Document:

exv10w8

 

Exhibit 10.8

LEASE AGREEMENT

     THIS LEASE AGREEMENT is dated this 18 day of December, 2001, between Columbia Acquisition, LLC (“Landlord”), the managing member of which is The Prudential
Insurance Company of America and the Tenant named below.

	 	 	 
	Tenant:.

	 	MetaMorphix, Inc.
	 
	 	 
	Tenant’s representative:

	 	Edwin Quattlebaum
	 
	 	 
	Address and phone no.:

	 	1450 South Rolling Road, Baltimore, Maryland 21227 410-455-5887

Premises: That portion of the Building, containing approximately 15,000 rentable square feet as
determined by Landlord, as shown on Exhibit A, situated on a portion of that certain real
property legally described in Exhibit A-1 attached hereto. Prior to the Rent Commencement
Date, Landlord, at Landlord’s expense, will cause Hofmann & Associates, licensed architects to
confirm (and certify to Tenant) the square. footage of the Premises and the Building (the
“Remeasurement”).

	 	 	 
	Project:
	 	Corridor Industrial Park, 8510, 8520, 8530 Corridor Road, Savage, Maryland
	 
	 	 
	Property:
	 	That parcel of land and the Building located thereon and known as Parcel C-4.
	 
	 	 
	Building:
	 	8510 Corridor Road
	 
	 	 
	Common Area:

	 	Areas in common use by tenants of the Building.
	 
	 	 
	Tenant’s Proportionate Share
of Building:

	 	50.00%

Lease Term: Beginning on the Commencement Date and ending on the last day of the 120th full
calendar month thereafter. See Exhibit D — Termination Option and Exhibit E — Right of First Offer.

Commencement Date: The date upon which the Premises have been delivered to Tenant, free of
tenancies and debris, which date is scheduled to be January 1, 2002.

Free Rent Period: That period commencing upon the Commencement Date and terminating ninety (90)
days thereafter; provided, however, during this period, Tenant shall pay Tenant’s
Proportionate Share of Operating Expenses as defined hereunder. Tenant is being granted a full
90-day free-rent period, such that, for example, should construction be completed and Tenant is
open for business on day 30, Tenant shall still be entitled to the Premises, rent-free, for an
additional 60 days.

Rent Commencement Date (“RCD”) Beginning upon the expiration of the Free Rent Period.

 

 

Monthly Base Rent:

	 	 	 	 	 	 	 	 	 
	 	 	Annual Rate Per Sq.	 	 	 	 
	Months	 	Ft.	 	 	Monthly Base Rent	 
	Year 1
	 	$	17.50	 	 	$	21,875.00	 
	Year 2
	 	$	17.50	 	 	$	21,875.00	 
	Year 3
	 	$	17.85	 	 	$	22,312.50	 
	Year 4
	 	$	18.20	 	 	$	22,758.75	 
	Year 5
	 	$	18.57	 	 	$	23,212.50	 
	Year 6
	 	$	18.94	 	 	$	23,675.00	 
	Year 7
	 	$	19.32	 	 	$	24,150.00	 
	Year 8
	 	$	19.71	 	 	$	24,637.50	 
	Year 9
	 	$	20.10	 	 	$	25,125.00	 
	Year 10
	 	$	20.50	 	 	$	25,625.00	 

Initial Estimated Monthly
Operating Expense Payments:

(estimates only and subject to
adjustment to actual costs and
expenses according to the
provisions of this Lease)

1. Utilities: To be paid separately in accordance with Paragraph 7 herein.

	 	 	 	 	 
	2. Common Area Charges:
	 	$	1,725.00	 
	3. Taxes:
	 	$	1,025.00	 
	4. Insurance:
	 	$	162.50 -	 
	5. Others:
	 	$	.00	 

	 	 	 	 	 
	Initial Estimated Monthly Operating Expense
	Payments:
	 	$	2,912.50	 

Initial Monthly Base Rent and
Operating Expense Payments:      $24,787.50. Upon execution of the Lease, Tenant shall pay the
first month’s Base Rent and Operating Expenses.

Security Deposit: $99,150.00 The Security Deposit shall be payable in full by Tenant to the
Landlord no later than January 15, 2002. Provided Tenant is not in monetary default, beyond
applicable cure periods, more than two (2) times during the first thirty six (36) months of the
Lease Term, Landlord shall credit one-quarter (25%) of the Security Deposit to Tenant’s Monthly
Base Rent and associated Operating Expenses for month thirty-seven (37). Provided Tenant is not in
monetary default, beyond applicable cure periods, more than two (2) times during the first
forty-eight (48) months of the Lease Term, Landlord shall credit one-quarter (25%) of the Security
Deposit to Tenant’s Monthly Base Rent and Operating Expenses for month forty-nine (49) of the Lease
Term.

Transferred Assets: See Exhibit C

Broker:           Ryan Commercial, LLC as the Landlord’s listing agent

Event of Default: A default continuing beyond all applicable cure
periods.

 

 

Addenda: Rules and Regulations; Exhibit A (Premises); Exhibit A-1 (Legal Description of
Real Property); Exhibit B (Intentionally Deleted); Exhibit C (Fixtures and Lab Equipment), Exhibit
D, (Termination Option), Exhibit E (Right of First Offer), Exhibit F (Purchase Options), Exhibit G
(Hazardous Materials)

     1. Granting Clause and Delivery of Premises. In consideration of the obligation of
Tenant to pay rent as herein provided and in consideration of the other terms, covenants, and
conditions hereof, Landlord leases to Tenant, and Tenant leases from Landlord, the Premises, to
have and to hold for the Lease Term, subject to the terms, covenants and conditions of this Lease.

          Landlord has entered into a certain lease termination agreement (the “Termination Agreement”)
with Savanet, Inc. (“Savanet”) dated November 2, 2001, a copy of which has been provided to
Tenant, which, among other matters, obligates .Savanet to vacate the Premises, leaving the
Premises in clean, clear and good condition, on December 31; 2001. (the “Exit Date”). Should
Savanet not vacate the Premises on the Exit Date, Landlord shall, at its sole cost and expense,
take all commercially reasonable steps necessary to cause Savanet to vacate the Premises,
including, but not limited to, exercising all remedies available to Landlord pursuant to its lease
with Savanet and the Termination Agreement as well as instituting immediate eviction proceedings
against Savanet.

          Landlord shall notify Tenant, in writing, in the event that Savant has not vacated the
Premises by January 7, 2002. In addition, in the event Savanet has not vacated the Premises by
January 7, 2002, Tenant shall have the right to terminate the Lease by written notice to Landlord,
at which time Tenant would be fully released from any and all obligations hereunder.
Notwithstanding the foregoing, if Tenant has not exercised its right to terminate this Lease on or
before February 28, 2002, such right to terminate shall expire and be of no further force and.
effect. Whether or not this Lease is terminated in accordance with this paragraph,
Landlord recognizes that Tenant shall incur substantial expenses, losses and damages, in the event
Savant fails to vacate the Premises in the required condition by January 7, 2002, therefore, in
such event, Landlord shall reimburse Tenant for its actual direct damages arising as a result of
such holdover, up to Thirty Thousand Dollars (S30,000.00), within thirty (30) days after notice
from Tenant accompanied by applicable evidence of such damages.

     2. Acceptance of Premises. Except as may otherwise be expressly provided in this
Lease, Tenant shall accept the Premises on the Commencement Date in its “AS-IS” condition, subject
to all applicable laws, ordinances, regulations, covenants and restrictions, and Landlord (except
as specifically provided in this Lease) shall have no obligation to perform or pay for any repair
or other work therein. Except as otherwise specifically provided for in this Lease, Landlord has
made no representation or warranty as to the suitability of the Premises for the conduct of
Tenant’s business; and Tenant waives any implied warranty that the Premises are suitable for
Tenant’s intended purposes. TENANT ACKNOWLEDGES THAT (1) IT HAS INSPECTED AND ACCEPTS THE PREMISES
IN AN “AS IS, WHERE IS” CONDITION (UNLESS OTHERWISE EXPRESSLY PROVIDED IN THIS LEASE), (2) THE
BUILDINGS AND IMPROVEMENTS COMPRISNG THE SAME ARE SUITABLE FOR THE PURPOSE FOR WHICH THE PREMISES
ARE LEASED AND LANDLORD (EXCEPT AS OTHERWISE PROVIDED IN THIS LEASE) HAS MADE NO WARRANTY,
REPRESENTATION, COVENANT, OR AGREEMENT WITH RESPECT TO THE

 

 

MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF THE PREMISES, (3) THE PREMISES ARE IN
GOOD AND SATISFACTORY CONDITION, (4) NO REPRESENTATIONS AS TO THE REPAIR OF THE PREMISES, NOR
PROMISES TO ALTER, REMODEL OR IMPROVE THE PREMISES HAVE BEEN MADE BY LANDLORD (UNLESS OTHERWISE
EXPRESSLY PROVIDED IN THIS LEASE), AND (5) THERE ARE NO REPRESENTATIONS OR WARRANTIES, EXPRESSED,
IMPLIED OR STATUTORY, THAT EXTEND BEYOND THE DESCRIPTION OF THE PREMISES (EXCEPT AS SPECIFICALLY
PROVIDED FOR IN THIS LEASE). Except as provided in this Lease, in no event shall Landlord have any
obligation for any defects in the Premises or any limitation on its use. The taking of possession
of the Premises shall be conclusive evidence that Tenant accepts the Premises and that the Premises
were in good condition at the time possession was taken except for items that are Landlord’s
responsibility in this Lease. Tenant further acknowledges that all items listed in Exhibit C
“Fixtures and Lab Equipment” are considered leasehold improvements and are subject to the terms
under Section 12. Landlord warrants and represents to Tenant that, as of the Commencement Date,
Landlord shall possess good title to the Transferred Assets and in the event of a breach of such
warranty and representation, Landlord shall be liable to Tenant for damages arising from such
breach, which damages shall not exceed Twenty-Five Thousand Dollars ($25,000.00) and which shall be
payable upon demand by Tenant. Landlord further represents that as of the Commencement Date, the
HVAC systems serving the Premises are in good working repair and order and
Landlord shall deliver to Tenant any written certification received by Landlord from its HVAC
engineer regarding such systems.

     Landlord acknowledges that Tenant intends to perform certain improvements to the
Premises, and Landlord agrees that such improvements may be performed at any time during the Term,
subject to Landlord’s prior consent, pursuant to the terms and conditions of this Lease, including,
without limitation, Section 12. Landlord agrees to provide Tenant, at Landlord’s sole cost and
expense, one (1) initial space and plan and one (1) revision of such plan. If required, additional
space planning services shall be at the Tenant’s sole cost and expense. Space planning shall be
provided by Hofmann & Associates.

     3. Use.

          (a) Subject to Tenant’s compliance with all zoning ordinances and Legal Requirements (as
hereinafter defined), the Premises shall be used only for office, laboratory, manufacturing, sales
and distribution purposes and such other lawful purposes as may be incidental thereto; however, no
retail sales may be made from the Premises. Tenant shall not conduct or give notice of any auction,
liquidation, or going out of business sale on the Premises. Notwithstanding the foregoing, Tenant
shall be permitted, from time to time, to sell personal property related to its business out of the
Premises. Tenant will use the Premises in a careful, safe and proper manner and will not commit
waste, overload the floor or structure of the Premises or subject the Premises to use that would
damage the Premises. Tenant shall not permit any objectionable or unpleasant odors, smoke, dust,
gas, noise, or vibrations to emanate from the Premises, or take any other action that would
constitute a nuisance or would disturb, unreasonably interfere with, or endanger Landlord or any
tenants of the Project. Outside storage, including without limitation, storage of trucks and other
vehicles, is prohibited without Landlord’s prior written consent. Landlord’s consent will not be
unreasonably withheld, conditioned or delayed.

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          (b) Tenant, at its sole expense, shall use and occupy the Premises in compliance with all
laws, orders, judgments, ordinances, regulations, codes, directives, permits, licenses, covenants
and restrictions now or hereafter applicable to Tenant’s specific use of the Premises,
including without limitation, the Americans With Disabilities Act or similar state statutes or
local ordinances or any regulations promulgated thereunder (the “ADA”) (collectively as may be
amended from time to time, “Legal Requirements”). The Premises shall not be used as a
place of public accommodation under the ADA. Tenant shall, at its expense, make any alterations or
modifications, within or without the Premises, that are required by Legal Requirements related to
Tenant’s specific use of the Premises. Tenant will not use or permit the Premises to be
used for any purpose or in any manner that would void Tenant’s or Landlord’s insurance, increase
the insurance risk, or cause the disallowance of any sprinkler credits. If any increase in the cost
of any insurance on the Premises is caused solely and directly by Tenant’s specific use or
occupation of the Premises, or because Tenant vacates the Premises, then Tenant shall pay the
amount of such increase to Landlord within fifteen (15) days after receipt of evidence by the
insurance carrier confirming that Tenant’s actions caused such increase. Landlord represents to
Tenant that, to the best of Landlord’s knowledge without investigation or inquiry, the Building,
Premises and Property comply with the ADA. Landlord shall be responsible for any exterior Building
and Property ADA issues (the “Corrections”). Notwithstanding the foregoing, Landlord shall have no
obligation to correct any exterior ADA issues which may arise due to Tenant’s specific use of the
Premises or any alterations to the Premises proposed to be made by Tenant. Should Tenant receive
any written notice of any ADA violation with respect to the exterior of the Building, Premises or
Property, it shall provide a copy of same to Landlord.

          (c) Tenant and its employees and invitees shall have the non-exclusive right to use, in common
with others, any areas designated by Landlord from time to time as common areas for the use and
enjoyment of all tenants and occupants of the Project, subject to such reasonable rules and
regulations as Landlord may promulgate from time to time. If such rules and regulations are
amended, Tenant shall be notified in writing. The rules and regulations shall apply to all Tenants
in the Building.

     4. Base Rent. Tenant shall pay Base Rent in the amount set forth on the second page of
this Lease, subject to adjustment in the event the Remeasurement reveals that the Premises consist
of less than fifteen thousand (15,000) square feet. The first month’s Base Rent and the first
monthly installment of estimated Operating Expenses (as hereafter defined) shall be due and payable
on the date hereof, and Tenant promises to pay to Landlord in advance, without demand, deduction or
set-off, monthly installments of Base Rent on or before the first day of each calendar month
succeeding the Rent Commencement Date. Payments of Base Rent for any fractional calendar month
shall be prorated. All payments required to be made by Tenant to Landlord hereunder shall be
payable at such address as Landlord may specify. from time to time by written notice delivered in
accordance herewith. Any change in the address for payment of rent shall be delivered by Landlord
to Tenant at least fifteen (15) days prior to the effective date of such change in address. The
obligation of Tenant to pay Base Rent and other sums to Landlord and the obligations of Landlord
under this Lease are independent obligations. Tenant shall have no right at any time to abate,
reduce, or set-off any rent due hereunder except where expressly provided in this Lease. Tenant
acknowledges that late payment by Tenant to Landlord of any rent due hereunder will cause Landlord
to incur costs not contemplated by this Lease, the exact amount of such casts being extremely
difficult and impractical to determine. Therefore, if Tenant is delinquent in any monthly
installment of Base Rent, Operating Expenses or other sums

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due and payable hereunder after five (5) days from Tenant’s receipt of notice from Landlord that
such payment is past due, Tenant shall pay to Landlord a late charge equal to five percent (5%)
of such delinquent sum. The parties agree that such late charge represents a fair and reasonable
estimate of the costs that Landlord will incur by reason of such late payment by Tenant. The
provision for such late charge shall be in addition to all of Landlord’s other rights and
remedies hereunder or at law and shall not be construed as a penalty.

