Document:

Exhibit 10.1

 

  

  

THIRD AMENDMENT
TO TERM LOAN AGREEMENT

 

among

 

WHITEHORSE FINANCE, INC.,

as Borrower,

 

H.I.G. BAYSIDE LOAN OPPORTUNITY FUND
II, L.P.,

as Guarantor,

 

CITIBANK, N.A.,

as Administrative Agent and Sole Lead
Arranger,

 

and

 

LENDERS NAMED HEREIN,

as Lenders

 

 

Dated as of: December 22, 2014

 

 

    	 

    	 

    

  

This THIRD AMENDMENT
TO TERM LOAN AGREEMENT (this “Amendment”) dated as of December 22, 2014, by and among WHITEHORSE FINANCE,
INC., a Delaware corporation (f/k/a Whitehorse Finance, LLC) (the “Borrower”), H.I.G. BAYSIDE LOAN OPPORTUNITY
FUND II, L.P., a Delaware limited partnership (the “Guarantor”), the Lenders and CITIBANK, N.A.,
a national banking association, as administrative agent for the Lenders (in such capacity, the “Administrative Agent”).
All capitalized terms used and not otherwise defined in this Amendment shall have the meanings provided for such terms in Section
1.

 

WITNESSETH:

 

WHEREAS, the Borrower
has asked the Lenders to amend the Credit Agreement as contemplated in this Amendment; and

 

WHEREAS, the Lenders
are willing to do so on the terms and subject to the conditions set forth in this Amendment;

 

NOW, THEREFORE, in consideration
of the foregoing, the Borrower, the Guarantor, the Lenders and the Administrative Agent hereby mutually covenant and agree as follows:

 

1.                 
Definitions.

 

(a)               
The following terms shall have the respective meanings assigned to them in this Section 1(a):

 

“Administrative
Agent” has the meaning provided in the preamble.

 

“Amendment
Effective Date” means the date on which the conditions precedent to the effectiveness of this Amendment as specified
in Section 3 have been satisfied.

 

“Borrower”
has the meaning provided in the preamble.

 

“Credit
Agreement” means the Term Loan Agreement dated as of November 8, 2012, as amended by the First Amendment to Term Loan
Agreement dated as of July 9, 2013 and the Second Amendment to Term Loan Agreement dated as of July 19, 2013, each among the Borrower,
the Lenders and the Administrative Agent.

 

“Guarantor”
has the meaning provided in the preamble.

 

(b)              
All other capitalized terms used and not otherwise defined in this Amendment shall have the meanings provided for such terms
in the Credit Agreement.

 

2.                 
Amendments to the Credit Agreement. From and after the Amendment Effective Date, the definitions of “Applicable
Margin” and “Stated Maturity Date” appearing in Section 1.1 of the Credit Agreement shall be amended and restated
in their entirety to read as follows:

 

“Applicable
Margin” means (a) with respect to any Alternate Base Rate Loan, 0% per annum; and (b) with respect to any LIBOR
Loan, 1.65% per annum.

 

“Stated
Maturity Date” means July 3, 2016, as same may be accelerated in accordance with the terms hereof.

 

    	2

    	 

    

 

3.                 
Conditions. This Amendment shall be effective upon:

 

(a)               
the delivery to the Administrative Agent of counterparts of this Amendment duly executed by the Borrower, the Guarantor
and each Lender;

 

(b)              
the delivery to the Administrative Agent of counterparts of an amendment to the Revolving Credit Agreement duly executed
by the Guarantor, the General Partner and each Lender, which such amendment shall, among other things, extend the maturity of the
Revolving Credit Agreement to a date that is at least thirty days after the Stated Maturity Date (after giving effect to this Amendment);
and

 

(c)               
payment of (i) all accrued and unpaid interest on the Loans for the benefit of the Lenders and (ii) the reasonable fees
and expenses of counsel to the Administrative Agent as provided in Section 8.

 

4.                 
References. From and after the Amendment Effective Date, each reference throughout (i) the Credit Agreement to “this
Agreement”, and (ii) the other Loan Documents to “the Agreement” or “the Credit Agreement” shall
be to the Credit Agreement, as amended by this Amendment, and as same may be further modified, amended, consolidated, increased,
renewed, supplemented and/or extended from time to time.

