Document:

Exhibit 10.1

 

 

July 26,
2010

 

Karl
D. Noone

[Redacted]

 

Dear
Karl:

 

We
are pleased to offer you the position of Senior Vice President and Corporate
Controller of Atlantic Tele-Network, Inc. (the “Company”) reporting to the
Chief Financial Officer.

 

Your
initial salary will be $210,000 per year, payable bi-weekly.  In addition, you will be eligible for an
annual cash performance bonus of up to 30% of your base salary (pro-rated for
the first year).   This bonus is
discretionary and not earned until paid. 
The amount of the bonus in any year will be based on a number of
factors, including your overall performance, your performance against set
objectives and the performance of the Company overall.

 

Subject
to board approval, you will also be issued 5,000 shares of restricted stock and
options to purchase 15,000 shares of the Company’s common stock, both with
four-year proportional annual vesting. 
The options will carry a ten-year term and an exercise price equal to
fair market value on the date of grant.

 

As
a Company employee, you will be eligible to participate in the Company’s
medical, dental, life and disability insurance plans.  Additionally, you will be eligible to
participate in our 401(k) plan the 1st of the month
following 90 days of employment.  At such
time you become eligible for these benefits, you will receive enrollment
information. You will earn vacation at the rate of 3 weeks per year accrued
monthly.  Rebekah Larsen will follow up
with you on the details of all the benefits plans, enrollment and employee
contributions separately.  A copy of the
current Employee Handbook will be provided to you after your start date and
will require you to sign and return a form acknowledging you have read and
understood the Company’s policies and have been provided the opportunity to
address any questions or concerns you may have.

 

We
fully expect that you will comply with any post-employment obligations you may
have to your current and past employers with respect to confidentiality and
similar matters; your responsibilities with ATN will in no way require your
breaching any such obligations.  By
accepting this offer, you are confirming that you are not subject to any non
competition or

 

 

similar
agreement or duty to any other person that might interfere with your employment
with ATN or the performance of your responsibilities as described above.

 

If
you accept this offer, you will be an employee-at-will, which means that either
you or ATN is free to terminate the employment relationship at any time with or
without cause, and you are agreeing not to engage in any competitive work
during your employment or within six months after leaving ATN’s employment,
whether you leave voluntarily or involuntarily. For such purposes, competitive
work includes performing work for, or directly benefitting, competitors of ATN
or any of our subsidiaries or affiliates. 
You will also be expected to sign and adhere to a standard
confidentiality agreement protecting ATN’s and its subsidiaries’ and affiliates’
confidential and proprietary information.

 

We
very much look forward to your joining the ATN team.  We are excited about the opportunities and
believe that you will be a major contributor to ATN’s continued success.  Please call me with any questions on
978-619-13XX or email me at XXXX@atni.com.

 

 

	
  Sincerely,

  	
   

  
	
   

  	
   

  
	
  /s/
  Justin D. Benincasa

  	
   

  
	
  Justin
  D. Benincasa

  	
   

  
	
  Atlantic
  Tele-Network, Inc.

  	
   

  
	
  Chief
  Financial Officer

  	
   

  

 

 

I
accept the above employment offer and confirm a start date of August 9,
2010.

 

	
  /s/ Karl D. NooneExhibit 10.1

 

Confidential Materials omitted and filed separately with the

Securities and Exchange Commission. Asterisks denote omissions.

 

200 WEST STREET

WALTHAM, MASSACHUSETTS

 

TABLE OF CONTENTS

 

	
  Lease dated May 19, 2010

  	
  1

  
	
   

  	
   

  	
   

  
	
  ARTICLE I

  	
   

  
	
  Basic Lease Provisions and
  Enumerations of Exhibits

  	
  1

  
	
  1.1

  	
  Introduction

  	
  1

  
	
  1.2

  	
  Basic Data

  	
  1

  
	
  1.3

  	
  Enumeration of Exhibits

  	
  4

  
	
   

  	
   

  	
   

  
	
  ARTICLE II

  	
   

  
	
  Premises

  	
  5

  
	
  2.1

  	
  Demise and Lease of Initial Premises

  	
  5

  
	
  2.2

  	
  Expansion Rights

  	
  6

  
	
  2.3

  	
  Appurtenant Rights and Reservations

  	
  6

  
	
   

  	
   

  	
   

  
	
  ARTICLE III

  	
   

  
	
  Lease Term and Extension Option

  	
  7

  
	
  3.1

  	
  Term

  	
  7

  
	
  3.2

  	
  Extension Option

  	
  7

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV

  	
   

  
	
  Condition of Premises; Signage

  	
  9

  
	
  4.1

  	
  Condition of Premises

  	
  9

  
	
  4.2

  	
  Signage

  	
  9

  
	
   

  	
   

  	
   

  
	
  ARTICLE V

  	
   

  
	
  Annual Fixed Rent and Electricity

  	
  10

  
	
  5.1

  	
  Fixed Rent and Electricity Charges

  	
  10

  
	
  5.2

  	
  Tenant Electricity

  	
  11

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI

  	
   

  
	
  Taxes

  	
   

  	
  14

  
	
  6.1

  	
  Definitions

  	
  14

  
	
  6.2

  	
  Tenant’s Share of Real Estate Taxes

  	
  15

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII

  	
   

  
	
  Landlord’s Repairs and Services
  and Tenant’s Escalation Payments

  	
  16

  
	
  7.1

  	
  Structural Repairs

  	
  16

  
	
  7.2

  	
  Other Repairs to be Made by Landlord

  	
  16

  
	
  7.3

  	
  Services to be Provided by Landlord

  	
  17

  

 

i

 

	
  7.4

  	
  Operating Costs Defined

  	
  17

  
	
  7.5

  	
  Tenant’s Escalation Payments

  	
  22

  
	
  7.6

  	
  No Damage

  	
  24

  
	
   

  	
   

  	
   

  
	
  ARTICLE VIII

  	
   

  
	
  Tenant’s Repairs

  	
  26

  
	
  8.1

  	
  Tenant’s Repairs and Maintenance

  	
  26

  
	
   

  	
   

  	
   

  
	
  ARTICLE IX

  	
   

  
	
  Alterations

  	
  27

  
	
  9.1

  	
  Landlord’s Approval

  	
  27

  
	
  9.2

  	
  Conformity of Work

  	
  28

  
	
  9.3

  	
  Performance of Work, Governmental Permits and Insurance

  	
  28

  
	
  9.4

  	
  Liens

  	
  29

  
	
  9.5

  	
  Nature of Alterations

  	
  29

  
	
  9.6

  	
  Increases in Taxes

  	
  30

  
	
  9.7

  	
  Alterations Permitted Without Landlord’s Consent

  	
  30

  
	
   

  	
   

  	
   

  
	
  ARTICLE X

  	
   

  
	
  Parking

  	
  31

  
	
  10.1

  	
  Tenant’s Parking

  	
  31

  
	
   

  	
   

  	
   

  
	
  ARTICLE XI

  	
   

  
	
  Certain Tenant and Landlord
  Covenants

  	
  32

  
	
   

  	
   

  	
   

  
	
  ARTICLE XII

  	
   

  	
   

  
	
  Assignment and Subletting

  	
  36

  
	
  12.1

  	
  Restrictions on Transfer

  	
  36

  
	
  12.2

  	
  Exceptions

  	
  36

  
	
  12.3

  	
  Landlord’s Termination Right

  	
  37

  
	
  12.4

  	
  Consent of Landlord

  	
  38

  
	
  12.5

  	
  Tenant’s Notice

  	
  40

  
	
  12.6

  	
  Profit on Subleasing or Assignment

  	
  40

  
	
  12.7

  	
  Additional Conditions

  	
  41

  
	
  12.8

  	
  Short-Term Subleases

  	
  42

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIII

  	
   

  
	
  Indemnity And Insurance

  	
  43

  
	
  13.1

  	
  Indemnity

  	
  43

  
	
  13.2

  	
  Tenant’s Risk

  	
  44

  
	
  13.3

  	
  Tenant’s Commercial General Liability Insurance

  	
  45

  
	
  13.4

  	
  Tenant’s Property Insurance

  	
  45

  
	
  13.5

  	
  Tenant’s Other Insurance

  	
  46

  
	
  13.6

  	
  Requirements for Tenant’s Insurance

  	
  47

  
	
  13.7

  	
  Additional Insureds

  	
  47

  
	
  13.8

  	
  Certificates of Insurance

  	
  47

  
	
  13.9

  	
  Subtenants and Other Occupants

  	
  48

  

 

ii

 

	
  13.10

  	
  No Violation of Building Policies

  	
  48

  
	
  13.11

  	
  Tenant to Pay Premium Increases

  	
  48

  
	
  13.12

  	
  Landlord’s Insurance

  	
  48

  
	
  13.13

  	
  Waiver of Subrogation

  	
  49

  
	
  13.14

  	
  Tenant’s Work

  	
  50

  
	
   

  	
   

  	
   

  
	
  ARTICLE XIV

  	
   

  
	
  Fire, Casualty and Taking

  	
  50

  
	
  14.1

  	
  Damage Resulting from Casualty

  	
  50

  
	
  14.2

  	
  Uninsured Casualty

  	
  52

  
	
  14.3

  	
  Rights of Termination for Taking

  	
  52

  
	
  14.4

  	
  Award

  	
  53

  
	
   

  	
   

  	
   

  
	
  ARTICLE XV

  	
   

  
	
  Default

  	
  54

  
	
  15.1

  	
  Tenant’s Default

  	
  54

  
	
  15.2

  	
  Termination; Re-Entry

  	
  55

  
	
  15.3

  	
  Continued Liability; Re-Letting

  	
  56

  
	
  15.4

  	
  Liquidated Damages

  	
  57

  
	
  15.5

  	
  Waiver of Redemption

  	
  58

  
	
  15.6

  	
  Landlord’s Default

  	
  58

  
	
   

  	
   

  	
   

  
	
  ARTICLE XVI

  	
   

  
	
  Miscellaneous Provisions

  	
  58

  
	
  16.1

  	
  Waiver

  	
  58

  
	
  16.2

  	
  Cumulative Remedies

  	
  59

  
	
  16.3

  	
  Quiet Enjoyment

  	
  59

  
	
  16.4

  	
  Surrender

  	
  60

  
	
  16.5

  	
  Brokerage

  	
  60

  
	
  16.6

  	
  Invalidity of Particular Provisions

  	
  60

  
	
  16.7

  	
  Provisions Binding, Etc.

  	
  60

  
	
  16.8

  	
  Recording; Confidentiality

  	
  61

  
	
  16.9

  	
  Notices and Time for Action

  	
  61

  
	
  16.10

  	
  When Lease Becomes Binding

  	
  62

  
	
  16.11

  	
  Paragraph Headings

  	
  62

  
	
  16.12

  	
  Rights of Mortgagee

  	
  62

  
	
  16.13

  	
  Rights of Ground Lessor

  	
  63

  
	
  16.14

  	
  Notice to Mortgagee and Ground Lessor

  	
  63

  
	
  16.15

  	
  Assignment of Rents

  	
  63

  
	
  16.16

  	
  Status Report and Financial Statements

  	
  64

  
	
  16.17

  	
  Self-Help

  	
  65

  
	
  16.18

  	
  Holding Over

  	
  66

  
	
  16.19

  	
  Entry by Landlord

  	
  67

  
	
  16.20

  	
  Tenant’s Payments

  	
  67

  
	
  16.21

  	
  Late Payment

  	
  68

  
	
  16.22

  	
  Counterparts

  	
  68

  

 

iii

 

	
  16.23

  	
  Entire Agreement

  	
  68

  
	
  16.24

  	
  Limitation of Liability

  	
  69

  
	
  16.25

  	
  No Partnership

  	
  69

  
	
  16.26

  	
  Security Deposit

  	
  69

  
	
  16.27

  	
  Waiver of Trial by Jury

  	
  72

  
	
  16.28

  	
  Patriot Act and Executive Order 13224

  	
  72

  
	
  16.29

  	
  Governing Law

  	
  74

  
	
  16.30

  	
  Tenant’s Telecommunications Equipment

  	
  74

  
	
  16.31

  	
  Tenant’s Operational Equipment

  	
  77

  
	
  16.32

  	
  Emergency Generator

  	
  79

  
	
  16.33

  	
  Waiver of Landlord’s Lien

  	
  81

  
	
   

  	
   

  	
   

  
	
  ARTICLE XVII

  	
   

  
	
  Expansion Rights

  	
  82

  
	
  17.1

  	
  Definitions

  	
  82

  
	
  17.2

  	
  Third Floor Expansion Premises

  	
  83

  
	
  17.3

  	
  East Wing Expansion Premises

  	
  85

  
	
  17.4

  	
  Right of First Offer

  	
  88

  

 

iv

 

200 WEST STREET

WALTHAM, MASSACHUSETTS

 

Lease dated May 19, 2010

 

THIS
INSTRUMENT IS AN INDENTURE OF LEASE in which the Landlord and the Tenant are
the parties hereinafter named, and which relates to space in the building (the
“Building”) known as, and having an address at, 200 West Street, Waltham,
Massachusetts.

 

The
parties to this instrument hereby agree with each other as follows:

 

ARTICLE I

 

Basic Lease Provisions and
Enumerations of Exhibits

 

1.1           Introduction

 

(A)          The following Sections 1.2 and 1.3 set forth the
basic data and identifying Exhibits elsewhere hereinafter referred to in this
Lease, and, where appropriate, constitute definitions of the terms hereinafter
listed.

 

1.2           Basic Data

 

	
  Date:

  	
   

  	
  May 19,
  2010

  
	
   

  	
   

  	
   

  
	
  Landlord:

  	
   

  	
  BOSTON
  PROPERTIES LIMITED PARTNERSHIP, a Delaware limited partnership

  
	
   

  	
   

  	
   

  
	
  Present
  Mailing Address of Landlord:

  	
   

  	
  c/o
  Boston Properties, Inc.

  Prudential Tower

  800 Boylston Street, Suite 1900

  Boston, Massachusetts 02199-8103

  
	
   

  	
   

  	
   

  
	
  Landlord’s
  Construction Representative:

  	
   

  	
  Richard
  Monopoli and Michael Schumacher

  
	
   

  	
   

  	
   

  
	
  Tenant:

  	
   

  	
  A123
  SYSTEMS, INC., a Delaware corporation

  
	
   

  	
   

  	
   

  
	
  Present
  Mailing Address of Tenant:

  	
   

  	
  Arsenal
  on the Charles

  321 Arsenal Street, 3rd Floor

  Watertown, Massachusetts 02472

  
	
   

  	
   

  	
   

  
	
  Tenant’s
  Construction Representative:

  	
   

  	
  Kent
  Gonzales and Jack Troast

  

 

1

 

	
  Lease
  Term (sometimes called the “Original Lease Term”):

  	
   

  	
  The
  period beginning on the Commencement Date and ending the last day of the one
  hundred twentieth (120th) full calendar month immediately following the
  Commencement Date, unless extended or sooner terminated as hereinafter
  provided.

  
	
   

  	
   

  	
   

  
	
  Extension
  Option:

  	
   

  	
  One
  (1) period of five (5) years as provided in and on the terms set
  forth in Section 3.2 hereof.

  
	
   

  	
   

  	
   

  
	
  Lease
  Year:

  	
   

  	
  A
  period of twelve (12) consecutive calendar months, commencing on the first
  day of January in each year, except that the first Lease Year of the
  Lease Term hereof shall be the period commencing on the Commencement Date and
  ending on the succeeding December 31, and the last Lease Year of the
  Lease Term hereof shall be the period commencing on January 1 of the
  calendar year in which the Lease Term ends, and ending with the date on which
  the Lease Term ends.

  
	
   

  	
   

  	
   

  
	
  Commencement
  Date:

  	
   

  	
  As
  defined in Section 3.1 of this Lease.

  
	
   

  	
   

  	
   

  
	
  Estimated
  Commencement Date:

  	
   

  	
  April 1,
  2011

  
	
   

  	
   

  	
   

  
	
  The
  Site:

  	
   

  	
  That
  certain parcel of land located on West Street, Waltham, Middlesex County,
  Massachusetts, being more particularly described in Exhibit A attached
  hereto.

  
	
   

  	
   

  	
   

  
	
  The
  Building:

  	
   

  	
  The
  Building known as and numbered 200 West Street, Waltham, Massachusetts,
  located on the Site, and containing the Total Rentable Floor Area set forth
  below.

  
	
   

  	
   

  	
   

  
	
  The
  Complex:

  	
   

  	
  The
  Building together with all common areas, parking areas, garage, and structures
  and the Site, as shown on the site plan attached hereto as Exhibit K.

  

 

2

 

	
  Premises:

  	
   

  	
  A
  portion of the first (1st), second (2nd) and third (3rd) floors of the
  Building, in accordance with the floor plans annexed hereto as Exhibit E
  and incorporated herein by reference, as further defined and limited in
  Section 2.1 hereof.

  
	
   

  	
   

  	
   

  
	
  Rentable
  Floor Area of the Premises:

  	
   

  	
  87,924
  square feet.

  
	
   

  	
   

  	
   

  
	
  Annual
  Fixed Rent:

  	
   

  	
  (a) During
  the period commencing on the Commencement Date and ending on the last day of
  the sixtieth (60th) full calendar month immediately following the
  Commencement Date, at the annual rate of $2,198,100.00 (being the product of
  (x) $25.00 and (y) the Rentable Floor Area of the Premises (being
  87,924 square feet)).

   

  (b) During
  the period commencing on the first day of the sixty-first (61st) full
  calendar month immediately following the Commencement Date and ending on the
  last day of the Original Lease Term, at the annual rate of $2,373,948.00 (being
  the product of (x) $27.00 and (y) the Rentable Floor Area of the
  Premises).

  
	
   

  	
   

  	
   

  
	
  Tenant
  Electricity:

  	
   

  	
  As
  provided in Section 5.2 hereof.

  
	
   

  	
   

  	
   

  
	
  Additional
  Rent:

  	
   

  	
  All
  charges and other sums payable by Tenant as set forth in this Lease, in
  addition to Annual Fixed Rent.

  
	
   

  	
   

  	
   

  
	
  Initial
  Minimum Limits of Tenant’s Commercial General Liability:

  	
   

  	
  $5,000,000.00
  combined single limit per occurrence, provided that if the Rentable Floor
  Area of the Premises should exceed 100,000 square feet, the aforesaid minimum
  limit shall be increased to $10,000,000.00 (which such insurance limits may
  be satisfied through a combination of primary and umbrella coverage).

  
	
   

  	
   

  	
   

  
	
  Total
  Rentable Floor Area of the Building:

  	
   

  	
  257,384
  square feet.

  

 

3

 

	
  Number
  of Parking Privileges:

  	
   

  	
  Four
  (4) parking privileges for each 1,000 square feet of the Rentable Floor
  Area of the Premises (as the same may be expanded pursuant to
  Article XVII below), twenty-five percent (25%) of which will be located
  in the parking structure located on the Site and the remainder of which will
  be located on the surface parking areas located on the Site (all as shown on
  Exhibit K attached hereto).

  
	
   

  	
   

  	
   

  
	
  Permitted
  Use:

  	
   

  	
  General
  office use, light manufacturing, research labs and structures and such
  accessory uses thereto as may from time to time be permitted by the Zoning
  Ordinance for the City of Waltham.

  
	
   

  	
   

  	
   

  
	
  Broker:

  	
   

  	
  T3
  Advisors, LLC

  230 CityPoint

  Waltham, Massachusetts 02451

  
	
   

  	
   

  	
   

  
	
  Initial
  Security Deposit Amount:

  	
   

  	
  $1,000,000.00,
  subject to reduction pursuant to Section 16.26

  

 

1.3           Enumeration of Exhibits

 

The
following Exhibits attached hereto are a part of this Lease, are incorporated
herein by reference, and are to be treated as a part of this Lease for all
purposes. Undertakings contained in such Exhibits are agreements on the part of
Landlord and Tenant, as the case may be, to perform the obligations stated
therein to be performed by Landlord and Tenant, as and where stipulated
therein.

 

	
  Exhibit A

  	
   

  	
  —

  	
   

  	
  Description
  of the Site

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B-1

  	
   

  	
  —

  	
   

  	
  Landlord’s
  Work

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B-2

  	
   

  	
  —

  	
   

  	
  Base
  Building Work

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B-3

  	
   

  	
  —

  	
   

  	
  Work
  Matrix

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B-4

  	
   

  	
  —

  	
   

  	
  Tenant
  Plan Requirements

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B-5

  	
   

  	
  —

  	
   

  	
  Construction
  Management Services

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B-6

  	
   

  	
  —

  	
   

  	
  Tenant’s
  Dry Room

  

 

4

 

	
  Exhibit C

  	
   

  	
  —

  	
   

  	
  Landlord’s
  Services

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit D

  	
   

  	
  —

  	
   

  	
  Building
  Signage and Monument Signage

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit E

  	
   

  	
  —

  	
   

  	
  Floor
  Plans

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit F

  	
   

  	
  —

  	
   

  	
  Third
  Floor Expansion Premises and East Wing Expansion Premises

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit G

  	
   

  	
  —

  	
   

  	
  Form of
  Commencement Date Agreement

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit H

  	
   

  	
  —

  	
   

  	
  Broker
  Determination of Prevailing Market Rent

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit I

  	
   

  	
  —

  	
   

  	
  Form of
  Letter of Credit

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit J

  	
   

  	
  —

  	
   

  	
  Form of
  Notice of Lease

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit K

  	
   

  	
  —

  	
   

  	
  Site
  Plan

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit L

  	
   

  	
  —

  	
   

  	
  Form of
  Certificate of Insurance

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit M

  	
   

  	
  —

  	
   

  	
  Prior
  Rights

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit N

  	
   

  	
  —

  	
   

  	
  Tenant’s
  Operational Equipment

  

 

ARTICLE II

 

Premises

 

2.1           Demise and Lease of Initial
Premises

 

Landlord
hereby demises and leases to Tenant, and Tenant hereby hires and accepts from
Landlord, the Premises in the Building. Tenant shall also have the exclusive
right to use the loading dock being provided by Landlord as part of the Base
Building Work (as that term is defined in Exhibit B-1 attached hereto),
which such loading dock shall be deemed to be a part of the Premises for all
intents and purposes under this Lease (although the same shall not be deemed to
have any rentable floor area). The Premises shall exclude exterior faces of
exterior walls, the common stairways and stairwells, elevators and elevator
walls, mechanical rooms, electric and telephone closets, janitor closets, and
pipes, ducts, shafts, conduits, wires and appurtenant fixtures serving
exclusively or in common other parts of the Building, and if the Premises
includes less than the entire rentable area of any floor, shall also exclude
the common corridors, elevator lobbies and toilets located on such floor.

