.1	 The rate of interest for each Advance for its Interest Period shall be the Fixed Interest Rate.

  

	 	3.2	 The Borrower shall pay interest on the Advances for each Interest Period in arrears on the Interest Payment
Date. 

  

	 	3.3	 Each Interest Period shall start on an Interest Payment Date and end on the next following Interest Payment
Date except that the first Interest Period in respect of each Advance shall start on its Disbursement Date and end on the next Interest Payment Date and any Interest Period which would otherwise extend beyond the Final Repayment Date shall instead
end on that date. 

  

	 	3.4	 If Interest is paid other than on an Interest Payment Date, the Borrower shalt pay to the Lender, in addition
to the Interest due, an amount equal to the amount (if any) which the Lender certifies as necessary to indemnify it against the cost of breaking funds borrowed, contracted for or utilized to finance the relevant Advance. 

 

	 	3.5	 If the Borrower fails to pay any amount payable by it under this Agreement on its due date, interest shall
accrue on the overdue amount from the due date up to the date of actual payment. Any interest accruing under this Clause 3.5 shall be immediately payable by the Borrower on demand by the Lender. Such interest shall be compounded with the overdue
amount at the end of each month, but shall remain immediately due and payable on demand by the Lender, and shall be calculated by reference to successive periods of one (1) month beginning on the due date at the aggregate annual rate of:

  

	 	(a)	 the applicable rate of interest prescribed under Clause 3.1: and 

  
 4 

	 	(b)	 two (2) percent. 

 

	 	3.6	 Interest shall accrue on a daily basis and be calculated on the basis of a three hundred and sixty
(360) day year. 

  

	4.	 REPAYMENT AND PREPAYMENT 

 

	 	4.1	 Except as provided in Clause 5, the Borrower may not repay or prepay an Advance without the written consent of
the Lender, which may be given or withheld at the Lender’s sole discretion. Borrower must communicate its request to repay or prepay to lender in writing at least fifteen (15) business days prior to the desired prepayment date. The request
shall include the amount to be paid and desired date of repayment. If the Lender consents to a prepayment or repayment, the Borrower may pay on the date specified in the amount Borrower included in the request for prepayment or repayment including
any applicable market-based fees. 

  

	 	4.2	 Any notice of prepayment or repayment shall be irrevocable and shall require the Borrower to make the payment
on the date specified unless the Lender at its sole discretion agrees otherwise in writing. 

  

	 	4.3	 Any prepayment or repayment must be accompanied by: 

 

	 	(a)	 accrued interest calculated in accordance with the provisions of this Agreement up to the day of prepayment or
repayment on the amount prepaid or repaid; and 

  

	 	(b)	 an amount equal to the amount which the Lender certifies as necessary to Indemnify it against the cost of
breaking funds borrowed, contracted for or utilised to finance the relevant Advance. 

  

	 	4.4	 Advances prepaid or repaid may not be re-borrowed.

  

	5.	 INCREASED COSTS AND CHANGE OF CIRCUMSTANCES 

 

	 	5.1	 If any law, regulation or regulatory requirement or any Judgment, order or direction of any court, tribunal or
authority binding on the Lender comes into force and effect after the date of this Agreement or if compliance by the Lender with any direction, request or requirement (whether or not having the force of law) of any competent governmental or other
authority comes into force and effect after the date of this Agreement the result of which is to subject the Lender to any Increased Costs then and in each such case: 

 

	 	(a)	 the Lender may notify the Borrower in writing of such event promptly upon Its becoming aware of the same;

  
 5 

	 	(b)	 within thirty (30) days of a written demand the Borrower shall pay to the Lender the amount which the
Lender specifies (in a certificate setting out the basis of the computation of such amount, which certificate shalt be prima facie evidence of such Increased Cost) to be required to compensate the Lender for such Increased Cost; and

  

	 	(c)	 the Borrower may, at any time after receipt of a notice referred to in Clause 5.1 (a), notify the Lender that
it will prepay the outstanding Advances within fifteen (15) days of such notice to the Lender. The provisions of Clauses 5.2, 5.3 and 5.4 shall apply to such prepayment. Upon receipt of such prepayment from the Borrower, the Agreement shall be
terminated. 

