Document:

Exhibit 10.39

 

9500 Glenlyon Parkway

 

Burnaby, British Columbia

 

 

 

LEASE

 

 

 

THE GREAT-WEST LIFE ASSURANCE COMPANY

 

AND

 

LONDON LIFE INSURANCE COMPANY

 

LANDLORD

 

- AND -

 

RITCHIE BROS. AUCTIONEERS (CANADA) LTD.

 

TENANT

 

 

 

 

DATED THE 12th DAY OF AUGUST,
2008

 

     

     

    

  

	ARTICLE 1	BASIC LEASE TERMS AND DEFINITIONS	 
	1.1	Basic Terms	1
	1.2	Definitions	2
	 	 	 
	ARTICLE 2	GENERAL COVENANTS	 
	2.1	Tenant’s Covenants	5
	2.2	Landlord’s Covenants	5
	2.3	Deemed Covenants	5
	 	 	 
	ARTICLE 3	DEMISE AND TERM	 
	3.1	Demise of Premises	5
	3.2	Term	5
	3.3	Overholding	5
	3.4	Leasehold Improvements	6
	 	 	 
	ARTICLE 4	RENT	 
	4.1	Basic Rent	6
	4.2	Additional Rent	7
	4.3	Payment of Additional Rent	7
	4.4	Method of Payment	8
	4.5	Adjustment of Additional Rent	8
	4.6	Apportionment of Rent	9
	4.7	No Right of Set-off	9
	4.8	Additional Rent Deemed Rent	9
	4.9	Interest on Arrears	9
	4.10	Net Lease	9
	4.11	No Rentable Area Adjustment or Recalculation	9
	 	 	 
	ARTICLE 5	TAXES	 
	5.1	Tenant’s Taxes and Sales Taxes	10
	5.2	Tenant’s Contribution to Taxes	10
	5.3	Payments	10

 

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	ARTICLE 6	SERVICES, COMMON FACILITIES	 
	6.1	Tenant’s Contribution to Operating Costs	11
	6.2	Operations and Maintenance of the Premises	11
	6.3	Operation of Regular HVAC System	11
	6.4	Additional HVAC	11
	6.5	Utilities and Lighting Fixtures	12
	6.6	Janitorial Services	12
	6.7	Security Services	12
	6.8	Interruption in Services	13
	6.9	Energy Conservation	13
	6.10	Pest Control by Tenant	13
	 	 	 
	ARTICLE 7	USE AND OCCUPANCY OF PREMISES	 
	7.1	Use of Premises	13
	7.2	Waste and Nuisance	14
	7.3	No Overloading of Services or Common Use Equipment	14
	7.4	Observance of Law
    by Landlord and Tenant	14
	7.5	Rules and Regulations	14
	7.6	Hazardous Substances	14
	7.7	Signs	16
	 	 	 
	ARTICLE 8	ALTERATIONS	 
	8.1	Alterations by Tenant	17
	8.2	Air-Balancing	18
	8.3	No Financing by Tenant of Leasehold Improvements	18
	8.4	Liens	18
	8.5	Alterations by Landlord	18
	8.6	Prohibition Re Certain Materials	19
	 	 	 
	ARTICLE 9	REPAIRS	 
	9.1	Landlord’s Repairs	19
	9.2	Tenant’s Repairs	19
	9.3	Entry by Landlord to View State of Repair	19
	9.4	Notice of Defects	19
	9.5	Termination or Abatement after Damage	20
	9.6	No Claim by Tenant	21
	9.7	Tenant to Leave Premises in Good Repair	21

  

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	ARTICLE 10	INSURANCE AND LIABILITY	 
	10.1	Landlord’s Insurance	21
	10.2	Tenant’s Insurance	22
	10.3	Form of Tenant’s Insurance	22
	10.4	Insurance Cancellation or Cost Increase	23
	10.5	Release of Landlord by Tenant	24
	10.6	Release of Tenant by Landlord	25
	10.7	Indemnity of Landlord by Tenant	25
	10.8	Indemnity of Tenant by Landlord	25
	 	 	 
	ARTICLE 11	ASSIGNMENTS BY TENANT AND TRANSFERS BY LANDLORD	 
	11.1	Assignment, Subleases, Charges by Tenant	25
	11.2	Landlord’s Rights of Cancellation	28
	11.3	Continuing Obligations of Tenant	28
	11.4	No Advertising of the Premises	28
	11.5	Dealings by Landlord	29
	11.6	Subordination and Attornment	29
	11.7	Non-Disturbance Agreement	29
	 	 	 
	ARTICLE 12	ESTOPPEL CERTIFICATES, REGISTRATION	 
	12.1	Estoppel Certificates	29
	12.2	Registration on Title	30
	 	 	 
	ARTICLE 13	UNAVOIDABLE DELAYS	 
	13.1	Unavoidable Delays	30
	 	 	 
	ARTICLE 14	LANDLORD’S ACCESS TO PREMISES	 
	14.1	Inspection and Repair	30
	14.2	Right to Exhibit Premises	31
	 	 	 
	ARTICLE 15	DEFAULT	 
	15.1	Events of Default	31
	15.2	Remedies of Landlord	32
	15.3	Additional Self-Help Remedy of Landlord	33
	15.4	Legal Costs - Landlord	33
	15.5	Legal Costs - Tenant	33

 

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	15.6	Remedies Cumulative	33
	15.7	Non-Waiver	34
	 	 	 
	ARTICLE 16	ARBITRATION	 
	16.1	Arbitration	34
	 	 	 
	ARTICLE 17	GENERAL PROVISIONS	 
	17.1	Entire Agreement	36
	17.2	Schedules	36
	17.3	Survival of Obligations	36
	17.4	Severability of illegal Provisions	37
	17.5	Governing Law	37
	17.6	No Partnership	37
	17.7	Number, Gender, Joint and Several Liability	37
	17.8	Captions	37
	17.9	Time of Essence	37
	17.10	Landlord’s Agent	37
	17.11	Successors and Assigns	37
	17.12	Accounting Principles	38
	17.13	Notices and Consents, Etc	38
	17.14	Further Assurances	39
	17.15	Confidentiality	39

 

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THIS LEASE is dated the 12th day of August, 2008.

 

BETWEEN:

 

THE GREAT WEST-LIFE ASSURANCE COMPANY AND

 

LONDON LIFE INSURANCE COMPANY

 

(hereinafter called the “Landlord”)

 

AND:

 

RITCHIE BROS. AUCTIONEERS (CANADA) LTD.

 

(hereinafter called the “Tenant”)

 

In consideration of the premises and the mutual covenants,
agreements and conditions herein contained, it is hereby covenanted, agreed and declared between the parties as follows:

 

ARTICLE 1 BASIC LEASE TERMS AND DEFINITIONS

 

1.1           Basic
Terms

 

The basic terms (hereinafter called the ‘‘Basic
Terms”) of this Lease are as follows:

 

	 	(a)	(i)	Landlord:	THE GREAT-WEST LIFE ASSURANCE COMPANY AND THE LONDON LIFE INSURANCE COMPANY
	 	 	 	 	 
	 	 	(ii)	Address of Landlord:	c/o GWL Realty Advisors Inc.
	 	 	 	 	Suite 3000 - 650 West Georgia Street
	 	 	 	 	P.O. Box 11505
	 	 	 	 	Vancouver, B.C. V6B 4N7
	 	 	 	 	 
	 	 	(iii)	Telephone/Fax:	(604) 713-6450 / (604) 683-3264
	 	 	 	 	 
	 	(b)	(i)	Tenant (legal name):	RITCHIE BROS AUCTIONEERS
	 	 	 	 	(CANADA) LTD.
	 	 	 	 	 
	 	 	(ii)	Address of Tenant:	6500 RlVER ROAD
	 	 	 	 	RICHMOND, B.C.
	 	 	 	 	V6X 4G5
	 	 	 	 	Attention: Darren Watt
	 	 	 	 	 
	 	 	(iii)	Telephone/Fax:	(604) 273-7564/ (604) 273-9339
	 	 	 	 	 
	 	(c)	Premises:	9500 GLENLYON PARKWAY
	 	 	 	BURNABY, B.C.
	 	 	 	 
	 	(d)	Rentable Area of Building:	164,580 square feet

 

     

     

    

 

	 	(e)	Term:	Twenty (20) years
	 	(f)	Commencement Date:	As Per Section 3.2
	 	(g)	Basic Rent:	 

 

	 	 	Per Square Foot of	 	 	Annual Basic	 	 	Monthly Basic	 
	 	 	Rentable Area of	 	 	Rent	 	 	Rent	 
	Period	 	the Premises	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 
	Year I to Year 5	 	$	24.50	 	 	$	4,032,210	 	 	$	336,017.50	 
	Year 6 to Year 10	 	$	26.95	 	 	$	4,435,431	 	 	$	369,619.25	 
	Year 11 to Year 15	 	$	29.64	 	 	$	4,878,974	 	 	$	406,581.17	 
	Year 16 to Year 20	 	$	32.61	 	 	$	5,366,872	 	 	$	447,239.33	 

 

	 	(h)	Permitted Use:	General office and associated use including daycare services, fitness centre and cafeteria
	 	(i)	Security Deposit:	N/A

 

The Basic Terms are agreed to by the parties
and each reference in this Lease to any of the Basic Terms will be construed to include the foregoing provisions and all of the
additional applicable sections of this Lease where such Basic Terms may be more fully set forth.

 

		1.2	Definitions

 

The terms defined herein shall have, for
all purposes of this Lease and all instruments supplemental hereto, the following meanings unless the context expressly or by necessary
implication otherwise requires:

 

“Additional Rent” means
all sums of money, other than Basic Rent, which are required to be paid by the Tenant pursuant to any provision of this Lease,
whether or not designated as “Additional Rent”, and which is deemed to be accruing on a day-to-day basis.

 

“Additional
Service” means any service identified as such in this Lease or which is requested by the Tenant in addition to those
supplied by the Landlord as part of the normal Premises service and which the Landlord is prepared to supply at an additional cost
to the Tenant.

 

“Additional Service Cost’
means the additional amount identified as such in this Lease or payable by the Tenant to the Landlord for any Additional Service.

 

“Architect”
means the independent architect, engineer, surveyor, or other qualified professional from time to time named by the Landlord. The
decision of the Architect whenever required and any related certificate shall be final and binding on the parties.

 

“Basic Rent’ means the rent payable by the
Tenant pursuant to Section 4.1.

 

“Building” means the building and all other
fixed improvements situated at any time on the Lands, all of which are municipally known as 9500 Glenlyon Parkway, Burnaby, British
Columbia.

 

“Building Standard”
and “Building standard” means the building standard established by the Landlord including matters of design,
construction and/or installation to be observed by the tenants in the Building, including the Tenant, in connection with Leasehold
Improvements, tenant fixtures and chattels, as amended from time to time by the Landlord, acting reasonably.

 

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“Building Systems” means
all mechanical, plumbing, electrical and heating, ventilation and air conditioning equipment, pipes, ducts, wiring, machinery and
equipment and other integral services, utility connections and the like providing services to the Building.

 

“Business Hours” means
the period from 8:00 a.m. to 6:00 p.m. on any Business Day and “Business Day” means any day which is not a
Saturday or a Sunday or a statutory holiday.

 

“Business
Park” means the business park known as Glenlyon Business Park located in South Burnaby, British Columbia and comprised
of the lands, buildings and other improvements located thereon from time to time.

 

“Development Agreement”
means the development agreement made the 12th Day of August, 2008 by and between the Landlord and Ritchie Bros. Properties
Ltd. in respect of, amongst other things, the construction of the Building on the Lands.

 

“Gross Income” means,
with respect to any Rental Year, the aggregate of all revenues, including Rent under Article 4 of this Lease, earned by or for
the account of the Landlord from the operation of the Building.

 

“Insured
Damage” means that part of any damage occurring to the Premises, of which the entire cost of repair (except as to any
deductible amount provided for in the applicable policy or policies of insurance) is actually recovered by the Landlord under a
policy or policies of insurance from time to time effected by the Landlord pursuant hereto or for which the Landlord self-insured.

 

“Lands” means the lands
described in Schedule “B” attached hereto, as the boundaries thereof may be varied from time to time by additions functionally
integrated therewith or by deletions for road widening or other public purposes.

 

“Landlord’s Taxes” means the aggregate
of:

 

(a)          Taxes;
and

 

(b)          Other
Taxes.

 

“Lease” means this Lease including any Schedules,
as amended from time to time pursuant hereto.

 

“Leasehold
Improvements” means all items generally considered as leasehold improvements, including, without limitation, all fixtures,
equipment, improvements, installations, alterations and additions from time to time made, erected or installed by or on behalf
of the Tenant, or any previous occupant of the Premises, in the Premises including any methane extraction system installed by the
Tenant, all partitions, however affixed and whether or not movable, and all wall-to-wall carpeting other than carpeting laid over
finished floors and affixed so as to be readily removable without damage; but excluding trade fixtures, furniture, unattached or
free standing partitions and equipment not of the nature of fixtures.

 

“Operating Costs” means Operating Costs as
defined in Schedule “C” attached hereto.

 

“Premises” means the premises demised to
the Tenant under this Lease consisting of the Building and the Lands.

 

“Present Value” means the value determined
by using an annual discount rate equal to the annual rate of interest, in effect as of the relevant date of default, announced
by Bank of Montreal as its prime rate, being the reference rate used by it to determine interest for loans in Canadian dollars
to Canadian customers.

 

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“Rate of Interest”
means the annual rate of interest equal to the annual rate of interest announced from time to time by Bank of Montreal as the reference
rate of interest then in effect for loans in Canadian dollars to Canadian customers of varying degrees of credit-worthiness plus
three percent (3%), adjusted from time to time to reflect changes in such rate.

 

“Rent” means Basic Rent and Additional Rent.

 

“Rental Year”
means a period of time, the first Rental Year commencing on the first day of the Term hereof, and ending on the last day of the
month of December immediately following. Each Rental Year thereafter shall consist of consecutive periods of twelve (12) calendar
months, but the last Rental Year of the Term, whether or not it is twelve (12) calendar months, shall terminate on the expiration
or earlier termination of this Lease. If, however, the Landlord considers it necessary or convenient for the Landlord’s purposes,
the Landlord may at any time and from time to time by written notice to the Tenant, specify a date from which each subsequent Rental
Year is to commence, and in such event the then current Rental Year shall terminate on the day immediately preceding the commencement
of such new Rental Year, and the appropriate adjustments shall be made between the parties.

 

“Sales Taxes” means
all goods and services, business transfer, multi-stage sales, sales, use, consumption, value-added or other similar taxes imposed
by the Government of Canada or any provincial or local government upon the Landlord, or the Tenant in respect of this Lease, or
the payments made by the Tenant hereunder or the goods and services provided by the Landlord hereunder including, without limitation,
the rental of the Premises and the provision of administrative services to the Tenant hereunder.

 

“Taxes”
means all taxes, rates, duties, levies, fees, charges, sewer levies, local improvement rates, and assessments whatsoever, imposed,
assessed, levied or charged now or in the future by any school, municipal, regional, provincial, federal, parliamentary or other
governmental body, corporate authority, agency or commission (including, without limitation, school boards and utility commissions),
against the Premises and/or the Landlord in connection therewith, but excluding (unless specifically referred to above):

 

		(a)	income or profit taxes upon the income of the Landlord
to the extent such taxes are not levied in substitution or in lieu of any of the foregoing;

 

		(b)	business or similar taxes or licence fees in respect of
the business of the Landlord which pertains to the management, operation and maintenance of the Premises; and

 

		(c)	business or similar taxes or licence fees in respect of
any business carried on by tenants and occupants (including the Tenant) of the Premises.

 

“Tenant’s Taxes” means the aggregate
of:

 

		(a)	all taxes imposed upon the Tenant which are attributable
to the personal property, furnishings, fixtures and Leasehold Improvements installed in the Premises; and

 

		(b)	all taxes imposed upon the Tenant which are attributable
to the business, income or occupancy of the Tenant or any other occupant of the Premises.

 

“Term” means the term of this Lease
as specified in Section 3.2.

 

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ARTICLE 2 GENERAL COVENANTS 

 

		2.1	Tenant’s Covenants

 

The Tenant covenants
with the Landlord:

 

		(a)	to pay Rent; and

 

		(b)	to observe and perform all the covenants and obligations
of the Tenant herein.

 

		2.2	Landlord’s Covenants

 

The Landlord covenants with the Tenant:

 

		(a)	for quiet enjoyment, subject to the provisions of this
Lease; and

 

		(b)	provided the Tenant pays the Rent, and observes and performs
all of its covenants and obligations herein, to observe and perform all the covenants and obligations of the Landlord herein.

 

		2.3	Deemed Covenants

 

Each obligation or agreement of the Landlord
or the Tenant expressed in this Lease, even though not expressed as a covenant, is considered to be a covenant for all purposes.

 

ARTICLE 3DEMISE AND TERM

 

		3.1	Demise of Premises

 

The Landlord hereby demises and leases
unto the Tenant, and the Tenant hereby leases from the Landlord, the Premises for the Term and subject to the provisions of this
Lease.

 

		3.2	Term

 

TO HAVE AND TO HOLD the Premises for and
during the Term of twenty (20) years and zero (0) months (the “Term”), unless sooner terminated pursuant to
the provisions of this Lease, commencing on the date (the “Commencement Date”) which is the Handover Date (as
such term is defined in the Development Agreement) and ending on the day (the “Expiry Date”) which is twenty
(20) years from such Commencement Date.

 

		3.3	Overholding

 

The Tenant shall surrender possession of
the Premises immediately upon the expiration or earlier termination of this Lease. If the Tenant remains in possession of all or
any part of the Premises after the expiry of the Term with the consent of the Landlord and without any further written agreement,
or without the consent of the Landlord, there shall be no tacit renewal or extension of this Lease and, despite any statutory provision
or legal presumption to the contrary, the Tenant shall be deemed conclusively to be occupying the Premises as a monthly tenant
at will if the Landlord did consent to the Tenant remaining in possession, or as a tenant at will if the Landlord did not consent
to the Tenant remaining in possession, in either case on the same terms as set forth in this Lease as far as such terms would be
applicable to a monthly tenancy, and except for any right of renewal, at a monthly basic rent payable in advance and equal to one
and one-halftimes the monthly Basic Rent payable immediately prior to the overholding plus additional rent equivalent to Additional
Rent hereunder. The Tenant shall promptly indemnify and hold harmless the Landlord from and against any and all claims incurred
by the Landlord as a result of the Tenant remaining in possession of all or any part of the Premises after the expiry of the Term.
The Tenant shall not make any counterclaim in any summary or other proceeding based on such overholding by the Tenant.

 

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		3.4	Leasehold Improvements

 

		(a)	All Leasehold Improvements in, on, for, or which serve,
the Premises, shall immediately become the absolute property of the Landlord upon affixation or installation, without compensation
therefor to the Tenant, but the Landlord shall have no obligation to repair, replace, operate, maintain, insure or be responsible
in any way for them, all of which shall be the Tenant’s responsibility. Subject to subsections 3.4(b) and 3.4(c), upon the
expiration or other termination of this Lease, all Leasehold Improvements in the Premises, including all fixed partitions (including
floor to ceiling partitions which, although demountable, involve attachment to any floor, ceiling or permanent wall such that
they cannot be removed without damage to the Premises but excluding the Tenant’s movable partitions such as free standing
partitions or partial height partitions which can be removed without damage to the Premises and which shall be deemed to be removable
trade fixtures) shall remain upon and be surrendered with the Premises as a part thereof without disturbance, molestation or injury
and the same and any trade fixtures not removed by the Tenant are the property of the Landlord absolutely, free of any liens or
encumbrances and without payment therefor to the Tenant.

 

		(b)	The Landlord may, by notice to the Tenant prior to or promptly
after the expiration or other Termination of this Lease, require: the removal forthwith, at the expense of the Tenant, of the
Tenant’s trade fixtures and those Leasehold Improvements installed in connection with the Tenant’s communication infrastructure,
kitchen, cafeteria, fitness centre and daycare. If such notice is given prior to the expiration or other termination of this Lease,
such removal shall be completed by such expiration or termination.

 

		(c)	Notwithstanding anything herein contained, provided the
Tenant has paid the Rent hereby reserved and performed and observed all the covenants and conditions herein contained, the Tenant
shall have, at the expiration or other termination of this Lease, the right to remove its trade fixtures, provided that the Tenant
repairs by the expiration or other termination of this Lease, at its own expense, any damage to the Premises caused by such removal,
such work to be done by or at the direction of the Landlord and at the expense of the Tenant.

 

		ARTICLE 4	RENT

 

		4.1	Basic Rent

 

The Tenant shall pay to the Landlord,
without any prior demand therefor, yearly and every year during the Term, without any set-off, compensation or deduction whatsoever,
Basic Rent in Canadian dollars as follows:

 

		(a)	from the first (1st) to fifth (5th) year of the Term, Four
Million Thirty Two Thousand and Two Hundred and Ten Dollars ($4,032,210) annually payable in advance in equal consecutive monthly
instalments of Three Hundred Thirty Six Thousand and Seventeen Dollars and Fifty Cents ($336,017.50) on the first day of each
and every calendar month during such period;

 

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		(b)	from the sixth (6th) to tenth (10th) year of the Term,
Four Million Four Hundred and Thirty Five Thousand Four Hundred and Thirty One Dollars ($4,435,431) annually payable in advance
in equal consecutive monthly instalments of Three Hundred Sixty Nine Thousand Six Hundred and Nineteen Dollars and Twenty Five
Cents ($ 369,619.25) on the first day of each and every calendar month during such period;

 

		(c)	from the eleventh (11th) to fifteenth (15th) year of the
Term, Four Million Eight Hundred Seventy Eight Thousand Nine Hundred and Seventy Four Dollars ($4,878,974) annually payable in
advance in equal consecutive monthly instalments of Four Hundred Six Thousand Five Hundred Eighty One Dollars and Seventeen Cents
($ 406,581.17) on the first day of each and every calendar month during such period; and

 

		(d)	from the sixteenth (16th) to twentieth (20th) year of the
Term, Five Million Three Hundred Sixty Six Thousand Eight Hundred and Seventy Two Dollars ($5,366,872) annually payable in advance
in equal consecutive monthly instalments of Four Hundred Forty Seven Thousand Two Hundred and Thirty Nine Dollars and Thirty Three
Cents ($447,239.33) on the first day of each and every calendar month during such period.

 

The Landlord and the Tenant acknowledge and agree
that the Basic Rent set forth in Section 4.1 and in Subsection 1.1(g) of this Lease is subject to adjustment in accordance with
Section 15.2 of the Agreement of Purchase and Sale dated May 13, 2008 made between the Landlord and Ritchie Bros. Properties Ltd.

 

		4.2	Additional Rent

 

The Tenant shall pay to the Landlord, during the Term, when
due, as Additional Rent:

 

		(a)	Taxes payable by the Tenant pursuant to Section 5.2;

 

		(b)	Operating Costs pursuant to Section 6.1;

 

		(c)	all Additional Service Costs payable by the Tenant; and

 

		(d)	all other amounts payable by the Tenant pursuant to this
Lease.

 

		4.3	Payment of Additional Rent

 

The Additional Rent specified in subsections
4.2(b) and 4.2(c) shall be paid and adjusted with reference to a fiscal period of twelve (12) calendar months, which shall be the
twelve (12) month period ending on December 31st in each year during the Term unless the Landlord, by notice to the Tenant, shall
from time to time have selected a fiscal period which ends on a different date (but which shall be a twelve (12) month period except
where a shorter broken fiscal period occurs at the commencement or end of the Term or is necessary to accommodate a change in the
fiscal period made during the Term). From time to time throughout the Term, the Landlord shall give notice to the Tenant of the
Landlord’s estimate of such Additional Rent to be paid by the Tenant during the next ensuing fiscal period. Each estimate
shall be reasonable. Such Additional Rent payable by the Tenant shall be paid in equal monthly instalments in advance at the same
time as payment of Basic Rent is due hereunder and shall be based on the Landlord’s estimate as aforesaid. From time to time
the Landlord may re-estimate, on a reasonable basis, the amount of such Additional Rent for any fiscal period in which case the
Landlord shall give notice to the Tenant of such re-estimate and fix new equal monthly instalments for the remaining balance of
such fiscal period so that, after giving credit for the instalments paid by the Tenant on the basis of the previous estimate or
estimates, all the Additional Rent as estimated or re-estimated will have been paid during such fiscal period.

 

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All Additional Service Costs
shall be paid by the Tenant within ten (10) days after receipt by it from time to time of invoices from the Landlord specifying
the amounts thereof.

 

		4.4	Method of Payment

 

If any cheque
in respect of Rent required to be paid by the Tenant under this Lease is returned due to insufficient funds or should the Tenant
default in any Rent payment, the Landlord may require that the Tenant pay to the Landlord all monthly instalments of Rent, plus
Goods and Services Tax, required to be paid by the Tenant hereunder, in advance, by way of a pre-authorized bank debit payment
system and on request by the Landlord in the event of each default, the Tenant will execute and deliver to the Landlord all pre-authorization
documentation as may be necessary in order to enable the Landlord to debit the Tenant’s bank account on the first day of
each and every month throughout the Term and any renewal or extension thereof and any period of overholding.

 

		4.5	Adjustment of Additional Rent

 

Within one hundred and twenty (120) days
following the end of each fiscal period referred to in Section 4.3, the Landlord shall deliver to the Tenant a statement of the
Landlord as to the actual Additional Rent payable to the Landlord pursuant to subsections 4.2(b) and 4.2(c) in respect of such
fiscal period and a calculation of the amount by which such Additional Rent payable by the Tenant varies from the aggregate instalments
paid by the Tenant on account of such Additional Rent for such fiscal period. Within thirty (30) days after the receipt of such
statement, either the Tenant shall pay to the Landlord any amount by which the amount found payable by the Tenant with respect
to such fiscal period exceeds the aggregate of the monthly payments made by it on account thereof or the Landlord shall pay to
the Tenant any amount by which the amount found payable as aforesaid is less than the aggregate of such monthly payments.

 

The Tenant shall have the right, exercisable
by notice to the Landlord given within thirty (30) days after receipt of any statement of such Additional Rent submitted by the
Landlord as aforesaid, to verify the accuracy of any amount shown on any statement by inspecting the Landlord’s books and
records pertaining to the Landlord’s determination of such Additional Rent.

 

If, after inspection and examination of
such books and records, the Tenant disputes the amount of such Additional Rent established by the Landlord, the Tenant may, by
written notice to the Landlord, request an independent audit of such books and records. The independent audit of the books and
records will be conducted forthwith by a firm of independent chartered accountants acceptable to both parties, acting reasonably.
If the audit discloses that the determination of Additional Rent, was incorrect, and if as a result the amount charged to the Tenant
was incorrect, the appropriate party will pay to the other party the deficiency or overpayment, as applicable. The results of the
audit will be binding upon the parties hereto. The fees and expenses of the firm of chartered accountants conducting the audit
will be paid by the Tenant unless the audit shows that the Landlord overstated the amount of Additional Rent thereof for the applicable
period by more than five percent (5%), in which case the Landlord will pay the cost of the audit.