 

5

 

2.2           Expansion Rights

 

Tenant
may further expand the Premises pursuant to expansion rights more particularly
set forth in Article XVII.

 

2.3           Appurtenant Rights and
Reservations

 

Subject
to Landlord’s right to change or alter any of the following in Landlord’s
discretion as herein provided, Tenant shall have, as appurtenant to the
Premises, the non-exclusive right to use in common with others, but not in a
manner or extent that would materially interfere with the normal operation and
use of the Building as a multi-tenant office building and subject to reasonable
rules of general applicability to tenants of the Building from time to
time made by Landlord of which Tenant is given notice: (a) the common
lobbies, corridors, stairways, and elevators of the Building, and the pipes,
ducts, shafts, conduits, wires and appurtenant meters and equipment serving the
Premises in common with others, (b) the loading areas serving the Building
(provided, however, that Tenant may only utilize the common loading areas for
the delivery and loading of materials of a type and nature consistent with
general office use; all other materials shall be delivered to and/or loaded at
the loading dock being provided for Tenant’s exclusive use under
Section 2.1 above) and the common walkways and driveways necessary for
access to the Building, (c) if the Premises include less than the entire
rentable floor area of any floor, the common toilets, corridors and elevator
lobby of such floor, and (d) the cafeteria, if any, and fitness center
(including machine weights, free weights and cardiovascular equipment) provided
by Landlord for the use and enjoyment of tenants of the Complex (Landlord
hereby agreeing, so long as Tenant leases and together with permitted assignees
and/or subtenants under Article XII below occupies at least 87,924 square
feet of rentable floor area in the Building, (i) to operate a cafeteria in
the Complex and (ii) to consult with Tenant in good faith regarding the
ongoing contract with the cafeteria operator, provided, however, that the final
decision as to all matters regarding the contract with such cafeteria operator
shall be made by Landlord in its reasonable discretion). Tenant shall have the
right to contract separately with its own telecommunication service provider
and Landlord will not unreasonably withhold consent to any request by Tenant to
allow such provider to have access to the Building or to the Premises, provided
that Landlord may condition such access, without limitation of the foregoing,
on Landlord’s approval of the identity of the service provider, its execution
of an access and easement agreement satisfactory to Landlord and, should
telecommunications services be furnished by such service provider to both
Tenant and other tenants and occupants in the Building, then subject to the payment
to Landlord by the service provider of fees assessed by Landlord in its
reasonable discretion.

 

Landlord
reserves the right from time to time, without material interference with
Tenant’s use: (a) to install, use, maintain, repair, replace and relocate
for service to the Premises and other parts of the Building, or either, pipes,
ducts, conduits, wires and appurtenant fixtures, wherever located in the
Premises or the Building, and (b) to alter or relocate any other common
facility, provided that substitutions are substantially equivalent or better.
Installations, replacements and relocations referred to in clause
(a) above shall be located so far as practicable in the central core area
of the Building, above ceiling surfaces, below floor surfaces or within
perimeter walls of the Premises. Except in the case of

 

6

 

emergencies
or for normal cleaning and maintenance work, Landlord agrees to use its best
efforts to give Tenant reasonable advance notice of any of the foregoing
activities which require work in the Premises. In all cases, Landlord shall use
commercially reasonable efforts to minimize or avoid inconvenience to Tenant in
connection with its exercise of the rights granted herein (consistent with the
nature of the rights being exercised).

 

ARTICLE III

 

Lease Term and Extension
Option

 

3.1           Term

 

The
Term of this Lease shall be the period specified in Section 1.2 hereof as
the “Lease Term,” unless sooner terminated or extended as herein provided. The
Commencement Date shall be as determined in accordance with
Section 1.3(C) of Exhibit B-1 attached hereto.

 

As
soon as may be convenient after the date has been determined on which the Term
commences as aforesaid, Landlord and Tenant agree to join with each other in
the execution, in the form of Exhibit G hereto, of a written Declaration
in which the commencement date shall be stated. If Tenant shall fail to execute
such Declaration, such commencement date shall be as reasonably determined by
Landlord in accordance with the terms of this Lease.

 

3.2           Extension Option

 

(A)          On the conditions (which conditions Landlord may
waive by written notice to Tenant) that both at the time of exercise of the
herein described option to extend and as of the commencement of the Extended
Term (i) there exists no monetary or material non-monetary “Event of
Default” (defined in Section 15.1), (ii) this Lease is still in full
force and effect, and (iii) Tenant has neither assigned this Lease nor
sublet more than fifty percent (50%) of the Rentable Floor Area of the Premises
(except for an assignment or subletting permitted in accordance with Sections
12.2 and 12.8 hereof), Tenant shall have the right to extend the Term hereof
upon all the same terms, conditions, covenants and agreements herein contained
(except for the Annual Fixed Rent and tax and operating cost bases, which shall
be adjusted during the option period as hereinbelow set forth and except that
there shall be no further option to extend) for one (1) period of five
(5) years as hereinafter set forth. Such option period is sometimes herein
referred to as the “Extended Term.” Notwithstanding any implication to the
contrary, Landlord has no obligation to make any additional payment to Tenant
in respect of any construction allowance or the like or to perform any work to
the Premises as a result of the exercise by Tenant of any such option.

 

(B)           If Tenant desires to exercise said option to extend
the Term, then Tenant shall give notice (the “Extension Term Exercise Notice”)
to Landlord, not earlier than eighteen (18) months nor later than twelve (12)
months prior to the expiration of the Original

 

7

 

Lease Term, exercising such option to extend. Within
thirty (30) days after Landlord’s receipt of the Extension Term Exercise
Notice, Landlord shall provide Landlord’s quotation to Tenant of a proposed
annual rent for the Extended Term (“Landlord’s Extension Term Rent Quotation”).
If at the expiration of thirty (30) days after Tenant’s receipt of Landlord’s
Extension Term Rent Quotation (the “Extension Term Negotiation Period”),
Landlord and Tenant have not reached agreement on a determination of an annual
rental for the Extended Term and executed a written instrument extending the
Term of this Lease pursuant to such agreement, then Tenant shall have the
right, for thirty (30) days following the expiration of the Extension Term
Negotiation Period, to make a request to Landlord for a broker determination
(the “Broker Determination”) of the Prevailing Market Rent (as defined in
Exhibit H) for the Extended Term, which Broker Determination shall be made
in the manner set forth in Exhibit H. If Tenant timely shall have
requested the Broker Determination, then the Annual Fixed Rent for the Extended
Term shall be an amount equal to ninety-five percent (95%) of the Prevailing
Market Rent as determined by the Broker Determination. If Tenant does not
timely request the Broker Determination, then Tenant shall be deemed to have
elected to withdraw its Extension Term Exercise Notice, in which event Tenant’s
option to extend shall be deemed null and void and of no further force or
effect.

 

Notwithstanding
the time periods set forth in the immediately preceding paragraph within which
Tenant must deliver its Extension Term Exercise Notice, if the Premises is
expanded pursuant to Article XVII below (or pursuant to a subsequent
agreement between Landlord and Tenant) to consist of more than 97,242 but less
than 200,000 square feet of rentable floor area, then if Tenant desires to
exercise its option to extend the Term it shall give the Extension Term
Exercise Notice not earlier than twenty-one (21) nor later than fifteen (15)
months prior to the expiration of the Original Lease Term.  If the Premises is expanded to consist of
200,000 square feet of rentable floor area or more, then if Tenant desires to
exercise its option to extend the Term it shall give the Extension Term
Exercise Notice not earlier than twenty-four (24) nor later than eighteen (18)
months prior to the expiration of the Original Lease Term.  Notwithstanding the foregoing, Tenant shall
not lose its option to extend the Term if Tenant exercises an expansion option
that causes it to exceed one of the above square footage thresholds after the
applicable notice period for such threshold has otherwise passed (i.e. if
Tenant exercises an expansion option during the sixteenth (16th) month prior to
lease expiration that increases the size of the Premises to 210,000 square
feet, Tenant will still have the option to extend the Term notwithstanding the
fact that the Premises is now of a size where notice would have had to have
been provided eighteen (18)  months prior
to the expiration of the Original Lease Term). In such event, Tenant shall be
entitled to exercise its extension option within the time period it otherwise
would have been required to do so under this Section 3.2(B) but for
such expansion.

 

(C)           Base Taxes (as that term is defined in
Section 6.2(f) below) applicable during the Extended Term shall mean
Landlord’s Tax Expenses for the then-current fiscal tax year as of the
commencement of the Extended Term. Base Operating Expenses (as that term is
defined in Section 7.4 below) during the Extended Term shall mean
Landlord’s Operating Expenses for the calendar year in which such Extended Term
commences.

 

8

 

(D)          Upon the first to occur of (i) the agreement by
Landlord and Tenant during the Extension Term Negotiation Period on an Annual
Fixed Rent for the Extended Term or (ii) the timely request by Tenant for
a Broker Determination in accordance with the provisions of subsection (B) above,
then this Lease and the Lease Term hereof shall automatically be deemed
extended, for the Extended Term, without the necessity for the execution of any
additional documents, except that Landlord and Tenant agree to enter into an
instrument in writing setting forth the Annual Fixed Rent for the Extended Term
as determined in the relevant manner set forth in this Section 3.2; and in
such event all references herein to the Lease Term or the term of this Lease
shall be construed as referring to the Lease Term, as so extended, unless the
context clearly otherwise requires, and except that there shall be no further
option to extend the Lease Term. Notwithstanding anything contained herein to
the contrary, in no event shall the Lease Term hereof be extended for more than
five (5) years after the expiration of the Original Lease Term hereof.

 

(E)           Time is of the essence with respect to the
provisions of this Section 3.2

 

ARTICLE IV

 

Condition of Premises;
Signage

 

4.1           Condition of Premises

 

The
condition of the Premises upon Landlord’s delivery along with any work to be
performed by either Landlord or Tenant shall be as set forth in the Work
Agreement attached hereto as Exhibit B-1 and made a part hereof.

 

4.2           Signage

 

(A)          Premises Signage.  Landlord shall provide and install, at
Landlord’s expense, letters or numerals at the main entrance to the Premises to
identify Tenant’s name and Building address; all such letters and numerals
shall be in the building standard graphics and no others shall be used or
permitted on the Premises.

 

(B)           Lobby Signage.  Landlord shall, during the Term of this
Lease, provide Tenant with a listing of Tenant’s name on all tenant directories
in the Building and, at Tenant’s request, the name of Tenant’s subtenants. The
initial listing of Tenant’s name shall be at Landlord’s cost and expense. Any
changes, replacements or additions by Tenant to such directory shall be at
Tenant’s sole cost and expense.

 

(C)           Monument Signage.  Tenant shall have the right, effective as of
the Commencement Date and at its sole cost and expense (but with no separate
charge by Landlord for the signage rights themselves), to have its name and
corporate logo on the existing monument located at the south side of the
entrance to the driveway off of West Street (“Monument Signage”).  Tenant’s right to Monument Signage shall be
non-exclusive.

 

9

 

(D)          Building Signage.  Tenant shall have the right, effective as of
the Commencement Date and at its sole cost and expense (but with no separate
charge by Landlord for the signage rights themselves), to design and install
one (1) illuminated identification sign with Tenant’s name and corporate
logo on the exterior façade of the Building (the “Building Signage”), subject
to applicable zoning requirements and other applicable laws and to Tenant
obtaining all necessary permits and approvals therefor (Landlord hereby
agreeing to cooperate with Tenant, at no cost or expense to Landlord, in
Tenant’s obtaining of such permits and approvals). Tenant’s right to Building
Signage shall be exclusive for the entire east wing of the Building (Landlord
hereby reserving the right to grant signage rights to others on the west wing
of the Building).

 

(E)           Conditions.  The location, design (including the manner of
illumination, in the case of the Building Signage), proportions and color of
the Monument Signage and the Building Signage shall all be subject to the prior
approval of Landlord, which approval is hereby granted for the signs shown on
Exhibit D attached hereto (and shall otherwise not be unreasonably
withheld, conditioned or delayed with respect to any proposed signage that is
consistent in size, design and location with the signage shown on Exhibit D).
Landlord shall reasonably cooperate with Tenant in obtaining any local
approvals required for the Building Signage or the Monument Signage (provided
that Landlord shall not be put to any cost or expense in connection therewith).
Notwithstanding the foregoing provisions of this Section 4.2 to the
contrary, within ninety (90) days after the first to occur (if either) of (x) the
date on which the Term of this Lease is terminated due to a Tenant default
pursuant to the terms and provisions of Section 15.2 below and (y) such
time as Tenant has assigned this Lease or shall directly lease and occupy less
than 67,402 square of rentable floor area in the east-wing of the Building
(excluding assignments and subleases permitted in accordance with Sections 12.2
and 12.8 below), then Tenant shall, at its cost and expense, remove the
Monument Signage and the Building Signage and restore all damage to the
Building and the Site caused by the installation and/or removal of such
Monument Signage or Building Signage. Such removal and restoration shall be
performed in accordance with the terms and conditions governing alterations
pursuant to Article IX below. The right to the Building Signage granted
pursuant to this Section 4.2 is personal to A123 Systems, Inc. and
may not be transferred to any third party (other than to a Tenant Affiliate or
Permitted Tenant Successor under Section 12.2 below). The right to the
Monument Signage may be transferred (x) to a Tenant Affiliate or Permitted
Tenant Successor under Section 12.2 below and (y) subject to
Landlord’s reasonable approval, to any other approved assignee or subtenant,
but no more than one (1) time during the Lease Term.

 

ARTICLE V

 

Annual Fixed Rent and
Electricity

 

5.1           Fixed Rent and Electricity
Charges

 

Tenant
agrees to pay to Landlord, or as directed by Landlord, at Landlord’s Present
Mailing Address specified in Section 1.2 hereof, or at such other place as
Landlord shall

 

10

 

from
time to time designate by notice, (1)(a) on the Commencement Date, and
thereafter monthly, in advance, on the first day of each and every calendar
month during the Original Lease Term, a sum equal to one-twelfth (1/12th) of
the Annual Fixed Rent specified in Section 1.2 hereof and (b) on the
Commencement Date and thereafter monthly, in advance, on the first day of each
and every calendar month during the Original Lease Term, an amount estimated by
Landlord from time to time to cover Tenant’s monthly payments for electricity
under Section 5.2 hereinbelow, and (2) on the first day of each and
every calendar month during the Extended Term (if exercised), a sum equal to
(a) one-twelfth of the Annual Fixed Rent as determined in Section 3.2
for the Extended Term plus (b) then applicable monthly electricity charges
(subject to adjustment as provided in Section 5.2). Until notice of some
other designation is given, fixed rent and all other charges for which
provision is herein made shall be paid by remittance to or for the order of
Boston Properties Limited Partnership either (i) by mail to P.O. Box
3557, Boston, Massachusetts 02241-3557, (ii) by wire transfer to Bank of
America in Dallas, Texas, Bank Routing Number 0260-0959-3 or (iii) by ACH
transfer to Bank of America in Dallas, Texas, Bank Routing Number 111 000 012,
and in the case of (ii) or (iii) referencing Account Number
3756454460, Account Name of Boston Properties, LP, Tenant’s name and the
Property address.

 

Annual
Fixed Rent for any partial month shall be paid by Tenant to Landlord at such
rate on a pro rata basis, and, if the Commencement Date shall be other than the
first day of a calendar month, the first payment of Annual Fixed Rent which
Tenant shall make to Landlord shall be a payment equal to a proportionate part
of such monthly Annual Fixed Rent for the partial month from the Commencement
Date to the first day of the succeeding calendar month.

 

Additional
Rent payable by Tenant on a monthly basis, as elsewhere provided in this Lease,
likewise shall be prorated, and the first payment on account thereof shall be
determined in similar fashion and shall commence on the Commencement Date and
other provisions of this Lease calling for monthly payments shall be read as
incorporating this undertaking by Tenant.

 

The
Annual Fixed Rent and all other charges for which provision is made in this
Lease shall be paid by Tenant to Landlord without setoff, deduction or
abatement except as expressly otherwise provided in this Lease.

 

5.2           Tenant Electricity

 

(A)          As of the date of this Lease, separate check meters
(“Main Check Meters”) have been installed to measure tenant electric usage on
each floor of the Building. If a Main Check Meter serves only the Premises or
the entire floor leased to a tenant, it is herein referred to as a “dedicated”
Main Check Meter; if it serves the Premises in common with other premises, it
is herein referred to as a “shared” Main Check Meter. Such Main Check Meter(s) shall
only measure electricity used for lights and electrical equipment utilized in
the Premises, and fan-powered and variable air volume boxes which are part of
the HVAC system serving the Premises. Any further equipment (including
supplemental

 

11

 

HVAC equipment) installed by or for Tenant shall
have separate check meter(s) (“Supplemental Check Meters”) installed at
Tenant’s expense. On each floor there shall be one or more Main Check Meter(s) serving
all of the floor such that the portions of the Premises located on full floors
shall be served by dedicated Main Check Meters, and on multi-tenant floors
Landlord may require that the tenants (at their sole cost and expense) install
Main Check Meters relating to their premises (to the extent there are no Main
Check Meters already installed serving only such premises) and Supplemental
Check Meters to separately meter special usage within tenant premises such as
computer rooms. With respect to any portion of the Premises that may in the
future not be separately check metered on a dedicated Main Check Meter,
Landlord will not unreasonably withhold its consent to Tenant to install
dedicated Main Check Meter(s) serving solely such portion of the Premises
at Tenant’s sole cost and expense.

 

(B)           Tenant’s share of the costs of electricity shall be
determined by Landlord on the following basis:

 

(i)            Landlord will cause the
check meters serving the Premises to be read periodically, but not less often
than once every six (6) months during the first two (2) years of the
Term and once every twelve (12) months thereafter. Tenant shall have reasonable
access to such check meters to read the same.

 

(ii)           For portions of the Premises
served by dedicated Main Check Meter(s), and for all Supplemental Check
Meter(s) serving the Premises, Tenant’s allocable share of electricity
costs for the period (“Tenant’s Electricity Payment”) shall be determined by
multiplying the actual average cost per kilowatt hour by the number of kilowatt
hours utilized by Tenant for such period as indicated by the dedicated Main
Check Meter(s) and Supplemental Check Meter(s) for Tenant’s Premises.

 

(iii)          For portions of the Premises
served by shared Main Check Meter(s), if any, the Tenant’s Electricity Payment
shall be determined by multiplying the cost per kilowatt hour by the number of
kilowatt hours utilized as indicated by such shared Main Check Meter(s), and
multiplying such total cost by a fraction, the numerator of which is the
rentable area leased to Tenant and the denominator of which is the total
rentable area under lease to tenants (inclusive of any vacant spaces where
electricity is being used on a regular basis) served by such shared Main Check
Meter(s); provided, however, that if Landlord shall reasonably determine that
the cost of electricity furnished to the Tenant at such portion of the Premises
exceeds the amount being paid by Tenant, then Landlord shall deliver to Tenant
written documentation establishing Landlord’s basis for such determination and
Landlord may charge Tenant for such excess

 

12

 

and Tenant shall promptly pay the same upon billing
therefor as Additional Rent under the Lease, subject to Tenant’s right to
challenge such determination pursuant to Section 2.6.1.

 

(iv)          Where part or all of the
rentable area on a floor has been occupied for less than all of the period for which
adjustments are being made, appropriate and equitable modifications shall be
made to the allocation formula so that each tenant’s allocable share of costs
equitably reflects its period of occupancy, provided that in no event shall the
total of all costs as allocated to tenants (or to unoccupied space) be less
than the total cost of electricity for such floor for said period.

 

(C)           Tenant shall make estimated payments on account of
Tenant’s Electricity Payment, as reasonably estimated by Landlord, on a monthly
basis in accordance with Section 5.1 above. No later than one hundred
twenty (120) days after the end of each calendar year falling within the Lease
Term, Landlord shall render Tenant a statement in reasonable detail certified
by a representative of Landlord, showing for the preceding calendar year the
Tenant’s Electricity Payment. Said statement to be rendered to Tenant also
shall show for such period the amounts already paid by Tenant on account of
Tenant’s Electricity Payment and the amount of Tenant’s Electricity Payment
remaining due from, or overpaid by, Tenant for the period covered by the
statement. If such statement shows a balance remaining due to Landlord, Tenant
shall pay same to Landlord on or before the thirtieth (30th) day following receipt
by Tenant of said statement. Any balance shown as due to Tenant shall be
credited against Annual Fixed Rent next due, or refunded to Tenant if the Lease
Term has then expired and Tenant has no further obligation to Landlord. All
payments by Tenant on account of Tenant’s Electricity Payment shall be deemed
Additional Rent and shall be made monthly at the time and in the fashion herein
provided for the payment of Annual Fixed Rent. Tenant shall have the right to
examine Landlord’s records relating to Tenant’s Electricity Payment and to
dispute the amounts claimed to be owed by Landlord in accordance with the
provisions of Section 2.6.1 of this Lease.

 

(D)          All costs of electricity billed to Landlord, other
than the costs of tenant electricity allocated pursuant to the procedures
established herein, shall be treated as part of Landlord’s Operating Expenses
for purposes of determining the allocation of those costs. Taxes imposed upon
the electricity furnished to the Building shall be included in the calculation
of electricity charges payable under this Lease, however, there shall not be
included in such electricity charges any tax imposed upon Landlord on account
of Landlord’s sale, use or resale of electrical energy to Tenant or other
tenants in the Building (i.e., no double taxation due to the fact that Landlord
is not a licensed reseller of electricity).