  

	 	5.2	 In the event a material adverse change occurs, in the opinion of the Lender, in the financial condition,
results of operations or business of the Borrower, the Lender may refuse to make (further) Advances, may reduce the Commitment to zero and/or may require repayment of all or any Advances (or any part thereof) already made together with air interest
accrued (if any) and all other sums that may be due or payable under the terms of this Agreement, within thirty (30) days of written demand from the Lender to the Borrower. 

 

	6.	 PAYMENTS AND TAXES 

 

	 	6.1	 All payments to be made by the Borrower hereunder shall be made without set-off or counter claim and free and
clear of and without deduction for or withholding of or on account of any present or future taxes, levies or charges of whatever kind unless the Borrower is compelled by law to make payment subject to such tax, levy or charge. 

 

	 	6.2	 If the Borrower is compelled by law to make any deduction or withholding on account of tax then the Borrower
shall be permitted to make such deduction or withholding and shall ensure that such deduction or withholding does not exceed the minimum legal liability therefor and shall, within sixty (60) days of effecting such deduction or withholding,
forward to the Lender an official receipt or other official documentation in each case in form and substance satisfactory to the Lender certifying payment of the tax. 

 

	 	6.3	 Subject to Clause 6.4, if the Borrower is compelled by law to make payment subject to deduction of any amounts,
then the Borrower shall, if requested by the Lender, make payment to the Lender of such additional amounts as shall yield to the Lender the full amounts which would be paid to the Lender under this Agreement as if such taxes, levies or other charges
were not paid, deducted or withheld. 

  
 6 

	 	6.4	 The Lender is entitled to request payment under Clause 6.3 (“Tax Payment”) only if the Lender
determines that a full credit against, relief or remission for, or repayment of tax is not attributable to that Tax Payment. 

  

	7.	 REPRESENTATIONS AND UNDERTAKINGS 

The Borrower represents to the Lender on the date of this Agreement and on each Disbursement Date that: 

 

	 	7.1	 it is a limited partnership, duly organised and validly existing under the laws of its jurisdiction of
incorporation and it has the power to own its assets and carry on its business as it is being conducted; 

  

	 	7.2	 it has the power to enter into and perform, and has taken any necessary action to authorise the entry into and
performance of, this Agreement and transactions contemplated by this Agreement; 

  

	 	7.3	 this Agreement is its legally binding, valid and enforceable obligation; 

 

	 	7.4	 amounts owing to the Lender under this Agreement will rank at least pari passu with all the
Borrower’s other unsecured and unsubordinated obligations except for obligations mandatorily preferred by law applying to companies generally; and 

  

	 	7.5	 no Event of Default has occurred and is continuing. 

 

	8.	 DEFAULT 

  

	 	8.1	 Each of the events or circumstances set out in this Clause 8 is an “Event of Default”, and the
consequence of such an Event of Default being continuing is that the Lender may refuse to make further Advances, may reduce the Commitment to zero and/or may require the immediate repayment of all or any Advances already made together with all
interest accrued (if any) and all other sums that may be due or payable under the terms of this Agreement. The Borrower shall, on demand by the Lender, indemnify the Lender against any cost, loss or liability Incurred by the Lender as a result of
the occurrence of an Event of Default. The Borrower shall promptly upon becoming aware of the same, notify the Lender in writing of the occurrence of an Event of Default, or an event which would with the lapse of time or giving of notice or both be
an Event of Default. 

  

	 	8.2	 The Borrower does not pay on the due date any amount payable pursuant to this Agreement at the place and in the
currency in which it is expressed to be payable unless its failure to pay is caused by: 

  

	 	(a)	 an administrative or technical error; or 

  
 7 

	 	(b)	 a Disruption Event, and repayment is made within two (2) Business Days of the event.

  

	 	8.3	 The Borrower fails to comply with any provision of, or perform any obligation under this Agreement (other than
the obligations to pay referred to in Clause 8.2) except where the failure to comply or perform is, in the reasonable opinion of the Lender, capable of remedy and is remedied within ten (10) days of written notice from the Lender to the
Borrower requiring such remedy. 