 

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		4.6	Apportionment of Rent

 

Rent shall be considered as accruing from
day to day hereunder. If it is necessary to calculate Rent for a period of less than one year or less than one calendar month,
an appropriate apportionment and adjustment on a pro rata daily basis shall be made. Where the calculation of Additional Rent cannot
be made until after the expiration or earlier termination of this Lease, the obligation of the Tenant to pay such Additional Rent
shall survive the expiration or earlier termination hereof, and such amount shall be paid by the Tenant to the Landlord forthwith
upon demand. If the Term commences on any day other than the first day of the month, Rent for such fraction of a month shall be
adjusted, as aforesaid, and paid by the Tenant on the commencement date of the Term.

 

		4.7	No Right of Set-off

 

The Tenant expressly waives the benefits
of any present or future enactment of Canada or the Province in which the Premises is located permitting the Tenant to claim a
set-off against Rent for any cause whatsoever. Notwithstanding the aforementioned, the Tenant may claim a set-off under this Lease
pursuant to the provisions of section 13.2(a)(ii) of the Development Agreement.

 

		4.8	Additional Rent Deemed Rent

 

All Additional Rent shall be deemed to
be Rent and the Landlord shall have all rights against the Tenant for default in payment of Additional Rent as for default in the
payment of Basic Rent.

 

		4.9	Interest on Arrears

 

If the Tenant fails to pay Rent when due,
the Tenant shall pay interest on the unpaid amount at the Rate of Interest from the date due until the date paid, without prejudice
to and in addition to any other remedy available to the Landlord under this Lease or at law.

 

		4.10	Net Lease

 

The Tenant acknowledges and agrees that
it is intended that this Lease and the Rent payable hereunder shall be absolutely net to the Landlord, except as expressly herein
set out, and that the Landlord will not be responsible during the Term for any costs, charges, expenses and outlays of any nature
whatsoever arising from or relating to the Premises or the use and occupancy thereof and that, except as expressly herein set out,
the Tenant will pay all charges, impositions, costs and expense of every nature and kind relating to the Premises whether or not
referred to herein and whether or not within the contemplation of the Landlord and the Tenant.

 

		4.11	No Rentable Area Adjustment or Recalculation

 

Neither the Landlord nor the Tenant will
calculate or recalculate or measure or re-measure any or all of the Rentable Area of the Building during the Term or any renewal
term. Accordingly, the Landlord and Tenant acknowledge and agree that Rent for any renewal term will be calculated using the Rentable
Area in Section 1.1(d) of this Lease.

 

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		ARTICLE 5	TAXES

 

		5.1	Tenant’s Taxes and Sales Taxes

 

		(a)	The Tenant shall pay when due to the taxing authority or
authorities having jurisdiction all Tenant’s Taxes.

 

		(b)	The Tenant shall pay to the Landlord when due all Sales
Taxes.

 

		5.2	Tenant’s Contribution to Taxes

 

		(a)	The Tenant shall, in respect of each calendar year included
in whole or in part within the Term, pay to the Landlord an amount to cover the Taxes that are fairly attributable to the Premises
for such calendar year, such amount to be determined by the Landlord acting reasonably. If there are separate assessments (or,
in lieu thereof, calculations made by authorities having jurisdiction from which separate assessments may, in the Landlord’s
opinion, be readily determined) for the Premises for tax purposes, the Landlord shall have regard thereto for purposes of determining
the amount payable by the Tenant pursuant to this subsection 5.2(a). The Tenant shall provide the Landlord with a copy of any
separate notices of assessment for the Premises which the Tenant has received.

 

		(b)	The Tenant shall, in respect of each calendar year included
in whole or in part within the Term, pay to the Landlord an amount to cover the taxes imposed on the Landlord which are attributable
to personal property, furnishings, fixtures or Leasehold Improvements installed within the Premises.

 

		(c)	Payment by the Tenant of all amounts on account of Taxes
shall be governed by Sections 4.3 and 4.4.

 

		(d)	The Tenant may, at its cost, contest any Taxes and appeal
any assessments with respect thereto, withdraw any such contest or appeal, and agree with the taxing authorities on any settlement
or compromise with respect to Taxes. The Landlord will co-operate with the Tenant in respect of any such contest or appeal which
is, in the Landlord’s opinion reasonable, and will provide the Tenant with all relevant information, documents and consents
required by the Tenant in connection with any such contest or appeal.

 

		5.3	Payments

 

		(a)	The Landlord may postpone any payment of Taxes payable
by it, and the Tenant may postpone any payment payable by it directly to a taxing authority (but not to the Landlord) pursuant
to this Article, in each case to the extent permitted by law and if prosecuting in good faith any appeal against the imposition
thereof, but provided that in the case of a postponement by the Tenant which involves any risk of the Premises or any part thereof
or the Landlord becoming liable to assessment, prosecution, fine or other liability, the Tenant shall have given security in a
form and of an amount satisfactory to the Landlord in respect of such liability and such undertakings as the Landlord may reasonably
require to ensure payment thereof.

 

		(b)	Whenever requested by the Landlord, the Tenant shall deliver
to the Landlord receipts for payment of all Tenant’s Taxes and furnish such other information in connection therewith as
the Landlord may reasonably require.

 

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		(c)	The Landlord may, at its option, make any payments due
or alleged to be due by the Tenant to a taxing authority and in such event the Tenant shall pay to the Landlord, forthwith upon
demand, the cost thereof plus interest at the Rate of Interest accruing as of the date of demand.

 

		ARTICLE 6	SERVICES, COMMON FACILITIES

 

		6.1	Tenant’s Contribution to Operating Costs

 

		(a)	The Tenant shall, throughout the Term, pay to the Landlord
the Operating Costs.

 

		(b)	Payment by the Tenant of all amounts on account of the
Operating Costs shall be governed by Sections 4.3 and 4.4.

 

		6.2	Operations and Maintenance of the Premises

 

The Landlord shall provide all reasonable
operations and maintenance to the Premises as recommended in the operations and maintenance manual provided by the contractor of
the Premises, the costs of which are to form a part of Operating Costs. For certainty, such maintenance shall include inspection
and maintenance of the sprinkler and fire alarm system, cleaning of the exterior windows, exterior woodwork and cladding (which
shall be conducted at least twice a year) and maintenance of the grounds of the Premises including the parking lot, curbs and stormceptors.

 

		6.3	Operation of Regular HVAC System

 

The Landlord shall operate and maintain
the heating, ventilating and air-conditioning equipment and systems serving the Building so as to provide conditions in the Building
that are of a standard generally accepted for A-class office buildings in Burnaby, during Business Hours except during the making
of repairs, inspections, overhauling or replacement.

 

If such equipment or systems are
damaged or destroyed, or, in the opinion of the Landlord, require repair, inspection, overhauling or replacement, the
Landlord shall carry out such work with all reasonable diligence and minimize any interruption to such heating, ventilating
and air-conditioning equipment and systems to the extent reasonably possible. The Landlord shall not be responsible for any
loss, damages or costs arising from the failure of such equipment or systems to perform their function if the number of
persons in the Building at any one time exceeds a reasonable number or if the electrical load from lights and power in the
Building is excessive or if such failure results from any arrangement of partitioning in the Building or change or alteration
thereto or if the window covering on exterior windows is not kept fully closed while the windows are exposed to direct
sunlight or if any use of mechanical or electrical equipment installed in the Building generates heat in excess of amounts
specified in the Building Standard. The Landlord shall not be liable for direct, indirect or consequential damage or damages
for personal discomfort or illness of the Tenant or its employees, invitees or other persons transacting business with it by
reason of the operation or non-operation of such systems and equipment.

 

		6.4	Additional HVAC

 

The Tenant may, upon reasonable written
notice to the Landlord, request the Landlord to provide any service mentioned in Section 6.2 to the Building or any portion or
portions thereof during such non-Business Hours as the Tenant specifies. The Landlord may provide such service and charge the Tenant,
as an Additional Service Cost, the reasonable hourly rate for each hour or part thereof that such service is provided, such hourly
rate to be determined by the Landlord and to comprise all additional costs incurred in providing such service. Notwithstanding
the foregoing, the Tenant may, at its option, elect to install additional HVAC equipment and systems in the Building at its sole
cost and expense, subject to first obtaining the Landlord’s approval, which approval shall not be unreasonably withheld.

 

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		6.5	Utilities and Lighting Fixtures

 

		(a)	When requested by the Landlord, the Tenant will provide
the Landlord with proof of payment of electricity and other utilities in respect of the Premises.

 

		(b)	The Landlord shall replace, as and when required, all electric
light bulbs, fluorescent tubes and ballasts initially supplied in the Building and provide the necessary maintenance and repair
of fluorescent and other standard Building lighting fixtures located in the Building. The costs of replacement, maintenance and
repair shall, as determined by the Landlord from time to time, either be charged to the Tenant as an Additional Service Cost or
included in Operating Costs.

 

		6.6	Janitorial Services

 

		(a)	The Landlord shall provide to the Building, in consultation
with the Tenant, normal office cleaning services of a standard (both as to extent and frequency) as a reasonably prudent owner
would do having regard to the type and age of the Building, the cost of which is to form a part of Operating Costs. Such services
shall include, but not be limited to, causing periodically as may be appropriate or necessary in keeping with such standard the
floors of the Building to be swept, the interior surface of the exterior windows of the Building to be cleaned, the desks, tables,
other furniture and venetian blinds, if any, in the Building to be dusted and any broadloom in the Building to be vacuumed. Cleaning
in addition to the foregoing standard (such as, for example, the washing of carpets and the dry-cleaning of drapes) shall be the
responsibility of the Tenant.

 

		(b)	The Tenant acknowledges that the Landlord will be relieved
from its cleaning obligation as provided in subsection 6.6(a) in respect of any part of the Building to which access is not granted
to the person or persons retained to perform such work.

 

		(c)	The Tenant acknowledges that the Landlord shall not be
responsible for any omission or act of commission on the part of the person or persons employed or retained to perform the cleaning
services referred to in this Section or for any loss thereby sustained by the Tenant, the Tenant’s employees, agents, invitees
or others.

 

		(d)	Should the Tenant sustain any such loss, and provided the
Tenant reasonably determines that the loss was caused by the person or persons employed or retained in the performance of the
cleaning services, the Landlord will, if requested by the Tenant, pursue a claim for such loss against such service provider on
behalf of the Tenant.

 

		6.7	Security Services

 

		(a)	The Landlord may provide security services for the Building
so as to reasonably ensure that access to the Building during other than Business Hours shall be restricted to those persons entitled
to be allowed entry to the Building, provided they comply with the requirements established by the Landlord.

 

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		(b)	The Tenant acknowledges that the Landlord shall not be
responsible for any act or omission on the part of any person employed or retained to provide security service pursuant to this
Section or for any loss thereby sustained by the Tenant, the Tenant’s employees, agents, invitees or others.

 

		(c)	Should the Tenant sustain any such loss, and provided the
Tenant reasonably determines that the loss was caused by the person or persons employed or retained in the performance of the
security services, the Landlord will, if requested by the Tenant, pursue a claim for such loss against such service provider on
behalf of the Tenant.

 

		6.8	Interruption in Services

 

The Landlord has the right to stop the
use of any facilities and the supply of any services when necessary by reason of accident or during the making of repairs, replacements,
alterations or improvements, in the reasonable judgment of the Landlord necessary or desirable to be made, until the repairs, replacements,
alterations or improvements have been completed to the satisfaction of the Landlord, provided that all reasonable steps shall be
taken to minimize any interference with the Tenant’s use and enjoyment of the Premises, both as to the extent and duration
of such interference. The Landlord shall have no responsibility or liability for failure to operate any facilities or supply any
services when the use of the facility is stopped as aforesaid or when the Landlord is prevented from using the facility or supplying
the service by strike, or by orders or regulations of any governmental authority or agency or by failure of the electric current,
gas, steam or water supply necessary to the operation of any facility or by the failure to obtain such a supply or by any other
cause beyond the Landlord’s reasonable control.

 

		6.9	Energy Conservation

 

The Tenant shall comply with any measures
the Landlord, acting reasonably, or any legislative authority may from time to time introduce to conserve or to reduce consumption
of energy or to reduce or control other Operating Costs or pay as Additional Rent the cost, to be estimated by the Landlord acting
reasonably, of the additional energy consumed by reason of any non-compliance. The Tenant shall also convert to whatever system
or units of measurement of energy consumption the Landlord may from time to time adopt.

 

		6.10	Pest Control by Tenant

 

The Tenant agrees to institute and carry out and maintain, at
its own expense, such pest control measures in the Premises as the Landlord reasonably requires.

 

		ARTICLE 7	USE AND OCCUPANCY OF PREMISES

 

		7.1	Use of Premises

 

The Tenant shall, continuously, throughout
the Term, use the Premises solely for the permitted use set out in subsection 1.1(h). For greater certainty, it is expressly acknowledged
that permitted uses shall include the operation of a daycare and cafeteria within the Premises. The Tenant shall not use all or
any part of the Premises, nor permit any other person or persons to use all or any part of the Premises, for any other purposes
than that as set out above save in the event of a permitted assignment or subletting for office use as herein provided.

 

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		7.2	Waste and Nuisance

 

The Tenant shall not carry on any business or do or suffer
any act or thing which may constitute or result in a nuisance to the Landlord or do or suffer any waste or damage to the
Premises.

 

		7.3	No Overloading of Services or Common Use Equipment

 

The Tenant shall not permit or allow any
overloading of the floors of the Building or the bringing into any part of the Building of any articles or fixtures that by reason
of their weight or size might damage or endanger the structure of the Building. The Tenant shall not permit or allow anything that
might result in any overloading of any of the Building Systems.

 

		7.4	Observance of Law by Landlord and Tenant

 

		(a)	The Landlord shall, at its expense (except insofar as the
expense is included in Operating Costs), promptly comply with and conform to the requirements of every applicable statute, law,
by-law, regulation, ordinance and order at any time or from time to time in force during the Term affecting the Premises other
than as to those matters which are the obligation of the Tenant as provided in subsection 7.4(b).

 

		(b)	The Tenant shall, at its expense, observe and promptly
comply with and conform to, (including making such modifications, alterations or changes to the Premises as may therefore be necessary),
the requirements of every applicable statute, law, by-law, regulation, ordinance, police, security, energy conservation, fire,
health and sanitary directive, requirement and order at any time or from time to time in force during the Term affecting the Tenant’s
use of the Premises or any part thereof and/or the business carried on therein and/or the Leasehold Improvements, trade fixtures,
furniture, machinery, equipment and other facilities located in the Premises.

 

		7.5	Rules and Regulations

 

The Tenant shall observe and perform, and
shall cause its employees, agents, invitees and others over whom the Tenant can reasonably be expected to exercise control to observe
and perform, the Rules and Regulations attached hereto as Schedule “D” and such other rules and regulations or amendments
as may be made from time to time by the Landlord acting reasonably.

 

The Tenant acknowledges that the Rules
and Regulations, as from time to time amended or replaced may be waived in whole or in part with respect to the Premises without
waiving them as to future application to the Premises, and the imposition of such Rules and Regulations shall not create or imply
any obligation of the Landlord to enforce them.

 

In the event of any conflict between a provision of this Lease
and any of the Rules and Regulations, the provision of this Lease shall govern.

 

		7.6	Hazardous Substances

 

		(a)	The term “Hazardous Substances” as used in
this Lease shall include, without limitation, flammables, explosives, radioactive materials, asbestos, radon, polychlorinated
biphenyls (PCBs), chemicals known to cause cancer or reproductive toxicity, pollutants, contaminants, hazardous wastes, toxic
substances or related materials, petroleum and petroleum products, and substances declared to be hazardous or toxic under any
law or regulation now or hereafter enacted or promulgated by any governmental authority.

 

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		(b)	The Tenant shall not cause or permit to occur:

 

		(i)	any violation of any federal, provincial, or local law,
ordinance or regulation now or hereafter enacted, related to environmental conditions on, under, or about the Premises, or arising
from the Tenant’s use or occupancy of the Premises, including, but not limited to, soil and ground water conditions; or

 

		(ii)	the use, generation, release, manufacture, refining, production,
processing, storage, or disposal of any Hazardous Substance on, under, or about the Premises, or the transportation to or from
the Premises of any Hazardous Substance.

 

		(c)	Environmental Clean-up

 

		(i)	The Tenant shall, at the Tenant’s own expense, comply
with all laws regulating the use, generation, storage, transportation, or disposal of Hazardous Substances (the “Laws”).

 

		(ii)	The Tenant shall, at the Tenant’s own expense, make
all submissions to, provide all information required by, and comply with all requirements of all governmental authorities (the
“Authorities”) under the Laws.

 

		(iii)	Should any Authority or any third party demand that a clean-up
plan be prepared and that a clean-up be undertaken because of any deposit, spill, discharge, or other release of Hazardous Substances
that occurs during the Term of this Lease, at or from the Premises, which arises at any time from the Tenant’s use or occupancy
of the Premises, then the Tenant shall, at the Tenant’s own expense, prepare and submit the required plans and all related
bonds and other financial assurances; and the Tenant shall carry out all such clean-up plans.

 

		(iv)	The Tenant shall promptly provide all information regarding
the use, generation, storage, transportation, or disposal of Hazardous Substances that is requested by the Landlord. If the Tenant
fails to fulfill any duty imposed under this subsection 7.6(c) within a reasonable time, the Landlord may do so; and in such case,
the Tenant shall cooperate with the Landlord in order to prepare all documents the Landlord deems necessary or appropriate to
determine the applicability of the Laws to the Premises and the Tenant’s use thereof, and for compliance therewith, and
the Tenant shall execute all documents promptly upon the Landlord’s request. No such action by the Landlord and no attempt
made by the Landlord to mitigate damages under any Law shall constitute a waiver of any of the Tenant’s obligations under
this subsection 7.6(c) hereof.

 

		(v)	The Tenant’s obligations and liabilities under subsection
7.6(c) hereof shall survive the expiration or other termination of this Lease.

 

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		(d)	Tenant’s Indemnity

 

		(i)	The Tenant shall indemnify, defend, and hold harmless the
Landlord, the manager of the Premises, and their respective officers, directors, beneficiaries, shareholders, partners, agents,
and employees against and from all fines, suits, proceedings, claims, and actions of every kind, and all costs associated therewith
(including solicitor’s and consultants’ fees) arising out of or in any way connected with any deposit, spill, discharge,
or other release of Hazardous Substances that occurs during the Term of this Lease, at or from the Premises and which arises at
any time from the Tenant’s use or occupancy of the Premises, or from the Tenant’s failure to provide all information,
make all submissions, and take all steps required by all Authorities under the Laws and other environmental laws, and/or arising
out of or in any way connected with the methane extraction system constructed on the Premises.

 

		(ii)	The Tenant’s obligations and liabilities under this
subsection 7.6(d) hereof shall survive the expiration or other termination of this Lease.

 

		(e)	Landlord’s Indemnity

 

The Landlord will indemnify the
Tenant and its directors, officers, shareholders, employees, agents, successors and permitted assigns, from any and all liabilities,
actions, damages, claims, remediation cost recovery claims, losses, costs, orders, fines, penalties and expenses whatsoever (including
all consulting and legal fees and expenses on a solicitor-client basis) arising from or in connection with: (i) any Hazardous Substances
brought into or onto the Premises by any party other than the Tenant and those for whom the Tenant is responsible in law; (ii)
any Hazardous Substances located in or on the Premises as at the Commencement Date.

 

7.7           Signs

 

The Tenant shall have the exclusive right
to display its signage on the north east and south west corner of the upper exterior fascia of the Building for the Term and any
extensions thereof. The Tenant shall be responsible for all costs in connection with the signs except as expressly stated herein,
including electrical power to the sign(s), installation, repair, maintenance, removal and any repairs to the Building required
as a result of the installation, maintenance or removal of the sign(s).

 

The Tenant shall have the right to display its logo at all entrances
to the Premises, and in the elevator lobbies on each of its floors.

 

All signage or logos installed or displayed
by or on behalf of the Tenant which are visible from the exterior of the Premises shall be subject to the prior written approval
of the Landlord, acting reasonably, and the municipal governing authority having jurisdiction over such matters. The Landlord shall
not unreasonably oppose or withhold its consent to any application by the Tenant to such municipal governing authority in respect
of its signage or logos.

 

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		ARTICLE 8	ALTERATIONS

 

		8.1	Alterations by Tenant

 

		(a)	The Tenant shall
                                         not, without the prior written consent of the Landlord, make, erect, alter or install
                                         any Leasehold Improvements or other alterations or installations in or to the Building
                                         which would constitute a material alteration of the Building (the “Work”).
                                         For the purposes hereof, “material” alteration means an alteration that would
                                         affect the structure, strength or quality of the Building, or would affect the mechanical,
                                         electrical or plumbing systems of the Building.

 

		(b)	If the Tenant wishes to do any Work, the Tenant shall apply
for the Landlord’s consent and furnish such plans, specifications and designs as shall be necessary to fully describe the
Work. The Landlord’s consent thereto shall not be unreasonably withheld or delayed; provided that, without limitation, any
refusal to grant consent based on grounds that such Work is not in compliance with the Building Standard shall be conclusively
deemed not to be an unreasonable withholding of consent.

 

		(c)	Subject to the Landlord’s consent having been obtained
and the Landlord’s reasonable requirements (including the posting of reasonable security, if requested) being met, the Landlord
recognizes the right of the Tenant to install Leasehold Improvements as are necessary or appropriate to its use and occupancy
of the Building.

 

		(d)	Any Work shall be performed by contractors retained by
the Tenant pursuant to written contracts which have been approved by the Landlord (such approval not to be unreasonably withheld)
and subject to all reasonable conditions which the Landlord imposes. The Tenant shall obtain the Landlord’s approval for
any Work that may affect the base building construction. The Landlord shall have the right to inspect such Work and require any
Work not being properly done to be corrected, and to approve on a reasonable basis the contractors, tradesmen or the Tenant’s
own employees (as the case may be) employed by the Tenant in connection therewith.

 

		(e)	The Tenant shall pay to the Landlord, within ten (10) days
after the receipt of the Landlord’s invoice, the Landlord’s reasonable out-of-pocket costs incurred in examining and
approving the Tenant’s plans, specifications and designs and in inspecting the Work and any additional expenses actually
incurred by the Landlord in connection with such Work together with a coordination and supervision fee equal to fifteen percent
(15%) of any amount spent by the Landlord.

 

		(f)	The Tenant shall provide to the Landlord a complete set
of updated drawings of the Building including without limitation all electrical, mechanical and architectural drawings upon the
completion of any material alteration to the Building.

 

		(g)	If the Tenant’s intended Leasehold Improvements would
not constitute a material alteration of the Building, the Tenant may proceed without Landlord’s consent provided that such
alterations do not affect the base building construction; however, if the cost of such work would exceed $75,000 (excluding GST
or similar taxes), the Tenant shall give the Landlord thirty (30) days written notice prior to commencing such work. For greater
clarity, the provisions of this section shall not apply to any Leasehold Improvements forming part of the initial construction
of the Building.

 

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		8.2	Air-Balancing

 

The Tenant agrees that it will, at the
commencement of the Term and periodically throughout the Term including, without limitation, whenever any alterations impacting
the performance of the Building Systems are made to the Building, and in keeping with the standard generally accepted for A-class
office buildings in Burnaby, balance the air movement in the Building at the Tenant’s expense and for this purpose use the
air-balancer designated by the Landlord.

 

		8.3	No Financing by Tenant of Leasehold Improvements

 

The Tenant shall not create any lien, mortgage,
charge, conditional sale agreement or other encumbrance in respect of any Leasehold Improvements or, without the consent of the
Landlord, with respect to its trade fixtures; nor shall the Tenant take any action as a consequence of which any such prohibited
lien, mortgage, charge, conditional sale agreement or other encumbrance would attach to the Premises.

 

		8.4	Liens

 

		(a)	In connection with the making, erection, installation or
alteration of Leasehold Improvements and trade fixtures and all other work or installations or alterations made by or for the
Tenant in the Premises, the Tenant shall comply with every applicable statute, law, by-law, regulation, ordinance and order affecting
the same and affecting the Premises as a result of the actions of the Tenant including, without limitation, the construction lien
legislation of the Province in which the Premises is located, and any other statutes from time to time applicable thereto (including
any provision requiring or enabling the retention by way of holdback of portions of any sums payable) and, except as to any such
holdback, the Tenant shall promptly pay all accounts relating thereto.

 

		(b)	Whenever any construction or other lien for work, labour,
services or materials supplied to or for the Tenant or for the cost of which the Tenant may be in any way liable or claims therefor
shall arise or be file d or any prohibited lien, mortgage, charge, conditional sale agreement or other encumbrance shall attach,
the Tenant shall within five (5) business days after receipt of notice thereof procure and register the discharge thereof, including
any certificate of action registered in respect of any lien, by payment or in such other manner as may be required or permitted
by law, and failing which the Landlord may make any payments required to procure and register the discharge of any such liens
or encumbrances, including any certificate of action registered in respect of any lien, and shall be entitled to be reimbursed
by the Tenant as provided in Section 15.3, and its right to reimbursement shall not be affected or impaired if the Tenant shall
then or subsequently establish or claim that any lien or encumbrance so discharged was without merit or excessive or subject to
any abatement, set-off or defence.

 

		(c)	The Landlord and the Tenant agree that any work done in
the Premises during the Term by or on behalf of the Tenant shall not be done and shall be deemed not to have been done at the
request of the Landlord.

 

		8.5	Alterations by Landlord

 

		(a)	access and services to or benefiting the Premises shall
not be reduced or interrupted (except to the minimum extent which is temporary, reasonable and unavoidable during the making of
repairs or renovations); and

 

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		(b)	any alteration shall be such that a reasonably prudent
owner of the Premises would make having regard to the type and age of the Premises.

 

		8.6	Prohibition Re Certain Materials

 

Notwithstanding any other provision of
this Lease, the Tenant agrees that it will not use or permit the use of any asbestos, polychlorinated biphenyls, radon or any other
deleterious or prohibited substances in any construction of the Leasehold Improvements in the Building or in any use of the Building.

 

		ARTICLE 9	REPAIRS

 

		9.1	Landlord’s Repairs

 

Subject to Section 9.5 and except as provided
in Section 9.2, the Landlord shall repair and maintain and may, if it so chooses, replace:

 

		(a)	the Building including all the external and structural
parts of the Building including without limitation, the roof, foundation, floors, exterior walls, interior structural walls, steel
reinforcements, glass, siding, metal exterior panels, concrete settlement, elevators, parking lot and sinkholes;

 

		(b)	Insured Damage; and

 

		(c)	the Building Systems.

 

all with reasonable dispatch and in a good
and workmanlike manner, and so as to keep the same in good condition and repair.

 

		9.2	Tenant’s Repairs

 

Subject to Section 9.5, the Tenant shall,
at its expense and throughout the Term, keep the Building and the Leasehold Improvements therein and all electrical and telephone
outlets and conduits and all mechanical and electrical equipment within the Building in good condition and repair, Insured Damage
and repairs which the Landlord is otherwise obliged to repair only excepted. The Tenant shall also make good any damage to the
Premises caused by the Tenant or any person for whom the Tenant is at law responsible and which is not Insured Damage. All repairs
by the Tenant shall be subject to Section 8.1.

