Document:

Exhibit 10.1 

 

LEASE

 

IMPERIAL CENTER BUSINESS PARK

 

 

 

 

DURHAM
ROYAL CENTER, LLC,

 

a Delaware
limited liability company

 

as Landlord,

 

and

 

ICAGEN, INC.,

 

a Delaware corporation,

 

as Tenant.

 

     

     

    

  

TABLE OF CONTENTS

 

	 	 	Page
	 	 	 
	1.	PREMISES, BUILDING, PROJECT, AND COMMON AREAS	3
	2.	LEASE TERM	4
	3.	BASE RENT	4
	4.	ADDITIONAL RENT	5
	5.	USE OF PREMISES	10
	6.	SERVICES AND UTILITIES	15
	7.	REPAIRS	17
	8.	ADDITIONS AND ALTERATIONS	18
	9.	COVENANT AGAINST LIENS	19
	10.	INSURANCE	20
	11.	DAMAGE AND DESTRUCTION	22
	12.	NONWAIVER	23
	13.	CONDEMNATION	23
	14.	ASSIGNMENT AND SUBLETTING	24
	15.	SURRENDER OF PREMISES; OWNERSHIP AND REMOVAL OF TRADE FIXTURES	26
	16.	HOLDING OVER	28
	17.	ESTOPPEL CERTIFICATES	28
	18.	SUBORDINATION	29
	19.	DEFAULTS; REMEDIES	29
	20.	COVENANT OF QUIET ENJOYMENT	32
	21.	SECURITY DEPOSIT	32
	22.	INTENTIONALLY OMITTED	32
	23.	SIGNS	32
	24.	COMPLIANCE WITH LAW	33
	25.	LATE CHARGES	33
	26.	LANDLORD’S RIGHT TO CURE DEFAULT; PAYMENTS BY TENANT	34
	27.	ENTRY BY LANDLORD	34
	28.	TENANT PARKING	34
	29.	MISCELLANEOUS PROVISIONS	35

 

EXHIBITS

 

	A	INTENTIONALLY OMITTED
	B	FORM OF NOTICE OF LEASE TERM DATES
	C	PREMISES
	D	INTENTIONALLY OMITTED
	E	RULES AND REGULATIONS
	F	FORM OF TENANT’S ESTOPPEL CERTIFICATE
	G	ENVIRONMENTAL QUESTIONNAIRE

 

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IMPERIAL CENTER BUSINESS PARK

 

LEASE

 

This Lease (the “Lease”),
dated as of the date set forth in Section 1 of the Summary of Basic Lease Information (the “Summary”),
below, is made by and between DURHAM ROYAL CENTER, LLC, a Delaware
limited liability company (“Landlord”), and ICAGEN, INC., a Delaware corporation (“Tenant”).

 

SUMMARY OF BASIC LEASE INFORMATION

 

	TERMS OF LEASE	 	DESCRIPTION
	 	 	 
	1.	 Date:	 	Date signed by Landlord as noted on signature page.
	 	 	 	 
	2.	Premises
 (Article 1).	 
	 	 	 	 
	 	2.1 	Building:	That certain office building containing approximately 50,978 rentable square feet of space located at 4222 Emperor Boulevard, Durham, North Carolina 27703.
	 	 	 	 
	 	2.2 	Premises:	A total of approximately 11,207 rentable square feet of space that is comprised of (i) approximately 4,959 rentable square feet of space commonly known as Suite 380 (“Suite 380”), and (ii) approximately 6,248 rentable square feet of space commonly known as Suite 350 (“Suite 350”), as further set forth in Exhibit C to the Lease.
	3.	Lease Term
 (Article 2).	 
	 	 	 
	 	3.1 	Length of Term:	Thirty-six (36) full months.
	 	 	 	 
	 	3.2	Lease Commencement

Date:	

The date of Lease execution.
	 	 	 	 
	 	3.3 	Rent Commencement Date:	April 30, 2019.
	 	 	 	 
	 	3.4 	Lease Expiration Date:	Thirty-six (36) full months after the Rent Commencement Date.

 

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	4.	Base Rent (Article 3):

 

	 	Time Period	 	Annual
 Base Rent	 	 	Monthly
 Installment
 of Base Rent	 	 	Annual Base
 Rent
 per Rentable
 Square
    Foot	 	 
	 	04/30/19-04/30/20*	 	$	21.00	 	 	$	19,612.25	 	 	$	235,347.00	 	 
	 	05/01/20-04/30/21	 	$	21.63	 	 	$	20,200.62	 	 	$	242,407.41	 	 
	 	05/01/21-04/30/22	 	$	22.28	 	 	$	20,807.66	 	 	$	249,691.96	 	 

 

		* Any partial month is pro-rated on a daily basis in the amount
    of Six Hundred Fifty Three and 74/100 Dollars ($653.74) per day.

 

	5. 	Tenant Improvements Allowance:	None.
	 	 	 
	6.	 NNN Lease.	In addition to the Base Rent, Tenant shall be responsible to pay Tenant’s Share of Direct Expenses in accordance with the terms of Article 4 of the Lease.
	 	 	 
	7. 	Tenant’s Share

(Article 4):	

Approximately 21.98%.  
	 	 	 
	8.	 Permitted Use

(Article 5):	

The Premises shall be used only for general office, research and development, engineering, laboratory, storage and/or warehouse uses, including, but not limited to, administrative offices and other lawful uses reasonably related to or incidental to such specified uses, all (i) consistent with first class life sciences projects in the Durham, North Carolina area (“First Class Life Sciences Projects”), and (ii) in compliance with, and subject to, all Applicable Laws (as defined herein), and the terms of this Lease.  
	 	 	 
	9.	 Security Deposit

(Article 21):	

$19,612.25
	 	 	 
	10.	 Parking Pass Ratio

(Article 28):	

Two and one-half (2.5) unreserved parking spaces for every 1,000 rentable square feet of the Premises, subject to the terms of Article 28 of the Lease.
	 	 	 
	11.	 Address of Tenant

(Section 29.18):	
        

        ICAGEN, Inc.

        4222 Emperor Blvd., Suite 350

        Durham, NC 27703

        Attention: Ms. Shetaun Deering (sdeering@icagen.com)

	 	 	 
	12.	 Address of Landlord

(Section 29.18):	

See Section 29.18 of the Lease.
	 	 	 
	13.	 Broker(s)

(Section 29.24):	

CBRE-Raleigh

 

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1. PREMISES, BUILDING, PROJECT, AND COMMON
AREAS

 

1.1 Premises,
Building, Project and Common Areas.

 

1.1.1 The Premises.
Landlord hereby leases to Tenant and Tenant hereby leases from Landlord the premises set forth in Section 2.2 of the
Summary (the “Premises”). The outline of the Premises is set forth in Exhibit C attached
hereto and each floor or floors of the Premises has the number of rentable square feet as set forth in Section 2.2
of the Summary. The parties hereto agree that the lease of the Premises is upon and subject to the terms, covenants and conditions
herein set forth, and Tenant covenants as a material part of the consideration for this Lease to keep and perform each and all
of such terms, covenants and conditions by it to be kept and performed and that this Lease is made upon the condition of such performance.
The parties hereto hereby acknowledge that the purpose of Exhibit C is to show the approximate location of the
Premises in the “Building,” as that term is defined in Section 1.1.2, below, only, and such Exhibit is
not meant to constitute an agreement, representation or warranty as to the construction of the Premises, the precise area thereof
or the specific location of the “Common Areas,” as that term is defined in Section 1.1.3, below, or the
elements thereof or of the accessways to the Premises or the “Project,” as that term is defined in Section 1.1.2,
below. Tenant already occupies the Premises pursuant to a sublease and therefore Tenant shall accept the Premises in its presently
existing “as-is, where-is” condition and Landlord shall not be obligated to provide or pay for any improvement work
or services related to the improvement of the Premises.

 

The Premises shall
exclude Common Areas, including without limitation exterior faces of exterior walls, the entry, vestibules and main lobby of the
Building, lobbies and common lavatories, the common stairways and stairwells, boiler room, sprinkler rooms, mechanical rooms, loading
and receiving areas, electric and telephone closets, janitor closets, and pipes, ducts, conduits, wires and appurtenant fixtures
and equipment serving exclusively or in common with other parts of the Building.

 

1.1.2 The Building
and The Project. The Premises are a part of the building set forth in Section 2.1 of the Summary (the “Building”).
The term “Project,” as used in this Lease, shall mean (i) the Building and the Common Areas, (ii) the land (which
is improved with landscaping, parking facilities and other improvements) upon which the Building and the Common Areas are located,
(iii) the other buildings located in the project known as “Imperial Center Business Park”, and the land upon which
such adjacent buildings are located, and (iv) at Landlord’s discretion, any additional real property, areas, land, buildings
or other improvements added thereto outside of the Project. Landlord may only own portions of the Project and any rights granted
within portions of the Project not owned by Landlord shall be pursuant to recorded declarations and easements to the extent such
documents exist.

 

1.1.3 Common Areas.
Tenant shall have the non-exclusive right to use in common with other tenants in the Project, and subject to the Rules and Regulations
referred to in Article 5 of this Lease, those portions of the Project which are provided, from time to time, for use in
common by Landlord, Tenant and any other tenants of the Project (such areas, together with such other portions of the Project designated
by Landlord, in its discretion, including certain areas designated for the exclusive use of certain tenants, or to be shared by
Landlord and certain tenants, are collectively referred to herein as the “Common Areas”). The Common Areas shall
consist of the “Project Common Areas” and the “Building Common Areas.” The term “Project
Common Areas,” as used in this Lease, shall mean the portion of the Project designated as such by Landlord or areas within
the Project that the occupants of the Building are permitted to utilize pursuant to a recorded declaration and which areas shall
be maintained in accordance with the declaration. The term “Building Common Areas,” as used in this Lease, shall
mean the portions of the Common Areas located within the Building reasonably designated as such by Landlord. The manner in which
the Common Areas are maintained and operated shall be at the reasonable discretion of Landlord and the use thereof shall be subject
to the Rules and Regulations as Landlord may make from time to time. Landlord reserves the right to close temporarily, make alterations
or additions to, or change the location of elements of the Project and the Common Areas, provided that, in connection therewith,
Landlord shall perform such closures, alterations, additions or changes in a commercially reasonable manner and, in connection
therewith, shall use commercially reasonable efforts to minimize any material interference with Tenant’s use of and access
to the Premises.

 

1.2 Stipulation
of Rentable Square Feet of Premises. For purposes of this Lease, “rentable square feet” of the Premises shall
be deemed as set forth in Section 2.2 of the Summary. Notwithstanding the foregoing, the useable area of the Premises shall
be determined in accordance with a standard promulgated by the Building Owners and Managers Association which standard is selected
by Landlord. The rentable area of the Premises shall be determined by multiplying the useable area of the Premises by a “core
factor”. Landlord may, at any time, have its architect or engineer measure the actual total usable and rentable square footage
of the Premises. In the event the Premises shall contain an amount of rentable square footage different than the amount of rentable
square feet referenced in Section 2.2 of the Summary, the Premises shall be redefined to reflect the actual rentable square
footage and the Tenant’s Share shall be proportionately adjusted, but in no event shall the Base Rent be increased.

 

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2. LEASE TERM

 

2.1 Lease Term.
The terms and provisions of this Lease shall be effective as of the date of this Lease. The term of this Lease (the “Lease
Term”) shall be as set forth in Section 3.1 of the Summary, shall commence on the date set forth in Section 3.2
of the Summary (the “Lease Commencement Date”), and shall terminate on the date set forth in Section 3.4
of the Summary (the “Lease Expiration Date”) unless this Lease is sooner terminated as hereinafter provided.
For purposes of this Lease, the term “Lease Year” shall mean each consecutive twelve (12) month period during
the Lease Term. At any time during the Lease Term, Landlord may deliver to Tenant a notice in the form as set forth in Exhibit B,
attached hereto, as a confirmation only of the information set forth therein, which Tenant shall execute and return to Landlord
within ten (10) business days of receipt thereof.

 

2.2 Intentionally
Omitted.

 

2.3 Early Termination
Right. Notwithstanding anything contained herein to the contrary, provided Tenant is not in default beyond any applicable
cure period of this Lease, the original Tenant (and only the original Tenant) shall have the one time right to terminate this Lease
effective as of the last day of the twenty-fourth (24th) full month after the Rent Commencement Date (“Termination Date”),
by providing Landlord with written notice at least twelve (12) months prior to the Termination Date, and paying to Landlord concurrently
with Tenant’s notice of its election to terminate this Lease, a termination fee (due with the notice) in an amount equal
to the sum of three (3) months of Base Rent at the rate in effect on the Termination Date plus the unamortized transaction
costs which include the any Tenant improvement allowance, the amount of any abated Base Rent during the Term, any Landlord construction
costs for the Premises, attorney’s fees, and brokerage commissions paid or made available to Tenant in connection with this
Lease, assuming the straight-line amortization of such costs, together with interest thereon at eight percent (8%) per annum, over
the Term. Notwithstanding the payment of said termination fee, Tenant shall continue to be liable for all other obligations under
this Lease which accrue prior to the Termination Date. In the event Tenant elects to terminate this Lease, all rent payable hereunder
shall be paid through, and apportioned as of, the Termination Date, and neither Landlord nor Tenant shall have any rights, liabilities
or obligations accruing under this Lease after the Termination Date, except for such rights and liabilities which, by the terms
of this Lease, are to survive the expiration or earlier termination of this Lease. Time is of the essence with respect to Tenant’s
termination rights hereunder. This Termination Right is personal to the Tenant named in this Lease.

 

3. BASE RENT

 

3.1 Beginning on the
Rent Commencement Date, Tenant shall pay, without prior notice or demand, to Landlord or Landlord’s agent at the management
office of the Project, or, at Landlord’s option, at such other place as Landlord may from time to time designate in advance
and in writing, (i) by a check for currency which, at the time of payment, is legal tender for private or public debts in the United
States of America, or (ii) if so elected by Tenant by electronic funds transfer to the account of Landlord as provided to Tenant,
base rent (“Base Rent”) as set forth in Section 4 of the Summary, payable in equal monthly installments
as set forth in Section 4 of the Summary in advance on or before the first day of each and every calendar month during
the Lease Term, without any setoff or deduction whatsoever. The Base Rent for the first full month of the Lease Term shall be paid
at the time of Tenant’s execution of this Lease. If any Rent payment date (including the Rent Commencement Date) falls on
a day of the month other than the first day of such month or if any payment of Rent is for a period which is shorter than one month,
the Rent for any fractional month shall accrue on a daily basis for the period from the date such payment is due to the end of
such calendar month or to the end of the Lease Term at a rate per day which is equal to 1/365 of the applicable annual Rent. All
other payments or adjustments required to be made under the terms of this Lease that require proration on a time basis shall be
prorated on the same basis. Base Rent and Additional Rent, as defined below, shall together be denominated “Rent.”
Without limiting the foregoing, Tenant’s obligation to pay Rent shall not be discharged or otherwise affected by any law
or regulation now or hereafter applicable to the Premises, or any other restriction on Tenant’s use, or (except as expressly
provided herein) any casualty or taking, or any failure by Landlord to perform any covenant contained herein, or any other occurrence.

 

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4. ADDITIONAL RENT

 

4.1 General Terms.
In addition to paying the Base Rent specified in Article 3 of this Lease, Tenant shall pay “Tenant’s Share”
of the annual “Direct Expenses,” as those terms are defined in Sections 4.2.6 and 4.2.2 of this Lease,
respectively. Such payments by Tenant, together with any and all other amounts payable by Tenant to Landlord pursuant to the terms
of this Lease, are hereinafter collectively referred to as the “Additional Rent”. All amounts due under this
Article 4 as Additional Rent shall be payable for the same periods and in the same manner as the Base Rent. Without limitation
on other obligations of Tenant which survive the expiration of the Lease Term, the obligations of Tenant to pay the Additional
Rent provided for in this Article 4 shall survive the expiration of the Lease Term.

 

4.2 Definitions
of Key Terms Relating to Additional Rent. As used in this Article 4, the following terms shall have the meanings
hereinafter set forth:

 

4.2.1 Intentionally
Omitted.

 

4.2.2 “Direct
Expenses” shall mean “Operating Expenses” and “Tax Expenses.”

 

4.2.3 “Expense
Year” shall mean each calendar year in which any portion of the Lease Term falls, through and including the calendar
year in which the Lease Term expires, provided that Landlord, upon advance notice to Tenant, may change the Expense Year from time
to time to any other twelve (12) consecutive month period, and, in the event of any such change, Tenant’s Share of Direct
Expenses shall be equitably adjusted for any Expense Year involved in any such change.

 

4.2.4 “Operating
Expenses” shall mean all reasonable expenses, costs and amounts of every kind and nature which Landlord actually pays
or accrues during any Expense Year because of or in connection with the ownership, management, maintenance, security, repair, replacement,
restoration or operation of the Project, or any portion thereof. Without limiting the generality of the foregoing, Operating Expenses
shall specifically include any and all of the following: (i) the cost of supplying all utilities, the cost of operating, repairing,
maintaining, and renovating the utility, telephone, mechanical, sanitary, storm drainage, and elevator systems (if applicable),
and the cost of maintenance and service contracts in connection therewith; (ii) the cost of licenses, certificates, permits and
inspections and the cost of contesting any governmental enactments which affect Operating Expenses, and the costs incurred in connection
with a governmentally mandated transportation system management program or similar program; (iii) the cost of all insurance carried
by Landlord in connection with the Project as reasonably determined by Landlord; (iv) the cost of landscaping, re-lamping, and
all supplies, tools, equipment and materials used in the operation, repair and maintenance of the Project, or any portion thereof;
(v) the cost of parking area operation, repair, restoration, and maintenance; (vi) fees and other costs, including market management
and/or incentive fees, consulting fees, legal fees and accounting fees, of all contractors and consultants in connection with the
management, operation, maintenance and repair of the Project; (vii) payments under any equipment rental agreements and the fair
rental value of any management office space; (viii) subject to item (f), below, wages, salaries and other compensation and benefits,
including taxes levied thereon, of all persons engaged in the operation, maintenance and security of the Project; (ix) costs under
any instrument pertaining to the sharing of costs by the Project; (x) operation, repair, maintenance and replacement of all systems
and equipment and components thereof of the Project; (xi) the cost of janitorial, alarm, security and other services, replacement
of wall and floor coverings, ceiling tiles and fixtures in Common Areas, maintenance and replacement of curbs and walkways, repair
to roofs and re-roofing; (xii) amortization (including reasonable interest on the unamortized cost) over such period of time as
Landlord shall reasonably determine, of the cost of acquiring or the rental expense of personal property used in the maintenance,
operation and repair of the Project, or any portion thereof; (xiii) the cost of capital improvements or other costs incurred in
connection with the Project (A) which are intended to reduce expenses in the operation or maintenance of the Project, or any portion
thereof, or to reduce current or future Operating Expenses or to enhance the safety or security of the Project or its occupants,
(B) that are required to comply with present or anticipated mandatory conservation programs, (C) which are replacements or modifications
of nonstructural items located in the Common Areas required to keep the Common Areas in the same good order or condition as on
the Commencement Date, or (D) that are required under any governmental law or regulation that was not in force or effect as of
the Commencement Date; provided, however, that any capital expenditure shall be amortized (including reasonable interest on the
amortized cost as reasonably determined by Landlord) in accordance with IRS regulations; and (xiv) costs, fees, charges or assessments
imposed by, or resulting from any mandate imposed on Landlord by, any federal, state or local government for fire and police protection,
trash removal, community services, or other services which do not constitute “Tax Expenses” as that term is defined
in Section 4.2.5, below, (xv) cost of tenant relation programs reasonably established by Landlord, and (xvi) payments
under any easement, license, operating agreement, declaration, restrictive covenant, or instrument pertaining to the sharing of
costs by the Building, including, without limitation, any covenants, conditions and restrictions affecting the property, and reciprocal
easement agreements affecting the property, any parking licenses, and any agreements with transit agencies affecting the Property
(collectively, “Underlying Documents”). In the event that Landlord or Landlord’s managers or agents perform
services for the benefit of the Building off-site which would otherwise be performed on-site (e.g. accounting), the cost of such
services shall be reasonably allocated among the properties benefitting from such service and shall be included in Operating Expenses.
Notwithstanding the foregoing, for purposes of this Lease, Operating Expenses shall not, however, include:

 

(a) costs, including
legal fees, space planners’ fees, advertising and promotional expenses, and brokerage fees incurred in connection with the
original construction or development, or original or future leasing of the Project, and costs, including permit, license and inspection
costs, incurred with respect to the installation of tenant improvements made for new tenants initially occupying space in the Project
after the Lease Commencement Date or incurred in renovating or otherwise improving, decorating, painting or redecorating vacant
space for tenants or other occupants of the Project (excluding, however, such costs relating to any common areas of the Project);

 

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(b) except as set forth
in items (xii), (xiii), and (xiv) above, depreciation, interest and principal payments on mortgages and other debt costs, if any,
penalties and interest, and costs of capital improvements (as distinguished from repairs or replacements);

 

(c) costs for which
the Landlord is reimbursed by any tenant or occupant of the Project or by insurance by its carrier or any tenant’s carrier
or by anyone else, and electric power costs for which any tenant directly contracts with the local public service company;

 

(d) any bad debt loss,
rent loss, or reserves for bad debts or rent loss;

 

(e) costs and expenses
associated with the operation of the business of the partnership or entity which constitutes the Landlord, as the same are distinguished
from the costs of operation of the Project (which shall specifically include, but not be limited to, accounting costs associated
with the operation of the Project). Costs associated with the operation of the business of the partnership or entity which constitutes
the Landlord include costs of partnership accounting and legal matters, costs of defending any lawsuits with any mortgagee (except
as the actions of the Tenant may be in issue), costs of selling, syndicating, financing, mortgaging or hypothecating any of the
Landlord’s interest in the Project, and costs incurred in connection with any disputes between Landlord and its employees,
between Landlord and Project management, or between Landlord and other tenants or occupants;

 

(f) the wages and benefits
of any employee who does not devote substantially all of his or her employed time to the Project unless such wages and benefits
are prorated to reflect time spent on operating and managing the Project vis-a-vis time spent on matters unrelated to operating
and managing the Project; provided, that in no event shall Operating Expenses for purposes of this Lease include wages and/or benefits
attributable to personnel above the level of Project manager;

 

(g) amount paid as
ground rental for the Project by the Landlord;

 

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(h) except for a property
management fee to the extent expressly allowed above, overhead and profit increment paid to the Landlord or to subsidiaries or
affiliates of the Landlord for services in the Project to the extent the same exceeds the costs of such services rendered by qualified,
first-class unaffiliated third parties on a competitive basis;

 

(i) any compensation
paid to clerks, attendants or other persons in commercial concessions operated by the Landlord, provided that any compensation
paid to any concierge at the Project shall be includable as an Operating Expense;

 

(j) rentals and other
related expenses incurred in leasing air conditioning systems, elevators (if applicable) or other equipment which if purchased
the cost of which would be excluded from Operating Expenses as a capital improvement, except equipment not affixed to the Project
which is used in providing janitorial or similar services and, further excepting from this exclusion such equipment rented or leased
to remedy or ameliorate an emergency condition in the Project ;

 

(k) all items and services
for which Tenant or any other tenant in the Project reimburses Landlord or which Landlord provides selectively to one or more tenants
(other than Tenant) without reimbursement;

 

(l) any costs expressly
excluded from Operating Expenses elsewhere in this Lease;

 

(m) rent for any office
space occupied by Project management personnel to the extent the size or rental rate of such office space exceeds the size or fair
market rental value of office space occupied by management personnel of the comparable buildings in the vicinity of the Building,
with adjustment where appropriate for the size of the applicable project;

 

(n) costs arising from
the gross negligence or willful misconduct of Landlord or its agents, employees, vendors, contractors, or providers of materials
or services;

 

(o) costs incurred
to comply with laws relating to the removal of hazardous material (as defined under Applicable Law) which was in existence in the
Building or on the Project prior to the Lease Commencement Date, and was of such a nature that a federal, State or municipal governmental
authority, if it had then had knowledge of the presence of such hazardous material, in the state, and under the conditions that
it then existed in the Building or on the Project, would have then required the removal of such hazardous material or other remedial
or containment action with respect thereto; and costs incurred to remove, remedy, contain, or treat hazardous material, which hazardous
material is brought into the Building or onto the Project after the date hereof by Landlord or any other tenant of the Project
and is of such a nature, at that time, that a federal, State or municipal governmental authority, if it had then had knowledge
of the presence of such hazardous material, in the state, and under the conditions, that it then exists in the Building or on the
Project, would have then required the removal of such hazardous material or other remedial or containment action with respect thereto;

 

(p) costs incurred
to comply with laws relating to the removal of Hazardous Materials (other than Hazardous Materials typically found in first class
office buildings, such as recyclable materials and typical construction materials, and costs to comply with the Operation and Maintenance
Plan described on Exhibit G);

 

(q) the cost of special
services, goods or materials provided to any other tenant of the Project free of charge, and not provided to Tenant;

 

(r) Landlord’s
general overhead and administrative expenses not related to the Project;

 

(s) legal fees, accountants’
fees (other than normal bookkeeping expenses) and other expenses incurred in connection with disputes of tenants or other occupants
of the Project or associated with the enforcement of the terms of any leases with tenants or the defense of Landlord’s title
to or interest in the Project or any part thereof;

 

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(t) costs incurred
due to a violation by Landlord or any other tenant of the Project of the terms and conditions of a lease;

 

(u) costs to repair
or rebuild after casualty loss (excluding deductibles under insurance policies carried by Landlord, which deductibles shall be
included in the operating expenses and which deductibles shall not exceed $25,000 in any one Lease Year);

 

(v) any reserve funds;
and

 

(w) interest payments,
fines, late fees, collection costs, legal fees or penalties assessed as a result of Landlord’s failure to make payments in
a timely manner, to comply with applicable laws, including the payment of taxes, or to comply with the terms of any lease, mortgage,
deed of trust, ground lease, private restriction or other agreement of which Landlord is a party.