 

5.                 
Representations and Warranties. In order to induce the Lenders to enter into this Amendment, the Borrower and the
Guarantor each represent and warrant that on and as of the Amendment Effective Date after giving effect to this Amendment:

 

(a)               
The execution and delivery by the Borrower and the Guarantor of this Amendment and the performance by the Borrower and the
Guarantor of this Amendment and, in the case of the Borrower, the Credit Agreement, as amended by this Amendment, have been duly
authorized by all necessary partnership, limited liability company or corporate action, as the case may be, of the Borrower or
the Guarantor, and do not and will not contravene or conflict with the Borrower’s or the Guarantor’s Organizational
Documents, or contravene or conflict, in any material respect, with any provision of law, statute, or regulation to which the Borrower
or the Guarantor is subject or any judgment, license, order or permit applicable to the Borrower or the Guarantor or any indenture,
mortgage, deed of trust, or other agreement or instrument to which the Borrower or the Guarantor is a party or by which the Borrower
or the Guarantor may be bound, or to which the Borrower or the Guarantor may be subject, in each case, to the extent the contravention
or conflict would not reasonably be expected to have a Material Adverse Effect.

 

(b)              
Each of this Amendment and, in the case of the Borrower, the Credit Agreement, as amended by this Amendment, constitutes
a legal, valid and binding obligation of the Borrower and the Guarantor, enforceable against the Borrower and the Guarantor in
accordance with its terms, subject to Debtor Relief Laws.

 

(c)               
All of the representations and warranties of the Borrower and the Guarantor contained in the Credit Agreement are true and
correct in all material respects (except to the extent (i) such representations are made as of a specific date (such as “as
of the date hereof”), in which event they shall only be required to remain true and correct in all material respects as of
such date, and (ii) of changes in fact or circumstances that do not constitute an Event of Default or Potential Default under
the Credit Agreement or any other Loan Document).

 

    	3

    	 

    

 

(d)              
No Event of Default or Potential Default has occurred and is continuing or resulted from the consummation of the transactions
contemplated by this Amendment or any other Loan Document.

 

6.                 
Reaffirmation; Acknowledgment. Except as specifically amended by this Amendment, the provisions of the Credit Agreement,
each other Loan Document and the Revolving Credit Borrower Guaranty are reaffirmed in their entirety by the Borrower and the Guarantor,
as the case may be, and shall remain unchanged and in full force and effect. Without limiting the generality of the foregoing,
the Guarantor confirms and agrees that the Revolving Credit Borrower Guaranty does and shall continue to guaranty the payment of
all Obligations of the Borrower under the Loan Documents, as amended or otherwise modified by this Amendment.

 

7.                 
Conflict With Other Documents. In the event of a conflict between the provisions of this Amendment and the provisions
of the Credit Agreement and/or any other Loan Document, the provisions of this Amendment shall govern and control to the extent
of such conflict.

 

8.                 
Payment of Expenses. On the Amendment Effective Date, the Borrower agrees to pay or reimburse the Administrative
Agent for all reasonable and documented out-of-pocket costs and expenses incurred in connection with the preparation, execution
and delivery of this Amendment and the other instruments and documents to be delivered hereunder (including, without limitation,
all Attorney Costs) in accordance with the terms of Section 9.6 of the Credit Agreement which are invoiced to the Borrower on or
prior to the Amendment Effective Date.

 

9.                 
Governing Law; Submission to Jurisdiction. This Amendment shall be governed by the laws of the State of New York
as provided in the Credit Agreement; and the Borrower and the Guarantor further agree to submit to the jurisdiction of New York
as provided in the Credit Agreement.

 

10.             
Counterparts. This Amendment may be executed in two or more counterparts, each of which may be executed by one or
more of the parties hereto, but all of which, when taken together, shall constitute a single amendment binding upon all of the
parties hereto.

 

11.             
Successors and Assigns. This Amendment shall be binding upon and inure to the benefit of the successors, legal representatives,
heirs and assigns of the parties hereto.

 

12.             
No Modification. This Amendment may not be amended, modified or otherwise changed without the mutual agreement in
writing of the parties hereto.

 

13.             
No Knowledge of Claims. To the Borrower’s and Guarantor’s knowledge, the Borrowers and the Guarantor
have no current claims, counterclaims, defenses or set-offs of any kind or nature against the Lenders or the Administrative Agent
arising out of, pursuant to, or pertaining in any way to the Credit Agreement, any other Loan Document and any and all documents
and instruments in connection with or relating to the foregoing, or this Amendment.

 

[Signatures follow on next page.]

 

    	4

    	 

    

 

 

IN WITNESS WHEREOF, the
parties hereto have executed and delivered this Amendment as of the date first written above.