 

(E)           Landlord shall be responsible for the maintenance of
the Main Check Meter(s) and Tenant shall be responsible for the
maintenance of the Supplemental Check Meter(s).

 

13

 

ARTICLE VI

 

Taxes

 

6.1           Definitions

 

With
reference to the real estate taxes referred to in this Article VI, it is
agreed that terms used herein are defined as follows:

 

(a)           “Tax Year” means the
12-month period beginning July 1 each year during the Lease Term or if the
appropriate Governmental tax fiscal period shall begin on any date other than
July 1, such other date.

 

(b)           “Landlord’s Tax Expenses
Allocable to the Premises” means the same proportion of Landlord’s Tax Expenses
as the Rentable Floor Area of the Premises bears to the Total Rentable Floor
Area of the Building.

 

(c)           “Landlord’s Tax Expenses”
with respect to any Tax Year means the aggregate “real estate taxes”
(hereinafter defined) with respect to that Tax Year, reduced by any net
abatement receipts with respect to that Tax Year.

 

(d)           “Real estate taxes” means
all taxes and special assessments of every kind and nature and user fees and
other like fees assessed by any Governmental authority on the Building, the
Site or the Complex which the Landlord shall be obligated to pay because of or
in connection with the ownership, leasing and operation of the Complex, the
Building and the Site and reasonable expenses of and fees for any formal or
informal proceedings for negotiation or abatement of taxes (collectively,
“Abatement Expenses”), which Abatement Expenses shall be excluded from Base
Taxes. The amount of special taxes or special assessments to be included shall
be limited to the amount of the installment (plus any interest other than
penalty interest payable thereon) of such special tax or special assessment
required to be paid during the year in respect of which such taxes are being
determined. There shall be excluded from such taxes all income, estate,
succession, inheritance, transfer, gift, capital stock or any income taxes
arising out of or related to ownership and operation of income-producing real
estate, or any excise taxes imposed upon Landlord based upon gross or net rentals
or other income received by it or any increase in taxes to the extent resulting
solely from Landlord’s sale of, or otherwise transfer of its interest in, the
Complex or the Building; provided, however, that if at any time during the
Lease Term the present system of ad valorem taxation of real property shall be
changed so that in lieu of, or in addition to, the whole or any part of the ad
valorem tax on real property, there shall be assessed on Landlord a capital
levy or other tax on the gross rents received with respect to the Complex or
Building, or a Federal, State, County, Municipal, or other local income,
franchise, excise or similar tax,

 

14

 

assessment, levy or charge (distinct from any now in
effect in the jurisdiction in which the Property is located) measured by or
based, in whole or in part, upon any such gross rents, then any and all of such
taxes, assessments, levies or charges, to the extent so measured or based,
shall be deemed to be included within the term “real estate taxes” but only to
the extent that the same would be payable if the Site or Building were the only
property of Landlord. Notwithstanding the foregoing, “real estate taxes” shall
not include and Tenant shall not be required to pay any portion of any tax or
assessment expense or any increase therein (a) levied on Landlord’s rental
income, unless such tax or assessment is imposed in lieu of real property taxes
as set forth above; (b) in excess of the amount which would be payable if
such tax or assessment expense were paid in installments over the longest
permitted term; or (c) imposed on land and improvements other than the
Site.

 

(e)           “Base Taxes” means
Landlord’s Tax Expenses for fiscal tax year 2011 (that is, the period beginning
July 1, 2010 and ending June 30, 2011).

 

(f)            “Base Taxes Allocable to the
Premises” means the same proportion of Base Taxes as the Rentable Floor Area of
the Premises bears to the Total Rentable Floor Area of the Building.

 

(g)           If during the Lease Term the
Tax Year is changed by applicable law to less than a full 12-month period, the
Base Taxes and Base Taxes Allocable to the Premises shall each be
proportionately reduced.

 

Nothing
contained in this Section 6.2 shall entitle Landlord to collect,
collectively from all of the tenants of the Complex, an amount exceeding one
hundred percent (100%) of Landlord’s Tax Expenses incurred by Landlord with
respect to the pertinent Tax Year (any collected amount exceeding 100% of
Landlord’s Tax Expenses with respect to any such Tax Year being referred to
herein as “Tax Collection Surplus”), and Landlord shall, except with respect to
Base Taxes, credit any Tax Collection Surplus against the aggregate of
Landlord’s Tax Expenses incurred with respect to such Tax Year, which shall
reduce the same for all purposes hereunder.

 

6.2           Tenant’s Share of Real
Estate Taxes

 

If
with respect to any full Tax Year or fraction of a Tax Year falling within the
Lease Term Landlord’s Tax Expenses Allocable to the Premises for a full Tax
Year exceed Base Taxes Allocable to the Premises or for any such fraction of a
Tax Year exceed the corresponding fraction of Base Taxes Allocable to the
Premises (such amount being hereinafter referred to as the “Tax Excess”), then
Tenant shall pay to Landlord, as Additional Rent, the amount of such Tax
Excess. Payments by Tenant on account of the Tax Excess shall be made monthly
at the time and in the fashion herein provided for the payment of Annual Fixed
Rent. The amount so to be paid to Landlord shall be an amount from time to time
reasonably estimated by Landlord to be sufficient to provide Landlord,

 

15

 

in
the aggregate, a sum equal to the Tax Excess, ten (10) days at least
before the day on which tax payments by Landlord would become delinquent. Not
later than ninety (90) days after Landlord’s Tax Expenses Allocable to the
Premises are determinable for the first such Tax Year or fraction thereof and
for each succeeding Tax Year or fraction thereof during the Lease Term,
Landlord shall render Tenant a statement in reasonable detail certified by a
representative of Landlord showing for the preceding year or fraction thereof,
as the case may be, real estate taxes on the Building and Lot, abatements and
refunds, if any, of any such taxes and assessments, expenditures incurred in
seeking such abatement or refund, the amount of the Tax Excess, the amount
thereof already paid by Tenant and the amount thereof overpaid by, or remaining
due from Tenant for the period covered by such statement. Within thirty (30)
days after the receipt of such statement, Tenant shall pay any sum remaining
due. Any balance shown as due to Tenant shall be credited against Annual Fixed
Rent next due, or refunded to Tenant if the Lease Term has then terminated or
expired and Tenant has no further obligation to Landlord. Expenditures for
legal fees and for other expenses incurred in obtaining an abatement or refund
may be charged against the abatement or refund before the adjustments are made
for the Tax Year.

 

To
the extent that real estate taxes shall be payable to the taxing authority in
installments with respect to periods less than a Tax Year, the statement to be
furnished by Landlord shall be rendered and payments made on account of such
installments.

 

ARTICLE VII

 

Landlord’s Repairs and
Services and Tenant’s Escalation Payments

 

7.1           Structural Repairs

 

Except
for (a) normal and reasonable wear and use and (b) damage caused by
fire or casualty and by eminent domain, Landlord shall, throughout the Lease
Term, at Landlord’s sole cost and expense, keep and maintain in good order,
condition and repair the following portions of the Building: the structural
portions of the roof, the exterior and load bearing walls, the foundation, the
structural columns and floor slabs and other structural elements of the
Building and the parking garage located on the Site; provided however, that
Tenant shall pay to Landlord, as Additional Rent, the cost of any and all such
repairs which may be required as a result of repairs, alterations, or
installations made by Tenant or any subtenant, assignee, licensee or
concessionaire of Tenant or any agent, servant, employee or contractor of any
of them or to the extent of any loss, destruction or damage caused by the
omission or negligence of Tenant, any assignee or subtenant or any agent,
servant, employee, customer, visitor or contractor of any of them.

 

7.2           Other Repairs to be Made by
Landlord

 

Except
for (a) normal and reasonable wear and use and (b) damage caused by
fire or casualty and by eminent domain, and except as otherwise provided in
this Lease and subject to provisions for reimbursement by Tenant as contained
in Section 7.5, Landlord

 

16

 

agrees
to keep and maintain in good order, condition and repair the common areas and
facilities of the Building, the Site and the Complex, including all paved areas
and landscaped areas from time to time in existence, and all heating,
ventilating, air conditioning, plumbing and other Building systems equipment
servicing the Premises (including all lines, pipes, wires, conduits and the
like except to the extent serving the Premises exclusively), except that
Landlord shall in no event be responsible to Tenant for (a) the condition
of glass in and about the Premises (other than for glass in exterior walls for
which Landlord shall be responsible unless the damage thereto is attributable
to Tenant’s negligence or misuse, in which event the responsibility therefor
shall be Tenant’s), or (b) for any condition in the Premises or the
Building caused by any act or neglect of Tenant or any agent, employee,
contractor, assignee, subtenant, licensee, concessionaire or invitee of Tenant.
Without limitation, Landlord shall not be responsible to make any improvements
or repairs to the Building or the Premises other than as expressly provided in
Section 7.1 or in this Section 7.2, unless expressly otherwise
provided in this Lease.

 

7.3           Services to be Provided by
Landlord

 

In
addition, and except as otherwise provided in this Lease and subject to
provisions for reimbursement by Tenant as contained in Section 7.6 and
Tenant’s responsibilities in regard to electricity as provided in Section 5.2,
Landlord agrees to furnish services, utilities, facilities and supplies set
forth in Exhibit C hereto equal in quality comparable to those customarily
provided by landlords in high quality buildings in the Central Suburban 128
Market. In addition, Landlord agrees to furnish, at Tenant’s expense,
reasonable additional Building operation services which are usual and customary
in similar buildings in Central Suburban 128 Market, and such additional
special services as may be mutually agreed upon by Landlord and Tenant, upon
reasonable and equitable rates from time to time established by Landlord.
Tenant agrees to pay to Landlord, as Additional Rent, the cost of any such
additional Building services requested by Tenant and for the cost of any
additions, alterations, improvements or other work performed by Landlord in the
Premises at the request of Tenant within thirty (30) days after being billed
therefor.

 

Notwithstanding
anything contained in this Lease to the contrary, Landlord shall have no
obligation to provide Tenant with cleaning and janitorial services (as
described in Exhibit C attached hereto) to any portion of the Premises not
being used for general office purposes (it being understood and agreed that
Tenant shall directly obtain such services on its own behalf and at its sole
cost and expense).

 

7.4           Operating Costs Defined

 

“Operating
Expenses Allocable to the Premises” means the same proportion of Landlord’s
Operating Expenses (as hereinafter defined) as the Rentable Floor Area of the
Premises bears to 95% of the Total Rentable Floor Area of the Building. “Base
Operating Expenses” means Landlord’s Operating Expenses for calendar year 2011
(that is, the period beginning on January 1, 2011 and ending on December 31,
2011). Base Operating

 

17

 

Expenses
shall not include (x) market-wide cost increases due to extraordinary
circumstances, including but not limited to, Force Majeure (as defined in
Section 14.1), boycotts, strikes, conservation surcharges, embargoes or
shortages which apply only to the Base Year but no other year, other than the
year immediately prior to the Base Year or the year immediately following the
Base Year and (y) the cost of any Permitted Capital Expenditures (as
hereinafter defined). “Base Operating Expenses Allocable to the Premises” means
(i) the same proportion of Base Operating Expenses as the Rentable Floor
Area of the Premises bears to 95% of the Total Rentable Floor Area of the
Building.

 

“Landlord’s
Operating Expenses” means the cost of operation of the Building and the Site
incurred by Landlord, including those incurred in discharging Landlord’s
obligations under Sections 7.2 and 7.3. Such costs shall exclude payments of
debt service and any other mortgage or ground lease charges, brokerage
commissions, real estate taxes (to the extent paid pursuant to Section 6.2
hereof) and costs of special services rendered to tenants (including Tenant)
for which a separate charge is made, but shall include, without limitation:

 

(a)           compensation,
wages and all fringe benefits, worker’s compensation insurance premiums and
payroll taxes paid to, for or with respect to all persons for their services in
the operating, maintaining or cleaning of the Building or the Site;

 

(b)           payments under
service contracts with independent contractors for operating, maintaining or cleaning
of the Building or the Site;

 

(c)           steam, water,
sewer, gas, oil, electricity and telephone charges (excluding such utility
charges separately chargeable to tenants for additional or separate services
and electricity charges payable by Tenant pursuant to Section 5.2 above)
and costs of maintaining letters of credit or other security as may be required
by utility companies as a condition of providing such services;

 

(d)           cost of
maintenance, cleaning and repairs (other than repairs not properly chargeable
against income or reimbursed from contractors under guarantees);

 

(e)           cost of
operating and maintaining a fitness center and food service facility in the
Building, less any rent or other amounts received by Landlord from any
third-party operators of such facilities;

 

(f)            cost of snow
removal and care of landscaping;

 

(g)           cost of
building and cleaning supplies and equipment;

 

(h)           premiums for
insurance carried with respect to the Building and the Site (including, without
limitation, liability insurance, insurance against loss in 

 

18

 

case of fire or casualty and of monthly installments
of Annual Fixed Rent and any Additional Rent which may be due under this Lease
and other leases of space in the Building for not more than twelve (12) months
in the case of both Annual Fixed Rent and Additional Rent and, if there be any
first mortgage on the Property, including such insurance as may be required by
the holder of such first mortgage);

 

(i)            management fees at
reasonable rates for self managed buildings in the Central Suburban 128 Market
consistent with the type of occupancy and the services rendered, which such
management fees shall not exceed three and one-half percent (3.5%) of the total
Gross Rents for the Building (“Gross Rents for the Building” for the purposes
hereof being defined as all annual fixed rent, Landlord’s Operating Expenses,
with the exception of the aforesaid management fees, and Landlord’s Tax
Expenses for the Building for the relevant calendar year) (it being understood
and agreed that in determining the amount of Landlord’s Operating Expenses for
any calendar year or portion thereof falling within the Lease Term where the
management fee is calculated based on a percentage of Gross Rents for the
Building that is higher than the actual percentage used during the Base Year, the
management fee for the Base Year shall be adjusted so that it shall be based on
the same percentage of Gross Rents for the Building used in the subsequent
calendar year at issue).

 

(j)            depreciation for capital
expenditures made by Landlord during the Lease Term (x) to reduce
Operating Expenses if Landlord reasonably shall have determined that the annual
reduction in Operating Expenses shall exceed depreciation therefor or (y) to
comply with Legal Requirements that first become applicable to the Building or
the Property after Commencement Date (the capital expenditures described in
subsections (x) and (y) being hereinafter referred to as “Permitted
Capital Expenditures”) plus, in the case of (x) and (y), an interest
factor, reasonably determined by Landlord, as being the interest rate then
charged for long term mortgages by institutional lenders on like properties in
the Central Suburban 128 Market, and depreciation in the case of (x) and
(y) shall be determined by dividing the original cost of such capital
expenditure by the number of years of useful life of the capital item acquired,
which useful life shall be determined reasonably by Landlord in accordance with
generally accepted accounting principles and practices in effect at the time of
acquisition of the capital item;

 

(k)           the pro rata share allocable
to the Building of imputed rental costs of maintaining a regional property
management office of a reasonable size given the number and square footage of
properties managed (and the fact that as of the date hereof, Landlord is a
self-administered and self-managed real estate investment trust), which pro
rata share shall be equal to a fraction, the numerator of which is the Total
Rentable Floor Area of

 

19

 

the Building and the denominator of which is the
total rentable floor area of all buildings managed by the staff of such
regional property management office; and

 

(l)            all other reasonable and
necessary expenses paid in connection with the operating, cleaning and
maintenance of the Building, the Site and said common areas and facilities and
properly chargeable against income.

 

Notwithstanding
the foregoing, the following shall be excluded from Landlord’s Operating
Expenses:

 

(i)            All capital expenditures and
depreciation, except as otherwise explicitly provided in this Section 7.4;

 

(ii)           Interest on indebtedness,
debt amortization, ground rent, and refinancing costs for any mortgage or
ground lease of the Building or the Site;

 

(iii)          Legal, auditing, consulting
and professional fees and other costs (other than those legal, auditing,
consulting and professional fees and other costs incurred in connection with
the normal and routine maintenance and operation of the Complex), including,
without limitation, those: (i) paid or incurred in connection with
financings, refinancings or sales of any Landlord’s interest in the Building or
the Site, (ii) relating to any special reporting required by securities
laws, (iii) relating to disputes with tenants or (iv) relating to
litigation;

 

(iv)          The cost of any item or
service to the extent reimbursed or reimbursable to Landlord by insurance
required to be maintained under this Lease or by any third party;

 

(v)           The cost of repairs or
replacements incurred by reason of fire or other casualty or condemnation other
than costs not in excess of the deductible on any insurance maintained by
Landlord which provides a recovery for such repair or replacement;

 

(vi)          Any advertising, promotional
or marketing expenses for the Buildings, including, without limitation, leasing
commissions, attorneys’ fees, space planning costs and other costs and expenses
incurred in connection with the lease, sublease and/or assignment negotiations
and transactions with present or prospective tenants or other occupants of the
Building;

 

(vii)         The cost of any service or
materials provided by any party related to Landlord (other than the management
fee, which shall be subject to the terms and provisions of Section 7.4(h) above),
to the extent

 

20

 

such costs exceed the reasonable cost for such
service or materials absent such relationship in buildings similar to the
Building in the Central Suburban 128 Market;

 

(viii)        Payments for
rented equipment, the cost of which equipment would constitute a capital
expenditure if the equipment were purchased to the extent that such payments
exceed the amount which could have been included in Landlord’s Operating
Expenses had Landlord purchased such equipment rather than leasing such
equipment;

 

(ix)           Penalties,
damages, and interest for late payment or violations of any obligations of
Landlord, including, without limitation, taxes, insurance, equipment leases and
other past due amounts;

 

(x)            Costs arising
from Landlord’s political or charitable contributions;

 

(xi)                             The cost of
testing, remediation or removal of “Hazardous Materials” (as defined in Section 11.2)
in the Building or on the Site required by “Hazardous Materials Laws” (as
defined in Section 11.2), provided however, that with respect to the
testing, remediation or removal of any material or substance which, as of the
Commencement Date was not considered, as a matter of law, to be a Hazardous
Material, but which is subsequently determined to be a Hazardous Material as a
matter of law, the costs thereof shall be included in Landlord’s Operating
Expenses;

 

(xii)                         Wages,
salaries, or other compensation paid to any executive employees above the grade
of Regional Property Manager;

 

(xiii)                      The net (i.e.
net of the reasonable costs of collection) amount recovered by Landlord under
any warranty or service agreement from any contractor or service provider shall
be credited against Landlord’s Operating Expenses; and

 

(xiv)        Landlord’s
general corporate overhead and administrative services (except for property
management services related to the operation of the Property, including,
without limitation, risk management, accounting, security and energy management
services).

 

Notwithstanding
the foregoing, in determining the amount of Landlord’s Operating Expenses for
any calendar year or portion thereof falling within the Lease Term (including,
without limitation, any Base Year applicable to a Premises Component), if less
than ninety-five percent (95%) of the Total Rentable Floor Area of the Building
shall have been occupied by tenants at any time during the period in question,
then those components of Landlord’s Operating Expenses that vary based on
occupancy for such period shall be adjusted to equal the amount such components
of Landlord’s Operating

 

21

 

Expenses
would have been for such period had occupancy been ninety-five percent (95%)
throughout such period. The foregoing calculations shall not entitle Landlord
to collect, collectively from all of the tenants in the Complex, an amount
exceeding one hundred percent (100%) of the Landlord’s Operating Expenses
incurred by Landlord with respect to the pertinent calendar year (any collected
amount exceeding 100% of Operating Expenses with respect to any calendar year
being referred to herein as “Operating Expense Collection Surplus”), and
Landlord shall, except with respect to Base Operating Expenses, credit any
Operating Expense Collection Surplus against the aggregate of Operating
Expenses incurred with respect to such calendar year, which shall reduce the
same for all purposes hereunder.

 

7.5           Tenant’s Escalation Payments

 

(A)          If with respect to any calendar year falling within
the Lease Term, or fraction of a calendar year falling within the Lease Term at
the beginning or end thereof, the Operating Expenses Allocable to the Premises
(as defined in Section 7.4) for a full calendar year exceed Base Operating
Expenses Allocable to the Premises (as defined in Section 7.4) or for any
such fraction of a calendar year exceed the corresponding fraction of Base
Operating Expenses Allocable to the Premises (such amount being hereinafter
referred to as the “Operating Cost Excess”), then Tenant shall pay to Landlord,
as Additional Rent, on or before the thirtieth (30th) day following receipt by
Tenant of the statement referred to below in this Section 7.5, the amount
of such excess. Base Operating Expenses (as defined in Section 7.4) do not
include the tenant electricity to be paid by Tenant as part of the Annual Fixed
Rent.

 

(B)           Payments by Tenant on account of the Operating Cost
Excess shall be made monthly at the time and in the fashion herein provided for
the payment of Annual Fixed Rent. The amount so to be paid to Landlord shall be
an amount from time to time reasonably estimated by Landlord to be sufficient
to cover, in the aggregate, a sum equal to the Operating Cost Excess for each
calendar year during the Lease Term.

 

(C)           No later than one hundred twenty (120) days after
the end of the first calendar year or fraction thereof ending December 31
and of each succeeding calendar year during the Lease Term or fraction thereof
at the end of the Lease Term, Landlord shall render Tenant a statement in
reasonable detail and according to usual accounting practices certified by a
representative of Landlord, showing for the preceding calendar year or fraction
thereof, as the case may be, the Landlord’s Operating Expenses and the
Operating Expenses Allocable to the Premises. Said statement to be rendered to
Tenant also shall show for the preceding year or fraction thereof, as the case
may be, the amounts already paid by Tenant on account of Operating Cost Excess
and the amount of Operating Cost Excess remaining due from, or overpaid by,
Tenant for the year or other period covered by the statement.

 

If
such statement shows a balance remaining due to Landlord, Tenant shall pay same
to Landlord on or before the thirtieth (30th) day following receipt by Tenant
of said statement. Any balance shown as due to Tenant shall be credited against
Annual Fixed

 

22

 

Rent
next due, or refunded to Tenant if the Lease Term has then expired and Tenant
has no further obligation to Landlord.