 

If Landlord is not
furnishing any particular work or service (the cost of which, if performed by Landlord, would be included in Operating Expenses)
to a tenant who has undertaken to perform such work or service in lieu of the performance thereof by Landlord, Operating Expenses
shall be deemed to be increased by an amount equal to the additional Operating Expenses which would reasonably have been incurred
during such period by Landlord if it had at its own expense furnished such work or service to such tenant. If the Project is not
at least one hundred percent (100%) occupied during all or a portion of any Expense Year, Landlord shall make an appropriate adjustment
to the components of Operating Expenses for such year to determine the amount of Operating Expenses that would have been incurred
had the Project been one hundred percent (100%) occupied; and the amount so determined shall be deemed to have been the amount
of Operating Expenses for such year.

 

4.2.5 Taxes.

 

4.2.5.1 “Tax
Expenses” shall mean all federal, state, county, or local governmental or municipal taxes, fees, charges or other impositions
of every kind and nature, whether general, special, ordinary or extraordinary (including, without limitation, real estate taxes,
general and special assessments, transit taxes, leasehold taxes or taxes based upon the receipt of rent, including gross receipts
or sales taxes applicable to the receipt of rent, unless required to be paid by Tenant, personal property taxes imposed upon the
fixtures, machinery, equipment, apparatus, systems and equipment, appurtenances, furniture and other personal property used in
connection with the Project, or any portion thereof), which shall be paid or accrued during any Expense Year (without regard to
any different fiscal year used by such governmental or municipal authority) because of or in connection with the ownership, leasing
and operation of the Project, or any portion thereof.

 

4.2.5.2 Tax Expenses
shall include, without limitation: (i) Any tax on the rent, right to rent or other income from the Project, or any portion thereof,
or as against the business of leasing the Project, or any portion thereof; (ii) Any assessment, tax, fee, levy or charge in addition
to, or in substitution, partially or totally, of any assessment, tax, fee, levy or charge previously included within the definition
of real property tax; (iii) Any assessment, tax, fee, levy, or charge allocable to or measured by the area of the Premises or the
Rent payable hereunder, including, without limitation, any business or gross income tax or excise tax with respect to the receipt
of such rent, or upon or with respect to the possession, leasing, operating, management, maintenance, alteration, repair, use or
occupancy by Tenant of the Premises, or any portion thereof; and (iv) Any assessment, tax, fee, levy or charge, upon this transaction
or any document to which Tenant is a party, creating or transferring an interest or an estate in the Premises or the improvements
thereon.

 

4.2.5.3 Any reasonable
costs and expenses (including, without limitation, reasonable attorneys’ and consultants’ fees) incurred in attempting
to protest, reduce or minimize Tax Expenses shall be included in Tax Expenses in the Expense Year such expenses are incurred. Tax
refunds shall be credited against Tax Expenses and refunded to Tenant regardless of when received, based on the Expense Year to
which the refund is applicable, provided that in no event shall the amount to be refunded to Tenant for any such Expense Year exceed
the total amount paid by Tenant as Additional Rent under this Article 4 for such Expense Year. The foregoing sentence shall
survive the expiration or earlier termination of this Lease. If Tax Expenses for any period during the Lease Term or any extension
thereof are increased after payment thereof for any reason, including, without limitation, error or reassessment by applicable
governmental or municipal authorities, Tenant shall pay Landlord upon demand Tenant’s Share of any such increased Tax Expenses.
Notwithstanding anything to the contrary contained in this Section 4.2.5, there shall be excluded from Tax Expenses
(i) all excess profits taxes, franchise taxes, gift taxes, capital stock taxes, inheritance and succession taxes, estate taxes,
transfer tax or fee, federal and state income taxes, and other taxes to the extent applicable to Landlord’s general or net
income (as opposed to rents, receipts or income attributable to operations at the Project), (ii) any items included as Operating
Expenses, and (iii) any items paid by Tenant under Section 4.5 of this Lease.

 

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4.2.6 “Tenant’s
Share” is based upon the ratio that the rentable square feet of the Premises bears to the rentable square feet of the
Building and, subject to adjustment pursuant to Section 1.2 above, is the percentage set forth in Section 7
of the Summary.

 

4.3 Allocation
of Direct Expenses. The parties acknowledge that the Building is a part of a multi-building project and that the costs
and expenses incurred in connection with the Project (i.e., the Direct Expenses) should be shared between the tenants of the Building
and the tenants of the other buildings in the Project. Accordingly, as set forth in Section 4.2 above, Direct Expenses are
determined annually for the Project as a whole, and a portion of the Direct Expenses, which portion shall be determined by Landlord
on an equitable basis, shall be allocated to the tenants of the Building (as opposed to the tenants of any other buildings in the
Project). Such portion of Direct Expenses allocated to the tenants of the Building shall include all Direct Expenses attributable
solely to the Building and an equitable portion of the Direct Expenses attributable to the Project as a whole (as reasonably documented
by Landlord).

 

4.4 Calculation
and Payment of Additional Rent. Tenant shall pay to Landlord, in the manner set forth in Section 4.4.1, below,
and as Additional Rent, Tenant’s Share of Direct Expenses for each Expense Year. If the Rent Commencement Date is a day other
than the first day of an Expense Year, or if this Lease terminates or expires on a day other than the last day of an Expense Year,
then Additional Rent shall be prorated in the manner provided in Section 3.1 above.

 

4.4.1 Statement
of Actual Direct Expenses and Payment by Tenant. Landlord shall use good faith efforts to give to Tenant within six (6)
months following the end of each Expense Year, a statement (the “Statement”) which shall state the Direct Expenses
incurred or accrued for such preceding Expense Year, and which shall indicate the amount of Tenant’s Share of Direct Expenses.
Upon receipt of the Statement for each Expense Year commencing or ending during the Lease Term, Tenant shall pay, with its next
installment of Base Rent due, the full amount of Tenant’s Share of Direct Expenses for such Expense Year, less the amounts,
if any, paid during such Expense Year as “Estimated Direct Expenses,” as that term is defined in Section 4.4.2,
below, and if Tenant paid more as Estimated Direct Expenses than the actual Tenant’s Share of Direct Expenses, Tenant shall
receive a credit in the amount of Tenant’s overpayment against Rent next due under this Lease. The failure of Landlord to
timely furnish the Statement for any Expense Year shall not prejudice Landlord or Tenant from enforcing its rights under this Article
4. Even though the Lease Term has expired and Tenant has vacated the Premises, when the final determination is made of Tenant’s
Share of Direct Expenses for the Expense Year in which this Lease terminates, Tenant shall pay to Landlord such amount within thirty
(30) days, and if Tenant paid more as Estimated Direct Expenses than the actual Tenant’s Share of Direct Expenses, Landlord
shall, within thirty (30) days, deliver a check payable to Tenant in the amount of the overpayment. The provisions of this Section 4.4.1
shall survive the expiration or earlier termination of the Lease Term. Notwithstanding the immediately preceding sentence, Tenant
shall not be responsible for Tenant’s Share of any Direct Expenses attributable to any Expense Year which are first billed
to Tenant more than two (2) calendar years after the earlier of the expiration of the applicable Expense Year or the Lease
Expiration Date, provided that in any event Tenant shall be responsible for Tenant’s Share of Direct Expenses levied by any
governmental authority or by any public utility companies at any time following the Lease Expiration Date which are attributable
to any Expense Year (provided that Landlord delivers Tenant a bill for such amounts within two (2) years following Landlord’s
receipt of the bill therefor).

 

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4.4.2 Statement
of Estimated Direct Expenses. In addition, Landlord shall use good faith efforts to give Tenant a yearly expense estimate
statement (the “Estimate Statement”) which shall set forth Landlord’s reasonable estimate (the “Estimate”)
of what the total amount of Direct Expenses for the then-current Expense Year shall be and the estimated Tenant’s Share of
Direct Expenses (the “Estimated Direct Expenses”). The failure of Landlord to timely furnish the Estimate Statement
for any Expense Year shall not preclude Landlord from enforcing its rights to collect any Estimated Direct Expenses under this
Article 4, nor shall Landlord be prohibited from revising any Estimate Statement or Estimated Direct Expenses theretofore
delivered to the extent necessary. Thereafter, Tenant shall pay, with its next installment of Base Rent due, a fraction of the
Estimated Direct Expenses for the then-current Expense Year (reduced by any amounts paid pursuant to the last sentence of this
Section 4.4.2). Such fraction shall have as its numerator the number of months which have elapsed in such current Expense
Year, including the month of such payment, and twelve (12) as its denominator. Until a new Estimate Statement is furnished (which
Landlord shall have the right to deliver to Tenant at any time), Tenant shall pay monthly, with the monthly Base Rent installments,
an amount equal to one-twelfth (1/12) of the total Estimated Direct Expenses set forth in the previous Estimate Statement delivered
by Landlord to Tenant.

 

4.5 Taxes and
Other Charges for Which Tenant Is Directly Responsible. Tenant shall be liable for and shall pay ten (10) days before delinquency,
taxes levied against Tenant’s equipment, furniture, fixtures and any other personal property located in or about the Premises.
If any such taxes on Tenant’s equipment, furniture, fixtures and any other personal property are levied against Landlord
or Landlord’s property or if the assessed value of Landlord’s property is increased by the inclusion therein of a value
placed upon such equipment, furniture, fixtures or any other personal property and if Landlord pays the taxes based upon such increased
assessment, which Landlord shall have the right to do regardless of the validity thereof but only under proper protest if requested
by Tenant, Tenant shall upon demand repay to Landlord the taxes so levied against Landlord or the proportion of such taxes resulting
from such increase in the assessment, as the case may be.

 

5. USE OF PREMISES

 

5.1 Permitted
Use. Tenant shall use the Premises solely for the Permitted Use set forth in Section 8 of the Summary and Tenant
shall not use the Premises or the Project for any other purpose or purposes whatsoever without the prior written consent of Landlord,
which may be withheld in Landlord’s sole discretion.

 

5.2 Prohibited
Uses. Tenant further covenants and agrees that Tenant shall not use, or suffer or permit any person or persons to use,
the Premises or any part thereof for any use or purpose contrary to the provisions of the Rules and Regulations set forth in Exhibit E,
attached hereto (the “Rules and Regulations”), or in violation of the laws of the United States of America,
the State of North Carolina, or the ordinances, regulations or requirements of the local municipal or county governing body or
other lawful authorities having jurisdiction over the Project, including, without limitation, any such laws, ordinances, regulations
or requirements relating to hazardous materials or substances, as those terms are defined by Applicable Laws now or hereafter in
effect, or any Underlying Documents. Tenant shall not do or permit anything to be done in or about the Premises which will damage
the reputation of the Project or unreasonably obstruct or interfere with the rights of other tenants or occupants of the Building,
or injure or annoy them or use or allow the Premises to be used for any improper, unlawful or objectionable purpose, nor shall
Tenant cause or maintain any nuisance in, on or about the Premises. Tenant shall comply with, and Tenant’s rights and obligations
under the Lease and Tenant’s use of the Premises shall be subject and subordinate to, all recorded easements, covenants,
conditions, and restrictions now or hereafter affecting the Project; provided, however, that (a) in the event of any conflict between
any Rules and Regulations and the express terms of this Lease, the Lease terms shall control; (b) such Rules and Regulations do
not require payment of additional material sum of money; (c) such Rules and Regulations do not unreasonably and materially interfere
with Tenant’s conduct of its business or Tenant’s use and enjoyment of the Premises; (d) Landlord provides reasonable
advance written notice thereof; and (e) such Rules and Regulations are uniformly enforced in a non-discriminatory manner.

 

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5.3 Intentionally
Omitted.

 

5.4 Hazardous
Materials.

 

5.4.1 Tenant’s
Obligations.

 

5.4.1.1 Prohibitions.
As a material inducement to Landlord to enter into this Lease with Tenant, Tenant has to the best of its knowledge completed Landlord’s
Pre-Leasing Environmental Exposure Questionnaire (the “Environmental Questionnaire”), which is attached as Exhibit
G. Tenant hereby represents, warrants and covenants that except for those chemicals or materials, and their respective
quantities, specifically listed on the Environmental Questionnaire, neither Tenant nor Tenant’s employees, contractors and
subcontractors of any tier, entities with a contractual relationship with Tenant (other than Landlord), or any entity acting as
an agent or sub-agent of Tenant (collectively, “Tenant’s Agents”) will produce, use, store or generate
any “Hazardous Materials,” as that term is defined below, on, under or about the Premises, nor cause or permit any
Hazardous Material to be brought upon, placed, stored, manufactured, generated, blended, handled, recycled, used or “Released,”
as that term is defined below, on, in, under or about the Premises. If any information provided to Landlord by Tenant on the Environmental
Questionnaire, or otherwise relating to information concerning Hazardous Materials is knowingly false, incomplete, or misleading
in any material respect, the same shall be deemed a default by Tenant under this Lease. Tenant shall deliver to Landlord an updated
Environmental Questionnaire at least once a year, upon Landlord's request, and in the event of any material change in Tenant's
use of Hazardous Materials at the Premises. Landlord’s prior written consent shall be required to any Hazardous Materials
use for the Premises not described on the initial Environmental Questionnaire, such consent not to be unreasonably withheld, delayed
or conditioned. Tenant shall not install or permit any underground storage tank on the Premises. In addition, Tenant agrees that
it: (i) shall not cause or suffer to occur, the Release of any Hazardous Materials at, upon, under or within the Premises
or any contiguous or adjacent premises; and (ii) shall not engage in activities at the Premises that result in, give rise
to, or lead to the imposition of liability upon Tenant or Landlord or the creation of an environmental lien or use restriction
upon the Premises. For purposes of this Lease, “Hazardous Materials” means all flammable explosives, petroleum
and petroleum products, waste oil, radon, radioactive materials, toxic pollutants, asbestos, polychlorinated biphenyls (“PCBs”),
medical waste, chemicals known to cause cancer or reproductive toxicity, pollutants, contaminants, hazardous wastes, toxic substances
or related materials, including without limitation any chemical, element, compound, mixture, solution, substance, object, waste
or any combination thereof, which is or may be hazardous to human health, safety or to the environment due to its radioactivity,
ignitability, corrosiveness, reactivity, explosiveness, toxicity, carcinogenicity, infectiousness or other harmful or potentially
harmful properties or effects, or defined as, regulated as or included in, the definition of “hazardous substances,”
“hazardous wastes,” “hazardous materials,” or “toxic substances” under any Environmental Laws.
The term “Hazardous Materials” for purposes of this Lease shall also include any mold, fungus or spores, whether or
not the same is defined, listed, or otherwise classified as a “hazardous material” under any Environmental Laws, if
such mold, fungus or spores may pose a risk to human health or the environment or negatively impact the value of the Premises.
For purposes of this Lease, “Release” or “Released” or “Releases” shall
mean any release, deposit, discharge, emission, leaking, spilling, seeping, migrating, injecting, pumping, pouring, emptying, escaping,
dumping, disposing, or other movement of Hazardous Materials into the environment.

 

Any use or storage of
Hazardous Materials by Tenant permitted pursuant to this Article 5 shall not exceed Tenant’s proportionate share (measured
on a per floor basis), based on the standards of the BMBL (as defined below), of similarly classed Hazardous Materials. Notwithstanding
the foregoing to the contrary, in no event shall Tenant or anyone claiming by through or under Tenant perform work at or above
the risk category Biosafety Level 2 as established by the Department of Health and Human Services (“DHHS”) and
as further described in the DHHS publication Biosafety in Microbiological and Biomedical Laboratories (5th Edition)
(as it may be or may have been further revised, (the “BMBL”) or such nationally recognized new or replacement
standards as Landlord may reasonable designate). Tenant shall comply with all applicable provisions of the standards of the BMBL
to the extent applicable to Tenant’s operations in the Premises.

 

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5.4.1.2 Intentionally
Omitted.

 

5.4.1.3 Notices
to Landlord. Unless Tenant is required by Applicable Laws to give earlier notice to Landlord, Tenant shall notify Landlord
in writing as soon as reasonably possible but in no event later than five (5) days after (i) its knowledge of the occurrence of
any actual, alleged or threatened Release of any Hazardous Material in, on, under, from, about or in the vicinity of the Premises
(whether past or present), regardless of the source or quantity of any such Release, or (ii) Tenant becomes aware of any regulatory
actions, inquiries, inspections, investigations, directives, or any cleanup, compliance, enforcement or abatement proceedings (including
any threatened or contemplated investigations or proceedings) relating to or potentially affecting the Premises, or (iii) Tenant
becomes aware of any claims by any person or entity relating to any Hazardous Materials in, on, under, from, about or in the vicinity
of the Premises, whether relating to damage, contribution, cost recovery, compensation, loss or injury. Collectively, the matters
set forth in clauses (i), (ii) and (iii) above are hereinafter referred to as “Hazardous Materials Claims”. Tenant
shall promptly forward to Landlord copies of all orders, notices, permits, applications and other communications and reports in
connection with any Hazardous Materials Claims. Additionally, Tenant shall promptly advise Landlord in writing of Tenant’s
discovery of any occurrence or condition on, in, under or about the Premises that could subject Tenant or Landlord to any liability,
or restrictions on ownership, occupancy, transferability or use of the Premises under any “Environmental Laws,” as
that term is defined below. Tenant shall not enter into any legal proceeding or other action, settlement, consent decree or other
compromise with respect to any Hazardous Materials Claims without first notifying Landlord of Tenant’s intention to do so
and affording Landlord the opportunity to join and participate, as a party if Landlord so elects, in such proceedings and in no
event shall Tenant enter into any agreements which are binding on Landlord or the Premises without Landlord’s prior written
consent. Landlord shall have the right to appear at and participate in, any and all legal or other administrative proceedings concerning
any Hazardous Materials Claim. For purposes of this Lease, “Environmental Laws” means all applicable present and future
laws, including principles of common law, relating to the protection of human health, safety, wildlife or the environment, including,
without limitation, (i) all requirements pertaining to reporting, licensing, permitting, investigation and/or remediation of emissions,
discharges, Releases, or threatened Releases of Hazardous Materials, whether solid, liquid, or gaseous in nature, into the air,
surface water, groundwater, or land, or relating to the manufacture, processing, distribution, use, treatment, storage, disposal,
transport, or handling of Hazardous Materials; and (ii) all requirements pertaining to the health and safety of employees or the
public. Environmental Laws include, but are not limited to, the Comprehensive Environmental Response, Compensation and Liability
Act of 1980, 42 USC § 9601, et seq., the Hazardous Materials Transportation Authorization Act of 1994, 49 USC § 5101,
et seq., the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act of 1976, and Hazardous and Solid
Waste Amendments of 1984, 42 USC § 6901, et seq., the Federal Water Pollution Control Act, as amended by the Clean Water Act
of 1977, 33 USC § 1251, et seq., the Clean Air Act of 1966, 42 USC § 7401, et seq., the Toxic Substances Control Act
of 1976, 15 USC § 2601, et seq., the Safe Drinking Water Act of 1974, 42 USC §§ 300f through 300j, the Occupational
Safety and Health Act of 1970, as amended, 29 USC § 651 et seq., the Oil Pollution Act of 1990, 33 USC § 2701 et seq.,
the Emergency Planning and Community Right-To-Know Act of 1986, 42 USC § 11001 et seq., the National Environmental Policy
Act of 1969, 42 USC § 4321 et seq., the Federal Insecticide, Fungicide and Rodenticide Act of 1947, 7 USC § 136 et seq.,
North Carolina Oil Pollution and Hazardous Substances Control Act, N.C. Gen. Stat. § 143-215.75 et seq., North Carolina Inactive
Hazardous Sites Act, N.C. Gen. Stat. § 130A-310, North Carolina Water and Air Resources Act, N.C. Gen. Stat. § 143-211
et seq., 15A N.C. Admin. Code Subchapter 2L, and any other state or local law counterparts, as amended, as such Applicable Laws,
are in effect as of the Lease Commencement Date, or thereafter adopted, published, or promulgated.

 

5.4.1.4 Releases
of Hazardous Materials. If any Release of any Hazardous Material in, on, under, from or about the Premises shall occur
at any time during the Lease and/or if any other Hazardous Material condition exists at the Premises proximately due to the breach
of Tenant’s obligations under this Section 5.4 that requires response actions under Environmental Laws, in addition
to notifying Landlord as specified above, Tenant, at its own sole cost and expense, shall (i) immediately comply with any
and all reporting requirements imposed pursuant to any and all Environmental Laws, (ii) provide a written certification to
Landlord indicating that Tenant has complied with all applicable reporting requirements, (iii) take any and all necessary
investigation, corrective and remedial action in accordance with any and all applicable Environmental Laws, utilizing an environmental
consultant reasonably approved by Landlord, all in accordance with the provisions and requirements of this Section 5.4,
including, without limitation, Section 5.4.4, and (iv) take any such additional investigative, remedial and corrective
actions as Landlord shall in its reasonable discretion deem necessary such that the Premises are remediated to a condition allowing
unrestricted use of the Premises (i.e. to a level that will allow any future use of the Premises, including residential, without
any engineering controls or deed restrictions), all in accordance with the provisions and requirements of this Section 5.4.
Landlord may, as required by any and all Environmental Laws, report the Release of any Hazardous Material to the appropriate governmental
authority, identifying Tenant as the responsible party. Tenant shall deliver to Landlord copies of all administrative orders, notices,
demands, directives or other communications directed to Tenant from any governmental authority with respect to any Release of Hazardous
Materials in, on, under, from, or about the Premises, together with copies of all investigation, assessment, and remediation plans
and reports prepared by or on behalf of Tenant in response to any such regulatory order or directive. Notwithstanding the foregoing,
if Tenant provides Landlord with substantial proof that a Release in the Premises was caused by another tenant or occupant in the
Project then Landlord shall use good faith efforts to assist Tenant in pursuing such party to cause it to remediate the Release
or pay for such remediation, but ultimately Tenant’s obligations under this Section 5.4 shall remain as stated herein.

 

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5.4.1.5 Indemnification.

 

5.4.1.5.1 In General.
Without limiting in any way Tenant’s obligations under any other provision of this Lease, Tenant shall be solely responsible
for and shall protect, defend, indemnify and hold the Landlord Parties harmless from and against any and all claims, judgments,
losses, damages, costs, expenses, penalties, enforcement actions, taxes, fines, remedial actions, liabilities (including, without
limitation, actual attorneys’ fees, litigation, arbitration and administrative proceeding costs, expert and consultant fees
and laboratory costs) including, without limitation, consequential damages and sums paid in settlement of claims, which arise during
or after the Lease Term, whether foreseeable or unforeseeable, directly or indirectly arising out of or attributable to the presence,
use, generation, manufacture, treatment, handling, refining, production, processing, storage, Release or presence of Hazardous
Materials in, on, under or about the Premises by Tenant, except to the extent such liabilities result from the gross negligence
or willful misconduct of Landlord following the Lease Commencement Date. The foregoing obligations of Tenant shall include, including
without limitation: (i) the costs of any required or necessary removal, repair, cleanup or remediation of the Premises, and
the preparation and implementation of any closure, removal, remedial or other required plans; (ii) judgments for personal
injury or property damages; and (iii) all costs and expenses incurred by Landlord in connection therewith. It is the express
intention of the parties to this Lease that Tenant assumes all such liabilities, and holds Landlord harmless from all such liabilities,
associated with the environmental condition of the Premises, arising on or after the date Tenant takes possession of the Premises.