  

	 	BORROWER:	 
	 	 	 
	 	WHITEHORSE FINANCE, INC.	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Gerhard Lombard 	 
	 	 	Name:  Gerhard Lombard	 
	 	 	Title: Chief Financial Officer  	 

 

 

	 	GUARANTOR: 	 
	 	 	 
	 	H.I.G. BAYSIDE LOAN OPPORTUNITY
FUND II, L.P., a Delaware limited partnership	 
	 	 	 	 
	 	By:	H.I.G. Bayside Loan Advisors,
LLC, its General Partner	 
	 	 	 	 
	 	By:	H.I.G.-GPII,
Inc., its Manager	 
	 	 	 	 
	 	By:	/s/ Richard Siegel 	 
	 	 	Name:  Richard Siegel 	 
	 	 	Title: Authorized Signatory 	 

  

 

[signatures continued on next page]

 

Signature Page to Third Amendment

(WhiteHorse Finance, Inc.)

 

    	5

    	 

    

 

	 	ADMINISTRATIVE AGENT:	 
	 	 	 
	 	CITIBANK, N. A., as Administrative
        Agent	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/  Gerard M. Russell	 
	 	 	Name: Gerard M. Russell	 
	 	 	Title:  Director	 

 

 

[signatures continued
on next page]

 

Signature Page to Third Amendment

(WhiteHorse Finance, Inc.)

 

    	6

    	 

    

 

	 	LENDER: 	 
	 	 	 
	 	CITIBANK, N. A.	 
	 	 	 	 
	 	 	 	 
	 	By:	/s/ Gerard M. Russell	 
	 	 	Name: Gerard M. Russell	 
	 	 	Title:  Director	 

 

 

Signature Page to Third Amendment

(WhiteHorse Finance, Inc.)

 

    	7EX-10.5

 Exhibit 10.5 

FIFTH AMENDMENT TO LEASE 

This Fifth Amendment to Lease (this “Fifth Amendment”), made as of the
27th day of March, 2014, by and between ARE-MA REGION NO. 28, LLC, a Delaware limited liability company (“Landlord”) and ALNYLAM PHARMACEUTICALS, INC., a Delaware
corporation (“Tenant”). 
 W I T N E S S E T H :

 WHEREAS, Landlord and Tenant are parties to a Lease dated as of September 26, 2003 (the “Original
Lease”), as amended by a First Amendment to Lease dated March 16, 2006 between Landlord (as successor to Three Hundred Third Street LLC), and Tenant (as successor to Alnylam U.S., Inc., a Delaware corporation that is a subsidiary of
Tenant and was formerly known as Alnylam Pharmaceuticals, Inc. (the “Original Tenant”), pursuant to an Assignment of Lease dated February 28, 2006 between Original Tenant and Tenant), by a Second Amendment to Lease between
Landlord and Tenant dated June 26, 2009, by a Third Amendment to Lease between Landlord and Tenant dated May 11, 2010, and by a Fourth Amendment to Lease between Landlord and Tenant dated November 4, 2011 (as so amended, the
“Lease”); and 
 WHEREAS, pursuant to the Lease, Landlord leases to Tenant approximately 129,424 square feet within
the building known and numbered as 300 Third Street, Cambridge, Massachusetts (the “Building”), which premises include but are not limited to space on the first, second, third and fourth floors of the Building and are more
particularly described in the Lease; and 
 WHEREAS, pursuant to that certain Sublease between Tenant and sanofi-aventis U.S. Inc., a
Delaware corporation (“Sanofi”) dated August 3, 2010, as amended by a First Amendment to Sublease (the “Sanofi First Amendment”) dated November 4, 2011 (as such Sublease is so amended, the “Sanofi
Sublease”), with respect to which Landlord, Tenant and Sanofi have executed that certain Consent to Sublease dated August 3, 2010 and Consent to First Amendment to Sublease dated November 4, 2011 (the “Consent to Sanofi
First Amendment”), respectively, Tenant subleased to Sanofi certain space in the Building, as more particularly described in the Sanofi Sublease, which such Sanofi Sublease terminated on December 31, 2013; and 

WHEREAS, pursuant to that certain Sublease between Tenant and Editas Medicines, Inc., a Delaware corporation
(“Editas”) dated December 31, 2013 (the “Editas Sublease”), with respect to which Landlord, Tenant and Sanofi have executed that certain Consent to Sublease dated December 13, 2013 (the “Consent to
Editas Sublease”), Tenant subleased to Sanofi certain space in the Building, all as more particularly described in the Editas Sublease; and 

WHEREAS, pursuant to that certain Sublease between Tenant and Scholar Rock, LLC, a Delaware limited liability company (“Scholar
Rock”) dated November 8, 2012 (the “Scholar Rock Sublease”), with respect to which Landlord, Tenant and Scholar Rock have 

 
executed that certain Consent to Sublease dated November 8, 2012, Tenant subleased to Scholar Rock certain space in the Building, as more particularly described in the Scholar Rock Sublease;
and 
 WHEREAS, Landlord and Tenant desire to amend the Lease to extend the term thereof, to provide that the provisions of the Lease
with respect to Excess Income (as defined in the Lease) from the Sanofi Sublease, the Scholar Rock Sublease, and the Editas Sublease shall not be applicable with respect to Excess Income for the Sanofi Sublease received by Tenant after the date
hereof, nor to certain Excess Income for the Scholar Rock Sublease and Editas Sublease received by Tenant after the date hereof, and to provide for a certain tenant allowance, all as more particularly provided below. 

NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto hereby covenant and agree as follows: 
 1. Defined Terms. All capitalized terms used
and not otherwise defined herein shall have the respective meanings ascribed to them in the Lease. In the event of any inconsistency between the Lease and this Fifth Amendment, the provisions of this Fifth Amendment shall control, and all other
provisions of the Lease shall remain in full force and effect. 
 2. Modifications to Lease. Effective as of the date hereof,
the Lease is modified as follows: 
 (a) Article 1I entitled “Expiration Date” is hereby deleted in its entirety and replaced with
the following: 
 “I. Expiration Date: September 30, 2021. 

The foregoing amendment to the Expiration Date shall operate to extend the Term, constituting an exercise of one (1) of Tenant’s two
(2) options to extend the Term. Tenant shall have one (1) remaining five (5) year option to extend the Term as set forth in the second paragraph of Article 2 of the Lease, provided that the Annual Rent for the remaining five
(5) year option period shall be 95% of the then Fair Market Rent.” 

  
 2 

 (b) Article 1K entitled “Monthly Rent” is hereby amended so that for the period from
October 1, 2016 through September 30, 2021, the Annual Rent and Monthly Rent shall be as set forth in the table below: 
  

													
	 PERIOD
	 	ANNUAL RENT	 	 	MONTHLY RENT	 	 	RATE PER
SQUARE FOOT	 
	 October 1, 2016 through September 30, 2017
	 	$	7,118,320.00	  	 	$	593,193.33	  	 	$	55.00 per square foot	  
	 October 1, 2017 through September 30, 2018
	 	$	7,331,869.60	  	 	$	610,989.13	  	 	$	56.65 per square foot	  
	 October 1, 2018 through September 30, 2019
	 	$	7,551.890.40	  	 	$	629,324.20	  	 	$	58.35 per square foot	  
	 October 1, 2019 through September 30, 2020
	 	$	7,778,382.40	  	 	$	648,198.53	  	 	$	60.10 per square foot	  
	 October 1, 2020 through September 30, 2021
	 	$	8,011,345.60	  	 	$	667,612.13	  	 	$	61.90 per square foot	  

 Notwithstanding the foregoing, no Monthly Rent shall be due or payable for the month of October, 2016. 

3. Excess Income. The Lease is hereby amended so that, notwithstanding any contrary provision of the Lease, Landlord hereby
waives its right to (i) any Excess Income payments with respect to the Sanofi Sublease payable from and after the date of this Fifth Amendment to Lease (Landlord retaining the right to all such payments received prior to the date hereof);
(ii) any Excess Income payments with respect to the current term of the Scholar Rock Sublease payable from and after the date of this Fifth Amendment to Lease (but not any extension of the Scholar Rock Sublease, as to which Landlord reserves
its rights under Section 16(D) of the Original Lease); and (iii) any Excess Income Payments with respect to the current term of the Editas Sublease (but not any extension of the Editas Sublease, as to which Landlord reserves its rights
under Section 16(D) of the Original Lease) payable from and after the date of this Fifth Amendment to Lease. Except as aforesaid, the terms and conditions of the Original Lease pertaining to Excess Income, including without limitation the terms
and conditions of Section 16(D) of the Original Lease, shall apply to all other assignment and subletting. 
 4. Tenant
Improvement Allowance. Landlord shall provide a Tenant Improvement Allowance of up to $15.00 per rentable square foot of the Premises, or up to $1,941,360.00, in the aggregate, which may be used by Tenant to fund appropriate improvements to
the Premises which are consistent with the use of the Premises as Class A laboratory and office space, as described in the Work Letter attached hereto as Exhibit A. 