 

Any
payment by Tenant for the Operating Cost Excess shall not be deemed to waive
any rights of Tenant to claim that the amount thereof was not determined in
accordance with the provisions of this Lease.

 

(D)          Subject to the provisions of this paragraph and
provided no uncured monetary Event of Default of Tenant exists, Tenant shall
have the right, at Tenant’s cost and expense, to examine all documentation and
calculations prepared in the determination of the Tax Excess, Operating Cost
Excess and Tenant’s proportionate share of electricity costs, as determined
pursuant to Section 5.2 (the “Electricity Excess”):

 

(1)           Such documentation and calculations shall be made
available to Tenant at the offices where Landlord keeps such records during
normal business hours within a reasonable time after Landlord receives a
written request from Tenant to make such examination.

 

(2)           Tenant shall have the right to make such examination
no more than once in respect of any period for which Landlord has given Tenant
a statement of the actual amount of Landlord’s Tax Expenses, Landlord’s
Operating Expenses or the Electricity Excess, as applicable.

 

(3)           Except as provided by the last sentence of this
Section 7.5(D), any request for examination in respect of any Tax Year or
calendar year, as applicable, may be made no more than one hundred eighty (180)
days after Landlord advises Tenant in writing of the actual amount of
Landlord’s Tax Expenses, Landlord’s Operating Expenses or the Electricity
Excess, as applicable in respect of such period and provides to Tenant the
appropriate year-end statement required under Section 5.2, Section 6.3
or Section 7.5, as applicable (provided, however, that if after any audit
is performed hereunder, it is finally determined that Tenant has been
overcharged on account of Landlord’s Tax Expenses Allocable to the Premises,
Operating Expenses Allocable to the Premises and/or the Electricity Excess by
more than three percent (3%) for the Tax Year or calendar year in question,
Tenant may request to examine the documentation and calculations for the overcharged
item for the immediately preceding Tax Year or calendar year, as applicable).

 

(4)           In no event shall Tenant utilize the services of any
examiner who is being paid by Tenant on a contingent fee basis, unless such
examiner is being retained by Tenant on a national basis to examine payments
under Tenant’s other leases of space.

 

(5)           As a condition to performing any such examination,
Tenant and its examiners shall be required to execute and deliver to Landlord
an agreement, in form reasonably acceptable to Landlord, agreeing to keep
confidential any information which it discovers about Landlord or the Buildings
in connection

 

23

 

with such examination, provided however, that Tenant
shall be permitted to share such information with each of its permitted
subtenants so long as such subtenants execute and deliver to Landlord similar
confidentiality agreements.

 

(6)           If, after the audit by Tenant of Landlord’s books
and records pursuant to this Section 7.5 with respect to any calendar
year, it is finally determined that: (i) Tenant has made an overpayment on
account of Landlord’s Tax Expenses Allocable to the Premises, Operating
Expenses Allocable to the Premises and/or the Electricity Excess, as
applicable, Landlord shall credit any such overpayment against the next
installment(s) of Annual Fixed Rent thereafter payable by Tenant, except
that if such overpayment is determined after the termination or expiration of
the term of this Lease, Landlord shall promptly refund to Tenant the amount of
any such overpayment less any amounts then due from Tenant to Landlord; and
(ii) Tenant has made an underpayment on account of Landlord’s Tax Expenses
Allocable to the Premises, Operating Expenses Allocable to the Premises and/or
the Electricity Excess, as applicable, Tenant shall, within forty-five (45)
days of such determination, pay any such underpayment to Landlord.

 

(7)           If, after any such audit is performed, it is finally
determined that Tenant has been overcharged on account of Landlord’s Tax
Expenses Allocable to the Premises, Operating Expenses Allocable to the
Premises and/or the Electricity Excess by more than three percent (3%) for the
Tax Year or calendar year in question, Landlord shall reimburse Tenant for the
reasonable third-party costs incurred by Tenant in performing such audit.

 

Landlord
shall have no right to correct any year end statement with respect to any Tax
Year or calendar year after the date one (1) year after the end of the
period in question. Notwithstanding any provision hereof to the contrary, if
Landlord provides Tenant with any such corrected statement, then Tenant shall
have one hundred eighty (180) days from the receipt of any such corrected
statement to request an examination as set forth in Section 7.5(D)(3) hereof
(subject to the proviso set forth at the end of subsection (3) above
regarding Tenant’s ability to request examinations for prior years).

 

7.6           No Damage

 

(A)          Landlord shall not be liable to Tenant for any
compensation or reduction of rent by reason of inconvenience or annoyance or
for loss of business arising from the necessity of Landlord or its agents
entering the Premises for any purposes in this Lease authorized, or for
repairing the Premises or any portion of the Building however the necessity may
occur. In case Landlord is prevented or delayed from making any repairs,
alterations or improvements, or furnishing any services or performing any other
covenant or duty to be performed on Landlord’s part, by reason of any cause
reasonably beyond Landlord’s control, including, without limitation, strike,
lockout, breakdown, accident, order or regulation of or by any Governmental
authority, or failure of supply, or inability by the exercise of reasonable
diligence to obtain supplies, parts or employees necessary to furnish such
services, or because of war or other emergency, or for any cause due to

 

24

 

any act or neglect of Tenant or Tenant’s servants,
agents, employees, licensees or any person claiming by, through or under
Tenant, Landlord shall not be liable to Tenant therefor, nor, except as
expressly otherwise provided in this Lease, shall Tenant be entitled to any
abatement or reduction of rent by reason thereof, or right to terminate this Lease,
nor shall the same give rise to a claim in Tenant’s favor that such failure
constitutes actual or constructive, total or partial, eviction from the
Premises, but Landlord shall nonetheless use commercially reasonably efforts to
mitigate the adverse impact of any such event on Tenant’s use and enjoyment of
the Premises to the extent it is within Landlord’s reasonable ability to do so
under the circumstances.

 

(B)           Landlord reserves the right to stop any service or
utility system, when necessary by reason of accident or emergency, or until
necessary repairs have been completed; provided, however, that in each instance
of stoppage, Landlord shall exercise reasonable diligence to eliminate the
cause thereof. Except in case of emergency repairs, Landlord will give Tenant
reasonable advance notice of any contemplated stoppage and will use
reasonable efforts to avoid unnecessary inconvenience to Tenant by reason
thereof.

 

(C)           Notwithstanding anything to the contrary in this
Lease contained, if due to (i) any repairs, alterations, replacements, or
improvements made by Landlord, (ii) Landlord’s failure to make any
repairs, alterations, or improvements required to be made by Landlord
hereunder, or to provide any service required to be provided by Landlord
hereunder, or (iii) failure of electric supply, any portion of the
Premises becomes untenantable so that for the Premises Untenantability Cure
Period, as hereinafter defined, the continued operation in the ordinary course
of Tenant’s business is materially adversely affected, then, provided that
Tenant ceases to use the affected portion of the Premises during the entirety
of the Premises Untenantability Cure Period by reason of such untenantability,
and that such untenantability and Landlord’s inability to cure such condition
is not caused by the fault or neglect of Tenant or Tenant’s agents, employees
or contractors, Annual Fixed Rent, Tax Excess and Operating Cost Excess shall
thereafter be abated in proportion to such untenantability and its impact on
the continued operation in the ordinary course of Tenant’s business until the
day such condition no longer has the material adverse effect referred to above.
For the purposes hereof, the “Premises Untenantability Cure Period” shall be
defined as five (5) consecutive business days after Landlord’s receipt of
written notice from Tenant of the condition causing untenantability in the
Premises, provided however, that the Premises Untenantability Cure Period shall
be ten (10) consecutive business days after Landlord’s receipt of written
notice from Tenant of such condition causing untenantability in the Premises if
either the condition was caused by causes beyond Landlord’s control or Landlord
is unable to cure such condition as the result of causes beyond Landlord’s
control.

 

In
addition, if due to (i) any repairs, alterations, replacements, or
improvements made by Landlord, (ii) Landlord’s failure to make any
repairs, alterations, or improvements required to be made by Landlord
hereunder, or to provide any service required to be provided by Landlord
hereunder, or (iii) failure of electric supply, the operation of Tenant’s
business in the Premises in the normal course is materially adversely affected
for a period of five (5) consecutive months after Landlord’s receipt of
written notice of

 

25

 

such
condition from Tenant, then, provided that Tenant ceases to use the affected
portion of the Premises for the period of such untenantability and such
untenantability and Landlord’s inability to cure such condition is not caused
by the fault or neglect of Tenant, or Tenant’s agents, employees or
contractors, then Tenant may terminate this Lease by giving Landlord written
notice as follows:

 

(i)            Said notice shall be given
after said five (5) month period.

 

(ii)           Said notice shall set forth
an effective date which is not earlier than thirty (30) days after Landlord
receives said notice.

 

(iii)          If said condition is
remedied on or before the date thirty (30) days after the receipt of such
notice, said notice shall have no further force and effect.

 

(iv)          If said condition is not
remedied on or before the date thirty (30) days after the receipt of such
notice for any reason other then Tenant’s fault, as aforesaid, the Lease shall
terminate as of said effective date, and the Annual Fixed Rent and Additional
Rent due under the Lease shall be apportioned as of said effective date.

 

The
remedies set forth in this Section 7.6 shall be Tenant’s sole remedies for
the events described herein. The provisions of this subsection (C) shall
not apply in the event of untenantability caused by fire or other casualty, or
taking (which shall be subject to the terms and conditions of Article XIV
below).

 

ARTICLE VIII

 

Tenant’s Repairs

 

8.1           Tenant’s Repairs and
Maintenance

 

Tenant
covenants and agrees that, from and after the date that possession of the
Premises is delivered to Tenant and until the end of the Lease Term, Tenant
will keep neat and clean and maintain in good order, condition and repair the
Premises and every part thereof, excepting only for those repairs for which
Landlord is responsible under the terms of Article VII of this Lease and
damage by fire or casualty and as a consequence of the exercise of the power of
eminent domain. Tenant shall not permit or commit any waste, and Tenant shall
be responsible for the cost of repairs which may be made necessary by reason of
damage to common areas in the Building or any other portion of the Site caused
by Tenant, Tenant’s agents, contractors, employees, sublessees, licensees,
concessionaires or invitees. Tenant shall maintain all its equipment, furniture
and furnishings in good order and repair.

 

If
repairs are required to be made by Tenant pursuant to the terms hereof,
Landlord may demand that Tenant make the same forthwith, and if Tenant refuses
or neglects to commence such repairs and complete the same with reasonable
dispatch after such

 

26

 

demand,
Landlord may (but shall not be required to do so) make or cause such repairs to
be made pursuant to the provisions of Section 16.17 below.

 

ARTICLE IX

 

Alterations

 

9.1           Landlord’s Approval

 

Tenant
covenants and agrees not to make alterations, additions or improvements to the
Premises, whether before or during the Lease Term, except in accordance with
plans and specifications therefor first approved by Landlord in writing, which
approval shall not be unreasonably withheld or delayed. Landlord shall not be
deemed unreasonable:

 

(a)           for withholding approval of
any alterations, additions or improvements which (i) in Landlord’s opinion
would reasonably be expected to adversely affect any structural or exterior
element of the Building, any area or element outside of the Premises or any
facility or base building mechanical system serving any area of the Building
outside of the Premises, or (ii) involve or affect the exterior design,
size, height or other exterior dimensions of the Building, or (iii) are
inconsistent in any material respect, in Landlord’s reasonable judgment, with alterations
satisfying Landlord’s standards for new alterations in the Building, or (iv) will
require unusual expense to readapt the Premises to normal office use upon Lease
termination or expiration (including, without limitation, rooftop HVAC units,
specialty equipment, ventilation shafts for Tenant’s equipment, halon systems, etc.)
or increase the cost of construction or of insurance or taxes on the Building
or of the services provided by Landlord herein unless Tenant first gives
assurance acceptable to Landlord for payment of such increased cost and that
such readaptation will be made prior to termination and or expiration without
expense to Landlord (alterations, additions or improvements described in this
clause (iv) being sometimes collectively referred to as “Special
Improvements”); or

 

(b)           for making its approval of
any Special Improvements conditional on Tenant’s agreement to restore the
Premises to its condition prior to construction of such Special Improvements at
the expiration or earlier termination of the Lease Term, reasonable wear and
tear excepted.

 

Landlord’s
review and approval of any such plans and specifications and consent to perform
work described therein shall not be deemed an agreement by Landlord that such
plans, specifications and work conform with applicable Legal Requirements and
requirements of insurers of the Buildings and the other requirements of the
Lease with respect to Tenant’s insurance obligations (herein called “Insurance
Requirements”) nor deemed a waiver of Tenant’s obligations under this Lease
with respect to applicable Legal Requirements and Insurance Requirements nor
impose any liability or obligation upon

 

27

 

Landlord
with respect to the completeness, design sufficiency or compliance of such
plans, specifications and work with applicable Legal Requirements and Insurance
Requirements. Further, Tenant acknowledges that Tenant is acting for its own
benefit and account, and that Tenant shall not be acting as Landlord’s agent in
performing any work in the Premises, accordingly, no contractor, subcontractor
or supplier shall have a right to lien Landlord’s interest in the Property in
connection with any such work. Within thirty (30) days after receipt of an
invoice from Landlord (together with reasonable supporting back up
documentation), Tenant shall pay to Landlord as a fee for Landlord’s review of
any work or plans (excluding any review respecting initial improvements
performed pursuant to Exhibit B-1 attached hereto or any other
improvements for which a construction management fee has previously been paid
but including any review of plans or work relating to any assignment or
subletting), as Additional Rent, an amount equal to the sum of: (i) $150/hour
for time spent by senior staff, and $100/hour for time spent by junior staff,
plus (ii) reasonable third party expenses incurred by Landlord to review
Tenant’s plans and Tenant’s work.

 

9.2           Conformity of Work

 

Tenant
covenants and agrees that any alterations, additions, improvements or
installations made by it to or upon the Premises shall be done in a good and
workmanlike manner and in compliance with all applicable Legal Requirements and
Insurance Requirements now or hereafter in force, that materials of good
quality (but in no event of lesser quality than reasonably appropriate for the
maintenance of a consistently high quality building) shall be employed therein
and that the structure of the Building shall not be endangered or impaired
thereby.

 

9.3           Performance of Work, Governmental
Permits and Insurance

 

All
of Tenant’s alterations and additions and installation of furnishings shall be
coordinated with any work being performed by or for Landlord and in such manner
as to maintain harmonious labor relations and not to damage the Building or
Site or interfere with Building construction or operation and, except for
installation of furnishings, shall be performed by Landlord’s general
contractor or by contractors or workers first approved by Landlord in its
reasonable discretion. Except for work by Landlord’s general contractor, Tenant
shall procure all necessary governmental permits before making any repairs,
alterations, other improvements or installations. Tenant agrees to save
harmless and indemnify Landlord from any and all injury, loss, claims or damage
to any person or property occasioned by or arising out of the doing of any such
work whether the same be performed prior to or during the Term of this Lease.
At Landlord’s reasonable election, taking into account the scope and cost of
the proposed alteration, Tenant shall cause its contractor to maintain a
payment and performance bond in such amount and with such companies as Landlord
shall reasonably approve. In addition, Tenant shall cause each contractor to
carry worker’s compensation insurance in statutory amounts covering the
employees of all contractors and subcontractors, and commercial general
liability insurance or comprehensive general liability insurance with a broad
form comprehensive liability endorsement with such limits as Landlord may
require reasonably from time to

 

28

 

time
during the Term of this Lease, but in no event less than the minimum amount of
commercial general liability insurance or comprehensive general liability
insurance Tenant is required to maintain as set forth in Section 1.2
hereof and as the same may be modified as provided in Section 13.6 hereof
(all such insurance to be written in companies approved reasonably by Landlord
and insuring Landlord, Landlord’s managing agent and Tenant as additional
insureds as well as contractors) and to deliver to Landlord certificates of all
such insurance. Tenant shall also prepare and submit to Landlord a set of
as-built plans, in both print and electronic forms, showing such work performed
by Tenant to the Premises promptly after any such alterations, improvements or
installations are substantially complete and promptly after any wiring or
cabling for Tenant’s computer, telephone and other communications systems is installed
by Tenant or Tenant’s contractor. Without limiting any of Tenant’s obligations
hereunder, except as otherwise provided in Exhibit B-1 attached hereto,
Tenant shall be responsible, as Additional Rent, for the costs of any
alterations, additions or improvements in or to the Building that are required
in order to comply with Legal Requirements as a result of any work performed by
Tenant. Landlord shall have the right to provide rules and regulations
(which shall be applied in a non discriminatory manner) relative to the
performance of any alterations, additions, improvements and installations by
Tenant hereunder and Tenant shall abide by all such reasonable rules and
regulations and shall cause all of its contractors to so abide including,
without limitation, payment for the costs of using Building services. Tenant
acknowledges and agrees that Landlord shall be the owner of any additions,
alterations and improvements in the Premises or the Building to the extent paid
for by Landlord.

 

9.4           Liens

 

Tenant
covenants and agrees to pay promptly when due the entire cost of any work done
on the Premises by Tenant, its agents, employees or contractors, and not to
cause or permit any liens for labor or materials performed or furnished in
connection therewith to attach to the Premises or the Building or the Site and
promptly to discharge (whether by bonding or otherwise) any such liens which
may so attach.

 

9.5           Nature of Alterations

 

All
work, construction, repairs, alterations, other improvements or installations made
to or upon the Premises, shall become part of the Premises and shall become the
property of Landlord and remain upon and be surrendered with the Premises as a
part thereof upon the expiration or earlier termination of the Lease Term,
except as follows:

 

(a)           All furniture, equipment,
other personal property, and trade fixtures (including, without limitation, any
satellite or microwave dish or any communications equipment, including, without
limitation, any telephone switch gear, and any security or monitoring equipment
whether by law deemed to be a part of the realty or not, installed at any time
or times by Tenant or any person claiming under Tenant shall remain the
property of Tenant or persons claiming under Tenant and may be removed by
Tenant

 

29

 

or any person claiming under Tenant at any time or
times during the Lease Term or any occupancy by Tenant thereafter and shall be
removed by Tenant at the expiration or earlier termination of the Lease Term if
so requested by Landlord. Tenant shall repair any damage to the Premises
occasioned by the removal by Tenant or any person claiming under Tenant of any
such property from the Premises.

 

(b)           At the expiration or earlier
termination of the Lease Term, unless otherwise agreed in writing by Landlord,
Tenant shall remove any wiring for Tenant’s computer, telephone and other
communication systems and equipment whether located in the Premises or in any
other portion of the Building or the Site, including all risers and any
alterations, additions and improvements made with Landlord’s consent during the
Lease Term for which such removal was made a condition of such consent under
Section 9.1 (b). Upon such removal Tenant shall restore the Premises to
their condition prior to such alterations, additions and improvements and
repair any damage occasioned by such removal and restoration.

 

(c)           If Tenant shall make any
alterations, additions or improvements to the Premises for which Landlord’s
approval is required under Section 9.1 (after giving effect to the
provisions of Section 9.7), without obtaining such approval, then at
Landlord’s request at any time during the Lease Term, and at any event at the
expiration or earlier termination of the Lease Term, Tenant shall remove such
alterations, additions and improvements and restore the Premises to their
condition prior to same and repair any damage occasioned by such removal and
restoration. Nothing herein shall be deemed to be a consent to Tenant to make
any such alterations, additions or improvements, the provisions of Section 9.1
being applicable to any such work.

 

9.6           Increases in Taxes

 

Tenant
shall pay, as Additional Rent, one hundred percent (100%) of any increase in
real estate taxes on the Complex which shall, at any time after the
Commencement Date, result from alterations, additions or improvements to the
Premises made by Tenant if the taxing authority specifically determines such
increase results from such alterations, additions or improvements made by
Tenant.

 

9.7           Alterations Permitted
Without Landlord’s Consent

 

Notwithstanding
the terms of Section 9.1, Tenant shall have the right, without obtaining
the prior consent of Landlord but upon notice to Landlord given ten (10) days
prior to the commencement of any work (which notice shall specify the nature of
the work in reasonable detail), to make alterations, additions or improvements
to the Premises where:

 

30

 

(i)            the same are within the
interior of the Premises within the Building, and do not affect the exterior of
the Premises and the Building (including no signs on windows);

 

(ii)           the same do not affect the
roof, any structural element of the Building, the mechanical, electrical,
plumbing, heating, ventilating, air-conditioning and fire protection systems of
the Building;

 

(iii)          with the exception of
painting and carpeting (which shall not be subject to the dollar limits set
forth in this subsection (iii)), the cost of any individual alteration,
addition or improvement shall not exceed $200,000.00 and the aggregate cost of
said alterations, additions or improvements made by Tenant during the Lease
Term shall not exceed $1,000,000.00 in cost; and

 

(iv)          Tenant shall comply with the
provisions of this Lease and if such work increases the cost of insurance or
taxes or of services, Tenant shall pay for any such increase in cost;

 

provided,
however, that Tenant shall, within thirty (30) days after the making of such changes,
send to Landlord plans and specifications describing the same in reasonable
detail and provided further that Landlord, by notice to Tenant given at least
thirty (30) days prior to the expiration or earlier termination of the Lease
Term, may, if any such alterations, addition or improvement constitutes a
Special Improvement, require Tenant to restore the Premises to its condition
prior to construction of such Special Improvement (reasonable wear and tear
excepted) at the expiration or earlier termination of the Lease Term.