     5. Security Deposit. The Security Deposit shall be held by Landlord as security for the
performance of Tenant’s obligations under this Lease. The Security Deposit is not an advance
rental deposit or a measure of Landlord’s damages in case of Tenant’s default. Upon each
occurrence of an Event of Default (hereinafter defined), Landlord may use all or pars of the
Security Deposit to pay delinquent payments due under this Lease, and the cost of any damage,
injury, reasonable expense or liability caused by such Event of Default, without prejudice to any
other remedy provided herein or provided by law. Should Landlord use the Security Deposit to cure
an Event of Default, Tenant shall pay Landlord on demand the amount that will restore the
Security Deposit to its original amount. The Security Deposit shall be returned, at the end of
the Lease Term or earlier termination thereof, to the Tenant along with simple interest at the
rate of prevailing savings account rates on a per annum basis. The Security Deposit shall be
returned to Tenant when Tenant’s obligations under this Lease have been completely fulfilled.
Landlord shall be released from any obligation with respect to the Security Deposit upon transfer
of this Lease, the Security Deposit and the Premises to a person or entity assuming Landlord’s
obligations under this Paragraph 5.

     6. Operating Expense Payments. During each month of the Lease Term, on the same
date that Base Rent is due, Tenant shall pay Landlord an amount equal to 1/12 of the annual
cost, as estimated by Landlord from time to time, of Tenant’s Proportionate Share (hereinafter
defined) of Operating Expenses for the Property and Building. Payments thereof for any
fractional calendar month shall be prorated.

          (a) The term “Operating Expenses” means all reasonable costs and expenses incurred
by Landlord with respect to the ownership, maintenance, and operation of the Property and the
Building including, but not limited to costs of: Common Area utilities, including water charges
attributable to the Common Areas as well as the Premises; maintenance, repair and replacement of
all portions of the paving and parking areas, roads, roofs, roof membrane, flashings, gutters,
downspouts, roof drains, skylights, waterproofing, alleys and driveways, electrical, lighting,
windows, plumbing, landscaping, signage and utility and safety systems; maintenance of exterior
areas such as mowing, snow removal, and painting; the cost of maintaining and repairing utility
lines, fire sprinklers, fire protection systems, and mechanical and building systems serving the
Building; amounts paid to contractors and subcontractors for work or services performed in
connection with any of the foregoing; charges or assessments of any association to which the
Building is subject; reasonable fees payable to tax consultants and attorneys for consultation
and contesting taxes; environmental insurance or environmental management fees; the cost of any
insurance deductibles for insurance required to be maintained by Landlord hereunder; property
management fees payable to a property management company devoted directly to
management of the Building, not to exceed five percent (5%) of total rents, including Operating
Expenses, collected from tenants or occupants of the Building, including any affiliate of
Landlord, if there is no property manager, an administration fee of ten percent (10%) of
Operating Expenses payable to Landlord; security services, if any; sweeping and trash removal;
and additions or alterations made by Landlord to the Building in order to comply with

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Legal Requirements, which first become effective after the Commencement Date of the Lease
(other than those expressly required herein to be made by Tenant), provided that the cost of such
additions or alterations that are required to be capitalized for federal income tax purposes shall
be amortized on a straight line basis over a period equal to the lesser of the useful life thereof
for federal income tax purposes or ten (10) years and included in Operating. Expenses only to the
extent of the amortized amount for the respective calendar year. In addition, Operating Expenses
shall include (i) Taxes (hereinafter defined) for each calendar year during the Lease Term, and
(ii) the cost of insurance (hereinafter defined) maintained by Landlord for the Building for each
calendar year during the Lease Term. In 2002, the parking lot on the Property and servicing the
Premises will be repaired by the Landlord. Tenant’s Proportionate Share of such parking lot repair
will be capped at $0.75 per square foot (i.e. $11,250.00). Additionally, notwithstanding the
provisions herein, Tenant’s actual share of Operating Expenses for the following items included
within Operating Expenses that are subject to Landlord’s control shall not increase by more than
four percent (4%) of such costs in the preceding year: sprinkler alarm monitoring contract,
sprinkler inspection, exterior painting, lot cleaning, landscaping contract, exterior window
washing, and extermination,

          (b) Notwithstanding the foregoing, Operating Expenses do not include (i) costs, expenses,
depreciation or amortization for capital repairs and capital replacements required to be made by
Landlord under Paragraph 10 of this Lease; (ii) debt service under mortgages or ground rent
under ground leases (including, but not limited to, any interest on and amortization of any debt or
any costs of financing, refinancing or constructing the Building or Project); (iii) costs of
restoration to the extent of net insurance proceeds received by Landlord with respect thereto; (iv)
leasing commissions or the costs of renovating, altering or adding space for tenants; (v) any
expenses, costs (including, but not limited to costs incurred for alterations, additions or
improvements) or legal fees incurred in connection with any particular tenant; (vi) costs of
repairs and replacements occasioned by casualty or condemnation and payable by insurance proceeds;
(vii) any cost that is reimbursed to Landlord by insurance carriers, or is separately charged to
and payable by tenants; (viii) all ownership costs not allocable to actual management,
repair, maintenance or operation of the Building, including, without limitation, advertising and
other direct expenses of procuring tenants, including lease concessions; (ix) interest and
penalties for late payment of Taxes; (x) wages, salaries and benefits of employees over the rank of
property manager; (xi) costs of repairs caused by the negligence of another tenant, Landlord, or
Landlord’s employees, officers, agents or contractors; and (xii) costs incurred due to violation by
Landlord of the terms or conditions of this Lease or violation by any tenant of its lease; and
(xiii) costs incurred by Landlord during calendar year 2001 related to the repair,
replacement or maintenance of the cement bridge located on the Property. The cost of any repairs or
replacements for the Building and’ Property which are classified as capital improvements under
generally accepted accounting principles (and which are permitted as an Operating Expense
hereunder) shall be amortized over the lesser of the useful life of the improvement or ten (10)
years and included in Operating Expenses only to the extent of the amortized amount for the
respective calendar year.

          (c) If Tenant’s total payments of Operating Expenses for any year are less than Tenant’s
Proportionate Share of actual Operating Expenses for such year, then Tenant shall pay the
difference to Landlord within thirty (30) days after demand, and if more, then Landlord shall
retain such excess and credit it against Tenant’s next payments. At the end of the Lease Term, any
credit shall be refunded directly to Tenant. Landlord shall provide to Tenant within one hundred
twenty (120) days after the end of each lease year, a statement of the actual

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Operating Expenses for such period, showing Tenant’s Proportionate Share (as defined herein)
of such costs.

               Tenant shall have the right to examine, copy and audit Landlord’s books and records
establishing Operating Expenses for any Operating Year for a period of one (1) year following the
date that Tenant receives the statement of Operating Expenses for such Operating Year from
Landlord. Tenant shall give Landlord not les than thirty (30) days prior notice of its intention to
examine and audit such books and records, and such examination and audit shall take place at such
place as Landlord routinely maintains such books and records, unless Landlord elects to have such
examination and audit take place in another location designated by Landlord in the city and state
in which the Property is located. All costs of the examination and audit shall be borne by Tenant;
provided, however, in the event the audit reveals that Landlord overcharged Tenant by 10% or
greater, Landlord shall reimburse Tenant for the cost of its audit. If, pursuant to the audit, the
payments made for such Operating Year by Tenant exceed Tenant’s required payment on account thereof
for such Operating Year, Landlord shall credit the amount of overpayment against subsequent
obligations of Tenant with respect to Operating Expenses (or promptly refund such overpayment if
the Term of this Lease has ended and Tenant has no further obligation to Landlord); but, if the
payments made by Tenant for such Operating Year are less than Tenant’s required payment as
established by the examination and audit, Tenant shall pay the deficiency to Landlord within thirty
(30) days after conclusion of the examination and audit, and the obligation to make such payment
for such Operating Year shall survive expiration of the Term. If Tenant does not elect to exercise
its right to examine and audit Landlord’s books and records for any Operating Year within the time
period provided for by this .paragraph, Tenant shall have no further right to challenge
Landlord’s statement of Operating Expenses.

               For purposes of calculating Tenant’s Proportionate Share of Operating Expenses, an Operating
Year shall mean a calendar year except the first year, which shall begin on the Commencement Date,
and the last year, which shall end on the expiration of this Lease.

          (d) With respect to Operating Expenses which Landlord allocates to the Building, Tenant’s
“Proportionate Share” shall be the percentage set forth on the first page of this Lease as Tenant’s
Proportionate Share of the Building as adjusted by Landlord in the future for changes in the
physical size of the Premises or the Building. Tenant’s Proportionate Share shall be determined by
dividing the square footage of the Premises by the total square footage of the Building. Landlord
may equitably increase Tenant’s Proportionate Share for any item of expense or cost reimbursable by
Tenant that relates to a repair, replacement, or service that benefits only the Premises. The
estimated Operating Expenses for the Premises set forth on the second page of this Lease are only
estimates, and Landlord makes no guaranty or warranty that such estimates will be accurate.

     7. Utilities. Tenant shall pay on a timely basis to the appropriate supplier, all
charges for telephone and other such services, used, rendered and/or supplied upon or in connection
with the Premises for all water, gas, electricity, heat, light, power, telephone, refuse and trash
collection, and other utilities and services used on the Premises, all maintenance charges for
utilities, and any storm sewer charges or other similar charges for utilities
imposed by any governmental entity or utility provider, together with any taxes, penalties,
surcharges or the like pertaining to Tenant’s use of the Premises. If any utility service is
suspended or interrupted for more than five consecutive days after written notice from Tenant due
to the fault of Landlord, its agents, employees or contractors, and such suspension or interruption
materially

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adversely affects Tenant’s use of the Premises, then Tenant’s rental obligations shall be
abated commencing on the sixth day after notice and continuing until service has been restored.

          Landlord
may cause at Tenant’s expense any utilities to be separately metered or
charged directly to Tenant by the provider. Tenant shall pay its share of all charges for jointly
metered utilities based upon consumption. Tenant agrees to limit use of water and sewer for normal
restroom and Tenant’s laboratory use. No interruption or failure of utilities shall result in
termination of this Lease except as otherwise expressly set forth above or the abatement of rent.

     8. Taxes. Landlord shall pay all taxes, assessments and governmental charges
(collectively referred to as “Taxes”) that either (a) accrue against the Property during
the Lease Term if such Taxes are payable in advance, or (b) are assessed against the Property
during the Lease Term if such Taxes are payable in arrears. Taxes shall be included as part of the
Operating Expenses charged to Tenant pursuant to Paragraph 6(a) hereof during each year of
the Lease Term, based upon Landlord’s reasonable estimate of the amount of Taxes, and shall be
subject to reconciliation and adjustment pursuant to Paragraph 6 (a) once the actual
amount of Taxes is known. Landlord may contest by appropriate legal proceedings the amount,
validity, or application of any Taxes or liens thereof and any costs incurred in such contest may
be included as part of Taxes. All capital levies or other taxes assessed or imposed on Landlord
upon the rents payable to Landlord under this Lease and any franchise tax, any excise,
transaction, sales or privilege tax, assessment, levy or charge measured by or based, in whole or
in part, upon such rent from the Property shall be paid by Tenant to Landlord as part of Operating
Expenses, as defined in Paragraph 6(a); provided, however, in no event shall Tenant be liable for
any net income taxes imposed on Landlord unless such net income taxes are in substitution for any
Taxes payable hereunder. If any such tax or excise is levied or assessed directly against Tenant,
then Tenant shall be responsible for and shall pay the same at such times and in such manner as
the taxing authority shall require. Tenant shall be liable for all taxes levied or assessed
against any personal property or fixtures placed in the Premises, whether levied or assessed
against Landlord or Tenant, and if any such taxes are levied or assessed against Landlord or
Landlord’s property and (a) Landlord pays them or (b) the assessed value of Landlord’s property is
increased thereby and Landlord pays the increased taxes, then Tenant shall pay to Landlord as part
of Operating Expenses as defined in Paragraph 6(a). Tenant has the right, but not the
obligation, to appeal any Taxes. Should any appeal by Tenant or Landlord be successful, Tenant
shall benefit by any reduction of Taxes and any applicable Tax billing will be adjusted to reflect
such reduction.

     9. Insurance.

          (a) Landlord shall maintain all risk property insurance covering the full replacement cost of
the Building (excluding foundations), less a commercially reasonable deductible if Landlord so
chooses. Landlord may, but is not obligated to, maintain such other insurance and additional
coverages as it may deem necessary, including, but not limited to, commercial liability insurance,
flood insurance, and rent loss insurance. All such insurance shall be included as part of the
Operating Expenses charged to Tenant pursuant to Paragraph 6(a) hereof. The
Project or Building may be included in a blanket policy (in which case the cost of such insurance
allocable to the Project or Building will be determined by Landlord based upon the insurer’s cost
calculations). Tenant shall also reimburse Landlord for any increased premiums or additional
insurance which Landlord reasonably deems necessary- as a result of Tenants use of the Premises.

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          (b) Effective as of the earlier of: (1) the date Tenant enters or occupies the Premises;
or (2) the Commencement Date, and continuing during the Lease Term, Tenant, at its expense, shall
obtain and maintain in full force the following insurance coverage: (i) all
risk property insurance covering the fall replacement cost of all property and improvements
installed or placed in the Premises by Tenant or for Tenant’s benefit; (ii) worker’s
compensation insurance with no less than the minimum limits required by law;
(iii) employer’s liability insurance with such limits as required by law; and (iv) commercial
liability insurance, with a minimum limit of $1,000,000 per occurrence and a minimum umbrella
limit of $2,000,000, for a total minimum combined general liability and umbrella limit of
$3,000,000 (together with such additional umbrella coverage as Landlord may
reasonably require) for property damage, personal injuries, or deaths of persons occurring in or
about the Premises. Landlord may from time to time require reasonable increases in any such
limits. The commercial liability policies shall name Landlord and Landlord’s Agents as additional
insureds, insure on an occurrence and not a claims-made basis, be issued by insurance companies
which are reasonably acceptable to Landlord, not be cancelable unless thirty (30) days prior
written notice shall have been given to Landlord, contain a hostile fire endorsement or amended
pollution endorsement, and a contractual liability endorsement and provide primary coverage to
Landlord (any policy issued to Landlord providing duplicate or similar coverage shall be deemed
excess over Tenant’s policies). Such certificates, or at Landlord’s option, copies of the policies
evidencing coverage shall be delivered to Landlord by Tenant at least ten (10) days prior to the
Commencement Date and at least fifteen (15) days prior to each renewal of said insurance. If
Tenant fails to comply with the foregoing insurance requirements or to deliver
to Landlord copies of such policies and certificates evidencing the coverage
required herein, Landlord, in addition to any remedy available pursuant to this Lease or
otherwise, may, but shall not be obligated to, obtain such insurance and
Tenant shall pay to Landlord on demand the commercially reasonable premium costs thereof

          (c) The all risk property insurance obtained by Landlord and Tenant shall include a waiver of
subrogation by the insurers and all rights based upon an assignment from its
insured, against Landlord or Tenant, their officers, directors, employees, managers, agents,
invitees and contractors, in connection with any loss or damage thereby insured against. The
failure of a party to insure its property shall not void this waiver. Notwithstanding anything to
the contrary contained herein, Tenant hereby waives any claims against Landlord, and its officers,
directors, employees, managers, agents, invitees and contractors for any loss or
damage insured against or required to be insured against hereunder (whether by
self insurance or otherwise), regardless of whether the negligence or fault of Landlord caused such
loss, however, Tenant’s waiver shall not apply to any deductible amounts less than $5,000.00
maintained by Tenant under its insurance. Landlord hereby waives any claims against Tenant, and its
officers, directors, employees, managers, agents, invitees and contractors for any loss or damage
insured against or required to be insured against hereunder to the extent
insurance proceeds are received therefore, regardless of whether the negligence or fault of Tenant
caused such loss; however, Landlord’s waiver shall not apply to any deductible amounts maintained.
by Landlord under its insurance.