5. Ratification of Lease; Effect of Fifth Amendment. The Lease, as amended by this Fifth Amendment, is hereby ratified and
confirmed, and each and every provision, covenant, condition, obligation, right and power contained in and under, or existing in connection with, the Lease, as amended by this Fifth Amendment, shall 

  
 3 

 
continue in full force and effect from and after the date hereof and throughout the Term. This Fifth Amendment is not intended to, and shall not be construed to, effect a novation, and, except as
expressly provided in this Fifth Amendment, the Lease has not been modified, amended, canceled, terminated, surrendered, superseded or otherwise rendered of no force and effect. Tenant acknowledges and agrees that the Lease, as amended by this Fifth
Amendment, is enforceable against Tenant in accordance with its terms. The Lease and this Fifth Amendment shall be construed together as a single instrument. This Fifth Amendment is the entire agreement between the parties with respect to the
subject matter hereof and supersedes all prior and contemporaneous oral and written agreements and discussions. This Fifth Amendment may be amended only by an agreement in writing signed by the parties hereto. 

6. No Defaults, Counterclaims or Rights of Offset; Release of Landlord. Tenant hereby warrants and represents that, to its
knowledge, as of the date of the execution of this Fifth Amendment by Tenant, there are no defaults under the Lease in respect of Landlord’s performance thereunder and there exist no defenses, counterclaims or rights of offset with respect
thereto. Tenant, for itself, its officers, directors, members, shareholders and their respective legal representatives, successors and assigns, does hereby absolutely and irrevocably waive, remise, release and forever discharge Landlord, its
successors, assigns, partners, employees, affiliates, attorneys and agents, of and from any and all manner of action and actions, cause and causes of actions, suits, debts, dues, sums of money, accounts, reckoning, bonds, bills, specialties,
covenants, contracts, controversies, agreements, promises, variances, trespasses, damages, judgments, extents, executions, claims and demands whatsoever, in law or in equity, for items or matters that Tenant could have been aware of or known about,
through and including the date of execution and delivery of this Fifth Amendment in connection with or relating to the Lease or the transactions contemplated hereby. Nothing contained in this paragraph shall be construed to release Tenant from its
obligations under the Lease throughout the Term of the Lease (including the Extended Term, if any). 
 7. Brokers. Landlord
and Tenant represent and warrant to each other that neither has dealt with any broker, finder or agent in procuring this Fifth Amendment except for Transwestern RBJ (the “Broker”). Tenant and Landlord represent and warrant to each other
that, except with respect to the Broker, who represented Tenant, no broker, agent, commission salesperson, or other person has represented it in the negotiations for and procurement of this Fifth Amendment and that with respect to this Fifth
Amendment no commissions, fees, or compensation of any kind are due and payable in connection herewith to any broker, agent, commission salesperson, or other person. Tenant and Landlord agree to indemnify and hold harmless each other, its agents,
members, partners, representatives, officers, affiliates, shareholders, employees, successors and assigns from and against any and all loss, liabilities, claims, suits, or judgments (including, without limitation, reasonable attorneys’ fees and
court costs incurred in connection with any such claims, suits, or judgments, or in connection with the enforcement of this indemnity) for any fees, commissions, or compensation of any kind which arise out of or are in any way connected with any
claimed agency relationship not referenced in this paragraph. 

  
 4 

 8. Successors and Assigns. This Fifth Amendment shall bind and inure to the benefit
of the parties hereto and their respective permitted successors and assigns. 
 9. Counterparts. This Fifth Amendment may be
executed in a number of identical counterparts, each of which for all purposes shall be deemed to be an original, and all of which shall collectively constitute but one agreement, fully binding upon, and enforceable against the parties hereto. 

[remainder of page intentionally left blank] 

  
 5 

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

											
		 	TENANT:	 	
			
		 	ALNYLAM PHARMACEUTICALS, INC.	 	
				
		 	By:	 	 /s/ John Maraganore
	 	
		 	Name:	 	 John Maraganore
	 	
		 	Title:	 	 CEO
	 	
			
		 	LANDLORD:	 	
			
		 	 ARE-MA REGION NO. 28, LLC,
 a
Delaware limited liability company
	 	
				
		 	By:	 	Alexandria Real Estate Equities, L.P.,	 	
		 		 	a Delaware limited liability company, its member	 	
					
		 		 	By:	 	ARE-QRS Corp., a Maryland corporation,	 	
		 		 		 	its general partner	 	
						
		 		 		 	By:	 	 /s/ Eric S. Johnson
	 	
		 		 		 	Name:	 	 Eric S. Johnson
	 	
		 		 		 	Title:	 	 Vice President, Real Estate Legal Affairs
	 	

  
 6 

 Exhibit A 

to 
 Fifth Amendment to
Lease 
 [Tenant Build] 