 

		9.3	Entry by Landlord to View State of Repair

 

The Landlord shall be entitled to enter
and view the state of repair of the Premises on reasonable notice to the Tenant. The Tenant will repair, according to notice, as
specified in Section 9.2.

 

		9.4	Notice of Defects

 

The Tenant shall give to the Landlord prompt
notice of any defect in the plumbing or utility systems and equipment or any damage to the Premises or any part thereof howsoever
caused; provided that nothing herein shall be construed so as to require repairs to be made by the Landlord except as expressly
provided in this Lease.

 

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		9.5	Termination or Abatement after Damage

 

		(a)	If and whenever the Premises are destroyed or damaged by
any cause to the extent that, in the Landlord’s reasonable opinion to be given in writing to the Tenant within sixty (60)
days after the occurrence of such damage or destruction, they are unable to be repaired or rebuilt within one hundred and eighty
(180) days after such destruction or damage, then either the Landlord or the Tenant may terminate this Lease by notice to the
other, to be given within thirty (30) days after the giving of the Landlord’s written opinion above referred to, and the
Tenant shall immediately thereupon surrender the Premises and this Lease to the Landlord and Rent shall be apportioned to the
date of such destruction or damage (subject to the payment of Rent from the date of such destruction or damage to the date of
surrender in the same proportion that the part of the Usable Area of the Premises fit for occupancy by the Tenant until such surrender
is of the total Usable Area of the Premises).

 

		(b)	If and whenever all or any portion of the Building is destroyed
or damaged by reason of any cause (whether or not such portion includes all or any part of the Building) to such extent that:

 

		(i)	in the Landlord’s reasonable opinion to be given
to the Tenant in writing within sixty (60) days after the occurrence of such damage or destruction, it is unable to be repaired
or rebuilt within one hundred and eighty (180) days after such destruction or damage; or

 

		(ii)	the estimated cost (as estimated by the Landlord) of repairing
or rebuilding the Premises exceeds the proceeds of insurance available to the Landlord for such purpose (or which would have been
available if the Landlord had insured in compliance with Section 10.1),

 

the Landlord may terminate this
Lease upon not less than thirty (30) days’ prior written notice to the Tenant, given within sixty (60) days after the happening
of such destruction or damage, and the Tenant shall immediately thereupon surrender the Premises and this Lease to the Landlord;
and

 

		(iii)	if and to the extent that such destruction or damage has
rendered the Premises in whole or in part unfit for occupancy by the Tenant, Rent shall abate from the date of such destruction
or damage to the date of surrender in the same proportion that the part of the Usable Area of the Premises unfit for occupancy
is of the total Usable Area of the Premises; and

 

		(iv)	otherwise Rent shall be apportioned to the date of surrender.

 

		(c)	If and whenever the Premises are destroyed or damaged by
reason of any cause and this Lease shall not have been terminated, the Landlord shall, with all reasonable diligence, make the
repairs specified in Section 9.1 and the Tenant shall, with all reasonable diligence and in compliance with Section 8.1, make
all repairs to the Premises specified in Section 9.2 and complete the Premises for occupancy for the purpose described in Section
7.1 and in compliance with subsection 7.4(b). If as a result of any destruction or damage to the Premises which the Landlord is
obligated to repair pursuant to Section 9.1, and which is not the fault of the Tenant or those for whom it is at law responsible
and which does not consist of merely a temporary interruption of or interference with any utility, service or access, the Premises
are rendered in whole or in part unfit for occupancy by the Tenant, then during the period commencing on the occurrence of such
destruction or damage and ending upon the date when both the repairs to the Premises which the Landlord is obligated to make as
aforesaid are completed sufficiently to enable the Tenant to commence its repairs, and the Tenant has been allowed a reasonable
period of time which is sufficient for the completion by it of the repairs it is obligated to make as aforesaid with due diligence.

 

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Rent shall from time to time
abate in the same proportion that the part of the Usable Area of the Premises from time to time rendered unfit for such occupancy
by reason of such destruction or damage is of the total Usable Area of the Premises.

 

		9.6	No Claim by Tenant

 

Except in respect of abatement of Rent
as provided for in this Article, no claim for compensation or damages, direct or indirect, shall be made by the Tenant by reason
of the loss of use, inconvenience or otherwise arising from the necessity of repairing any portion of the Premises however the
necessity may arise so long as any such repair to be carried out by the Landlord is carried out with reasonable diligence.

 

		9.7	Tenant to Leave Premises in Good Repair

 

The Tenant shall leave the Premises and
(subject to Section 3.4) the Leasehold Improvements, at the expiration or other termination of the Term, in the condition and repair
required of the Tenant under Section 9.2, reasonable wear and tear excepted.

 

		ARTICLE 10	INSURANCE AND LIABILITY

 

		10.1	Landlord’s Insurance

 

Subject to its general availability, the
Landlord shall effect and maintain during the Term:

 

		(a)	“all risks” insurance which shall insure the
Premises against loss or damage by perils now or hereafter from time to time embraced by or defined in a standard all risks insurance
policy;

 

		(b)	boiler and machinery insurance on objects defined in a
standard comprehensive boiler and machinery policy against accidents as defined therein;

 

		(c)	loss of rental income insurance in an amount sufficient
to replace all Rent payable under the provisions of this Lease for an indemnity period of a reasonable period of time;

 

		(d)	commercial general liability insurance covering claims
for personal injury and property damage arising out of all operations in connection with the management and administration of
the Premises; and

 

		(e)	such other coverage, or increases in the amount of coverage,
as the Landlord may consider necessary.

 

For greater certainty, the Tenant acknowledges
that the Landlord is not obligated to insure the Leasehold Improvements in the Premises except to the extent herein specifically
required. The insurance to be maintained by the Landlord shall be that which would be carried by reasonably prudent owners.

 

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		10.2	Tenant’s Insurance

 

The Tenant shall, at its own expense, take out and keep in force
during the Term:

 

	 	(a)	(i)	inclusive
    limits commercial general liability insurance, which shall include coverage for personal injury, contractual liability,
    non-owned automobile liability insurance and owned automobile insurance covering bodily injury, death and property damage,
    all on an occurrence basis with respect to the business carried on in the Premises and the Tenant’s use and occupancy
    of the Premises, with coverage for any one occurrence or claim of not less than Five Million Dollars ($5,000,000.00) or such
    other amount as the Landlord and Tenant may from time to time agree to, acting reasonably, at any time during the
    Term;

 

		(ii)	tenant’s legal liability on an “all risk”
format in an amount not less than the full replacement cost of the Leasehold Improvements.

 

		(b)	“all risks” insurance including earthquake,
flood and sewer backup perils covering all property owned by the Tenant, or for which the Tenant is legally liable, located within
the Premises, including, but not limited to, Leasehold Improvements, trade fixtures, and furniture and equipment, and burglary
insurance with respect to the Building for not less than the full replacement cost thereof, and which insurance shall include
a by-law endorsement;

 

		(c)	when applicable, and if not insured under subsection 10.1(b),
comprehensive boiler and machinery insurance with limits for each accident in an amount not less than full replacement costs of
all Leasehold Improvements and of all boilers, pressure vessels, heating, ventilating and air-conditioning equipment and miscellaneous
electric apparatus owned or operated by the Tenant or by others (other than the Landlord) on behalf of the Tenant in the Premises,
or relating to or serving the Premises;

 

		(d)	“Extra Expense” insurance for a minimum period
of twelve (12) months in the amount which will reimburse Tenant extra expenses attributable to all perils insured against under
subsection 10.2(b) or attributable to prevention of access to the Premises as a result of any such perils; and

 

		(e)	insurance against such other perils and in such amounts
as the Landlord or any mortgagee may from time to time reasonably require upon not less than sixty (60) days’ notice, such
requirement to be made on the basis that the required insurance is customary at the time in the City of Vancouver for tenants
of buildings similar to the Building.

 

		10.3	Form of Tenant’s Insurance

 

		(a)	All policies of insurance required to be maintained by
the Tenant hereunder:

 

		(i)	shall be on terms and with insurers to which the Landlord
has no reasonable objection;

 

		(ii)	shall be primary non-contributing with, and not in excess
of, any other insurance available to the Landlord or its mortgagee;

 

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		(iii)	with respect to the insurance described in subsections
10.2(a)(ii), (b) and (c) shall name as additional named insured and loss payee as our interest may appear the Landlord and anyone
else with an interest in the Premises from time to time designated in writing by the Landlord;

 

		(iv)	with respect to subsection 10.2(a)(i) shall name as an
additional named insured the Landlord and any other party with an interest in the Premises from time to time designated in writing
by the Landlord, and shall contain provisions for cross-liability and severability of interest clauses;

 

		(v)	with respect to subsections 10.2(b), (c) and (d) shall
contain a waiver of any rights of subrogation which the insurer may have against the Landlord and those for whom the Landlord
is at law responsible whether the damage is caused by the act, omission or negligence of the Landlord or anyone for whom the Landlord
is at law responsible.

 

Each policy shall also contain an undertaking
by the insurer that no material change adverse to the Landlord or the Tenant will be made and the policy will not lapse or be cancelled
or not be renewed, except after not less than thirty (30) days’ prior written notice to the Landlord of the intended change,
lapse, cancellation or non-renewal.

 

		(b)	The Tenant shall furnish to the Landlord certificates as
to the insurance from time to time effected by the Tenant and its renewal or continuation in force on a form acceptable by the
Landlord’s insurers evidencing that the required insurance is in force, together with evidence as to the method of determination
of full replacement cost of the Leasehold Improvements to the Premises and the Tenant’s trade fixtures, furniture and equipment.
If the Landlord reasonably concludes that the full replacement cost has been underestimated, the Tenant shall forthwith arrange
for any consequent increase in coverage required under Section 10.2. If the Tenant fails to take out, renew or keep in force such
insurance, or if the certificates submitted to the Landlord pursuant to the preceding sentence are unacceptable to the Landlord
(or no such certificates are submitted within a reasonable period after request therefor by the Landlord), the Landlord may give
to the Tenant notice requiring compliance with this Section and specifying the respects in which the Tenant is not then in compliance
with this Section. If the Tenant does not, within seventy-two (72) hours (or such lesser period as the Landlord may reasonably
require having regard to the urgency of the situation), provide appropriate evidence of compliance with this Section the Landlord
may (but shall not be obligated to) obtain some or all of the additional coverage or other insurance which the Tenant shall have
failed to obtain, without prejudice to any other rights of the Landlord under this Lease or otherwise, and the Tenant shall pay
all premiums and other costs incurred by the Landlord forthwith upon demand.

 

		10.4	Insurance Cancellation or Cost Increase

 

		(a)	The Tenant will not do or omit to do or permit to be done or omitted to be done in the
                                                                                 Premises anything which would cause  any policy of insurance on the Premises to be subject to cancellation or non-renewal or
                                                                                 which would cause an increase in the cost of any insurance which the Landlord is obligated by this Lease to maintain or which
                                                                                 is otherwise maintained by the Landlord. Upon any act or omission by the Tenant or any person occupying or
                                                                                 transacting business at the Premises which would result in cancellation or non-renewal or an increased cost which the Tenant
                                                                                 does not pay, the Landlord may, at its option, terminate this Lease on ten (10) days notice to the Tenant. Without limiting
                                                                                 the foregoing, the Tenant will pay to the Landlord, forthwith upon demand, the amount of any such increase in cost.

 

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		(b)	If any insurance policy is cancelled or threatened by the
insurer to be cancelled or the coverage thereunder is altered in any way because of the use or occupation of the Premises by the
Tenant or by any person permitted to be in the Premises by the Tenant or any other person for whom the Tenant is at law responsible,
and if the Tenant fails to remedy the condition giving rise to the cancellation, threatened cancellation or alteration in coverage
within forty-eight (48) hours after notice thereof is given to the Tenant (or such lesser period as the Landlord acting reasonably
may determine, having regard to the urgency of the situation), the Landlord may, but will not be obligated to, without further
notice or any liability to the Tenant or any other occupant of the Premises, enter the Premises and attempt to remedy such condition
or obtain or attempt to obtain insurance coverage in replacement of the coverage cancelled, threatened to be cancelled or altered
in coverage; and the Tenant will pay to the Landlord, forthwith upon demand, the cost thereof.

 

		10.5	Release of Landlord by Tenant

 

The Tenant agrees that, despite any other
provision of this Lease, the Landlord and those for whom the Landlord is at law responsible shall not be liable to any extent for
any personal injury or death of, or loss or damage to any property belonging to the Tenant or any of its employees, invitees or
licensees or any other person in, on or about the Premises unless resulting from the wilful act or actual negligence of the Landlord
or those for whom the Landlord is at law responsible (but only to the extent of such actual negligence). Notwithstanding the immediately
preceding sentence, in no event shall the Landlord be liable for:

 

		(a)	any damage (other than Insured Damage) which is caused
by steam, water, rain or snow which may leak into, issue or flow from any part of the Premises or from the pipes or plumbing works,
including the sprinkler system, thereof, or from any other place or quarter, or for any damage caused by or attributable to the
condition or arrangement of any electric or other wiring or of sprinkler heads, or for any damage caused by anything done or omitted
by any other tenant;

 

		(b)	any act or omission (including theft, malfeasance or negligence)
on the part of any agent, contractor or other person from time to time employed by it to perform janitorial services, security
services, supervision or any other work in or about the Premises it being understood that should the Tenant sustain any loss caused
by any person or persons employed or retained by the Landlord in the performance of any supervision or any other work in or about
the Premises (as reasonably determined by the Tenant), the Landlord will, if requested by the Tenant, pursue a claim for such
loss against such person or persons on behalf of the Tenant, but only if the Tenant is itself unable to pursue such claim directly
due to the Tenants lack of legal standing;

 

		(c)	loss or damage, however caused, to money, securities, negotiable
instruments, papers or other valuables of the Tenant; or

 

		(d)	loss or damage for which the Tenant is required to or does
carry insurance.

 

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In addition, the Tenant hereby releases
the Landlord and those for whom the Landlord is at law responsible from all claims or liabilities in respect of damage required
to be insured against by the Tenant.

 

		10.6	Release of Tenant by Landlord

 

The Landlord hereby releases the Tenant
and those for whom the Tenant is at law responsible from all claims or liabilities in respect of any damage which is Insured Damage
to the extent of the insurance proceeds actually received by the Landlord.

 

		10.7	Indemnity of Landlord by Tenant

 

Except as provided in Section 10.6, the
Tenant shall indemnify and save harmless the Landlord against and from any and all expenses, costs, damages, suits, actions, liabilities
or claims arising or growing out of any default by the Tenant hereunder, and from all claims and demands of every kind and nature
made by any person or persons to or against the Landlord and/or its agent, for all and every manner of costs, damages or expenses
incurred by or injury (including death resulting at any time therefrom) or damage to such person or persons or his, her or their
property, which claims or demands may arise howsoever out of the use and occupation of the Premises by the Tenant or any subtenant
or occupant authorized by the Tenant or by any assignee or sublessee thereof or any of their respective servants, agents, assistants,
employees, invitees or other persons entering into the Premises or any part thereof (other than any such claims, demands or damages
resulting from any wilful act or act of negligence of the Landlord or those for whom the Landlord is responsible at law), and from
all costs, counsel fees, expenses and liabilities incurred in or about any such claim or any action or proceeding brought thereon.

 

		10.8	Indemnity of Tenant by Landlord

 

Except as provided in Section 10.5, the
Landlord shall indemnify and save harmless the Tenant against and from any and all expenses, costs, damages, suits, actions, liabilities
or claims arising or growing out of any default by the Landlord hereunder, and from all claims and demands of every kind and nature
made by any person or persons to or against the Tenant and/or its agent, for all and every manner of costs, damages or expenses
incurred by or injury (including death resulting at any time therefrom) or damage to such person or persons or his, her or their
property, which claims or demands may arise as a result of the negligence of the Landlord or those for whom it is responsible at
law, and from all costs, counsel fees, expenses and liabilities incurred in or about any such claim or any action or proceeding
brought thereon.

 

		ARTICLE 11	ASSIGNMENTS BY TENANT AND TRANSFERS BY LANDLORD

 

		11.1	Assignment, Subleases, Charges by Tenant

 

		(a)	In this Lease, “Transfer” means:

 

		(i)	an assignment, sale, conveyance, sublease, or other disposition
of this Lease or the Premises, or any part of them or any interest in this Lease (whether by operation of law or otherwise), or
in a partnership that is a Tenant under this Lease;

 

		(ii)	a mortgage, charge or debenture (floating or otherwise)
or other encumbrance of this Lease or the Premises or any part of them, or of any interest in this Lease or of a partnership,
or partnership interest, where the partnership is a Tenant under this Lease;

 

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		(iii)	a parting with or sharing of possession of all or part
of the Premises;

 

		(iv)	a transfer or issue by sale, assignment, bequest, inheritance,
operation of law or other disposition, or by subscription of all or part of the corporate shares of the Tenant or an “affiliate”
(which for the purposes of this Article 11 means “affiliate” as that term is defined on the date of this Lease under
the Canada Business Corporations Act) of the Tenant which results in a change in the effective voting control of the Tenant; or

 

		(v)	a merger, amalgamation or other corporate reorganization
of the Tenant.

 

“Transferor” and “Transferee”
have meanings corresponding to the definition of “Transfer” set out above, (it being understood that for a Transfer
described in clause (iv) the Transferor is the person that has effective voting control before the Transfer and the Transferee
is the person that has effective voting control after the Transfer).

 

		(b)	The Tenant shall not effect or permit a Transfer without the consent of the Landlord which
                                                                                 shall not (except as hereinafter otherwise provided) be unreasonably withheld. Without limitation, it shall constitute
                                                                                 reasonable grounds for any withholding of consent by the Landlord that, in the Landlord’s reasonable judgment:

 

		(i)	the proposed Transferee does not have a satisfactory financial
condition having regard to the obligations which it will assume as Transferee; or

 

		(ii)	it is intended or likely that it will use any part of the
Premises for any purpose which is not permitted by this Lease or which is not acceptable to the Landlord, acting reasonably; or

 

		(iii)	where the return to the Tenant on any proposed Transfer
is greater than the amounts payable by the Tenant hereunder and the proposed transfer occurs after the tenth year of the Term,
for a rentable area in excess of 50,000 square feet, and the Tenant does not agree to share such excess equally with the Landlord;
or

 

		(iv)	covenants, restrictions, or commitments given by the Landlord
to mortgagees, or other parties regardless of when given, prevent or inhibit the Landlord from giving its consent to the Transfer.

 

The Landlord shall be entitled
to withhold consent arbitrarily where it exercises its right of termination pursuant to Section 11.2.

 

		(c)	Without limitation, the Tenant shall for the purposes of
this Lease be considered to have effected or permitted a Transfer in any case where it permits the Premises or any portion thereof
to be occupied by a person or persons other than the Tenant, its employees and others engaged in carrying on the business of the
Tenant, whether pursuant to assignment, subletting, license or other right, and shall also include any case where any of the foregoing
occurs by operation of law.

 

		(d)	The Landlord shall have the right of approval, acting reasonably,
of any marketing of space by the Tenant.

 

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		(e)	If the Landlord’s consent is given, the Tenant shall
complete the Transfer, but only upon the terms set out in the offer submitted to the Landlord pursuant to Section 11.2 and not
otherwise. Such Transfer shall occur within ninety (90) days after the Tenant’s request for consent and only upon any Transferee
entering into an agreement directly with the Landlord and in a form satisfactory to the Landlord acting reasonably to perform,
observe and keep each and every covenant, proviso, condition and agreement in this Lease on the part of the Tenant to be performed,
observed and kept, including payment of Rent.

 

		(f)	Notwithstanding any other provision of this Lease, the
Tenant may:

 

		(i)	in the first ten (10) years of the Term, without the Landlord’s
consent, sublet up to 50,000 square feet of the Premises to one or more parties from time to time; or

 

		(ii)	at any time during the Term (or any renewal term), without
the Landlord’s consent (but with notice in writing to the Landlord), assign or partially assign this Lease or sublet the
Premises (in whole or in part) to:

 

		(A)	an “affiliate” (as such term is defined in
the Canada Business Corporations Act as at the date of this Lease) of the Tenant; or

 

		(B)	a mortgagee of the Tenant or a party holding a debenture
given by the Tenant,

 

on condition that in the event
of an assignment contemplated in section 11.1(f)(ii), the Tenant and the assignee enter into an agreement directly with the Landlord,
in a form satisfactory to the Landlord, in which the assignee agrees to be bound by the terms and conditions of this Lease, and
the Tenant agrees that it will not be released from its obligations to perform and keep each and every covenant, proviso, condition
and agreement in this Lease. Notwithstanding anything contained in this Lease to the contrary, the consent of the Landlord will
not be required in connection with:

 

		(iii)	a public offering of shares in the capital of the Tenant
or an “affiliate” (as defined in the Canada Business Corporations Act as at the date of this Lease) of the
Tenant;

 

		(iv)	a sale of all or substantially all of the assets or undertaking
of the Tenant or an “affiliate” (as defined in the Canada Business Corporations Act as at the date of this
Lease) of the Tenant;

 

		(v)	a change in the effective voting control of the Tenant
or an “affiliate” (as defined in the Canada Business Corporations Act as at the date of this Lease) of the
Tenant; or

 

		(vi)	a share issuance, reorganization, arrangement or amalgamation
resulting in a change in the beneficial ownership of the Tenant or an “affiliate” (as defined in the Canada Business
Corporations Act as at the date of this Lease) of the Tenant.

 

		(g)	All reasonable costs of the Landlord incurred with respect
to any Transfer by the Tenant shall be paid by the Tenant forthwith after demand.

 

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		11.2	Landlord’s Rights of Cancellation

 

Subject to subsection 11.1(f),
the Tenant shall not effect or permit a Transfer unless:

 

		(a)	it shall have received or procured a bona fide written
offer therefor to take a Transfer which is not inconsistent with, and the acceptance of which would not breach, any provisions
of this Lease if this Article is complied with and which the Tenant has determined to accept subject to this Article being complied
with, and

 

		(b)	it shall have requested and obtained the consent in writing
of the Landlord thereto.

 

Any request for such consent shall be in
writing and accompanied by a true copy of such offer, and the Tenant shall furnish to the Landlord all information available to
the Tenant or any additional information requested by the Landlord acting reasonably, as to the responsibility, reputation, financial
standing and business of the proposed Transferee. Within fifteen (15) days after the receipt by the Landlord of such request for
consent and of all information which the Landlord shall have requested hereunder (and if no such information has been requested,
within fifteen (15) days after receipt of such request for consent), the Landlord shall have the right upon notice to the Tenant,
if the proposed Transfer affects the whole of the Premises, to terminate this Lease or, if the proposed Transfer affects at least
twenty five (25) percent of the Premises but less than the whole, to delete from the Lease such part of the Premises as is affected
by the proposed Transfer, in each case as of the date of the proposed Transfer. In such event, the Tenant shall surrender the whole
or part, as the case may be, of the Premises in accordance with such notice and Rent shall be apportioned and paid to the date
of surrender and, if only a part of the Premises is surrendered, Rent shall thereafter abate proportionately. If the Landlord shall
not exercise the foregoing right of cancellation, then the provisions of Section I 1.1 shall apply.

 

The Landlord’s right to terminate
or delete, as the case may be, shall only be exercisable after the first five (5) years of the Term have elapsed.

 

If the Landlord elects
to terminate or delete, as the case may be, the Tenant may withdraw its request for consent by notice to the Landlord within five
(5) business days after receipt of the Landlord’s notice of election, in which event the Landlord’s notice of election
shall be null and void and the Tenant shall not proceed with the Transfer for which such consent was requested.

 

		11.3	Continuing Obligations of Tenant

 

		(a)	No Transfer shall release or relieve the Tenant from any
of its obligations hereunder unless otherwise agreed by the Landlord.

 

		(b)	No consent by the Landlord to any Transfer shall be construed
to mean that the Landlord has consented or will consent to any further Transfer which shall remain subject to the provisions of
this Article.

 

		11.4	No Advertising of the Premises

 

The Tenant shall not print, publish, post,
mail, display, broadcast or otherwise advertise or offer the whole or any part of the Premises for the purposes of a Transfer,
and shall not permit any broker or other party to do any of the foregoing, unless the complete text and format of any such notice,
advertisement or offer shall first have received the Landlord’s written consent, which shall not be unreasonably withheld.
In no event shall any such notices or advertisement contain any reference to the Rent payable in respect of the Premises.

 

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		11.5	Dealings by Landlord

 

Subject to the Right of First Offer contained
in section 2 of Schedule E, the Landlord may sell, transfer, charge, encumber or otherwise deal with the Premises or any portion
thereof or any interest of the Landlord therein, in every case without the consent of the Tenant, and without restriction. To the
extent that any purchaser or transferee from the Landlord has become bound by the covenants and obligations of the Landlord under
this Lease, the Landlord shall, without further written agreement, be freed and relieved of liability with respect to such covenant
and obligations.

 

		11.6	Subordination and Attornment

 

The Tenant acknowledges that this Lease
is, at the option of any mortgagee or chargee, subject and subordinate to any and all ground leases, mortgages or charges (including
deeds of trust and mortgage securing bonds, all indentures supplemental thereto or any other instruments of financing, refinancing
or collateral financing) (collectively called an “Encumbrance”) which may now or hereafter affect the
Premises, or any part thereof, and to all renewals, modifications, consolidations, replacements and extensions thereof. The Tenant
agrees to execute promptly any certificate or instrument in confirmation of such subordination and will, if requested, attorn to
such encumbrancer, mortgagee or chargee (each, an “Encumbrancer”).

 

Subject to section 11.7, the Tenant will,
if possession is taken under, or any proceedings are brought for possession under or the foreclosure of, or in the event of the
exercise of the power of sale under, any Encumbrance, attorn to the Encumbrancer or the purchaser upon any such foreclosure, sale
or other proceeding and recognize the Encumbrancer or the purchaser as the Landlord under this Lease.

 

		11.7	Non-Disturbance Agreement

 

The Landlord will obtain from any present
or future holder (each a “Holder”) of any security in respect of the Premises a non-disturbance agreement (“Non-Disturbance
Agreement”) in favour of Tenant (in a form acceptable to Tenant, acting reasonably) wherein the Holder agrees that, so long
as Tenant is not in material default hereunder beyond any applicable curing period, the Holder will recognize all Tenant’s
rights under this Lease and Tenant will be permitted to remain in occupation of the Premises, without disturbance, pursuant to
and upon all the terms and conditions contained in this Lease, notwithstanding that Landlord may be in default under Holder’s
security. For greater certainty, the Holder will agree to perform all Landlord’s covenants under this Lease as if it was
Landlord named herein. The Landlord will use its best efforts to obtain a Non-Disturbance Agreement from any future Holder within
fourteen (14) days following registration of such Holder’s security.