     10. Landlord’s Repairs. This Lease is intended to be a net lease; accordingly,
Landlord’s maintenance and repair obligations are limited to the replacement of the Building’s
roof and maintenance of the foundation piers and structural members of the Building and Premises
exterior walls and other specific Landlord repair or maintenance provisions in this

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Lease, uninsured losses and damages caused by Tenant, its agents, employees and
contractors excluded. The term “wails” as used in this Paragraph 10 shall not include
windows, glass or plate glass, doors or overhead doors, special store fronts, dock bumpers, dock
plates or levelers, or office entries, all of which shall be maintained by Tenant.
Tenant shall promptly give Landlord written nonce of any repair required by Landlord pursuant to
this Paragraph 10. after which Landlord shall have a reasonable opportunity (not to exceed
30 days, which provided Landlord has commenced the repair within such 30-day period and
has thereafter diligently pursued such repair, shall be extended for a reasonable period of time
in the event the nature of such repair cannot be completed within such 30-day period) to repair
such item. Landlord shall also maintain in good repair and condition the parking areas
and other Common Areas of the Building and Property, including, but not limited to driveways,
alleys, landscape and grounds surrounding the Premises, the cost of such maintenance, repair and
replacement to be paid in accordance with Paragraph 6 hereof.

     11. Tenant’s Repairs.

          (a) Subject to Landlord’s obligation in Paragraph 10. Tenant, at its sole expense,
shall repair, replace and maintain in good condition all interior and non-structural portions of
the Premises and all areas, improvements and systems exclusively serving the Premises including,
without limitation, dock, dock equipment and loading areas, dock doors, plumbing, water, and sewer
lines up to points of common connection, entries, doors, ceilings, windows, interior walls, and the
interior side of demising walls, and heating, ventilation and air conditioning systems, and other
building and mechanical systems serving the Premises. Such repair and replacements include capital
expenditures and repairs whose benefit may extend beyond the Term. 1viaintenance and repair of the
heating, ventilation and air conditioning systems and other mechanical and building systems serving
the Premises, shall be at Tenant’s expense pursuant to maintenance service contracts entered into
by Tenant. In the event Tenant fails to obtain such service contracts, Landlord, at Landlord’s
written election (but at Tenant’s expense) may obtain such service contracts. The scope of services
and contractors under such maintenance contacts shall be subject to Landlord’s prior written
approval, which approval shall not be unreasonably withheld, delayed, or conditioned.

          (b) Tenant shall, at its sole expense, maintain the Premises’ fixtures and appurtenances
including, without limitation, the repair and replacement of appliances and equipment installed
specifically for Tenant such as refrigerators, disposals, trash compactors and computer room air
conditioning. Tenant shall take good care of the Premises, fixtures and appurtenances, and shall
suffer no waste or injury to the Premises.

          (c) Intentionally deleted.

          (d) Landlord shall, at Tenant’s expense, make all repairs to the Premises, fixtures and
appurtenances necessitated by the fault of the Tenant, its agents, employees or
invitees. At or before the end of the Lease Term, any and all damage to the Premises or the
Building, caused by the installation or removal of furniture or other property by Tenant, shall be
repaired by Landlord at Tenant’s expense. The cost of any repairs to be made by Landlord under
this Lease resulting from the fault or negligence of Tenant shall include a reasonable
fee for Landlord’s supervision of such repairs not to exceed ten percent (10%) of the cost of such
repair. Notwithstanding anything herein to the contrary, Landlord shall, at Landlord’s sole cost
and

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expense, make all repairs to the Premises, fixtures and appurtenances necessitated by the fault
of Landlord, its agents, employees, invitees or other tenants of the Building.

          (e) Upon the termination of the Lease, Tenant will leave the Premises broom swept and
clean, and at least in the same good condition (condemnation, casualty and reasonable wear and
tear and repairs which are specifically Landlord’s responsibility as provided in this Lease
excepted) as when the Lease Term began. Tenant will remove all of its property and possessions
from the Premises except to the extent provided by Article 12.

          (f) In the event that any repair or maintenance obligation required to be performed by
Tenant hereunder may affect the structural integrity of the Building (e.g., roof, foundation,
structural members of the exterior walls), prior to commencing any such repair, Tenant shall
provide Landlord with written notice of the necessary repair or maintenance and a brief summary
of the structural component or components of the Building that may be affected by such repair or
maintenance. Within ten (10) business days after Landlord’s receipt of Tenant’s written notice,
Landlord shall have the right, but not the obligation, to elect to cause such repair or
maintenance to be performed by Landlord, or a contractor selected and engaged by Landlord, but at
Tenant’s sole cost and expense, which cost shall not exceed that which Tenant would have incurred
had tenant performed such maintenance or repair to the same quality as that performed by
Landlord. The foregoing sentence is not intended to obligate Tenant to pay for repairs or
maintenance to those structural items which are Landlord’s responsibility pursuant to
Paragraph 10 above or elsewhere in this Lease, but shall only require Tenant to pay for
the repair and maintenance to such structural components to the extent such repair or maintenance
is necessitated due to the performance of Tenant’s repair and maintenance
obligations pursuant to this Paragraph 11.

          (g) Within the fifteen (15) day period prior to the expiration or termination of this Lease,
Tenant shall deliver to Landlord a certificate from an engineer reasonably
acceptable to Landlord certifying that the hot water equipment and the HVAC system are then in
good repair and working order. If Tenant fails to perform any repair or replacement for which it
is responsible, Landlord may, after ten (10) days advance written notice to Tenant, perform such
work and be reimbursed for the reasonable cost thereof by Tenant within ten (10) days after
demand therefore. Subject to Paragraphs 9 and 15, Tenant shall bear the full cost of any
repair or replacement to any part of the Building or Project that results from damage caused by
Tenant, its agents, contractors, or invitees and any repair that benefits only the Premises.

     12. Tenant-Made Alterations and Trade Fixtures.

          (a) Tenant shall have the right to perform any alterations, additions, or improvements to
the Premises which do not impact the structure of the Building or its mechanical, electrical or
plumbing systems and costing less than $10,000.00 in any one instance, without Landlord’s
prior consent, but only after written notice to Landlord. Any other alterations made by or behalf
of Tenant (“Tenant-Made Alterations”), shall be subject to Landlord’s prior written
consent, which shall not be unreasonably withheld conditioned or delayed. Tenant shall cause, at
its expense, all alterations, including any alterations made without Landlord’s consent, to
comply with insurance requirements and with Legal Requirements and shall
construct at its expense any alteration or modification required by Legal
Requirements as a result of any Tenant-Made Alterations.

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          (b) All Tenant-Made Alterations shall be constructed in a good and workmanlike
manner by Creaney & Smith Construction, LLC and only good grades of materials shall be used. All
plans and specifications for any Tenant-Made Alterations shall be submitted to Landlord for its
approval, which approval shall not be unreasonably withheld, conditioned or delayed. Landlord may
monitor cons- auction of the Tenant-Made Alterations. Landlord’s right to review plans and
specifications and to monitor construction shall be solely for its own benefit, and Landlord shall
have no duty to see that such plans and specifications or construction comply with applicable
laws, codes, rules and revelations.

          (c) If Landlord permits Tenant to engage a contractor other than Creaney and Smith
Construction, Tenant shall provide Landlord with the identities and mailing addresses of all
persons performing work or supplying materials. If Creaney & Smith Construction does
not serve as contractor, then prior to beginning such construction Landlord may post on and about
the Premises notices of non-responsibility pursuant to applicable law and Tenant shall furnish
security or make other arrangements satisfactory to Landlord to assure payment for the completion
of all work free and clear of liens and shall provide certificates of insurance for worker’s
compensation and other coverage in amounts and from an insurance company satisfactory to Landlord
protecting Landlord against liability for personal injury or property damage during
construction. Upon completion of any Tenant-Made Alterations, Tenant shall deliver to Landlord
sworn statements setting forth the names of all contractors and subcontractors who did work on the
Tenant-Made alterations and final lien waivers from all such contractors and subcontractors.

          (d) Upon surrender of the Premises, all Tenant-Made Alterations and any leasehold improvements
constructed by Landlord or Tenant shall remain on the Premises as Landlord’s property, except to
the extent Landlord’s requires removal at Tenant’s expense of any such items or Landlord and Tenant
have otherwise agreed in writing in connection with Landlord’s consent to any Tenant-Made
Alterations. Prior to the expiration or termination of this Lease, Tenant, at its sole expense,
shall repair any and all damage caused by such removal.

          (e) Tenant, at its own cost and expense and without Landlord’s prior approval, may erect such
shelves, bins, machinery and trade fixtures (collectively “Trade Fixtures”) in the
ordinary course of its business provided that such items do not alter the basic character of the
Premises, do not overload or damage the Premises, and may be removed without injury to the
Premises, and the construction, erection, and installation. thereof complies with all Legal
Requirements and with Landlord’s requirements set forth above. Prior to the expiration or
termination of this Lease, Tenant, at its sole expense, shall remove its Trade Fixtures and shall
repair any and all damage caused by such removal.

     13. Signs. All signs, decorations, advertising media, blinds, draperies and other
window treatment or bars or other security installations visible from outside the Premises shall
be subject to prior written approval by both Landlord and any applicable governmental
jurisdictional approval, including Park Covenants, and shall conform in all respects to Landlord’s
requirements. Tenant shall not make any changes to the exterior of the Premises, install any
exterior lights, decorations, balloons, flags, pennants, banners, or painting, or erect or install
any signs, windows or door lettering, placards, decorations, or advertising media of any type
which can be viewed from the exterior of the Premises, without Landlord’s
prior written consent. Landlord shall not be required to notify Tenant of whether it
consents to any sign until it (a) has received detailed, to-scale drawings thereof specifying
design, material composition, color

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scheme, and method of installation, and (b) has had a reasonable opportunity (not to exceed
ten days) to review them. Upon surrender or vacation of the Premises, Tenant shall have removed
all signs and repair, paint, and/or replace the building facia surface to which its signs are
attached. Tenant shall obtain all applicable governmental permits and approvals for sign and
exterior treatments. Landlord’s consent hereunder shall not be unreasonably withheld,
conditioned or delayed.

     14. Parking. Tenant shall be entitled to park in common with other tenants of the
Project in those areas designated for nonreserved parking. Tenant shall have access to sixty (60)
parking spaces. :Landlord may designate the location on the Property of such parking spaces among
Tenant and other tenants in the Project at Landlord’s sole discretion. Landlord shall not be
responsible for enforcing Tenant’s parking rights against any third parties.

     15. Restoration.

          (a) If at any time during the Lease Term the Premises are damaged by a fire or other
casualty, Landlord shall notify Tenant within thirty (30) days after such damage as to the amount
of time Landlord reasonably estimates it will take to restore the Premises. If the restoration
time is estimated to exceed 120 days from the date of Landlord’s Notice, Tenant may elect to
terminate this Lease upon notice to the other party given no later than thirty (30) days after
Landlord’s Notice. If Tenant does not elect to terminate this Lease or if Landlord estimates that
restoration will take 120 days or less, then, subject to receipt of sufficient insurance
proceeds, Landlord shall promptly restore the Premises, excluding the improvements installed by
Tenant or by Landlord and paid by Tenant, subject to delays arising from the collection of
insurance proceeds or from Force Majeure events. Tenant, at Tenant’s expense, shall promptly
perform, subject to delays arising from the collection of insurance proceeds, or from Force
Majeure events, all repairs or restoration to the Premises not required to be done by Landlord
(provided, however, if such damage or destruction is caused by the act(s) or omission(s) of
Landlord, its employees, agents, or contractors, Landlord shall pay to Tenant with respect to any
damage to the Premises the amount of the commercially reasonable deductible under
Tenant’s insurance policy, not to exceed Five Thousand Dollars ($5,000.00), within ten (10) days
after presentment of Tenant’s invoice) and shall promptly re-enter the Premises and commence
doing business in accordance with this Lease. Notwithstanding the foregoing, either party may
terminate this Lease upon thirty (30) days written notice to the other if the Premises are
damaged during the last year of the Lease Term and Landlord reasonably estimates that
it will take more than thirty (30) days to repair such damage.

          (b) If the Premises are destroyed or substantially damaged by any peril not covered by the
insurance maintained by Landlord or any Landlord’s mortgagee requires that insurance proceeds be
applied to the indebtedness secured by its mortgage (defined hereinafter), Landlord may terminate
this Lease by delivering written notice of termination to Tenant within thirty (30) days after
such destruction or damage or such requirement is made known by any such Landlord’s mortgagee, as
applicable, whereupon all rights and obligations hereunder shall cease and terminate, except for
any liabilities of Tenant which accrued prior to Lease termination.

          (c) If such damage or destruction is caused by the act(s) or omission(s) of Tenant, its
employees, agents or contractors, Tenant shall pay to Landlord with respect to any

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damage to the Premises the amount of the commercially reasonable deductible under Landlord ‘s
insurance policy within ten (10) days after presentment of Landlord’s invoice.

          (d) Base Rent and Operating Expenses shall be abated for the period of repair and restoration
in the proportion which the area of the Premises, if any, which is not usable by Tenant bears to
the total area of the Premises. Such abatement shall be the sole remedy of Tenant, and except as
provided herein, Tenant waives any right to terminate the Lease by reason of damage or casualty
loss.

     16. Condemnation. If the entire Building or Premises should be taken for any public
or quasi-public use under governmental law, ordinance, or regulation or by right of eminent domain
or by private purchase in lieu thereof (a “Total Taking”), then this Lease shall
automatically terminate as. of the date of such Total Taking and the Base Rent and
Operating Expenses due hereunder shall be apportioned as of such date. If any part of the Premises
or the Building should be taken for any public or quasi-public use under governmental law,
ordinance, or regulation, or by right of eminent domain, or by private purchase in lieu thereof (a
“Partial Taking"), and the Partial Taking would prevent or materially
interfere with Tenant’s use of the Premises, then Tenant shall have the right to terminate this
Lease and the Base Rent and Operating Expenses due hereunder shall be apportioned as of such date.
If such Partial Taking, in Landlord’s judgment, would materially interfere with or impair its
ownership or operation of the Building or as a result of such Partial Taking, Landlord’s mortgagee
accelerates the payment of any indebtedness securing all or a portion of the Building, then upon
written notice by Landlord this Lease shall terminate, and Base Rent and Operating Expenses shall
be apportioned as of said date. If part of the Premises shall be Taken, and this Lease is not
terminated as provided above, the Base Rent payable hereunder during the unexpired Lease Term
shall be reduced to the equivalent loss of area and Landlord shall restore the Premises to its
condition prior to the Partial Taking; provided, however, Landlord’s obligation to so restore the
Premises shall be limited to the award Landlord receives in respect of such Partial Taking that is
not required to be applied to the indebtedness secured by a mortgage. In the event of any such
Taking, either Partial or Total, Landlord shall be entitled to receive the entire price or award
from any such Taking without any payment to Tenant, and Tenant hereby assigns to Landlord Tenant’s
interest, if any, in such award. Tenant shall have the right to make a separate claim against the
condemning authority (but not Landlord) for such compensation as may be separately awarded or
recoverable by Tenant for moving expenses and damage to Tenant’s Trade Fixtures and leasehold
value, if a separate award for such items is made to Tenant.