WORK LETTER 
 THIS
WORK LETTER (this “Work Letter”) is incorporated into that certain Fifth Amendment to Lease (the “Fifth Amendment to Lease”) dated as of March 27, 2014, by and between ARE-MA Region No. 28,
LLC, a Delaware limited liability company (“Landlord”), and Alnylam Pharmaceuticals, Inc., a Delaware corporation (“Tenant”), which amends that certain Lease dated as of September 26, 2003 (the
“Original Lease”), as amended by a First Amendment to Lease dated March 16, 2006 between Landlord (as successor to Three Hundred Third Street LLC), and Tenant (as successor to Alnylam U.S., Inc., a Delaware corporation that is
a subsidiary of Tenant and was formerly known as Alnylam Pharmaceuticals, Inc. (the “Original Tenant”), pursuant to an Assignment of Lease dated February 28, 2006 between Original Tenant and Tenant), by a Second Amendment to
Lease between Landlord and Tenant dated June 26, 2009, by a Third Amendment to Lease between Landlord and Tenant dated May 11, 2010, by a Fourth Amendment to Lease between Landlord and Tenant dated November 4, 2011, and by the Fifth
Amendment to Lease (as so amended, the “Lease”) (as amended, the “Lease”). Any initially capitalized terms used but not defined herein shall have the meanings given them in the Lease. 

1. General Requirements. 

(a) Tenant’s Authorized Representative. Tenant designates Michael Mason and Bill Powers (either such individual acting alone,
“Tenant’s Representative”) as the only persons authorized to act for Tenant pursuant to this Work Letter. Landlord shall not be obligated to respond to or act upon any request, approval, inquiry or other communication
(“Communication”) from or on behalf of Tenant in connection with this Work Letter unless such Communication is in writing from Tenant’s Representative. Tenant may change Tenant’s Representative at any time upon not less
than 5 business days advance written notice to Landlord. 
 (b) Landlord’s Authorized Representative. Landlord designates Tom
Andrews, Joe Maguire and Jeff McComish (any such individual acting alone, “Landlord’s Representative”) as the only persons authorized to act for Landlord pursuant to this Work Letter. Tenant shall not be obligated to respond to
or act upon any request, approval, inquiry or other Communication from or on behalf of Landlord in connection with this Work Letter unless such Communication is in writing from Landlord’s Representative. Landlord may change either
Landlord’s Representative at any time upon not less than 5 business days advance written notice to Tenant. 

  
 7 

 (c) Architects, Consultants and Contractors. Landlord and Tenant hereby acknowledge and
agree that the architect (the “TI Architect”) for the Tenant Improvements (as defined in Section 2(a) below), the general contractor and any subcontractors for the Tenant Improvements, shall be selected by Tenant, subject to
Landlord’s approval, which approval shall not be unreasonably withheld, conditioned or delayed. Landlord shall be named a third party beneficiary of any contract entered into by Tenant with the TI Architect, any consultant, any contractor or
any subcontractor, and of any warranty made by any contractor or any subcontractor. 
 (d) Time Periods for Response. Unless another
time period is expressly set forth in this Work Letter, Landlord and Tenant shall respond to any request for consent or approval of the other party hereunder within 10 business days after delivery of such request. 

2. Tenant Improvements. 

(a) Tenant Improvements and Tenant Improvement Work Defined. As used herein, “Tenant Improvements” shall mean any
improvements to the Premises desired by Tenant of a fixed and permanent nature which are consistent with the use of the Premises as Class A laboratory and office space to be funded by the TI Allowance (as defined below). The work of performing
the construction of the Tenant Improvements, which will be described on the TI Construction Drawings (as such term is defined below) when the same have been approved pursuant to Section 2(c) is referred to herein as the “Tenant
Improvement Work.” Other than funding the TI Allowance as provided herein, Landlord shall not have any obligation whatsoever with respect to the improvement of the Premises for Tenant’s use and occupancy. The Tenant Improvement Work
may be performed in separate phases (each, a Phase”), each Phase having a Budget (as such term is defined below) of no less than $250,000.00, provided that each such Phase shall comply with the requirements of this Work Letter as a separate
project. 
 (b) Tenant’s Space Plans. Tenant shall initiate any Tenant Improvements by delivering to Landlord, for
Landlord’s review and approval, schematic drawings and outline specifications (the “TI Design Drawings”) detailing Tenant’s requirements for the Tenant Improvements. Landlord shall not unreasonably withhold, condition, or
delay such approval. 
 (c) Working Drawings. Upon Landlord’s approval of the TI Design Drawings, Tenant shall cause the TI
Architect to prepare and deliver to Landlord for review and comment construction plans, specifications and drawings for the Tenant Improvements (“TI Construction Drawings”), which TI Construction Drawings shall be prepared
substantially in accordance with the TI Design Drawings. Tenant shall be solely responsible for ensuring that the TI Construction Drawings reflect Tenant’s requirements for the Tenant Improvements. Landlord shall deliver its written comments on
the TI Construction Drawings to Tenant not later than 10 business days after Landlord’s receipt of the same; provided, however, that Landlord may not disapprove any matter that is consistent with the