 

		ARTICLE 12	ESTOPPEL CERTIFICATES, REGISTRATION

 

		12.1	Estoppel Certificates

 

Each of the Landlord and the Tenant agrees
that it will at any time and from time to time upon not less than ten (10) days’ notice, execute and deliver to the other
(and, if required, to any prospective purchaser, mortgagee or Encumbrancer of the Premises) a certificate in writing as to the
status at that time of this Lease, including as to whether this Lease is unmodified and in full force and effect (or, if modified,
stating the modification and that the same is in full force and effect as modified), the amount of the Rent then being paid hereunder,
the date on which the same, by instalments or otherwise, and other charges hereunder, have been paid, whether or not there is any
existing default on the part of the other of which it has notice, and any other matters pertaining to this Lease as to which the
other shall request a statement.

 

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		12.2	Registration on Title

 

The Tenant shall not register this Lease
in full on the title to the Premises. If the Tenant wishes to register a notice or short form of this Lease, the Tenant shall deliver
the notice or short form to the Landlord for its prior approval. In no circumstances shall the Landlord permit any form of registration
containing financial information.

 

The Tenant agrees that it will, at its
sole expense, discharge and withdraw from title any such registration within thirty (30) days after the expiration or sooner termination
of this Lease. If such registration is not discharged and withdrawn during the aforesaid time, the Landlord shall have the right
and is hereby appointed by the Tenant as its agent and attorney to prepare, execute and register such documentation as is required
to discharge and withdraw any such registration.

 

		ARTICLE 13	UNAVOIDABLE DELAYS

 

		13.1	Unavoidable Delays

 

Whenever
and to the extent that either the Landlord or the Tenant is unable to fulfill, or is delayed or restricted in the fulfillment of,
any obligation hereunder in respect of the supply or provision of any service or utility or the doing of any work or the making
of any repairs, by reason of being unable to obtain the material, goods, equipment, service, utility or labour required to enable
it to fulfill such obligation, or by reason of any statute, law, by-law or order-in-council or any regulation or order passed or
made pursuant thereto, or by reason of the order or direction of any legislative, administrative, or judicial body, controller
or board, or any governmental department or any governmental officer or other authority having jurisdiction, or by reason of its
inability to procure any licence or permit required therefor, or by reason of not being able to obtain any permission or authority
required therefor, or by reason of any strikes, lockouts, slow-downs or other combined action of workmen, or shortages of material,
or any other cause beyond its control, other than any insolvency, lack of funds or other financial cause of delay, the Landlord
or the Tenant, as the case may be, shall be relieved from the fulfillment of such obligation so long as such cause continues provided
always that (except as may be expressly provided in this Lease) the Tenant shall not be entitled to any compensation for any inconvenience
or nuisance or discomfort thereby occasioned, or to cancel or terminate this Lease or to any abatement of Rent.

 

		ARTICLE 14	LANDLORD’S ACCESS TO PREMISES

 

		14.1	Inspection and Repair

 

The Landlord and its authorized
agents and employees shall have the right at all reasonable times upon prior written notice to the Tenant, except in the case of
emergencies and in the exercise of its property management obligations pursuant to the Lease, (provided that the times scheduled
in respect of such property management obligations are generally approved in advance by the Tenant), at any time and from time
to time, to enter the Premises for the purpose of inspection, providing janitor service, maintenance, making repairs, alterations
or improvements to the Premises or to have access to utilities and services, and the Tenant shall provide free and unhampered access
for such purpose and shall not be entitled to compensation for any inconvenience, nuisance or discomfort caused thereby. The Landlord
in exercising its rights hereunder shall proceed to the extent reasonably possible so as to minimize interference with the Tenant’s
use and enjoyment of the Premises.

 

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		14.2	Right to Exhibit Premises

 

The Landlord and its authorized agents
and employees shall have the right to exhibit the Premises to prospective tenants at all reasonable hours upon prior written notice
to the Tenant, during the last twelve (12) months of the Term. The Landlord and its authorized agents and employees shall also
have the right to enter upon the Premises at all reasonable hours during the Term upon prior written notice, for the purpose of
exhibiting the Premises to any prospective purchaser or mortgagee thereof.

 

		ARTICLE 15	DEFAULT

 

		15.1	Events of Default

 

Each of the following shall be an event
of default of the Tenant:

 

		(a)	whenever the Tenant defaults in the payment of any Rent
and such default continues for five (5) business days after notice to the Tenant; or

 

		(b)	whenever the Tenant defaults in the performance of any
of its other obligations hereunder and such default is not remedied within a period next after notice and which period shall be:

 

		(i)	if the default could in the reasonable opinion of the Landlord,
be remedied within thirty (30) days after notice and provided the Tenant has commenced to remedy such failure within ten (10)
days after notice and proceeds thereafter diligently and continuously to remedy it, thirty (30) days; and

 

		(ii)	if the default could not in the reasonable opinion of the
Landlord, be remedied within thirty (30) days after notice and provided the Tenant has commenced to remedy such failure not later
than ten (10) days after notice and proceeds thereafter diligently and continuously to remedy it, that number of days after notice
which would in the reasonable opinion of the Landlord, suffice for the remedying of such default if the Tenant had commenced to
remedy such default within ten (10) days after notice and proceeded thereafter diligently and continuously to remedy it; and

 

		(iii)	in any case where the Tenant does not commence to remedy
such default within ten (10) days after notice, ten (10) days; or

 

		(c)	the Tenant taking any action or commencing any proceeding
or any action or proceeding being taken or commenced by another person or persons against the Tenant in respect of the liquidation,
dissolution or winding-up of the Tenant, including without limitation, any action or proceeding under the Winding Up and Restructuring
Act, the Business Corporations Act, the Canada Business Corporations Act or other similar legislation whether now
or hereinafter in effect; or

 

		(d)	the Tenant taking any action or commencing any proceeding
or any action or proceeding being taken or commenced by another person or persons against the Tenant relating to the reorganization,
readjustment, compromise or settlement of the debts owed by the Tenant to its creditors, including, without limitation, the filing
of a notice of intention to make a proposal or the filing of a proposal pursuant to the provisions of the Bankruptcy and Insolvency
Act (Canada), the making of an Order under the Companies’ Creditors Arrangement Act (Canada) or the commencement
of any similar action or proceeding by the Tenant or such person or persons; or

 

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		(e)	the Tenant making any bulk sale of its assets, except to
a successor in conjunction with a permitted assignment of this Lease, or the Tenant committing any act of bankruptcy pursuant
to or set out under the provisions of the Bankruptcy and Insolvency Act (Canada) or the filing of a petition for a receiving
order against the Tenant pursuant to the provisions of the Bankruptcy and Insolvency Act (Canada) or a receiver, interim
receiver and manager, agent, liquidator or other similar administrator being appointed in respect of any of the property of the
Tenant whether or not located on the Premises, or any part thereof, or the taking by a secured party, lien claimant, other encumbrancer,
judgment creditor or a person asserting similar rights of possession of such assets or any part thereof located on the Premises;
or

 

		(f)	if a writ of execution that may materially affect this
Lease shall issue against the Tenant, or if the Term hereby granted or any of the goods, chattels or equipment of the Tenant shall
be taken in execution or attachment, or be seized by any creditor of the Tenant, whether secured or otherwise; or

 

		(g)	if the Premises or a substantial part thereof are abandoned
or become vacant or not used or occupied while capable of use and occupancy, and remain so for a period of thirty (30) days, or
if the Premises are used by any other person or persons other than the Tenant or for any other purpose than that for which the
same were let, in each case without the prior written consent of the Landlord.

 

		15.2	Remedies of Landlord

 

Upon any event of default of the Tenant,
in addition to any remedy which the Landlord may have by this Lease or at law or in equity, the Landlord may, at its option:

 

		(a)	provide, by notice to the Tenant, that the current month’s
Rent and Rent for the next ensuing three (3) months shall thereupon become immediately due and payable; and/or

 

		(b)	enter the Premises as agent of the Tenant, either by force
or otherwise, without being liable for any prosecution therefor, and without being deemed to have terminated this Lease, and relet
the Premises or any part thereof as the agent of the Tenant, and receive the rent therefor to be applied on account of the Rent;
and/or

 

		(c)	exercise its right of distress; and/or

 

		(d)	terminate this Lease and re-enter and take possession of
the Premises and/or provide, by notice to the Tenant, for an immediate payment by the Tenant of an amount equal to the Present
Value, as of the date of an event of default by the Tenant, of Rent due under this Lease from such date to the last day of the
twelfth month following such date of default, provided that if there is less than twelve months remaining in the current Term
(or the current renewal term) the amount payable will be the Present Value of Rent due under this Lease from the date of the event
of default by the Tenant to the last day of the current Term or renewal term, as the case may be. After receipt by the Landlord
of such payment and after the Landlord relets the Premises, the Landlord shall remit to the Tenant, as and when rent is received
therefor, an amount equal to (i) the lesser of (1) the amount received by the Landlord for any period and (2) the amount that
would have been payable by the Tenant under this Lease for the same period, less (ii) fifteen percent (15%) of such sum in (i)
as an administration fee to the Landlord; and/or

 

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		(e)	without terminating this Lease, demand immediate payment
from the Tenant of an amount equal to the Present Value, as of the date of an event of default by the Tenant, of Rent due under
this Lease from such date to the last day of the Term of the Lease. If any part of such Rent cannot be absolutely determined as
of such date, the Landlord shall estimate same on a reasonable basis. Upon payment of such amount by the Tenant to the Landlord,
the Tenant shall be entitled to occupancy of the Premises for the remainder of the Term in accordance with this Lease; and/or

 

		(f)	suspend the supply to the Premises of any benefit, service,
utility or Additional Service furnished by the Landlord until the default is cured.

 

		15.3	Additional Self-Help Remedy of Landlord

 

In addition to all other remedies the Landlord
may have by this Lease, at law or in equity, if the Tenant does not perform any of its obligations hereunder, the Landlord may
at its option, perform any of such obligations, after five (5) business days’ notice to the Tenant or in the event of an
emergency without notice, and in such event the cost of performing any of such obligations plus an administrative charge of fifteen
percent (15%) of such cost shall be payable by the Tenant to the Landlord forthwith on demand together with interest at the Rate
of Interest from the date of the performance of any of such obligations by the Landlord to the date of payment by the Tenant.

 

		15.4	Legal Costs - Landlord

 

The Tenant hereby agrees to pay to the
Landlord, within five (5) days after demand, all legal fees, on a solicitor and his own client basis, incurred by the Landlord
for the enforcement of any rights of the Landlord under this Lease or in the enforcement of any of the provisions of this Lease
or in the obtaining of possession of the Premises or for the collection of any monies from the Tenant or for any advice with respect
to any other matter related to this Lease provided such legal fees were reasonably incurred and the outcome of the issue was unfavourable
to the Tenant.

 

		15.5	Legal Costs - Tenant

 

The Landlord hereby agrees to pay to the
Tenant, within five (5) days after demand, all legal fees on a solicitor and his own client basis, incurred by the Tenant for the
enforcement of any of the rights of the Tenant under this Lease, for the collection of any monies from the Landlord or for any
advice with respect to any other matter related to this Lease, provided that the legal fees were reasonably incurred and the outcome
of the issue was unfavourable to the Landlord.

 

		15.6	Remedies Cumulative

 

The Landlord may from time to time resort
to any or all of the rights and remedies available to it in the event of any default hereunder by the Tenant, either by any provision
of this Lease, or by statute, or at law or in equity, all of which rights and remedies are intended to be cumulative and not alternative,
and the express provisions hereunder as to certain rights and remedies are not to be interpreted as excluding any other or additional
rights and remedies available to the Landlord at law or in equity.

 

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		15.7	Non-Waiver

 

Any condoning, excusing or overlooking
by either the Landlord or the Tenant of any default by the other at any time or times in respect of any obligation of the other
herein shall not operate as a waiver of the non-defaulting party’s rights hereunder in respect of such default or so as to
defeat or affect in any way the rights of the non-defaulting party in respect of any such continuing or subsequent default by the
defaulting party. No waiver shall be implied by anything done or omitted by a party. Any waiver of a particular default shall not
operate as a waiver of any subsequent or continuing default.

 

ARTICLE 16ARBITRATION

 

		16.1	Arbitration

 

Whenever in this Lease it is provided that
any matter in dispute between the Landlord and the Tenant, if not settled or agreed between them, is to be determined by arbitration,
then the following provisions shall apply:

 

		(a)	Either party may commence arbitration proceedings by giving
written notice to the other party of its desire to arbitrate (but no party shall give such a notice unless such party has first
demonstrated its willingness to negotiate and act reasonably with a view to resolving the dispute by agreement between the parties).

 

		(b)	Forthwith after
                                         the giving of such notice, the parties or their designated representatives shall meet
                                         in good faith for the purpose of agreeing, or attempting to agree, upon an arbitration
                                         procedure. If such agreement is arrived at, the matter in dispute shall be arbitrated
                                         and settled in accordance with the agreed procedure (and which agreed procedure shall
                                         be reduced to writing signed by each of the parties, and shall constitute a submission
                                         to arbitration within the meaning of the commercial arbitration legislation of the Province
                                         in which the Premises is located (the “Arbitrations Act”).

 

		(c)	The parties recognize
                                         that, in many instances of disputes which might arise under this Lease, the dispute may
                                         involve, and depend for its resolution upon, technical matters or matters which involve
                                         expert knowledge and judgment, where it is in the interests of a prompt and equitable
                                         solution of the matter for the parties to agree upon an independent expert having the
                                         appropriate specialized knowledge as the sole arbitrator. In any such situation the parties
                                         shall negotiate in good faith and act reasonably with a view to reaching agreement upon
                                         an appropriate independent expert as a sole arbitrator. If such a sole arbitrator is
                                         agreed upon by the parties, the dispute shall be arbitrated and determined in accordance
                                         with the following procedure (and which shall constitute a submission to arbitration
                                         within the meaning of the Arbitrations Act):

 

		(i)	such sole arbitrator shall proceed to determine the dispute,
having regard to the provisions of this Lease and the terms of the submission to arbitration and any other agreements the parties
may have had respecting the arbitration or the matter in dispute;

 

		(ii)	the arbitration shall, subject to any express provision
herein or in any submission to arbitration or other agreement of the parties affecting the same, be conducted in accordance with
the provisions of the laws of the Province in which the Premises is located applicable thereto and the provisions of the Arbitrations
Act shall apply thereto;

 

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		(iii)	the costs of the arbitration shall be awarded in the discretion
of the sole arbitrator; and

 

		(iv)	if such sole arbitrator fails to hear and determine the matter  in dispute and render a
                                                                                decision in writing to the parties within thirty (30) days after the parties agree upon such sole arbitrator, either party
                                                                                may, by notice to the other, cancel the appointment of such sole arbitrator, in which case either party may initiate new
                                                                                arbitration proceedings pursuant to this Section (subject to the agreement of the other party to the commencement of new
                                                                                arbitration proceedings) or proceed in the courts to have the dispute determined as if no agreement for a submission
                                                                                to arbitration existed between the parties.

 

		(d)	If, within five
                                         (5) days after the giving of the notice referred to in subsection (a) of this Section
                                         an arbitration procedure shall not have been agreed upon between the parties, either
                                         party may, at any time thereafter, and prior to such a procedure being agreed, give written
                                         notice to the other requiring the dispute to be arbitrated and determined in accordance
                                         with the following procedure (and which shall constitute a submission to arbitration
                                         within the meaning of the Arbitrations Act):

 

		(i)	the party giving the notice referred to above in this subsection
shall, in such notice, give notice of the appointment and the name of the arbitrator chosen by the party giving such notice;

 

		(ii)	the party receiving the notice given under paragraph (i)
shall, within ten (10) days after the receipt thereof, give a written notice to the party giving the first notice of the appointment
and the name of the arbitrator chosen by the party giving the notice under this paragraph (ii);

 

		(iii)	the two arbitrators so chosen shall jointly appoint a third
arbitrator and give written notice of the appointment and the name of such arbitrator to the parties;

 

		(iv)	if a party required to appoint an arbitrator fails to do
so and give notice thereof as required by paragraph (ii) within the period of ten (10) days provided thereby, or if each party
has appointed an arbitrator and the two arbitrators so chosen fail to agree upon a third arbitrator and give notice thereof as
required by paragraph (iii) within fifteen (15) days after both have been appointed, then any party not in default may apply to
a judge of the relevant court of competent jurisdiction pursuant to the provisions of the Arbitrations Act for the appointment
of an arbitrator on behalf of the party in default, or the appointment of the third arbitrator, as the case may be;

 

		(v)	the three (3) arbitrators appointed pursuant to the preceding
provisions shall proceed to determine the dispute, having regard to the provisions of this Lease and the terms of the submission
to arbitration and any other agreements the parties may have made respecting the arbitration or the matter in dispute and the
decision of any two (2) of them shall bind the parties;

 

		(vi)	the arbitration shall, subject to any express provisions
herein or in any submission to arbitration or other agreement of the parties affecting the same, be conducted in accordance with
the provisions of the laws of the Province in which the Premises is located applicable thereto and the provisions of the Arbitrations
Act shall apply thereto;

 

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		(vii)	the costs of the arbitration shall be awarded in the discretion
of the arbitrators; and

 

		(viii)	if the arbitrators appointed under the preceding provisions
shall fail to hear and determine the matter in dispute and render a decision in writing to the parties within thirty (30) days
after the appointment of the third arbitrator, either party on notice to the other may cancel the appointments of all the arbitrators
previously made, in which case either party may initiate new arbitration proceedings pursuant to this Section (subject to the
agreement of the other party to the commencement of new arbitration proceedings) or proceed in the courts to have the dispute
determined as if no agreement for a submission to arbitration existed between the parties.

 

		(e)	The provisions of this Lease and of this Section requiring
the determination of certain disputes by arbitration shall not operate to prevent recourse to the courts by any party whenever
enforcement of an award by the sole arbitrator or arbitrators, as the case may be, reasonably requires access to any remedy (such
as mandamus, injunction, specific performance, declaration of right, order for possession, damages or judicial enforcement) which
an arbitrator has no power to award or enforce. In all other respects an award by the sole arbitrator or arbitrators, as the case
may be, shall be final and binding upon the parties.

 

		(f)	Notwithstanding that arbitration proceedings may have been
commenced or that a dispute is being negotiated, the Tenant shall continue to pay all Rent, including without limitation all amounts
which are the subject of dispute, based upon the Landlord’s estimate or re-estimate of same (except where otherwise provided
in this Lease) until the dispute is finally determined.

 

		ARTICLE 17	GENERAL PROVISIONS

 

		17.1	Entire Agreement

 

This Lease contains all of the terms and
conditions of the agreement between the Landlord and the Tenant relating to the matters herein provided and supersedes all previous
agreements or representations of any kind, written or verbal, made by anyone in reference thereto.

 

There shall be no amendment hereto unless
in writing and signed by the party to be bound.

 

		17.2	Schedules

 

Schedules A, B, C, D and E attached
to this Lease form a part of this Lease.

 

		17.3	Survival of Obligations

 

Any obligation of a party which is unfulfilled
on the termination of this Lease shall survive until fulfilled.

 

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		17.4	Severability of Illegal Provisions

 

If any provision of this Lease is or becomes
illegal or unenforceable, it shall during such period that it is illegal or unenforceable be considered separate and severable
from the remaining provisions of this Lease which shall remain in force and be binding as though the said provision had never been
included.

 

		17.5	Governing Law

 

This Lease shall be governed by the laws
applicable in the Province in which the Premises is located.

 

		17.6	No Partnership

 

Nothing contained herein shall be deemed
to create any relationship between the parties hereto other than the relationship of landlord and tenant.

 

		17.7	Number, Gender, Joint and Several Liability

 

The word “Tenant”, the word
“assignee” and the word “sublessee” and personal pronouns relating thereto and used in conjunction therewith
shall be read and construed as “Tenant” or “Tenants”, “assignee” or “assignees”
and “sublessee” or “sublessees” respectively and “his”, “her”, “it”,
“its” and “their” as the number and gender of the party or parties referred to in each case require and
the number of the verb agreeing therewith shall be considered as agreeing with the said word or pronoun so substituted. If at any
time there is more than one Tenant together or in succession, they shall be jointly and severally liable for all of the obligations
of the Tenant hereunder. If the Tenant is a partnership each person who is a member of the partnership, and each person who becomes
a member of a successor of the partnership, is liable jointly and severally as Tenant under this Lease.

 

		17.8	Captions

 

The captions for Articles or Sections of
this Lease are for convenience only and are not to be considered a part of this Lease and do not in any way limit or amplify the
terms and provisions of this Lease.

 

		17.9	Time of Essence

 

Time shall be of the essence of this Lease.

 

		17.10	Landlord’s Agent

 

The Landlord may perform any of its obligations
or exercise any of its rights hereunder through such agency as it may from time to time determine and the Tenant shall, as from
time to time directed by the Landlord, pay to any such agent any monies payable hereunder to the Landlord.

 

		17.11	Successors and Assigns

 

The word “Landlord” wherever
it occurs herein, shall mean and extend to and include the Landlord, its successors and assigns and the word “Tenant”
shall mean and extend to and include the Tenant, its successors and assigns.

 

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Unless
otherwise set out herein, all rights and liabilities herein given to, or imposed upon, the respective parties hereto shall extend
to and bind the respective heirs, executors, administrators, successors and permitted assigns of the said parties and if there
is more than one party constituting the Tenant, they shall all be bound jointly and severally by the terms, covenants and agreements
herein on the part of the Tenant. If the Tenant is a partnership (the “Tenant Partnership”) each person who
is presently a member of the Tenant Partnership, and each person who becomes a member of the Tenant Partnership or any successor
Tenant Partnership hereafter, shall be and shall continue to be subject to the terms, covenants and conditions of this Lease,
whether or not such person ceases to be a member of such Tenant Partnership or successor Tenant Partnership. Subject to the provisions
of Subsection 11.1(f), no rights shall enure to the benefit of any assignee of the Tenant unless the assignment of such rights
has been first approved by the Landlord.

 

		17.12	Accounting Principles

 

All calculations referred to herein shall
be made in accordance with generally accepted accounting principles and practices applicable to the real estate development industry
and applied on a consistent basis.

 

		17.13	Notices and Consents, Etc.

 

Any notice or consent (including any invoice,
statement or request or other communication) herein required or permitted to be given by either party to the other shall be in
writing and shall be sufficiently given if delivered personally to an officer of either party, sent by registered mail postage
prepaid (except during a postal disruption or threatened postal disruption) to the applicable address set forth below, or sent
by facsimile to the applicable fax number as set forth below:

 

		(a)	in the case of the Landlord, to:

 

c/o GWL
Realty Advisors Inc.

3000 –
650 West Georgia Street

Vancouver,
British Columbia V6B 4N7

 

		Facsimile:	(604) 683-3264

		Telephone:	(604) 713-6450

		Attention:	Asset Manager

 

		(b)	in the case of the Tenant, if prior to the Commencement
Date, to the address or fax number set forth in subsection 1.1(b) or, if on or after the Commencement Date, to the Premises or
to the fax number set forth in subsection 1.1(b).

 

Any notice personally
delivered shall be deemed to have been validly and effectively given on the day of such delivery. Any notice sent by registered
mail shall be deemed to have been validly and effectively given on the third Business Day following the date of mailing. Any notice
sent by facsimile before 4:00pm PST shall be deemed to have been validly and effectively given on the day of confirmed transmission,
and if sent after 4:00pm PST shall be deemed to have been validly and effectively given on the next business day following the
day of confirmed transmission.

 

If there
is more than one Tenant, any notice required or permitted by this Lease may be given by or to any one of them and has the same
force and effect as if given by or to all of them.

 

Either party may from time to
time by written notice to the other change its address for service hereunder.

 

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		17.14	Further Assurances

 

Each party agrees to make such further
assurances as may be reasonably required from time to time by the other to more fully implement the true intent of this Lease.

 

		17.5	Confidentiality

 

The Tenant agrees to use its best efforts
to keep confidential, and to use best efforts to ensure that those for whom at law it is responsible, and its advisors, keep confidential,
the provisions of this Lease.

 

IN WITNESS WHEREOF the parties hereto have
duly executed this Lease as of the date first above written.

 

	 	THE GREAT-WEST LIFE ASSURANCE
    COMPANY
	 	 
	 	(Landlord)
	 	Per:	/s/ Donald J. Harrison
	 	Name:	Donald J. Harrison
	 	Title:	Senior Vice President, Asset Management
	 	 
	 	Per:	/s/ Jeff Fleming
	 	Name:	Jeff Fleming
	 	Title:	Vice President, Investments
	 	 
	 	We are authorized to bind the Corporation.
	 	 
	 	LONDON LIFE INSURANCE COMPANY
	 	 
	 	(Landlord)
	 	Per:	/s/ Donald J. Harrison
	 	Name:	Donald J. Harrison
	 	Title:	Senior Vice President, Asset Management
	 	 
	 	Per:	/s/ Jeff Fleming
	 	Name:	Jeff Fleming
	 	Title:	Vice President, Investments
	 	 
	 	We are authorized to bind the Corporation.
	 	 
	 	RITCHIE BROS. AUCTIONEERS (CANADA) LTD.
	 	 
	 	(Tenant)
	 	Per:	/s/ Darren Watt
	 	Name:	Darren Watt
	 	Title:	Secretary
	 	 
	 	I authorized to bind the Corporation.