  

	 	8.4	 Any governmental or other authority having jurisdiction over the Borrower institutes any action or legislation
forcing the Borrower to cease all or a substantial part of its normal business, or withdraws or withholds any authorisation or consent obtained or required by the Borrower for the due performance of its business and Its obligations under this
Agreement; or all or a substantial part of the business or assets of the Borrower is expropriated, nationalised, involuntarily liquidated or otherwise compulsorily withdrawn from the control of the Borrower. 

 

	 	8.5	 The Borrower suspends payment to its creditors or generally is, or admits in writing that it is, unable to pay
its debts when they fall due or commences negotiations with its creditors or makes any composition or arrangement with its creditors, or goes into liquidation whether voluntary or compulsory, or if any step is taken by any person with a view to the
winding up, administration or bankruptcy of the Borrower (except for the purpose of a solvent amalgamation or reconstruction), or if it ceases or prepares to cease trading, or if any step is taken to enforce security over, or a distress, execution
or other similar process is levied or served against, the whole or any part of its assets, including without limitation the appointment of a receiver, administrative receiver, administrator or similar officer or any such analogous procedure or step
is taken under the applicable laws of any jurisdiction or it takes any action in furtherance of, or indicating its consent to, approval of or acquiescence in, any of the foregoing acts. 

 

	 	8.6	 The Borrower is not or ceases to be a Group Company. 

 

	 	8.7	 It is or becomes unlawful for the Borrower to perform any of its obligations under this Agreement.

  

	 	8.8	 An event of cross default occurs: 

 

	 	(a)	 Any Financial Indebtedness of the Borrower is not paid when due nor within any originally applicable grace
period. 

  

	 	(b)	 Any Financial Indebtedness of the Borrower is declared to be or otherwise becomes due and payable prior to its
specified maturity as a result of an event of default (however described). 

  
 8 

	 	(c)	 Any commitment for any Financial Indebtedness of the Borrower is cancelled or suspended by a creditor of the
Borrower as a result of an event of default (however described). 

  

	 	(d)	 Any creditor of the Borrower becomes entitled to declare any Financial Indebtedness of the Borrower due and
payable prior to its specified maturity as a result of an event of default (however described). 

  

	 	(e)	 No Event of Default will occur under this clause 8.8 if the aggregate amount of Financial Indebtedness or
commitment for Financial Indebtedness falling within clauses 8.8(a), 8.8(b), 8.8(c), or 8.8(d) above is less than one hundred million US Dollars (USD 100,000,000) (or its equivalent in any other currency or currencies). 

 

	9.	 GENERAL COVENANTS 

The undertakings in this Clause 10 remain in force for the date of this Agreement for so long as any amount is outstanding under this
Agreement. The Borrower shall promptly: 
  

	 	9.1	 Obtain, comply with, and do all that is necessary to maintain in full force and effect; 

 

	 	9.2	 Supply certified copies to the Lender of any Authorization required by any law or regulation of its
jurisdiction of incorporation to enable it to perform its obligations under this Agreement and to ensure the legality, validity, enforceability, or admissibility in evidence in its jurisdiction of incorporation of this Agreement;

  

	 	9.3	 The Borrower shall comply in all respects with all the laws to which it may be subject, if failure to so comply
would impair its ability to perform its obligations under this Agreement; 

  

	 	9.4	 The Borrower shall not create or permit to subsist any security over any of its assets other than such Security
as agreed between the Lender and the Borrower; and 

  

	 	9.5	 The Borrower shall not incur additional indebtedness either through loans, issuing bonds, debentures, loan
stock or similar instrument, except for bank loans or Group Company loans up to six hundred million United States Dollars (USD 600,000,000) without the express written consent of the Lender. For purposes of this clause, this restriction does not
apply to other loans between the Lender and the Borrower. 