 

5.4.1.5.2
Limitations. Landlord warrants and represents that Landlord has not engaged in the Release of any Hazardous Materials
subsequent to the date of the “Phase I Environmental Site Assessment Report” bearing ECS Project No. 06-21171-C, prepared
on behalf of Longfellow Real Estate Partners, LLC as of December 10, 2013 (“ECS Phase I”). Landlord further warrants
and represents that, to Landlord’s knowledge, on or after the effective date of the ECS Phase I report, Landlord has not
received a summons, citation, directive, letter or other communication, written or oral, from any state agency or the U.S. Government
concerning the Project or any intentional or unintentional action on Landlord or any occupant’s part as a result of a Release
of any Hazardous Materials.

 

5.4.1.6 Compliance
with Environmental Laws. Without limiting the generality of Tenant’s obligation to comply with Applicable Laws as
otherwise provided in this Lease, Tenant shall, at its sole cost and expense, comply with all Environmental Laws. Tenant shall
obtain and maintain any and all necessary permits, licenses, certifications and approvals appropriate or required for the use,
handling, storage, and disposal of any Hazardous Materials used, stored, generated, transported, handled, blended, or recycled
by Tenant on the Premises. Landlord shall have a continuing right, without obligation, to require Tenant to obtain, and to review
and inspect any and all such permits, licenses, certifications and approvals, together with copies of any and all Hazardous Materials
management plans and programs, any and all Hazardous Materials risk management and pollution prevention programs, and any and all
Hazardous Materials emergency response and employee training programs respecting Tenant’s use of Hazardous Materials. Upon
request of Landlord, Tenant shall deliver to Landlord a narrative description explaining the nature and scope of Tenant’s
activities involving Hazardous Materials and showing to Landlord’s satisfaction compliance with all Environmental Laws and
the terms of this Lease.

 

5.4.2 Assurance
of Performance.

 

5.4.2.1 Environmental
Assessments In General. Landlord may, but shall not be required to, engage from time to time such contractors as Landlord
determines to be appropriate (and with reasonable advance notice to Tenant) to perform “Environmental Assessments,”
as that term is defined below, to ensure Tenant’s compliance with the requirements of this Lease with respect to Hazardous
Materials. For purposes of this Lease, “Environmental Assessment” means an assessment including, without limitation:
(i) an environmental site assessment conducted in accordance with the then-current standards of the American Society for Testing
and Materials and meeting the requirements for satisfying the “all appropriate inquiries” requirements; and (ii) sampling
and testing of the Premises based upon potential recognized environmental conditions or areas of concern or inquiry identified
by the environmental site assessment.

 

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5.4.2.2 Costs
of Environmental Assessments. All costs and expenses incurred by Landlord in connection with any such Environmental Assessment
initially shall be paid by Landlord; provided that if any such Environmental Assessment shows that Tenant has failed to comply
with the provisions of this Section 5.4, then all of the costs and expenses of such Environmental Assessment shall be reimbursed
by Tenant as Additional Rent within thirty (30) days after receipt of written demand therefor (and reasonable documentation
of Tenant’s breach of its environmental obligations).

 

5.4.3 Tenant’s
Obligations upon Surrender. At the expiration or earlier termination of the Lease Term, Tenant, at Tenant’s sole
cost and expense, shall: (i) cause an Environmental Assessment of the Premises to be conducted in accordance with Section
15.3; (ii) cause all Hazardous Materials to be removed from the Premises and disposed of in accordance with all Environmental
Laws and as necessary to allow the Premises to be used for any purpose; and (iii) cause to be removed all containers installed
or used by Tenant or Tenant’s Agents to store any Hazardous Materials on the Premises, and cause to be repaired any damage
to the Premises caused by such removal.

 

5.4.4 Clean-up.

 

5.4.4.1 Environmental
Reports; Clean-Up. If any written report, including any report containing results of any Environmental Assessment (an “Environmental
Report”) shall indicate (i) the presence of any Hazardous Materials as to which Tenant has a removal or remediation
obligation under this Section 5.4, and (ii) that as a result of same, the investigation, characterization, monitoring,
assessment, repair, closure, remediation, removal, or other clean-up (the “Clean-up”) of any Hazardous Materials
is required, Tenant shall promptly prepare and submit to Landlord within thirty (30) days after receipt of the Environmental
Report a comprehensive plan, subject to Landlord’s written approval, specifying the actions to be taken by Tenant to perform
the Clean-up so that the Premises are restored to the conditions required by this Lease. Upon Landlord’s approval of the
Clean-up plan, Tenant shall, at Tenant’s sole cost and expense, without limitation on any rights and remedies of Landlord
under this Lease, immediately implement such plan with a consultant reasonably acceptable to Landlord and proceed to Clean-Up Hazardous
Materials in accordance with all Applicable Laws and as required by such plan and this Lease. If, within thirty (30) days
after receiving a copy of such Environmental Report, Tenant fails either (a) to complete such Clean-up, or (b) with respect
to any Clean-up that cannot be completed within such thirty-day period, fails to proceed with diligence to prepare the Clean-up
plan and complete the Clean-up as promptly as practicable, then Landlord shall have the right, but not the obligation, and without
waiving any other rights under this Lease, to carry out any Clean-up recommended by the Environmental Report or required by any
governmental authority having jurisdiction over the Premises, and recover all of the costs and expenses thereof from Tenant as
Additional Rent, payable within ten (10) business days after receipt of written demand therefor.

 

5.4.4.2 No Rent
Abatement. Tenant shall continue to pay all Rent due or accruing under this Lease during any Clean-up, and shall not be
entitled to any reduction, offset or deferral of any Base Rent or Additional Rent due or accruing under this Lease during any such
Clean-up.

 

5.4.4.3 Surrender
of Premises. Tenant shall complete any Clean-up prior to surrender of the Premises upon the expiration or earlier termination
of this Lease, and shall fully comply with all Environmental Laws and requirements of any governmental authority with respect to
such completion, including, without limitation, fully comply with any requirement to file a risk assessment, mitigation plan or
other information with any such governmental authority in conjunction with the Clean-up prior to such surrender. Tenant shall obtain
and deliver to Landlord a letter or other written determination from the overseeing governmental authority confirming that the
Clean-up has been completed in accordance with all requirements of such governmental authority and that no further response action
is required for the unrestricted use of the Premises from an Environmental Law standpoint (“Closure Letter”).
Upon the expiration or earlier termination of this Lease, Tenant shall also be obligated to close all permits obtained in connection
with Hazardous Materials in accordance with applicable laws.

 

5.4.4.4 Failure
to Timely Clean-Up. Should any Clean-up for which Tenant is responsible not be completed, or should Tenant not receive
the Closure Letter and any governmental approvals required under Environmental Laws in conjunction with such Clean-up prior to
the expiration or earlier termination of this Lease, and Tenant’s failure to receive the Closure Letter is prohibiting Landlord
from leasing the Premises or any part thereof to a third party, or prevents the occupancy or use of the Premises or any part thereof
by a third party, then Tenant shall be liable to Landlord as a holdover tenant (as more particularly provided in Article 16)
until Tenant has fully complied with its obligations under this Section 5.4.

 

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5.4.5 Confidentiality.
Unless compelled to do so by Applicable Law, Tenant agrees that Tenant shall not disclose, discuss, disseminate or copy any information,
data, findings, communications, conclusions and reports regarding the environmental condition of the Premises to any Person (other
than Tenant’s consultants, attorneys, property managers and employees that have a need to know such information), including
any governmental authority, without the prior written consent of Landlord not to be unreasonably withheld, conditioned, or delayed.
In the event Tenant reasonably believes that disclosure is compelled by Applicable Law, it shall provide Landlord ten (10) days’
advance notice of disclosure of confidential information so that Landlord may attempt to obtain a protective order. Tenant may
additionally release such information to bona fide prospective purchasers or lenders, subject to any such parties’ written
agreement to be bound by the terms of this Section 5.4.

 

5.4.6 Copies of
Environmental Reports. Within thirty (30) days of receipt thereof, Tenant shall provide Landlord with a copy of any
and all environmental assessments, audits, studies and reports regarding Tenant’s activities with respect to the Premises,
or ground water beneath the Land, or the environmental condition or Clean-up thereof. Tenant shall be obligated to provide Landlord
with a copy of such materials without regard to whether such materials are generated by Tenant or prepared for Tenant, or how Tenant
comes into possession of such materials.

 

5.4.7 Intentionally
Omitted.

 

5.4.8 Signs, Response
Plans, Etc. Tenant shall be responsible for posting on the Premises any signs required under applicable Environmental Laws.
Tenant shall also complete and file any business response plans or inventories required by any Applicable Laws. Tenant shall concurrently
file a copy of any such business response plan or inventory with Landlord.

 

5.4.9 Survival.
Each covenant, agreement, representation, warranty and indemnification made by Tenant set forth in this Section 5.4 shall
survive the expiration or earlier termination of this Lease and shall remain effective until all of Tenant’s obligations
under this Section 5.4 have been completely performed and satisfied.

 

6. SERVICES AND UTILITIES

 

6.1 Landlord
Provided Services. Landlord shall provide the following services on all days (unless otherwise stated below) during the
Lease Term.

 

6.1.1 Subject to limitations
imposed by all governmental rules, regulations and guidelines applicable thereto, Landlord shall provide adequate electrical wiring
and facilities for connection to Tenant’s lighting fixtures and incidental use equipment, provided that the connected electrical
load of the incidental use equipment and the connected electrical load of Tenant’s lighting fixtures does not exceed Tenant’s
Share of the system capacity (as reasonably documented by Landlord). Tenant shall bear the cost of replacement of lamps, starters
and ballasts for lighting fixtures within the Premises.

 

6.1.2 Landlord shall
provide city water from the regular Building outlets for drinking, lavatory and toilet purposes in the Building Common Areas.

 

6.1.3 Landlord shall
provide a dumpster and/or trash compactor at the Building for use by Tenant and other tenants for ordinary office waste (and not
for Hazardous Materials).

 

6.1.4 Landlord shall
provide landscaping, snow and ice removal in the Common Areas.

 

6.1.5 Landlord shall
provide access to the rooftop as stated in Section 7.2.

 

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6.2 Tenant Provided
Services and Utilities. Except as otherwise expressly set forth in Section 6.1, above, Tenant will be responsible,
at its sole cost and expense, for the furnishing of all services and utilities to the Premises, including internet, electricity,
water, telephone, janitorial and interior Building security services.

 

6.2.1 Landlord shall
not provide janitorial or trash services for the Premises except as expressly provided in Section 6.1.3, above. Tenant shall
be solely responsible for performing all janitorial and trash services and other cleaning of the Premises, all in compliance with
Applicable Laws. In the event such service is provided by a third party janitorial service, and not by employees of Tenant, such
service shall be a janitorial service approved in advance by Landlord, (Landlord shall provide Tenant with a list of approved vendors
upon Tenant’s request). The janitorial and cleaning of the Premises shall be adequate to maintain the Premises in a manner
consistent with Comparable Buildings.

 

6.2.2 Subject to Applicable
Laws and the other provisions of this Lease (including, without limitation, the Rules and Regulations, and except in the event
of an emergency), Tenant shall have access to the Building, the Premises and the Common Areas of the Building, other than Common
Areas requiring access with a Building engineer, twenty-four (24) hours per day, seven (7) days per week, every day of the year;
provided, however, that Tenant shall only be permitted to have access to and use of the limited-access areas of the Building during
the normal operating hours of such portions of the Building.

 

Tenant shall reasonably
cooperate with Landlord at all times and abide by all regulations and requirements that Landlord may reasonably prescribe for the
proper functioning and protection of the HVAC, electrical, mechanical and plumbing systems. Provided that Landlord agrees to provide
and maintain and keep in continuous service utility connections to the Project, including electricity, water and sewage connections,
Landlord shall have no obligation to provide any services or utilities to the Building, including, but not limited to heating,
ventilation and air-conditioning, electricity, water, telephone, janitorial and interior Building security services (except as
expressly provided herein).

 

6.2.3 Tenant shall
pay for all water, gas, heat, light, power, telephone, internet service, cable television, other telecommunications and other utilities
supplied to the Premises, together with any fees, surcharges and taxes thereon, whether part of Operating Expenses or as provided
under this Article 6. Tenant shall pay all costs and expenses for any separately metered utilities provided exclusively
to the Premises directly to the applicable service provider. Tenant shall pay all actual out-of-pocket costs and expenses, without
mark-up, for utility charges that are based on a check- or sub-metering installation based on Landlord’s reading of such
meters and directly to Landlord, including without limitation for utility charges for power, gas and water serving the HVAC system
of the Building (which are measured by the control management system of the Building based on air volume provided to each tenant
space). Additional Rent for such utilities may be reasonably estimated monthly by Landlord, based on actual readings of sub- and
“check” meters where applicable, and shall be paid monthly by Tenant within thirty (30) days after being billed with
a final accounting based upon actual bills received from the utility providers following the conclusion of each fiscal year of
the Building.

 

6.3 Metering.
If necessary, Landlord may install devices to separately meter any utility use (or use other reasonable industry standard methods
to reasonably estimate such use) and in such event Tenant shall pay the cost directly to Landlord, within thirty (30) days after
Tenant’s receipt of an invoice therefor, at the rates charged by the public utility company furnishing the same, including
the cost of installing, testing and maintaining of such metering devices. Tenant’s use of electricity and any other utility
shall never exceed the capacity of the feeders to the Project or the risers or wiring installation or Tenant’s Share of the
per floor limits as reasonably determined and documented by Landlord.

 

6.4 Interruption
of Use. Tenant agrees that, to the extent permitted pursuant to Applicable Laws, Landlord shall not be liable for damages,
by abatement of Rent or otherwise, for failure to furnish or delay in furnishing any service (including telephone and telecommunication
services), or for any diminution in the quality or quantity thereof, when such failure or delay or diminution is occasioned, in
whole or in part, by breakage, repairs, replacements, or improvements, by any strike, lockout or other labor trouble, by inability
to secure electricity, gas, water, or other fuel at the Building or Project after reasonable effort to do so, by any riot or other
dangerous condition, emergency, accident or casualty whatsoever, by act or default of Tenant or other parties, or by any other
cause not under Landlord’s reasonable control; and such failures or delays or diminution shall never be deemed to constitute
an eviction or disturbance of Tenant’s use and possession of the Premises or relieve Tenant from paying Rent or performing
any of its obligations under this Lease. Furthermore, Landlord shall not be liable under any circumstances for a loss of, or injury
to, property or for injury to, or interference with, Tenant’s business, including, without limitation, loss of profits, however
occurring, through or in connection with or incidental to a failure to furnish any of the services or utilities as set forth in
this Article 6. Notwithstanding the foregoing to the contrary, should there be an interruption, curtailment or suspension
of any service required to be provided by Landlord pursuant to Section 6.1 (and no reasonably equivalent alternative service
or supply is provided by Landlord) that shall materially interfere with Tenant’s use and enjoyment of a material portion
of the Premises, and Tenant actually ceases to use affected portion of the Premises (any such event, a “Service Interruption”),
and if (i) such Service Interruption shall continue for five (5) business days following receipt by Landlord of written notice
from Tenant describing such Service Interruption (the “Service Interruption Notice”), (ii) such Service Interruption
shall not have been caused, in whole or in part, by reasons beyond Landlord’s reasonable control or by an act or omission
in violation of this Lease by Tenant or by any negligence of Tenant, or Tenant’s agents, employees, contractors or invitees,
and (iii) either (A) Landlord does not diligently commence and pursue to completion the remedy of such Service Interruption or
(B) Landlord receives proceeds from its rental interruption insurance that covers such Service Interruption (a Service Interruption
that satisfies the foregoing conditions being referred to hereinafter as a “Material Service Interruption”) then, as
liquidated damages and Tenant’s sole remedy at law or equity, Tenant shall be entitled to an equitable abatement of Base
Rent and Tenant’s Share of Direct Expenses, based on the nature and duration of the Material Service Interruption, the area
of the Premises affected, and the then current Rent amounts, for the period that shall begin on the fifth (5th) business day of
such Material Service Interruption and that shall end on the day such Material Service Interruption shall cease. To the extent
a Material Service Interruption is caused by an event covered by Articles 11 or 13 of this Lease, then Tenant’s
right to abate rent shall be governed by the terms of such Article 11 or 13, as applicable, and the provisions of
this paragraph shall not apply.

 

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7. REPAIRS

 

7.1 Tenant Repairs.
Tenant shall, at Tenant’s own expense, keep the Premises, including all improvements, fixtures, furnishings, heating, ventilation
(including exhaust) and air conditioning (“HVAC”), and systems and equipment therein (including, without limitation,
plumbing fixtures and equipment such as dishwashers, garbage disposals, and insta-hot dispensers), and the floor of the Building
on which the Premises are located, in good order, repair and condition as received (ordinary wear and tear and casualty damage
excepted) at all times during the Lease Term. In addition, Tenant shall, at Tenant’s own expense, but under the supervision
and subject to the prior reasonable approval of Landlord, and within any reasonable period of time specified by Landlord, promptly
and adequately repair all damage to the Premises and replace or repair all damaged, broken, or worn fixtures and appurtenances,
except for damage caused by ordinary wear and tear or beyond the reasonable control of Tenant; provided however, that, at Landlord’s
option, or if Tenant fails to make such repairs (after notice from Landlord and a reasonable opportunity to do so), Landlord may,
but need not, make such repairs and replacements, and Tenant shall pay Landlord the cost thereof, including a percentage of the
cost thereof (to be uniformly established for the Building and/or the Project in accordance with local industry standards) sufficient
to reimburse Landlord for all overhead, general conditions, fees and other costs or expenses arising from Landlord’s involvement
with such repairs and replacements forthwith upon being billed for same. Without limitation, Tenant shall be responsible for heating,
ventilating and air-conditioning systems and utility services serving the Premises (to the extent serving Tenant exclusively),
and Tenant shall secure, pay for, and keep in force contracts with appropriate and reputable service companies reasonably approved
by Landlord providing for the regular maintenance of such systems.

 

7.2 Riser Room
and Rooftop Rights.  Landlord grants Tenant the right, subject to the terms and conditions of this Lease, to access
the riser room and the roof of the Building in order to maintain, repair and replace the HVAC equipment and any other mechanical
equipment located in the riser room or on the roof for which Tenant is responsible to repair, maintain and replace.  Tenant
may not install additional locks on any access doors or any equipment in such areas.  In the event the Tenant desires to move
any rooftop equipment or install any new rooftop equipment the exact location and layout of such items must be approved in advance
in writing by Landlord such approval not to be unreasonably withheld, conditioned, or delayed. Tenant shall be provided access
to the rooftop at all times except during an emergency through card access with Tenant’s personnel who are approved in advance
by Landlord.  Tenant’s access to the riser room or rooftop for the purposes of exercising its rights and obligations
under this Section 7.2 shall be limited to Building Hours by prior appointment with the property manager, except in the
case of emergencies.  In the event of an emergency Tenant shall utilize Landlord’s after-hours contact information.
 Tenant shall engage Landlord’s roofer before beginning any rooftop installations or repairs which affect the roof whether
under this Section 7.2 or otherwise, and shall always comply with the roof warranty governing the protection of the roof
and modifications to the roof.  Tenant shall obtain a letter from Landlord’s roofer following completion of such work
stating that the roof warranty remains in effect.  Tenant agrees that Tenant’s access to the riser room or roof and
any work on the roof shall be at Tenant’s sole risk.  Tenant shall indemnify, defend and hold Landlord harmless against
any liability, claim or cost, including reasonable attorneys’ fees, incurred in connection with the loss of life, personal
injury, damage to property or business or any other loss or injury (except to the extent due to the grossly negligent act or willful
misconduct of Landlord or its employees, agents or contractors) arising out of the access to the riser room or rooftop or any work
on the rooftop by Tenant or its employees, agents, or contractors, including any liability arising out of Tenant’s violation
of this Section 7.2.  Tenant shall specifically be responsible for Landlord’s costs to repair any damage or remedy
any infraction caused by Tenant or Tenant’s vendor in the riser room or on the roof of the Building. Landlord shall not be
responsible for any damage or harm that result from Tenant’s inability or delay to access the riser room or rooftop and Tenant
hereby waives any claims against Landlord arising from such delays in access.  The provisions of this paragraph shall survive
the expiration or earlier termination of this Lease.

 

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7.3 Landlord
Repairs. Notwithstanding the foregoing, Landlord shall be responsible for repairs to the exterior walls, windows, foundation
and roof (including roof membrane) of the Building, the structural portions of the floors of the Building (including, without limitation,
the structural integrity of concrete slabs and footings), and the base building systems and equipment of the Building and Common
Areas (to the extent not serving Tenant exclusively), except to the extent that such repairs are required due to the negligence
or willful misconduct of Tenant; provided, however, that if such repairs are due to the negligence or willful misconduct of Tenant,
Landlord shall nevertheless make such repairs at Tenant’s expense, or, if covered by Landlord’s insurance, Tenant shall
only be obligated to pay any deductible in connection therewith. Subject to the terms of Article 27, below, Landlord may,
but shall not be required to, enter the Premises at all reasonable times and upon reasonable prior notice to make such repairs,
alterations, improvements or additions to the Premises or to the Project or to any equipment located in the Project as Landlord
shall desire or deem necessary or as Landlord may be required to do by governmental or quasi-governmental authority or court order
or decree.

 

8. ADDITIONS AND ALTERATIONS

 

8.1 Landlord’s
Consent to Alterations. Tenant may not make any improvements, alterations, additions or changes to the Premises or any
mechanical, plumbing or HVAC facilities or systems pertaining to the Premises (collectively, the “Alterations”)
without first procuring the prior written consent of Landlord to such Alterations, which consent shall be requested by Tenant not
less than ten (10) days prior to the commencement thereof, and which consent shall not be unreasonably withheld, conditioned or
delayed by Landlord, provided it shall be deemed reasonable for Landlord to withhold its consent to any Alteration which adversely
affects the structural portions or the systems or equipment of the Building or is visible from the exterior of the Building. Notwithstanding
the foregoing, Tenant shall be permitted to make non-structural Alterations following ten (10) business days’ notice to Landlord,
but without Landlord’s prior consent, to the extent that such Alterations (i) do not materially affect the Building roof,
systems or equipment, (ii) are not visible from the exterior of the Building, and (iii) cost less than $1.00 per rentable square
foot per year.

 

8.2 Prior to commencing
any Alterations affecting air distribution or disbursement from ventilation systems serving Tenant or the Building, including without
limitation the installation of Tenant’s exhaust systems, Tenant shall provide Landlord with a third party report from a consultant,
and in a form reasonably acceptable to Landlord, showing that such work will not adversely affect the ventilation systems or air
quality of the Building (or of any other tenant in the Building) and shall, upon completion of such work, provide Landlord with
a certification reasonably satisfactory to Landlord from such consultant confirming that no such adverse effects have resulted
from such work.

 

8.3 Manner of
Construction. Landlord may impose, as an express condition of its consent (at the time said consent is given) to any and
all Alterations (other than the Tenant Improvements) or repairs of the Premises or about the Premises, such requirements as Landlord
in its reasonable discretion may deem desirable, including, but not limited to, the requirement that Tenant utilize for such purposes
only contractors, subcontractors, materials, mechanics and materialmen selected by Tenant and approved by Landlord (which approval
shall not be unreasonably withheld, conditioned or delayed), the requirement that upon Landlord’s request at the time Landlord
approves said Alterations (subject to the terms of Section 8.5, below), Tenant shall, at Tenant’s expense, remove
such Alterations upon the expiration or any early termination of the Lease Term. Tenant shall construct such Alterations and perform
such repairs in a good and workmanlike manner, in conformance with any and all applicable federal, state, county or municipal laws,
rules and regulations and pursuant to a valid building permit, issued by the city in which the Building is located (or other applicable
governmental authority). Tenant shall not use (and upon notice from Landlord shall cease using) contractors, services, workmen,
labor, materials or equipment that, in Landlord’s reasonable judgment, would disturb labor harmony with the workforce or
trades engaged in performing other work, labor or services in or about the Building or the Common Areas. Upon completion of any
Alterations (or repairs), Tenant shall deliver to Landlord final lien waivers from all contractors, subcontractors and materialmen
who performed such work. In addition to Tenant’s obligations under Article 9 of this Lease, upon completion of any
Alterations, Tenant shall deliver to the Project construction manager a reproducible copy of the “as built”
drawings of the Alterations as well as all permits, approvals and other documents issued by any governmental agency in connection
with the Alterations.