 

     39

     

    

 

SCHEDULE “A”

Plan of the Building

 

 

 

    	 	A-1	 

     

    

  

SCHEDULE “B”

 

Lands

 

City of Burnaby

 

Parcel Identifier: 027-488-489

 

Lot 1 District Lot 165 Group 1

 

New Westminster District

 

Plan BCP36073

 

    	 	B-1	 

     

    

  

SCHEDULE “C”

 

Definition of Operating Costs

 

		1.	Inclusions

 

“Operating Costs” means
the aggregate of all of the Landlord’s expenses, costs and charges which are incurred in respect of the operation, maintenance,
repair, administration and supervision of the Premises including the Building Systems. Such expenses, costs and charges include,
without limitation or duplication:

 

		(a)	the cost of providing the operation, maintenance, repair,
administration and supervision of the Premises, including, without limitation, wages, salaries or other compensation for employees,
agents or contractors of the Landlord performing services rendered in connection therewith and a building manager and other supervisory
personnel, in each case whether on or off site, elevator operators, porters, cleaners and other janitorial staff, watchmen and
other security personnel, carpenters, engineers and all other maintenance personnel;

 

		(b)	the cost of repairs to, and maintenance of, the Premises,
and the costs of supplies and equipment used in connection therewith including structural maintenance, repairs, improvements and
replacements;

 

		(c)	the annual amortization including interest on the unamortized
amount, (on a straight-line basis over the useful life or such other period as reasonably determined by the Landlord) of the capital
cost of any modifications, replacements or additions to the Premises and/or the machinery and equipment therein and thereon, where
in the reasonable opinion of the Landlord such modifications, replacements or additions may reduce Operating Costs or result in
energy savings or result in increased security, or any additional equipment or improvements required by legal requirements not
in effect at the date of construction of the Premises and not to remedy any construction inadequacy or non-compliance with legal
requirements in effect at the time of construction, or which in the Landlord’s reasonable opinion are for the benefit or
safety of users of the Premises;

 

		(d)	straight-line amortization including interest on the unamortized
amount, based on the useful life as determined in accordance with industry accepted practice of the capital cost of any repairs,
modifications, additions and replacements to any part of the Premises and base building, including without limitation, the items
described in subsection 9.1(a), the Building Systems, roof, elevators and any other machinery and equipment which is at the end
of its life cycle;

 

		(e)	premiums and other charges incurred by the Landlord with
respect to insurance on the Premises, including, without limitation, fire and “All Risk” perils insurance, public
liability and property damage insurance, boiler and machinery insurance, elevator liability insurance, workers’ compensation
insurance for the employees specified in subsection (a) above and other casualties against which the Landlord may reasonably insure
provided that if the Landlord shall self insure, the Landlord shall include a deemed amount equal to the amount that would have
been included if the Landlord had placed insurance with a third party;

 

    	 	C-1	 

     

    

  

		(f)	costs incurred in connection with inspection and servicing of elevators, escalators and transportation
vehicles and equipment, electrical distribution and mechanical equipment and the costs of supplies and equipment used in connection
therewith;

 

		(g)	costs incurred for fuel or other energy for heating and
air-conditioning the Premises and operating the heating and air-conditioning systems thereof, for electricity, steam or other
power required in connection with the lighting, use and operation of the Premises but excluding costs for power for lighting and
office equipment that are Additional Service Costs;

 

		(h)	water, sewer and service charges, garbage and waste removal
costs;

 

		(i)	unemployment insurance expenses, pension plan and any other
payments payable in connection with the employment of any of the employees specified in subsection (a) above;

 

		(j)	sales and excise taxes on goods and services provided by
the Landlord to manage, operate or maintain the Premises and its equipment:

 

		(k)	fees and expenses of accountants, lawyers and other professionals
pertaining to services performed by them relating to the Premises;

 

		(l)	all costs and expenses (including legal and other professional
fees) incurred in good faith in verifying the reasonableness of, or in contesting, resisting or appealing, assessments and levies
for Taxes or taxes charged against the business of the Landlord which pertains to the management, operation and maintenance of
the Premises;

 

		(m)	costs of telephone, stationery, office supplies, and the
fair market rental value of space occupied by the Landlord for management, supervisory or administrative purposes relating to
the Premises and furnishing and fixtures for such space and other materials required for routine operation of the Premises;

 

		(n)	Sales Taxes payable by the Landlord on the purchase of
goods and services included in Operating Costs (excluding any such Sales Taxes as are claimed and actually received by the Landlord
as a credit in determining the Landlord’s net tax liability on account of Sales Taxes but only to the extent that such Sales
Taxes are included in Operating Costs);

 

		(o)	the cost of policing, security, supervision and traffic
control;

 

		(p)	such other direct operating costs, charges and expenditures
of a like nature as may be incurred in respect of the property preservation, protection, maintenance and operation of the Premises;

 

		(q)	a management fee to be charged by the Landlord for the
management and administration of the Premises equal to 1.5% of Rent (excluding, however, any amount in respect of this management
fee); and

 

		(r)	the costs charged to the Landlord by any person or entity
engaged in the management of the Business Park, to the extent that such costs represent the Landlord’s proportionate share
of common area operation and maintenance costs of the Business Park.

 

    	 	C-2	 

     

    

 

		2.	Exclusions

 

Notwithstanding section 1 above,
Operating Costs shall exclude:

 

		(a)	debt service, capital retirement of debt, depreciation
or ground rent;

 

		(b)	the costs of remedying construction inadequacies, including
without limitation, inherent structural defects;

 

		(c)	all Landlord’s income taxes or similar taxes, corporation
taxes (except for capital taxes), place of business taxes, land transfer taxes, non-resident sales taxes, business and any other
taxes personal to the Landlord, penalties, interest or carrying charges relating to the late or non-payment of any taxes, all
capital, interest or other carrying charges, finance or mortgage costs on equipment or land, land or equipment lease payments,
all other costs or charges associated with any present or future financing of the Building or the Premises and all costs relating
to the original acquisition of the Premises;

 

		(d)	any fines, suits, actions, claims, demands, judgements,
condemnations, awards, costs, charges and expenses of any kind or nature for which the Landlord is or may become liable by reason
of any negligent or wilful acts or omissions of the Landlord or those for whom the Landlord is at law responsible, or any breach,
violation or non-performance by the Landlord of any covenant, term or provision contained in the Lease and agreements in respect
of the Building;

 

		(e)	legal, accounting and other fees, leasing commissions,
advertising expenses and other costs incurred in connection with the development, leasing or re-letting of the Building;

 

		(f)	all sales taxes (including PST and GST) paid or payable
by the Landlord on the purchase of any goods and services included in Operating Costs which are claimed and actually received
by the Landlord as a credit or set off,

 

and net recoveries from insurance
policies taken out by the Landlord, to the extent that the proceeds reimburse the Landlord for expenses which have previously been
included or which would otherwise be included in Operating Costs, will be deducted from Operating Costs.

 

		3.	Reductions

 

Costs which
are recovered from tenants or others, (such as Additional Service Costs, insurance recoveries and recoveries pursuant to damage
or indemnity claims), otherwise than by a general contribution by tenants of shares of Operating Costs, shall, to the extent the
expenses pertaining thereto are included in Operating Costs, be applied in reduction of Operating Costs.

 

    	 	C-3	 

     

    

  

SCHEDULE “D”

 

Rules and Regulations

 

		1.	The sidewalk, entry passages, elevators, fire escapes and
stairways shall not be obstructed by the Tenant. The Tenant will not place or allow to be placed in the Building corridors or
public stairways any waste paper, dust, garbage, refuse or anything whatever that would tend to make them unclean or untidy.

 

		2.	The skylights and windows that reflect or admit light into
passageways of the Premises shall not be covered or obstructed by any of the Tenant, and no awnings shall be put up, without the
written consent of the Landlord.

 

		3.	The water-closets and other water apparatus shall not be
used for any purpose other than those for which they were constructed, and no sweepings, rubbish, rags, ashes or other substances
shall be thrown therein. Any damage resulting by misuse shall be borne by the tenant by whom or by whose agents, servants or employees
the same is caused (save in respect of Insured Damage). The Tenant shall not let the water run unless in actual use, nor shall
they deface any part of the Premises.

 

		4.	The Tenant shall not do or permit anything to be done in
the Premises or bring or keep anything therein which will in any way increase the risk of fire, or violate or act at variance
with the laws relating to fires or with the regulations of the Fire Department or the Board of Health.

 

		5.	The Tenant, its clerks or servants, shall not make or commit
any improper noises in the Building or interfere in any way with other occupants of the Business Park or those having business
with them.

 

		6.	Nothing shall be thrown by the Tenant, its clerks or servants,
out of windows or doors, or down the passages, elevator shafts or skylights of the Building.

 

		7.	No birds or animals shall be kept in or about the Premises
of the Tenant nor shall the Tenant operate, or permit to be operated, any musical or sound producing instrument or device inside
or outside the Premises which may be heard outside the Premises which may interfere in any way with the quiet enjoyment of other
occupants of the Business Park.

 

		8.	Except in connection with the permitted uses including
daycare and cafeteria, no one shall use the Premises for sleeping apartments or residential purposes, or for the storage of personal
effects or articles other than those required for business purposes.

 

		9.	The Landlord shall have the right to exclude or expel any
pedlar (peddler) or beggar at any time from the Premises.

 

		10.	The Tenant shall not cause any injury or damage to the
Building or heating and other appliances, or to any other premises or occupant within the Business Park.

 

		11.	It shall be the duty of the Tenant to assist and co-operate
with the Landlord in preventing injury to the Premises.

 

		12.	No inflammable oils or other inflammable, dangerous or
explosive materials shall be kept on the outside of window sills or projections.

 

    	 	D-1	 

     

    

  

		13.	Business machines, filing cabinets, heavy merchandise or
other articles liable to overload, injure or destroy any part of the Building shall not be taken into it without the written consent
of the Landlord and the Landlord shall in all cases retain the right to prescribe the weight and proper position of all such articles
and the ways, means and times and routes for moving them into or out of the Building; the cost of repairing any damage done to
the Building by such moving or by keeping any such articles on the Premises shall be paid by the Tenant (save in respect of Insured
Damage).

 

		14.	The Tenant shall not place any additional lock upon any
door of the Building without the written consent of the Landlord (except in the case of vaults or other security areas which the
Tenant may reasonably designate).

 

		15.	The Tenant shall give the Landlord prompt notice of any
accident to or any defect in the plumbing, heating, air-conditioning, mechanical or electrical apparatus or any other part of
the Building.

 

		16.	The parking of cars or bicycles in the Parking Facilities
shall be subject to the reasonable regulations of the Landlord or of those operating the same.

 

		17.	The Landlord shall have the right to make such other and
further reasonable rules and regulations, not inconsistent with the provisions of this Lease, as in its reasonable judgment may
from time to time be necessary for the safety, care, cleanliness and appearance of the Premises in keeping with the existing standards
in and of the Premises, and for the preservation of good order therein, and the same shall be kept and observed by the Tenant,
its employees and those for whom it is responsible at law.

 

    	 	D-2	 

     

    

  

SCHEDULE “E”

 

Additional Provisions

 

		1.	Option to Renew

 

Provided the Tenant
is not in default under any provision of this Lease and no Transfer has occurred, then the Tenant, on giving written notice to
the Landlord not earlier than twelve (12) months, and not later than nine (9) months, prior to the last day of the Term or renewal
term, as applicable, will have the right to renew this Lease for two (2) renewal terms of five (5) years upon the same term and
conditions as contained in this Lease, except for the annual Basic Rent and the exercised right(s) of renewal. Such renewal term
will commence on the day immediately succeeding the last day of the Term or renewal term, as applicable, and will end at midnight
on the day immediately preceding the fifth anniversary of the first day of the applicable renewal term, unless sooner terminated
in accordance with the provisions of this Lease. The annual Basic Rent during such renewal term will be at the then current market
rental rate for the Premises including all leasehold improvements thereto, provided that the annual Basic Rent will not be less
than the annual Basic Rent payable during the last completed Lease Year. Failing agreement by the parties on such current market
rental rate within three (3) months of the expiry of the Term or renewal term, as applicable, such current market rental rate will
be determined by the arbitration, based on the criteria set out above, of one arbitrator under the Commercial Arbitration Act
(British Columbia), and amendments thereto, or any like statute in effect from time to time, and the decision of such arbitrator
will be final and binding upon the parties. The costs of such arbitration will be borne equally by the parties. Except as otherwise
provided for herein, the provisions of the said Commercial Arbitration Act will apply. Until the annual Basic Rent has been
determined as herein provided, the Tenant will continue to pay the monthly instalments of annual Basic Rent payable before the
commencement of the applicable renewal term and upon such determination the Tenant will make the appropriate adjustment payment,
if any, to the Landlord.

 

		2.	Right of First Offer to Purchase

 

The Tenant shall have a right
of first offer (the “ROFO”) with respect to any proposed sale or transfer of the Lands and any improvements
thereon (collectively, the “Property”) by the Landlord during the Term of the Lease (including any renewal terms),
except that any sale or transfer of the Property to London Life Insurance Company, Canada Life Assurance Company or The Great-West
Life Assurance Company or to an affiliate or subsidiary (as such terms are defined in the Canada Business Corporations Act as
at the date of this Lease) of these entities or to any entity which is a client of GWL Realty Advisors Inc. (“GWLRA”)
as at the date of execution of this Lease and for whom GWLRA acts as fund manager and representative, provided that GWLRA continues
to act as fund manager and representative of such new owner, will not have the effect of triggering this ROFO. Concurrently with
the execution of this Lease, GWLRA will provide the Tenant with a list of GWLRA clients existing at the date of execution of this
Lease. The ROFO contained herein will be subject to the following terms:.

 

		(a)	if at any time during the term of the Lease (or any renewal
term), the Landlord wishes to sell the Property, the Landlord will notify the Tenant in writing (the “Notice”)
that the Landlord proposes to sell or transfer the Property;

 

		(b)	upon receipt of the Notice, the Tenant will have the right
for twenty (20) days thereafter (the “Offer Period”) to submit to the Landlord for its consideration the first
offer (the “Offer”) to purchase the Property (which Offer must be in writing, be on an all cash basis and contemplate
closing within 30 days after acceptance of the Offer);

 

    	 	E-1	 

     

    

  

		(c)	the Landlord will not solicit or accept any other offer
to purchase the Property prior to the expiry of the Offer Period;

 

		(d)	if the Tenant submits an Offer but the parties fail to
reach a written, binding and unconditional agreement with respect to the purchase and sale of the Property within forty-five (45)
days after receipt by the Landlord of the Offer (the “Negotiating Period”), the Landlord will be entitled
to sell the Property to any third party for cash consideration that is equal to or greater than the cash consideration proposed
by the Tenant in the Offer. For greater certainty, the Landlord will not provide incentives or benefits to any third party purchaser
where the provision of such incentives or benefits is not in the usual course of comparable purchase and sale transactions and
which inflates the cash consideration that such third party is willing to pay for the Property to the extent that without the
provision of such incentives or benefits (and the corresponding inflation of cash consideration) the third party transaction would
not quality hereunder as a permitted third party transaction; and

 

		(e)	if the Landlord fails to consummate the sale or transfer
of the Property to a third party within 240 days after the Negotiating Period, the Tenant’s right of first offer will be
deemed to be revived and any subsequent proposal to sell or transfer the Property will be conducted in accordance with the foregoing
procedure,

 

		3.	Parking

 

The Landlord and the Tenant acknowledge
and agree that the Tenant will be entitled to park vehicles in any parking spaces, parking facilities or other designated parking
areas on the Lands throughout the Term and any renewal(s) thereof at no additional cost to the Tenant.

 

		4.	Roof

 

The Landlord and the Tenant acknowledge
and agree that the Tenant will be entitled to use the roof of the Building during the Term and any renewal(s) thereof at no additional
cost to the Tenant, and, in particular, may install any telecommunications equipment, cable, conduit, radio, antenna or other equipment
thereon (collectively, the “Equipment”). The size, configuration, and location of the area or areas where the
Equipment will be situated must be first approved by the Landlord, which approval shall not be unreasonably withheld. The Equipment
may not be installed until detailed plans, specifications and working drawings have been approved in writing by the Landlord. The
Tenant will pay all costs associated with the installation, operation and use of the Equipment including, without limitation, the
costs of utilities, property taxes, any reconfiguration or relocation of the Equipment and the Landlord’s standard administration
or management fee.

 

    	 	E-2Exhibit 10.40

 

DEVELOPMENT AGREEMENT

 

THIS AGREEMENT made the 12th day of August,
2008

 

BETWEEN:

 

RITCHIE BROS. PROPERTIES LTD. 

6500 River Road

Richmond, British Columbia V6X 4G5

 

(“RB”)

 

AND:

 

THE GREAT-WEST LIFE ASSURANCE COMPANY 

c/o Suite 2700, Western Canadian Place

700 9th Avenue SW

Calgary, Alberta T2P 3V4

 

(“Great-West Life”)

 

AND:

 

LONDON LIFE INSURANCE COMPANY 

c/o Suite
2700, Western Canadian Place

700 9th Avenue SW

Calgary, Alberta T2P 3V4

 

(“London Life” and together with
Great-West Life, the “Owner”)

 

WHEREAS:

 

		A.	Pursuant to an Assignment and Assumption Agreement dated for reference May 26, 2008 (the “Assignment Agreement”),
RB assigned its right to purchase the Lands (hereinafter defined) pursuant to a Purchase and Sale Agreement dated for reference
October 6, 2006, as amended by a letter dated November 7, 2006, by a letter dated January 16, 2007 and by a Modification of Purchase
and Sale Agreement dated for reference October 9, 2007 (collectively, the “RB/CLC Purchase Agreement”), to Great-West
Life (as to an undivided 70% interest) and to London Life (as to an undivided 30% interest);

 

		B.	The RB/CLC Purchase Agreement contains a repurchase option (the “Repurchase Option”)
in favour of CLC (hereinafter defined) attached as Schedule “C” thereto;

 

		C.	In furtherance of the Project (hereinafter defined), RB and the Owner also entered into an Agreement of Purchase and Sale dated
May 13, 2008 (the “RB/Owner Purchase Agreement”) pursuant to which RB agreed to sell and the Owner agreed to
purchase RB's right, title and interest in and to certain contracts, due diligence information and intangible rights in connection
with the Project;

 

     

     

    

 

		D.	The RB/Owner Purchase Agreement provides that RB and the Owner will execute and deliver a development agreement in conjunction
with the Second Closing (as defined therein) pursuant to which RB will agree, through its designates and contractors, to be responsible
for managing the Development Process (hereinafter defined) and the completion of the Project;

 

		E.	RB and the Owner have agreed to enter into this Agreement in furtherance of their obligation under the RB/Owner Purchase Agreement
to execute and deliver a development agreement in respect of the Development Process and the Project; and

 

		F.	In furtherance of its obligations hereunder, RB has entered or is about to enter into a CCDC2 - 1994 Stipulated Price Contract,
including supplementary conditions (collectively the “CCDC2”) with the Contractor (hereinafter defined).

 

THEREFORE in consideration of the premises and the mutual
covenants and agreements hereinafter contained the Parties agree as follows:

 

ARTICLE 1

INTERPRETATION

 

		1.1	Definitions

 

The terms hereinafter defined shall, for all purposes of this
Agreement including the recitals hereto, have the meanings set out below unless the context otherwise requires:

 

		(a)	“Acceptance” means the written confirmation to be issued by the Owner to RB after the Total Completion that
the Project has been Totally Completed;

 

		(b)	“Applicable Law” means in respect of any Person, all provisions of constitutions, statutes, rules, regulations,
ordinances, by-laws, requirements, orders, published policies and interpretations of any Authority applicable to such Person including
without limitation environmental and land use requirements and all orders and decrees of all courts and arbitrators in proceedings
or actions to which the Person in question is a Party or by which such Person is bound;

 

		(c)	“Authority” means all federal, provincial and municipal authorities, bodies, boards, regulatory agencies,
councils, tribunals, departments and other divisions thereof having jurisdiction over the Lands or this Agreement,

 

and “Authorities” will have the meaning
that is correlative to the foregoing;

 

		(d)	“Builders Lien Act” means the Builders Lien Act, R.S.B.C. 1997 (British
Columbia) and amendments thereto;

 

		(e)	“Building” means the building comprising approximately 164,580 square feet, more or less, with related infrastructure,
structures, works, amenities, ingress, egress and parking facilities to be constructed on the Lands in accordance with the Plans
and Specifications;

 

    	 	2	 

     

    

 

 

		(f)	“Business Day” means any day that is not a Saturday, a Sunday or a statutory holiday in British Columbia;

 

		(g)	“Certificate of Completion” means the certificate certifying that the Project
has been Totally Completed, which certificate is to be delivered by RB to the Owner and accepted by the Owner pursuant to section
11.2;

 

		(h)	“City” means the City of Burnaby;

 

		(i)	“Claims” means any demand, liability, obligation, debt, cause of action, suit, proceeding, judgment, award,
assessment or re-assessment;

 

		G)	“CLC” means Canada Lands Company CLC Limited;

 

		(k)	“Conformance Warranty” means the warranty provided by RB to the Owner for the duration of the Warranty Period,
all pursuant to section 15.1;

 

		(I)	“Construction Schedule” means the schedule for completing the Project attached hereto as Schedule “B”
as the same may be amended from time to time in accordance with this Agreement;

 

		(m)	“Consultant” means any individual, firm, partnership, corporation or other specialist engaged by RB in connection
with the Development Process and/or the Project including those providing architectural, design, structural, mechanical, electrical,
landscaping, legal, accounting, audit, marketing and other consulting services;

 

		(n)	“Contingency Reserve” means the amount specifically designated in the Project Budget as a contingency reserve;

 

		(o)	“Contractor” means Ventana Construction Corporation;

 

		(p)	“Contractor Warranty” means the warranties provided or to be provided by the Contractor as described at
section 15.3;

 

		(q)	“Contractor Warranty Period” means the warranty period stipulated in the CCDC2;

 

		(r)	“control” means the power to direct the
                                         management and policies of a person, directly or indirectly, whether through the ownership
                                         of voting securities, by contract or otherwise; and the terms “controlling”
                                         and “controlled” have meanings correlative to the foregoing;

 

		(s)	“Costs” means all costs, expenses, damages, Claims, penalties, fines, charges, obligations and outlays;

 

		(t)	“Development Process” means the process whereby RB and/or any Consultant or other representative of RB will
obtain all permits in respect of the Project from the City and manage the development and construction of the Project to achieve
Total Completion in accordance with this Agreement;

 

    	 	3	 

     

    

 

 

		(u)	“Existing Material Contracts” means the contracts entered into by RB
in respect of the Project which are in existence as of the date of this Agreement and described in Schedule “C”;

 

		(v)	“GWLRA” means GWL Realty Advisors Inc.;

 

		(w)	“Handover” means the handover of the Project to the Owner as contemplated
by this Agreement and the RB/Owner Purchase Agreement and includes the fulfilment of the conditions required in Articles 10 and
11 hereof;

 

		(x)	“Handover Date” means 10:00 am (Vancouver time) on the date which is
ten (10) Business Days after the issuance and acceptance of the Certificate of Completion;

 

		(y)	“Insolvency” means any of the following:

 

		(i)	the bankruptcy or insolvency of a Party;

 

		(ii)	a Party makes an assignment for the benefit of its creditors,
is declared bankrupt, makes a proposal or otherwise takes advantage of provisions for relief under the Bankruptcy and Insolvency
Act R.S.C. 1985, c. B-3, or the Companies Creditors’1 Arrangement Act
R.S.C. 1985, c. c-36;

 

		(iii)	a receiver, receiver and manager or receiver-manager of all or substantially all of the assets of a Party is appointed;

 

		(iv)	an order of execution against all or substantially all of the assets of a Party or any part thereof remains unsatisfied for
a period of twenty (20) days;

 

		(v)	an order of execution is made against any of the assets of a Party and as a result of such order, such Party is unable to perform
its obligations under this Agreement; and

 

		(vi)	an order is made or an effective resolution is passed for winding up of a Party;

 

		(z)	“Lands” means the lands and premises comprising approximately 8.25
acres, more or less, municipally described as 9500 Glenlyon Parkway, Burnaby, British Columbia and legally described as:

 

PID: 027-488-489

Lot 1 District Lot 165 Group 1
New Westminster District

Plan BCP36073;

 

    	 	4	 

     

    

 

		(aa)	“Lease” means the lease to be entered into contemporaneously with this Agreement between the Owner, as landlord,
and an affiliate of RB, as tenant, with respect to the Lands and the Building;

 

		(bb)	“Lien” means a claim of lien(s) or c1aim(s) under the Builders
Lien Act or the Employment Standards Act R.S.B.C. 1996,
c. 113 filed against the Lands or the Project in respect of or arising from any Work;

 

		(cc)	“Losses” means any losses whatsoever, including Costs, Claims, demands, liabilities, interest and any and
all legal fees and disbursements;

 

		(dd)	“Material Contracts” means:

 

		(i)	all contracts and agreements to which RB or an affiliate of RB is a party or by which RB or an affiliate of RB or any of the
Purchased Assets are bound, and which may impact or otherwise relate to the ownership, maintenance, management, development, operation,
security, parking or servicing of the Lands, the Project and/or the Purchased Assets;

 

		(ii)	all contracts and agreements to which RB or an affiliate of RB is a Party relating to the Development Process including contracts
and agreements in respect of work or improvements referenced in subsection 6. 1(e) and Schedule
“E” of the RB/Owner Purchase Agreement; and

 

		(iii)	all contracts and agreements to which RB or an affiliate of RB is a party with any Authority relating to the Lands, the Project
and/or the Purchased Assets;

 

		(ee)	“Maximum Amount” means $56,900,910.99 plus the aggregate of all Owner Change Costs;

 

		(ft)	“Occupancy Permit” means the occupancy permit to be issued in respect of the Building;

 

		(gg)	“Outside Completion Date” means, subject only to a Permitted Excuse, February 15,2010;

 

		(hh)	“Outside Handover Date” means, subject only to a Permitted Excuse, the date which is ten (l0) Business Days
after the Outside Completion Date;

 

		(ii)	“Owner Change Costs” has the meaning ascribed thereto in subsection
9.3 (b)(ii);

 

		(jj)	“Party” means any of RB, Great-West Life or London
Life, as the context may require and “Parties” means all of RB, Great-West Life and London Life;

 

		(kk)	“Payment Certifier” means Bunting Coady Architects who will be appointed pursuant to Article 6;

 

    	 	5	 

     

    

 

		(ll)	“Permitted Budget Reallocations” means in respect of the Project Budget, reallocations made by RB without
approval of the Owner which are not in excess of $25,000 and which, in each case, do not adversely impact or diminish the quality
of the Project;

 

		(mm)	“Permitted Excuse” means any circumstances beyond the reasonable control of a Party which prevents or impedes
the due performance of this Agreement including, but not limited to the following matters:

 

		(i)	war or hostilities;

 

		(ii)	riot or civil commotion;

 

		(iii)	earthquake, flood, fire or other natural physical disaster;

 

		(iv)	strike or lock-out or other industrial action of workers not having any labour affiliations to the Party claiming a Permitted
Excuse;

 

		(v)	embargo of any Authority not caused by any wrongful act of the affected Party;

 

provided that the mere shortage of funds, labour, materials
or utilities shall not constitute a Permitted Excuse unless caused by circumstances which are themselves a Permitted Excuse;

 

		(nn)	“Person” includes any individual, corporation, partnership, joint venture, trust, estate, unincorporated
association or other entity or any Authority however designated or constituted;

 

		(oo)	“Plans and Specifications” means the approved plans and specifications referenced in Schedule F of the RB/Owner
Purchase Agreement as the same may be amended from time to time in accordance with section 9.3;

 

		(pp)	“Prime Rate” means the floating annual rate of interest established from time to time by the main branch
in Vancouver, British Columbia of The Royal Bank of Canada as a reference rate used in determining rates of interest charged by
it for Canadian dollar loans to customers in Canada and designated by The Royal Bank of Canada as its “prime rate”;

 

		(qq)	“Progress Report” means a written report in a form acceptable to the Owner, acting reasonably, which shall
include a comparison of actual expenditures to those provided for in the Project Budget, and a comparison of forecasted expenditures
to those provided for in the Project Budget, and which comments on material variances between the budgeted cost of an item and
the actual and projected costs of such item and reports on construction, contractual and legal matters and any significant occurrences
affecting or relating to any part of the Project;

 

    	 	6	 

     

    

 

		(rr)	“Project” means the construction and completion of the Building on the Lands in accordance with the Plans
and Specifications and in accordance with this Agreement, together with the improvements to the Lands which are necessarily ancillary
to the Building;

 

		(ss)	“Project Budget” means the approved budget
                                         for the Project attached hereto
                                         as Schedule “A”, as the same may be amended from time to time in accordance
                                         with subsection 9.3(b)(ii) and section 12.1 (including, without limitation, as a result
                                         of any Owner Change Costs);

 

		(tt)	“Project
                                         Costs” means the aggregate of all payments heretofore or hereafter made and
                                         all obligations heretofore or hereafter incurred in connection
                                         with the development, construction and outfitting of the Project;

 

		(uu)	“Project
                                         Documents” means all plans, specifications, drawings, reports (including geotechnical
                                         and environmental soils reports), designs, models, surveys, programs, agreements with
                                         contractors, architects and other consultants produced or existing in respect of the
                                         construction and development of the Project and the Total Completion;

 

		(vv)	“Project
                                         Warranties” means the warranties and guarantees (if any) given to or otherwise
                                         obtained for, or on behalf of RB and/or the Owner, in connection with the construction
                                         and development of the Project and the Total Completion;

 

		(ww)	“Purchased
                                         Assets” has the meaning ascribed thereto
                                         in the RB/Owner Purchase Agreement;

 

		(xx)	“Standards”
                                         means any and all laws, statutes, regulations, rules, orders, permits, licences, building
                                         codes and specifications (including Canadian Standards Association standards) applicable
                                         to the Work as well as the best practices followed by manufacturers and trades who are
                                         experienced in work in British Columbia similar to the Work;

 

		(yy)	“Step-In
                                         Rights” means the right of the Owner to complete the Project on the terms set
                                         out in section 13.5;

 

		(zz)	“Substantial
                                         Commencement Date” means the date that is six (6) months after the closing
                                         date in respect of the RB/CLC
                                         Purchase
                                         Agreement;

 

		(aaa)	“Substantially
                                         Commenced” has the meaning ascribed thereto in the Repurchase Option;

 

		(bbb)	“Substantial
                                         Completion Date” means the date that is thirty (30) months after the closing
                                         date in respect of the RB/CLC
                                         Purchase
                                         Agreement;

 

		(ccc)	“Substantially
                                         Completed” has the meaning ascribed thereto in the Repurchase Option;

 

    	 	7	 

     

    

 

		(ddd)	“Totally Completed” means the total completion of the Project such
that:

 

		(i)	the Work has been totally completed as required by this Agreement and the Building is ready for use for the purposes for which
it was built; and

 

		(ii)	the final certificate of payment to be issued in accordance with the CCDC2 has been so issued,

 

and “Total Completion”
will have the meaning, that is correlative to the foregoing;

 

		(eee)	“Warranty Period” means the period of one (1) year from the Handover
Date; and

 

		(fff)	“Work” means the performance of all construction and commissioning
of the Project, as contemplated in the Plans and Specifications, including all actions and services necessary to perform such construction
and commissioning and the supply of all materials for the construction and commissioning of the Project and the Total Completion.