  
 9 

	10.	 SET-OFF 

The Lender may set-off any matured obligation due from the Borrower under this Agreement against any obligation owed by the Lender to the
Borrower (whether or not arising under this Agreement, matured or contingent and irrespective of the currency, place of payment or place of booking of either obligation). If the obligations are in different currencies, the lender may convert either
obligation at a market rate of exchange in its usual course of business for the purpose of the set-off. 
  

	11.	 COSTS AND EXPENSES 

 

	 	11.1	 Transaction Expenses. The Borrower shall pay any and all stamp duty, registration costs and similar duties,
taxes and charges which may be payable or determined to be payable in connection with the execution, delivery, performance and enforcement of this Agreement. 

  

	 	11.2	 Enforcement Costs. The Borrower shall pay to the Lender the amount of all costs and expenses (including legal
fees) incurred by the Lender in connection with the enforcement of, or the preservations of, any rights under this Agreement. 

  

	12.	 ASSIGNMENT AND TRANSFER 

 

	 	12.1	 The Lender may at any time assign any of its rights, transfer or novate any of its rights, benefits and
obligations under this Agreement to a Group Company and the Borrower agrees to execute all necessary documents as may be reasonably required by the Lender to effect such assignment, transfer or novation. 

 

	 	12.2	 The Borrower may not assign, transfer or novate any of its rights, benefits and obligations under this
Agreement. 

  

	13.	 APPLICABLE LAW AND JURISDICTION 

This Agreement and any dispute or claim of whatever nature, whether contractual or non-contractual,
arising out of or in connection with it is governed by the laws of the State of New York and the parties hereby submit to the non-exclusive jurisdiction of the State of New York courts. 

 

	14.	 NOTICES 

  

	 	14.1	 Any notice to be given hereunder shall be given in writing, in the English language, and only by letter or
facsimile, save that requests for Advances under Clause 2.1 may be given by the Borrower to the Lender via e-mail or via the Virtual Treasurer Loans Advisor. 

 

	 	14.2	 Any communication to be made by one party to the other hereunder shall (unless that other party has by fifteen
(15) days’ written notice to the other specified another address) be made to that other party at the address or 

  
 10 

	 	
facsimile number for notices set out below (or such other address or facsimile number as has been notified), but shall be effective only when received and then only if the same is expressly
marked for the attention of such department or officer specified below (or such other department or officer as the addressee shall from time to time specify in writing for this purpose). 

 

	 	14.3	 Addresses for notices and communication to be sent under this Agreement are as follows: 

 

					
	(a)	  	to the Borrower: Address: Attention:	  	 Shell Midstream Partners, L.P.
 150 North
Dairy Ashford, Houston, TX 77079
 Treasurer

			
	(b)	  	to the Lender: Address: Attention: Facsimile:	  	 Shell Treasury Center (West) Inc.
 150 North
Dairy Ashford, Houston, TX 77079
 Treasurer
 +41
417694555

		  	with a copy to:	  	

  

	15.	 COUNTERPARTS 

This Agreement may be executed in any number of counterparts, either in original or telecopy form, each of which shall constitute an original,
and this has the same effect as if the signatures on the counterparts were on a single copy of the Agreement. 

  
 11 

 EXECUTION 
 The
parties have executed this Agreement as at the date written above. 
  

											
	Signed for and on behalf of	  	Signed for and on behalf of	  	
	Shell Midstream Partners, L.P.	  	Shell Treasury Center (West) Inc.	  	
				
	 By: Shell Midstream Partners
 GP
LLC, its general partner
	  		  		  	
						
	Name:	  	 /s/ Shawn J. Carsten
	  		  	Name:	  	 /s/ Jennifer Betlejewski
	  	
			
	 Designation: Vice President and

Chief Financial Officer
	  	Designation: Treasurer	  	
			
	Date: June 4, 2019	  	Date: June 4, 2019	  	
			
	Borrower Bank Details:	  	Lender Bank Details:	  	
	Bank:	  		  		  	Bank:	  		  	
	Account No:	  	Account No.	  	
	ABA:	  		  		  	ABA:	  		  	
	SWIFT:	  		  		  	SWIFT:	  		  	

  
 12

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00296-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00296-of-00352.parquet"}]]