 

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8.4 Payment for
Improvements. If Tenant orders any work directly from Landlord, Tenant shall pay to Landlord an amount equal to five percent
(5%) of the cost of such work to compensate Landlord for all overhead, general conditions, fees and other costs and expenses arising
from Landlord’s involvement with such work. If Tenant does not order any work directly from Landlord, Tenant shall reimburse
Landlord for Landlord’s reasonable, actual, out-of-pocket costs and expenses actually incurred in connection with Landlord’s
review of such work including a construction management fee in the amount of three percent (3%) of the total costs of such work.
The fees in this Section 8.4 shall not apply to Cosmetic Alterations.

 

8.5 Construction
Insurance. In addition to the requirements of Article 10 of this Lease, in the event that Tenant makes any Alterations,
prior to the commencement of such Alterations, Tenant shall provide Landlord with evidence that Tenant carries “Builder’s
All Risk” insurance (to the extent that the cost of the work shall exceed $100,000.00) in an amount reasonably approved
by Landlord covering the construction of such Alterations, and such other insurance as Landlord may reasonably require, it being
understood and agreed that all of such Alterations shall be insured by Tenant pursuant to Article 10 of this Lease immediately
upon completion thereof. In addition, Tenant’s contractors and subcontractors shall be required to carry Commercial General
Liability Insurance in an amount reasonably approved by Landlord and otherwise in accordance with the requirements of Article
10 of this Lease and such general liability insurance shall name the Landlord Parties as additional insureds. Landlord may,
in its discretion, require Tenant to obtain and record a statutory form of lien bond, or obtain performance and payment bonds,
or some alternate form of security satisfactory to Landlord in an amount sufficient to ensure the lien-free completion of such
Alterations and naming Landlord as a co-obligee, in each case in form and substance reasonably satisfactory to Landlord. In addition,
Tenant’s contractors and subcontractors shall be required to carry workers compensation insurance with a waiver of subrogation
in favor of Landlord Parties.

 

9. COVENANT AGAINST LIENS

 

Tenant shall keep the
Project and Premises free from any liens or encumbrances arising out of the work performed, materials or services furnished or
obligations incurred by or on behalf of Tenant, and shall protect, defend, indemnify and hold Landlord harmless from and against
any claims, liabilities, judgments or costs (including, without limitation, reasonable attorneys’ fees and costs) arising
out of same or in connection therewith. Tenant shall give Landlord notice at least twenty (20) days prior to the commencement of
any work, services or obligations related to the Premises giving rise to any such liens or encumbrances (or such additional time
as may be necessary under Applicable Laws) to afford Landlord the opportunity of posting and recording appropriate notices of non-responsibility
(to the extent applicable pursuant to then Applicable Laws). Tenant shall remove any such lien or encumbrance by statutory lien
bond or otherwise within ten (10) business days after notice by Landlord, and if Tenant shall fail to do so, Landlord may pay the
amount necessary to remove such lien or encumbrance, without being responsible for investigating the validity thereof.

 

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10. INSURANCE

 

10.1 Indemnification
and Waiver. Tenant hereby assumes all risk of damage to property or injury to persons in, upon or about the Premises from
any cause whatsoever other than due to the gross negligence or willful misconduct of the Landlord or its employees or agents (including,
but not limited to, any personal injuries resulting from a slip and fall in, upon or about the Premises) and agrees that Landlord,
its lenders, partners, subpartners and their respective officers, agents, servants, employees, and independent contractors (collectively,
“Landlord Parties”) shall not be liable for, and are hereby released from any responsibility for, any damage
either to person or property or resulting from the loss of use thereof, which damage is sustained by Tenant or by other persons
claiming through Tenant. Tenant shall indemnify, defend, protect, and hold harmless the Landlord Parties from any and all loss,
cost, damage, injury, expense and liability (including without limitation court costs and reasonable attorneys’ fees) during
the Lease Term, or any period of Tenant’s occupancy of the Premises prior to the commencement or after the expiration of
the Lease Term, incurred in connection with or arising from any cause in, on or about the Premises (including, but not limited
to, a slip and fall), any acts, omissions or negligence of Tenant or of any person claiming by, through or under Tenant, or of
the contractors, agents, servants, employees, invitees, guests or licensees of Tenant or any such person, in, on or about the Project
or any breach of the terms of this Lease, either prior to, during, or after the expiration of the Lease Term, provided that the
terms of the foregoing indemnity shall not apply to the gross negligence or willful misconduct of Landlord. Should Landlord be
named as a defendant in any suit brought against Tenant in connection with or arising out of Tenant’s occupancy of the Premises,
Tenant shall pay to Landlord its reasonable costs and expenses incurred in such suit, including without limitation, its actual
professional fees such as reasonable appraisers’, accountants’ and attorneys’ fees, except, this shall not apply
to the gross negligence or willful misconduct of Landlord. The provisions of this Section 10.1 shall survive the expiration
or sooner termination of this Lease with respect to any claims or liability arising in connection with any event occurring prior
to such expiration or termination.

 

10.2 Tenant’s
Compliance With Landlord’s Property Insurance. Tenant shall, at Tenant’s expense, comply with all reasonable
insurance company requirements pertaining to the use of the Premises. If Tenant’s conduct or use of the Premises for any
purpose other than customary, general office use causes any increase in the premium for such insurance policies (as reasonably
documented by Landlord) then Tenant shall reimburse Landlord for any such increase. Tenant, at Tenant’s expense, shall comply
with all rules, orders, regulations or requirements of the American Insurance Association (formerly the National Board of Fire
Underwriters) and with any similar body.

 

10.3 Tenant’s
Insurance. Tenant shall maintain the following coverages in the following amounts.

 

10.3.1 Commercial
General Liability Insurance on an occurrence form covering the insured against claims of bodily injury, personal and advertising
injury and property damage (including loss of use thereof) arising out of Tenant’s operations, products/completed operations,
and contractual liability including a Broad Form endorsement covering the insuring provisions of this Lease and the performance
by Tenant of the indemnity agreements set forth in Section 10.1 of this Lease, and including, solely on a claims-made
basis, products and completed operations coverage, for limits of liability of not less than:

 

$1,000,000 each occurrence

$2,000,000 annual aggregate per location

$1,000,000 personal and advertising
injury

$2,000,000 products-completed operations

0% Insured’s participation

 

10.3.2 Property
Insurance covering (i) all office furniture, business and trade fixtures, office equipment, free-standing cabinet work, movable
partitions, merchandise and all other items of Tenant’s property on the Premises installed by, for, or at the expense of
Tenant, and (ii) any other improvements which exist in the Premises as of the Lease Commencement Date (excluding the Base Building)
(the “New Improvements”). Such insurance shall be written on an “all risks” of physical loss
or damage basis, for the full replacement cost value (subject to reasonable deductible amounts) new without deduction for depreciation
of the covered items and in amounts that meet any co-insurance clauses of the policies of insurance and shall include coverage
for damage or other loss caused by fire or other peril including, but not limited to, vandalism and malicious mischief, theft,
water damage of any type, including sprinkler leakage, bursting or stoppage of pipes, and explosion.

 

    -20-

     

    

 

10.3.3 Business
Income Interruption for one (1) year plus Extra Expense insurance in such amounts as will reimburse Tenant for actual direct or
indirect loss of earnings attributable to the risks outlined in Section 10.3.2 above.

 

10.3.4 Worker’s
Compensation and Employer’s Liability or other similar insurance pursuant to all applicable state and local statutes and
regulations. The policy will include a waiver of subrogation in favor of the Landlord Parties.

 

10.3.5 Umbrella
and/or Excess Liability Insurance policy in excess of Commercial General Liability, Auto Liability, and Employer’s Liability
Insurance policies, concurrent to, and at least as broad as the underlying primary insurance policies, which must “drop down”
over reduced or exhausted aggregate limits as to such underlying policies and contain a “follow form” statement. The
limits must be no less than $5,000,000 each occurrence and $5,000,000 in the aggregate. Such Umbrella/Excess Liability policy must
be endorsed to provide that this insurance is primary to, and non-contributory with, any other insurance on which the Additional
Insureds are an insured, whether such other insurance is primary, excess, contingent, self-insurance, or insurance on any other
basis. This endorsement must cause the Umbrella/Excess coverage to be vertically exhausted, whereby such coverage is not subject
to any “Other Insurance” clause under this Umbrella and/or Excess Liability policy.

 

10.4 Form
of Policies. The minimum limits of policies of insurance required of Tenant under this Lease shall in no event limit the
liability of Tenant under this Lease. Such insurance shall (i) name Landlord, its subsidiaries and affiliates and any other party
the Landlord so specifies, as an additional insured, including Landlord’s managing agent, if any; (ii) cover the liability
assumed by Tenant under this Lease; (iii) be issued by an insurance company having a rating of not less than A:VIII in Best’s
Insurance Guide or which is otherwise acceptable to Landlord and licensed to do business in the State of North Carolina; (iv) be
primary insurance as to all claims thereunder and provide that any insurance carried by Landlord is excess and is non-contributing
with any insurance required of Tenant; (v) be in form and content reasonably acceptable to Landlord; and (vi) provide that said
insurer shall endeavor to provide written notice to Landlord and any mortgagee of Landlord, to the extent such names are furnished
to Tenant prior to the cancellation of such policy. Tenant shall deliver said policy or policies or certificates thereof to Landlord
on or before the earlier to occur of (A) the Lease Commencement Date, and (B) the date upon which Tenant is first provided
access to the Premises, and at least ten (10) days before the expiration dates thereof. In the event Tenant shall fail to procure
such insurance, or to deliver such policies or certificate within ten (10) days after written notice from Landlord, Landlord may,
at its option (upon notice to Tenant), procure such policies for the account of Tenant, and the cost thereof shall be paid to Landlord
within five (5) days after delivery to Tenant of bills therefor.

 

10.5 Subrogation.
Landlord and Tenant intend that their respective property loss risks shall be borne by reasonable insurance carriers to the extent
above provided, and Landlord and Tenant hereby agree to look solely to, and seek recovery only from, their respective insurance
carriers in the event of a property loss to the extent that such coverage is agreed to be provided hereunder. The parties each
hereby waive all rights and claims against each other for such losses, and waive all rights of subrogation of their respective
insurers, provided such waiver of subrogation shall not affect the right to the insured to recover thereunder. The parties agree
that their respective insurance policies are now, or shall specify that the waiver of subrogation shall not affect the right of
the insured to recover thereunder.

 

10.6 Additional
Insurance Obligations. Tenant shall carry and maintain during the entire Lease Term, at Tenant’s sole cost and expense,
increased amounts of insurance to the extent required by any lender or mortgagee on the Building.

 

10.7 Landlord
Insurance. Landlord shall keep in force during the term of this Lease (i) commercial general liability insurance against
any and all claims for bodily injury and property damage occurring in or about the Building or the Common Areas having a combined
single limit of not less than One Million Dollars and 00/100 ($1,000,000) per occurrence and Two Million and 00/100 Dollars ($2,000,000)
in the aggregate, and (ii) property insurance in such amounts and coverages as Landlord deems appropriate or is otherwise required
of Landlord by its lender or applicable law, but in no event less than the lesser of (a) at least eighty percent (80%) percent
of the replacement cost of the Building or (b) the maximum insurable value of the Building.

 

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11. DAMAGE AND DESTRUCTION

 

11.1 Repair
of Damage to Premises by Landlord. Tenant shall promptly notify Landlord of any damage to the Premises resulting from fire
or any other casualty. If the Premises or any Common Areas serving or providing access to the Premises shall be damaged by fire
or other casualty, Landlord shall promptly and diligently, subject to reasonable delays for insurance adjustment, and subject to
all other terms of this Article 11, restore such Common Areas and the Premises to substantially the same condition as existed
prior to the casualty, except for modifications required by zoning and building codes and other laws or by the holder of a mortgage
on the Building or Project or any other modifications to the Common Areas deemed desirable by Landlord, which are consistent with
the character of the Project, provided that access to the or the use of Premises shall not be materially impaired. Upon the occurrence
of any damage to the Premises, upon notice (the “Landlord Repair Notice”) to Tenant from Landlord, Tenant shall
assign to Landlord (or to any party designated by Landlord) all insurance proceeds payable to Tenant up to the amount of any repairs
made by Landlord to the Project under Tenant’s insurance required under Section 10.3.2(ii) of this Lease and
Landlord’s obligation to restore any Alterations or Tenant Improvements shall be limited to the extent of such proceeds received
by Landlord. To the extent permitted pursuant to Applicable Laws, Landlord shall not be liable for any inconvenience or annoyance
to Tenant or its visitors, or injury to Tenant’s business resulting in any way from such damage or the repair thereof; provided
however, that if such fire or other casualty shall have damaged the Premises or Common Areas necessary to Tenant’s occupancy,
and the Premises, or a material portion of the Premises, are not occupied by Tenant as a result thereof, then during the time and
to the extent the Premises are unfit for occupancy, the Rent shall be abated in proportion to the ratio that the amount of rentable
square feet of the Premises which is unfit for occupancy for the purposes permitted under this Lease bears to the total rentable
square feet of the Premises.

 

11.2 Landlord’s
Option to Repair. Notwithstanding the terms of Section 11.1 of this Lease, Landlord may elect not to rebuild
and/or restore the Premises, Building and/or Project, and instead terminate this Lease, by notifying Tenant in writing of such
termination within forty-five (45) days after the date of discovery of the damage, such notice to include a termination date giving
Tenant sixty (60) days to vacate the Premises, but Landlord may so elect only if the Building or Project shall be damaged by fire
or other casualty or cause, whether or not the Premises are affected, and one or more of the following conditions is present: (i)
in Landlord’s reasonable judgment, repairs cannot reasonably be completed within one hundred eighty (180) days after the
date of discovery of the damage (when such repairs are made without the payment of overtime or other premiums); (ii) the holder
of any mortgage on the Building or Project or ground lessor with respect to the Building or Project shall require that the insurance
proceeds or any portion thereof be used to retire the mortgage debt, or shall terminate the ground lease, as the case may be; (iii)
at least One Hundred Thousand and 00/100 Dollars ($100,000.00) of damage is not fully covered by Landlord’s insurance policies;
(iv) intentionally omitted; (v) the damage occurs during the last twelve (12) months of the Lease Term; or (vi) any owner of any
other portion of the Project, other than Landlord, does not intend to repair the damage to such portion of the Project; provided,
however, that if Landlord does not elect to terminate this Lease pursuant to Landlord’s termination right as provided above,
and the repairs cannot, in the reasonable opinion of Landlord, be completed within one hundred eighty (180) days after being commenced,
Tenant may elect, no earlier than sixty (60) days after the date of the damage and not later than ninety (90) days after the date
of such damage, to terminate this Lease by written notice to Landlord effective as of the date specified in the notice, which date
shall not be less than thirty (30) days nor more than sixty (60) days after the date such notice is given by Tenant. Notwithstanding
the provisions of this Section 11.2, Tenant shall have the right to terminate this Lease under this Section 11.2
only if each of the following conditions is satisfied: (a) the damage to the Project by fire or other casualty was not caused by
the gross negligence or intentional act of Tenant or its partners or subpartners and their respective officers, agents, servants,
employees, and independent contractors; and (b) as a result of the damage, Tenant cannot reasonably conduct business from the Premises.
In addition, Tenant may terminate this Lease if the damage to the Premises occurs during the last twelve (12) months of the Lease
Term, and, as a result of such damage, Tenant cannot reasonably conduct business from the Premises for a period of thirty (30)
days or more.

 

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12. NONWAIVER

 

No provision of this
Lease shall be deemed waived by either party hereto unless expressly waived in a writing signed thereby. The waiver by either party
hereto of any breach of any term, covenant or condition herein contained shall not be deemed to be a waiver of any subsequent breach
of same or any other term, covenant or condition herein contained. The subsequent acceptance of Rent hereunder by Landlord shall
not be deemed to be a waiver of any preceding breach by Tenant of any term, covenant or condition of this Lease, other than the
failure of Tenant to pay the particular Rent so accepted, regardless of Landlord’s knowledge of such preceding breach at
the time of acceptance of such Rent. No acceptance of a lesser amount than the Rent herein stipulated shall be deemed a waiver
of Landlord’s right to receive the full amount due, nor shall any endorsement or statement on any check or payment or any
letter accompanying such check or payment be deemed an accord and satisfaction, and Landlord may accept such check or payment without
prejudice to Landlord’s right to recover the full amount due. No receipt of monies by Landlord from Tenant after the termination
of this Lease shall in any way alter the length of the Lease Term or of Tenant’s right of possession hereunder, or after
the giving of any notice shall reinstate, continue or extend the Lease Term or affect any notice given Tenant prior to the receipt
of such monies, it being agreed that after the service of notice or the commencement of a suit, or after final judgment for possession
of the Premises, Landlord may receive and collect any Rent due, and the payment of said Rent shall not waive or affect said notice,
suit or judgment.

 

13. CONDEMNATION

 

If the whole or any
part of the Premises, Building or Project shall be taken by power of eminent domain or condemned by any competent authority for
any public or quasi-public use or purpose, or if any adjacent property or street shall be so taken or condemned, or reconfigured
or vacated by such authority in such manner as to require the use, reconstruction or remodeling of any part of the Premises, Building
or Project, or if Landlord shall grant a deed or other instrument in lieu of such taking by eminent domain or condemnation, Landlord
shall have the option to terminate this Lease effective as of the date possession is required to be surrendered to the authority.
Additionally, if the whole or any substantial part of the Premises shall be taken by power of eminent domain or condemned by any
competent authority for any public or quasi-public use or purpose, Tenant shall have the option to terminate this Lease effective
as of the date possession is required to be surrendered to the authority. If, in such events, neither Landlord nor Tenant shall
terminate this Lease, Landlord shall, to the extent the proceeds of the condemnation award (or purchase price in lieu thereof),
other than any proceeds awarded for the value of any land taken, are available, make all necessary repairs to the Premises, the
Building and the Project to render and restore the same to a complete architectural unit and Tenant shall continue in possession
of the portion of the Premises not taken under the power of eminent domain, under the same terms and conditions as are herein provided,
except that the Rent and all other charges reserved herein shall be reduced in direct proportion to the portion of the Premises
so taken. Tenant shall not because of such taking assert any claim against Landlord or the authority for any compensation because
of such taking and Landlord shall be entitled to the entire award or payment in connection therewith, except that Tenant shall
have the right to file any separate claim available to Tenant for any taking of Tenant’s personal property and fixtures belonging
to Tenant and removable by Tenant upon expiration of the Lease Term pursuant to the terms of this Lease, and for moving expenses,
so long as such claims do not diminish the award available to Landlord, its ground lessor with respect to the Building or Project
or its mortgagee, and such claim is payable separately to Tenant. All Rent shall be apportioned as of the date of such termination.
If any part of the Premises shall be taken, and this Lease shall not be so terminated, the Rent shall be proportionately abated.
Notwithstanding anything to the contrary contained in this Article 13, in the event of a temporary taking of all or any
portion of the Premises for a period of one hundred and eighty (180) days or less, and provided that such temporary taking does
not materially preclude or unreasonably diminish Tenant’s ability to conduct business from the Premises, then this Lease
shall not terminate but the Base Rent and the Additional Rent shall be abated for the period of such taking in proportion to the
ratio that the amount of rentable square feet of the Premises taken bears to the total rentable square feet of the Premises. Landlord
shall be entitled to receive the entire award made in connection with any such temporary taking, provided, however, that Tenant
shall be entitled to a share of the award for any loss of fixtures and improvements and for moving and other reasonable expenses
that do not otherwise reduce Landlord’s recovery.

 

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14. ASSIGNMENT AND SUBLETTING

 

14.1 Transfers.
Tenant shall not, without the prior written consent of Landlord, which consent shall not be unreasonably withheld, assign, mortgage,
pledge, hypothecate, encumber, or permit any lien to attach to, or otherwise transfer, this Lease or any interest hereunder, permit
any assignment, or other transfer of this Lease or any interest hereunder by operation of law, sublet the Premises or any part
thereof, or enter into any license or concession agreements or otherwise permit the occupancy or use of the Premises or any part
thereof by any persons other than Tenant and its employees and contractors (all of the foregoing are hereinafter sometimes referred
to collectively as “Transfers” and any person to whom any Transfer is made or sought to be made is hereinafter
sometimes referred to as a “Transferee”). If Tenant desires Landlord’s consent to any Transfer, Tenant
shall notify Landlord in writing, which notice (the “Transfer Notice”) shall include (i) the proposed effective
date of the Transfer, which shall not be less than twenty (20) days nor more than one hundred eighty (180) days after the date
of delivery of the Transfer Notice, (ii) a description of the portion of the Premises to be transferred (the “Subject
Space”), (iii) all of the terms of the proposed Transfer and the consideration therefor, including calculation of the
“Transfer Premium”, as that term is defined in Section 14.3 below, in connection with such Transfer,
the name and address of the proposed Transferee, and a copy of all existing executed and/or proposed documentation pertaining to
the proposed Transfer, and (iv) current financial statements of the proposed Transferee certified by an officer, partner or owner
thereof, business credit and personal references and history of the proposed Transferee and any other information reasonably required
by Landlord which will enable Landlord to determine the financial responsibility, character, and reputation of the proposed Transferee,
nature of such Transferee’s business and proposed use of the Subject Space. Any Transfer made without Landlord’s prior
written consent shall, at Landlord’s option, be null, void and of no effect, and shall, at Landlord’s option, constitute
a default by Tenant under this Lease. Whether or not Landlord consents to any proposed Transfer, Tenant shall pay Landlord’s
reasonable review and processing fees (not to exceed Fifteen Hundred and 00/100 Dollars ($1,500.00)), plus any reasonable professional
fees (including, without limitation, attorneys’, accountants’, architects’, engineers’ and consultants’
fees) incurred by Landlord, within thirty (30) days after written request by Landlord.

 

14.2 Landlord’s
Consent. Landlord shall not unreasonably withhold, condition or delay its consent to any proposed Transfer of the Subject
Space to the Transferee on the terms specified in the Transfer Notice. Without limitation as to other reasonable grounds for withholding
consent, the parties hereby agree that it shall be reasonable under this Lease and under any applicable law for Landlord to withhold
consent to any proposed Transfer where one or more of the following apply:

 

14.2.1 The
Transferee is of a character or reputation or engaged in a business which is not consistent with the quality of the Building or
the Project;

 

14.2.2 The
Transferee is either a governmental agency or instrumentality thereof;

 

14.2.3 The
Transferee is not a party of reasonable financial worth and/or financial stability in light of the responsibilities to be undertaken
in connection with the Transfer on the date consent is requested;

 

14.2.4 The
proposed Transfer would cause a violation of another lease for space in the Project, or would give an occupant of the Project a
right to cancel its lease; or

 

14.2.5 Either
the proposed Transferee, or any person or entity which directly or indirectly, controls, is controlled by, or is under common control
with, the proposed Transferee, is actively negotiating with Landlord or has negotiated with Landlord during the four (4) month
period immediately preceding the date Landlord receives the Transfer Notice, to lease space in the Project (and Landlord has suitable
space available in the Project to meet Transferee’s needs).

 

14.2.6 In
Landlord’s reasonable determination, the sub-rent, additional rent or other amounts received or accrued by Tenant from subleasing,
assigning or otherwise Transferring all or any portion of the Premises is based on the income or profits of any person, or the
assignment of sublease could cause any portion of the amounts received by Landlord pursuant to this Lease to fail to qualify as
“rents from real property” within the meaning of section 856(d) of the Internal Revenue Code of 1986, as amended (the
“Code”), or any similar or successor provision thereto or which would cause any other income of Landlord to fail to
qualify as income described in section 856(c)(2) of the Code.