 

		1.2	Interpretation

 

For all purposes of this Agreement, except as otherwise expressly
provided or unless the context otherwise requires:

 

		(a)	“this Agreement” means this agreement as it may from time to time be supplemented or amended by one or more agreements
entered into pursuant to the applicable provisions hereof;

 

		(b)	any reference in this Agreement to a designated “Article”, “section”, “subsection”
or other subdivision is a reference to the designated Article, section, subsection or other subdivision of this Agreement;

 

		(c)	the words “herein”, “hereof' and “hereunder” and other words of similar import refer to this
Agreement as a whole and not to any particular Article, section, subsection or other subdivision of this Agreement;

 

		(d)	the headings are for convenience only and do not form a part of this Agreement and are not intended to interpret, define or
limit the scope, extent or intent of this Agreement or any provision hereof;

 

		(e)	terms used in any Schedule and defined therein have the meanings provided for therein;

 

		(f)	any reference to a corporate entity includes and is also a reference to any corporate entity that is a successor to such entity;

 

    	 	8	 

     

    

 

		(g)	this Agreement and all matters arising hereunder shall be governed by the laws of British Columbia;

 

		(h)	any reference to a statute includes and is a reference to such statute and to the regulations made pursuant thereto, with all
amendments made thereto and in force from time to time, and to any statute or regulations that may be passed which has the effect
of supplementing or superseding such statute or regulation;

 

		(i)	if any provision of this Agreement or any part hereof is found or determined to be invalid it shall be severable and severed
from this Agreement and the remainder of this Agreement shall be construed as if such invalid provision or part had been deleted
from this Agreement;

 

		(j)	the word “including”, when following any general statement, term or matter, is not to be construed to limit such
general statement, term or matter to the specific items or matters set forth immediately following such word or to similar items
or matters, whether or not nonlimiting language (such as “without limitation” or “but not limited to” or
words of similar import) is used with reference thereto but rather refers to all other items or matters that could reasonably fall
within the broadest possible scope of such general statement, term or matter;

 

		(k)	all of the rights and remedies of either Party under this Agreement and the other documents referred to herein are intended
to be distinct, separate and cumulative and no such right or remedy herein or therein mentioned is intended to be in exclusion
of or a waiver of any others;

 

		(1)	any reference to “approval”, “authorization” or “consent” of a Party
means the written approval, authorization or consent of such Party;

 

		(m)	this Agreement may be executed in any number of original counterparts, all of which evidence only one agreement and only one
of which need be produced for any purpose, and shall become effective when one or more counterparts have been signed by each of
the Parties hereto and delivered to each of the other Parties hereto;

 

		(n)	this Agreement may be executed by the Parties and transmitted by facsimile and when it is so executed
and transmitted this Agreement shall be for all purposes as effective as if the Parties had delivered an executed original;

 

		(o)	any reference to currency is to Canadian currency; and

 

		(p)	words importing the masculine gender include the feminine or neuter gender and words in the singular include the plural, and
vice versa.

 

    	 	9	 

     

    

 

ARTICLE 2

ROLE OF RB

 

		2.1	General Scope of RB's Obligations

 

RB represents that it has
the requisite ability and experience to manage the Development Process in a manner consistent with the standard of project management
that exists and is required for similar commercial construction projects in the Greater Vancouver area and will, through the Consultants
and the Contractor, be responsible for managing the Development Process and the completion of the Project in accordance with the
terms of this Agreement.

 

		2.2	Independent Contractor

 

The Parties expressly disclaim any intention to create a partnership
or joint venture and agree that nothing in this Agreement will constitute the Parties as partners or joint venturers. The Parties
further agree not to assert, for any purpose, that a partnership or joint venture exists between them hereunder. The services to
be performed by RB under this Agreement will be performed by RB as an independent contractor and, except as otherwise specifically
provided herein, not as agent or in any other way as a representative of the Owner.

 

		2.3	No Contractual Relationship

 

No contractual relationship shall be deemed to have been created
between the Owner and the Consultants, the Contractor, the subcontractors, or their agents, employees or any other Person performing
any of the Work. The Owner will not be responsible for or have control or charge over the acts or omissions of RB, the Consultants,
the Contractor, the subcontractors, or their agents, employees or any other Person performing any of the Work except to the extent
that the Owner exercises the Step-In Rights and elects to take an assignment of RB's interest in any contracts pursuant to subsection
13.5(c).

 

		2.4	Reliance

 

RB shall advise the Consultants and the
Contractor, in writing, that the Owner intends to and does rely on their advice and services in the design and construction of
the Project. RB shall promptly provide copies of any responses to the Owner.

 

ARTICLE 3

ACCESS TO AND USE OF THE LANDS

 

		3.1	RB's Access

 

From and after the date the Owner completes the purchase of
the Lands pursuant to the RB/CLC Purchase Agreement, RB, as the manager of the Development
Process, and the Contractor, the Consultants and their respective representatives and agents will have the right and license to
enter in or on any portion of the Lands at all times for the purpose of managing the Development Process and completing the Project
as contemplated in this Agreement.

 

    	 	10	 

     

    

 

3.2RB Access Indemnity

 

RB shall indemnify and hold harmless the Owner from and against
any and all Losses suffered by or asserted against the Owner arising out of the exercise and/or availability of the access rights
set forth in section 3.1.

 

3.3Owner Access

 

Subject to section 4.3, the Owner and any of its representatives
and agents shall have access at all reasonable times to the Lands area connected to the Project to carry out such inspections of
the Work as the Owner may reasonably require upon provision of reasonable notice to RB provided that such access shall not unreasonably
interfere with or delay the Work or the Project and further provided that the Owner shall promptly and fully repair any damage
to the Lands and any improvements thereon, caused by, or attributable to, such access.

 

ARTICLE 4

CONSTRUCTION OF PROJECT

 

		4.1	Work

 

RB shall diligently and continuously perform such work and do
such things as are necessary to manage the Development Process and the Total Completion of the Project in accordance with the Plans
and Specifications and the Construction Schedule. Without limiting the generality of the foregoing, RB shall:

 

		(a)	retain qualified Persons to provide and perform the Work;

 

		(b)	obtain all approvals from any Authority having jurisdiction in respect of the Project and the Work;

 

		(c)	negotiate with the City and any Authority having jurisdiction in respect of all matters and things
necessary and advisable in order to obtain, and obtain all approvals, licences and permits for the Project and the Work;

 

		(d)	complete the Development Process and fully satisfy all conditions and obligations arising out of the Development Process;

 

		(e)	cause to be provided all labour, materials, products, equipment, machinery and services necessary to complete the Work;

 

		(f)	cause the Project to be constructed and Totally Completed in conformance with the Plans and Specifications in a good and workmanlike
manner;

 

		(g)	on the Handover Date, deliver to the Owner those deliveries described in section 11.2 of this Agreement; and

 

		(h)	subject to Article 6 and Article 13, pay all costs for doing all the things set out in this section 4.1.

 

    	 	11	 

     

    

 

		4.2	Quality of Materials

 

Unless otherwise specified in the Plans and Specifications,
RB shall ensure that all materials provided shall be new, first class and free of defects and shall conform to the standards specified
in the Plans and Specifications. Materials which are not specified in the Plans and Specifications shall be of a quality consistent
with similar materials specified therein.

 

		4.3	Safety

 

Except for the Owner's access pursuant to section 3.3 and except
where the Owner takes possession of the Lands pursuant to the Step-In Rights, RB shall at all times prior to Handover ensure that
the Work and all related operations on the Lands are performed safely. RB may employ the Contractor to ensure the safe performance
of the Work provided that RB shall remain liable to the Owner and such employment of the Contractor will not prejudice the Owner's
recourse against RB in respect of safety related liabilities. Notwithstanding any other provision in this Agreement, the Owner,
and any person attending on the Lands on behalf of or at the request of the Owner shall immediately comply with any direction of
RB and/or the Contractor with respect to safety.

 

		4.4	No Amendment to Construction Schedule without the Owner Approval

 

No material change to the Construction Schedule will be permitted
without the approval of the Owner other than as a result of a Permitted Excuse.

 

		4.5	Construction Schedule

 

RB shall cause:

 

		(a)	the Building to be Substantially Commenced by the Substantial Commencement Date;

 

		(b)	subject to any extensions pursuant to section 2.4 of the Repurchase Option (the cost in respect thereof to be borne by RB),
the Building to be Substantially Completed by the Substantial Completion Date;

 

		(c)	the Project to be Totally Completed by the Outside Completion Date;

 

		(d)	Handover to occur no later than the Outside Handover Date.

 

ARTICLES

REPRESENTATIONS AND WARRANTIES

 

		5.1	Representations and Warranties of RB

 

RB represents and warrants as provided
below which representations and warranties will remain true and correct as of the Handover Date with the knowledge and intent that
the Owner will rely thereon in entering into and completing this Agreement:

 

    	 	12	 

     

    

 

		(a)	RB has the power and capacity to enter into this Agreement and will have obtained (and provided satisfactory evidence to the
Owner upon the Owner's request), all necessary corporate authorizations or approvals for entering into this Agreement and carrying
out all the transactions contemplated hereby;

 

		(b)	to the best of RB's knowledge, there are no actions, suits or proceedings pending against or affecting
RB which if decided adversely could materially affect the ability of RB to perform its obligations
hereunder;

 

		(c)	the entering into of this Agreement will not result in a violation or breach of, or a default under, the constating documents
of RB or in the material violation or breach of, or any material default under, any of the terms and provisions of any indenture
or other agreement, written or oral, to which RB may be a party or by which RB is bound and which could limit RB's ability to fully
satisfy and meet all of its obligations under this Agreement;

 

		(d)	RB has made no untrue statements or representations in connection with this Agreement, and all items delivered to the Owner
on or before the Handover Date are, or will be, true and correct copies of what they purport to be. Said items have not, and will
not have, been amended or modified, except as disclosed in writing to the Owner;

 

		(e)	no improvements on the Lands will encroach on lands adjoining the Lands;

 

		(f)	sewer, water, electricity, gas, telephone and cable television service in quantities sufficient
to accommodate the Building and the uses contemplated hereunder is, or will be by Handover, available to the Lands and the Project;
and

 

		(g)	all streets and roads necessary for access to or for full utilization of the Building, the Lands or the Project and any part
thereof as contemplated by the Plans and Specifications have been, or will be by Handover, completed, dedicated and accepted all
as required by the appropriate Authorities.

 

		5.2	Representations and Warranties of the Owner

 

Great-West Life and London Life hereby separately represent
and warrant to and in favour of RB as specifically provided below which representations and warranties will remain true and correct
as of the Handover Date with the knowledge and intention that RB will rely thereon in entering into and completing this Agreement,
that:

 

		(a)	with respect to Great-West Life only:

 

		(i)	Great-West Life has the power and capacity to enter into this Agreement and complete the transactions contemplated hereby and
all corporate authorizations required in order to complete the transactions contemplated hereby have or will have been obtained
and (on RB's request) satisfactorily evidenced to RB;

 

    	 	13	 

     

    

 

 

		(ii)	to the best of Great-West Life's knowledge, there are no actions, suits or proceedings pending against or affecting Great-West
Life which if decided adversely could materially affect the ability of Great-West Life to perform its obligations hereunder; and

 

		(iii)	the entering into of this Agreement and the transactions contemplated hereby will not result in the violation of any of the
terms and provisions of the constating documents of Great-West Life or to the best of its knowledge of any indenture or other agreement,
written or oral, to which Great-West Life may be a party or by which it is bound;

 

		(b)	with respect to London Life only:

 

		(i)	London Life has the power and capacity to enter into this Agreement and complete the transactions contemplated hereby and all
corporate authorizations required in order to complete the transactions contemplated hereby have or will have been obtained and
(on RB's request) satisfactorily evidenced to RB;

 

		(ii)	to the best of London Life's knowledge, there are no actions, suits or proceedings pending against or affecting London Life
which if decided adversely could materially affect the ability of London Life to perform its obligations hereunder; and

 

		(iii)	the entering into of this Agreement and the transactions contemplated hereby will not result in the violation of any of the
terms and provisions of the constating documents of London Life or to the best of its knowledge of any indenture or other agreement,
written or oral, to which London Life may be a party or by which it is bound.

 

		5.3	Survival of Representations and Warranties

 

The representations and warranties contained in Article 5 of
this Agreement will survive the Handover Date and will continue in full force and effect for the benefit of the respective Party
for a period of one (I) year thereafter, after which time such representations and warranties will be of no further force or effect,
except in respect of claims made by any Party where written notice of such claim was provided to the other Party during the one
(1) year period. After the expiration of the one (1) year period of time referred to above, the Parties will be released from all
liabilities in respect of the said representations and warranties, except with respect to
any claim made on or before the expiry of the one (I) year period whereby written notice of such claim is provided to the Party
alleged to be in default.

 

    	 	14	 

     

    

 

ARTICLE 6

PAYMENT CERTIFIER AND PROGRESS CLAIMS

 

		6.1	Appointment of Payment Certifier

 

Prior to the “Closing Date” as defined in the RB/Owner
Purchase Agreement, the Parties shall appoint Bunting Coady Architects as the Payment Certifier for all purposes under this Agreement
and for the purposes of the Builders Lien Act. RB shall also engage Bunting Coady Architects as the “payment certifier”
in the contract between RB and the Contractor for the purposes of that contract and for the purposes of the Builders Lien Act.
For the purposes of this Agreement, the Payment Certifier shall:

 

		(a)	determine the percentage of the Project that has been constructed in accordance with the Plans and Specifications provided
that the Payment Certifier will be instructed to certify payment only for the Work that has been performed in accordance with the
Plans and Specifications;

 

		(b)	determine the amount payable to RB in respect of the Project Costs, provided that if the Work has been performed as a result
of changes to the Plans and Specifications, the Payment Certifier will be instructed to certify payment only for the Work that
has been performed in accordance with changes made to the Plans and Specifications in accordance with section 9.3; and

 

		(c)	issue a certificate for the determinations referred to in subsections 6.1 (a) and (b) above as contemplated in section 6.2.

 

		6.2	Applications for Payment

 

Save and except for the payment of the Project Costs which exceed
the Maximum Amount as contemplated in section 6.10, applications for payment on account of the Project Costs shall be made once
a month as the Work progresses. In connection with each application for payment, within ten (10) days of a request by RB for an
inspection, the Payment Certifier, the Owner and the Consultants shall perform, or cause to be performed an inspection of the Work.
After such inspection, the Payment Certifier will issue a certificate:

 

		(a)	certifying the extent to which the Work described in the application for payment has been
completed;

 

		(b)	certifying the amount payable to RB in respect of any Owner Change Costs;

 

		(c)	identifying any part of the Work that has been performed but is not compliant with the Plans and Specifications; and

 

		(d)	assigning an estimated cost of correcting and repairing any such non compliant part of the Work referred to in subsection 6.2(c).

 

    	 	15	 

     

    

 

		6.3	Payment of Progress Claims

 

Save and except for the payment of the Project Costs which exceed
the Maximum Amount as contemplated in section 6.10, and subject to the provisions of this Agreement, the Owner shall make progress
payments to RB on account of the Project Costs in the amount certified by the Payment Certifier (less an amount equal to 150% of
the amount assigned by the Payment Certifier in subsection 6.2(d)) together with all applicable taxes within twenty (20) days of
the Payment Certifier's certificate issued pursuant to section 6.2. Where the Owner does not agree with the Payment Certifier's
certification under section 6.2, the Owner shall, nevertheless, make the progress payment in accordance with this section 6.3.
Such payment is made without prejudice to the Owner's right to dispute the amount certified or the amount held back provided that
the Owner has given notice to RB that it disputes the said progress payment at the time of making the payment.

 

		6.4	RB Obligations for Liens

 

		(a)	The Parties acknowledge and agree that:

 

		(i)	in providing and performing the Development Process under this Agreement, RBI’s function is intended to be supervisory and it
is not intended that RB, in any material way, will perform work on the Project using its own forces or subcontractors or will supply
materials for the Project;

 

		(ii)	RB is not a “contractor” as that term is defined in the Builders Lien Act and RB hereby irrevocably
waives any and all right to a lien, or to claim a lien, against all or any part of the Project or against all or any part of any
holdback retained by any person pursuant to section 4 of the Builders Lien Act; and

 

		(iii)	as a Person having an estate or interest in the Lands on which the Project is located and, in any event, as the Owner's agent
for that purpose, RB will comply with the obligations required of the “Owner” as that term is used in the Builders
Lien Act and, without limiting the foregoing, shall maintain a holdback vis a vis the Contractor as required by section
4 thereof.

 

		(b)	RB shall:

 

		(i)	advise the Owner of any Lien filed against the Lands and the Project or notice of intention by any person to claim a Lien immediately
upon becoming aware of same;

 

		(ii)	ensure that the Lands and the Project remain free and clear of Liens; PROVIDED this obligation shall not apply to Liens filed
as a result of a default in payment by the Owner as required by this Agreement or as a result of a default by the Owner of its
obligations under the Builders Lien Act; and

 

    	 	16	 

     

    

 

		(iii)	indemnify and hold harmless the Owner from and against the amount of any Lien and from and against any or all Losses (including
trust claims) that may be brought or made against the Owner or incurred by the Owner under or arising out of the Builders Lien
Act in connection with any Lien filed or any actions commenced against the Owner under or arising out of the Builders Lien
Act; PROVIDED this indemnity shall not apply to Liens filed as a result of a default in payment by the Owner as required under
this Agreement or as a result of a default by the Owner of its obligations under the Builders Lien Act.

 

		6.5	Discharge of Liens

 

The Parties agree that:

 

		(a)	if a Lien is filed against the Lands or any other part of the Project by any Person, RB shall, upon RB's notification thereof
and in any event upon the Owner's request, cause the said Lien to be released or discharged from the Lands or Project within forty
five (45) days from the date of such notification or request;

 

		(b)	if such Lien is not removed within such forty five (45) day period, then in addition to all other rights and remedies available
to the Owner, the Owner may, with no obligation to do so, hold back from RB an amount equal to 300% of the value of all Liens that
have not been so released or discharged from amounts due to RB until such time as RB has provided satisfactory evidence that such
Liens have been released or discharged;

 

		(c)	the Owner shall forthwith release the said holdback with respect to any Lien, immediately upon RB providing satisfactory evidence
confirming that the Lien has been released or discharged; and

 

		(d)	the Owner shall, in each case and within a reasonable period of time following the written request by RB to the Owner, execute
and deliver such documents and instruments as may be reasonably required to support any application or proceeding required to be
made or taken by RB to release or discharge any Lien. Notwithstanding the foregoing, the responsibility to discharge any and all
Liens vests solely with RB and this subsection 6.5(d) does not impute any responsibility to the Owner in respect of the discharge
of such Liens.

 

		6.6	RB's Request for Payment

 

RB's requests for payments pursuant to section 6.2 constitute
representations to the Owner that the amounts requested have been verified, are accurate, are properly due and payable, and that
all pre-requisites or conditions for payment of those amounts have been properly performed or satisfied, as the case may be. RB
acknowledges that the Owner will be relying upon all such representations.

 

    	 	17	 

     

    

 

 

		6.7	Reimbursement of Existing Project Costs

 

Upon execution and delivery of this Agreement
(or shortly thereafter), RB will deliver to the Owner a statement setting out the Project Costs expended to such date together
with any available supporting documentation and the Owner will reimburse RB for all such Project Costs within fifteen (15) Business
Days of receiving such statement and supporting documentation.

 

		6.8	Owner Responsible for Payment of Project Costs up to Maximum Amount

 

The Owner will be responsible for payment of the Project Costs
up to the Maximum Amount in the time and manner contemplated in this Article 6.

 

		6.9	Rent Payable Under Lease to be Adjusted

 

The Parties acknowledge and agree that the “Base Rental
Rates” (as defined in the RB/Owner Purchase Agreement) payable under the Lease will be adjusted in the event that the “Project
Costs” (as defined in the RB/Owner Purchase Agreement) are less than or greater than the “Project Budget Amount”
(as defined in the RB/Owner Purchase Agreement) in the manner set out in section 15.2 of the RB/Owner Purchase Agreement.

 

		6.10	RB Responsible for Payment of Project Costs over Maximum Amount

 

RB will be responsible for the payment of the Project Costs
which exceed the Maximum Amount as and when such Project Costs become due.

 

		6.11	Costs Excluded from Project Budget

 

Notwithstanding anything in this Agreement to the contrary,
the Owner acknowledges and agrees that no costs or expenses incurred by the Owner or its advisors, contractors or consultants (including,
without limitation, GWLRA) will be included in the Project Budget or will be paid by RB as
a Project Cost or otherwise.

 

		6.12	Indemnity from the Owner re: Payment of Project Costs

 

The Parties acknowledge that RB is a party to the
Material Contracts and, as a result, is contractually responsible for the payment of the Project Costs incurred thereunder.
Consequently, provided RB is not in default hereunder, the Owner agrees to indemnify and hold RB harmless from and against
any or all Losses that may be brought or made against RB or incurred by RB in connection with or arising out any breach by
the Owner of its obligation to fund the Project Costs in the manner set forth in this Article 6.

 

ARTICLE 7

INSURANCE

 

		7.1	Insurance For Consultants

 

RB, without cost to the Owner, shall provide and maintain, or
cause to be provided and maintained, professional liability insurance for all Consultants providing professional services for
the Project with an aggregate limit of $2,000,000 within any policy period with a deductible of not more than $25,000 payable by
the insured. This policy shall be maintained continuously from the commencement of the Work
until twelve (12) months after the Handover Date.

 

    	 	18	 

     

    

 

		7.2	Insurance During Construction and Policy Conditions

 

RB shall ensure that:

 

		(a)	the named insureds under the insurance coverage provided or to be provided by the Contractor as required under the CCDC2 (collectively,
the “insurance policies”) includes the Owner;

 

		(b)	the insurance policies provide for at least thirty (30) days
written notice prior to cancellation, material change or an amendment restricting the coverage in respect of such insurance policies;

 

		(c)	the insurance policies are per occurrence policies written with insurers licensed to underwrite
insurance in the province of British Columbia, having a Bests financial rating of at least B+ VII;

 

		(d)	the insurance policies shall be primary in respect to all obligations assumed by the carrier
pursuant to the CCDC2 and this Agreement; and

 

		(e)	coverage and limits referred to in the CCDC2 shall not in any way limit the liability of RB to the Owner under this Agreement.

 

		7.3	Copies of Certificates

 

In conjunction with the “Second Closing” (as defined
in the RB/Owner Purchase Agreement), RB shall provide to the Owner written certificates of insurance evidencing the insurance coverage
required to be maintained pursuant to sections 7.1 and 7.2.

 

		7.4	Workers' Compensation

 

RB shall require full compliance
with the Workers' Compensation Act R.S.B.C. 1996, c. 492 by the Contractor and its
subcontractors and other persons with whom RB may make any contract for the performance of
any part of the Work. RB shall indemnify the Owner against all Losses incurred by the Owner
which may arise as a consequence of any failure by RB, the Contractor or any subcontractor or other person for whom RB is responsible
to fully comply with the said Act.

 

		7.5	Evidence of Workers Compensation Insurance

 

If requested by the Owner, either prior to commencing the Work
or at any time during the performance of the Work, RB will provide evidence of the Contractor's compliance with workers compensation
legislation applicable to the Project.

 

    	 	19	 

     

    

 

ARTICLE 8

MEETINGS AND INSPECTIONS AND COMMUNICATIONS

 

		8.1	Regular Meetings and Inspections

 

RB will require the Consultants and the Contractor to
schedule and hold site inspections and construction meetings on a regular basis. RB will keep the Owner involved in respect
of the Development Process and will provide the Owner with the opportunity to attend any such scheduled site inspections and
construction meetings, unless, in the reasonable opinion of RB, attendance by the Owner at any such site inspection or
construction meeting would interfere with the activities and work of RB or any of the Consultants or the Contractor.

 

		8.2	Reporting Requirements

 

RB will keep the Owner informed on a regular basis of the progress
of the Development Process and all material matters that affect or may affect the Project, including engaging in meetings with
the Owner and preparing such reports as may reasonably be requested by the Owner and which are of a nature generally requested
or expected of owners of similar projects. RB shall provide to the Owner copies of any special inspection and material testing
reports and progress reports that are available to RB. Without limiting the foregoing, in addition to any other reports to be provided
hereunder, RB shall provide Progress Reports to the Owner on the progress of construction not less frequently than on a monthly
basis.

 

		8.3	Right to Participate

 

Unless and until the Owner exercises its Step-In Rights hereunder,
the Owner shall not, in respect of the Work, initiate any communication or negotiation with any Authority. Provided that the Owner
has not exercised its Step-In Rights hereunder, if any Authority contacts the Owner in RB's absence regarding the Work, the Owner
will direct such Authority to RB without discussing the Work with the Authority.

 

		8.4	Communications

 

RB will respond in good faith to the Owner within a reasonable
period of time following a written request by the Owner for information relating to the Development Process.