     17. Assignment and Subletting.

          (a) Without Landlord’s prior written consent (such consent shall not be unreasonably withheld,
conditioned or delayed) Tenant shall not assign this Lease or sublease the Premises or any part
thereof or mortgage, pledge, or hypothecate its leasehold interest or grant any concession or
license within the Premises (each being a “Transfer”) and any attempt to do any of the
foregoing shall be void and of no effect. For purposes of this Paragraph 17, a transfer of
the ownership interests controlling Tenant shall be deemed a Transfer of this Lease unless such
ownership interests are publicly traded. Notwithstanding the above, Tenant may assign or sublet the
Premises, or any part thereof, to a successor entity as a result of merger, consolidation or sale
of all or any portion of Tenant‘s assets or any entity controlling Tenant, controlled by
Tenant or under common control with Tenant (a “Tenant Affiliate”), without the prior
written consent of Landlord; provided, however, Tenant shall provide at least ten (10) days written

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notice prior to assigning this Lease to, or entering into any sublease with, any Tenant
Affiliate. Tenant shall reimburse Landlord for all of Landlord ‘s reasonable out-of-pocket
expenses in connection with any Transfer, other than to a Tenant Affiliate. Upon
Landlord’s receipt of Tenant’s written notice of a desire to assign or sublet the Premises. or
any part thereof (other than to a Tenant Affiliate), Landlord may, by giving written notice to
Tenant within thirty (30) days after receipt of Tenant’s notice, terminate this Lease, or
partially terminate this Lease with respect to a partial subletting of the Premises, with respect
to the space described in Tenant’s notice, as of the date specified in Tenant’s notice for the
commencement of the proposed assignment or sublease (at which time Tenant shall be relieved from
further obligation under this Lease with respect to that portion of the Premises so terminated,
but shall remain liable for all Base Rent, Operating Expenses and all other amounts accrued
hereunder to the date of such termination). Notwithstanding anything herein to the contrary,
Landlord hereby consents to any subletting by Tenant, for the period from the date hereof until
the Commencement Date of this Lease, of space in the Building currently occupied by Savanet.

          (b) Notwithstanding any Transfer, Tenant and any guarantor or surety of Tenant’s
obligations under this Lease shall at all times remain fully responsible and liable
for the payment of the rent and for compliance with all of Tenant’s other obligations under this
Lease (regardless of whether Landlord’s approval has been obtained for any such Transfer). In the
event that the rent due and payable by a sublessee or assignee (or a combination of the rental
payable under such sublease or assignment plus any bonus or other consideration therefore or
incident thereto) exceeds the rental payable under this Lease, then Tenant shall be bound and
obligated to pay Landlord as additional rent hereunder one-half of all such excess rental and
other excess consideration within ten (10) days following receipt thereof by Tenant.

          (c) If this Lease is assigned or if the Premises is subleased (whether in whole or in
part) or in the event of the mortgage, pledge, or hypothecation of Tenant’s leasehold
interest or grant of any concession or license within the Premises or if the Premises be occupied
in whole or in part by anyone other than Tenant, then upon a default by Tenant hereunder Landlord
may collect rent from the assignee, sublessee, mortgagee, pledgee, party to whom the leasehold
interest was hypothecated, concessionee or licensee or other occupant and, except to the extent
set forth in the preceding subparagraph, apply the amount collected to the next rent payable
hereunder; and all such rentals collected by Tenant shall be held in trust for Landlord and
immediately forwarded to Landlord. No such transaction or collection of rent or application
thereof by Landlord, however, shall be deemed a waiver of these provisions or a release of Tenant
from the further performance by Tenant of its covenants, duties, or obligations hereunder. Any
approved assignment or sublease shall be expressly subject to the terms and conditions of this
Lease. Landlord’s consent to any Transfer shall not waive Landlord’s rights as to any subsequent
Transfers.

     18. Indemnification.

          (a) Tenant’s Indemnity. Tenant agrees to indemnify and save harmless Landlord and
Landlord’s partners, members, shareholders, officers, directors, managers, employees, agents and
contractors from and against all claims, losses, cost, damages, liability or expenses of whatever
nature arising: (i) from any accident, injury or damage whatsoever to any person, or to the
property of any person, occurring in the Premises; (ii) from any accident, injury. or
damage whatsoever to any person, or to the property of any person, occurring outside of the
Premises but on or about the Project, where such accident, damage or injury results or is claimed

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to have resulted from any act or omission on the part of Tenant or Tenant’s agents,
employees, contractors, invitees or sublessees; or (iii) the use or occupancy of the Premises or
of any business conducted therein or any thing or work whatsoever done or any condition created
(other than by Landlord) in or about the Premises, and, in any case, occurring after the
Commencement Date (or such earlier date as of which Tenant takes possession of the Premises)
until the expiration of the Term of this Lease and thereafter so long as Tenant is in occupancy
of any part of the Premises.

          (b) Landlord’s Indemnity. Landlord agrees to indemnify and save harmless Tenant and
Tenant’s partners, members, shareholders, officers, directors, managers, employees, agents and
contractors from and against all claims, loss, cost, damage or expense of whatever nature arising
from any accident, injury or damage, to the extent that such accident, damage or injury results
from a grossly negligent or willful and wrongful act or omission on the part of
Landlord or Landlord’s agents, contractors or employees and occurring after the date of this Lease
until the end of the Term of this Lease, except to the extent that such claims arise from the
negligent acts or omissions of Tenant or its agents, contractors or employees.

     19. Inspection and Access. Landlord and its agents, representatives, and contractors
may enter the Premises at any reasonable time to inspect the Premises and to make such repairs as
may be required or permitted pursuant to this Lease and for any other business purpose with
twenty-four hours notice and during a business day unless entry is necessitated by an emergency
situation. In the event the date and time Landlord requests is not convenient to Tenant, the
parties shall mutually agree on an alternate date and time. Landlord agrees, except in case of
emergency, not to enter the lab area without a Tenant representative or without prior approval from
the Tenant. Landlord and Landlord’s representatives may enter the Premises during business hours
for the purpose of showing the Premises to prospective purchasers or, during the last year of the
Lease Term, to prospective tenants. During the last three (3) months of the Lease Term, Landlord
may erect a suitable sign on the Premises stating the Premises are available to let or, at any
time, that the Building or Project is available for sale. Landlord may grant easements, make public
dedications, designate common areas and create restrictions on or about the Premises, provided that
no such easement, dedication, designation or restriction shall reduce the amount of parking
available to Tenant or materially interfere with Tenant’s access to or use or occupancy of the
Premises. At Landlord’s request, Tenant shall execute such instruments as may be necessary for such
easements, dedications or restrictions. Any cost associated with Tenant executing such documents
shall be at the Landlord’s sole cost and expense.

     20. Quiet Environment. If Tenant shall perform all of the covenants and agreements
herein required to be performed by Tenant, Tenant shall, subject to the terms of this Lease, at
all times during the Lease Term, have peaceful and quiet enjoyment of the Premises against any
person claiming by, through or under Landlord, but not otherwise.

     21. Surrender. No act by Landlord shall be an acceptance of a surrender of the
Premises, and no agreement to accept a surrender of the Premises shall be valid unless it is in
writing and signed by Landlord. Upon termination of the Lease Term or earlier termination of
Tenant’s right of possession, Tenant shall surrender the Premises to Landlord in the same
condition as received, broom clean, ordinary wear and tear and casualty loss and condemnation
covered by Paragraphs 15 and 16 excepted. Any Trade Fixtures, Tenant-Made Alterations and
property not so removed by Tenant as permitted or required herein shall be deemed abandoned

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and may be stored, removed, and disposed of by Landlord at Tenant’s expense, and Tenant waives all
claims against Landlord for any damages resulting from Landlord’s retention and disposition of
such property. All obligations of Tenant hereunder not fully performed as of the termination of
the Lease Term shall survive the termination of the Lease Term, including without limitation.
indemnity obligations, payment obligations with respect to Operating Expenses and all obligations
concerning the condition and repair of the Premises.

     22. Holding Over. If Tenant fails to vacate the Premises after the termination of the
Lease Term, Tenant shall be a tenant at will or at sufferance, and Tenant shall pay, in addition
to any other rent o other sums then due Landlord, a daily base rental equal to l50% of the Base
Rent in effect on the expiration or termination date, even if Landlord consents to such holdover
(which consent shall be effective only if in writing). Tenant shall also be liable for all
Operating Expenses incurred during such holdover period. In addition, Tenant shall be liable for
all damages (including reasonable attorneys’ fees and expenses) of whatever type incurred by
Landlord as a result of such holding over. No holding over by Tenant, whether with or without
consent of Landlord, shall operate to extend this Lease except as otherwise expressly provided,
and this Paragraph 22 shall not be construed as consent for Tenant to retain possession of
the Premises.

     23. Events of Default. Each of the following events shall be an event of default
(“Event of Default”) by Tenant under this Lease:

               (i) Tenant shall fail to pay any installment of Base Rent or any other payment required
herein when due, and such failure shall continue for a period of five (5) days after written
notice to Tenant from Landlord that such payment was past due.

               (ii) Tenant or any guarantor or surety of Tenant’s obligations hereunder shall (A) make a
general assignment for the benefit of creditors; (B) commence any case, proceeding or other action
seeking to have an order for relief entered on its behalf as a debtor or to adjudicate it a
bankrupt or insolvent, or seeking reorganization, arrangement, adjustment, liquidation, dissolution
or composition of it or its debts or seeking appointment of a receiver, trustee, custodian or other
similar official for it or for all or of any substantial part of its property (collectively
a “proceeding for relief”); (C) become the subject of any proceeding for relief which is
not dismissed within sixty (60) days of its filing or entry; or (D) die or suffer a legal
disability (if Tenant, guarantor, or surety is an individual) or be dissolved or otherwise fail to
maintain its legal existence (if Tenant, guarantor or surety is a corporation, partnership or other
entity).

               (iii) Any insurance required to be maintained by Tenant pursuant to this Lease shall be
cancelled or terminated or shall expire or shall be reduced or materially changed, except, in each
case, as permitted in this Lease. Tenant shall twenty (20) days after receipt of notice from
Landlord to correct such default.

               (iv) Tenant shall fail to occupy or shall vacate the Premises or shall fail to continuously
operate its business at the Premises for the permitted use set forth herein; provided, however,
Tenant shall not be deemed in default under this Section 23(iv) so long as Tenant continues to pay
the Base Rent payable hereunder and continues to otherwise perform all of its obligations under
this Lease.

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               (v) Tenant shall attempt or there shall occur any assignment, subleasing or other
transfer of Tenant’s interest in or with respect to this Lease except as otherwise permitted in
this Lease.

               (vi) Tenant shall fail to discharge or bond over any lien placed upon the Premises
in violation of this Lease within thirty (30) days after any such lien or encumbrance is filed
against the Premises.

               (vii) Tenant shall fail to execute any instrument of subordination or attornment or any
estoppel certificate within the time periods set forth in Paragraphs 27 and 29
respectively following Landlord’s request for the same.

               (viii) Tenant shall breach any of the requirements of Paragraph 30 and such failure
shall continue for a period of twenty (20) days or, more after Tenant’s receipt of
written notice from Landlord.

               (ix) Tenant shall fail to comply with any provision of this Lease other than those
specifically referred to in this Paragraph 23, and except as otherwise expressly provided
herein, such default shall continue for more than thirty (30) days ,(provided that if such cure
shall require longer than thirty days to complete, such period shall be extended in order to
complete such cure so long as Tenant has commenced such cure within said 30-day period and is
diligently and continuously pursuing such cure) after Tenant has received written notice of such
default from Landlord.

     24. Landlord’s Remedies.

          (a) Upon each occurrence of an Event of Default and so long as such Event of Default shall be
continuing beyond applicable cure periods, Landlord may at any time thereafter at its election:
terminate this Lease or Tenant’s right of possession, (but Tenant shall remain liable as
hereinafter provided) and/or pursue any other remedies at law or in equity. Upon the termination
of this Lease or termination of Tenant’s right of possession, it shall be lawful for Landlord,
with formal and legally sufficient demand or notice, to re-enter the Premises by summary
dispossession proceedings or any other action or proceeding authorized by law and to remove Tenant
and all persons and property therefrom. If Landlord so re-enters the Premises, Landlord shall have
the right to keep in place and use, or remove and store, all of the furniture, fixtures and
equipment at the Premises.

          (b) If Landlord terminates this Lease, Landlord may recover from Tenant the sum of: all Base
Rent and all other amounts accrued hereunder to the date of such termination; the cost of
reletting the whole or any part of the Premises, including without limitation brokerage fees
and/or leasing commissions incurred by Landlord, and reasonable costs of removing and storing
Tenant’s or any other occupant’s property, repairing, altering, remodeling, or otherwise putting
the Premises into condition acceptable to a new tenant or tenants, and all reasonable expenses
incurred by Landlord in pursuing its remedies, including reasonable attorneys’ fees and court
costs; and an amount in cash equal to the then present value of the Base Rent and other amounts
payable by Tenant under this Lease as would otherwise have been required to be paid by Tenant to
Landlord during the period following the termination of this Lease measured from the
date of such termination to the expiration date stated in this Lease. Such present value shall

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be calculated at a discount rate equal to the 90-day U.S. Treasury bill rate at the date of
such termination.

          (c) If Landlord terminates Tenant’s right of possession (but not this Lease), Landlord shall
use commercially reasonable efforts to relet the Premises for the account of Tenant for such rent
and upon such teens as shall be reasonably satisfactory to Landlord without thereby releasing
Tenant from any liability hereunder and without demand or notice of any kind to Tenant. For the
purpose of such reletting Landlord is authorized to make any repairs, changes, alterations or
additions to the Premises as Landlord deems reasonably necessary or desirable. If the Premises are
not relet, then Tenant shall pay to Landlord as damages a sum equal to the amount of the rental
reserved in this Lease for such period or periods, plus the cost of recovering possession of the
Premises (including reasonable attorneys’ fees and costs of suit), the unpaid Base Rent and other
amounts accrued hereunder at the time of repossession, and the costs incurred in any attempt by
Landlord to relet the Premises. If the Premises are relet and a sufficient sum shall not be
realized from such releasing after first deducting therefrom, for retention by Landlord, the unpaid
Base Rent and other amounts accrued hereunder at the time of reletting, the cost of
recovering possession (including reasonable attorneys’ fees and costs of suit), all of the costs
and expense of repairs, changes, alterations and additions, the expense of such reletting
(including without limitation brokerage fees and leasing commissions) and the cost of collection of
the rent accruing therefrom to satisfy the rent provided for in this Lease to be paid, then Tenant
shall immediately satisfy and pay any such deficiency. Any such payments due Landlord shall be made
upon demand therefore from time to time and Tenant agrees that Landlord may file suit to recover
any sums falling due from time to time. Notwithstanding any such reletting without
termination; Landlord may at any time thereafter elect in writing to terminate this Lease for such
previous breach.

          (d) Exercise by Landlord of any one or more remedies hereunder granted or otherwise available
shall not be deemed to be an acceptance of surrender of the Premises and/or a termination of this
Lease by Landlord, whether by agreement or by operation of law. Any law, usage, or custom to the
contrary notwithstanding, Landlord shall have the right at all times to enforce the provisions of
this Lease in strict accordance with the terms hereof; and the failure of Landlord at any time to
enforce its rights under this Lease strictly in accordance with same shall not be construed as
having created a custom in any way or manner contrary to the specific terms, provisions, and
covenants of this Lease or as having modified the same.