 

ARTICLE X

 

Parking

 

10.1         Tenant’s Parking

 

Landlord
shall provide to Tenant monthly privileges in the number specified in Section 1.2
for the parking of automobiles, in common with use by other tenants from time
to time of the Complex, and on a first-come, first-served basis, and Landlord
shall not be obligated to furnish stalls or spaces on the Site specifically
designated for Tenant’s use. Tenant covenants and agrees that it and all
persons claiming by, through and under it, shall at all times abide by all
reasonable rules and regulations promulgated by Landlord with respect to
the use of the parking areas on the Site. The parking privileges granted herein
are non-transferable except to a permitted assignee or subtenant as provided in
Article XII below. Further, Landlord assumes no responsibility whatsoever
for loss or damage due to fire, theft or otherwise to any automobile(s) parked
on the Site or to any personal property therein, however caused, and Tenant
covenants and agrees, upon request from Landlord from time to time, to notify
its officers, employees, agents and

 

31

 

invitees
of such limitation of liability. Tenant acknowledges and agrees that a license
only is hereby granted, and no bailment is intended or shall be created.

 

ARTICLE XI

 

Certain Tenant and Landlord
Covenants

 

Tenant
covenants and agrees to the following during the Lease Term and for such
further time as Tenant occupies any part of the Premises:

 

11.1         To pay when due all Annual
Fixed Rent and Additional Rent and all charges for utility services rendered to
the Premises and service inspections therefor (except as is otherwise provided
in Exhibit C) and, as further Additional Rent, all charges for additional
and special services rendered pursuant to Section 7.3.

 

11.2         (A)          To use and occupy the
Premises for the Permitted Use only, and not to injure or deface the Premises
or the Property, not to permit in the Premises any auction sale, vending
machine (other than vending machines for use by Tenant’s employees and business
invitees) or flammable fluids or chemicals, or nuisance, or the emission from
the Premises of any objectionable noise or odor, nor to permit in the Premises
anything which would in any way result in the leakage of fluid or the growth of
mold, and not to use or devote the Premises or any part thereof for any purpose
other than the Permitted Use, nor any use thereof which is inconsistent with
the maintenance of the Building as office buildings of the first-class in the
quality of their maintenance, use and occupancy, or which is improper,
offensive, contrary to law or ordinance or liable to invalidate or increase the
premiums for any insurance on the Building or its contents or liable to render
necessary any alteration or addition to the Building. Further, (i) Tenant
shall not, nor shall Tenant permit its employees, invitees, agents, independent
contractors, contractors, assignees or subtenants to, keep, maintain, store or
dispose of (into the sewage or waste disposal system or otherwise) or engage in
any activity which might produce or generate any substance or fungal
contaminant which is or may hereafter be classified as a hazardous material,
waste or substance (collectively “Hazardous Materials”), under federal, state
or local laws, rules and regulations, including, without limitation, 42
U.S.C. Section 6901 et seq., 42 U.S.C. Section 9601 et seq., 42
U.S.C. Section 2601 et seq., 49 U.S.C. Section 1802 et seq. and
Massachusetts General Laws, Chapter 21E and the rules and regulations
promulgated under any of the foregoing, as such laws, rules and
regulations may be amended from time to time (collectively “Hazardous Materials
Laws”), (ii) Tenant shall promptly notify Landlord of any incident in, on
or about the Premises, the Buildings or the Site that would require the filing
of a notice under any Hazardous Materials Laws, (iii) Tenant shall comply
and shall cause its employees, invitees, agents, independent contractors,
contractors, assignees and subtenants to comply with each of the foregoing and
(iv) Landlord shall have the right to make such inspections (including
testing) as Landlord shall elect from time to time to determine that Tenant is
complying with the foregoing (provided that, except in cases of emergency,
Landlord provides Tenant at least two (2) business days’ prior written
notice of any such inspection). Notwithstanding the foregoing, Tenant may use
normal amounts and types of

 

32

 

substances typically used for Tenant’s business
operations, provided that Tenant uses such substances in the manner which they
are normally used, and in compliance with all Hazardous Materials Laws and
other applicable laws, ordinances, bylaws, rules and regulations, and
Tenant obtains and complies with all permits required by Hazardous Materials
Laws or any other laws, ordinances, bylaws, rules or regulations prior to
the use or presence of any such substances in the Premises.

 

(B)           Landlord represents and warrants to Tenant that, to
the best of Landlord’s actual knowledge as of the date of this Lease, there are
no Hazardous Materials in the Building or on the Site which are or would be
required to be removed or otherwise abated in accordance with applicable
Hazardous Materials Laws. In addition, Landlord further represents and warrants
to Tenant that Landlord constructed the sub-slab ventilation system underneath
the Building in accordance with the specifications previously provided to
Tenant and covenants that the system will operate as designed during the Term
of the Lease. Subject to the limitations of Section 16.24 hereof, Landlord
shall use necessary and appropriate efforts to remove or abate, as required by
applicable Hazardous Materials Laws and without inclusion in Operating
Expenses, (x) Hazardous Materials on the Site or in the common areas, the
structural elements or the base building systems of the Building and (y) Hazardous
Materials that are present in other areas of the Building as the result of the
actions of Landlord, its employees, agents or contractors.  Notwithstanding the foregoing, Landlord’s
obligation to remove or abate Hazardous Materials pursuant to this Section 11.2
shall not apply to (i) requirements of Hazardous Materials Laws resulting
from the use of Hazardous Materials, or additions, alterations or improvements
in the Premises (other than the Landlord’s Work and the Base Building Work
under Exhibit B-1 attached hereto), by Tenant or anyone claiming by,
through or under Tenant, or (ii) Hazardous Materials which are in the
Building or on the Site because of the action or inaction of any tenant or
occupant in the Building, including Tenant, or any employee, agent or
contractor thereof, or (iii) any tenant space in the Building, including
the Premises, and any additions, alterations and improvements therein, unless
in the case of this clause (iii) such Hazardous Materials (1) existed
in, at or on the Premises, the Building or the Site prior to the Commencement
Date or migrated to the Premises, the Building or the Site from another
property or (2) are present as the result of the action or inaction of
Landlord, its affiliates, employees, agents or contractors.  In connection with the foregoing, Landlord
hereby agrees to use best efforts to enforce the terms of its leases with other
tenants of the Building in the event of a violation of Hazardous Materials Laws
resulting from the action or inaction of any tenant or occupant of the Building
or any employee, agent or contractor thereof; provided, however, that in no
event shall Landlord be liable to Tenant for any violation of Hazardous
Materials Laws by any tenant or occupant of the Building.

 

Landlord
shall provide Tenant with copies of all reports and all material correspondence
and documents relating to Landlord’s ongoing monitoring of the groundwater at
the Site (it being understood and agreed that the decision as to whether or not
to continue such monitoring, except to the extent the same is or may be
required by Hazardous Materials Laws, shall be at Landlord’s sole discretion)
or the environmental status of the Site.

 

33

 

Landlord
shall promptly inform Tenant of any incident, act or condition at the Site
requiring notice or action under Hazardous Material Laws.

 

Subject
to the limitations of Section 16.24 
hereof, Landlord agrees to defend with counsel first approved by Tenant
(counsel appointed by Landlord’s insurance carrier shall be deemed approved by
Tenant and for any other circumstances such approval shall not be unreasonably
withheld or delayed), indemnify and save Tenant harmless from liability, loss
and damage to persons or property and from any claims, actions, proceedings and
expenses in connection therewith (including, without limitation, loss, damage
or claims related to indoor air quality problems within the Premises to the
extent resulting from Hazardous Materials that are present on the Site as of
the Commencement Date) resulting from the failure of Landlord to fulfill its
obligations under this Section 11.2(B) or any breach of Landlord’s
representations and warranties under this Section 11.2(B); provided,
however, that in no event shall the foregoing indemnity render Landlord liable
for any loss or damage to Tenant’s Property (as that term is described in
Section 13.4 below) and Landlord shall in no event be liable for indirect
or consequential damages.

 

11.3         Not to obstruct in any
manner any portion of the Building not hereby leased or any portion thereof or
of the Site used by Tenant in common with others; not without prior consent of
Landlord (or as otherwise provided in this Lease) to permit the painting or
placing of any signs, curtains, blinds, shades, awnings, aerials or flagpoles,
or the like, visible from outside the Premises; and to comply with all
reasonable rules and regulations now or hereafter made by Landlord, of
which Tenant has been given notice, for the care and use of the Building and
the Site and their facilities and approaches, but Landlord shall not be liable
to Tenant for the failure of other occupants of the Building to conform to such
rules and regulations. Landlord shall not enforce such rules and
regulations other than in a non discriminatory manner.

 

11.4         To keep the Premises
equipped with all safety appliances required by law or ordinance or any other
regulation of any public authority because of any use made by Tenant other than
normal office use, and to procure all licenses and permits so required because
of any use made by Tenant other than normal office use, and, if requested by
Landlord, to do any work so required because of such use, it being understood
that the foregoing provisions shall not be construed to broaden in any way
Tenant’s Permitted Use.

 

11.5         Not to place a load upon any
floor in the Premises exceeding an average rate of 70 pounds of live load
(including partitions) per square foot of floor area; and not to move any safe,
vault or other heavy equipment in, about or out of the Premises except in such
manner and at such time as Landlord shall in each instance authorize. Tenant’s
business machines and mechanical equipment shall be placed and maintained by
Tenant at Tenant’s expense in settings sufficient to absorb and prevent
vibration or noise that may be transmitted to the Building structure or to any
other space in the Building.

 

34

 

11.6         To pay promptly when due all
taxes which may be imposed upon personal property (including, without
limitation, fixtures and equipment) in the Premises to whomever assessed.

 

11.7         To pay, as Additional Rent,
all reasonable out of pocket costs, counsel and other fees incurred by Landlord
in connection with the successful enforcement by Landlord of any obligations of
Tenant under this Lease or in connection with any bankruptcy case involving
Tenant (Landlord hereby similarly agreeing to reimburse Tenant for all
reasonable out-of-pocket costs, counsel and other fees incurred by Tenant in
connection with the successful enforcement by Tenant of any obligations of
Landlord under this Lease or in connection with any bankruptcy case involving
Landlord).

 

11.8         Not to do or permit anything
to be done in or upon the Premises, or bring in anything or keep anything
therein, which shall increase the rate of insurance on the Premises or on the
Building above the standard rate applicable to premises being occupied for the
use to which Tenant has agreed to devote the Premises; and Tenant further
agrees that, in the event that Tenant shall do any of the foregoing, Tenant
will promptly pay to Landlord, on demand, any such increase resulting
therefrom, which shall be due and payable as Additional Rent hereunder.

 

11.9         To comply with all
applicable Legal Requirements now or hereafter in force which shall impose a
duty on Landlord or Tenant relating to or as a result of the use or occupancy
of the Premises; provided that Tenant shall not be required (i) to make
any alterations or additions to the base building systems or to the structure,
roof, exterior and load bearing walls, foundation, structural floor slabs and
other structural elements of the Building or (ii) to perform or satisfy
any other obligation of Landlord under this Lease, unless the same are required
by such Legal Requirements as a result of or in connection with Tenant’s use or
occupancy of the Premises beyond normal use of space of this kind. Tenant shall
promptly pay all fines, penalties and damages that may arise out of or be
imposed because of its failure to comply with the provisions of this Section 11.9.

 

11.10       Any vendors engaged by
Tenant to perform services in or to the Premises including, without limitation,
janitorial contractors and moving contractors shall be coordinated with any
work being performed by or for Landlord and in such manner as to maintain
harmonious labor relations and to not unreasonably interfere with Building
construction or operation, and shall be performed by vendors first approved by
Landlord, which approval shall not be unreasonably withheld. Notwithstanding
the foregoing, the following vendors do not require Landlord’s approval:
brokerage, legal, employment staffing, office and other supplies, furniture
providers (but not installers), construction consultants not performing any
physical work in the Building (but not architects) and food catering.

 

11.11       Landlord represents to the
Tenant that (a) the Permitted Use is permitted as of right at the Site
under the Zoning Ordinance for the City of Waltham and complies with the
requirements of all easement and encumbrance documents; (b) Landlord holds
fee simple title to the Site, subject to no mortgage; (c) Landlord has
full power and authority to enter

 

35

 

into this Lease and has obtained all consents and
taken all actions necessary in connection therewith; (d) no other party
has any possessory right to the Premises or has claimed the same; and (e) to
the best of Landlord’s actual knowledge the base building core, shell, and
surrounding site work comply with all laws, regulations, and building codes,
including without limitation, all laws governing nondiscrimination in public
accommodations and commercial facilities, including without limitation, the
requirements of the Americans with Disabilities Act (ADA) and all regulations
thereunder, applicable to the Building and the Site at the time of construction
and Landlord covenants to keep the same in compliance throughout the Term
(provided, however, that notwithstanding the foregoing, in no event shall
Landlord be liable to Tenant to the extent such non-compliance is caused by
parties other than Landlord, its agents, employees or contractors, Landlord
hereby agreeing to use reasonable efforts to enforce lease provisions regarding
compliance with laws against tenants of the Building as applicable).

 

ARTICLE XII

 

Assignment and Subletting

 

12.1         Restrictions on Transfer

 

Except
as otherwise expressly provided herein, Tenant covenants and agrees that it
shall not assign, mortgage, pledge, hypothecate or otherwise transfer this
Lease and/or Tenant’s interest in this Lease or sublet (which term, without
limitation, shall include granting of concessions, licenses or the like) the
whole or any part of the Premises. Any assignment, mortgage, pledge,
hypothecation, transfer or subletting not expressly permitted in or consented to
by Landlord under this Article XII shall be void, ab initio; shall be of
no force and effect; and shall confer no rights on or in favor of third
parties. In addition, Landlord shall be entitled to seek specific performance
of or other equitable relief with respect to the provisions hereof.

 

12.2         Exceptions

 

Notwithstanding
the foregoing provisions of Section 12.1 above and the provisions of
Section 12.3 and 12.4 below, but subject to the provisions of Sections
12.5 and 12.6, Tenant shall have the right to assign this Lease or to sublet
the Premises (in whole or in part) (i) to any controlling entity of Tenant
or to any entity controlled by Tenant or to any entity under common control
with Tenant (such parent or subsidiary entity or entity under common control
with Tenant being hereinafter called a “Tenant Affiliate”) or (ii) to any
entity into which Tenant may be converted or with which it may merge, or to any
entity purchasing all or substantially all of Tenant’s assets (each, a
“Permitted Tenant Successor”), provided that in the case of a Permitted Tenant
Successor, the entity to which this Lease is so assigned or which so sublets
the Premises has a net worth (e.g. assets on a pro forma basis using generally
accepted accounting principles consistently applied and using the most recent
financial statements) equal to the lesser of (1) the net

 

36

 

worth
of Tenant as of the date of this Lease or (2) the net worth of Tenant
immediately prior to such transaction.

 

Except
in the case of a statutory merger, in which case the surviving entity in the
merger shall be liable under this Lease, Tenant shall continue to remain fully
liable under this Lease, on a joint and several basis with the Tenant Affiliate
or Permitted Tenant Successor. If any Tenant Affiliate to which this Lease is
assigned or the Premises sublet (in whole or in part) shall cease to be such a
Tenant Affiliate, and if such cessation was contemplated at the time of the
assignment or subletting, such cessation shall be considered an assignment or
subletting requiring Landlord’s consent.

 

12.3         Landlord’s Termination Right

 

Notwithstanding
the provisions of Section 12.1 above, in the event Tenant desires:

 

(a)           to assign this Lease; or

 

(b)           to sublet such portion (the
“Sublease Portion”) of the Premises as (x) contains by itself at least
fifty percent (50%) of the Rentable Floor Area of the Premises or (y) would
bring the total amount of the Premises then subleased (exclusive of any
subleases under Section 12.2 above) to fifty percent (50%) or more of the
Rentable Floor Area of the Premises; or

 

(c)           to sublet any Sublease
Portion consisting of 5,000 square feet of rentable floor area or more for a
term equal to all or substantially all of the remaining Lease Term hereof (any
such sublease under this subparagraph (c) or subparagraph (b) above
being hereinafter referred to as a “Major Sublease”),

 

then
Tenant shall notify Landlord thereof in writing and Landlord shall have the
right at its sole option, to be exercised within ten (10) business days
after receipt of Tenant’s notice (the “Acceptance Period”), to terminate this
Lease as of a date specified in a notice to Tenant, which date shall not be
earlier than sixty (60) days nor later than one hundred and twenty (120) days
after Landlord’s notice to Tenant; provided, however, that upon the termination
date as set forth in Landlord’s notice, all obligations relating to the period
after such termination date (but not those relating to the period before such
termination date) shall cease and promptly upon being billed therefor by
Landlord, Tenant shall make final payment of all rent and additional rent due
from Tenant through the termination date.

 

Notwithstanding
the foregoing, in the event of a Major Sublease:

 

(i)            Landlord shall only have the
right to so terminate this Lease with respect to the Sublease Portion and from
and after the termination date the Rentable Floor Area of the Premises shall be
reduced to the rentable floor area of the remainder of the Premises and the
definition of Rentable Floor Area of the Premises shall be so

 

37

 

amended and after such termination all references in
this Lease to the “Premises” or the “Rentable Floor Area of the Premises” shall
be deemed to be references to the remainder of the Premises and accordingly
Tenant’s payments for Annual Fixed Rent, operating costs, real estate taxes and
electricity shall be reduced on a pro rata basis to reflect the size of the
remainder of the Premises;

 

(ii)           in the case of Major
Sublease for less than all or substantially all of the then-remaining Lease
Term, Landlord shall only have the right to suspend the term of this Lease pro
tanto for the term of the proposed sublease (i.e. the Term of the Lease in
respect of the Sublease Portion shall be terminated for the term of the
proposed sublease and then reinstated upon the expiration or earlier
termination of such sublease term); and

 

(iii)          in the case of a proposed
Major Sublease which, when combined with other subleases of the Premises then
in effect (exclusive of any subleases under Section 12.2. above) reaches
the fifty percent (50%) of the Premises threshold set forth above for Landlord
to recapture, Landlord may only exercise its recapture rights with respect to
the proposed Major Sublease, but may not exercise its recapture rights or
terminate this Lease as to any subleases of the Premises previously entered
into by Tenant.

 

In
the event that Landlord shall not exercise its termination rights as aforesaid,
or shall fail to give any or timely notice pursuant to this Section the
provisions of Sections 12.4-12.7 shall be applicable. In the case of a partial
subletting where Landlord has exercised its termination right pursuant to this
Section 12.3, Landlord shall be responsible, at its sole cost and expense,
for all work necessary to separately physically demise that portion of the
Premises which are being terminated from the remainder of the Premises.

 

This
Section 12.3 shall not be applicable to an assignment or sublease pursuant
to Section 12.2.

 

12.4         Consent of Landlord

 

Notwithstanding
the provisions of Section 12.1 above, but subject to the provisions of
this Section 12.4 and the provisions of Sections 12.5, 12.6 and 12.7
below, in the event that Landlord shall not have exercised the termination
right as set forth in Section 12.3, or shall have failed to give any or
timely notice under Section 12.3, then for a period of one hundred eighty
(180) days (i) after the receipt of Landlord’s notice stating that
Landlord does not elect the termination right, or (ii) after the
expiration of the Acceptance Period, in the event Landlord shall not give any
or timely notice under Section 12.3 as the case may be, Tenant shall have
the right to assign this Lease or sublet the Premises in accordance with the
Proposed Transfer Notice provided that, in each instance, Tenant first obtains
the express prior written consent of Landlord, which consent shall not be

 

38

 

unreasonably
withheld or delayed. It is understood and agreed that Landlord’s consent shall
be deemed given hereunder if Landlord shall fail to respond to a Proposed
Transfer Notice meeting the requirements of Section 12.5 below within ten
(10) business days after receipt thereof from Tenant.

 

Without
limiting the foregoing standard, Landlord shall not be deemed to be
unreasonably withholding its consent to such a proposed assignment or
subleasing if:

 

(a)           the proposed assignee or
subtenant is a tenant in the Building or is in active negotiation with Landlord
and Landlord has existing space that satisfies such party’s needs, or

 

(b)           the proposed assignee or
subtenant is not of a character consistent with the operation of a first class
office building (by way of example Landlord shall not be deemed to be
unreasonably withholding its consent to an assignment or subleasing to any
governmental or quasi-governmental agency), or

 

(c)           giving appropriate weight,
if applicable, to the fact that Tenant will nevertheless remain liable under
this Lease, the proposed assignee or subtenant does not possess adequate
financial capability to assure the performance of the Tenant obligations as and
when due or required, or

 

(d)           the assignee or subtenant
proposes to use the Premises (or part thereof) for a purpose other than the
purpose for which the Premises may be used as stated in Section 1.2
hereof, or

 

(e)           the character of the
business to be conducted or the proposed use of the Premises by the proposed
subtenant or assignee shall (i) be likely to materially increase
Landlord’s Operating Expenses beyond that which Landlord now incurs for use by
Tenant; (ii) be likely to materially increase the burden on elevators or
other Building systems or equipment over the burden prior to such proposed
subletting or assignment; or (iii) materially violate or be likely to
materially violate any provisions or restrictions contained herein relating to
the use or occupancy of the Premises, or

 

(f)            there shall be existing a
monetary or material non-monetary Event of Default (defined in Section 15.1),
or

 

(g)           any part of the rent payable
under the proposed assignment or sublease shall be based in whole or in part on
the income or profits derived from the Premises or if any proposed assignment
or sublease shall potentially have any adverse effect on the real estate
investment trust qualification requirements applicable to Landlord and its
affiliates.

 

39

 

12.5         Tenant’s Notice

 

Tenant
shall give Landlord notice (the “Proposed Transfer Notice”) of any proposed
sublease or assignment, and said notice shall specify the provisions of the
proposed assignment or subletting, including (a) the name and address of
the proposed assignee or subtenant, (b) in the case of a proposed
assignment or subletting pursuant to Section 12.4, such information as to
the proposed assignee’s or proposed subtenant’s net worth and financial
capability and standing as may reasonably be required for Landlord to make the
determination referred to in Section 12.4 above (provided, however, that
Landlord shall hold such information confidential having the right to release
same to its officers, accountants, attorneys and mortgage lenders on a
confidential basis), (c) all of the terms and provisions upon which the
proposed assignment or subletting is to be made, (d) in the case of a
proposed assignment or subletting pursuant to Section 12.4, all other
information reasonably necessary to make the determination referred to in
Section 12.4 above and (e) in the case of a proposed assignment or
subletting pursuant to Section 12.2 above, such information as may be
reasonably required by Landlord to determine that such proposed assignment or
subletting complies with the requirements of said Section 12.2.