 

ARTICLE 9

PLANS AND SPECIFICATIONS AND MATERIAL
CONTRACTS

 

		9.1	Approval of Plans and Specifications

 

The Owner confirms that it has reviewed in detail the Plans
and Specifications and approves of the same.

 

		9.2	Ownership of Project Documents

 

The Project Documents, whether in existence as of the date hereof
or hereafter developed, are and shall remain the property of RB until the Handover Date, at which time RB will assign all of its
right, title and interest in and to the Project Documents to the Owner as contemplated in section 11.2.

 

    	 	20	 

     

    

 

 

		9.3	Changes in Plans

 

		(a)	RB will be entitled to make the following changes to the Plans and Specifications from time to time:

 

		(i)	any changes which are required by law;

 

		(ii)	any changes deemed appropriate by RB, provided that such changes do not, in the reasonable opinion of RB, result in an increase
in the Project Costs or in the Project being of a lesser quality or standard than if constructed in strict adherence to the Plans
and Specifications;

 

		(iii)	any changes to the tenant improvements to be constructed in the Building; and

 

		(iv)	any changes not contemplated in subsections 9.3(a)(i), 9.3(a)(ii) or 9.3(a)(iii), provided that RB has first received the Owner's
written approval in respect thereof in accordance with the procedure set forth in subsection 9.3(c).

 

		(b)	The Owner will be entitled to make changes to the Plans and Specifications from time to time, provided that:

 

		(i)	the Owner has first received RB's written approval in respect thereof in accordance with the procedure set forth in subsection
9.3(d); and

 

		(ii)	the Project Budget and the Maximum Amount will be increased by an amount equal to the increase in the Project Costs that is
attributable to such changes (any such increase in Project Costs is referred to herein as the “Owner Change Costs”).

 

		(c)	For purposes of subsection 9.3(a)(iv), the Parties agree that the procedure for making RB initiated changes to the Plans and
Specifications is as follows:

 

		(i)	RB will request in writing the Owner's approval of the changes that RB proposes to make, which request will be accompanied
by copies of such amended plans, specifications and designs as may be reasonably necessary to fully describe and illustrate such
proposed changes;

 

		(ii)	within ten (10) days after the receipt by the Owner of such request for approval from RB, the Owner may either approve or reject
such changes by providing written notice of its decision to RB, provided that any rejection notice must state the reason or reasons
behind the Owner's decision to reject such changes (which reasons, for greater certainty, must be reasonable);

 

    	 	21	 

     

    

 

 

		(iii)	if RB receives a rejection notice from the Owner pursuant to subsection 9.3(c)(ii) and does not agree with the reasonableness
of the reason or reasons for rejecting such changes as stated therein, the disagreement will be determined in accordance with the
procedure set forth in Article 17; and

 

		(iv)	if the Owner does not provide any written notice to RB approving or rejecting any such changes within the ten (10) day period
stipulated in subsection 9.3(c)(ii), the Owner will be deemed to have approved of such changes.

 

Any changes made pursuant to this subsection 9.3(c)
will be deemed to have been approved and endorsed by the affiliate of RB who is the tenant under the Lease and any such changes
will not entitle such affiliate to refuse acceptance of the Premises under the Lease.

 

		(d)	For purposes of subsection 9.3(b)(i), the Parties agree that the procedure for making Owner initiated changes to the Plans
and Specifications is as follows:

 

		(i)	the Owner will request in writing RB's approval of the changes that the Owner proposes to make, which request will be accompanied
by copies of such amended plans, specifications and designs as may be reasonably necessary to fully describe and illustrate such
proposed changes;

 

		(ii)	within ten (10) days after the receipt by RB of such request for approval from the Owner, RB may either approve or reject such
changes by providing written notice of its decision to the Owner, provided that any rejection notice must state the reason or reasons
behind RB's decision to reject such changes (which reasons, for greater certainty, must be reasonable);

 

		(iii)	if the Owner receives a rejection notice from RB pursuant to subsection 9.3(d)(ii) and does not agree with the reasonableness
of the reason or reasons for rejecting such changes as stated therein, the disagreement will be determined in accordance with the
procedure set forth in Article 17; and

 

		(iv)	if RB does not provide any written notice to the Owner approving or rejecting any such changes within the ten (10) day period
stipulated in subsection 9.3(d)(ii), RB will be deemed to have approved of such changes.

 

For purposes of subsection 9.3(d)(ii),
the Owner acknowledges and agrees that RB will be entitled to withhold written approval in respect of any proposed change to the
Plans and Specifications if RB reasonably believes that such change will result in the Project being of a lesser quality or standard
than if constructed in strict adherence to the Plans and Specifications or that such change will result in the Building or the
Lands being less functional or less efficient having regard to the proposed use thereof by the affiliate
of RB pursuant to the Lease than if constructed in strict adherence to the Plans and Specifications or that such change will delay
the Total Completion of the Project.

    	 	22	 

     

    

 

		9.4	Prohibited Changes

 

RB shall not be required to make any changes to the Work that
materially and adversely affect the Project.

 

		9.5	Approval of Existing Material Contracts

 

The Owner confirms that it has reviewed in detail the Existing
Material Contracts and approves of the same.

 

		9.6	Termination or Modification of Material Contracts

 

		(a)	RB may terminate, cancel, alter, amend or modify any Existing Material Contract without the prior
written consent of the Owner in the event that such termination, cancellation, alteration, amendment or modification does not materially
affect the scope or quality of the Project as contemplated in the Plans and Specifications, the budgeted cost of the Project as
contemplated in the Project Budget or the timing of completion of the Project as contemplated in the
Construction Schedule, provided that:

 

		(i)	RB first provides written notice to the Owner of its desire to effect such termination, cancellation, alteration, amendment
or modification; and

 

		(ii)	the Owner is given the opportunity, within five (5) days of receiving the such written notice from RB, to make written representations
to RB with respect to any concerns that the Owner may have with respect to such termination, cancellation, alteration, amendment
or modification of such Existing Material Contract (which RB agrees, in good faith, to take into consideration when making its
decision as to whether or not to proceed with any such termination, cancellation, alteration, amendment or modification of such
Existing Material Contract).

 

		(b)	RB will not terminate, cancel, alter, amend or modify any Existing Material Contract without the prior written consent of the
Owner if such termination, cancellation, alteration, amendment or modification would materially affect the scope of the Project
as contemplated in the Plans and Specifications, the budgeted cost of the Project as contemplated in the Project Budget or the
timing of completion of the Project as contemplated in the Construction Schedule.

 

		9.7	Additional Material Contracts

 

		(a)	RB may enter into any additional Material Contract from time to time without the prior written
consent of the Owner in the event that such additional Material Contract does not result in a material change to the scope
or quality of the Project as contemplated in the Plans and Specifications, the budgeted cost of the Project as contemplated in
the Project Budget or the timing of completion of the Project as contemplated in the Construction Schedule, provided that:

 

    	 	23	 

     

    

 

		(i)	RB first provides written notice to the Owner of its desire to enter into such additional Material Contract; and

 

		(ii)	the Owner is given the opportunity, within five (5) days of receiving such written notice from RB, to make written representations
to RB with respect to any concerns that the Owner may have with respect to such additional Material Contract (which RB agrees,
in good faith, to take into consideration when making its decision as to whether or not to proceed with any such additional Material
Contract).

 

		(b)	RB will not enter into any additional Material Contract without the prior written consent of the Owner if such additional Material
Contract would materially affect the scope or quality of the Project as contemplated in the Plans and Specifications, the budgeted
cost of the Project as contemplated in the Project Budget or the timing of completion of the Project as contemplated in the Construction
Schedule.

 

ARTICLE 10

ACCEPTANCE PROCEDURES

 

		10.1	Application for Acceptance

 

RB shall notify the Owner not less than sixty (60) days prior
to the anticipated date of RB's application for Acceptance for purposes of the Handover. RB shall notify the Owner not less than
thirty (30) days prior to the actual date of RB's application for Acceptance. If, at the expiration of the thirty (30) day notice
period, RB has not made application for Acceptance, the Owner shall have no claim against RB based on such thirty (30) day notice
being inaccurate save and except where such delay constitutes a breach under section 4.5. When RB considers that the Project is
ready for Acceptance, RB shall apply to the Owner for Acceptance. At the time of RB's application to the Owner for Acceptance,
RB shall provide to the Owner copies of all permits obtained to date, the Project Documents and the Project Warranties.

 

		10.2	Final Inspection of Project

 

Within ten (10) days following RB's application for
Acceptance, the Owner (and its consultants and representatives), RB, the Contractor and the Consultants shall perform a joint
inspection of the Project. At the said inspection, the Owner through its consultants and representatives shall identify, or
cause to be identified any defects or deficiencies in the Project that are apparent on reasonable inspection. The Owner, its
consultants and representatives shall not be required to identify any latent defects or deficiencies or any other defects or
deficiencies that are not apparent on reasonable inspection. The inspection by the Owner, its consultants or representatives
will not release RB from its obligations under this Agreement (including the Conformance Warranty) or the Contractor from its
obligations under the CCDC2 (including the Contractor Warranty) regardless of whether such defects and deficiencies are
identified or not.

 

    	 	24	 

     

    

 

		10.3	List of Defects and Deficiencies

 

Upon completing the inspection referred to in section 10.2,
the Owner, within ten (10) Business Days of such inspection, shall prepare a list of all defects and deficiencies remaining to
be corrected or repaired, and the Payment Certifier shall at that time assign an estimated cost of correcting and repairing each
defect and deficiency. For greater certainty the said estimate shall be of the actual cost of correcting and repairing the defects
and deficiencies and shall not be doubled or otherwise arbitrarily increased by the Payment Certifier.

 

		10.4	Deficiency Holdback

 

The Owner may hold back from any amounts due or coming due to
RB an amount equal to 150% of the Payment Certifier's estimated cost of correcting and repairing the defects and deficiencies as
determined pursuant to section 10.3 of this Agreement until the said defects and deficiencies have been corrected and repaired.
The Owner shall, upon the periodic application of RB, release the amounts held back on account of defects and deficiencies as such
defects and deficiencies are corrected and repaired and certified by the Payment Certifier as corrected and repaired.

 

		10.5	Correcting Deficiencies

 

RB shall:

 

		(a)	diligently work to correct all the defects and deficiencies identified in the list referred to in section 10.3 as expeditiously
as possible, and in any event within thirty (30) days of such list being prepared (or, only in the case of any defect or deficiency
that is incapable of being corrected within such thirty (30) day period, the period in which
to correct such defect or deficiency will be such greater period of time as may be reasonably necessary to correct such defect
or deficiency on a diligent and expeditious basis); and

 

		(b)	not adversely affect the Owner's ownership and operation of the Project while correcting such defects and deficiencies.

 

If RB fails to correct
such defects and deficiencies within the time period referred to in subsection 10.5(a) or in the manner referred to in subsection
10.5(b), the Owner may, at its option, do whatever it deems appropriate to correct such defects or deficiencies and may use the
monies held back pursuant to section 10.4 to do so. If the Owner corrects such defects or deficiencies, any actual reasonable expenses
incurred by the Owner which are not paid for using the monies held back pursuant to section 10.4 will be charged back to RB. RB
shall reimburse the Owner for such reasonable expenses within thirty (30) days of the Owner invoicing RB.
RB acknowledges as agent for and on behalf of the tenant under the Lease, such tenant being an affiliate of RB, that such
tenant shall have no right to claim any abatement in respect of any monies that are due and payable to the Owner under the Lease,
in any circumstance where any defects and deficiencies have not been corrected at the time the tenant takes possession of the Lands
and Building under the Lease.

 

    	 	25	 

     

    

 

		10.6	Notice of Acceptance

 

Subject always to section 10.7, and provided that all defects
and deficiencies have been corrected in accordance with section 10.5, the Owner, within ten (10) Business Days following the completion
of such corrective action, shall issue the Acceptance.

 

		10.7	Discharge of Liens

 

RB shall discharge or cause to be discharged any Liens and the
Owner shall have no obligation to provide Acceptance until such Liens have been discharged. At the Owner's option, the Owner may,
without prejudice to any other right or remedy it may have at law or in equity, take such steps or proceedings to make payment
into court to procure the release of any Lien:

 

		(a)	at any time where the claimant in respect of such Lien has commenced an action in accordance with the Builders Lien Act;
or

 

		(b)	upon the Owner's termination of this Agreement; or

 

		(c)	upon RB's application for Acceptance.

 

All such
payments and costs incurred by the Owner shall be reimbursed by RB to the Owner. In conjunction with the “Second Closing”
as defined in the RB/Owner Purchase Agreement, RB will post a notice of interest under the Builders Lien Act naming
the Owner as “owner” for the purposes thereof.

 

		10.8	Handover and Acceptance Procedure

 

Notwithstanding the provisions of
the RB/Owner Purchase Agreement and this Agreement:

 

		(a)	Handover will not occur unless and until:

 

		(i)	the Owner issues the Acceptance;

 

		(ii)	the deliveries referred to in section 11.2 of this Agreement have been executed and delivered;

 

		(iii)	possession of the Project has been delivered to the Owner;

 

		(b)	Acceptance required under section 10.1 and the delivery requirements in section 11.2 are for the sole benefit of the Owner
and in the event that such requirements (or any part thereof) are not fully satisfied, the Owner may nevertheless elect subject
to subsection 10.8(c) to complete Handover;

 

		(c)	any election by the Owner under subsection 10.8(b) will not release RB from any obligation under this Agreement to complete
or satisfy the requirement or any claim that the Owner may have against RB for having failed to fully perform and satisfy its obligations
under this Agreement and without limitation:

 

    	 	26	 

     

    

 

		(i)	RB shall forthwith complete or satisfy any requirements that were not fully satisfied; and

 

		(ii)	the Owner may forthwith commence legal proceedings to enforce its rights and remedies whether at law or in equity.

 

ARTICLE 11

HANDOVER OF PROJECT

 

		11.1	Handover

 

The Handover shall commence at 10:00am on the Handover Date.
The Handover shall take place at the offices of Stikeman Elliott, Barristers and Solicitors, 1700-666 Burrard Street, Vancouver,
British Columbia, V6C 2X8, or at such other place as the Parties may mutually agree.

 

		11.2	RB Deliveries to Owner

 

On or before the Handover Date, RB will deliver or cause to
be delivered to the Owner's solicitors the following, all in form and substance satisfactory and acceptable to the Owner acting
reasonably (except only in respect of the Certificate of Completion which the Owner may refuse to accept if the Project has not
been Totally Completed as provided in this Agreement), all duly executed by, or on behalf of RB where its execution is required:

 

		(a)	Certificate of Completion;

 

		(b)	Project Documents;

 

		(c)	Project Warranties (including assignments if applicable);

 

		(d)	a certificate dated the Handover Date of a senior officer of RB having knowledge of the facts certifying that to the knowledge
of such officer after due enquiry:

 

		(i)	the execution and delivery of, and completion of all transactions contemplated by, this Agreement have been duly authorized
by all appropriate resolutions or other corporate actions;

 

		(ii)	the representations and warranties of RB as set out in this Agreement are true and accurate
as of the Handover Date;

 

		(iii)	the covenants and agreements to be observed or performed on or before the Handover Date by RB pursuant to the terms of this
Agreement have been duly observed and performed with particulars of any exceptions which exceptions have been approved by the Owner
acting reasonably; and

 

		(iv)	such other matters as may reasonably be requested by the Owner;

 

    	 	27	 

     

    

 

		(e)	an assignment of any licenses or permits held by RB in conjunction with the Project, to the extent that such licences are assignable,
such assignment to take effect on the Handover Date;

 

		(f)	an assignment of all of RB's right, title and interest in and to the Project Documents, to the extent that such Project Documents
are assignable, such assignment to take effect on the Handover Date;

 

		(g)	an assignment of all of RB's right, title and interest in and to all Material Contracts that were not previously assigned to
the Owner pursuant to the RB/Owner Purchase Agreement, to the extent that such Material Contracts are assignable, such assignment
to take effect on the Handover Date;

 

		(h)	an assignment of all of RB's right, title and interest in and to all existing Project Warranties to the extent that such Project
Warranties are assignable, such assignment to take effect on the Handover Date;

 

		(i)	complete and accurate as-built drawings and specifications with respect to the Project as Totally Completed (including all
drawings for the mechanical, electrical and structural systems of the Project);

 

		(j)	the Occupancy Permit and all professional engineering certificates; and

 

		(k)	such other documents and assurances as may be reasonably required by the Owner to give full effect to the intent and meaning
of this Agreement.

 

		11.3	Preparation of Handover Documents

 

The Handover Documents contemplated in section 11.2 will be
prepared by RB's solicitors (to the extent that preparation is required) and delivered to the Owner's solicitors for review and
approval at least four (4) Business Days before the Handover Date.

 

		11.4	Project Cost Reconciliation

 

In conjunction with the Handover and the due completion of the
Project in accordance with this Agreement, RB's solicitors will prepare a draft form of Project Cost reconciliation which will
summarize in reasonable and sufficient detail all moneys received by RB from the Owner, all sums to be withheld (if any) from RB
by the Owner and all additional moneys (if any) payable by the Owner to RB or by RB to the Owner under this Agreement and under
subsection 15.2(b) of the RB/Owner Purchase Agreement. The Parties will work cooperatively and in good faith to settle the final
form of the Project Cost reconciliation on or prior to the Handover Date. For greater certainty, but without limitation, the Project
Cost reconciliation will include adjustments for the costs attributable to the Owner in respect of any Owner Change Costs and any
holdbacks required to be maintained pursuant to this Agreement after the Handover Date.

 

    	 	28	 

     

    

 

ARTICLE 12

FINANCIAL CONTROLS AND BOOKS AND RECORDS

 

		12.1	Financial Controls

 

RB will establish and implement appropriate administrative and
financial controls for the construction of the Project and shall perform its duties, responsibilities and obligations under this
Agreement in accordance with the Project Budget. No deviation from the Project Budget is permitted without the written approval
of the Owner, other than Permitted Budget Reallocations. Notwithstanding the foregoing, the Owner acknowledges and agrees that
RB may allocate the Contingency Reserve set out in the Project Budget as RB determines in its sole discretion.

 

		12.2	Books and Records

 

RB will keep proper and separate records and books of account
with respect to the Project and the operation thereof in accordance with sound accounting principles and will permit the Owner
or any Person duly authorized by it, at the Owner's own expense, to have access to examine the books and records pertaining to
the construction of the Project at all times during regular business hours.

 

		12.3	Preservation of Records

 

RB shall keep and preserve during the term of this Agreement
and for a period of at least three years after the termination of this Agreement, complete and true records of all books and records
kept by it pursuant to this Agreement together with such supporting vouchers, receipts, duplicate receipts, banking records and
other instruments as may be required to properly audit and check such records, and such records shall be kept in a manner consistent
with good and proper accounting procedures.

 

ARTICLE 13

DEFAULT

 

		13.1	Default by the Owner

 

The Owner will be in default under this Agreement if the Owner:

 

		(a)	fails to pay any amount which the Owner is liable to pay to RB hereunder at the time any such amount is due and payable hereunder;
or

 

		(b)	fails to perform its duties in a reasonably prudent, diligent and efficient manner and
does not cure such failure to perform within fifteen (15) days of notice from RB specifying the nature of the alleged failure to
perform (or, if such default is capable of being cured but not within such fifteen (15) day period and the Owner has promptly commenced
taking action to cure such default within such fifteen (15) day period and diligently and in good faith continues taking such action,
an additional period of forty five (45) days).

 

    	 	29	 

     

    

   

		13.2	Remedies of RB Upon Default
by the Owner

 

		(a)	If the Owner fails to pay any amount which the Owner is
liable to pay to RB hereunder at the time any such amount is due and payable hereunder:

 

		(i)	RB may set-off 100% of such amount against any amount or
amounts payable to the Owner pursuant to this Agreement from time to time;

 

		(ii)	the tenant under the Lease, such tenant being an affiliate
of RB, may deduct 100% of such amount from any amount or amounts payable to the Owner from time to time pursuant to the Lease
(the Owner acknowledges and agrees that RB has obtained this right of deduction as agent for and on behalf of such affiliate of
RB and that such affiliate may rely upon this subsection 13.2(a)(ii) notwithstanding that it is
a not a party to this Agreement); or

 

		(iii)	RB may allow the payment to be made at a later date on
the condition that the Owner pays, in addition to the amount due, interest thereon at the Prime Rate plus 3.00% per annum, compounded
monthly, not in advance, from the date the payment was due to the date payment is received by RB,

 

in any case without prejudice to any other right
or remedy RB may have hereunder or at law or equity or otherwise.

 

		(b)	In addition to any other rights or remedies RB may have
under this Agreement or at law or equity or otherwise (including the right to claim any direct or indirect consequential or economic
damages as a result of any failure by the Owner to perform or satisfy any of its obligations under this Agreement), RB will have
the right upon the occurrence and during the continuance of any default by the Owner under subsection 13.I(b) (but only after
the time for curing the default has expired) at its option to cure on the Owner’s behalf any such default by the Owner under
this Agreement and to be reimbursed upon demand by RB for all amounts expended by RB to the Owner in so doing. All such amounts
shall bear interest at the Prime Rate plus 3.00% per annum, compounded monthly, not in advance, from the date the demand for reimbursement
was made to the date payment is received by RB.

 

		13.3	Default by
RB

 

RB will be in default under this Agreement if RB:

 

		(a)	fails to pay any amount which RB is liable to pay to the
Owner hereunder at the time any such amount is due and payable hereunder;

 

		(b)	fails to perform its duties in a reasonably prudent, diligent
and efficient manner and does not cure such failure to perform within fifteen (15) days of notice from the Owner specifying the
nature of the alleged failure to perform (or, if such default is capable of being cured but not within such fifteen (15) day period
and RB has promptly commenced taking action to cure such default within such fifteen (15) day period and diligently and in good
faith continues taking such action, an additional period of forty five (45) days); or

 

    	 	30	 

     

    

 

		(c)	subject only to Article 14, fails to cause:

 

		(i)	the Building to be Substantially Commenced by the Substantial
Commencement Date;

 

		(ii)	the Building to be Substantially Completed by the Substantial
Completion Date;

 

		(iii)	the Project to be Totally Completed by the Outside Completion
Date; or

 

		(iv)	Handover to occur by the Outside Handover Date.

 

		13.4	Remedies of the Owner upon Default by
RB

 

		(a)	If RB fails to pay any amount which RB is liable to pay
to the Owner hereunder at the time any such amount is due and payable hereunder the Owner may:

 

		(i)	set-off 100% of such amount against any amount or amounts
payable by the Owner to RB pursuant to this Agreement from time to time; or

 

		(ii)	allow the payment to be made at a later date on the condition
that RB pays, in addition to the amount due, interest thereon at the Prime Rate plus 3.00% per annum, compounded monthly, not
in advance, from the date the payment was due to the date payment is received by the Owner.

 

		(b)	In addition to any other rights or remedies the Owner may
have under this Agreement or at law or equity or otherwise (including the right to claim any direct or indirect consequential
or economic damages as a result of any failure by RB to perform or satisfy any of its obligations under this Agreement):

 

		(i)	upon the occurrence and during the continuance of any default
by RB under subsection 13.3(b) (but only after the time for curing the default has expired) the Owner may:

 

		(A)	cure on RB’s behalf any such default by RB under
this Agreement and to be reimbursed upon demand by the Owner to RB for all amounts expended by the Owner in so doing. All such
amounts shall bear interest at the Prime Rate plus 3.00% per annum, compounded monthly, not in advance, from the date the demand
for reimbursement was made to the date payment is received by the Owner; or

 

		(B)	terminate this Agreement upon written notice to RB.

 

    	 	31	 

     

    

 

		(ii)	upon the occurrence and during the continuance of any default
by RB under subsection 13.3(c)(i), the Owner may terminate this Agreement at any time after the Substantial Commencement Date
upon written notice to RB;

 

		(iii)	unless RB has obtained and fully funded such extension(s)
of the Substantial Completion Date under section 2.4 of the Repurchase Option as may be required to avoid a default under subsection
13.3(c)(ii), upon the occurrence and during the continuance of any default by RB under subsection 1303(c)(ii), the Owner may terminate
this Agreement at any time after the Substantial Completion Date upon written notice to RB;

 

		(iv)	upon the occurrence and during the continuance of any default
by RB under subsection 13.3(c)(iii), the Owner may terminate this Agreement at any time after
the Outside Completion Date upon written notice to RB;

 

		(v)	upon the occurrence and during the continuance of any default
by RB under subsection 13.3(c)(iv), the Owner may terminate this Agreement at any time after the Outside Handover Date upon written
notice to RB;

 

		(c)	In addition to any other rights or remedies the Owner may have under this Agreement or at law or equity or otherwise, the
                                                                                 Owner will have the right to exercise the Step-In Rights upon the occurrence and during the continuance of any default by RB
                                                                                 under subsection 13.3(b) (but only after the time for curing the default has expired) or upon the occurrence and during the
                                                                                 continuance of any default under subsections 13.3(c)(i) to 13.3(c)(iv);

 

		(d)	If the Owner elects to terminate this Agreement pursuant
to this section 13.4, for greater certainty, any obligation on the part of RB in respect of monies payable by RB to the Owner
pursuant to this Agreement including the liquidated damages under subsection 13.6(a) will survive termination of this Agreement.

 

		13.5	Step-In Rights

 

The Owner shall be entitled to exercise the Step-In Rights only
in the circumstances as provided in subsections 13.4(c) and 13.10. If the Owner elects to exercise the Step-In Rights then:

 

		(a)	the Owner shall forthwith deliver notice in writing to
RB of the Owner’s intention to exercise the Step-In Rights;

 

		(b)	the Owner may take possession of the Lands and the Project
and, in such event, shall thereafter take necessary and commercially reasonable steps to complete the Project in accordance with
the Plans and Specifications;

 

		(c)	the Owner may take an assignment of and RB shall upon the
Owner’s request assign to the Owner RB’s interests in any of the contracts, including but not limited to Material
Contracts, that RB has entered into to carry out the Work and design for the Project or part thereof;

 

    	 	32	 

     

    

 

		(d)	the Owner may take an assignment of and RB shall upon the
Owner’s request assign to the Owner any of RB’s easements, rights, licenses, rights of access and/or occupancy referred
to in section13.8;

 

		(e)	the Owner may take an assignment of, and RB, upon the Owner’s
request, shall assign to the Owner, any approvals, licences and permits for the Project and/or the Work issued by any Authority;

 

		(t)	the Owner may withhold all further payments to RB until
the Work and Project is complete;

 

		(g)	all amounts paid or incurred by the Owner
                                         in accordance with the Project Budget to carry out RB’s obligations under this
                                         Agreement and the RB/Owner Purchase Agreement or to complete the Project or the Work
                                         in accordance with the Plans and Specifications (collectively “Completion Expenses”)
                                         shall be offset against the Maximum Amount or part thereof due and payable from time
                                         to time to RB until the Owner has been completely reimbursed therefore; and

 

		(h)	from the date the Owner provides notice to RB in accordance
with subsection 13.5(a) and thereafter and only to the extent the Owner has exercised its further rights under this section 13.5,
RB will be released from its obligations under sections 10.1, 10.2, 10.5, 10.7, 11.2, 11.3 and 11.4.