 

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If Landlord consents
to any Transfer pursuant to the terms of this Section 14.2 (and does not exercise any recapture rights Landlord may
have under Section 14.4 of this Lease), Tenant may within six (6) months after Landlord’s consent, but not later
than the expiration of said six-month period, enter into such Transfer of the Premises or portion thereof, upon substantially the
same terms and conditions as are set forth in the Transfer Notice furnished by Tenant to Landlord pursuant to Section 14.1
of this Lease, provided that if there are any material changes in the terms and conditions from those specified in the Transfer
Notice such that Landlord would initially have been entitled to refuse its consent to such Transfer under this Section 14.2,
Tenant shall again submit the Transfer to Landlord for its approval and other action under this Article 14 (including Landlord’s
right of recapture, if any, under Section 14.4 of this Lease). Notwithstanding anything to the contrary in this Lease,
if Tenant or any proposed Transferee claims that Landlord has unreasonably withheld or delayed its consent under Section 14.2
or otherwise has breached or acted unreasonably under this Article 14, their sole remedies shall be a suit for contract
damages (other than damages for injury to, or interference with, Tenant’s business including, without limitation, loss of
profits, however occurring) or declaratory judgment and an injunction for the relief sought, and Tenant hereby waives all other
remedies, including, without limitation, any right at law or equity to terminate this Lease, on its own behalf and, to the extent
permitted under all Applicable Laws, on behalf of the proposed Transferee.

 

14.3 Transfer
Premium. If Landlord consents to a Transfer, as a condition thereto which the parties hereby agree is reasonable, Tenant
shall pay to Landlord fifty percent (50%) of any “Transfer Premium,” as that term is defined in this Section 14.3,
received by Tenant from such Transferee (other than any Permitted Transferee). “Transfer Premium” shall mean
all rent, additional rent or other consideration payable by such Transferee in connection with the Transfer in excess of the Rent
and Additional Rent payable by Tenant under this Lease during the term of the Transfer on a per rentable square foot basis if less
than all of the Premises is transferred, after deducting the reasonable third party expenses incurred by Tenant for (i) any
design and construction costs incurred on account of changes, alterations and improvements to the Premises in connection with the
Transfer, (ii) any free base rent and tenant improvement allowances reasonably provided to the Transferee in connection with
the Transfer (provided that such free rent and tenant improvement allowances shall be deducted only to the extent the same is included
in the calculation of total consideration payable by such Transferee), (iii) any brokerage commissions in connection with
the Transfer, (iv) legal fees and disbursements reasonably incurred in connection with the Transfer, and (v) any unamortized Excess
Costs, as defined in Exhibit D  (as determined on a straight line basis over the initial term of this Lease, without interest)
paid by Tenant for the Tenant Improvements (collectively, “Tenant’s Subleasing Costs”). “Transfer
Premium” shall also include, but not be limited to, key money, bonus money or other cash consideration paid by Transferee
to Tenant in connection with such Transfer, and any payment in excess of fair market value for services rendered by Tenant to Transferee
or for assets, fixtures, inventory, equipment, or furniture transferred by Tenant to Transferee in connection with such Transfer.
The determination of the amount of Landlord’s applicable share of the Transfer Premium shall be made on a monthly basis as
rent or other consideration is received by Tenant under the Transfer.

 

14.4 Intentionally
Omitted.

 

14.5 Effect
of Transfer. If Landlord consents to a Transfer, (i) the terms and conditions of this Lease shall in no way be deemed to
have been waived or modified, (ii) such consent shall not be deemed consent to any further Transfer by either Tenant or a Transferee,
(iii) Tenant shall deliver to Landlord, promptly after execution, an original executed copy of all documentation pertaining to
the Transfer in form reasonably acceptable to Landlord, (iv) Tenant shall furnish upon Landlord’s request a complete statement,
certified by Tenant’s chief financial officer, setting forth in detail the computation of any Transfer Premium Tenant has
derived and shall derive from such Transfer, and (v) no Transfer relating to this Lease or agreement entered into with respect
thereto, whether with or without Landlord’s consent, shall relieve Tenant or any guarantor of the Lease from any liability
under this Lease, including, without limitation, in connection with the Subject Space.

 

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14.6 Sublease/Transfer
Restrictions. Notwithstanding anything contained herein to the contrary and without limiting the generality of Section
14.1 above, Tenant shall not: (a) sublet all or part of the Premises or assign or otherwise Transfer this Lease on any basis
such that the rental or other amounts to be paid by the subtenant or assignee thereunder would be based, in whole or in part, on
the income or profits derived by the business activities of the subtenant or assignee; (b) sublet all or part of the Premises or
assign this Lease to any person or entity in which, under Section 856(d)(2)(B) of the Code, Longfellow Atlantic REIT, Inc., a Delaware
corporation (the “Company”), or any affiliate of the Company owns, directly or indirectly (by applying constructive
ownership rules set forth in Section 856(d)(5) of the Code), a ten percent (10%) or greater interest; or (c) sublet all or part
of the Premises or assign this Lease in any other manner or otherwise derive any income which could cause any portion of the amounts
received by Landlord pursuant hereto or any sublease to fail to qualify as “rents from real property” within the meaning
of Section 856(d) of the Code, or which could cause any other income received by Landlord to fail to qualify as income described
in Section 856(c)(2) of the Code. The requirements of this Section 14.4 shall likewise apply to any further subleasing,
assignment or other Transfer by any subtenant or assignee. All references herein to Section 856 of the Code also shall refer to
any amendments thereof or successor provisions thereto.

 

14.7 Occurrence
of Default. Any Transfer hereunder shall be subordinate and subject to the provisions of this Lease, and if this Lease
shall be terminated during the term of any Transfer, Landlord shall have the right to: (i) treat such Transfer as cancelled and
repossess the Subject Space by any lawful means, or (ii) require that such Transferee attorn to and recognize Landlord as its landlord
under any such Transfer. If Tenant shall be in default under this Lease (beyond applicable notice and cure period), Landlord is
hereby irrevocably authorized, as Tenant’s agent and attorney-in-fact, to direct any Transferee to make all payments under
or in connection with the Transfer directly to Landlord (which Landlord shall apply towards Tenant’s obligations under this
Lease) until such default is cured. Such Transferee shall rely on any representation by Landlord that Tenant is in default hereunder,
without any need for confirmation thereof by Tenant. Upon any assignment, the assignee shall assume in writing all obligations
and covenants of Tenant thereafter to be performed or observed under this Lease. No collection or acceptance of rent by Landlord
from any Transferee shall be deemed a waiver of any provision of this Article 14 or the approval of any Transferee or a
release of Tenant from any obligation under this Lease, whether theretofore or thereafter accruing. In no event shall Landlord’s
enforcement of any provision of this Lease against any Transferee be deemed a waiver of Landlord’s right to enforce any term
of this Lease against Tenant or any other person. If Tenant’s obligations hereunder have been guaranteed, Landlord’s
consent to any Transfer shall not be effective unless the guarantor also consents to such Transfer.

 

14.8 Non-Transfers.
Notwithstanding anything to the contrary contained in this Article 14, (i) an assignment or subletting of all or a
portion of the Premises to an affiliate of Tenant (an entity which is controlled by, controls, or is under common control with,
Tenant), (ii) an assignment of the Premises to an entity which acquires all or substantially all of the assets or interests
(partnership, stock or other) of Tenant, (iii) an assignment of the Premises to an entity which is the resulting entity of
a merger or consolidation of Tenant, or (iv) a sale of corporate shares of capital stock in Tenant in connection with an initial
public offering of Tenant’s stock on a nationally-recognized stock exchange (collectively, a “Permitted Transferee”),
shall not be deemed a Transfer under this Article 14, provided that (A) Tenant notifies Landlord of any such assignment
or sublease and promptly supplies Landlord with any documents or information reasonably requested by Landlord regarding such assignment
or sublease or such affiliate, (B) such assignment or sublease is not a subterfuge by Tenant to avoid its obligations under this
Lease, (C) such Permitted Transferee shall be of a character and reputation consistent with the quality of the Building, and (D) such
Permitted Transferee shall have a tangible net worth (not including goodwill as an asset) computed in accordance with generally
accepted accounting principles (“Net Worth”) at least equal to the Net Worth of Tenant on the day immediately
preceding the effective date of such assignment or sublease. An assignee of Tenant’s entire interest that is also a Permitted
Transferee may also be known as a “Permitted Assignee”. “Control,” as used in this Section 14.8,
shall mean the ownership, directly or indirectly, of at least fifty-one percent (51%) of the voting securities of, or possession
of the right to vote, in the ordinary direction of its affairs, of at least fifty-one percent (51%) of the voting interest in,
any person or entity. No such permitted assignment or subletting shall serve to release Tenant from any of its obligations under
this Lease.

 

15. SURRENDER OF PREMISES; OWNERSHIP
AND REMOVAL OF TRADE FIXTURES

 

15.1 Surrender
of Premises. No act or thing done by Landlord or any agent or employee of Landlord during the Lease Term shall be deemed
to constitute an acceptance by Landlord of a surrender of the Premises unless such intent is specifically acknowledged in writing
by Landlord. The delivery of keys to the Premises to Landlord or any agent or employee of Landlord shall not constitute a surrender
of the Premises or effect a termination of this Lease, whether or not the keys are thereafter retained by Landlord, and notwithstanding
such delivery Tenant shall be entitled to the return of such keys at any reasonable time upon request until this Lease shall have
been properly terminated. The voluntary or other surrender of this Lease by Tenant, whether accepted by Landlord or not, or a mutual
termination hereof, shall not work a merger, and at the option of Landlord shall operate as an assignment to Landlord of all subleases
or subtenancies affecting the Premises or terminate any or all such sublessees or subtenancies.

 

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15.2 Removal
of Tenant Property by Tenant. Upon the expiration of the Lease Term, or upon any earlier termination of this Lease, Tenant
shall, subject to the provisions of this Article 15, quit and surrender possession of the Premises to Landlord in as good
order and condition as when Tenant took possession and as thereafter improved by Landlord and/or Tenant, reasonable wear and tear
and repairs which are specifically made the responsibility of Landlord hereunder excepted. Upon such expiration or termination,
Tenant shall, without expense to Landlord, remove or cause to be removed from the Premises all debris and rubbish, and such items
of furniture, equipment, free-standing cabinet work, movable partitions and other articles of personal property owned by Tenant
or installed or placed by Tenant at its expense in the Premises, and such similar articles of any other persons claiming under
Tenant, as Landlord may, in its sole discretion, require to be removed, and Tenant shall repair at its own expense all damage to
the Premises and Building resulting from such removal. In no event shall any Landlord’s Work be deemed to be Tenant’s
personal property, it being the intent that Tenant’s personal property includes only those items that are not built into
the Premises and that have not been constructed or installed by Landlord pursuant to the Work Letter.

 

15.3 Environmental
Assessment. Prior to the expiration of the Lease (or within thirty (30) days after any earlier termination), Tenant shall
clean and otherwise decommission all interior surfaces (including floors, walls, ceilings, and counters), piping, supply lines,
waste lines and plumbing in or serving the Premises, and all exhaust or other ductwork in or serving the Premises, in each case
that has carried, released or otherwise been exposed to any Hazardous Materials due to Tenant’s use or occupancy of the Premises,
and shall otherwise clean the Premises so as to permit the Environmental Assessment called for by this Section 15.3 to be
issued. Prior to the expiration of this Lease (or within thirty (30) days after any earlier termination), Tenant, at Tenant’s
expense, shall obtain for Landlord a report (an “Environmental Assessment”) addressed to Landlord (and, at Tenant’s
election, Tenant) by a reputable licensed environmental consultant or industrial hygienist that is designated by Tenant and acceptable
to Landlord in Landlord’s reasonable discretion, which report shall be based on the environmental consultant’s inspection
of the Premises and shall state, to the Landlord’s reasonable satisfaction, that (a) the Hazardous Materials described in
the first sentence of this paragraph, to the extent, if any, existing prior to such decommissioning, have been removed in accordance
with Applicable Laws; (b) all Hazardous Materials described in the first sentence of this paragraph, if any, have been removed
in accordance with Applicable Laws from the interior surfaces of the Premises (including floors, walls, ceilings, and counters),
piping, supply lines, waste lines and plumbing, and all such exhaust or other ductwork in the Premises, may be reused by a subsequent
tenant or disposed of in compliance with Applicable Laws without incurring special costs or undertaking special procedures for
demolition, disposal, investigation, assessment, cleaning or removal of such Hazardous Materials and without giving notice in connection
with such Hazardous Materials; and (c) the Premises may be reoccupied for office, research and development, or laboratory use,
demolished or renovated without incurring special costs or undertaking special procedures for disposal, investigation, assessment,
cleaning or removal of Hazardous Materials described in the first sentence of this paragraph and without giving notice in connection
with Hazardous Materials. Further, for purposes of clauses (b) and (c), “special costs” or “special procedures”
shall mean costs or procedures, as the case may be, that would not be incurred but for the nature of the Hazardous Materials as
Hazardous Materials instead of non-hazardous materials. The report shall also include reasonable detail concerning the clean-up
measures taken, the clean-up locations, the tests run and the analytic results. Tenant shall submit to Landlord the scope of the
proposed Environmental Assessment for Landlord’s reasonable review and approval at least 30 days prior to commencing the
work described therein or at least 60 days prior to the expiration of the Lease Term, whichever is earlier.

 

If Tenant fails to
perform its obligations under this Section 15.3 without limiting any other right or remedy, Landlord may, on five (5) business
days’ prior written notice to Tenant perform such obligations at Tenant’s expense if Tenant has not commenced to do
so within said five day period, and Tenant shall within 10 days of written demand reimburse Landlord for all reasonable out-of-pocket
costs and expenses incurred by Landlord in connection with such work. Tenant’s obligations under this Section 15.3
shall survive the expiration or earlier termination of this Lease. In addition, at Landlord’s election, Landlord may inspect
the Premises and/or the Project for Hazardous Materials at Landlord’s cost and expense within sixty (60) days of Tenant’s
surrender of the Premises at the expiration or earlier termination of this Lease. Tenant shall pay for all such costs and expenses
incurred by Landlord in connection with such inspection if such inspection reveals that a release of Hazardous Materials exists
at the Project or Premises as a proximate result of the acts or omission of Tenant, its officers, employees, contractors, and agents
(except to the extent resulting from (i) Hazardous Materials existing in the Premises as at the delivery of possession to Tenant
(in which event Landlord shall be responsible for any Clean-up, as provided in this Lease), or (ii) the acts or omissions of Landlord
or Landlord’s agents, employees or contractors).

 

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16. HOLDING OVER

 

If Tenant holds over
after the expiration of the Lease Term or earlier termination thereof, with the express or implied consent of Landlord, such tenancy
shall be from month-to-month only, and shall not constitute a renewal hereof or an extension for any further term. If Tenant holds
over after the expiration of the Lease Term of earlier termination thereof, without the express or implied consent of Landlord,
such tenancy shall be deemed to be a tenancy by sufferance only, and shall not constitute a renewal hereof or an extension for
any further term. In either case, Base Rent shall be payable at a monthly rate equal to one hundred fifty percent (150%) of the
Base Rent applicable during the last rental period of the Lease Term under this Lease. Such month-to-month tenancy or tenancy by
sufferance, as the case may be, shall be subject to every other applicable term, covenant and agreement contained herein. Nothing
contained in this Article 16 shall be construed as consent by Landlord to any holding over by Tenant, and Landlord expressly
reserves the right to require Tenant to surrender possession of the Premises to Landlord as provided in this Lease upon the expiration
or other termination of this Lease. The provisions of this Article 16 shall not be deemed to limit or constitute a waiver
of any other rights or remedies of Landlord provided herein or at law. If Tenant fails to surrender the Premises upon the termination
or expiration of this Lease, in addition to any other liabilities to Landlord accruing therefrom, Tenant shall protect, defend,
indemnify and hold Landlord harmless from all loss, costs (including reasonable attorneys’ fees) and liability resulting
from such failure, including, without limiting the generality of the foregoing, any claims made by any succeeding tenant founded
upon such failure to surrender and any lost profits to Landlord resulting therefrom.

 

17. ESTOPPEL CERTIFICATES

 

Within ten (10) business
days following a request in writing by Landlord, Tenant shall execute, acknowledge and deliver to Landlord an estoppel certificate,
which, as submitted by Landlord, shall be substantially in the form of Exhibit F, attached hereto (or such other
commercially reasonable form as may be required by any prospective mortgagee or purchaser of the Project, or any portion thereof),
indicating therein any exceptions thereto that may exist at that time, and shall also contain any other information reasonably
requested by Landlord or Landlord’s mortgagee or prospective mortgagee. Any such certificate may be relied upon by any prospective
mortgagee or purchaser of all or any portion of the Project. Tenant shall execute and deliver whatever other instruments may be
reasonably required for such purposes. At any time during the Lease Term, but not more than twice per year, Landlord may require
Tenant to provide Landlord with a current financial statement and financial statements of the two (2) years prior to the current
financial statement year. Such statements shall be prepared in accordance with generally accepted accounting principles and, if
such is the normal practice of Tenant, shall be audited by an independent certified public accountant. Failure of Tenant to timely
execute, acknowledge and deliver such estoppel certificate or other instruments shall constitute an acceptance of the Premises
and an acknowledgment by Tenant that statements included in the estoppel certificate are true and correct, without exception.

 

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18. SUBORDINATION

 

This Lease shall be
subject and subordinate to all present and future ground or underlying leases of the Building or Project and to the lien of any
mortgage, trust deed or other encumbrances now or hereafter in force against the Building or Project or any part thereof, if any,
and to all renewals, extensions, modifications, consolidations and replacements thereof, and to all advances made or hereafter
to be made upon the security of such mortgages or trust deeds, unless the holders of such mortgages, trust deeds or other encumbrances,
or the lessors under such ground lease or underlying leases, require in writing that this Lease be superior thereto. Tenant covenants
and agrees in the event any proceedings are brought for the foreclosure of any such mortgage or deed in lieu thereof (or if any
ground lease is terminated), to attorn, without any deductions or set-offs whatsoever, to the lienholder or purchaser or any successors
thereto upon any such foreclosure sale or deed in lieu thereof (or to the ground lessor), if so requested to do so by such purchaser
or lienholder or ground lessor, and to recognize such purchaser or lienholder or ground lessor as the lessor under this Lease,
provided such lienholder or purchaser or ground lessor shall agree to accept this Lease and not disturb Tenant’s occupancy,
so long as Tenant timely pays the rent and observes and performs the terms, covenants and conditions of this Lease to be observed
and performed by Tenant. Landlord’s delivery to Tenant of commercially reasonable non-disturbance agreement(s) in favor of
Tenant from any ground lessors, mortgage holders or lien holders of Landlord who come into existence following the date hereof
but prior to the expiration of the Lease Term shall be in consideration of, and a condition precedent to, Tenant’s agreement
to subordinate this Lease to any such ground lease, mortgage or lien. Landlord’s interest herein may be assigned as security
at any time to any lienholder. Tenant shall, within ten (10) business days of request by Landlord, execute such further commercially
reasonable instruments or assurances as Landlord may reasonably deem necessary to evidence or confirm the subordination or superiority
of this Lease to any such mortgages, trust deeds, ground leases or underlying leases. Tenant waives the provisions of any current
or future statute, rule or law which may give or purport to give Tenant any right or election to terminate or otherwise adversely
affect this Lease and the obligations of the Tenant hereunder in the event of any foreclosure proceeding or sale.

 

19. DEFAULTS; REMEDIES

 

19.1 Events
of Default. The occurrence of any of the following shall constitute a default of this Lease by Tenant:

 

19.1.1 Any
failure by Tenant to pay any Rent or any other charge required to be paid under this Lease, or any part thereof, when due unless
such failure is cured within five (5) days after written notice from Landlord, provided, however in no event shall Landlord be
required to give notice of late Rent or other payment more than once in a calendar year and the second time any payment is late
during such calendar year shall constitute an automatic default; or

 

19.1.2 Except
where a specific time period is otherwise set forth for Tenant’s performance in this Lease, in which event the failure to
perform by Tenant within such time period shall be a default by Tenant under this Section 19.1.2, any failure by Tenant
to observe or perform any other provision, covenant or condition of this Lease to be observed or performed by Tenant where such
failure continues for thirty (30) days after written notice thereof from Landlord to Tenant; provided that if the nature of such
default is such that the same cannot reasonably be cured within a thirty (30) day period, Tenant shall not be deemed to be in default
if it diligently commences such cure within such period and thereafter diligently proceeds to rectify and cure such default; or

 

19.1.3 Abandonment
of the Premises by Tenant for more than thirty (30) days along with the failure to perform any obligation under this Lease; or

 

19.1.4 The
failure by Tenant to observe or perform according to the provisions of Articles 5, 14, 17 or 18 of
this Lease where such failure continues for more than three (3) business days after notice from Landlord.

 

The notice periods
provided herein are in lieu of, and not in addition to, any notice periods provided by law.

 

19.2 Remedies
Upon Default. Upon the occurrence of any event of default by Tenant, Landlord shall have, in addition to any other remedies
available to Landlord at law or in equity (all of which remedies shall be distinct, separate and cumulative), the option to pursue
any one or more of the following remedies, each and all of which shall be cumulative and nonexclusive, without any separate notice
or demand whatsoever.

 

19.2.1 Landlord
may, immediately or at any time thereafter, elect to terminate this Lease by notice of termination, by entry, or by any other means
available under law and may recover possession of the Premises as provided herein. Upon termination by notice, by entry, or by
any other means available under law, Landlord shall be entitled immediately, in the case of termination by notice or entry, and
otherwise in accordance with the provisions of law to recover possession of the Premises from Tenant and those claiming through
or under the Tenant. Such termination of this Lease and repossession of the Premises shall be without prejudice to any remedies
which Landlord might otherwise have for arrears of rent or for a prior breach of the provisions of this Lease. Tenant waives any
statutory notice to quit and equitable rights in the nature of further cure or redemption, and Tenant agrees that upon Landlord’s
termination of this Lease Landlord shall be entitled to re-entry and possession in accordance with the terms hereof. Landlord may,
without notice, store Tenant’s personal property (and those of any person claiming under Tenant) at the expense and risk
of Tenant or, if Landlord so elects, Landlord may sell such personal property at public auction or auctions or at private sale
or sales after seven days’ notice to Tenant and apply the net proceeds to the earliest of installments of rent or other charges
owing Landlord. Tenant agrees that a notice by Landlord alleging any default shall, at Landlord’s option (the exercise of
such option shall be indicated by the inclusion of the words “notice to quit” in such notice), constitute a statutory
notice to quit. If Landlord exercises its option to designate a notice of default hereunder as a statutory notice to quit, any
grace periods provided for herein shall run concurrently with any statutory notice periods.

 

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19.2.2 In
the case of termination of this Lease pursuant to Section 19.2.1, Tenant shall reimburse Landlord for all expenses
arising out of such termination, including without limitation, all reasonable costs incurred in collecting amounts due from Tenant
under this Lease (including reasonable attorneys’ fees, costs of litigation and the like); all expenses incurred by Landlord
in attempting to relet the Premises or parts thereof (including advertisements, brokerage commissions, Tenant’s allowances,
costs of preparing space, and the like); and all Landlord’s other reasonable expenditures necessitated by the termination.
The reimbursement from Tenant shall be due and payable immediately from time to time upon notice from Landlord that an expense
has been incurred, without regard to whether the expense was incurred before or after the termination.

 

19.2.3 Landlord
may elect by written notice to Tenant within one year following such termination to be indemnified for loss of rent by a lump sum
payment representing the then present value of the amount of Rent that would have been paid in accordance with this Lease for the
remainder of the Lease Term minus the then present value of the aggregate fair market rent and additional charges payable for the
Premises for the remainder of the Lease Term (if less than the Rent payable hereunder), estimated as of the date of the termination,
and taking into account reasonable projections of vacancy and time required to re-lease the Premises. (For the purposes of calculating
the Rent that would have been paid hereunder for the lump sum payment calculation described herein, the last full year’s
Additional Rent under Article 4 is to be deemed constant for each year thereafter. The Federal Reserve discount rate (or
equivalent) shall be used in calculating present values.) Should the parties be unable to agree on a fair market rent, the matter
shall be submitted, upon the demand of either party, to the Charlotte, North Carolina office of the American Arbitration Association,
with a request for arbitration in accordance with the rules of the Association by a single arbitrator who shall be an MAI appraiser
with at least ten years’ experience as an appraiser of life sciences buildings in the Research Triangle Park and Durham markets.
The parties agree that a decision of the arbitrator shall be conclusive and binding upon them. If, at the end of the Lease Term,
the rent that Landlord has actually received from the Premises is less than the aggregate fair market rent estimated as aforesaid,
Tenant shall thereupon pay Landlord the amount of such difference. If and for so long as Landlord does not make the election provided
for in this Section 19.2.3, Tenant shall indemnify Landlord for the loss of Rent by a payment at the end of each month
which would have been included in the Lease Term, representing the excess of the Rent that would have been paid in accordance with
this Lease (Base Rent together with any Additional Rent that would have been payable under Article 4, to be ascertained
monthly) over the rent actually derived from the Premises by Landlord for such month (the amount of rent deemed derived shall be
the actual amount less any portion thereof attributable to Landlord’s reletting expenses described in Section 19.2.2
that have not been reimbursed by Tenant thereunder).