  
 8 

 
TI Design Drawings. Tenant and the TI Architect shall consider all such comments in good faith and shall, within 10 business days after receipt, notify Landlord how Tenant proposes to respond to
such comments. Any disputes in connection with such comments shall be resolved in accordance with Section 2(d) hereof. Provided that the design reflected in the TI Construction Drawings is consistent with the TI Design Drawings, Landlord shall
approve the TI Construction Drawings submitted by Tenant. Once approved by Landlord, subject to the provisions of Section 4 below, Tenant shall not materially modify the TI Construction Drawings except as may be reasonably required in
connection with the issuance of the TI Permit (as defined in Section 3(a) below). 
 (d) Approval and Completion. If any dispute
regarding the design of the Tenant Improvements is not settled within 10 business days after notice of such dispute is delivered by one party to the other, Tenant may make the final decision regarding the design of the Tenant Improvements, provided
(i) Tenant acts reasonably and such final decision is either consistent with Tenant’s initial position or a compromise between Landlord’s and Tenant’s positions with respect to such dispute, (ii) that Tenant’s decision
will not affect the structural components of the Building or any Building systems (in which case Landlord shall make the final decision, consistent with any prior approval by Landlord of the TI Design Drawings and the TI Construction Drawings; and
(iii) the design selected is in compliance with Legal Requirements (as such term is defined in the Lease). Any changes to the TI Construction Drawings following Landlord’s and Tenant’s approval of same requested by Tenant shall be
processed as provided in Section 4 hereof. 
 3. Performance of the Tenant Improvements.  

(a) Commencement and Permitting of the Tenant Improvements. Following Landlord’s approval of the TI Construction Drawings in
accordance with Section 2(c) above), Tenant shall submit to the applicable Governmental Authority a complete application for a building permit (the “TI Permit”), which upon issuance will authorize the construction of the Tenant
Improvements as shown on the TI Construction Drawings approved by Landlord. Tenant shall commence construction of the Tenant Improvements within 30 days of obtaining and delivering to Landlord the TI Permit. Prior to the commencement of the Tenant
Improvements, Tenant shall deliver to Landlord a copy of any contract with Tenant’s contractors (including the TI Architect), and certificates of insurance from any contractor performing any part of the Tenant Improvement evidencing industry
standard commercial general liability, automotive liability, “builder’s risk”, and workers’ compensation insurance. Tenant shall cause the general contractor to provide a certificate of insurance naming Landlord, Alexandria Real
Estate Equities, Inc., and Landlord’s lender (if any) as additional insureds for the general contractor’s liability coverages required above. 

(b) Selection of Materials, Etc. Where more than one type of material or structure is indicated on the TI Construction Drawings
approved by Tenant and Landlord, the option will be within Tenant’s reasonable discretion if the matter concerns the Tenant Improvements, and within Landlord’s sole and absolute subjective discretion if the matter concerns the structural
components of the Building or any Building system. 

  
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 (c) Tenant Liability. Tenant shall be responsible for correcting any deficiencies or
defects in the Tenant Improvements. 
 (d) Substantial Completion. Once commenced, Tenant shall diligently prosecute and
substantially complete or cause to be substantially completed the Tenant Improvements in a good and workmanlike manner, in accordance with the TI Permit subject, in each case, to Minor Variations and normal “punch list” items of a
non-material nature which do not interfere with the use of the Expansion Space (“Substantial Completion” or “Substantially Complete”). Upon Substantial Completion of the Tenant Improvements, Tenant shall require the
TI Architect and the general contractor to execute and deliver, for the benefit of Tenant and Landlord, a Certificate of Substantial Completion in the form of the American Institute of Architects (“AIA”) document G704, and, if
required by the City of Cambridge, a certificate of occupancy for the Premises (if applicable, Tenant may obtain a temporary certificate of occupancy to satisfy the foregoing requirement provided that Tenant shall be obligated to obtain the
permanent certificate of occupancy as promptly as possible thereafter and shall use commercially reasonable efforts to do so). For purposes of this Work Letter, “Minor Variations” shall mean any modifications reasonably required:
(i) to comply with all applicable Legal Requirements and/or to obtain or to comply with any required permit (including the TI Permit); (ii) to comport with good design, engineering, and construction practices which are not material; or
(iii) to make reasonable adjustments for field deviations or conditions encountered during the construction of the Tenant Improvements. 

4. Changes. Any changes requested by Tenant to the Tenant Improvements after the approval by Landlord of the TI Design Drawings, shall
be requested and instituted in accordance with the provisions of this Section 4 and shall be subject to the written approval of Landlord, which approval shall not be unreasonably withheld, conditioned or delayed. 