 

Following completion of the Project and the Work by the Owner,
the Owner shall pay to RB any balance of the Maximum Amount remaining to be paid by the Owner under this Agreement less the Completion
Expenses and less any amounts which the Owner is entitled at such time to holdback under this Agreement. If the Completion Expenses
exceed the unpaid balance of the Maximum Amount, the Owner shall be entitled to claim from RB and RB shall forthwith pay the Owner
the amount by which such actual Completion Expenses exceed the unpaid balance of the Maximum Amount.

 

		13.6	Consequences of Failure to Achieve the Outside Handover
Date

 

If the Handover does not occur by the Outside Handover
Date:

 

		(a)	RB shall pay to the Owner as liquidated damages, all monies
that would otherwise be due and owing to the Owner under the Lease, as and when such monies are due and payable under the Lease
commencing from the Outside Handover Date and continuing until the receipt by the Landlord (as defined in the Lease) of the first
installment of Rent (as defined in the Lease) (the “Cut-Off Date”). Should RB’s obligation to pay the Owner
such liquidated damages be found to be unenforceable:

 

		(i)	the Owner shall be entitled to pursue against RB all remedies
at law or in equity whether or not they are specified in this Agreement, under law or in equity (including any right to recover
any type of damages whether direct or indirect, consequential or otherwise and further including for greater certainty loss of
profits); and

 

    	 	33	 

     

    

 

		(ii)	the Owner’s exercise of one remedy shall not preclude
the exercise of other remedies for such default and all remedies available to the Owner may be exercised cumulatively and
in any order; or

 

		(b)	RB acknowledges and agrees for greater certainty that:

 

		(i)	the liquidated damages payable pursuant to
                                         subsection l3.6(a) shall continue
                                         to be payable by RB to the Owner until the Cut-Off Date, and such obligation shall continue
                                         in effect from the Outside Handover Date until the Cut-Off Date notwithstanding any termination
                                         of this Agreement by the Owner pursuant to any of subsection 13A(b)(i)(B),
                                         (ii), (iii), (iv) or (v);

 

		(ii)	RB
                                         shall continue to be bound by and shall perform and satisfy its obligations under this
                                         Agreement if the Owner does not terminate this Agreement pursuant to subsection 13.4(f)
                                         or exercise the Step-In Rights pursuant to section 13.5; and

 

		(iii)	RB
                                         shall be
                                         bound by and shall comply with its obligations in respect of the Step-In
                                         Rights if the Owner exercises the Step-In Rights in accordance with section 13.5.

 

		13.7	Assignability of Development Contracts and Permits

 

RB shall ensure that every contract, agreement
or arrangement RB enters into to carry out the Work pertains only to the Project. RB shall ensure that no contract, agreement or
arrangement RB enters into to carry out the Work shall form part of another contract, agreement or arrangement dealing with the
Project or any other project or matter. RB shall ensure that no contract or agreement entered into by RB to carry out the Work
and design for the Project prohibits assignment thereof to the Owner, without the further consent of the other parties to the contract
or agreement or any other Person to the extent necessary to enable the Owner to fully exercise, enforce and enjoy its Step-In Rights.

 

		13.8	Assignability of Access Rights

 

RB shall ensure that all easements, rights,
licenses, rights of access and/or occupation over any lands, improvements or property which easements, rights, licenses, rights
of access and/or occupancy are necessary for the purpose of carrying out the Work are assignable in whole or in part, without the
consent of any other Person, to the Owner to the extent necessary to enable the Owner to fully exercise, enforce and enjoy its
Step-In Rights.

 

		13.9	Insolvency of the Owner

 

In the event of the Owner’s Insolvency,
RB in addition to and not in substitution of any rights or remedies which it may have at law or in equity:

 

		(a)	may terminate this Agreement by written notice to the Owner
stating that this Agreement is terminated effective as and from the date of delivery of such notice;

 

    	 	34	 

     

    

 

		(b)	shall have the exclusive and royalty free licence to occupy
the Lands in order to complete the construction of the Project to the extent necessary to allow the Project to proceed to completion,
or, in RB’s sole discretion, to otherwise utilize the Lands for the time period identified in the Construction Schedule
and such reasonable period thereafter to enable RB to perform any other design, development and construction on the Lands to mitigate
the loss suffered by RB as a result of the Owner’s Insolvency; and

 

		(c)	shall be entitled to recover from the Owner, following
completion of the Project any unpaid balance of the Maximum Amount provided that in no circumstances shall the Owner be liable
to pay more than any unpaid balance of the Maximum Amount;

 

and in any event, RB may
claim any direct or indirect, consequential or economic damages as a result of any failure by the Owner to perform or satisfy
any of its obligations under this Agreement or the RB/Owner Purchase Agreement. RB’ s exercise of any one remedy as a
result of the Owner’s Insolvency shall not preclude the exercise of any other remedies in respect thereof and all
remedies available to RB may be exercised cumulatively.

 

		13.10	Insolvency of RB

 

In the event of RB’s Insolvency
and in addition to and not in substitution of any rights or remedies which the Owner may have at law or in equity, the Owner shall
by written notice given to RB (effective from the date of delivery of such notice) have the right to:

 

		(a)	to terminate this Agreement by giving written notice to
RB; or

 

		(b)	elect to exercise Step-In Rights;

 

and in any event and
regardless of whether the Owner makes an election under subsection 13.10(a) or (b), the Owner may claim any direct or
indirect, consequential or economic damages as a result of any failure by RB to perform or satisfy any of its obligations
under this Agreement or the RB/Owner Purchase Agreement. The Owner’s exercise of any one remedy as a result of
RB’s Insolvency shall not preclude the exercise of any other remedies in respect thereof and all remedies available to
the Owner may be exercised cumulatively.

 

		13.11	Interest

 

Any unpaid amounts due to either Party under this Agreement
shall accrue interest before as well as after maturity, default and judgement on the outstanding daily balance at the Prime Rate
plus 3% per annum. Interest shall be calculated and compounded daily. Each Party’s liability
to pay interest under this section 13.11 and each Party’s right to enforce its rights under this section 13.11 to recover such
interest from the other Party are not limited by any other provision of this Agreement.

 

    	 	35	 

     

    

 

ARTICLE 14

PERMITTED EXCUSE

 

		14.1	Effect of Permitted Excuse

 

If and to the extent either Party
is prevented from or delayed in performing any of its obligations under this Agreement as a result of a Permitted Excuse, then
it shall as soon as reasonably possible, but in any event within ten (10) days of the date such Party has actual knowledge of the
circumstances giving rise to Permitted Excuse notify the other Party of the circumstances constituting the Permitted Excuse and
of the performance of the obligation which is thereby delayed or prevented. Upon receipt by the other Party of such notice, the
Party giving the notice and the Party receiving the notice shall be excused from the performance or punctual performance, as the
case may be, of such obligation and any related obligation, as the case may be, for so long
as the circumstances giving rise to the prevention or delay persist and any period under this Agreement for the performance of
such obligation shall be automatically extended for a corresponding period of time. For greater certainty, the Party not so prevented
or delayed shall not be entitled to any compensation as a result of the occurrence of a Permitted
Excuse and the extension of any period for the performance of any obligation under this Agreement as a result thereof, nor shall
the occurrence of a Permitted Excuse have any effect upon the Project Budget and/or Maximum Amount.

 

		14.2	Reasonable Steps to Remedy

 

The Party affected shall take all reasonable steps
to mitigate the effect of the Permitted Excuse, shall notify the other Party on a regular basis of its efforts to overcome the
Permitted Excuse and shall resume performance of its obligations under this Agreement as soon as possible.

 

		14.3	Notification of Permitted Excuse Ceasing

 

The Party relying on an event of Permitted Excuse shall immediately
notify the other Party in writing when such event has ceased or when it is no longer relying thereon. For the purposes hereof,
an event of Permitted Excuse shall cease when it ceases in fact or when notice in accordance with this section 14.3 has been given,
whichever shall first occur.

 

ARTICLE 15

CONSTRUCTION WARRANTY

 

		15.1	Conformance Warranty

 

RB warrants to the Owner during the Warranty Period
that on the Handover Date:

 

		(a)	the Project will conform in all material respects to the
Plans and Specifications and will be compliant with all legal, municipal and other requirements imposed by any Authority in respect
of the Project; and

 

		(b)	RB with have managed the development and construction of
the Project in accordance with this Agreement.

 

    	 	36	 

     

    

 

Notwithstanding the foregoing, the Owner acknowledges
and agrees that RB will be released under this Conformance Warranty in the event that:

 

		(c)	a claim made by the Owner is satisfied within a reasonable
period of time by the Contractor Warranty, by any insurance policy maintained by the Contractor, or by any professional liability
insurance policy maintained by any of the Consultants; or

 

		(d)	the Owner exercises the Step-In-Rights, but such release
will only be operative to the extent that Work is completed by or under the management or direction of the Owner.

 

The Owner further acknowledges
and agrees that such Conformance Warranty shall not apply to any subsequent purchasers and transferees of the Project who are not
the Owner’s successors or permitted assigns.

 

		15.2	Notice Required

 

If, during the Warranty Period, the Owner
identifies that the Project or any part thereof does not conform to the Plans and Specifications or is not compliant with any legal,
municipal or other requirement imposed by any Authority in respect of the Project, then the Owner will promptly give RB notice
in writing of such non-conformance or non-compliance and RB shall promptly correct or cause to be corrected, at no cost to the
Owner, such identified non-conformance or non-compliance so that the Project conforms with the Plans and Specifications and the
legal, municipal and other requirements imposed by any Authority in respect of the Project.

 

		15.3	Contractor Warranty

 

RB shall cause the Contractor to provide the following
warranties:

 

		(a)	the Contractor shall correct promptly and at the Contractor’s
expense:

 

		(i)	any work that is not in conformance with the Plans and
Specifications;

 

		(ii)	any defect or deficiency in the Work which appear prior
to or during the Contractor Warranty Period;

 

		(b)	the Contractor shall correct and pay for damage resulting
from defects and deficiencies and the corrections made under the requirements of subsection 15.3(a) above;

 

		(c)	the Contractor Warranty is assignable, at no cost and without
condition, to the Owner;

 

		(d)	the Contractor shall, at no cost to the Owner and without
condition, obtain and assign to the Owner any warranties, including any extended manufacturers’ warranties for any materials
and specifically including, without limitation, a warranty for:

 

    	 	37	 

     

    

 

		(i)	the roof of the Project, for 10 years; and

 

		(ii)	the sealed glazing units, for 10 years.

 

		(e)	the Owner shall promptly give the Contractor notice in
writing of observed defects and deficiencies that occur during the applicable Contractor Warranty Period.

 

		15.4	Extent of Warranty

 

The Conformance Warranty is
the only warranty of RB against defects and deficiencies in the Work or conformance of the
Project to the Plans and Specifications and no other warranties from RB against defects and deficiencies in the Work or conformance
of the Project to the Plans and Specifications, statutory or otherwise are, or will be, implied. Except for the Contractor Warranty,
there is no other warranty against defects and deficiencies and for conformance of the Project to the Plans and Specifications
which RB is obligated to cause the Contractor to grant to or obtain for the Owner.

 

		15.5	Assignment and Assistance

 

RB shall assign or cause to be assigned to the Owner
the Contractor Warranty and assist the Owner in enforcing the Contractor Warranty against the Contractor.

 

ARTICLE 16

INDEMNITY

 

		16.1	Indemnification in Favour of the Owner

 

RB shall indemnify
and save the Owner harmless from any Losses suffered by, imposed upon or asserted against the Owner as a result of, in respect
of, connected with or arising out of, under or pursuant to:

 

		(a)	any failure of RB to perform and fulfil any covenant of
RB as provided for hereunder; or

 

		(b)	any breach or inaccuracy of any representation or warranty
given by RB contained in this Agreement,

 

to the extent that such Losses have not been caused
by the Owner’s negligent act or omission.

 

		16.2	Indemnification in Favour of RB

 

The Owner shall indemnify and
save RB harmless of and from any Losses suffered by, imposed upon or asserted against RB as a result of, in respect of, connected
with or arising out of, under or pursuant to:

 

		(a)	any failure by the Owner to perform and fulfil any covenant
of the Owner under this Agreement; or

 

    	 	38	 

     

    

 

		(b)	any breach or inaccuracy of any representation or warranty
given by the Owner contained in this Agreement,

 

to the extent that such Losses have not been caused
by RB’s negligent act or omission.

 

		16.3	Indemnification Proceedings

 

Any Party seeking
indemnification under this Part (the “indemnified Party”) shall forthwith notify the Party against whom a claim
for indemnification is sought hereunder (the “indemnifying Party”) in writing, which notice shall specify, in
reasonable detail, the nature and estimated amount of the claim. If a claim by a third Party is made against an indemnified
Party, and if the indemnified Party intends to seek indemnity with respect thereto under this section 16.3, the indemnified
Party shall promptly (and in any case within thirty (30) days of such claim being made) notify the indemnifying Party of such
with reasonable particulars. The indemnifying Party shall have thirty (30) days after receipt of such notice to undertake
conduct and control, through counsel of its own choosing and at its expense, the settlement or defence thereof, and the
indemnified Party shall cooperate with it in connection therewith; except that with respect to settlements entered into by
the indemnifying Party:

 

		(a)	the consent of the indemnified Party shall be required
if the settlement provides for equitable relief against the indemnified Party, which consent shall not be unreasonably withheld
or delayed;

 

		(b)	the indemnifying Party shall obtain a release of the indemnified
Party.

 

If the indemnifying Party undertakes, conducts and controls
the settlement or defence of such claim:

 

		(c)	the indemnifying Party shall diligently and in the best
interest of the indemnified Party, defend such claim on behalf of the indemnified Party and permit the indemnified Party to participate
in such settlement or defence through counsel chosen by the indemnified Party, provided that the fees and expenses of such counsel
shall be borne by the indemnified Party;

 

		(d)	the indemnifying Party shall promptly reimburse the indemnified Party for the full amount of any Loss resulting from any
                                                                                 Claim and all related expenses (other than the fees and expenses of counsel as aforesaid) incurred by the indemnified Party.
                                                                                 The indemnified Party shall not pay or settle any claim so long as the indemnifying Party is contesting any such claim in
                                                                                 good faith on a timely basis. Notwithstanding the two immediately preceding sentences, the indemnified Party shall have the
                                                                                 right to pay or settle any such claim, provided that in such event it shall waive any right to indemnity therefor by the
                                                                                 indemnifying Party;

 

		(e)	with respect to third Party claims, if the indemnifying
Party does not notify the indemnified Party within thirty (30) days after the receipt of the indemnified Party’s notice
of a claim of indemnity hereunder that it elects to undertake the defence thereof, the indemnified Party shall have the right,
but not the obligation, to contest, settle or compromise the claim in the exercise of its reasonable judgement
at the expense of the indemnifying Party. In such event, the indemnifying Party shall have no right to contest or challenge the
indemnified Party’s decision, if any, to contest, settle or compromise such third Party claim;

 

    	 	39	 

     

    

 

		(f)	in the event of any claim by a third Party against the
indemnified Party, the defence of which is being undertaken and controlled by the indemnifying Party, the indemnified Party will
use all reasonable efforts to make available to the indemnifying Party those employees whose assistance, testimony or presence
is necessary to assist the indemnifying Party in evaluating and in defending any such claims; provided that the indemnifying Party
shall be responsible for the reasonable expense associated with any employees made available by the indemnified Party hereunder;

 

		(g)	with respect to third Party claims, the indemnified Party
shall make available to the indemnifying Party or its representatives on a timely basis all relevant documents, records and other
materials in the possession of the indemnified Party, at the expense of the indemnifying Party, reasonably required by the indemnifying
Party for its use in defending any claim and shall otherwise cooperate on a timely basis with the indemnifying Party in the defence
of such claim;

 

		(h)	if indemnifying Party fails to act utilizing the utmost
of good faith protecting interest of the indemnified Party or otherwise does not diligently or competently defend such claim then
the indemnified Party may by notice in writing to indemnifying Party terminate indemnifying Party’s right to undertake,
conduct and contract such claim and, inter alia, take full control thereof, appoint new counsel and obtain its own professional
advice, all at the cost and expense of indemnifying Party;

 

		(i)	indemnifying Party shall keep the indemnified Party informed
of all material steps concerning the defence of any Claim and provide the indemnified Party with all such information in connection
with such defence as indemnified Party may reasonably request.

 

If the indemnifying Party does not undertake, conduct or control
the settlement or defence of such Claim, the indemnifying Party shall, without limiting the generality of sections 16.1 and 16.2,
reimburse the indemnified Party for all costs of defending, undertaking, conducting or controlling such settlement or defence of
such Claim.

 

ARTICLE 17

SETTLEMENT OF DISPUTES

 

		17.1	Best Endeavours to Settle Dispute

 

In the event of any dispute, Claim,
question or difference arising out of or relating to this Agreement or any breach hereof, the Parties will use their best
endeavours to settle such dispute, Claim, question or difference. To this effect, they will consult and negotiate with each
other, in good faith and understanding of their mutual interests, to reach a just and equitable solution satisfactory to all
Parties.

 

    	 	40	 

     

    

 

		17.2	Arbitration

 

Except as is expressly provided
in this Agreement, if the Parties do not reach a solution pursuant to section 17.1 within
a reasonable period of time, then upon written notice by a Party to the other, the dispute, Claim, question or difference will
be finally settled by arbitration in accordance with the provisions of the Commercial Arbitration Act (British Columbia)
as amended from time to time and any legislation enacted in substitution therefore or in pari materia therewith, based upon
the following:

 

		(a)	the arbitration tribunal will consist of one arbitrator
appointed by mutual agreement of the Parties, or in the event of failure to agree, within ten (10) Business Days after the date
of delivery of the written notice, the Parties will each appoint a nominee who together will appoint a single arbitrator, failing
which any Party may apply to a judge of the Supreme Court of British Columbia to appoint an arbitrator. The arbitrator will be
qualified by education and training to pass upon the particular matter to be decided, including, without limitation, knowledge
of the construction industry;

 

		(b)	the arbitrator will be instructed that time is of the essence
in proceeding with the determination of any dispute, Claim, question or difference and, in any event, the arbitration award must
be rendered within thirty (30) days of the submission of such dispute to arbitration;

 

		(c)	in the arbitration award, the arbitrator may award any
remedy for any breach of this Agreement that might have been awarded by the Supreme Court of British Columbia except where the
remedy for such breach has been expressly limited by this Agreement;

 

		(d)	the arbitration will take place in Vancouver, British Columbia;

 

		(e)	the arbitration award will be given in writing and will
be final and binding on the Parties, not subject to any appeal, and will deal with the question
of costs or arbitration and all matters related thereto; and

 

		(f)	judgement upon the award rendered may be entered in any
court having jurisdiction, or, application may be made to such court for a judicial recognition
of the award or an order of enforcement thereof, as the case may be.

 

ARTICLE 18

MISCELLANEOUS

 

		18.1	Common Covenant

 

Neither the Owner nor RB will take any action, or omit to take
any action, that may reasonably be expected to adversely affect or interfere with the other’s rights or ability to fulfil
its obligations under this Agreement or the RB/Owner Purchase Agreement. RB and the Owner shall diligently and in good faith carry
out all of their respective obligations under this Agreement and the RB/Owner
Purchase Agreement.

 

    	 	41	 

     

    

 

		18.2	Authority of GWLRA

 

The Owner acknowledges and agrees that:

 

		(a)	GWLRA, as agent of the Owner, has the full power and authority
to take any act or proceeding, make any decision or execute and deliver any instrument, deed, agreement or document for and on
behalf of the Owner as GWLRA, in its sole judgement, may deem necessary, proper or desirable to carry out the obligations of the
Owner under this Agreement including, without limitation, executing and delivering to RB any consent or approval required hereunder.

 

		(b)	RB is entitled to:

 

		(i)	deal with and report exclusively to GWLRA in connection
with any and all matters resulting from or arising out of this Agreement (including, without limitation, to deliver to GWLRA any
documentation that RB is required to deliver hereunder to the Owner); and

 

		(ii)	rely conclusively upon the power and authority of GWLRA
as set forth in subsection 18.2(a) and will not be required to enquire into the authority of GWLRA to take any act or proceeding,
make any decision or execute and deliver any instrument, deed, agreement or document on behalf of the Owner.

 

		18.3	Several

 

The Parties agree that any
representations, warranties and covenants of Great-West Life and London Life under this Agreement, as the case may be, will
be construed to be several, not joint, and enforceable by RB against Great-West Life and London Life as to the “Respective
Interests” of Great-West Life and London Life, as such term is defined in the
RB/Owner Purchase Agreement.

 

		18.4	Consents and Approvals

 

Whenever in this Agreement RB
or the Owner is required to give its consent to or approve an action, document, plan, budget or matter then, subject to the terms
and conditions of this Agreement, RB or the Owner, as the case may be, shall act in good faith and shall not unreasonably withhold
or unduly delay such consent or approval.

 

		18.5	Notice of Change

 

RB agrees to promptly notify the Owner
of any actual or anticipated material change in the Construction Schedule of which RB becomes aware, actual or anticipated material
increases in the Project Budget of which RB becomes aware, any material breaches or defaults under this Agreement or the Material
Contracts of which RB becomes aware, and any other circumstances of which RB becomes aware which may materially impact the construction
of the Project in accordance, in all material respects, with the applicable Plans and Specifications, Project Budget, Material
Contracts and Construction Schedule.

 

    	 	42	 

     

    

 

		18.6	Time

 

Time shall be of the essence of this Agreement.

 

		18.7	Further Assurances

 

Each Party
hereto shall, at all times hereafter, execute and deliver, at the request of the other, all such further documents, deeds and instruments,
do or cause to be done all such further acts and things, and give all such further assurances, as may be necessary to give full
effect to the intent and meaning of this Agreement.

 

		18.8	Compliance with Laws

 

RB shall ensure compliance with
all Applicable Laws in the performance of its obligations under this Agreement.

 

		18.9	Entire Agreement

 

There is no representation, warranty, condition or
agreement or any collateral representation, warranty, condition or agreement applicable to, binding upon or enforceable against
any Party other than those expressed in this Agreement and any agreement in writing made pursuant to or in furtherance of this
Agreement.

 

		18.10	Waiver

 

No consent or waiver, express or implied, by any Party to or
of any breach or default by another Party in the performance by another Party of its obligations hereunder shall be deemed or construed
to be a consent or waiver to or of any other breach or default in the performance by such Party hereunder; failure on the part
of any Party hereto to complain of any act or failure to act of another Party hereto or to declare such other Party in default,
irrespective of how long such act shall continue, shall not constitute a waiver by such Party of its rights hereunder.

 

		18.11	Notices

 

Any demand or notice which may
be required for the purposes of this Agreement shall be in writing and shall be deemed to have been well and sufficiently given
and received if delivered, faxed or if mailed at any post office under prepaid registered cover addressed as follows:

 

    	 	43	 

     

    

 

to RB:

 

Ritchie Bros. Properties Ltd.

6500 River Road

Richmond, B.C. V6X 4G5

 

Attention: Darren Watt

Facsimile No.: (604) 273-9339

 

with a copy to:

 

McCarthy Tetravlt LLP

1300 – 777 Dunsmuir Street

Vancouver, B.C. V7Y 1K2

 

Attention: Glenn Leung

Facsimile No.: (604) 622-5608

 

to the Owner:

 

The Great-West Life Assurance
Company and

London Life Insurance Company

c/o GWL Realty Advisors Inc.

Suite 3000 - 650 West Georgia
Street

Vancouver, B.C. V6B 4N7

 

Attention: Geoff Heu

Facsimile No.: (604) 683-3264

 

with a copy to:

 

Stikeman Elliott LLP

1700 – 666 Burrard Street

Vancouver, B.C. V6C 2X8

 

Attention: Ross MacDonald

Facsimile No.: (604) 681-1825

 

or at such other address as the Parties shall specify in writing
to the other from time to time. The time of giving and receiving any such notice shall be, if delivered or faxed, when delivered
or faxed or, if mailed as aforesaid, on the third business day after the day of mailing. In the event of any disruption of mail
services, all notices shall be delivered or faxed rather than mailed.

 

		18.12	No Assignment

 

This Agreement shall not be assigned by RB
or the Owner, as the case may be, without the prior written consent of the other Party other than conditional assignments
by way of security if required by a lender, which may be executed by either Party without the consent of the other

Party.

 

    	 	44	 

     

    

 

		18.13	Enurement

 

This Agreement shall enure to the benefit
of and be binding upon the Owner and its successors and assigns and upon RB and its successors and assigns.

 

IN WITNESS WHEREOF the Parties hereto
have executed this Agreement as of the date first above written.

 

	 	THE GREAT WEST LIFE ASSURANCE COMPANY
	 	 
	 	/s/ Donald J. Harrison
	 	Name:	Donald J. Harrison
	 	 	Senior Vice President, Asset Management
	 	 
	 	/s/ Jeff Fleming
	 	Name: 	Jeff Fleming
	 	 	Vice President, Investments

 

	 	LONDON LIFE INSURANCE COMPANY
	 	 
	 	/s/ Donald J. Harrison
	 	Name:	Donald J. Harrison
	 	 	Senior Vice President, Asset Management
	 	 
	 	/s/ Jeff Fleming
	 	Name:  	Jeff Fleming
	 	 	Vice President, Investments

 

	 	RITCHIE BROS. PROPERTIES LTD.
	 	 
	 	/s/ Darren Watt
	 	Name: 	Darren Watt

 

    	 	45	 

     

    

 

SCHEDULE “A”

 

PROJECT BUDGET

 

  

 

    	 	A-1	 

     

    

 

 

 

    	 	A-2	 

     

    

 

SCHEDULE “B”  

 CONSTRUCTION SCHEDULE

 

 

 

    	 	B-1	 

     

    

 

 

 

    	 	B-2	 

     

    

 

 

 

    	 	B-3	 

     

    

 

SCHEDULE“C”

 

EXISTING MATERIAL CONTRACTS

 

	Supplier	 	Contract Issue Date	 	Service
	 	 	 	 	 
	Cornerstone Planning Group	 	October 10,2006	 	Preliminary Programming for Architectural RFP
	- Assigned Contract	 	 	 	
	Butler Sundvick	 	May 8, 2007	 	Preliminary Site Survey
	- Assigned Contract	 	 	 	 
	Bunting Coady Architects	 	January 19, 2007	 	Prime Consulting Services for the Design and Contract Administration
	Hanscomb Ltd.	 	March 7, 2008	 	Quantity Surveyor Peer Review
	Trow Associates Inc.	 	December 11, 2007	 	Geotechnical Consulting
	PGL Environmental Consultants Ltd.	 	November 30, 2007	 	Design of Methane Extraction System
	CES Engineering	 	February 6, 2008	 	Commissioning Agent
	Trow Associates Inc.	 	January 3, 2008	 	Building Envelope Consulting
	MHPM Project Managers Inc.	 	December 10, 2007	 	Project Management Services
	Ventana Construction	 	April 28, 2008	 	Piling
	Trow Associates Inc.	 	October 10, 2006	 	Geotechnical Feasibility Study
	Ventana Construction	 	June 27, 2007	 	Pre·construction Services
	Ventana Construction	 	September 17, 2007	 	Site Preparation and Test Pile Contract

 

    	 	C-1

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