          (e) Tenant and Landlord further agree that forbearance or waiver by Landlord to enforce its
rights pursuant to this Lease or at law or in equity, shall not be a waiver of
Landlord’s right to enforce one or more of its rights in connection with any subsequent default. A
receipt by Landlord of rent or other payment with knowledge of the breach of any covenant hereof
shall not be deemed a waiver of such breach, and no waiver by Landlord of any provision of this
Lease shall be deemed to have been made unless expressed in writing and signed by Landlord. To the
greatest extent permitted by law, Tenant waives of all right of redemption in case Tenant shall be
dispossessed by a judgment or by warrant of any court or judge. The terms “enter,” “re-enter,”
“entry” or “re-entry,” as used in this Lease, are restricted to their technical legal meanings.
Any reletting of the Premises shall be on such terms and conditions as Landlord in its sole
discretion may determine (including without limitation a term different than the remaining Lease
Term, rental concessions, alterations and repair of the Premises, lease of less than the entire
Premises to any tenant and leasing any or all other portions of the Project before reletting the
Premises). Landlord shall not be liable, nor shall Tenant’s obligations hereunder be

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diminished (except as specifically stated herein) because of, Landlord’s failure to relet the
Premises or collect rent due in respect of such reletting.

     25. Tenant’s Remedies/Limitation of Liability. Landlord shall not be in default
hereunder unless Landlord fails to perform any of its obligations hereunder within fifteen (15)
days after written notice from Tenant specifying such failure (unless such performance will, due to
the nature of the obligation, require a period of time in excess of fifteen (15) days, then after
such period of time as is reasonably necessary so long as Landlord has commenced the cure within
such 15-day period). All obligations of Landlord hereunder shall be construed as covenants, not
conditions; and Tenant may not (except as specifically provided for in this Lease) terminate this
Lease for breach of Landlord’s obligations hereunder. All obligations of Landlord under this Lease
will be binding upon Landlord only during the period of its ownership of the Premises and not
thereafter (except as specifically provided for in this Lease). The term “Landlord” in this Lease
shall mean only the owner, for the time being of the Premises, and in the event of the transfer by
such owner of its interest in the Premises, such owner shall thereupon be released and discharged
from all obligations of Landlord thereafter accruing, but such obligations shall be
binding during the Lease Term upon each new owner for the duration of such
owner’s ownership. Any liability of Landlord under this Lease or arising out of the relationship
between Landlord and Tenant shall be limited solely to Landlords interest in the Building, and in
no event shall any personal liability be asserted against Landlord in connection with this Lease
nor shall any recourse be had to any other property or assets of Landlord.

     26. Waiver of Jury Trial. TENANT AND LANDLORD WAIVE ANY RIGHT TO TRIAL BY JURY OR
TO HAVE A JURY ‘PARTICIPATE IN RESOLVING ANY DISPUTE WHETHER SOUNDING IN CONTRACT, TORT OR
OTHERWISE, BETWEEN LANDLORD AND TENANT ARISING OUT OF THIS LEASE OR ANY OTHER INSTRUMENT, DOCUMENT,
OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH OR THE TRANSACTIONS RELATED HERETO.

     27. Subordination.

     (a) This Lease and Tenant’s interest and rights hereunder are and shall be subject and
subordinate at all times to the lien of any first mortgage, now existing or hereafter created on or
against the Project or the Premises, and all amendments, restatements, renewals, modifications,
consolidations, refinancing, assignments and extensions thereof, without the necessity of any
further instrument or act on the part of Tenant. Tenant agrees, at the election of the holder of
any such mortgage, to attorn to any such holder provided such holder provides a such holder’s
standard non-disturbance agreement to Tenant which shall include terms providing that Tenant’s
right of possession of the Premises shall not be disturbed nor Tenant’s other rights under this
Lease affected by any foreclosure of such mortgage or encumbrance or by termination of such ground
lease: Tenant agrees to execute, acknowledge and deliver such instruments, confirming such
subordination and such instruments of attornment as shall be requested by any such holder within
ten (10) days of such request. Tenant’s obligation to furnish each such instrument requested
hereunder in the time period provided is a material inducement for Landlord’s execution of this
Lease and any failure of Tenant to timely deliver each instrument shall be deemed an Event of
Default.

          (b) Notwithstanding the foregoing, any such holder may at any time subordinate its mortgage to
this Lease, without Tenant’s consent, by notice in writing to Tenant,

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and thereupon this Lease shall be deemed prior to such mortgage without regard to their
respective dates of execution, delivery or recording and in that event such holder shall have the
same rights with respect to this Lease as though this Lease had been executed prior to the
execution, delivery and recording of such mortgage and had been assigned to such
holder. The term “mortgage” whenever used in this Lease shall be deemed to include deeds
of trust, security assignments and any other encumbrances, and any reference to the
“holder” of a mortgage shall be deemed to include the beneficiary under a deed
of oust.

          (c) Tenant shall not seek to enforce any remedy it may have for any default on the part of
Landlord without first giving written notice by certified mail, return receipt requested,
specifying the default in reasonable detail to any mortgage holder whose address has been given to
Tenant, and affording such mortgage holder a reasonable opportunity (not to exceed 30days from the
date of such notice) to perform Landlord’s obligations hereunder. Notwithstanding any such
adornment or subordination of a mortgage to this Lease; the holder of any mortgage shall not be
liable for any acts of any previous landlord, shall not be obligated to install any tenant
improvements, and shall not be bound by any amendment to which it did not consent in writing nor
any payment of rent made more than one month in advance.

     28. Mechanic’s Liens. Tenant has no express or implied authority to create or place
any lien or encumbrance of any kind upon, or in any manner to bind the interest of Landlord or
Tenant in, the Premises or to charge the rentals payable hereunder for any claim in favor of
any, person dealing with Tenant, including those who may furnish materials or perform
labor for any construction or repairs. Tenant covenants and agrees that it will pay or cause to be
paid all sums legally due and payable by it on account of any labor performed or
materials furnished in connection with any work performed at the request of Tenant on the Premises
and that it will save and hold Landlord harmless from all loss, cost or expense based on or arising
out of asserted claims or liens against the leasehold estate or against the interest of
Landlord in the Premises or under this Lease. Tenant shall give Landlord immediate written notice
of the placing of any lien or encumbrance against the Premises and cause such lien or encumbrance
to be discharged within thirty (30) days of the filing or recording thereof; provided, however,
Tenant may contest such liens or encumbrances as long as such contest prevents foreclosure of the
lien or encumbrance and Tenant causes such lien or encumbrance to be bonded or insured over in a
manner satisfactory to Landlord within such thirty (30) day period.

     29. Estoppel Certificates. Tenant agrees, from time to time, within fifteen (15) days
after receipt of a request of Landlord, to execute and deliver to Landlord, or Landlord’s designee,
any estoppel certificate requested by Landlord, stating that this Lease is in full force and
effect, the date to which rent has been paid, that Landlord is not in default hereunder (or
specifying in detail the nature of Landlord’s default), the termination date of this Lease and such
other matters pertaining to this Lease as may be requested by Landlord. Tenant’s obligation to
furnish each estoppel certificate in a timely fashion is a material inducement for Landlord’s
execution of this Lease and any failure of Tenant to timely deliver each estoppel certificate shall
be deemed an Event of Default. No cure or grace period provided in this Lease shall apply
to Tenant’s obligation to timely deliver an estoppel certificate.

     30. Environmental Requirements.

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          (a) Except for Hazardous Material contained in products used by Tenant in de minimis
quantities for ordinary cleaning and office, and Tenant’s laboratory purposes as listed on
Exhibit G attached hereto and made a part hereof, Tenant shall not permit or cause any
parry to bring any Hazardous Material upon the Premises or transport, store, use,
generate, manufacture, dispose, or release any Hazardous Material on or from the Premises without
Landlord’s prior written consent. Any change to Exhibit G shall be subject to Landlord’s prior
written consent, and Tenant shall give Landlord at least ten (10) days prior written notice of any
proposed change to such Exhibit. Tenant, at its sole cost and expense, shall operate its business
in the Premises in strict compliance with all Environmental Requirements and all requirements of
this Lease. Tenant shall not commingle any waste generated by Tenant from
Tenant’s use of Hazardous Materials at the Premises and shall store such waste in appropriate
separate containers. Tenant shall remove any such hazardous waste from the
Property within ninety (90) days after generation by Tenant. In addition,
Tenant shall utilize exposure badges and area monitors to monitor levels of radiation in the
Premises and shall maintain levels of radiation on the Property at or below the levels required by
applicable Environmental Requirements at all times. Tenant shall complete and certify to
disclosure statements as requested by Landlord from time to time relating to Tenant’s
transportation, storage, use, generation, manufacture, or release of Hazardous
Materials on the Premises, and ‘Tenant shall promptly deliver to Landlord a copy of any notice of
violation relating to the Premises or Project of any Environmental Requirement.

          (b) The term “Environmental Requirements” means all applicable present and future
statutes, revelations, ordinances, rules, codes, judgments, permits, authorizations, orders,
policies or other similar requirements of any governmental authority, agency or court regulating
or relating to health, safety, or environmental conditions on, under, or about the Premises or the
environment, including without limitation, the following: the Comprehensive Environmental
Response, Compensation and Liability Act; the Resource Conservation and Recovery Act; the Clean
Air Act; the Clean Water Act; the Toxic Substances Control Act and all state and local
counterparts thereto, and any common or civil law obligations
including, without limitation, nuisance or trespass, and any other
requirements of Paragraphs 4 and 31 of this Lease. The term “Hazardous Materials”
means and includes any substance, material, waste, pollutant, or contaminant that is or could be
regulated under any Environmental Requirement or that may adversely affect human health or the
environment, including, without limitation, any solid or hazardous waste,
hazardous substance, asbestos, petroleum (including crude oil or any fraction thereof, natural
gas, synthetic gas, polychlorinated biphenyls (PCBs), and radioactive
material). For purposes of Environmental Requirements, to the extent authorized by law, Tenant is
and shall be deemed to be the responsible party, including without limitation, the “owner” and
“operator” of Tenants “facility” and the “owner” of all Hazardous Materials brought on the
Premises by Tenant, or its agents, employees, contractors and invitees, and the wastes,
byproducts, or residues generated, resulting, or produced therefrom.

          (c) Tenant, at its sole cost and expense, shall remove all Hazardous Materials stored,
disposed of or otherwise released by Tenant, its assignees, subtenants, agents, or employees,
contractors or invitees onto or from the Premises, in a manner and to a level satisfactory to
Landlord in its sole discretion, but in no event to a level and in a manner less than that which
complies with all Environmental Requirements and does not limit any future uses of the Premises or
require the recording of any deed restriction or notice regarding the Premises. Tenant shall
perform such work at any time during the period of the Lease upon written
request by Landlord or, in the absence of a specific request by Landlord, before Tenants right to
possession of the Premises terminates or expires. If Tenant fails to perform such work
within the

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time period specified by Landlord or before Tenant’s right to possession terminates or
expires (whichever is earlier), Landlord may at its discretion, and without waiving any other
remedy available under this Lease or at law or equity (including without limitation an action to
compel Tenant to perform such work), perform such work at Tenant’s cost. Tenant shall pay all
costs incurred by Landlord in performing such work within ten (10) days after Landlord’s request
therefore. Such work performed by Landlord is on behalf of Tenant and Tenant remains the owner,
generator, operator, transporter, and/or arranger of the Hazardous Materials for purposes of
Environmental Requirements. Tenant agrees not to enter into any agreement with any person,
including without limitation any governmental authority, regarding the removal of
Hazardous Materials that have been disposed of or otherwise released onto or from the Premises
without the written approval.of the Landlord.

          (d) Tenant shall indemnify, defend, and hold Landlord harmless from and against any and all
losses (including, without limitation, diminution in value of the Premises or the Project and loss
of rental income from the Project), claims,: demands, actions, suits, damages (including, without
limitation, punitive damages), expenses (including, without limitation, remediation, removal,
repair, corrective action, or cleanup expenses), and costs (including, without limitation, actual
attorneys’ fees, consultant fees or expert fees and including, without limitation, removal or
management of any asbestos brought into the Premises or disturbed in breach of the requirements of
this Paragraph 30, regardless of whether such removal or management is required by law)
which are brought or recoverable against, or suffered or incurred by Landlord as a result of any
release of Hazardous Materials or any breach of the requirements under this Paragraph 30 by
Tenant, its agents, employees, contractors, subtenants, assignees or invitees,
regardless of whether Tenant had knowledge of such noncompliance. The obligations of
Tenant under this Paragraph 30 shall survive any termination of this Lease.

          (e) Landlord shall have access to, and a right to perform during normal business hours
inspections and tests of, the Premises to determine Tenant’s compliance with Environmental
Requirements, its obligations under this Paragraph 30, or the environmental condition of
the Premises. Access shall be granted to Landlord upon Landlord’s prior notice to Tenant and at
such times so as to minimize, so far as may be reasonable under the circumstances, any disturbance
to Tenant’s operations. Such inspections and tests shall be conducted at Landlord’s expense, unless
such inspections or tests reveal that Tenant has not complied with any Environmental Requirement,
in which case Tenant shall reimburse Landlord for the reasonable cost of such inspection and tests.
Landlord’s receipt of or satisfaction with any environmental assessment in no way waives any rights
that Landlord holds against Tenant. Tenant shall promptly notify Landlord of any communication or
report that Tenant makes to any governmental authority regarding any possible violation of
Environmental Requirements or release or threat of release of any Hazardous Materials onto or from
the Premises. Tenant shall, within five (5) days of receipt thereof, provide Landlord with a copy
of any documents or correspondence received from any governmental agency or other parry relating to
a possible violation of Environmental Requirements or claim or liability associated with the
release or threat of release of any Hazardous Materials onto or from the Premises.

          (f) In addition to all other rights and remedies available to Landlord under this Lease or
otherwise, Landlord may, in the event of a breach of the requirements of this Paragraph 30
that is not cured within thirty (30) days (provided that if such cure shall require longer than
thirty days to complete, such period shall be extended in order to complete such cure so long as
Tenant has commenced such cure within said 30-day period and is diligently and

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continuously pursuing such cure) following notice of such breach by Landlord, require
Tenant to provide financial assurance (such as insurance, escrow of funds or third party guarantee) in an
amount and form reasonably satisfactory to Landlord. The requirements of this Paragraph 30
are in addition to and not in lieu of any other provision in the Lease.

          (g) Landlord shall provide Tenant with its most recent Phase I report pertaining to the
Building and shall provide the report, if any, delivered to Landlord by Savant upon vacating the
Premises at the end of its lease term. Notwithstanding anything herein to the contrary, if the
Premises, Building or Property are contaminated by Hazardous Materials in violation of any
Environmental Requirement, through no fault of Tenant, its agents, employees, contractors or
invitees, and such contamination materially adversely affects Tenant’s use of the Premises, then
Landlord shall, after written notice from Tenant, obtain an estimate of the costs to perform such
clean-up. If the estimate of such costs is less than $20,000, then Landlord shall
diligently institute or cause to be instituted proper clean up or remediation
procedures, provided that in no event shall Landlord be required to pay more than $20,000 for such
clean-up. In the event that the costs for such clean-up or remediation of Hazardous Materials that
materially adversely affect Tenant’s use of the Premises are in excess of $20,000, but less than
$100,000, then Landlord shall deliver the estimate of such costs to Tenant and Landlord shall not
be required to commence such clean-up until Tenant delivers to Landlord a sum equal to the
difference between the estimate for such clean-up costs and $20,000. In addition, if after
commencing such clean-up, any revised estimate of Landlord’s contractor indicates that the costs
will exceed the original estimate, then Tenant shall deliver to Landlord such additional amounts
before Landlord shall be required to continue such clean-up. If Tenant elects not to deliver such
sum to Landlord based on the original estimate of Landlord, then Tenant shall have the option to
terminate this Lease by written notice to Landlord within ten business days after receipt of
Landlord’s original estimate. If Tenant delivers such sums to Landlord, then Landlord shall
diligently pursue such remediation or clean-up. Notwithstanding the foregoing, if Landlord’s
estimate of the costs to perform such clean-up equals or exceeds $100,000, then Landlord shall not
be required to perform (or continue) such clean-up and Landlord shall have the right to terminate
this Lease, by written notice to Tenant, at the time that Landlord delivers such estimate, or
revised estimate, to Tenant, and the Lease shall terminate thirty (30) days after the date of such
notice as though such date were originally set forth as the expiration date of this Lease. Landlord
agrees that neither it nor its agents, employees or contractors will introduce, store or dispose of
Hazardous Materials within the Premises, the Building or the Property, and Landlord agrees to
indemnify and hold Tenant harmless from all claims, demands, actions, liabilities, costs, expenses,
damages and obligations of any nature arising from or as a result of any breach of the foregoing
covenant by Landlord. The foregoing indemnification and the responsibility of Landlord shall
survive the termination or expiration of this Lease.