 

If
Landlord shall consent to the proposed assignment or subletting, as the case
may be, then, in such event, Tenant may thereafter sublease or assign pursuant
to Tenant’s notice, as given hereunder; provided, however, that if such
assignment or sublease shall not be executed and delivered to Landlord within
one hundred eighty (180) days after the date of Landlord’s consent, the consent
shall be deemed null and void and the provisions of Section 12.3 shall be
applicable.

 

12.6         Profit on Subleasing or
Assignment

 

In
addition, in the case of any assignment or subleasing as to which Landlord may
consent (other than an assignment or subletting permitted under Section 12.2
hereof) such consent shall be upon the express and further condition, covenant
and agreement, and Tenant hereby covenants and agrees that, in addition to the
Annual Fixed Rent, Additional Rent and other charges to be paid pursuant to
this Lease, fifty percent (50%) of the “Assignment/Sublease Profits”
(hereinafter defined), if any shall be paid to Landlord.

 

The
“Assignment/Sublease Profits” shall be the excess, if any, of (a) the
“Assignment/Sublease Net Revenues” as hereinafter defined over (b) the
Annual Fixed Rent, Additional Rent and other charges provided in this Lease
(provided, however, that for the purpose of calculating the Assignment/Sublease
Profits in the case of a sublease, appropriate proportions in the applicable
Annual Fixed Rent, Additional Rent and other charges under this Lease shall be
made based on the percentage of the Premises subleased and on the terms of the
sublease). The “Assignment/Sublease Net Revenues” shall be the fixed rent,
Additional Rent and all other charges and sums payable either initially or over
the term of the sublease or assignment, less the reasonable costs of Tenant
incurred in such subleasing or assignment (the definition of which shall be
limited to brokerage

 

40

 

commissions,
advertising and marketing costs, rent concessions, attorneys’ fees, architect
and construction management fees, and alteration allowances, in each case
actually paid), as set forth in a statement certified by an appropriate officer
of Tenant and delivered to Landlord within thirty (30) days of the full
execution of the sublease or assignment document, amortized over the term of
the sublease or assignment.

 

All
payments of the Assignment/Sublease Profits due Landlord shall be made within
ten (10) days of receipt of same by Tenant.

 

12.7         Additional Conditions

 

(A)          It shall be a condition of the validity of any
assignment or subletting of right under Section 12.2 above, or consented
to under Section 12.4 above, that both Tenant and the assignee or
sublessee enter into a separate written instrument directly with Landlord in a
form and containing terms and provisions reasonably required by Landlord,
including, without limitation, the agreement of the assignee or sublessee to be
bound by all the obligations of the Tenant hereunder, including, without
limitation, the obligation (a) to pay the Annual Fixed Rent, Additional
Rent, and other amounts provided for under this Lease (but in the case of a
partial subletting, such subtenant shall agree on a pro rata basis to be so
bound) and (b) to comply with the provisions of Sections 12.1 through 12.7
hereof. Such assignment or subletting shall not relieve the Tenant named herein
of any of the obligations of the Tenant hereunder and Tenant shall remain fully
and primarily liable therefor and the liability of Tenant and such assignee (or
subtenant, as the case may be) shall be joint and several. Further, and
notwithstanding the foregoing, the provisions hereof shall not constitute a
recognition of the sublease or the subtenant thereunder, and at Landlord’s
option, upon the termination or expiration of the Lease (whether such
termination is based upon a cause beyond Tenant’s control, a default of Tenant,
the agreement of Tenant and Landlord or any other reason), the sublease shall
be terminated.

 

(B)           As Additional Rent, Tenant shall pay to Landlord as
a fee for Landlord’s review of any proposed assignment or sublease requested by
Tenant and the preparation of any associated documentation in connection
therewith, within thirty (30) days after receipt of an invoice from Landlord,
an amount equal to the sum of (i) $1,000.00 and/or (ii) reasonable
out of pocket legal fees or other expenses incurred by Landlord in connection
with such request.

 

(C)           If this Lease be assigned, or if the Premises or any
part thereof be sublet or occupied by anyone other than Tenant, Landlord may
upon prior notice to Tenant, at any time and from time to time, collect Annual
Fixed Rent, Additional Rent, and other charges from the assignee, sublessee or
occupant and apply the net amount collected to the Annual Fixed Rent,
Additional Rent and other charges herein reserved, but no such assignment,
subletting, occupancy or collection shall be deemed a waiver of this covenant,
or a waiver of the provisions of Sections 12.1 through 12.7 hereof, or the
acceptance of the assignee, sublessee or occupant as a tenant or a release of
Tenant from the further performance by Tenant of covenants on the part of
Tenant herein contained, the Tenant herein named to remain primarily liable
under this Lease.

 

41

 

(D)                               The consent by Landlord to
an assignment or subletting under any of the provisions of Sections 12.2 or
12.4 shall in no way be construed to relieve Tenant from obtaining the express
consent in writing of Landlord to any further assignment or subletting.

 

(E)                                 Without limiting Tenant’s
obligations under Article IX, Tenant shall be responsible, at Tenant’s
sole cost and expense, for performing all work necessary to comply with Legal
Requirements and Insurance Requirements in connection with any assignment or
subletting hereunder including, without limitation, any work in connection with
such assignment or subletting.

 

(F)                                 In addition to the other
requirements set forth in this Lease and notwithstanding any other provision of
this Lease, partial sublettings of the Premises shall only be permitted under
the following terms and conditions: (i) the layout of both the subleased
premises and the remainder of the Premises must comply with applicable laws,
ordinances, rules and/or regulations and be reasonably approved by
Landlord, including, without limitation, all requirements concerning access and
egress; (ii) in the event the subleased premises are separately physically
demised from the remainder of the Premises, and except as provided in Section 12.3,
Tenant shall pay all costs of separately physically demising the subleased
premises; and (iii) at any given time, there shall be no more than four
(4) subleases in effect.

 

(G)                                Notwithstanding anything to
the contrary provided in Section 12.6 above, Landlord shall be entitled to
one hundred percent (100%) of any Assignment/Sublease Profits reasonably
allocable (in Landlord’s reasonable determination consistent with Section 12.6)
to any calendar month of the Term during which there is or was subsisting, at
any time during said calendar month, a monetary or material non-monetary Event
of Default (as defined in Section 15.1).

 

12.8                           Short-Term
Subleases

 

It
is acknowledged and agreed that Tenant may initially sublease all or some
portion of the East Wing Expansion Premises (as that term is defined in Section 17.1
below) in the event that Tenant elects to lease the same pursuant to Section 17.3
below (any such subleases being hereinafter referred to as the “Initial East
Wing Expansion Premises Subleases”). 
Notwithstanding anything contained in Sections 12.1-12.7 above to the
contrary, it is understood and agreed that (i) the provisions of Sections
12.3, 12.6 and clause (iii) of Section 12.7(F) above shall not
apply to any Initial East Wing Expansion Premises Subleases with a sublease
term of two (2) years or less and (ii)  Landlord shall not be
entitled to withhold its consent to any of the prospective Initial East Wing
Expansion Premises Subleases with a term of two (2) years or less on the
grounds that the proposed subtenant is a tenant in the Building or is in active
negotiation with Landlord or that the proposed subtenant does not possess
adequate financial capability to assure the performance of the Tenant
obligations as and when due or required.

 

42

 

ARTICLE XIII

 

Indemnity And Insurance

 

13.1                           Indemnity

 

(A)                              Tenant’s Indemnity.  To the maximum extent permitted by law, but
subject to the limitations in Section 16.24 hereof, and to the extent not
resulting from any act, omission, 
negligence or willful misconduct of the Landlord Parties (as hereinafter
defined), Tenant agrees to indemnify and save harmless the Landlord Parties
from and against all claims by third parties of whatever nature to the extent
arising from or claimed to have arisen from (i) any act, omission or
negligence of the Tenant Parties (as hereinafter defined) occurring in the
Premises, the Building or the Complex; (ii) any accident, injury or damage
whatsoever caused to any person, or to the property of any person, occurring in
or about the Premises from the earlier of (A) the date on which any Tenant
Party first enters the Premises in accordance with the provisions of Exhibit B-1
attached hereto or (B) the Commencement Date, and thereafter throughout
and until the end of the Lease Term, and after the end of the Lease Term for so
long after the end of the Lease Term as Tenant or anyone acting by, through or
under Tenant is in occupancy of the Premises or any portion thereof; (iii) any
accident, injury or damage whatsoever occurring outside the Premises but within
the Building or the Complex, where such accident, injury or damage results, or
is claimed to have resulted, from any act, omission or negligence on the part
of any of the Tenant Parties; or (iv) any breach of this Lease by Tenant
(but only to the extent a specific remedy for such breach is not otherwise
provided for pursuant to the terms of this Lease); provided, however, that in
no event shall Tenant be liable for any indirect or consequential damages
except (1) as provided in Section 16.18 below and (2) in
connection with Tenant’s use of Hazardous Materials in its business
operations.  This indemnification shall
not be construed to deny or reduce any other rights or obligations of indemnity
that any of the Landlord Parties may have under this Lease or the common law.

 

(B)                                [intentionally omitted]

 

(C)                                No limitation.  The indemnification obligations under this
Section 13.1 shall not be limited in any way by any limitation on the
amount or type of damages, compensation or benefits payable by or for Tenant or
any subtenant or other occupant of the Premises under workers’ compensation
acts, disability benefit acts, or other employee benefit acts. Tenant waives
any immunity from or limitation on its indemnity or contribution liability to
the Landlord Parties based upon such acts.

 

(D)                               Subtenants and other
occupants.  Tenant
shall require its subtenants and other occupants of the Premises to provide
similar indemnities to the Landlord Parties in a form acceptable to Landlord.

 

(E)                                 Landlord’s Indemnity.  To the maximum extent permitted by law, but
subject to the limitations in Section 16.24 and in Sections 13.2 and 13.13
of this Article, and to the 

 

43

 

extent not resulting from any act, omission, fault,
negligence or willful misconduct of Tenant or its contractors, licensees,
invitees, agents, servants or employees, Landlord agrees to indemnify and save
harmless Tenant from and against any claim by a third party arising from any
injury to any person occurring in the Premises, the Building or the Complex
after the date that possession of the Premises is first delivered to Tenant and
until the expiration or earlier termination of the Lease Term, to the extent
such injury results from the negligent act or omission or willful misconduct of
Landlord or Landlord’s contractors, agents or employees, or from any breach or
default by Landlord in the performance or observance of its covenants or
obligations under this Lease (but only to the extent a specific remedy for such
breach or default is not otherwise provided for pursuant to the terms of this
Lease); provided, however, that in no event shall the aforesaid indemnity
render Landlord responsible or liable for any loss or damage to fixtures,
personal property or other property of Tenant, and Landlord shall in no event
be liable for any indirect or consequential damages.  Tenant shall provide notice of any such third
party claim to Landlord as soon as practicable. 
Landlord shall have the right, but not the duty, to defend the
claim.  The provisions of this Section 13.1(e) shall
not be applicable to the holder of any mortgage now or hereafter on the
Building or the Site (whether or not such holder shall be a mortgagee in possession
of or shall have exercised any rights under a conditional, collateral or other
assignment of leases and/or rents respecting the Building or the Site, except
to the extent of liability insurance maintained by such holder).

 

(F)                                 Costs.  The foregoing indemnity and hold harmless
agreement shall include indemnity for all costs, expenses and liabilities
(including, without limitation, attorneys’ fees and disbursements) incurred by
the Landlord Parties in connection with any such claim or any action or proceeding
brought thereon, and the defense thereof. In addition, in the event that any
action or proceeding shall be brought against one or more Landlord Parties by
reason of any such claim, Tenant, upon request from the Landlord Party, shall
resist and defend such action or proceeding on behalf of the Landlord Party by
counsel appointed by Tenant’s insurer (if such claim is covered by insurance
without reservation) or otherwise by counsel reasonably satisfactory to the
Landlord Party. The Landlord Parties shall not be bound by any compromise or
settlement of any such claim, action or proceeding without the prior written
consent of such Landlord Parties.

 

(G)                                Survival. The terms of
this Section 13.1 shall survive any termination or expiration of this
Lease.

 

13.2                           Tenant’s Risk

 

Tenant
agrees to use and occupy the Premises, and to use such other portions of the
Building and the Complex as Tenant is given the right to use by this Lease at
Tenant’s own risk. The Landlord Parties shall not be liable to the Tenant Parties
for any damage, injury, loss, compensation, or claim (including, but not
limited to, claims for the interruption of or loss to a Tenant Party’s
business) based on, arising out of or resulting from any cause whatsoever,
including, but not limited to, repairs to any portion of the Premises or the
Building or the Complex, any fire, robbery, theft, mysterious 

 

44

 

disappearance,
or any other crime or casualty, the actions of any other tenants of the Building
or of any other person or persons, or any leakage in any part or portion of the
Premises or the Building or the Complex, or from water, rain or snow that may
leak into, or flow from any part of the Premises or the Building or the
Complex, or from drains, pipes or plumbing fixtures in the Building or the
Complex. Any goods, property or personal effects stored or placed in or about
the Premises shall be at the sole risk of the Tenant Party, and neither the
Landlord Parties nor their insurers shall in any manner be held responsible
therefor. The Landlord Parties shall not be responsible or liable to a Tenant
Party, or to those claiming by, through or under a Tenant Party, for any loss
or damage that may be occasioned by or through the acts or omissions of persons
occupying adjoining premises or any part of the premises adjacent to or
connecting with the Premises or any part of the Building or otherwise. The
provisions of this section shall be applicable until the expiration or earlier
termination of the Lease Term, and during such further period as Tenant may use
or be in occupancy of any part of the Premises or of the Building.

 

13.3                           Tenant’s
Commercial General Liability Insurance

 

Tenant
agrees to maintain in full force on or before the earlier of (i) the date
on which any Tenant Party first enters the Premises for any reason or (ii) the
Commencement Date, and thereafter throughout and until the end of the Lease
Term, and after the end of the Lease Term for so long as Tenant or anyone
acting by, through or under Tenant is in occupancy of the Premises or any
portion thereafter, a policy of commercial general liability insurance, on an
occurrence basis, issued on a form at least as broad as Insurance Services
Office (“ISO”) Commercial General Liability Coverage “occurrence” form CG 00 01
10 01 or another Commercial General Liability “occurrence” form providing
equivalent coverage. Such insurance shall include broad form contractual
liability coverage, specifically covering but not limited to the indemnification
obligations undertaken by Tenant in this Lease. The Initial Minimum Limits of
Tenant’s Commercial General Liability Insurance shall be as stated in Section 1.2
above (subject to increase as provided in said Section 1.2).  In addition, in the event Tenant hosts a
function in the Premises, Tenant agrees to obtain, and cause any persons or
parties providing services for such function to obtain, the appropriate
insurance coverages as may be reasonably determined by Landlord (including host
liquor liability coverage, if applicable) and provide Landlord with evidence of
the same upon request.

 

13.4                           Tenant’s
Property Insurance

 

Tenant
shall maintain at all times during the Term of the Lease, and during such
earlier time as Tenant may be performing work in or to the Premises or have
property, fixtures, furniture, equipment, machinery, goods, supplies, wares or
merchandise on the Premises, and containing thereafter so long as Tenant is in
occupancy of any part of the Premises, business interruption insurance and insurance
against loss or damage covered by the so-called “all risk” type insurance
coverage (including during the course of construction) with respect to Tenant’s
property, fixtures, furniture, equipment, machinery, goods, supplies, wares and
merchandise, and all alterations, improvements and other 

 

45

 

modifications
made by or on behalf of the Tenant in the Premises, and other property of
Tenant located at the Premises, which are permitted to be removed by Tenant at
the expiration or earlier termination of the Lease Term except to the extent
paid for by Landlord (collectively “Tenant’s Property”). The business
interruption insurance required by this Section 13.4 shall be in minimum
amounts not less than the Annual Fixed Rent then in effect during any Lease
Year, plus any Additional Rent due and payable for the immediately preceding
Lease Year. The “all risk” insurance required by this section shall be in an
amount at least equal to the full replacement cost of Tenant’s Property. In
addition, during such time as Tenant is performing work in or to the Premises,
Tenant, at Tenant’s expense, shall also maintain, or shall cause its
contractor(s) to maintain, “all risk” insurance in an amount not less than
the full replacement cost of any such work. Landlord and such additional
persons or entities as Landlord may reasonably request shall be named as loss
payees, as their interests may appear, on the policy or policies required by
this Lease. In the event of loss or damage covered by the “all risk” insurance
required by this Lease, the responsibilities for repairing or restoring the
loss or damage shall be determined in accordance with Article XIV. To the
extent that Landlord is obligated to pay for the repair or restoration of the
loss or damage covered by the policy, Landlord shall be paid the proceeds of
the “all risk” insurance covering the loss or damage. To the extent Tenant is
obligated to pay for the repair or restoration of the loss or damage, covered
by the policy, Tenant shall be paid the proceeds of the “all risk” insurance
covering the loss or damage. If both Landlord and Tenant are obligated to pay
for the repair or restoration of the loss or damage covered by the policy, the
insurance proceeds shall be paid to each of them in the pro rata proportion of
their obligations to repair or restore the loss or damage. If the loss or
damage is not repaired or restored (for example, if the Lease is terminated
pursuant to Article XIV), the insurance proceeds shall be paid to Landlord
and Tenant in the pro rata proportion of their relative contributions to the
cost of the leasehold improvements pursuant to the terms of the policy.

 

13.5                           Tenant’s Other
Insurance

 

Tenant
agrees to maintain in full force on or before the earlier of (i) the date
on which any Tenant Party first enters the Premises for any reason or (ii) the
Commencement Date, and thereafter throughout the end of the Term, and after the
end of the Term for so long after the end of the Term as Tenant or anyone acting
by, through or under Tenant is in occupancy of the Premises or any portion
thereafter, (1) comprehensive automobile liability insurance (covering any
automobiles owned or operated by Tenant) issued on a form at least as broad as
ISO Business Auto Coverage form CA 00 01 07 97 or other form providing
equivalent coverage; (2) workers’ compensation insurance; and (3) employer’s
liability insurance. Such automobile liability insurance shall be in an amount
not less than One Million Dollars ($1,000,000) for each accident. Such workers’
compensation insurance shall carry minimum limits as defined by the law of the
jurisdiction in which the Premises are located (as the same may be amended from
time to time). Such employer’s liability insurance shall be in an amount not
less than One Million Dollars ($1,000,000) for each accident, One Million
Dollars ($1,000,000) disease-policy limit, and One Million Dollars ($1,000,000)
disease-each employee.

 

46

 

13.6                           Requirements for
Tenant’s Insurance

 

All
insurance required to be maintained by Tenant pursuant to this Lease shall be
maintained with responsible companies that are admitted to do business, and are
in good standing in the Commonwealth of Massachusetts and that have a rating of
at least “A-” and are within a financial size category of not less than “Class VII”
in the most current Best’s Key Rating Guide (or such similar rating as may be
reasonably selected by Landlord if Best’s Key Rating Guide is no longer being
published). All such insurance shall: (1) be reasonably acceptable in form
and content to Landlord; (2) be primary and noncontributory; and (3) contain
an endorsement providing that the insurer shall endeavor to provide Landlord at
least thirty (30) days’ prior written notice (by certified or registered mail,
return receipt requested, or by fax or email) of any cancellation, failure to
renew, reduction of amount of insurance, or material change in coverage. No
such policy shall contain any deductible or self-insured retention greater than
$25,000.00 for commercial general liability insurance and $100,000.00 for
property insurance. Such deductibles and self-insured retentions shall be
deemed to be “insurance” for purposes of the waiver in Section 13.13
below. The minimum amounts of insurance required by this Lease shall not be
reduced by the payment of claims or for any other reason. In the event Tenant
shall fail to obtain or maintain any insurance meeting the requirements of this
Article, Landlord may, at its option, on five (5) business days notice to
Tenant given at any time after Tenant has failed to provide any certificate of
insurance required by this Article XIII, procure such policies for the
account of Tenant, and the cost thereof shall be paid to Landlord within five
(5) days after delivery to Tenant of bills therefor.

 

13.7                           Additional
Insureds

 

The
commercial general liability and auto insurance carried by Tenant pursuant to
this Lease, and any additional liability insurance carried by Tenant pursuant
to Section 13.3 of this Lease, shall name Landlord, Landlord’s managing
agent, and such other Persons as Landlord may reasonably request from time to
time as additional insureds with respect to liability arising out of or related
to this Lease or the operations of Tenant (collectively “Additional Insureds”).
Such insurance shall provide primary coverage without contribution from any
other insurance carried by or for the benefit of Landlord, Landlord’s managing
agent, or other Additional Insureds. Such insurance shall also waive any right
of subrogation against each Additional Insured.

 

13.8                           Certificates of
Insurance

 

On
or before the earlier of (i) the date on which any Tenant Party first
enters the Premises for any reason or (ii) the Commencement Date, Tenant
shall furnish Landlord with certificates evidencing the insurance coverage
required by this Lease, and renewal certificates shall be furnished to Landlord
at least annually thereafter, and at renewal of each policy for which a
certificate was furnished (acceptable forms of such certificates for liability
and property insurance, respectively, are attached as Exhibit L). Failure
by the Tenant to provide the certificates or letters required by this Section 13.8
shall not be deemed to be a waiver of the requirements in this Section 13.8.
Upon request by 

 

47

 

Landlord,
a true and complete copy of any insurance policy required by this Lease shall
be delivered to Landlord within ten (10) days following Landlord’s request.