(a) Tenant’s Right to Request Changes. If Tenant shall request changes (“Changes”), Tenant shall request such
Changes by notifying Landlord in writing in substantially the same form as the AIA standard change order form (a “Change Request”), which Change Request shall detail the nature and extent of any such Change. Such Change Request must
be signed by Tenant’s Representative. Landlord shall review and approve or disapprove such Change Request within 5 business days thereafter, provided that Landlord’s approval shall not be unreasonably withheld, conditioned or delayed. 

(b) Implementation of Changes. If Landlord approves such Change, Tenant may cause the approved Change to be instituted. If any TI
Permit modification or change is required as a result of such Change, Tenant shall promptly provide Landlord with a copy of such TI Permit modification or change. 

  
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 5. Costs. 

(a) Budget For Tenant Improvements. Before the commencement of construction of the Tenant Improvements (or, if the Tenant Improvements
are undertaken in Phases, before the commencement of any Phase thereof), Tenant shall obtain a detailed breakdown, by trade, of the costs incurred or that will be incurred, in connection with the design and construction of the Tenant Improvements
(the “Budget”), and deliver a copy of the Budget to Landlord for Landlord’s approval, which shall not be unreasonably withheld or delayed. The Budget shall be based upon the TI Construction Drawings approved by Landlord and
shall include Landlord’s third party costs associated with the review of the proposed Tenant Improvements, which third party costs shall be payable from the TI Allowance. 

(b) TI Allowance. Subject to the terms and conditions of this Work Letter and the Lease, Landlord shall provide to Tenant a tenant
improvement allowance (“TI Allowance”) of $15.00 per rentable square foot of the Premises, or $1,941,360.00 in the aggregate. Notwithstanding anything to the contrary contained in this Work Letter or the Lease, no portion of the TI
Allowance shall be required to be disbursed by Landlord until the TI Permit is obtained by Tenant from the applicable Governmental Authority, and a copy of the TI Permit is delivered to Landlord. 

(c) Costs Includable in TI Allowance. The TI Allowance shall be used for the payment of design, permits and construction costs in
connection with the construction of the Tenant Improvements, including, without limitation, the cost of electrical power and other utilities used in connection with the construction of the Tenant Improvements, the cost of preparing the TI Design
Drawings and the TI Construction Drawings, all costs set forth in the Budget, Landlord’s third party costs associated with the review of the proposed Tenant Improvements, and the cost of Changes (collectively, “TI
Costs”). Notwithstanding anything to the contrary contained herein, no more than 20% ($388,272.00) of the TI Allowance may be used for soft costs, such as architect/engineer fees, third party project management costs, data/telecom cabling,
and related furniture, fixtures and equipment. 
 (d) Excess TI Costs. Landlord shall have no obligation to bear any portion of the
cost of any of the Tenant Improvements except to the extent of the TI Allowance. 
 (e) Payment for TI Costs. Following Substantial
Completion of the Tenant Improvements (or any separate Phase thereof), Landlord shall reimburse Tenant for TI Costs, up the amount of the TI Allowance, against: (i) a draw request in Landlord’s standard form; (ii) sworn statements
setting forth the names of all contractors and first tier subcontractors who did the work and final, unconditional lien waivers from all such contractors and first tier subcontractors; (iii) as-built plans (one copy in print format and two
copies in electronic CAD format) for such Tenant Improvements; (iv) a certification of substantial completion in Form AIA G704; (v) a certificate of occupancy (either temporary 

  
 11 

 
or permanent) for the Premises (if required by the City of Cambridge); (vi) evidence of payment of all TI Costs by Tenant in accordance with the Budget; and (vii) copies of all
operation and maintenance manuals and warranties with respect to the Tenant Improvements, no later than 30 days following receipt of such draw request and foregoing materials. 

(f) Outside Date. Landlord shall have no obligation to fund any portion of the TI Allowance which remains undisbursed as of
December 31, 2017. 
 6. Miscellaneous. 

(a) Consents. Whenever consent or approval of either party is required under this Work Letter, that party shall not unreasonably
withhold, condition or delay such consent or approval, except as may be expressly set forth herein to the contrary. 
 (b)
Modification. No modification, waiver or amendment of this Work Letter or of any of its conditions or provisions shall be binding upon Landlord or Tenant unless in writing signed by Landlord and Tenant. 

(c) Default. Notwithstanding anything set forth herein or in the Lease to the contrary, Landlord shall not have any obligation to
perform any work hereunder or to fund any portion of the TI Allowance during any period that Tenant is in Default under the Lease. 

  
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