 

19.2.4 Intentionally
Omitted.

 

19.2.5 In
lieu of any other damages or indemnity and in lieu of full recovery by Landlord of all sums payable under all the foregoing provisions
of this Section 19.2, Landlord may by written notice to Tenant within six (6) months after termination under any
of the provisions contained in Section 19.1 and before such full recovery, elect to recover, and Tenant shall thereupon
pay, as minimum liquidated damages under this Section 19.2, an amount equal to the lesser of (i) the aggregate
of the Base Rent and Additional Rent for the balance of the Lease Term had it not been terminated or (ii) the aggregate thereof
for the 12 months ending one year after the termination date, plus in either case (iii) the amount of Base Rent and Additional
Rent of any kind accrued and unpaid at the time of termination and minus (iv) the amount of any recovery by Landlord under
the foregoing provisions of this Section 19.2 up to the time of payment of such liquidated damages (but reduced by
any amounts of reimbursement under Section 19.2.2). Liquidated damages hereunder shall not be in lieu of any claims
for reimbursement under Section 19.2.2.

 

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19.2.6 If
Landlord does not elect to terminate this Lease on account of any default by Tenant, Landlord may, from time to time, without terminating
this Lease, enforce all of its rights and remedies under this Lease, including the right to recover all rent as it becomes due.

 

19.2.7 Landlord
shall at all times have the rights and remedies (which shall be cumulative with each other and cumulative and in addition to those
rights and remedies available under Sections 19.2.1 and 19.2.2, above, or any law or other provision of this Lease), without
prior demand or notice except as required by Applicable Law, to seek any declaratory, injunctive or other equitable relief, and
specifically enforce this Lease, or restrain or enjoin a violation or breach of any provision hereof. The provisions of this Section
19.2.7 are not dependent upon the occurrence of a default.

 

19.2.8 Any
obligation imposed by law upon Landlord to relet the Premises after any termination of the Lease shall be subject to the reasonable
requirements of Landlord to lease to high quality tenants on such terms as Landlord may from time to time reasonable deem appropriate
and to develop the Building in a harmonious manner with an appropriate mix of uses, tenants, floor areas and terms of tenancies,
and the like, and Landlord shall not be obligated to relet the Premises to any party to whom Landlord or its affiliate may desire
to lease other available space in the Building.

 

19.2.9 Nothing
herein shall limit or prejudice the right of Landlord to prove and obtain in a proceeding for bankruptcy, insolvency, arrangement
or reorganization, by reason of the termination, an amount equal to the maximum allowed by a statute of law in effect at the time
when, and governing the proceedings in which, the damages are to be proved, whether or not the amount is greater to, equal to,
or less than the amount of the loss or damage which Landlord has suffered.

 

19.3 Subleases
of Tenant. Whether or not Landlord elects to terminate this Lease on account of any default by Tenant, as set forth in
this Article 19, Landlord shall have the right to terminate any and all subleases, licenses, concessions or other consensual
arrangements for possession entered into by Tenant and affecting the Premises or may, in Landlord’s sole discretion, succeed
to Tenant’s interest in such subleases, licenses, concessions or arrangements. In the event of Landlord’s election
to succeed to Tenant’s interest in any such subleases, licenses, concessions or arrangements, Tenant shall, as of the date
of notice by Landlord of such election, have no further right to or interest in the rent or other consideration receivable thereunder.

 

19.4 Efforts
to Relet. No re-entry or repossession, repairs, maintenance, changes, alterations and additions, reletting, appointment
of a receiver to protect Landlord’s interests hereunder, or any other action or omission by Landlord shall be construed as
an election by Landlord to terminate this Lease or Tenant’s right to possession, or to accept a surrender of the Premises,
nor shall same operate to release Tenant in whole or in part from any of Tenant’s obligations hereunder, unless express written
notice of such intention is sent by Landlord to Tenant. Tenant hereby irrevocably waives any right otherwise available under any
law to redeem or reinstate this Lease.

 

19.5 Landlord
Default.

 

19.5.1 General.
Notwithstanding anything to the contrary set forth in this Lease, Landlord shall not be in default in the performance of any obligation
required to be performed by Landlord pursuant to this Lease unless Landlord fails to perform such obligation within thirty (30)
days after the receipt of notice from Tenant specifying in detail Landlord’s failure to perform; provided, however, if the
nature of Landlord’s obligation is such that more than thirty (30) days are required for its performance, then Landlord shall
not be in default under this Lease if it shall commence such performance within such thirty (30) day period and thereafter diligently
pursue the same to completion. Upon any such default by Landlord under this Lease, Tenant may, except as otherwise specifically
provided in this Lease to the contrary, exercise any of its rights provided at law or in equity.

 

19.5.2 Intentionally
Omitted.

 

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20. COVENANT OF QUIET ENJOYMENT

 

Landlord covenants
that Tenant, on paying the Rent, charges for services and other payments herein reserved and on keeping, observing and performing
all the other terms, covenants, conditions, provisions and agreements herein contained on the part of Tenant to be kept, observed
and performed, shall, during the Lease Term, peaceably and quietly have, hold and enjoy the Premises subject to the terms, covenants,
conditions, provisions and agreements hereof without interference by any persons lawfully claiming by or through Landlord. The
foregoing covenant is in lieu of any other covenant express or implied.

 

21. SECURITY DEPOSIT

 

21.1 Concurrently
with Tenant’s execution and delivery of this Lease, Tenant shall deposit with Landlord cash in the amount set forth in Section
9 of the Summary as security for the faithful performance by Tenant of all of its obligations under this Lease. The Security
Deposit shall be held by Landlord as security for the faithful performance by Tenant of all of the terms, covenants and conditions
of this Lease to be kept and performed by Tenant during the period commencing on the Execution Date and ending upon the expiration
or termination of Tenant’s obligations under this Lease. After an Event of Default Landlord may (but shall not be required
to) use, apply or retain all or any part of the Security Deposit for the payment of any Rent or any other sum in default, or to
compensate Landlord for any other loss or damage that Landlord may suffer by reason of Tenant’s default as provided in this
Lease. The provisions of this Article shall survive the expiration or earlier termination of this Lease. In the event of bankruptcy
or other debtor-creditor proceedings against Tenant, the Security Deposit then being held by Landlord shall be deemed to be applied
first to the payment of Rent and other charges due Landlord for all periods prior to the filing of such proceedings. Landlord shall
deliver or credit to any purchaser of Landlord’s interest in the Premises the funds then held hereunder by Landlord, and
thereupon (and upon confirmation by the transferee of such funds, whether expressly or by written assumption of this Lease, generally)
Landlord shall be discharged from any further liability with respect to such funds. This provision shall also apply to any subsequent
transfers. If Tenant shall fully and faithfully perform every provision of this Lease to be performed by it, then the Security
Deposit, if any, or any balance thereof, shall be returned to Tenant (or, at Landlord’s option, to the last assignee of Tenant’s
interest hereunder) within 90 days after the expiration or earlier termination of this Lease. Landlord shall hold the Security
Deposit in an account at a banking organization selected by Landlord; provided, however, that Landlord shall not be required to
maintain a separate account for the Security Deposit, but may intermingle it with other funds of Landlord. Landlord shall be entitled
to all interest and/or dividends, if any, accruing on such Security Deposit.

 

22. INTENTIONALLY
OMITTED

 

23. SIGNS

 

23.1 Interior
Signage. Intentionally Omitted.

 

23.2 Exterior
Signage. Subject to Landlord’s prior written approval, in its reasonable discretion, and provided all signs are in
keeping with the quality, design and style of the Building and Project, Tenant, at its sole cost and expense, may install one sign
identifying Tenant at the entry to the Premises which identification signage shall be consistent with building standard signage
as determined by Landlord. All permitted signs shall be maintained by Tenant at its expense in a first-class and safe condition
and appearance. Upon the expiration or earlier termination of this Lease, Tenant shall remove all of its signs at Tenant’s
sole cost and expense. Tenant shall repair any damage to the Premises or Project, inside or outside, resulting from the erection,
maintenance or removal of any signs. Tenant’s signage must also comply with all Applicable Laws, as defined below. All Building
signage shall be subject to the existing rights of other tenants in the Building and any declaration of covenants for the Project.

 

23.3 Prohibited
Signage and Other Items. Any signs, notices, logos, pictures, names or advertisements which are installed and that have
not been separately approved by Landlord may be removed without notice by Landlord at the sole expense of Tenant. Tenant may not
install any signs on the exterior or roof of the Project or the Common Areas. Any signs, window coverings, or blinds (even if the
same are located behind the Landlord-approved window coverings for the Building), or other items visible from the exterior of the
Premises or Building, shall be subject to the prior approval of Landlord, in its sole discretion. Tenant shall not place or install
any projections, antennae, aerials, or similar devices inside or outside of the Building, without the prior written approval of
Landlord (not to be unreasonably withheld, conditioned, or delayed), subject to Tenant’s rights pursuant to Section 23.2,
above.

 

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24. COMPLIANCE WITH LAW

 

Tenant shall not do
anything or suffer anything to be done in or about the Premises or the Project which will conflict with any law, statute, ordinance
or other governmental rule, regulation or requirement now in force or which may hereafter be enacted or promulgated (collectively,
“Applicable Laws”). At its sole cost and expense, Tenant shall promptly comply with all such Applicable Laws
which relate to (i) Tenant’s use of the Premises, (ii)  any Alterations or Tenant Improvements, or (iii) the
Building, but as to the Building (and as to any improvements to exterior walls, structural floors and the portions of the electrical,
heating, ventilation and air conditioning and other systems of the Building that serve other tenants and that are located within
the Premises), only to the extent such obligations are triggered by Alterations or Tenant Improvements, or Tenant’s use of
the Premises for non-general office and laboratory use. Tenant shall be responsible, at its sole cost and expense, to make all
alterations to the Premises as are required to comply with the Applicable Laws to the extent required in this Article 24.
Notwithstanding the foregoing terms of this Article 24 to the contrary, Tenant may defer such compliance with Applicable
Laws while Tenant contests, in a court of proper jurisdiction, in good faith, the applicability of such Applicable Laws to the
Premises or Tenant’s specific use or occupancy of the Premises; provided, however, Tenant may only defer such compliance
if such deferral shall not (a) prohibit Tenant from obtaining or maintaining a certificate of occupancy for the Premises,
(b) prohibit Landlord from obtaining or maintaining a certificate of occupancy for the Building or any portion thereof, (c) unreasonably
and materially affect the safety of the employees and/or invitees of Landlord or of any tenant in the Building (including Tenant),
(d) create a significant health hazard for the employees and/or invitees of Landlord or of any tenant in the Building (including
Tenant), (e) otherwise materially and adversely affect Tenant’s use of or access to the Buildings or the Premises, or
(f) impose material obligations, liability, fines, or penalties upon Landlord or any other tenant of the Building, or would
materially and adversely affect the use of or access to the Building by Landlord or other tenants or invitees of the Building.
The judgment of any court of competent jurisdiction or the admission of Tenant in any judicial action, regardless of whether Landlord
is a party thereto, that Tenant has violated any of said governmental measures, shall be conclusive of that fact as between Landlord
and Tenant. Landlord shall comply with all Applicable Laws relating to the Base Building and Common Areas, provided that compliance
with such Applicable Laws is not the responsibility of Tenant under this Lease, and provided further that Landlord’s failure
to comply therewith would prohibit Tenant from obtaining or maintaining a certificate of occupancy for the Premises, or would unreasonably
and materially affect the safety of Tenant’s employees or create a significant health hazard for Tenant’s employees,
or would otherwise materially and adversely affect Tenant’s use of or access to the Premises. Landlord shall be permitted
to include in Operating Expenses any costs or expenses incurred by Landlord under this Article 24 to the extent not
prohibited by the terms of Section 4.2.7 above.

 

25. LATE CHARGES

 

If any installment
of Rent or any other sum due from Tenant shall not be received by Landlord or Landlord’s designee within five (5) business
days after Tenant’s receipt of written notice from Landlord that said amount is due, then Tenant shall pay to Landlord a
late charge equal to five percent (5%) of the overdue amount plus any reasonable attorneys’ fees incurred by Landlord by
reason of Tenant’s failure to pay Rent and/or other charges when due hereunder. Notwithstanding the foregoing, Landlord shall
not charge Tenant a late charge for the first (1st) late payment in any twelve (12) month period (but in no
event with respect to any subsequent late payment in any twelve (12) month period) during the Lease Term that Tenant fails to timely
pay Rent or another sum due under this Lease, provided that such late payment is made within three (3) days following the expiration
of the five (5) business day period set forth in the first sentence of this Article 25. The late charge shall be deemed
Additional Rent and the right to require it shall be in addition to all of Landlord’s other rights and remedies hereunder
or at law and shall not be construed as liquidated damages or as limiting Landlord’s remedies in any manner. In addition
to the late charge described above, any Rent or other amounts owing hereunder which are not paid when due shall bear interest from
the date when due until paid at a rate per annum equal to the lesser of (i) the annual “Bank Prime Loan” rate
cited in the Federal Reserve Statistical Release Publication G.13(415), published on the first Tuesday of each calendar month (or
such other comparable index as Landlord and Tenant shall reasonably agree upon if such rate ceases to be published) plus four (4)
percentage points, and (ii) the highest rate permitted by Applicable Law.

 

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26. LANDLORD’S RIGHT TO
CURE DEFAULT; PAYMENTS BY TENANT

 

26.1 Landlord’s
Cure. All covenants and agreements to be kept or performed by Tenant under this Lease shall be performed by Tenant at Tenant’s
sole cost and expense and without any reduction of Rent, except to the extent, if any, otherwise expressly provided herein. If
Tenant shall fail to perform any obligation under this Lease, and such failure shall continue after notice in excess of the time
allowed under Section 19.1.2, above, unless a specific time period is otherwise stated in this Lease, Landlord may,
but shall not be obligated to, make any such payment or perform any such act on Tenant’s part without waiving its rights
based upon any default of Tenant and without releasing Tenant from any obligations hereunder.

 

26.2 Tenant’s
Reimbursement. Except as may be specifically provided to the contrary in this Lease, Tenant shall pay to Landlord, upon
delivery by Landlord to Tenant of statements therefor: (i) sums equal to expenditures reasonably made and obligations incurred
by Landlord in connection with the remedying by Landlord of Tenant’s defaults pursuant to the provisions of Section 26.1;
(ii) sums equal to all losses, costs, liabilities, damages and expenses referred to in Article 10 of this Lease; and (iii)
sums equal to all expenditures made and obligations incurred by Landlord in collecting or attempting to collect the Rent or in
enforcing or attempting to enforce any rights of Landlord under this Lease or pursuant to law, including, without limitation, all
reasonable legal fees and other amounts so expended. Tenant’s obligations under this Section 26.2 shall survive
the expiration or sooner termination of the Lease Term.

 

27. ENTRY BY LANDLORD

 

Provided, however,
that any such entry by Landlord shall (i) remain subject to Tenant’s reasonable security and privacy measures; and (ii) not
unreasonably interfere with Tenant’s use and occupancy of the Premises, or the conduct of its business therein, then Landlord
reserves the right at all reasonable times and upon not less than one (1) day’s prior notice to Tenant (except in the case
of an emergency) to enter the Premises to (i) inspect them; (ii) show the Premises to prospective purchasers, or to current or
prospective mortgagees, ground or underlying lessors or insurers or, during the last nine (9) months of the Lease Term, to prospective
tenants; (iii) post notices of nonresponsibility (to the extent applicable pursuant to then Applicable Law); or (iv) alter, improve
or repair the Premises or the Building, or for structural alterations, repairs or improvements to the Building or the Building’s
systems and equipment; provided, however, that Landlord shall take reasonable efforts to protect the confidentiality of the Tenant’s
confidential information contained in the Premises. Provided that Landlord employs commercially reasonable efforts to minimize
interference with the conduct of Tenant’s business in connection with entries into the Premises, Landlord may make any such
entries without the abatement of Rent, except as otherwise provided in this Lease, and shall take such reasonable steps as required
to accomplish the stated purposes. In an emergency, Landlord shall have the right to use any means that Landlord may deem proper
to open the doors in and to the Premises. Any entry into the Premises by Landlord in the manner hereinbefore described shall not
be deemed to be a forcible or unlawful entry into, or a detainer of, the Premises, or an actual or constructive eviction of Tenant
from any portion of the Premises.

 

28. TENANT PARKING

 

Tenant shall have the
right, without the payment of any parking charge or fee (other than as a reimbursement of operating expenses to the extent allowed
pursuant to the terms of Article 4 of this Lease, above), commencing on the Lease Commencement Date, to use the amount
of unreserved parking spaces set forth in Section 10 of the Summary, on a monthly basis throughout the Lease Term,
which parking spaces shall pertain to the on-site and/or off-site, as the case may be, parking facility (or facilities) which serve
the Project. Notwithstanding the foregoing, Tenant shall be responsible for the full amount of any taxes imposed by any governmental
authority in connection with the renting of such parking spaces by Tenant or the use of the parking facility by Tenant. Tenant’s
continued right to use the parking spaces is conditioned upon Tenant abiding by all rules and regulations which are prescribed
from time to time for the orderly operation and use of the parking facility where the parking spaces are located (including any
sticker or other identification system established by Landlord and the prohibition of vehicle repair and maintenance activities
in the parking facilities), and shall reasonably cooperate in seeing that Tenant’s employees and visitors also comply with
such rules and regulations. Tenant’s use of the Project parking facility shall be at Tenant’s sole risk and Tenant
acknowledges and agrees that Landlord shall have no liability whatsoever for damage to the vehicles of Tenant, its employees and/or
visitors, or for other personal injury or property damage or theft relating to or connected with the parking rights granted herein
or any of Tenant’s, its employees’ and/or visitors’ use of the parking facilities.

 

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29. MISCELLANEOUS PROVISIONS

 

29.1 Terms;
Captions. The words “Landlord” and “Tenant” as used herein shall include the plural
as well as the singular. The necessary grammatical changes required to make the provisions hereof apply either to corporations
or partnerships or individuals, men or women, as the case may require, shall in all cases be assumed as though in each case fully
expressed. The captions of Articles and Sections are for convenience only and shall not be deemed to limit, construe, affect or
alter the meaning of such Articles and Sections.

 

29.2 Binding
Effect. Subject to all other provisions of this Lease, each of the covenants, conditions and provisions of this Lease shall
extend to and shall, as the case may require, bind or inure to the benefit not only of Landlord and of Tenant, but also of their
respective heirs, personal representatives, successors or assigns, provided this clause shall not permit any assignment by Tenant
contrary to the provisions of Article 14 of this Lease.

 

29.3 No
Air Rights. No rights to any view or to light or air over any property, whether belonging to Landlord or any other person,
are granted to Tenant by this Lease. If at any time any windows of the Premises are temporarily darkened or the light or view therefrom
is obstructed by reason of any repairs, improvements, maintenance or cleaning in or about the Project, the same shall be without
liability to Landlord and without any reduction or diminution of Tenant’s obligations under this Lease.

 

29.4 Modification
of Lease. Should any current or prospective mortgagee or ground lessor for the Building or Project require a modification
of this Lease, which modification will not cause an increased cost or expense to Tenant or in any other way materially and adversely
change the rights and obligations of Tenant hereunder, then and in such event, Tenant agrees that this Lease may be so modified
and agrees to execute whatever documents are reasonably required therefor and to deliver the same to Landlord within ten (10) business
days following a request therefor. At the request of Landlord or any mortgagee or ground lessor, Tenant agrees to execute a short
form of Lease and deliver the same to Landlord within ten (10) business days following the request therefor.

 

29.5 Transfer
of Landlord’s Interest. Tenant acknowledges that Landlord has the right to transfer all or any portion of its interest
in the Project or Building and in this Lease, and Tenant agrees that in the event of any such transfer, Landlord shall automatically
be released from all liability under this Lease and Tenant agrees to look solely to such transferee for the performance of Landlord’s
obligations hereunder after the date of transfer and such transferee shall be deemed to have fully assumed and be liable for all
obligations of this Lease to be performed by Landlord, including the return of any Security Deposit, and Tenant shall attorn to
such transferee.

 

29.6 Prohibition
Against Recording. In the event this Lease, a copy or any notice or memorandum thereof shall be recorded by Tenant without
Landlord’s consent, then such recording shall constitute a default by Tenant under Article 19 hereof entitling
Landlord to immediately terminate this Lease. At the request of either Landlord or Tenant, the parties shall execute a memorandum
of lease in recordable form containing only such information as is necessary to constitute a notice of lease under North Carolina
law. All costs of preparation and recording such notice shall be borne by party requesting the memorandum. At the expiration or
earlier termination of this Lease, Tenant shall provide Landlord with an executed termination of the memorandum in recordable form,
which obligation shall survive such expiration or earlier termination.

 

29.7 Landlord’s
Title. Landlord’s title is and always shall be paramount to the title of Tenant. Nothing herein contained shall empower
Tenant to do any act which can, shall or may encumber the title of Landlord.

 

29.8 Relationship
of Parties. Nothing contained in this Lease shall be deemed or construed by the parties hereto or by any third party to
create the relationship of principal and agent, partnership, joint venturer or any association between Landlord and Tenant.

 

    -35-

     

    

 

29.9 Application
of Payments. Landlord shall have the right to apply payments received from Tenant pursuant to this Lease, regardless of
Tenant’s designation of such payments, to satisfy any obligations of Tenant hereunder, in such order and amounts as Landlord,
in its sole discretion, may elect.

 

29.10 Time
of Essence. Time is of the essence with respect to the performance of every provision of this Lease in which time of performance
is a factor.

 

29.11 Partial
Invalidity. If any term, provision or condition contained in this Lease shall, to any extent, be invalid or unenforceable,
the remainder of this Lease, or the application of such term, provision or condition to persons or circumstances other than those
with respect to which it is invalid or unenforceable, shall not be affected thereby, and each and every other term, provision and
condition of this Lease shall be valid and enforceable to the fullest extent possible permitted by law.

 

29.12 No
Warranty. In executing and delivering this Lease, Tenant has not relied on any representations, including, but not limited
to, any representation as to the amount of any item comprising Additional Rent or the amount of the Additional Rent in the aggregate
or that Landlord is furnishing the same services to other tenants, at all, on the same level or on the same basis, or any warranty
or any statement of Landlord which is not set forth herein or in one or more of the exhibits attached hereto.

 

29.13 Landlord
Exculpation. The liability of Landlord or the Landlord Parties to Tenant for any default by Landlord under this Lease or
arising in connection herewith or with Landlord’s operation, management, leasing, repair, renovation, alteration or any other
matter relating to the Project or the Premises shall be limited solely and exclusively to an amount which is equal to the interest
of Landlord in the Building (including rental income and insurance/condemnation proceeds). Neither Landlord, nor any of the Landlord
Parties shall have any personal liability therefor, and Tenant hereby expressly waives and releases such personal liability on
behalf of itself and all persons claiming by, through or under Tenant. The limitations of liability contained in this Section 29.13
shall inure to the benefit of Landlord’s and the Landlord Parties’ present and future partners, beneficiaries, officers,
directors, trustees, shareholders, agents and employees, and their respective partners, heirs, successors and assigns. Under no
circumstances shall any present or future partner of Landlord (if Landlord is a partnership), or trustee or beneficiary (if Landlord
or any partner of Landlord is a trust), have any liability for the performance of Landlord’s obligations under this Lease.
Notwithstanding any contrary provision herein, neither Landlord nor the Landlord Parties shall be liable under any circumstances
for consequential or indirect damages, including without limitation injury or damage to, or interference with, Tenant’s business,
including but not limited to, loss of profits, loss of rents or other revenues, loss of business opportunity, loss of goodwill
or loss of use, in each case, however occurring.