 

13.9                           Subtenants and
Other Occupants

 

Tenant
shall require its subtenants and other occupants of the Premises to provide
written documentation evidencing the obligation of such subtenant or other
occupant to indemnify the Landlord Parties to the same extent that Tenant is
required to indemnify the Landlord Parties pursuant to Section 13.1 above,
and to maintain insurance that meets the requirements of this Article, and
otherwise to comply with the requirements of this Article. Tenant shall require
all such subtenants and occupants to supply certificates of insurance
evidencing that the insurance requirements of this Article have been met
and shall forward such certificates to Landlord on or before the earlier of (i) the
date on which the subtenant or other occupant or any of their respective direct
or indirect partners, officers, shareholders, directors, members, trustees,
beneficiaries, servants, employees, principals, contractors, licensees, agents,
invitees or representatives first enters the Premises or (ii) the
commencement of the sublease. Tenant shall be responsible for identifying and
remedying any deficiencies in such certificates or policy provisions.

 

13.10                     No Violation of
Building Policies

 

Tenant
shall not commit or permit any violation of the policies of fire, boiler,
sprinkler, water damage or other insurance covering the Complex and/or the
fixtures, equipment and property therein carried by Landlord, or do or permit
anything to be done, or keep or permit anything to be kept, in the Premises, which
in case of any of the foregoing (i) would result in termination of any
such policies, (ii) would adversely affect Landlord’s right of recovery
under any of such policies, or (iii) would result in reputable and
independent insurance companies refusing to insure the Complex or the property
of Landlord in amounts reasonably satisfactory to Landlord.

 

13.11                     Tenant to Pay
Premium Increases

 

If
and solely to the extent that, because of anything done, caused or permitted to
be done, or omitted by Tenant (or its subtenant or other occupants of the
Premises), the rates for liability, fire, boiler, sprinkler, water damage or
other insurance on the Complex and equipment of Landlord or any other tenant or
subtenant in the Building shall be higher than they otherwise would be, Tenant
shall reimburse Landlord and/or the other tenants and subtenants in the
Building for the additional insurance premiums thereafter paid by Landlord or
by any of the other tenants and subtenants in the Building which shall have
been charged because of the aforesaid reasons, such reimbursement to be made
from time to time on Landlord’s demand.

 

13.12                     Landlord’s
Insurance

 

(A)                              Required insurance.  Landlord shall maintain insurance against
loss or damage with respect to the Building on an “all risk” type insurance
form, with customary exceptions, subject to such deductibles as Landlord may
reasonably determine, in an 

 

48

 

amount equal to at least the replacement value of
the Building. Landlord shall also maintain such insurance with respect to any
improvements, alterations, and fixtures of Tenant located at the Premises to
the extent paid for by Landlord. The cost of such insurance shall be treated as
a part of Operating Expenses for the Building. Such insurance shall be
maintained with an insurance company selected by Landlord. Payment for losses
thereunder shall be made solely to Landlord.

 

(B)                                Optional insurance.  Landlord may maintain such additional
insurance with respect to the Building and the Development Area, including,
without limitation, earthquake insurance, terrorism insurance, flood insurance,
liability insurance and/or rent insurance, as Landlord may in its sole
discretion elect. Landlord may also maintain such other insurance as may from
time to time be required by the holder of any mortgage on the Building or
Property. The cost of all such additional insurance shall also be part of the
Operating Expenses for the Building.

 

(C)                                Blanket and self-insurance.  Any or all of Landlord’s insurance may be
provided by blanket coverage maintained by Landlord or any affiliate of
Landlord under its insurance program for its portfolio of properties, or by
Landlord or any affiliate of Landlord under a program of self-insurance, and in
such event Operating Expenses for the Building shall include the portion of the
reasonable cost of blanket insurance or self-insurance that is allocated to the
Building.

 

(D)                               No obligation.  Landlord shall not be obligated to insure,
and shall not assume any liability of risk of loss for, Tenant’s Property,
including any such property or work of Tenant’s subtenants or occupants.
Landlord will also have no obligation to carry insurance against, nor be
responsible for, any loss suffered by Tenant, subtenants or other occupants due
to interruption of Tenant’s or any subtenant’s or occupant’s business.

 

13.13                     Waiver of
Subrogation

 

The
parties hereto waive and release any and all rights of recovery against the
other, and agree not to seek to recover from the other or to make any claim
against the other, and in the case of Landlord, against all “Tenant Parties”
(hereinafter defined), and in the case of Tenant, against all “Landlord
Parties” (hereinafter defined), for any loss or damage incurred by the
waiving/releasing party to the extent such loss or damage is insured under any
insurance policy required by this Lease or which would have been so insured had
the party carried the insurance it was required to carry hereunder. Tenant
shall obtain from its subtenants and other occupants of the Premises a similar
waiver and release of claims against any or all of Tenant or Landlord. In
addition, the parties hereto (and in the case of Tenant, its subtenants and
other occupants of the Premises) shall procure an appropriate clause in, or
endorsement on, any liability or property insurance policy required by this
Lease pursuant to which the insurance company waives subrogation. The insurance
policies required by this Lease shall contain no provision that would
invalidate or restrict the parties’ waiver and release of the rights of
recovery in this section. The parties hereto covenant that no insurer shall
hold any right of subrogation against the parties hereto by virtue of such
insurance policy.

 

49

 

The
term “Landlord Party” or “Landlord Parties” shall mean Landlord, any affiliate
of Landlord, Landlord’s managing agents for the Building, each mortgagee (if
any), each ground lessor (if any), and each of their respective direct or
indirect partners, officers, shareholders, directors, members, trustees,
beneficiaries, servants, employees, principals, contractors, licensees, agents
or representatives. For the purposes of this Lease, the term “Tenant Party” or
“Tenant Parties” shall mean Tenant, any affiliate of Tenant, any permitted
subtenant or any other permitted occupant of the Premises, and each of their
respective direct or indirect partners, officers, shareholders, directors,
members, trustees, beneficiaries, servants, employees, principals, contractors,
licensees, agents, invitees or representatives.

 

13.14                     Tenant’s Work

 

During
such times as Tenant is performing work or having work or services performed in
or to the Premises, Tenant shall require its contractors, and their
subcontractors of all tiers, to obtain and maintain commercial general
liability, automobile, workers compensation, employer’s liability, and
equipment/property insurance in such amounts and on such terms as are
customarily required of such contractors and subcontractors on similar
projects. The amounts and terms of all such insurance are subject to Landlord’s
written approval, which approval shall not be unreasonably withheld. The
commercial general liability and auto insurance carried by Tenant’s contractors
and their subcontractors of all tiers pursuant to this section shall name
Landlord, Landlord’s managing agent, and such other persons as Landlord may
reasonably request from time to time as additional insureds with respect to
liability arising out of or related to their work or services (collectively
“Additional Insureds”). Such insurance shall provide primary coverage without
contribution from any other insurance carried by or for the benefit of
Landlord, Landlord’s managing agent, or other Additional Insureds. Such insurance
shall also waive any right of subrogation against each Additional Insured.
Tenant shall obtain and submit to Landlord, prior to the earlier of (i) the
entry onto the Premises by such contractors or subcontractors or (ii) commencement
of the work or services, certificates of insurance evidencing compliance with
the requirements of this section.

 

ARTICLE XIV

 

Fire, Casualty and Taking

 

14.1                           Damage
Resulting from Casualty

 

In
case during the Lease Term the Building or the Site are damaged by fire or casualty,
and such fire or casualty damage cannot, in the ordinary course, reasonably be
expected to be repaired within two hundred forty (240) days from the date of
such fire or casualty, Landlord may, at its election, terminate this Lease by
notice given to Tenant within sixty (60) days after the date of such fire or
other casualty, specifying the effective date of termination. The effective
date of termination specified by Landlord shall not be less than thirty (30)
days nor more than forty-five (45) days after the date of notice of such
termination. Unless terminated pursuant to the foregoing provisions, this Lease
shall 

 

50

 

remain
in full force and effect following any such damage subject, however, to the following
provisions.

 

If
during the last eighteen (18) months of the Lease Term as it may have been
extended, the Building shall be damaged by fire or casualty and such fire or
casualty damage to the Premises cannot reasonably be expected to be repaired or
restored within one hundred fifty (150) days from the date of such casualty,
then Tenant shall have the right, by giving notice to Landlord not later than
thirty (30) days after such damage, to terminate this Lease, whereupon this
Lease shall terminate as of the date of such notice with the same force and
effect as if such date were the date originally established as the expiration
date hereof.

 

If
the Building or the Site or any part thereof are damaged by fire or casualty
and this Lease is not so terminated, or Landlord has no right to terminate this
Lease, and in either such case the holder of any mortgage which includes the
Building as a part of the mortgaged premises or any ground lessor of any ground
lease which includes the Site as part of the demised premises allows the net
insurance proceeds to be applied to the restoration of the Building (and/or the
Site), Landlord, promptly after such damage and the determination of the net
amount of insurance proceeds available shall use due diligence to restore the
Premises and the Building in the event of damage thereto (excluding Tenant’s
Property ) into proper condition for use and occupation and a just proportion
of the Annual Fixed Rent, the Operating Cost Excess and the Tax Excess
according to the nature and extent of the injury to the Premises shall be
abated from the date of casualty until the Premises shall have been put by
Landlord substantially into such condition and are made available for occupancy
by Tenant. If such net insurance proceeds are not allowed by such mortgagee or
ground lessor to be applied to, or are otherwise insufficient for, the
restoration of the Building (and/or the Site) and if Landlord does not
otherwise elect to spend the additional funds necessary to fully restore the
Building (and/or the Site), then Landlord shall give notice (“Landlord’s
Insufficient Insurance Proceeds Notice”) to Tenant that Landlord does not elect
to fund the amount of the insufficiency and Tenant shall thereafter have the
right to terminate this Lease by providing Landlord with a notice of
termination within thirty (30) days after Tenant’s receipt of Landlord’s
Insufficient Insurance Proceeds Notice (the effective date of which termination
shall not be less than sixty (60) days after the date of such notice of such
termination).

 

Where
Landlord is obligated or otherwise elects to effect restoration of the
Premises, unless such restoration is completed within one (1) year from
the date of the casualty or taking, such period to be subject, however, to
extension where the delay in completion of such work is due to Force Majeure,
as defined hereinbelow, (but in no event beyond eighteen (18) months from the
date of the casualty or taking), Tenant, as its sole and exclusive remedy,
shall have the right to terminate this Lease at any time after the expiration
of such one-year (as extended) period until the restoration is substantially
completed, such termination to take effect as of the thirtieth (30th) day after
the date of receipt by Landlord of Tenant’s notice, with the same force and
effect as if such date were the date originally established as the expiration
date hereof unless, within such thirty (30) 

 

51

 

day
period such restoration is substantially completed, in which case Tenant’s
notice of termination shall be of no force and effect and this Lease and the
Lease Term shall continue in full force and effect. When used herein, “Force
Majeure” shall mean any prevention, delay or stoppage due to governmental
regulation, strikes, lockouts, acts of God, acts of war, terrorists acts, civil
commotions, unusual scarcity of or inability to obtain labor or materials,
labor difficulties, casualty or other causes reasonably beyond Landlord’s
control or attributable to Tenant’s action or inaction. A party shall have the
right to invoke the benefit of the Force Majeure provisions of this Article XIV
only if (a) it advises the other party of the occurrence of the Force
Majeure event within three (3) business days after it becomes aware
thereof and (b) such party uses commercially reasonable efforts to
mitigate the impact of such Force Majeure event to the extent it within such
party’s reasonable ability to do so under the circumstances).

 

14.2                           Uninsured
Casualty

 

Notwithstanding
anything to the contrary contained in this Lease, if the Building or the
Premises shall be substantially damaged by fire or casualty as the result of a
risk not covered by the forms of casualty insurance at the time required to be
maintained by Landlord pursuant to this Lease, and such fire or casualty damage
cannot, in the ordinary course, reasonably be expected to be repaired within
one hundred fifty (150) days from the time that repair work would commence,
Landlord may, at its election, terminate the Term of this Lease by notice to
Tenant given within sixty (60) days after such loss. If Landlord shall give
such notice, then this Lease shall terminate as of the date of such notice with
the same force and effect as if such date were the date originally established
as the expiration date hereof.

 

14.3                           Rights of
Termination for Taking

 

If
the Building, or such portion thereof as to render the balance (if
reconstructed to the maximum extent practicable in the circumstances)
unsuitable for Tenant’s purposes, shall be taken by condemnation or right of
eminent domain, Landlord or Tenant shall have the right to terminate this Lease
by notice to the other of its desire to do so, provided that such notice is
given not later than thirty (30) days after Tenant has been deprived of
possession. If either party shall give such notice, then this Lease shall
terminate as of the date of such notice with the same force and effect as if
such date were the date originally established as the expiration date hereof.

 

Further,
if (i) so much of the Building shall be so taken that continued operation
of the Building would be uneconomic as determined by Landlord in its reasonable
discretion or (ii) access to the Building shall be taken (such that Tenant
and other tenants of the Building do not have any practical means of access to
their premises for purposes of use and occupancy of at least fifty percent
(50%) of the Total Rentable Floor Area of the Building), Landlord shall have
the right to terminate this Lease by giving notice to Tenant of Landlord’s
desire to do so not later than thirty (30) days after Tenant has been deprived
of possession of the Premises (or such portion thereof as may be taken).
Landlord agrees not to exercise such termination right in a discriminatory
manner insofar 

 

52

 

as
any election Landlord makes, or refrains from making, pursuant to any
termination right Landlord may have with respect to other tenants of the
Building whose premises are similarly affected. If Landlord shall give such
notice to Tenant hereunder, then this Lease shall terminate as of the date of
such notice with the same force and effect as if such date were the date
originally established as the expiration date hereof.

 

Should
any part of the Premises be so taken or condemned during the Lease Term hereof,
and should this Lease not be terminated in accordance with the foregoing
provisions, and the holder of any mortgage which includes the Premises as part
of the mortgaged premises or any ground lessor of any ground lease which
includes the Site as part of the demised premises allows the net condemnation
proceeds to be applied to the restoration of the Building, Landlord agrees that
after the determination of the net amount of condemnation proceeds available to
Landlord, Landlord shall use due diligence to put what may remain of the
Premises into proper condition for use and occupation as nearly like the
condition of the Premises prior to such taking as shall be practicable
(excluding Tenant’s Property). If such net condemnation proceeds are not
allowed by such mortgagee or ground lessor to be applied to, or are otherwise
insufficient for, the restoration of the Building (and/or the Site) and if
Landlord does not otherwise elect to spend the additional funds necessary to
fully restore the Building (and/or the Site), then Landlord shall give notice
(“Landlord’s Insufficient Condemnation Proceeds Notice”) to Tenant that
Landlord does not elect to fund the amount of the insufficiency and Tenant
shall thereafter have the right to terminate this Lease by providing Landlord
with a notice of termination within thirty (30) days after Tenant’s receipt of
Landlord’s Insufficient Condemnation Proceeds Notice (the effective date of
which termination shall not be less than sixty (60) days after the date of such
notice of such termination).

 

If
the Premises shall be affected by any exercise of the power of eminent domain
and neither Landlord nor Tenant shall terminate this Lease as provided above,
then the Annual Fixed Rent, the Operating Cost Excess and the Tax Excess shall
be justly and equitably abated and reduced according to the nature and extent
of the loss of use thereof suffered by Tenant; and in case of a taking which
permanently reduces the Rentable Floor Area of the Premises, a just proportion
of the Annual Fixed Rent, the Operating Cost Excess and the Tax Excess shall be
abated for the remainder of the Lease Term.

 

14.4                           Award

 

Except
as otherwise provided in this Section 14.4, Landlord shall have and hereby
reserves and excepts, and Tenant hereby grants and assigns to Landlord, all
rights to recover for damages to the Building, the Site and the Complex and the
leasehold interest hereby created, and compensation accrued or hereafter to
accrue by reason of such taking, damage or destruction, as aforesaid, and by
way of confirming the foregoing, Tenant hereby grants and assigns, and
covenants with Landlord to grant and assign to Landlord, all rights to such
damages or compensation.

 

53

 

However,
nothing contained herein shall be construed to prevent Tenant from prosecuting
in any such proceedings a claim for its trade fixtures so taken or relocation,
moving and other dislocation expenses.

 

ARTICLE XV

 

Default

 

15.1                           Tenant’s
Default

 

This
Lease and the term of this Lease are subject to the limitation that Tenant
shall be in default if, at any time during the Lease Term, any one or more of
the following events (herein called an “Event of Default” a “default of Tenant”
or similar reference) shall occur and not be cured prior to the expiration of
the grace period (if any) herein provided, as follows:

 

(a)                                  Tenant shall
fail to pay any installment of the Annual Fixed Rent, or any Additional Rent or
any other monetary amount due under this Lease on or before the date on which
the same becomes due and payable, and such failure continues for five (5) days
after written notice from Landlord thereof; or

 

(b)                                 Landlord having
rightfully given the notice specified in (a) above to Tenant twice in any
twelve (12) month period, Tenant shall fail thereafter to pay the Annual Fixed
Rent, Additional Rent or any other monetary amount due under this Lease on or
before the date on which the same becomes due and payable; or

 

(c)                                  Tenant shall
assign its interest in this Lease or sublet any portion of the Premises in
violation of the requirements of Article XII of this Lease; or

 

(d)                                 Tenant shall
fail to perform or observe some term or condition of this Lease which, because
of its character, would immediately and materially jeopardize Landlord’s interest
(such as, but without limitation, failure to maintain general liability
insurance), and such failure continues for three (3) business days after
written notice from Landlord to Tenant thereof; or

 

(e)                                  Tenant shall
fail to perform or observe any other material requirement, term, covenant or
condition of this Lease (not hereinabove in this Section 15.1 specifically
referred to) on the part of Tenant to be performed or observed and such failure
shall continue for thirty (30) days after written notice thereof from Landlord
to Tenant, or if said default shall reasonably require longer than thirty (30)
days to cure, if Tenant shall fail to commence to cure said default within
thirty (30) days after written notice thereof and/or fail to continuously
prosecute the curing of the same to completion with due diligence; or

 

54

 

(f)                                    The estate
hereby created shall be taken on execution or by other process of law; or

 

(g)                                 Tenant shall
make an assignment or trust mortgage arrangement, so-called, for the benefit of
its creditors; or

 

(h)                                 Tenant shall
judicially be declared bankrupt or insolvent according to law; or

 

(i)                                     a receiver,
guardian, conservator, trustee in involuntary bankruptcy or other similar
officer is appointed to take charge of all or any substantial part of Tenant’s
property by a court of competent jurisdiction; or

 

(j)                                     any petition
shall be filed against Tenant in any court, whether or not pursuant to any
statute of the United States or of any State, in any bankruptcy,
reorganization, composition, extension, arrangement or insolvency proceeding,
and such proceedings shall not be fully and finally dismissed within sixty (60)
days after the institution of the same; or

 

(k)                                  Tenant shall
file any petition in any court, whether or not pursuant to any statute of the
United States or any State, in any bankruptcy, reorganization, composition,
extension, arrangement or insolvency proceeding; or

 

(l)                                     Tenant
otherwise abandons the Premises.

 

15.2                           Termination;
Re-Entry

 

Upon
the happening of any one or more of the aforementioned Events of Default
(notwithstanding any license of a former breach of covenant or waiver of the
benefit hereof or consent in a former instance), Landlord or Landlord’s agents
or servants may give to Tenant a notice (hereinafter called “notice of
termination”) terminating this Lease on a date specified in such notice of
termination (which shall be not less than five (5) days after the date of
the mailing of such notice of termination), and this Lease and the Lease Term,
as well as any and all of the right, title and interest of the Tenant
hereunder, shall wholly cease and expire on the date set forth in such notice
of termination (Tenant hereby waiving any rights of redemption) in the same
manner and with the same force and effect as if such date were the date
originally specified herein for the expiration of the Lease Term, and Tenant
shall then quit and surrender the Premises to Landlord.

 

In
addition or as an alternative to the giving of such notice of termination,
Landlord or Landlord’s agents or servants may, by any suitable action or
proceeding at law, immediately or at any time thereafter re-enter the Premises
and remove therefrom Tenant, its agents, employees, servants, licensees, and
any subtenants and other persons, and all or any of its or their property
therefrom, and repossess and enjoy the Premises, together with all additions,
alterations and improvements thereto; but, in any event under this Section 15.2,
Tenant shall remain liable as hereinafter provided.

 

55

 

The
words “re-enter” and “re-entry” as used throughout this Article XV are not
restricted to their technical legal meanings.

 

15.3                           Continued
Liability; Re-Letting

 

If
this Lease is terminated or if Landlord shall re-enter the Premises as
aforesaid, or in the event of the termination of this Lease, or of re- entry,
by or under any proceeding or action or any provision of law by reason of an
Event of Default hereunder on the part of Tenant, Tenant covenants and agrees
forthwith to pay and be liable for, on the days originally fixed herein for the
payment thereof, amounts equal to the several installments of Annual Fixed
Rent, all Additional Rent and other charges reserved as they would, under the
terms of this Lease, become due if this Lease had not been terminated or if
Landlord had not entered or re-entered, as aforesaid, and whether the Premises
be relet or remain vacant, in whole or in part, or for a period less than the
remainder of the Lease Term, or for the whole thereof, but, in the event the
Premises be relet by Landlord, Tenant shall be entitled to a credit in the net
amount of rent and other charges received by Landlord in reletting, after
deduction of all reasonable expenses incurred in reletting the Premises
(including, without limitation, remodeling costs, brokerage fees and the like),
and in collecting the rent in connection therewith, in the following manner:

 

Amounts
received by Landlord after reletting shall first be applied against such
Landlord’s reasonable expenses, until the same are recovered, and until such
recovery, Tenant shall pay, as of each day when a payment would fall due under
this Lease, the amount which Tenant is obligated to pay under the terms of this
Lease (Tenant’s liability prior to any such reletting and such recovery not in
any way to be diminished as a result of the fact that such reletting might be
for a rent higher than the rent provided for in this Lease); when and if such
expenses have been completely recovered, the amounts received from reletting by
Landlord as have not previously been applied shall be credited against Tenant’s
obligations as of each day when a payment would fall due under this Lease, and
only the net amount thereof shall be payable by Tenant. Further, Tenant shall
not be entitled to any credit of any kind for any period after the date when
the term of this Lease is scheduled to expire according to its terms.