     31. Rules and Regulations. Tenant shall, at all times during the Lease Term and any
extension thereof, comply with all reasonable rules and regulations (delivered in writing to
Tenant) at any time or from time to time established by Landlord covering use of the Premises and
the Project. The current rules and regulations are attached hereto. In the event of any conflict
between said rules and regulations and other provisions of this Lease, the other terms and
provisions of this Lease shall control. Except as specifically provided for herein, Landlord shall
not have any liability or obligation for the breach of any rules or regulations by other tenants in
the Project.

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     32. Security Service. Tenant acknowledges and agrees that, while Landlord may (but
shall not be obligated to) patrol the Project, Landlord is not providing any security services with
respect to the Premises and that Landlord shall not be liable to Tenant for, and Tenant waives any
claim against Landlord with respect to, any loss by theft or any other damage suffered or incurred
by Tenant in connection with any unauthorized entry into the Premises or any other breach of
security with respect to the Premises.

     33. Force Majeure. Landlord and Tenant shall not be held responsible for delays in the
performance of its obligations hereunder when caused by strikes, lockouts, labor disputes, acts of
God, inability to obtain labor or materials or reasonable substitutes therefore, governmental
restrictions, governmental regulations, governmental controls, delay in issuance of permits, enemy
or hostile governmental action, civil commotion, fire or other casualty, and other causes beyond
the reasonable control of Landlord or Tenant (“Force Majeure”).

     34. Entire
Agreement. This Lease constitutes the complete and entire agreement of
Landlord and Tenant with respect to the subject matter hereof. No representations, inducements,
promises or agreements, oral or written, have been made by Landlord or Tenant, or anyone acting on
behalf of Landlord or Tenant, which are not con-mined herein, and any prior agreements, promises,
negotiations, or representations are superseded by this Lease. This Lease may not be
amended except by an instrument in writing signed by both parties hereto.

     35. Severability. If any clause or provision of this Lease is illegal, invalid or
unenforceable under present or future laws, then and in that event, it is the intention of the
parties hereto that the remainder of this Lease shall not be affected thereby. It is also the
intention of the parties to this Lease that in lieu of each clause or provision of this Lease that
is illegal, invalid or unenforceable, there be added, as a part of this Lease, a clause or
provision as similar in terms to such illegal, invalid or unenforceable clause or provision as may
be possible and be legal, valid and enforceable.

     36. Brokers. Tenant and Landlord represent and warrants that it has dealt with no
broker, agent or other person in connection with this transaction and that no broker, agent or
other person brought about this transaction, other than the broker, if any, set forth on the third
page of this Lease, and Tenant and Landlord agree to indemnify and hold Landlord and Tenant
harmless from and against any claims by any other broker, agent or other person claiming
a commission or other form of compensation by virtue of having dealt with Tenant and Landlord with
regard to this leasing transaction.

     37. Miscellaneous.

          (a) Any payments or charges due from Tenant to Landlord hereunder shall be considered rent for
all purposes of this Lease.

          (b) If and when included within the term “Tenant,” as used in this instrument, there is more
than one person, firm or corporation, each shall be jointly and severally liable for the
obligations of Tenant.

          (c) All notices required or permitted to be given under this Lease shall be in writing and
shall be sent by registered or certified mall, return receipt requested, or by a reputable national
overnight courier service, postage prepaid, or by hand delivery and, if to

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Tenant, addressed to Tenant at the address for Tenant noted on the first page of this Lease,
with a copy to William E. Carlson, Esquire, Shapiro Sher & Guinot, 2000 Charles Center South, 36,
South Charles Street, Baltimore, Maryland 21201 and if to Landlord, addressed to Landlord at

c/o Prudential Real Estate Investors, 8 Campus Drive, 4th Floor, Arbor Circle South,
Parsippany, New Jersey 07054-4493, Attention: Douglas F. Wolski, with a copy to Michelle Kimos,
c/o Creaney & Smith Management, LLC, 925 Fell Street, Baltimore, Maryland 21231. Either party may
by notice given aforesaid change its address for all subsequent notices. Except where
otherwise expressly provided to the contrary, notice shall be deemed given on the next business
day if delivery is by overnight courier and the third business day after delivery by
registered and certified mail.

          (d) Except as otherwise expressly provided in this Lease or as otherwise required by law,
Landlord retains the absolute right to withhold any consent or approval.

          (e) At Landlord’s request from time to time Tenant shall furnish Landlord with true and
complete copies of its most recent audited annual financial statements prepared by Tenant or
Tenants accountants. Such annual statements shall be audited by an independent certified public
accountant at Tenants sole cost and expense. Landlord shall hold such financial statements in
confidence, and shall not disclose the same except: (i) to Landlord’s lenders or potential lenders,
(ii) to potential purchasers of all or a portion of the Project, (iii) with Tenant’s prior consent,
otherwise as reasonably necessary for the operation of the Project or (iv) if disclosure is
required by any judicial or administrative order or ruling.

          (f) Neither this Lease nor a memorandum of lease shall be filed by or on behalf of Tenant in
any public record except as required by law. Landlord may prepare and file, and upon request by
Landlord, Tenant will execute a memorandum of lease. Should this Lease or a memorandum of lease be
filed or recorded, the party that files or records said document shall bear the cost associated
with the filing and recordation.

          (g) Each party acknowledges that it has had the opportunity to consult counsel with
respect to this Lease, and therefore, the normal rule of construction to the effect that any
ambiguities are to be resolved against the drafting parry shall not be employed in the
interpretation of this Lease or any exhibits or amendments hereto.

          (h) The submission by Landlord to Tenant of this Lease shall have no binding force or effect,
shall not constitute an option for the leasing of the Premises, nor confer any right or
impose any obligations upon either party until execution of this Lease by both parties.

          (i) Words of any gender used in this Lease shall be held and construed to include any other
gender, and words in the singular number shall be held to include the plural, unless the context
otherwise requires. The captions inserted in this Lease are for convenience only and in no way
define, limit or otherwise describe the scope or intent of this Lease, or any provision hereof, or
in any way affect the interpretation of this Lease.

          (j) Any amount not paid by Tenant within five (5) days after its due date in accordance with
the terms of this Lease shall bear interest from such due date until paid in full at the lesser of
the highest rate permitted by applicable law or twelve percent (12%) per year. It is expressly the
intent of Landlord and Tenant at all times to comply with applicable law governing the maximum
rate or amount of any interest payable on or in connection with this Lease. If applicable law is
ever judicially interpreted so as to render usurious any interest called for under

-27-

 

this Lease, or contracted for, charged, taken, reserved, or received with respect to this Lease,
then it is Landlord’s and Tenant’s express intent that all excess amounts theretofore collected by
Landlord be credited on the applicable obligation (or, if the obligation has been or
would thereby be paid in full, refunded to Tenant), and the provisions of this Lease immediately
shall be deemed reformed and the amounts thereafter collectible hereunder reduced, without the
necessity of the execution of any new document, so as to comply with the applicable law, but so as
to permit the recovery of the fullest amount otherwise called for hereunder.

          (k) Construction and interpretation of this Lease shall be governed by the laws of the state
in which the Project is located, excluding any principles of conflicts of laws.

          (1) Time is of the essence as to the performance of Tenant’s and Landlord’s obligations under
this Lease.

          (m) All exhibits and addenda attached hereto are hereby incorporated into this Lease and made
a part hereof. In the event of any conflict between such exhibits or addenda (other than the rules
and regulations) and the terms of this Lease, such exhibits or addenda shall control. In the event
of a conflict between the rules and regulations attached hereto and the terms of this Lease, the
terms of this Lease shall control.

          (n) If either parry should prevail in any litigation instituted by or against the other
related to this Lease, the prevailing party, as determined by the court, shall receive from the
non-prevailing parry all costs and reasonable attorneys’ fees (payable at standard hourly rates)
incurred in such litigation, including costs on appeal, as determined by the court.

     38. Intentionally Deleted.

     39. Intentionally Deleted.

-28-

 

     IN WITNESS WHEREOF, Landlord and Tenant have executed this Lease as of the day and year first
above written.

	 	 	 	 	 
	 	 	TENANT:
	 
	 	 	 	 
	WITNESS/ATTEST:	 	WITNESS/ATTEST
	

	 	 	 	METAMORPHIX, INC.
	 
	 	 	 	 
	By: /s/ Mike Thomas	 	By: /s/ Edwin C. Quattlebaum (SEAL)
	 	 	 
	Mike Thomas	 	 	 	Name: Edwin C. Quattlebaum

Title: Chairman, CEO and President
	 
	 	 	 	 
	 	 	LANDLORD:
	 
	 	 	 	 
	

	 	 	 	COLUMBIA ACQUISITION, LLC
	 
	 	 	 	 
	 	 	By: THE PRUDENTIAL INSURANCE COMPANY 

OF AMERICA, Its Managing Member
	 
	 	 	 	 
	 	 	 
	 	 	By: /s/ Douglas Woluski (SEAL)
	

	 	 	 	Name: Douglas Woluski
	By: /s/ Dyana Levin

	 	 	 	Title: Vice President
	

	 	 	 	 
	
Dyana Levin

	 	 	 	 

-29-

 

Rules and Regulations

     Tenant, its agents, employees, contractors, licensees or invitees, shall comply with all
rules and regulations established by Landlord from time to time. Any violation of the Rules and
Regulations shall constitute a failure to perform a covenant of this Lease. Landlord shall have
the right to make additions and amendments to said Regulations from time to time, and any
additions and amendments shall, upon delivery to Tenant, be binding on Tenant, its agents,
employees, licensees or invitees, as if set forth in this Lease. In the event of a conflict
between the following Rules and Regulations and the terms of the Lease to which this Addendum is
attached, the terms of the Lease shall control.

     1. The
sidewalk, entries, halls, passages, elevators, stairwells and
driveways of the Project shall not be obstructed by Tenant, its agents,
employees, contractors, licensees or invitees, or used by them for any purpose other than ingress
and egress to and from the Premises.

     2. Tenant, its agents, employees, contractors, licensees or invitees, shall not place any
objects, including antennas, outdoor furniture, etc., in the parking areas, landscaped areas or
other areas outside of its Premises, or on the roof of the Project.

     3. Except for seeing-eye dogs and laboratory animals, no other animals shall be allowed in the
offices, halls, or corridors in the Project.

     4. Tenant, its agents, employees, contractors, licensees or invitees, shall not disturb the
occupants of the Project or adjoining buildings by the use of any radio or musical instrument or by
the making of loud or improper noises, and shall not mark or defile the water
closets, toilet rooms, windows, elevators or doors of the Building or interfere in any way with
other tenants or those having business with them.

     5. If Tenant, its agents, employees, contractors, licensees or invitees, desires telegraphic,
telephonic or other electric connections in the Premises, Landlord or its agent will direct the
electrician as to where and how the wires may be introduced; and, without such direction, no boring
or cutting of wires will be permitted. Any such installation or connection
shall be made at Tenant’s, its agents, employees, licensees or invitees, expense.

     6. Tenant, its agents, employees, contractors, licensees or invitees, shall not install or
operate any steam or gas engine or boiler, or other mechanical apparatus in the Premises, except as
specifically approved in the Lease. The use of oil, gas or inflammable liquids for heating,
lighting or any other purpose is expressly prohibited. Explosives or other articles deemed extra
hazardous shall not be brought into the Project.

     7. , Parking any type of recreational vehicles is specifically prohibited on or about the
Project. Except for the overnight parking of operative vehicles or as expressly permitted in the
Lease, no vehicle of any type shall be stored in the parking areas at any time. In the event that
a vehicle is disabled, it shall be removed within 48 hours. There
shall be no “For Sale ” or other
advertising signs on or about any parked vehicle. All vehicles shall be parked
in the designated parking areas in conformity with all signs and other markings. All parking will
be open parking, and no reserved parking, numbering or lettering of individual spaces will be
permitted except as specified by Landlord.

-30-

 

     8. Tenant, its agents, employees, contractors, licensees or invitees, shall maintain the
Premises free from rodents, insects and other pests.

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

     10. Tenant, its agents, employees, contractors, licensees or invitees, shall not cause any
unnecessary labor by reason of Tenant’s, its agents, employees, contractors, licensees or
invitees, carelessness or indifference in the preservation of good order and cleanliness. Except
as otherwise set forth in the Lease, Landlord shall not be responsible to Tenant, its agents,
employees, contractors, licensees or invitees, for any loss of property on the Premises, however
occurring, or for any damage done to the effects of Tenant, its
agents, employees, contractors, licensees or invitees, by the janitors or any
other employee or person.

     11. Tenant, its agents, employees, contractors, licensees or invitees, shall give Landlord
prompt notice of any defects in the water, lawn sprinkler, sewage, gas pipes, electrical lights
and fixtures, heating apparatus, or any other service equipment affecting the Premises.

     12. Tenant, its agents, employees, contractors, licensees or invitees, shall not permit
storage outside the Premises, including without limitation, outside storage of trucks and other
vehicles, or dumping of waste or refuse or permit any harmful materials to be placed in any
drainage system or sanitary system in or about the Premises.

     13. All moveable trash receptacles provided by the trash disposal firm for the Premises must
be kept in the trash enclosure areas, if any, provided for that purpose.

     14. No auction, public or private, will be permitted on the Premises or the Project.

     15. No awnings shall be placed over the windows in the Premises except with the prior written
consent of Landlord.

     16. The Premises shall not be used for lodging, sleeping or cooking or for any immoral or
illegal purposes or for any purpose other than that specified in the Lease. No gaming devices
shall be operated in the Premises.

     17. Tenant, its agents, employees, contractors, licensees or invitees, shall ascertain from
Landlord the maximum amount of electrical current which can safely be used in the Premises, taking
into account the capacity of the electrical wiring in the Project and the
Premises and the needs of other tenants, and shall not use more than such safe capacity.
Landlord’s consent to the installation of electric equipment shall not relieve Tenant from the
obligation not to use more electricity than such safe capacity.

     18. Tenant, its agents, employees, contractors, licensees or invitees, assume full
responsibility for protecting the Premises from theft, robbery and pilferage.

-31-

 

     19. Tenant, its agents, employees, licensees or invitees, shall not install or operate on
the Premises any machinery or mechanical devices of a nature not directly related to Tenant’s, its
agents, employees, licensees or invitees, ordinary use of the Premises and shall keep all such
machinery free of vibration, noise and air waves which may be transmitted beyond the Premises.

     20. Tenant, its agents, employees, contractors, licensees or invitees, shall not introduce,
disturb or release asbestos or PCBs onto or from the Premises.

     21. Tenant, its agents, employees, contractors, licensees or invitees, shall at all times
conduct its operations in a good and workmanlike manner, employing best management practices to
minimize the threat of any violation of Environmental Requirements.