 

29.14 Entire
Agreement. It is understood and acknowledged that there are no oral agreements between the parties hereto affecting this
Lease and this Lease constitutes the parties’ entire agreement with respect to the leasing of the Premises and supersedes
and cancels any and all previous negotiations, arrangements, brochures, agreements and understandings, if any, between the parties
hereto or displayed by Landlord to Tenant with respect to the subject matter thereof, and none thereof shall be used to interpret
or construe this Lease. None of the terms, covenants, conditions or provisions of this Lease can be modified, deleted or added
to except in writing signed by the parties hereto.

 

29.15 Right
to Lease. Landlord reserves the absolute right to effect such other tenancies in the Project as Landlord in the exercise
of its sole business judgment shall determine to best promote the interests of the Building or Project. Tenant does not rely on
the fact, nor does Landlord represent, that any specific tenant or type or number of tenants shall, during the Lease Term, occupy
any space in the Building or Project.

 

29.16 Force
Majeure. Any prevention, delay or stoppage due to strikes, lockouts, labor disputes, acts of God, acts of war, terrorist
acts, governmental action or inaction, inability to obtain services, labor, or materials or reasonable substitutes therefor, governmental
actions, civil commotions, fire or other casualty, and other causes beyond the reasonable control of the party obligated to perform,
except with respect to the obligations imposed with regard to Rent and other charges to be paid by Tenant pursuant to this Lease
(collectively, a “Force Majeure”), notwithstanding anything to the contrary contained in this Lease, shall excuse
the performance of such party for a period equal to any such prevention, delay or stoppage and, therefore, if this Lease specifies
a time period for performance of an obligation of either party, that time period shall be extended by the period of any delay in
such party’s performance caused by a Force Majeure.

 

    -36-

     

    

 

29.17 Waiver
of Redemption by Tenant. Tenant hereby waives, for Tenant and for all those claiming under Tenant, any and all rights now
or hereafter existing to redeem by order or judgment of any court or by any legal process or writ, Tenant’s right of occupancy
of the Premises after any termination of this Lease.

 

29.18 Notices.
All notices, demands, statements, designations, approvals or other communications (collectively, “Notices”)
given or required to be given by either party to the other hereunder or by law shall be in writing, shall be (A) sent by United
States certified or registered mail, postage prepaid, return receipt requested (“Mail”), (B) delivered by a
nationally recognized overnight courier, or (C) delivered personally. Any Notice shall be sent, transmitted, or delivered, as the
case may be, to Tenant at the appropriate address set forth in Section 11 of the Summary, or to such other place as
Tenant may from time to time designate in a Notice to Landlord, or to Landlord at the addresses set forth below, or to such other
places as Landlord may from time to time designate in a Notice to Tenant. Any Notice will be deemed given (i) three (3) days after
the date it is posted if sent by Mail, (ii) the date the overnight courier delivery is made, or (iii) the date personal delivery
is made. As of the date of this Lease, any Notices to Landlord must be sent, transmitted, or delivered, as the case may be, to
the following addresses:

 

DURHAM
ROYAL CENTER, LLC

c/o Longfellow Real Estate Partners

260 Franklin Street, Suite 1920

Boston, MA 02110

Attention: Asset Management

 

And

 

David E. Wagner

K&L Gates LLP

4350 Lassiter at North Hills Avenue

Suite 300 (27609)

Post Office Box 17047

Raleigh, North Carolina 27619-7047

 

29.19 Joint
and Several. If there is more than one Tenant, the obligations imposed upon Tenant under this Lease shall be joint and
several.

 

29.20 Authority.
If Tenant is a corporation, trust or partnership, Tenant hereby represents and warrants that Tenant is a duly formed and existing
entity qualified to do business in the State of Delaware and that Tenant has full right and authority to execute and deliver this
Lease and that each person signing on behalf of Tenant is authorized to do so. In such event, Tenant shall, within ten (10) days
after execution of this Lease, deliver to Landlord satisfactory evidence of such authority and, if a corporation, upon demand by
Landlord, also deliver to Landlord satisfactory evidence of (i) good standing in Tenant’s state of incorporation and (ii)
qualification to do business in the State of North Carolina.

 

29.21 Attorneys’
Fees. In the event that either Landlord or Tenant should bring suit for the possession of the Premises, for the recovery
of any sum due under this Lease, or because of the breach of any provision of this Lease or for any other relief against the other,
then all costs and expenses, including reasonable attorneys’ fees, incurred by the prevailing party therein shall be paid
by the other party, which obligation on the part of the other party shall be deemed to have accrued on the date of the commencement
of such action and shall be enforceable whether or not the action is prosecuted to judgment.

 

29.22 Governing
Law; WAIVER OF TRIAL BY JURY. This Lease shall be construed and enforced in accordance with the laws of the State of North
Carolina. Landlord and Tenant waive trial by jury in any action to which they are parties, and further agree that any action arising
out of this Lease (except an action for possession by Landlord, which may be brought in whatever manner or place provided by law)
shall be brought in the Trial Court, Superior Court Department, in the county where the Premises are located.

 

    -37-

     

    

 

29.23 Submission
of Lease. Submission of this instrument for examination or signature by Tenant does not constitute a reservation of, option
for or option to lease, and it is not effective as a lease or otherwise until execution and delivery by both Landlord and Tenant.

 

29.24 Brokers.
Landlord and Tenant hereby warrants to each other that it has had no dealings with any real estate broker or agent in connection
with the negotiation of this Lease, excepting only the real estate brokers or agents specified in Section 13 of the
Summary (the “Brokers”), and that it knows of no other real estate broker or agent which represented said party
who is entitled to a commission in connection with this Lease. Landlord and Tenant each agrees to indemnify and defend the other
against and hold the other harmless from any and all claims, demands, losses, liabilities, lawsuits, judgments, costs and expenses
(including without limitation reasonable attorneys’ fees) with respect to any leasing commission or equivalent compensation
alleged to be owing on account of any dealings with any real estate broker or agent, other than the Brokers, occurring by, through,
or under the indemnifying party. The terms of this Section 29.24 shall survive the expiration or earlier termination of
the Lease Term.

 

29.25 Independent
Covenants. This Lease shall be construed as though the covenants herein between Landlord and Tenant are independent and
not dependent and Tenant hereby expressly waives the benefit of any statute to the contrary and agrees that if Landlord fails to
perform its obligations set forth herein, Tenant shall not be entitled to make any repairs or perform any acts hereunder at Landlord’s
expense or to any setoff of the Rent or other amounts owing hereunder against Landlord.

 

29.26 Project
or Building Name, Address and Signage. Landlord shall have the right at any time to change the name and/or address of the
Project or Building and to install, affix and maintain any and all signs on the exterior and on the interior of the Project or
Building as Landlord may, in Landlord’s sole discretion, desire. Tenant shall not use the name of the Project or Building
or use pictures or illustrations of the Project or Building in advertising or other publicity or for any purpose other than as
the address of the business to be conducted by Tenant in the Premises, without the prior written consent of Landlord.

 

29.27 Counterparts.
This Lease may be executed in counterparts with the same effect as if both parties hereto had executed the same document. Both
counterparts shall be construed together and shall constitute a single lease.

 

29.28 Confidentiality.
Tenant acknowledges that the content of this Lease and any related documents are confidential information. Except as required by
law, rule or regulation or regulatory or court order, Tenant shall keep such confidential information strictly confidential and
shall not disclose such confidential information to any person or entity other than Tenant’s financial, legal, and space
planning consultants. If disclosure is required by law, rule or regulation or regulatory or court order, Tenant agrees to work
with Landlord to redact any sensitive information.

 

29.29 Development
of the Project.

 

29.29.1 Subdivision.
Landlord reserves the right to subdivide all or a portion of the buildings and Common Areas. Tenant agrees to execute and deliver,
upon demand by Landlord and in the form requested by Landlord, any additional documents needed to conform this Lease to the circumstances
resulting from a subdivision and any all maps in connection therewith. Notwithstanding anything to the contrary set forth in this
Lease, the separate ownership of any buildings and/or Common Areas by an entity other than Landlord shall not affect the calculation
of Direct Expenses or Tenant’s payment of Tenant’s Share of Direct Expenses.

 

29.29.2 Construction
of Property and Other Improvements. Tenant acknowledges that portions of the Project and/or the Other Improvements may
be under construction following Tenant’s occupancy of the Premises, and that such construction may result in levels of noise,
dust, obstruction of access, etc. which are in excess of that present in a fully constructed project. Tenant hereby waives any
and all rent offsets or claims of constructive eviction which may arise in connection with such construction. Provided, however,
that Landlord shall use good faith efforts to provide Tenant with five (5) days’ notice, which may be verbal, in advance
of commencing any construction activities that Landlord anticipates could disrupt Tenant’s use of the Premises, including
a reasonable description of the scope of work to be performed and the anticipated duration of such activity. At all times Landlord
shall use commercially reasonable efforts to minimize any disruption with the conduct of Tenant’s business within the Premises.
Upon request from Tenant Landlord will inform Tenant of the general construction schedule for any work adjacent to the Premises
or which adversely affects access to the Premises.

 

    -38-

     

    

 

29.30 No
Violation. Landlord and Tenant each warrants and represents that neither its execution of nor performance under this Lease
shall cause said party to be in violation of any agreement, instrument, contract, law, rule or regulation by which said party is
bound, and each party shall protect, defend, indemnify and hold the other harmless against any claims, demands, losses, damages,
liabilities, costs and expenses, including, without limitation, reasonable attorneys’ fees and costs, arising from the indemnifying
party’s breach of this warranty and representation.

 

29.31 Communications
and Computer Lines. Tenant may install, maintain, replace, remove or use any communications or computer wires and cables
serving the Premises (collectively, the “Lines”), provided that (i) Tenant shall obtain Landlord’s prior
written consent (which consent shall not be unreasonably withheld, conditioned or delayed), use an experienced and qualified contractor
reasonably approved in writing by Landlord, and comply with all of the other provisions of Articles 7 and 8 of this
Lease. Tenant shall pay all costs in connection therewith. Landlord reserves the right, upon notice to Tenant prior to the expiration
or earlier termination of this Lease, to require that Tenant, at Tenant’s sole cost and expense, remove any Lines located
in or serving the Premises prior to the expiration or earlier termination of this Lease.

 

29.32 Transportation
Management. Tenant shall reasonably comply with all present or future programs intended to manage parking, transportation
or traffic in and around the Project and/or the Building, and in connection therewith, Tenant shall take responsible action for
the transportation planning and management of all employees located at the Premises by working directly with Landlord, any governmental
transportation management organization or any other transportation-related committees or entities. Such programs may include, without
limitation: (i) restrictions on the number of peak-hour vehicle trips generated by Tenant; (ii) increased vehicle occupancy; (iii)
implementation of an in-house ridesharing program and an employee transportation coordinator; (iv) working with employees and any
Project, Building or area-wide ridesharing program manager; (v) instituting employer-sponsored incentives (financial or in-kind)
to encourage employees to rideshare; and (vi) utilizing flexible work shifts for employees.

 

29.33 Intentionally
omitted.

 

29.34 REIT.
Tenant acknowledges that the Company, an affiliate of Landlord, elects to be taxed as a real estate investment trust (a “REIT”)
under the Code. Tenant hereby agrees to modifications of this Lease required to retain or clarify the Company’s status as
a REIT, provided such modifications: (a) are reasonable, (b) do not adversely affect in a material manner Tenant’s use of
the Premises as herein permitted, and (c) do not increase the Base Rent, Additional Rent and other sums to be paid by Tenant or
Tenant’s other obligations pursuant to this Lease, or reduce any rights of Tenant under this Lease, then Landlord may submit
to Tenant an amendment to this Lease incorporating such required modifications, and Tenant shall execute, acknowledge and deliver
such amendment to Landlord within ten (10) days after Tenant’s receipt thereof.

 

    -39-

     

    

 

IN WITNESS WHEREOF,
Landlord and Tenant have caused this Lease to be executed the day and date first above written.

 

	LANDLORD:	 	TENANT:
	 	 	 
	DURHAM ROYAL CENTER, LLC,	 	ICAGEN, INC.,
	a Delaware limited liability company	 	a Delaware corporation
	 	 	 
	By:	/s/ Jamison N. Peschel	 	By:	/s/ Douglas Krafte
	 	 	 	 	 
	 	Name:	Jamison N. Peschel	 	 	Name:	Douglas Krafte
	 	 	 	 	 	 	 
	 	Its:	Authorized Signatory	 	 	Its:	CSO

 

	By:	 	 	 	By:	 
	 	 	 	 	 	 
	 	Name:	 	 	 	Name:	 
	 	 	 	 	 	 	 
	 	Its:	 	 	 	Its:	 
	 	 	 	 	 	 
	Date:	April 30, 2019	 	Date:	April 30, 2019

 

    -40-

     

    

 

EXHIBIT
A

 

INTENTIONALLY
OMITTED

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    EXHIBIT A
-1-

     

    

 

EXHIBIT
B

 

NOTICE
OF LEASE TERM DATES

 

		To:	_______________________

                                                                                _______________________

                                                                                _______________________

                                                                                _______________________

                                                                                 

		Re:	Lease
                                         dated ____________, 20__ between ____________________, a _____________________ (“Landlord”),
                                         and _______________________, a _______________________ (“Tenant”)
                                         concerning Suite ______ on floor(s) __________ of the office building located at [INSERT
                                         BUILDING ADDRESS].

 

Gentlemen:

 

In
accordance with the Lease (the “Lease”), we wish to advise you and/or confirm as follows:

 

		1.	The
                                         Lease Term shall commence on or has commenced on _____________ for a term of _______________
                                         ending on _______________.

 

		2.	Rent
                                         commenced to accrue on ____________, in the amount of ____________.

 

		3.	If
                                         the Lease Commencement Date is other than the first day of the month, the first billing
                                         will contain a pro rata adjustment. Each billing thereafter, with the exception of the
                                         final billing, shall be for the full amount of the monthly installment as provided for
                                         in the Lease.

 

		4.	Your
                                         rent checks should be made payable to __________ at ______________.

 

		5.	The
                                         exact number of rentable/usable square feet within the Premises is _________ square feet.

 

		6.	Tenant’s
                                         Share as adjusted based upon the exact number of usable square feet within the Premises
                                         is ____________%.
	 	 	 

	 	 	 	 	“Landlord”:

	
	 	 	 	 	 	 	,
	 	 	 	 	a	      	 
	 	 	 	 	 	 	 	 
	 	 	 	 	By:	      	 
	 	 	 	 	 	Its:	    	 
	Agreed
                                         to and Accepted as

                                         of    , 20___.

	 	 	 	 	 
	 	 	 	 	 	 
	“Tenant”:	 	 	 	 	 
	 	 	 	 	 	 
	a	 	       	 	 	 	 	 
	 	 	 	 	 	 	 	 
	By:	 	       	 	 	 	 	 
	 	Its:		 	 	 	 	 

 

    EXHIBIT B
-1-

     

    

 

EXHIBIT
C

 

PREMISES

 

Suite
350

 

 

 

    EXHIBIT C
-2-

     

    

 

PREMISES

 

Suite
380

 

 

    EXHIBIT C
-3-

     

    

 

EXHIBIT
D

 

INTENTIONALLY
OMITTED

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    EXHIBIT D

     

    

 

EXHIBIT
E

 

RULES
AND REGULATIONS

 

Tenant
shall faithfully observe and comply with the following Rules and Regulations. Landlord shall not be responsible to Tenant for
the nonperformance of any of said Rules and Regulations by or otherwise with respect to the acts or omissions of any other tenants
or occupants of the Project. In the event of any conflict between the Rules and Regulations and the other provisions of this Lease,
the latter shall control.

 

1.
Tenant shall not alter any lock or install any new or additional locks or bolts on any doors or windows of the Premises without
obtaining Landlord’s prior written consent, which shall not be unreasonably withheld, conditioned or delayed. If Tenant
shall affix additional locks on doors then Tenant shall furnish Landlord with copies of keys or pass cards or similar devices
for said locks. Tenant shall bear the cost of any lock changes or repairs required by Tenant. Two Initial keys will be furnished
by Landlord for the Premises, and any additional keys required by Tenant must be obtained from Landlord at a reasonable cost to
be established by Landlord. Upon the termination of this Lease, Tenant shall restore to Landlord all keys of stores, offices,
and toilet rooms, either furnished to, or otherwise procured by, Tenant and in the event of the loss of keys so furnished, Tenant
shall pay to Landlord the cost of replacing same or of changing the lock or locks opened by such lost key if Landlord shall deem
it necessary to make such changes.

 

2.
All doors opening to public corridors shall be kept closed at all times except for normal ingress and egress to the Premises.

 

3.
Landlord reserves the right to close and keep locked all entrance and exit doors of the Building during such hours as are customary
for comparable buildings in the vicinity of the Building. Tenant, its employees and agents must be sure that the doors to the
Building are securely closed and locked when leaving the Premises if it is after the normal hours of business for the Building.
Any tenant, its employees, agents or any other persons entering or leaving the Building at any time when it is so locked, or any
time when it is considered to be after normal business hours for the Building, may be required to sign the Building register.
Access to the Building may be refused unless the person seeking access has proper identification or has a previously arranged
pass for access to the Building. Landlord will furnish passes to persons for whom Tenant requests same in writing. Tenant shall
be responsible for all persons for whom Tenant requests passes and shall be liable to Landlord for all acts of such persons. The
Landlord and his agents shall in no case be liable for damages for any error with regard to the admission to or exclusion from
the Building of any person. In case of invasion, mob, riot, public excitement, or other commotion, Landlord reserves the right
to prevent access to the Building or the Project during the continuance thereof by any means it deems appropriate for the safety
and protection of life and property.

 

4.
Except for shipments by Tenant of its product or receipt by Tenant of goods in the ordinary course of the operation of its business,
no furniture, freight or equipment of any kind shall be brought into the Building without prior notice to Landlord. All moving
activity into or out of the Building shall be scheduled with Landlord and done only at such time and in such manner as Landlord
designates. Landlord shall have the right to prescribe the weight, size and position of all safes and other heavy property brought
into the Building and also the times and manner of moving the same in and out of the Building. Safes and other heavy objects shall,
if considered necessary by Landlord, stand on supports of such thickness as is necessary to properly distribute the weight. Landlord
will not be responsible for loss of or damage to any such safe or property in any case. Any damage to any part of the Building,
its contents, occupants or visitors by moving or maintaining any such safe or other property shall be the sole responsibility
and expense of Tenant.

 

5.
INTENTIONALLY OMITTED.

 

6.
The requirements of Tenant will be attended to only upon application at the management office for the Project or at such office
location designated by Landlord. Employees of Landlord shall not perform any work or do anything outside their regular duties
unless under special instructions from Landlord.

 

     

     

    

 

7.
No sign, advertisement, notice or handbill shall be exhibited, distributed, painted or affixed by Tenant on any part of the Premises
or the Building without the prior written consent of the Landlord. Tenant shall not disturb, solicit, peddle, or canvass any occupant
of the Project and shall cooperate with Landlord and its agents of Landlord to prevent same.

 

8.
The toilet rooms, urinals, wash bowls and other apparatus shall not be used for any purpose other than that for which they were
constructed, and no foreign substance of any kind whatsoever shall be thrown therein. The expense of any breakage, stoppage or
damage resulting from the violation of this rule shall be borne by the tenant who, or whose servants, employees, agents, visitors
or licensees shall have caused same.

 

9.
Discharge of industrial sewage to the Building plumbing system shall only be permitted if Tenant, at its sole expense, shall have
obtained all necessary permits and licenses therefor, including without limitation permits from state and local authorities having
jurisdiction thereof.

 

10.
Tenant shall not overload the floor of the Premises, nor mark, drive nails or screws, or drill into the partitions, woodwork or
drywall or in any way deface the Premises or any part thereof without Landlord’s prior written consent; provided, however,
that Landlord’s prior written consent shall not be required for the hanging of normal and customary office artwork and personal
items. Tenant shall not purchase spring water, ice, towel, linen, maintenance or other like services from any person or persons
not included on an approved list that Landlord shall provide to Tenant upon request. Landlord reserves the right to have Landlord’s
structural engineer review Tenant’s floor loads on the Building at Landlord’s expense, unless such study reveals that
Tenant has exceeded the floor loads, in which case Tenant shall pay the cost of such survey.

 

11.
Except for vending machines intended for the sole use of Tenant’s employees and invitees, no vending machine or machines
other than fractional horsepower office machines shall be installed, maintained or operated upon the Premises without the written
consent of Landlord.

 

12.
Tenant shall not use or keep in or on the Premises, the Building, or the Project any kerosene, gasoline or other inflammable or
combustible fluid, chemical, substance or material.

 

13.
Tenant shall not without the prior written consent of Landlord use any method of heating or air conditioning other than that supplied
by Landlord.

 

14.
Tenant shall not use, keep or permit to be used or kept, any foul or noxious gas or substance in or on the Premises, or permit
or allow the Premises to be occupied or used in a manner offensive or objectionable to Landlord or other occupants of the Project
by reason of noise, odors, or vibrations, or interfere with other tenants or those having business therein, whether by the use
of any musical instrument, radio, phonograph, or in any other way. Tenant shall not throw anything out of doors, windows or skylights
or down passageways.

 

15.
Tenant shall not bring into or keep within the Project, the Building or the Premises any animals, birds, aquariums, or, except
in areas designated by Landlord, bicycles or other vehicles.

 

16.
No cooking shall be done or permitted on the Premises, nor shall the Premises be used for the storage of merchandise, for lodging
or for any improper, objectionable or immoral purposes. Notwithstanding the foregoing, Underwriters’ laboratory-approved
equipment and microwave ovens may be used in the Premises for heating food and brewing coffee, tea, hot chocolate and similar
beverages for employees and visitors, provided that such use is in accordance with all applicable federal, state, county and city
laws, codes, ordinances, rules and regulations.

 

17.
The Premises shall not be used for manufacturing or for the storage of merchandise except as such storage may be incidental to
the use of the Premises provided for in the Summary. Tenant shall not occupy or permit any portion of the Premises to be occupied
as an office for a messenger-type operation or dispatch office, public stenographer or typist, or for the manufacture or sale
of liquor, narcotics, or tobacco in any form, or as a medical office, or as a barber or manicure shop, or as an employment bureau
without the express prior written consent of Landlord. Tenant shall not engage or pay any employees on the Premises except those
actually working for such tenant on the Premises nor advertise for laborers giving an address at the Premises.

 

    EXHIBIT E

     

    

 

18.
Landlord reserves the right to exclude or expel from the Project any person who, in the judgment of Landlord, is intoxicated or
under the influence of liquor or drugs, or who shall in any manner do any act in violation of any of these Rules and Regulations.

 

19.
Tenant, its employees and agents shall not loiter in or on the entrances, corridors, sidewalks, lobbies, courts, halls, stairways,
vestibules or any Common Areas for the purpose of smoking tobacco products or for any other purpose, nor in any way obstruct such
areas, and shall use them only as a means of ingress and egress for the Premises.

 

20.
Tenant shall not waste electricity, water or air conditioning and agrees to cooperate fully with Landlord to ensure the most effective
operation of the Building’s heating and air conditioning system, and shall refrain from attempting to adjust any controls.

 

21.
Tenant shall store all its trash and garbage within the interior of the Premises. No material shall be placed in the trash boxes
or receptacles if such material is of such nature that it may not be disposed of in the ordinary and customary manner of removing
and disposing of trash and garbage in the city in which the Building is located without violation of any law or ordinance governing
such disposal. All trash, garbage and refuse disposal shall be made only through entry-ways provided for such purposes at such
times as Landlord shall designate.

 

22.
Tenant shall comply with all safety, fire protection and evacuation procedures and regulations established by Landlord or any
governmental agency.

 

23.
Any persons employed by Tenant to do janitorial work shall be subject to the prior written approval of Landlord, and while in
the Building and outside of the Premises, shall be subject to and under the control and direction of the Building manager (but
not as an agent or servant of such manager or of Landlord), and Tenant shall be responsible for all acts of such persons.

 

24.
No awnings or other projection shall be attached to the outside walls of the Building without the prior written consent of Landlord,
and no curtains, blinds, shades or screens shall be attached to or hung in, or used in connection with, any window or door of
the Premises other than Landlord standard drapes. All electrical ceiling fixtures hung in the Premises or spaces along the perimeter
of the Building must be fluorescent and/or of a quality, type, design and a warm white bulb color approved in advance in writing
by Landlord. Neither the interior nor exterior of any windows shall be coated or otherwise sunscreened without the prior written
consent of Landlord. Tenant shall abide by Landlord’s regulations concerning the opening and closing of window coverings
which are attached to the windows in the Premises, if any, which have a view of any interior portion of the Building or Building
Common Areas.