     22. The toilet rooms, water closets and other water apparatus shall not be used for any
purpose other than those for which there were constructed, and no sweepings, rubbish, rags, ashes,
chemicals or the refuse from electric batteries or other unsuitable substances, shall be thrown
therein. The cost of repair of any damage from such misuse or abuse shall be borne by the tenant by
whom or. by whose agents, employees, licensees or invitees such damage was caused.

     23. No carpet, rug or other article shall be hung or shaken out of any window or placed in
corridors as a door mat, and nothing shall be thrown or allowed to drop by Tenant, its agents,
employees, licensees or invitees out of the windows or doors, or down the passages or shafts of the
Building, and Tenant, its agents, employees, contractors, licensees, or invitees shall not sweep or
throw or permit to be thrown from the Premises, any dirt or other substance into any of the
corridors or halls, elevators, shafts or stairways of the Building.

     24. No linoleum or oil cloth, or rubber or other airtight coverings shall be placed on the
floors, no shall articles (except for interior artwork) to fastened to, or holes drilled or nails
or screws driven in to, walls, windows, partitions, nor shall the walls or partitions be painted,
papered or otherwise covered, or in any way marked or broken, without the prior written consent of
Landlord.

     25. Nothing shall be placed on the outside of the Building, or on the window, window sills or
projections.

     26. The Landlord shall in all cases have the right to prescribe the weight and proper position
of safes or other heavy objects in the Building. Landlord shall designate the time and manner in
which these heavy objects and all furniture, fixtures or supplies shall be moved in or out of the
Building or moved around within the Building. Any damage caused by any of these operations or by
any of these articles during the time they are in the Building, shall be repaired by Landlord at
Tenant’s, its agents, employees, licensees or invitees, expense.

     27. No additional locks shall be placed upon any doors without the prior written consent of
Landlord, and Tenant, its agents, employees, contractors, licensees or invitees, shall not permit
any duplicate keys to be made. All necessary keys shall be furnished by Landlord, and shall be
surrendered upon the termination of this Lease. Tenant, its agents, employees, licensees or
invitees, shall give Landlord or its agents an explanation of the combination of all locks upon the
doors or vaults upon the termination of this Lease.

-32-

 

     28. Tenant, its agents, employees, contractors, licensees or invitees, shall see that windows
are closed and the doors securely locked before leaving the Building.

     29. No food or beverage machinery except for use by Tenant, its agents, employees, licensees
or invitees, or machinery of any kind, other than normal office machines shall be allowed to be
operated on the Premises without the prior written consent of Landlord.

     30. The cost of repairs of (i) any and all damage to floors, walls or ceilings due to either
Tenant, its agents, employees, licensees or invitees, or Tenant’s, its agents,
employees, contractors, licensees or invitees, employees’ failure to shut off running water or
liquid, or (ii) plumbing stoppages caused by Tenant, its agents, employees, contractors, licensees
or invitees, or Tenant’s, its agents, employees, contractors, licensees or invitees, employees,
shall be paid by Tenant, its agents, employees, contractors, licensees or invitees.

     31. No smoking shall be permitted in any public areas of the Building, including but not
limited to, Corridors, elevators, stairwells and restrooms, in addition to Tenant’s, its agents,
employees, contractors, licensees or invitees, Premises.

     32. Except as provided by Landlord as part of the tenant improvements no electrical
appliances, such as space heaters are allowed. Such use by Tenant, its agents, employees,
contractors, licensees or invitees is expressly prohibited.

     33. The occupancy rate of the Tenant shall not exceed one (1) person per two hundred (200)
square feet of the premises.

 

 

EXHIBIT A

Premises

 

 

UPPER FLOOR PLAN

SCALE I'-30'-0'

 

 

EXHIBIT A-1

Legal Description of Project

BEING KNOWN AND DESIGNATED as Parcels “C-2”, “C-3” and “ C4”, as shown on the Plat entitled.
“CORRIDOR INDUSTRIAL PARK, SECTION 1, PARCELS C-2, C-3 AND C-4, A RESUBDIVISION OF PARCEL C-1,
SHEET 1 OF 1”, which Plat is recorded among the Land Records of Howard County, Maryland, as Plat
No. 6013, containing 11.376 acres, more or less, in the aggregate. The improvements thereon being
known as Nos. 8510 Corridor Road, 8520 Corridor Road and 8530 Corridor Road.

 

 

EXHIBIT B

Intentionally Deleted

 

 

EXHIBIT C

FIXTURES AND LAB EQUIPMENT

All fixed casework: lab epoxy countertops (white), lab shelving & lab drawers/cabinets (blue)

and steam dishwashers (Labconco; stainless steel)

10' x 20'. walk-in cold box (Tafco)

8 bench top and 2 floor chemical fume hoods (St. Charles)

Reverse-Osmosis
(RO) Water System (300 gallon; Hydro): downstairs and throughout

labs 30 kW back-up generator on cement padding (Fiat); complete with automatic transfer

switchbox, transformer, dedicated electrical panel; wired/installed by BG&E

Two Accuvar surge protection boxes dedicated to two electrical panels

Centrally-monitored alarm system with one fixed keypad, one remote key pad, 4 door contacts, 6

motion sensors, 1 centrally controlled smoke detector, 1 internal siren & 1 external siren 4 Halon

fire extinguishers (all hand-held, 2 of 4 automatic)

Northern Telecom/Meridian 24-line phone system with M8X24-DS Control Box, paging system,

switchboard phone, approximately 12 executive phones, reception area phone

Back-up Reverse Osmosis pump and automatic switch box (Culligan); downstairs

Two Deionization Systems (DI) (Culligan), each complete with Myron-L resistivity meters, UV light,

recirc. pump, microbe filter, 2 mixed bed resin tanks, 1 hydrocarbon scrubber tank One Labconco

bench-top chemical fume hood

RODI Water System, with back-up RODI treatment system (Gilligan), large tanks and related PVC

plumbing to supply 24/7 RODI water to 6 pressure gauge-controlled outlets DI System with

large tanks for glassware washing room

Stainless steel large
industrial grade sink (2' x 6') located in glassware washing room

Build-out of executive office space (ca. 1,500 sq. ft.) Ethernet connections and related Cat 5E

cabling for internet connections; approx. 24 outlets/cable runs from main computer room

throughout labs and office space

 

 

EXHIBIT D

TERMINATION OPTION

     Tenant shall have the one time right to Terminate the Lease Agreement upon the expiration of
the fifth (5th) Lease year of the Lease term. Tenant shall provide to Landlord one (1)
year prior written notification of the intent to terminate the Lease and pay to Landlord a
termination fee equal to the unamortized leasing transactions costs, including leasing commissions,
plus six (6) months of the then current Base Rent, payable upon the implementation of the
Termination Option.

 

 

EXHIBIT E

RIGHT OF FIRST OFFER

Right of First Offer:

During the term of this Lease, Landlord agrees to give Tenant a Right of First Offer to lease any
other space (the “Expansion Space”) (subject to the prior agreement with the State of Maryland
under Lease at the Building) that becomes available in the Building. Landlord shall notify the
Tenant in writing if space becomes available. Tenant shall have five (5) days to agree, in writing,
to lease the space being offered at Landlord’s then current rental rate for comparable space in the
Building. In the event Tenant elects to lease the space, Landlord shall present to Tenant and
Tenant shall execute within. fifteen (15) days of receipt, an Amendment to Lease
Agreement reflecting the same terms and conditions as set forth in this Lease Agreement, other than
a redefinition of the Premises to include the Expansion Space and the rent to be paid for the
Expansion Space. Landlord shall deliver the premises to the Tenant in “as is” condition. The
failure of Tenant to take action in the manner or time periods set forth or the commission of
Tenant of an Event of Default, as defined herein, shall render this Right of First Offer null and
void and of no further force or effect.

 

 

EXHIBIT F

PURCHASE AND SALE OF PROPERTY

Provided that this Lease remains in full force and effect and provided that Tenant is not in
default hereunder, Tenant shall have a “Right of First Opportunity” during the term of this Lease
to purchase the Property and the Building (referred to herein
collectively, as the “8510
Property”) on the terms and conditions contained in this Exhibit F. Prior to any voluntary
sale of the 8510 Property or the Project by Landlord. Landlord shall notify Tenant in writing of
its intention to market for sale or otherwise sell the entire Project or the 8510 Property by
itself, as applicable, (the “Sale Notice”), which Sale Notice shall set forth Landlord’s intended
sale price for the 8510 Property (the “Proposed Price”) and other proposed material terms of such
sale, and shall have Landlord’s proposed form of purchase and sale agreement attached (the
“Proposed Terms”), and for the period commencing with the date of the Sale Notice and terminating
thirty (30) days thereafter (the “ROFO Period”),
. Tenant shall have the opportunity to elect to
purchase the 8510 Property at a price equal to the Proposed Price (the “Acceptance Notice”). If
Tenant sends the Acceptance Notice to Landlord within the ROFO Period, Landlord and Tenant shall
negotiate a purchase and sale agreement which shall be substantially in the form attached to the
Sale Notice and reflect the terms set forth in the last paragraph of this Exhibit F’, for
twenty-one (21) days after the date of the Acceptance Notice (the “Negotiation Period”). If (A)
Tenant fails to deliver the Acceptance Notice to Landlord within the ROFO Period, or (B) the
parties fail to enter into a binding purchase and sale agreement, within the Negotiation Period, or
(C) Tenant fails for any reason to complete the purchase and sale transaction, then, subject to the
terms of the next sentence, Tenant shall have no further rights under
this Exhibit
 F. which shall expire and be of no further force or effect, and Landlord shall be free to
sell the 8510 Property, by itself or as part of a portfolio sale of the Project, to any other parry
or parties on such terms as Landlord may elect. If Landlord has not sold the 8510 Property within
nine (9) months (or such longer period of time as Landlord may require if Landlord is in ongoing
good faith negotiations with a third party at the end of such nine (9) month period, as evidenced
by any exchange of offers and counteroffers in the form of term sheets, letters of intent and/or
drafts of purchase and sale agreements between Landlord and a third party) after the later of the
Acceptance Notice or the end of the Negotiation Period, then Tenant shall again have a Right of
First Opportunity to purchase the 8510 Property under this Exhibit F. Without limiting any
term of this Exhibit F, following any sale of the 8510 Property to any party other than
Tenant conducted after Landlord complies with the terms of this Exhibit F, Tenant shall
have no further rights under this Exhibit F which shall have terminated in accordance with
the terms hereof, and be of no further force or effect.

Landlord shall have the right to market the 8510 Property and/or the Project to others prior to and
during the ROFO Period, subject, however, to Tenant’s “Right of First Opportunity” as contained in
this Exhibit F.

If Tenant timely delivers the Acceptance Notice, then Tenant shall deposit in an escrow established
by Landlord and Tenant a cash deposit equal to Eve percent (5%) of the sale price (to be applied to
the purchase price at closing), and shall consummate such sale within sixty (60) days after the end
of the Negotiation Period. If the parties enter into a binding purchase and sale agreement and if
Tenant defaults in the performance of its obligations to close the sale in accordance with this
Exhibit F and any other agreement of the parties relating to such sale, Tenant shall
forfeit its deposit as liquidated damages under such contract and Tenant shall have no further
rights under this Exhibit F, which shall expire and be of no further force or effect, and

 

 

Landlord shall be free to sell the 8510 Property, by itself or as part of a portfolio sale of
the Project, to any other parry or parties on such terms as Landlord may elect at any time after
such default.

Notwithstanding anything to the contrary contained herein, the Right of First Opportunity shall not
apply to (A) a transfer between any of the partners or members of Landlord, nor any of the members,
partners or other equity- or beneficial owners of the constituent partners or members of Landlord,
(B) any mortgage, deed of trust, ground lease or other financing of the 8510 Property or the
Project, (C), any transfer as a result of the exercise of any remedies available to a mortgage of
the 8510 Property or the Project, including without limitation, foreclosure of any mortgage on the
8510 Property or the Project, or a deed in lieu thereof, or (D) any transfer for nominal or no
consideration to a legal entity controlling, controlled by or under common control with
Landlord. Upon request Tenant shall provide to Landlord written confirmation duly executed in
record able form that confirms that the provisions of this Exhibit F have been complied
with or met as to any conveyance of all or any portion of the 8510 Property or the Project,
provided however that an affidavit of a member, officer or principal of Landlord recorded with the
land records of Baltimore County stating that the provisions of this Exhibit F have been
complied with or met as to any conveyance of all or any portion of the 8510 Property or the Project
shall conclusively establish compliance therewith as to any third party or parties..

The closing of the purchase and sale transaction (“Settlement”) shall occur on a date mutually
agreed to by Landlord and Tenant which is not later than sixty (60) days from the end of the
Negotiation Period in the manner set forth in the purchase and sale agreement. All
rights and obligations under this Lease (including the payment of rentals) shall
continue until the date of the Settlement. Upon payment of the purchase price, a Special Warranty
Deed (the “Deed”) containing covenants for further assurances and against encumbrances for the
Property shall be executed by Landlord at Tenant’s expense. The Deed shall convey good and
merchantable title to the 8510 Property to Tenant in fee simple, together with all the rights,
alleys, waters, privileges, appurtenances and advantages thereto. Subject to the provisions of this
Lease, Real Property Taxes, metropolitan charges, and other governmental assessments on
the Real Property shall remain the responsibility of Landlord up to the date of Settlement. There
shall be an apportionment of such taxes, charges, or assessments as of the date of Settlement. The
cost of all documentary stamps, state, county and/or municipal recordation taxes, property transfer
taxes, and other taxes imposed upon the transfer of the Property shall be paid by Tenant. Tenant
shall pay for preparation of all necessary conveyance papers and notary fees, costs of title
examination, and tax certificate. The 8510 Property shall be conveyed “AS-IS” without any
representations or warranties.