 

25.
The sashes, sash doors, skylights, windows, and doors that reflect or admit light and air into the halls, passageways or other
public places in the Building shall not be covered or obstructed by Tenant, nor shall any bottles, parcels or other articles be
placed on the windowsills.

 

26.
Tenant must comply with requests by the Landlord concerning the informing of their employees of items of importance to the Landlord.

 

27.
No smoking is permitted in the Building or on the Project.

 

28.
Tenant hereby acknowledges that Landlord shall have no obligation to provide guard service or other security measures for the
benefit of the Premises, the Building or the Project. Tenant hereby assumes all responsibility for the protection of Tenant and
its agents, employees, contractors, invitees and guests, and the property thereof, from acts of third parties, including keeping
doors locked and other means of entry to the Premises closed, whether or not Landlord, at its option, elects to provide security
protection for the Project or any portion thereof. Tenant further assumes the risk that any safety and security devices, services
and programs which Landlord elects, in its sole discretion, to provide may not be effective, or may malfunction or be circumvented
by an unauthorized third party, and Tenant shall, in addition to its other insurance obligations under this Lease, obtain its
own insurance coverage to the extent Tenant desires protection against losses related to such occurrences. Tenant shall cooperate
in any reasonable safety or security program developed by Landlord or required by law.

 

    EXHIBIT E

     

    

 

29.
All non-standard office equipment of any electrical or mechanical nature shall be placed by Tenant in the Premises in settings
approved by Landlord, to absorb or prevent any vibration, noise and annoyance.

 

30.
Tenant shall not use in any space or in the public halls of the Building, any hand trucks except those equipped with rubber tires
and rubber side guards.

 

31.
No auction, liquidation, fire sale, going-out-of-business or bankruptcy sale shall be conducted in the Premises without the prior
written consent of Landlord.

 

32.
No tenant shall use or permit the use of any portion of the Premises for living quarters, sleeping apartments or lodging rooms.

 

Landlord
reserves the right at any time to change or rescind any one or more of these Rules and Regulations, or to make such other and
further reasonable Rules and Regulations as in Landlord’s judgment may from time to time be necessary for the management,
safety, care and cleanliness of the Premises, Building, the Common Areas and the Project, and for the preservation of good order
therein, as well as for the convenience of other occupants and tenants therein. Landlord may waive any one or more of these Rules
and Regulations for the benefit of any particular tenants, but no such waiver by Landlord shall be construed as a waiver of such
Rules and Regulations in favor of any other tenant, nor prevent Landlord from thereafter enforcing any such Rules or Regulations
against any or all tenants of the Project. Tenant shall be deemed to have read these Rules and Regulations and to have agreed
to abide by them as a condition of its occupancy of the Premises.

 

    EXHIBIT E

     

    

 

EXHIBIT
F

 

IMPERIAL
CENTER BUSINESS PARK

 

FORM
OF TENANT’S ESTOPPEL CERTIFICATE

 

The
undersigned as Tenant under that certain Lease (the “Lease”) made and entered into as of ___________, 201_
by and between _______________ as Landlord, and the undersigned as Tenant, for Premises on the ______________ floor(s) of the
office building located at [INSERT BUILDING ADDRESS], certifies as follows:

 

1.
Attached hereto as Exhibit F is a true and correct copy of the Lease and all amendments and modifications thereto.
The documents contained in Exhibit F represent the entire agreement between the parties as to the Premises.

 

2.
The undersigned currently occupies the Premises described in the Lease, the Lease Term commenced on __________, and the Lease
Term expires on ___________, and the undersigned has no option to cancel the Lease or to purchase all or any part of the Premises,
the Building and/or the Project.

 

3.
Base Rent became payable on ____________.

 

4.
The Lease is in full force and effect and has not been modified, supplemented or amended in any way except as provided in Exhibit F.

 

5.
Tenant has not transferred, assigned, or sublet any portion of the Premises nor entered into any license or concession agreements
with respect thereto except as follows:

 

6.
Intentionally Omitted.

 

7.
All monthly installments of Base Rent, all Additional Rent and all monthly installments of estimated Additional Rent have been
paid when due through ___________. The current monthly installment of Base Rent is $_____________________.

 

8.
All conditions of the Lease to be performed by Landlord necessary to the enforceability of the Lease have been satisfied and Landlord
is not in default thereunder. In addition, the undersigned has not delivered any notice to Landlord regarding a default by Landlord
thereunder. The Lease does not require Landlord to provide any rental concessions or to pay any leasing brokerage commissions.

 

9.
No rental has been paid more than thirty (30) days in advance and no security has been deposited with Landlord except as provided
in the Lease.

 

10.
As of the date hereof, there are no existing defenses or offsets, or, to the undersigned’s knowledge, claims or any basis
for a claim, that the undersigned has against Landlord.

 

11.
If Tenant is a corporation or partnership, each individual executing this Estoppel Certificate on behalf of Tenant hereby represents
and warrants that Tenant is a duly formed and existing entity qualified to do business in North Carolina and that Tenant has full
right and authority to execute and deliver this Estoppel Certificate and that each person signing on behalf of Tenant is authorized
to do so.

 

12.
There are no actions pending against the undersigned under the bankruptcy or similar laws of the United States or any state.

 

13.
To the best of Tenant’s knowledge, Tenant is in full compliance with all federal, state and local laws, ordinances, rules
and regulations affecting its use of the Premises, including, but not limited to, those laws, ordinances, rules or regulations
relating to hazardous or toxic materials. Tenant has never permitted or suffered, nor does Tenant have any knowledge of, the generation,
manufacture, treatment, use, storage, disposal or discharge of any hazardous, toxic or dangerous waste, substance or material
in, on, under or about the Project or the Premises or any adjacent premises or property in violation of any federal, state or
local law, ordinance, rule or regulation.

 

    EXHIBIT F
-1-

     

    

 

14.
To the undersigned’s knowledge, all tenant improvement work to be performed by Landlord under the Lease has been completed
in accordance with the Lease and has been accepted by the undersigned and all reimbursements and allowances due to the undersigned
under the Lease in connection with any tenant improvement work have been paid in full. All work (if any) in the common areas required
by the Lease to be completed by Landlord has been completed and all parking spaces required by the Lease have been furnished and/or
all parking ratios required by the Lease have been met.

 

The
undersigned acknowledges that this Estoppel Certificate may be delivered to Landlord or to a prospective mortgagee or prospective
purchaser, and acknowledges that said prospective mortgagee or prospective purchaser will be relying upon the statements contained
herein in making the loan or acquiring the property of which the Premises are a part and that receipt by it of this certificate
is a condition of making such loan or acquiring such property.

 

Executed
at ______________ on the ____ day of ___________, 201__.

 

	 	“Tenant”:
	 	 	,
	 	a	       	 
	 	 	 	 	 
	 	By:	        	 
	 	 	Its:	        	 
	 	 	 	 	 
	 	By:	        	 
	 	 	Its:	        	 

 

    EXHIBIT F
-2-

     

    

 

EXHIBIT
G

 

Imperial
Center Business Park

 

ENVIRONMENTAL
QUESTIONNAIRE

 

ENVIRONMENTAL
QUESTIONNAIRE

FOR
COMMERCIAL AND INDUSTRIAL PROPERTIES

 

	Property Name:	 	          
	 	 	 
	Property Address:	 	 

 

 

Instructions:
The following questionnaire is to be completed by the Lessee representative with knowledge of the planned operations for the specified
building/location. Please print clearly and attach additional sheets as necessary.

 

1.0
PROCESS INFORMATION

 

Describe
planned use, and include brief description of manufacturing processes employed.

 

 

 

 

 

 

 

2.0
HAZARDOUS MATERIALS

 

Are
hazardous materials used or stored? If so, continue with the next question. If not, go to Section 3.0.

 

		2.1	Are
                                         any of the following materials handled on the Property?	Yes ☐ No ☐

 

(A
material is handled if it is used, generated, processed, produced, packaged, treated, stored, emitted, discharged, or disposed.)
If so, complete this section. If this question is not applicable, skip this section and go on to Section 5.0.

 

	☐
    Explosives	☐
    Fuels	☐
    Oils
	☐
    Solvents	☐
    Oxidizers	☐
    Organics/Inorganics
	☐
    Acids	☐
    Bases	☐
    Pesticides
	☐
    Gases	☐
    PCBs	☐
    Radioactive Materials
	☐
    Other (please specify)	 	 

 

		2-2.	If
                                         any of the groups of materials checked in Section 2.1, please list the specific
                                         material(s), use(s), and quantity of each chemical used or stored on the site in the
                                         Table below. If convenient, you may substitute a chemical inventory and list the uses
                                         of each of the chemicals in each category separately.

 

	Material	Physical
    State (Solid, Liquid, or Gas)	Usage	Container
    Size	Number
    of Containers	Total
    Quantity
	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 

 

    (1)

     

    

 

		2-3.	Describe
                                         the planned storage area location(s) for these materials. Please include site maps and
                                         drawings as appropriate.

 

3.0
HAZARDOUS WASTES

 

	Are hazardous wastes generated?	 	Yes ☐
    No ☐

 

If
yes, continue with the next question. If not, skip this section and go to section 4.0.

 

	3.1	Are
                                         any of the following wastes generated, handled, or disposed of (where applicable) on
                                         the Property?
	 	 

	☐
    Hazardous wastes	☐
    Industrial Wastewater
	☐
    Waste oils	☐
    PCBs
	☐
    Air emissions	☐
    Sludges
	☐
    Regulated Wastes	☐
    Other (please specify)

 

		3-2.	List
                                         and quantify the materials identified in Question 3-1 of this section.

 

	WASTE
    GENERATED	RCRA
    listed Waste?	SOURCE	APPROXIMATE
    MONTHLY QUANTITY	WASTE
    CHARACTERIZATION	DISPOSITION
	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 
	 	 	 	 	 	 

 

		3-3.	Please
                                         include name, location, and permit number (e.g. EPA ID No.) for transporter and disposal
                                         facility, (if applicable). Attach separate pages as necessary.

 

	Transporter/Disposal
    Facility Name	Facility
    Location	Transporter
    (T) or Disposal (D) Facility	Permit
    Number
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

 

		3-4.	Are
                                         pollution controls or monitoring employed in the process to prevent or minimize the release
                                         of wastes into the environment?	Yes ☐ No ☐

 

		3-5.	If
                                         so, please describe.

 

 

 

 

 

 

 

    (2)

     

    

 

4.0
USTS/ASTS

 

		4.1	Are
                                         underground storage tanks (USTs), aboveground storage tanks (ASTs), or associated pipelines
                                         used for the storage of petroleum products, chemicals, or liquid wastes present on site
                                         (lease renewals) or required for planned operations (new tenants)?Yes___No___

 

If
not, continue with section 5.0. If yes, please describe capacity, contents, age, type of the USTs or ASTs, as well any associated
leak detection/spill prevention measures. Please attach additional pages if necessary.

 

	Capacity	Contents	Year
    Installed	Type
    (Steel, Fiberglass, etc)	Associated
    Leak Detection / Spill Prevention Measures*
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

 

*Note:
The following are examples of leak detection / spill prevention measures:

 

	Integrity
    testing	Inventory
    reconciliation	Leak
    detection system
	Overfill
    spill protection	Secondary
    containment	Cathodic
    protection

 

		4-2.	Please
                                         provide copies of written tank integrity test results and/or monitoring documentation,
                                         if available.

 

		4-3.	Is
                                         the UST/AST registered and permitted with the appropriate regulatory agencies? If so,
                                         please attach a copy of the required permits.	Yes  ☐ No ☐

 

		4-4.	If
                                         this Questionnaire is being completed for a lease renewal, and if any of the USTs/ASTs
                                         have leaked, please state the substance released, the media(s) impacted (e.g., soil,
                                         water, asphalt, etc.), the actions taken, and all remedial responses to the incident.

 

 

 

 

 

 

 

		4-5.	If
                                         this Questionnaire is being completed for a lease renewal, have USTs/ASTs been removed
                                         from the Property?	Yes ☐ No ☐

 

If
yes, please provide any official closure letters or reports and supporting documentation (e.g., analytical test results, remediation
report results, etc.).

 

		4-6.	For
                                         Lease renewals, are there any above or below ground pipelines on site used to transfer
                                         chemicals or wastes?	Yes ☐ No ☐

 

For
new tenants, are installations of this type required for the planned operations?

 

Yes
☐ No ☐

 

If
yes to either question, please describe.

 

 

 

 

 

 

 

5.0
ASBESTOS CONTAINING BUILDING MATERIALS

 

Please
be advised that an asbestos survey may have been performed at the Property. If provided, please review the information that identifies
the locations of known asbestos containing material or presumed asbestos containing material. All personnel and appropriate subcontractors
should be notified of the presence of these materials, and informed not to disturb these materials. Any activity that involves
the disturbance or removal of these materials must be done by an appropriately trained individual/contractor.

 

    (3)

     

    

 

6.0
REGULATORY

 

		6-1.	Does
                                         the operation have or require a National Pollutant Discharge Elimination System (NPDES)
                                         or equivalent permit?	Yes ☐ No ☐

 

If
so, please attach a copy of this permit.

 

		6-2.	Has
                                         a Hazardous Materials Business Plan been developed for the site?	Yes ☐ No ☐

 

If
so, please attach a copy.

 

CERTIFICATION

 

I
am familiar with the real property described in this questionnaire. By signing below, I represent and warrant that the answers
to the above questions are complete and accurate to the best of my knowledge. I also understand that Lessor will rely on the completeness
and accuracy of my answers in assessing any environmental liability risks associated with the property.

 

	 	Signature:	 
	 	 	 
	 	Name:	 
	 	 	 
	 	Title:	 
	 	 	 
	 	Date:	 
	 	 	 
	 	Telephone:	 

 

 

(4)Exhibit

Exhibit 10.1

BANC OF CALIFORNIA, INC. 
EXECUTIVE INCENTIVE COMPENSATION PLAN 
Effective as of April 29, 2019
1.Purpose.  The purpose of the Executive Incentive Compensation Plan (the “Plan”) of Banc of California, Inc. (the “Company”) is to promote the financial interests of the Company and its subsidiaries by (i) attracting and retaining officers and key executives; (ii) motivating officers and key executives by means of performance-related incentives; and (iii) providing competitive incentive compensation opportunities.  The Plan shall be effective as of April 29, 2019.
2.Administration.  The Plan shall be administered by the Compensation and Human Capital Committee of the Board of Directors of the Company (the “Board”) or such other committee of the Board or subcommittee as the Board may from time to time designate (the “Committee”), which shall be composed of not less than two directors, and shall be appointed by and serve at the pleasure of the Board. To the extent the Board determines appropriate, each member of the Committee shall at the time of appointment to the Committee and at all times during service as a member of the Committee be (1) a “non-employee director” as then defined under Rule 16b-3 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or any successor rule, (2) an “independent” director under the rules of the New York Stock Exchange (“NYSE”), and (3) an “independent” director under any other applicable regulatory requirements. 
Subject to the express provisions of the Plan, the Committee shall have authority to: 
(i) select the employees who will participate in the Plan (the “Participants”); 
(ii) determine the size of the awards to be made under the Plan; and 
(iii) establish from time to time regulations for the administration of the Plan, interpret the Plan, and make all determinations deemed necessary or advisable for the administration of the Plan. 
3.Participation.  Participants in the Plan shall be selected by the Committee for each calendar year (each “Plan Year”) from the executive employees of the Company. No employee shall at any time have a right to be selected as a Participant in the Plan for any Plan Year, to be entitled automatically to an award, nor, having been selected as a Participant for one Plan Year, to be a Participant in any other Plan Year. 
4.Incentive Awards, Performance Goals and Performance Periods. 
4.1.  Incentive Awards.  Incentive awards (“Incentive Awards”) may be earned by Participants during a specified performance period (a “Performance Period”) selected by the Committee in its discretion; provided, however, that payment of any Incentive Award under the Plan shall be contingent upon the achievement of the relevant performance goals established by the Committee (“Performance Goals”) during the Performance Period. 
4.2.  Performance Goals. 
(a)  Performance Goals.  The Committee shall establish for the relevant Performance Period all Performance Goals and the amounts, which may be expressed as a percentage of an incentive pool or other measure prescribed by the Committee, that may be earned upon their level of achievement. Performance Goals may be based upon one or more subjective or objective performance measures (the “Performance Criteria”) as determined by the Committee in its discretion. Performance Goals based on such Performance Criteria may be based on individual performance or on the performance of the Company, an subsidiary, any branch, department, business unit or other portion thereof under such measure for the Performance Period and/or upon a comparison of such performance with the performance of a peer or other comparator group of corporations. 
(b)  Calculation.  When the Performance Goals are established, to the extent applicable, the Committee shall also specify the manner in which the level of achievement of such Performance Goals shall be calculated and the weighting assigned to such Performance Goals. The Committee may determine that unusual items or certain specified events or occurrences, including changes in accounting standards or tax laws and the effects of non-operational items or unusual or infrequently occurring items, shall be included in or excluded from the calculation. Performance Goals based directly or indirectly upon the Company’s common stock shall be adjusted, as determined by the Committee, in the event of any change in the common stock by reason of a stock split, stock dividend, exchange, combination or reclassification of shares, recapitalization, merger, spin-off, split-off, split-up, dividend in partial liquidation, dividend in property other than cash, extraordinary distribution, or similar event. 
4.3.  Performance Periods.  Unless otherwise determined by the Committee, there shall be one year Performance Periods under the Plan, and a new Performance Period shall commence on the first day of each Plan Year and end on the last day of such Plan Year. The Committee may establish longer Performance Periods, including multi-year Performance Periods, and the Committee may also establish shorter Performance Periods for individuals who are hired or become eligible after the commencement of a Performance Period and as otherwise deemed appropriate by the Committee in its discretion. The first Performance Period under the Plan shall commence on January 1, 2019 and end on December 31, 2019.
4.4.  Determination of Incentive Award.  The amount of a Participant’s Incentive Award for a Plan Year, if any, shall be determined by the Committee or its delegate in accordance with the level of achievement of the applicable Performance Goals and the other terms of the Plan; provided, however, that the Committee may determine in its discretion to make any downward or upward adjustment to any Incentive Award or to eliminate such Incentive Award. Prior to any payment of the Incentive Awards hereunder, the Committee shall determine the extent to which the Performance Goals and other material terms of the Plan were satisfied. 
5.Termination of Employment.  Unless otherwise determined by the Committee, a Participant whose employment or service with the Company and all subsidiaries and affiliates is terminated prior to the date of payment of an Incentive Award will forfeit all rights to any award for such Performance Period. 
6.Payment to Participants. 
6.1.  Timing of Payment.  An Incentive Award for a Performance Period shall be paid to the Participant on the date(s) specified in the Award Agreement, provided that if no date(s) are specified, then an Incentive Award shall be paid during the 2 1⁄2 month period following the end of the year in which the Performance Period ends, subject to any permitted deferral election. 
6.2.  Form of Payment.  Payment of Incentive Awards shall be made in cash; provided, however, that the Committee may, in its discretion, determine to pay an Incentive Award in shares of Company common stock from the Company’s 2018 Omnibus Stock Incentive Plan (or any successor plan) or any combination of cash and stock. In the case of payment in stock, the number of shares so awarded shall be determined by dividing the dollar value of the award to be paid in stock by the closing price of the Company’s common stock on the NYSE at the NYSE’s official closing time on the date the award is paid or, if there are no sales of stock on the NYSE on such date, the closing price of the stock on the last previous day on which a sale on the NYSE is reported. 
6.3.  Tax Withholding.  All Incentive Awards shall be subject to Federal, state and local income, employment, and other tax withholding as required by applicable law. 
7.Change in Control.  Unless otherwise determined by the Committee in its discretion, if any Change in Control, as defined in the Company’s 2018 Omnibus Stock Incentive Plan (or any successor plan) at the time of the event, occurs prior to the end of any Performance Period, the then-current Performance Period shall automatically end and all Performance Criteria and other conditions pertaining to awards shall be deemed to be achieved or fulfilled on a pro-rata basis for (i) the number of whole months elapsed from the commencement of the Performance Period through the Change in Control over (ii) the number of whole months included in the original Performance Period, based on the actual performance level achieved or, if not determinable, at target performance. Such awards shall be payable as provided in Section 6. 
8.Clawback.  Notwithstanding any other provision of the Plan, all Incentive Awards shall be subject to the clawback or recapture policy, if any, that the Company may adopt from time to time to the extent provided in such policy and, in accordance with such policy, may be subject to the requirement that the Incentive Awards be repaid to the Company after they have been paid to the Participant. 
9.No Assignments and Transfers; No Rights to Awards or Employment; Offset.  A Participant shall not assign, encumber or transfer his rights and interests under the Plan and any attempt to do so shall render those rights and interests null and void.  No employee of the Company or its affiliates or other person shall have any claim or right to be granted an award under this Plan. Neither the Plan nor any action taken thereunder shall be construed as giving any employee any right to be retained in the employ of the Company or its affiliates. All grants of Incentive Awards and delivery of shares, cash or other property under an Incentive Award granted under the Plan shall constitute a special discretionary incentive payment to the Participant and shall not be required to be taken into account in computing the amount of salary or compensation of the Participant for the purpose of determining any contributions to or any benefits under any pension, retirement, profit-sharing, bonus, life insurance, severance or other benefit plan of the Company or under any agreement with the Participant unless specifically provided otherwise in the Incentive Award or underlying Plan, arrangement or agreement. Subject to the requirements of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), the Company shall have the right to offset against its obligation to pay or deliver shares pursuant to an Incentive Award to any Participant, any outstanding amounts such Participant then owes to the Company and any amounts the Committee otherwise deems appropriate pursuant to any tax equalization policy or agreement. Except as otherwise provided in an Incentive Award, neither this Plan nor any Incentive Award or agreement with respect thereto shall confer on any person other than the Company or a Participant any rights or remedies hereunder. 
10.Amendment or Termination; Term.  The Board may amend, suspend or terminate the Plan or any portion thereof at any time.  No awards may be granted under the Plan subsequent to the termination of the Plan. 
11.Section 409A.  The intent of the parties is that payments under the Plan will comply with Section 409A of the Code to the extent subject thereto or be exempt therefrom and, accordingly, to the maximum extent permitted the Plan shall be interpreted and administered to be in compliance therewith. Any payments provided under the Plan that are payable within the short-term deferral period as defined in Section 409A of the Code shall not be treated as deferred compensation unless otherwise required by applicable law. To the extent a Participant would otherwise be entitled to any payment under this Plan, or any plan or arrangement of the Corporation or its affiliates, that constitutes “deferred compensation” subject to Section 409A payable by reason of separation from service, and that if paid or provided during the six months beginning on the date of termination of a Participant’s employment would be subject to the Section 409A additional tax because the Participant is a “specified employee” (within the meaning of Section 409A and as determined by the Corporation) the payment will be paid (or will commence being paid, if applicable) to the Participant on the earlier of the six month anniversary of the Participant’s date of termination or the Participant’s death. Each payment made under this Plan shall be deemed to be a separate payment. 
12.Governing Law.   The Plan and all Incentive Awards made and actions taken thereunder shall be governed by and construed in accordance with the laws of the State of California, without reference to principles of conflict of laws.
13.Unfunded Plan.  To the extent that any Participant acquires a right to receive any payment from the Company under the Plan, such right shall be no greater than the right of an unsecured general creditor of the Company.  All payments to be made hereunder shall be paid from the general funds of the Company and no special or separate fund shall be established and no segregation of assets shall be made to assure payment of such amounts except as expressly set forth in the Plan.  The Plan is not intended to be subject to the Employee Retirement Income Security Act of 1974, as amended.
14.Construction, Headings.  Unless the context requires otherwise, (i) words describing the singular number include the plural and vice versa, (ii) words denoting any gender include all genders, (iii) the words “include,” “includes” and “including” will be deemed to be followed by the words “without limitation”, and (iv) references to the Company include any successor company.  The headings in this Plan are for the purpose of convenience only and are not intended to define or limit the construction of the provisions hereof.  References in this Plan to any specific Plan provision will not be construed as limiting the applicability of any other Plan provision. 

1

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