-41-

 

EXHIBIT G

Hazardous Chemical List

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	Chemical Abstracts	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Substance	 	 	No.	 	 	On-Hand	 	 	Use	 	 	Storage	 		 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	1, 4-Dioxane
	 	 	CAS#123-91-1	 	 	0	 	 	 	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	1-Butano1
	 	 	CAS# 71-36-3	 	 	1 gal.	 	 	1 Gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	2,4-Dinitrophenol
	 	 	CAS# 51-28-5 	 	 	0	 	 	l gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acetaldehyde
	 	 	CAS# 75-07-0	 	 	0	 	 	.05L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acetic Acid
	 	 	CAS# 64-19-7	 	 	4 gal.	 	 	12 gal/Yr.	 	 	Cab. –Acid/Base	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acetone
	 	 	CAS# 64-19-7. 	 	 	1 gal.	 	 	1 gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acetonitrile
	 	 	CAS# 75-05-8.	 	 	4 gal.	 	 	16 gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acetophenone
	 	 	CAS# 98-86-2	 	 	0	 	 	.01L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acrylamide
	 	 	CAS# 79-06-1.	 	 	100 gm	 	 	100 gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Acrylic Acid
	 	 	CAS# 79-10-7	 	 	10 gm	 	 	10 gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Benz]. Chloride
	 	 	CAS# 100-44-7	 	 	0	 	 	.01L/Yr.	 	 	Sol. Cab.	 	 		 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Chloroform
	 	 	CAS# 67-66-3.	 	 	1 gal.	 	 	1.0 gm/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Cresol (Cresylic Acid)
	 	 	CAS# 1319-77-3	 	 	0	 	 	.01L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Cyclohexane,
	 	 	CAS- 58-89-9  -	 	 	0	 	 	1 gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	hyl Acetate (I) .
	 	 	CAS# 141-78-6	 	 	0	 	 	0.1L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Ethyl Ether (I)
	 	 	CAS# 60-29-7	 	 	0	 	 	0.1L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Fluoroacetic Acid,
Sodium Salt
	 	 	CAST 62-74-8	 	 	0	 	 	.05L/Yr.	 	 	Cab. Acid/Base	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Formaldehyde
	 	 	CAS# 50-00-0.	 	 	.5L	 	 	.01L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Formic Acid
	 	 	CAS# 64-18-6.	 	 	.5L	 	 	10 gm/Yr.	 	 	Lab	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Heptachlor
	 	 	CAS# 76-44-8	 	 	0	 	 	0.1L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Hydrochloric Acid
	 	 	CAS# 7647-01-0.	 	 	1 gal.	 	 	4 gal/Yr.	 	 	Cab. Acid/Base	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Isobutyl Alcohol
	 	 	CAS# 78-83-1	 	 	1 gal.	 	 	1 gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Methanol
	 	 	CAS# 64-56-1.	 	 	4 gal.	 	 	12 gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Nitric Acid
	 	 	CAS# 7697-37-2.	 	 	0.5L	 	 	1 qt/Yr.	 	 	Cab. Acid/Base	 	 		 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Phenol
	 	 	I  CAST 108-95-2.	 	 	.5L	 	 	l0gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Phosphoric Acid
	 	 	CAS= 7664-38-2.	 	 	.5L	 	 	1 qt/Yr	 	 	Cab. Acid/Base	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	p-Nitroaniline
	 	 	CAS# 100-01-6	 	 	0	 	 	10 gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Pyridine
	 	 	I  CAS# 110-86-1	 	 	10	 	 	1L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Pyridine, 3-1-Methyl-
2-Pyrrolidinyl)-,&
Salts
	 	 	CAS- 54-11-5	 	 	0	 	 	1L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Sodium Azide
	 	 	I  CAS#  26628-22-8.	 	 	500 gm	 	 	10 gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Sodium Hydroxide
	 	 	I  CAS# 1310-73-2.	 	 	500 gm	 	 	100 gm/Yr.	 	 	Lab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Sulfuric Acid
	 	 	C.C.S- 7664-93-9	 	 	1L	 	 	2gal/Yr.	 	 	Cab. Acid/Base	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Toluene
	 	 	CAS- 108-88-3	 	 	0.1L	 	 	1 gal/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	ry-p an Blue
	 	 	CAS- 72-57-1	 	 	10 gm	 	 	1 gm / Yr.	 	 	Lab	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	Xylene (I)
	 	 	I  CAS# 1330-20-7	 	 	0.1L	 	 	0.1L/Yr.	 	 	Sol. Cab.	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

 

Solvents are used for general laboratory operations, such as extraction and
chromatography procedures.

Acids and bases are used in the preparation of standard laboratory solutions employed in biomedical
research.

Storage of solvents will be in ventilated solvent cabinets designed for this purpose, and
already exist in the facility.

Storage of acids and bases will be in ventilated and approved cabinets separate
from the solvent storage cabinets, and also exist in the facility.

Storage of isotopes will be in locked refrigerator/freezers as required by WRC and compliant with

 our license.

Radioactive Material

P-32 — Radionuclide; liquid; half-life = 14.3 days 1

Used for labeling nucleic acid probes, mixed with non-toxic biological salts and buffers

P-33 -Radionuclide; liquid; half-life = 25.4 days 1

Used for labeling nucleic acid probes, mixed with non-toxic biological salts and buffers

H-3 – Radionuclide; liquid; half-life = 12.3 years 2

Used for DNA replication assays, mixed with non-toxic biological salts and buffers

S-35 – Radionuclide; liquid; half-life = 87.4 days 2

Used for labeling proteins, mixed with non-toxic biological salts and buffers

1-125 – Radionuclide; liquid; half-life = 59.6 days 1

Used for labeling proteins, mixed with non-toxic biological salts and buffers

1  <  5 mCi at any given time. None currently on hand.

2  <  1 mCi at any given time. None currently on hand.

 

 

ESTOPPEL CERTIFICATE

		
	RE: 	Metamorphix, Inc.

8510 Corridor Road, Savage, MD (“Premises”)

Senior Loan No.                     

The undersigned hereby certifies to (i) The Northwestern Mutual Life Insurance Company
(hereinafter, the “Senior Lender”), the holder or proposed holder of a first
mortgage/deed of trust (hereinafter, the
“Mortgage”) lien and first
priority collateral assignment of leases and rents (hereinafter, the “Senior
Assignment”) on the Premises, and (ii) Fleet Real Estate, Inc., a corporation organized under
the laws of the State of Rhode Island, from time to time doing business under the name “TriSail
Fund” as administrative lender on behalf of itself and certain other lenders (hereinafter,
collectively referred to as the “Junior Lender”), the holder or proposed holder of a
second priority collateral assignment of leases and rents (hereinafter, the “Junior
Assignment”) on the Premises, that the undersigned is a tenant at the Premises under a lease
dated December, 2001 between Columbia Acquisition. LLC, as landlord, and Metamorphix.
Inc., as tenant (such lease, as modified by the instruments indicated at the end of this
certificate being hereinafter referred to as the “Lease”).

The undersigned further hereby certifies to the Senior Lender and Junior Lender that:

	1.  	The Lease is presently in full force and effect and unmodified except as indicated at the
end of this Estoppel Certificate*. The Lease contains all of the understandings and
agreements between the landlord thereunder (the “Landlord”) and the undersigned.

	2.  	The undersigned has accepted possession of the space at the Premises demised under
the Lease containing 15,000 rentable square feet, any improvements required by the
terms of the Lease to be made by the Landlord have been completed to the satisfaction of
the undersigned and any and all other special conditions to be performed by the Landlord
prior to or at commencement of the term of the Lease or as a condition therefor have been
performed and satisfied. The commencement date of the term of the Lease is 1 /1
/02, and. the expiration date is 12/31/11,

	3.  	The undersigned’s obligation to pay rent has commenced in full. The Lease provides for,
and the undersigned is currently paying, rent as follows:

	 	(a)  	Monthly installment of fixed /base rent) (as defined in
the Lease): $22,312.50
	 
	 	(b)  	Monthly installment of [Tenant’s proportionate.share of Basic Operating Cost.
etc) (as defined in the Lease): $ 3,508.89

No rent under the Lease has been paid more than 30 days in advance of its due date.

 

	4.  	
Unless set forth below, the address for notices to be sent to the undersigned is as set
forth in the Lease or in a notice attached to this Estoppel Certificate.

 

 

	5.  	To the best of undersigned’s knowledge, the Landlord is not in default under the Lease,
and the undersigned, as of this date, has no charge, lien or claim of setoff under the
Lease or otherwise against rents or other charges due or to become due thereunder.

	6.  	The undersigned has no right of first refusal with respect to any other space in
the Premises and renewal option(s) to extend or terminate the Lease, except as
follows:

Termination Option at end of Year 5.

Right of First Offer to lease space in building

Right of First Opportunity to purchase Property and Building.

	7.  	The undersigned has no option to acquire any interest in any portion of the
Premises, except as follows: None

	8.  	The undersigned has made a security deposit in the amount of $89,575.00. $9,575.00
remains due. Total security deposit under the lease is $99,150.00

	9.  	The undersigned is not in default under the Lease and is current in the payment of
rent except for the Security Deposit balance ($9,575.00),

/s/ Michael Thomas

and November late charge ($1,340.27) required to be paid by the undersigned to the
Landlord.

	10.  	The undersigned has not entered into any sublease, assignment or other agreement
transferring any of its interests in the Lease or the Premises, except as follows:
None

	11.  	There are no actions, whether voluntary or otherwise, pending against the
undersigned (or any guarantor of the undersigned’s obligations under the Lease) under
the bankruptcy or insolvency laws of the United States or any state thereof.

	12.  	Except as provided for in the Exhibit D of the Lease, /s/ Michael Thomas the
Tenant shall not amend, modify, cancel or terminate the Lease, or consent to an
amendment, modification, cancellation or termination of the Lease, without Senior
Lender’s and Junior Lender’s prior written consent in each instance.

	13.  	Tenant consents to and agrees that upon notice from Junior Lender, Tenant shall make
all subsequent payments of rent and other charges payable under the Lease directly to
Junior Lender, unless Tenant receives notice from Senior Lender, in which event, the
Senior Lender’s notice shall have priority and Tenant shall make all subsequent payments
of rent and other charges payable under the Lease directly to Senior Lender. It being
understood and agreed that the payment of such rent and other charges to Senior Lender or
Junior Lender, as applicable, under the Senior Assignment or Junior Assignment, as
applicable, shall not be deemed to place control of the Premises on either the Senior
Lender or Junior Lender, nor to render the Senior Lender or Junior Lender liable for the
obligations of the Landlord under the Lease unless and until Senior Lender or Junior
Lender, as applicable, obtains actual possession of or title to the Premises.
	 
	14.  	The undersigned further agrees with Senior Lender and Junior Lender that, from and
after the date hereof, the undersigned shall promptly forward to Senior Lender and Junior
Lender, at the Senior Lender’s and Junior Lender’s address designated herein or such
address as Lender may from time to time designate to the undersigned in writing, copies of
all notices (other than routine correspondence) given by the undersigned to the Landlord
pursuant to the Lease. The undersigned agrees that no notice from the undersigned to
Landlord under the Lease shall be effective unless and until a copy of the

 

 

	 	  	same is given to Senior Lender and Junior Lender, at the Senior Lender’s and Junior
Lender’s address. The undersigned further agrees with Senior Lender and Junior Lender that,
from and after the date hereof, the undersigned will not seek to terminate the Lease by
reason of any act or omission of the Landlord until the undersigned shall have given
written notice of such act or omission to (i) Senior Lender, 720 E. Wisconsin Avenue,
Milwaukee, WI 53202, Attn: Treasury and Investment Operations, Real Estate Operations Unit
(or to such other address subsequently furnished to the undersigned), and (ii) Junior
Lender, One Federal Street, 4th Floor, MADE 10304X, Boston, Massachusetts 02110,
Attention: Teresa B Weinreich, Director and until a reasonable period of time shall have
elapsed following the giving of such notice, during which period the Senior Lender and
Junior Lender shall have the right, but shall not be obligated, to remedy such act or
omission.
	 
	 	15.  	If Senior Lender or Junior Lender shall succeed to the interest of Landlord under the Lease,
or if (x) Senior Lender shall otherwise become liable for Landlord obligations under the Lease
as a result of Senior Lender’s possession of the Premises or (y) Junior Lender shall otherwise
become liable for Landlord obligations under the Lease as a result of Junior
Lender’s foreclosure of its ownership interests pledge in and to the Landlord, the following
limitations shall apply: (i) Senior Lender and Junior Lender, as applicable, shall only be
liable for obligations arising during the period of its ownership or possession of the
Property; and (ii) Senior Lender and Junior Lender, as applicable, shall not be (a) liable for
any act or omission of any prior landlord, or (b) subject to any offsets or defenses which
Tenant might have against any prior landlord, or (c) bound by any rent, additional rent, or
other payment, which Tenant might have paid for more than the current rental period to any
prior landlord, or (d) bound by any amendment or modification of the Lease, or any consent to
any assignment or sublet, made without Senior Lender’s and Junior Lender’s prior written
consent, or (e) bound by or responsible for any security deposit not actually received by
Senior Lender or Junior Lender, as applicable, or (f) personally liable for, or incur any
obligation with respect to, any breach of warranty, representation or covenant under the Lease
(it being agreed that Tenant’s sole remedy for any such breach shall be to proceed against
Senior Lender’s or Junior Lender’s interest in the Premises, or to exercise any rights of
set-off or termination provided for in the Lease).

	 	 	 
	Dated: January 8, 2004

Address:8510 Corridor Road

	 	MetaMorphix, Inc.
	 
	 	 
	Savage. MD 20763

	 	/s/Michael Thomas
	 

	 	 
	

	 	(Signature)
	

	 	V.P. and Chief
Financial Officer
	

	 	
(Title)

*Lease modifications, if any, to be listed here:exv10w9

 

Exhibit 10.9

CONSENT TO SUBLEASE

     The undersigned, the Landlord under that certain Lease (the “Lease”) dated November
23, 2004, by and between METAMORPHIX, INC., as Tenant, and COLUMBIA ACQUISITION, L.L.C., as
Landlord (“Landlord”), for premises (“Premises”) located at 8510 Corridor Road, Savage, Maryland
as more particularly set forth in the Lease, does hereby consent to the attached Sublease
Agreement (the “Sublease Agreement”), between METAMORPHIX, INC. (“Sublessor”) and CHESAPEAKE
PERL, INC. (“Sublessee”).

     This consent is given upon the expressed following conditions:

     1. Sublessor shall continue to remain primarily liable for the payment of all amounts of
rental and other sums and performance of all covenants required of Sublessor as Tenant under the
Lease.

     2. Notwithstanding anything to the contrary in the Sublease, the Sublease is absolutely
subordinate in all respects to the Lease. There shall be no modifications or amendments of the
Sublease Agreement without the prior written consent of Landlord not to be unreasonably withheld,
conditioned or delayed.

     3. Except as expressly set forth in the Sublease Agreement, consent by Landlord to this
subletting shall not include consent to the assignment or transferring of any lease renewal
option rights or space option rights, special privileges or extra services granted to Sublessor
by the Lease, or addendum or amendment hereto or letter of agreement (and such options, right,
privileges or services shall terminate upon such assignment or transfer).

     4. In the event of any default under the terms and provisions of the Lease, Landlord shall
have the right to collect the rental attributable to the Premises subject to the Sublease Agreement
directly from Sublessee without waiving any of Landlord’s rights against Sublessor as a result of
such default.

     5. Except as expressly set forth in the Sublease Agreement, consent by Landlord to the
Sublease Agreement is without waiver of Lease restrictions concerning future subleases or
extensions of the foregoing Sublease Agreement.

     6. Sublessor shall reimburse Landlord for all legal and any other costs associated with the
approval of this subletting.

     7. Landlord shall not be liable for, and Sublessor hereby indemnifies and holds Landlord
harmless from, any real estate brokerage commissions associated with the Sublease Agreement.

     8. Consistent with Section 25 of the Lease, redress for any claims against Landlord under
the Lease or this Consent shall only be made against Landlord to the extent of Landlord’s
interest in the property of which the Premises are a part and shall be limited as provided in
Section 25 of the Lease. The obligations of Landlord under the Lease and this Consent shall not
be personally binding on, nor shall any resort be had to the private properties of, any of its

 

 

trustees or board of directors and officers, as the case may be, the general partners thereof or
any beneficiaries, stockholders, employees or agents of Landlord, or its investment manager.

     10. Sublessor and Sublessee hereby mutually waive their respective rights of recovery against
Landlord for any loss insured by fire, extended coverage, All Risks or other insurance now or
hereafter existing for the benefit of the respective party but only to the extent of the net
insurance proceeds payable under such policies. Sublessor and Sublessee shall each obtain any
special endorsements required by their insurer to evidence compliance with the aforementioned
waiver.

	 	 	 	 	 	 	 	 	 
	LANDLORD:	 	 	 	SUBLESSOR:
	 
	 	 	 	 	 	 	 	 
	COLUMBIA ACQUISITION, L.L.C.	 	 	 	METAMORPHIX, INC.
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Patrick Creaney
	 	 	 	By:
	 	/s/ Thomas Prescott Russo
	

	 	 
	 	 	 	 	 	 
	Title: Member	 	 	 	Title: CFO
	Date: 2/2/05	 	 	 	Date: 12/02/04
	 
	 	 	 	 	 	 	 	 
	By:
	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	 	 	 
	Title: SUBLESSEE:	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	CHESAPEAKE PERL, INC.
	 
	 	 	 	 	 	 	 	 
	

	 	 	 	 	 	By:
	 	/s/ Terry Chase
	

	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Title: President
	 	 	 	 	 	 	Date: 12/03/04

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