 

Landlord
agrees to use reasonable efforts to relet the Premises after Tenant vacates the
same in the event this Lease is terminated based upon an Event of Default by
Tenant hereunder. The marketing of the Premises in a manner similar to the
manner in which Landlord markets other premises within Landlord’s control
within the Complex shall be deemed to have satisfied Landlord’s obligation to
use “reasonable efforts” hereunder. In no event shall Landlord be required to
(i) solicit or entertain negotiations with any other prospective tenant
for the Premises until Landlord obtains full and complete possession of the
Premises (including, without limitation, the final and unappealable legal right
to relet the Premises free of any claim of Tenant), (ii) relet the
Premises before leasing other 

 

56

 

vacant
space in the Complex, or (iii) lease the Premises for a rental less than
the current fair market rent then prevailing for similar office space in the
Complex.

 

15.4                           Liquidated
Damages

 

Landlord
may elect, as an alternative, to have Tenant pay liquidated damages, which
election may be made by notice given to Tenant at any time after the
termination of this Lease under Section 15.2, above, and whether or not
Landlord shall have collected any damages as hereinbefore provided in this
Article XV, and in lieu of all other such damages beyond the date of such
notice. Upon such notice, Tenant shall promptly pay to Landlord, as liquidated
damages, in addition to any damages collected or due from Tenant from any
period prior to such notice, such a sum as at the time of such notice
represents the amount of the excess, if any, of (a) the discounted present
value, at a discount rate of six percent (6%), of the Annual Fixed Rent,
Additional Rent and other charges which would have been payable by Tenant under
this Lease for the remainder of the Lease Term if the Lease terms had been
fully complied with by Tenant, over and above (b) the discounted present
value, at a discount rate of six percent (6%), of the Annual Fixed Rent,
Additional Rent and other charges that would be received by Landlord if the
Premises were re- leased at the time of such notice for the remainder of the
Lease Term at the fair market value (including provisions regarding periodic
increases in Annual Fixed Rent if such are applicable) prevailing at the time
of such notice.

 

For
the purposes of this Article, if Landlord elects to require Tenant to pay
liquidated damages in accordance with this Section 15.4, the total rent
shall be computed by assuming the Tax Excess under Section 6.1 and the Operating
Cost Excess under Section 7.4 to be the same as were payable for the
twelve (12) calendar months (or if less than twelve (12) calendar months have
been elapsed since the date hereof, the partial year) immediately preceding
such termination of re-entry.

 

Nothing
contained in this Lease shall limit or prejudice the right of Landlord to prove
for and obtain in proceedings for bankruptcy or insolvency by reason of the
termination of this Lease, an amount equal to the maximum allowed by any
statute or rule of law in effect at the time when, and governing the
proceeds in which, the damages are to be proved, whether or not the amount be
greater, equal to, or less than the amount of the loss or damages referred to
above.

 

In
lieu of any other damages or indemnity and in lieu of the recovery by Landlord
of all sums payable under all the foregoing provisions of this Section 15.4,
Landlord may elect to collect from Tenant, by notice to Tenant, at any time
after this Lease is terminated under any of the provisions contained in this
Article XV or otherwise terminated by breach of any obligation of Tenant
and before full recovery under such foregoing provisions, and Tenant shall
thereupon pay, as liquidated damages, an amount equal to the sum of (a) the
Annual Fixed Rent and all Additional Rent payable for the lesser of (i) the
twelve (12) months ended next prior to such termination and (ii) the
number of full plus any partial months remaining in the Lease Term, plus (b) the
amount of Annual 

 

57

 

Fixed
Rent and Additional Rent of any kind accrued and unpaid at the time of such
election, plus (c) any and all expenses which the Landlord may have
incurred for and with respect to the collection of any such rent. Notwithstanding
the foregoing, Landlord shall not be entitled to collect liquidated damages
under the provisions of this paragraph if such liquidated damages would exceed
the damages to which Landlord would have been entitled had it elected to
collect liquidated damages under the provisions of the first paragraph of this
Section 15.4.

 

15.5                           Waiver of
Redemption

 

Tenant,
for itself and any and all persons claiming through or under Tenant, including
its creditors, upon the termination of this Lease and of the term of this Lease
in accordance with the terms hereof, or in the event of entry of judgment for
the recovery of the possession of the Premises in any action or proceeding, or
if Landlord shall enter the Premises by process of law or otherwise, hereby
waives any right of redemption provided or permitted by any statute, law or
decision now or hereafter in force, and does hereby waive, surrender and give
up all rights or privileges which it or they may or might have under and by
reason of any present or future law or decision, to redeem the Premises or for
a continuation of this Lease for the term of this Lease hereby demised after
having been dispossessed or ejected therefrom by process of law, or otherwise.

 

15.6                           Landlord’s
Default

 

Landlord
shall in no event be in default in the performance of any of Landlord’s
obligations hereunder unless and until Landlord shall have failed to perform
such obligations within thirty (30) days, or such additional time as is
reasonably required to correct any such default, after notice by Tenant to
Landlord properly specifying wherein Landlord has failed to perform any such
obligation. The Tenant shall not assert any right to deduct the cost of repairs
or any monetary claim against the Landlord from rent thereafter due and
payable, but shall look solely to the Landlord for satisfaction of such claim.

 

ARTICLE XVI

 

Miscellaneous Provisions

 

16.1                           Waiver

 

Failure
on the part of Landlord or Tenant to complain of any action or non-action on
the part of the other, no matter how long the same may continue, shall never be
a waiver by Tenant or Landlord, respectively, of any of its rights hereunder.

 

Further,
no waiver at any time of any of the provisions hereof by Landlord or Tenant
shall be construed as a waiver of any of the other provisions hereof, and a
waiver at any time of any of the provisions hereof shall not be construed as a
waiver at any subsequent time of the same provisions. The consent or approval
of Landlord or Tenant to or of any action by the other requiring such consent
or approval shall not be construed to waive or 

 

58

 

render
unnecessary Landlord’s or Tenant’s consent or approval to or of any subsequent
similar act by the other.

 

No
payment by Tenant, or acceptance by Landlord, of a lesser amount than shall be
due from Tenant to Landlord shall be treated otherwise than as a payment on
account. The acceptance by Landlord of a check for a lesser amount with an
endorsement or statement thereon, or upon any letter accompanying such check,
that such lesser amount is payment in full, shall be given no effect, and
Landlord may accept such check without prejudice to any other rights or
remedies which Landlord may have against Tenant. Further, the acceptance by
Landlord of Annual Fixed Rent, Additional Rent or any other charges paid by
Tenant under this Lease shall not be or be deemed to be a waiver by Landlord of
any default by Tenant, whether or not Landlord knows of such default, except
for such defaults as to which such payment relates.

 

16.2                           Cumulative
Remedies

 

Except
as expressly provided in this Lease, the specific remedies to which Landlord
and Tenant may resort under the terms of this Lease are cumulative and are not
intended to be exclusive of any other remedies or means of redress which they
may be lawfully entitled to seek in case of any breach or threatened breach of
any provisions of this Lease. In addition to the other remedies provided in
this Lease, Landlord shall be entitled to the restraint by injunction of the
violation or attempted or threatened violation of any of the covenants,
conditions or provisions of this Lease or to seek specific performance of any
such covenants, conditions or provisions, provided, however, that the foregoing
shall not be construed as a confession of judgment by Tenant.

 

16.3                           Quiet Enjoyment

 

This
Lease is subject and subordinate to all matters of record. Landlord agrees
that, upon Tenant’s paying the Annual Fixed Rent, Additional Rent and other
charges herein reserved, and performing and observing the covenants, conditions
and agreements hereof upon the part of Tenant to be performed and observed,
Tenant shall and may peaceably hold and enjoy the Premises during the term of
this Lease (exclusive of any period during which Tenant is holding over after
the termination or expiration of this Lease without the consent of Landlord),
without interruption or disturbance from Landlord or persons claiming through
or under Landlord, subject, however, to the terms of this Lease. This covenant
shall be construed as running with the land to and against subsequent owners
and successors in interest, and is not, nor shall it operate or be construed
as, a personal covenant of Landlord, except to the extent of the Landlord’s
interest in the Premises, and this covenant and any and all other covenants of
Landlord contained in this Lease shall be binding upon Landlord and upon such
subsequent owners and successors in interest of Landlord’s interest under this
Lease including ground or master lessees, to the extent of their respective
interests, as and when they shall acquire same and then only for so long as
they shall retain such interest.

 

59

 

16.4                           Surrender

 

(A)                              No act or thing done by
Landlord during the Lease Term shall be deemed an acceptance of a surrender of
the Premises, and no agreement to accept such surrender shall be valid, unless
in writing signed by Landlord. No employee of Landlord or of Landlord’s agents
shall have any power to accept the keys of the Premises as an acceptance of a
surrender of the Premises prior to the termination of this Lease; provided,
however, that the foregoing shall not apply to the delivery of keys to Landlord
or its agents in its (or their) capacity as managing agent or for purpose of emergency
access. In any event, however, the delivery of keys to any employee of Landlord
or of Landlord’s agents shall not operate as a termination of the Lease or a
surrender of the Premises.

 

(B)                                Upon the expiration or
earlier termination of the Lease Term, Tenant shall surrender the Premises to
Landlord in the condition as required by Sections 8.1 and 9.5, first removing
all goods and effects of Tenant and completing such other removals as may be
permitted or required pursuant to Section 9.5.

 

16.5                           Brokerage

 

Tenant
and Landlord warrant and represent that neither party has dealt with any broker
in connection with the consummation of this Lease other than the broker, person
or firm designated in Section 1.2 hereof; and in the event any claim is
made against either party relative to dealings with brokers other than the
broker designated in Section 1.2 hereof, the other party shall defend the
claim against such party with counsel of the other party’s selection and save
harmless and indemnify such party on account of loss, cost or damage which may
arise by reason of such claim. Landlord agrees that it shall be solely
responsible for the payment of brokerage commissions to the broker, person or
firm designated in Section 1.2 hereof in connection with the Original
Lease Term.

 

16.6                           Invalidity of
Particular Provisions

 

If
any term or provision of this Lease, or the application thereof to any person
or circumstance shall, to any extent, be invalid or unenforceable, the
remainder of this Lease, or the application of such term or provision to
persons or circumstances other than those as to which it is held invalid or
unenforceable, shall not be affected thereby, and each term and provision of
this Lease shall be valid and be enforced to the fullest extent permitted by law.

 

16.7                           Provisions
Binding, Etc.

 

The
obligations of this Lease shall run with the land, and except as herein
otherwise provided, the terms hereof shall be binding upon and shall inure to
the benefit of the successors and assigns, respectively, of Landlord and Tenant
and, if Tenant shall be an individual, upon and to his heirs, executors,
administrators, successors and assigns. Each term and each provision of this
Lease to be performed by Tenant shall be construed to be both a covenant and a
condition. The reference contained to successors and assigns of Tenant is not
intended to constitute a consent to assignment by Tenant, but has reference 

 

60

 

only
to those instances in which Landlord may have later given consent to a
particular assignment as required by the provisions of Article XII hereof.

 

16.8                           Recording;
Confidentiality

 

Each
of Landlord and Tenant agree not to record the within Lease, but each party
hereto agrees, on the request of the other, to execute a so-called Notice of
Lease in the form attached hereto as Exhibit J.

 

Tenant
agrees that this Lease and the terms contained herein will be treated as
strictly confidential and except as required by law or the requirements of any
securities exchange listing the stock of Tenant (or except with the written
consent of Landlord), Tenant shall not disclose the same to any third party
except for Tenant’s advisors, brokers, partners, lenders, accountants and
attorneys who have been advised of the confidentiality provisions contained
herein and agree to be bound by the same; provided, Tenant shall be permitted
at any time to disclose the terms of this Lease publicly to the extent required
in connection with any filing made by Tenant with the United States Securities
and Exchange Commission, which disclosure may require attaching a copy of this
Lease to such filings.

 

16.9                           Notices and
Time for Action

 

Whenever,
by the terms of this Lease, notice shall or may be given either to Landlord or
to Tenant, such notices shall be in writing and shall be sent by hand,
registered or certified mail, or overnight or other commercial courier, postage
or delivery charges, as the case may be, prepaid as follows:

 

If
intended for Landlord, addressed to Landlord at the address set forth in
Article I of this Lease (or to such other address or addresses as may from
time to time hereafter be designated by Landlord by like notice).

 

If
intended for Tenant, addressed to Tenant at the address set forth in Article I
of this Lease except that from and after the Commencement Date the address of
Tenant shall be the Premises (or to such other address or addresses as may from
time to time hereafter be designated by Tenant by like notice).

 

Except
as otherwise provided herein, all such notices shall be effective when
received; provided, that (i) if receipt is refused, notice shall be
effective upon the first occasion that such receipt is refused, (ii) if
the notice is unable to be delivered due to a change of address of which no
notice was given, notice shall be effective upon the date such delivery was
attempted, (iii) if the notice address is a post office box number, notice
shall be effective the day after such notice is sent as provided hereinabove or
(iv) if the notice is to a foreign address, notice shall be effective two
(2) days after such notice is sent as provided hereinabove.

 

61

 

Any
notice given by an attorney on behalf of Landlord or by Landlord’s managing
agent shall be considered as given by Landlord and shall be fully effective.
Any notice given by an attorney on behalf of Tenant shall be considered as
given by Tenant and shall be fully effective.

 

Where
provision is made for the attention of an individual or department, the notice
shall be effective only if the wrapper in which such notice is sent is
addressed to the attention of such individual or department.

 

Time
is of the essence with respect to any and all notices and periods for giving of
notice or taking any action thereto under this Lease.

 

16.10                     When Lease
Becomes Binding

 

Employees
or agents of Landlord have no authority to make or agree to make a lease or any
other agreement or undertaking in connection herewith. The submission of this
document for examination and negotiation does not constitute an offer to lease,
or a reservation of, or option for, the Premises, and this document shall
become effective and binding only upon the execution and delivery hereof by
both Landlord and Tenant. All negotiations, considerations, representations and
understandings between Landlord and Tenant are incorporated herein and may be
modified or altered only by written agreement between Landlord and Tenant, and
no act or omission of any employee or agent of Landlord shall alter, change or
modify any of the provisions hereof.

 

16.11                     Paragraph
Headings

 

The
paragraph headings throughout this instrument are for convenience and reference
only, and the words contained therein shall in no way be held to explain,
modify, amplify or aid in the interpretation, construction or meaning of the
provisions of this Lease.

 

16.12                     Rights of
Mortgagee

 

This
Lease shall be subject and subordinate to any mortgage now or hereafter placed
on the Site or the Building, or both, and to all renewals, modifications,
consolidations, replacements and extensions thereof and all substitutions
therefor, provided that the holder of such mortgage agrees to recognize the
right of Tenant to use and occupy the Premises upon the payment of rent and
other charges payable by Tenant under this Lease and the performance by Tenant
of Tenant’s obligations hereunder. In confirmation of such subordination and
recognition, Tenant shall execute and deliver promptly such instruments of
subordination as such mortgagee may reasonably request, subject to receipt of
such instruments of non disturbance from such mortgagee as Tenant may
reasonably request (Landlord hereby agreeing (a) to use best efforts to
obtain such subordination instruments from such mortgagee and (b) to pay
any legal or other fees charged by the mortgagee in connection with providing
the same). In the event that any mortgagee or its respective successor in title
shall succeed to the interest of Landlord, then this Lease shall nevertheless
continue in full force and effect and Tenant shall and 

 

62

 

does
hereby agree to attorn to such mortgagee or successor and to recognize such
mortgagee or successor as its landlord.

 

If
in connection with obtaining financing a bank, insurance company, pension trust
or other institutional lender shall request reasonable modifications in this
Lease as a condition to such financing, Tenant will not unreasonably withhold,
delay or condition its consent thereto, provided that (i) such
modifications do not increase the monetary obligations of Tenant hereunder or
materially adversely affect the leasehold interest hereby created or Tenant’s
rights hereunder and (ii) Landlord shall be responsible for the payment of
all reasonable costs incurred by Tenant in complying with such request such as,
for example, attorneys’ fees.

 

Landlord
hereby represents and warrants that there is no mortgage currently encumbering
the Building or the Site.

 

16.13                     Rights of
Ground Lessor

 

If
Landlord’s interest in property (whether land only or land and buildings) which
includes the Premises is acquired by another party and simultaneously leased
back to Landlord herein, the holder of the ground lessor’s interest in such
lease shall enter into a recognition agreement with Tenant simultaneously with
the sale and leaseback, wherein the ground lessor will agree to recognize the
right of Tenant to use and occupy the Premises upon the payment of Annual Fixed
Rent, Additional Rent and other charges payable by Tenant under this Lease and
the performance by Tenant of Tenant’s obligations hereunder, and wherein Tenant
shall agree to attorn to such ground lessor as its Landlord and to perform and
observe all of the tenant obligations hereunder, in the event such ground
lessor succeeds to the interest of Landlord hereunder under such ground lease.

 

16.14                     Notice to
Mortgagee and Ground Lessor

 

After
receiving notice from any person, firm or other entity that it holds a mortgage
which includes the Premises as part of the mortgaged premises, or that it is the
ground lessor under a lease with Landlord as ground lessee, which includes the
Premises as a part of the demised premises, no notice from Tenant to Landlord
shall be effective unless and until a copy of the same is given to such holder
or ground lessor at the address as specified in said notice (as it may from
time to time be changed), and the curing of any of Landlord’s defaults by such
holder or ground lessor within a reasonable time after such notice (including a
reasonable time to obtain possession of the premises if the mortgagee or ground
lessor elects to do so) shall be treated as performance by Landlord. For the
purposes of this Section 16.14, the term “mortgage” includes a mortgage on
a leasehold interest of Landlord (but not one on Tenant’s leasehold interest).

 

16.15                     Assignment of
Rents

 

With
reference to any assignment by Landlord of Landlord’s interest in this Lease,
or the rents payable hereunder, conditional in nature or otherwise, which
assignment is made to 

 

63

 

the
holder of a mortgage or ground lease on property which includes the Premises,
Tenant agrees:

 

(a)                                  That the
execution thereof by Landlord, and the acceptance thereof by the holder of such
mortgage, or the ground lessor, shall never be treated as an assumption by such
holder or ground lessor of any of the obligations of Landlord hereunder, unless
such holder, or ground lessor, shall, by notice sent to Tenant or under a
non-disturbance agreement or other agreement with Tenant, specifically
otherwise elect; and

 

(b)                                 That, except as
aforesaid, such holder or ground lessor shall be treated as having assumed
Landlord’s obligations hereunder only upon foreclosure of such holder’s
mortgage and the taking of possession of the Premises, or, in the case of a
ground lessor, the assumption of Landlord’s position hereunder by such ground
lessor. In no event shall the acquisition of title to the Building and the land
on which the same is located by a purchaser which, simultaneously therewith,
leases the entire Building or such land back to the seller thereof be treated
as an assumption, by operation of law or otherwise, of Landlord’s obligations
hereunder, but Tenant shall look solely to such seller-lessee, and its
successors from time to time in title, for performance of Landlord’s
obligations hereunder. In any such event, this Lease shall be subject and
subordinate to the lease to such purchaser provided that such purchaser-lessor
agrees to recognize the right of Tenant to use and occupy the Premises upon the
payment of rent and all other charges payable by Tenant under this Lease and
the performance by Tenant of Tenant’s obligations under this Lease. For all
purposes, such seller-lessee, and its successors in title, shall be the
landlord hereunder unless and until Landlord’s position shall have been assumed
by such purchaser-lessor.

 

16.16                     Status Report
and Financial Statements

 

Recognizing
that the parties hereto may find it necessary to establish to third parties,
such as accountants, banks, potential or existing mortgagees, potential
purchasers or the like, the then current status of performance hereunder, each
party (the “Non Requesting Party”) on the request of the other party (the
“Requesting Party”) made from time to time, will promptly furnish to the
Requesting Party, addressed to any existing or potential holder of any mortgage
encumbering the Premises, the Buildings, the Site and/or the Complex or any
potential purchaser of the Premises, the Buildings, the Site and/or the Complex
(each an “Interested Party”) a statement of the status of any reasonable matter
pertaining to this Lease, including, without limitation, acknowledgments that
(or the extent to which) each party is in compliance with its obligations under
the terms of this Lease; provided, however, that in the event that either party
is requested to provide more than one (1) such statement in any twelve
(12) month period, the Requesting Party shall be responsible for the payment of
all reasonable costs incurred by the Non-Requesting Party in providing such
statements, including, without limitation, attorneys’ fees.

 

64

 

In
addition, unless and for so long as Tenant is not a publicly traded entity with
financial statements that are freely available to the public which are
certified to the governmental regulatory authorities, Tenant shall deliver to
Landlord, or any Interested Party designated by Landlord, financial statements
of Tenant, as reasonably requested by Landlord including, but not limited to,
financial statements for the past three (3) years.

 

Any
such status statement and non publicly available financial statement, which
shall be certified by Tenant’s executives to the same extent as publicly
available financial statements of publicly traded entities, which are delivered
pursuant to this Section 16.16 may be relied upon by any Interested Party.

 

16.17                     Self-Help

 

(A)                              If Tenant shall at any time
fail to make any payment or perform any act which Tenant is obligated to make
or perform under this Lease and (except in the case of emergency) if the same
continues unpaid or unperformed beyond applicable grace periods, then Landlord
may, but shall not be obligated so to do, after ten (10) business days’
written notice to and demand upon Tenant, or without notice to or demand upon
Tenant in the case of any emergency, and without waiving, or releasing Tenant
from, any obligations of Tenant in this Lease contained, make such payment or
perform such act which Tenant is obligated to perform under this Lease in such
manner and to such extent as may be reasonably necessary, and, in exercising
any such rights, pay any costs and expenses, employ counsel and incur and pay
reasonable attorneys’ fees. All sums so paid by Landlord and all reasonable and
necessary costs and expenses of Landlord incidental thereto, together with
interest thereon at the annual rate equal to the sum of (a) the Base Rate
from time to time announced by Bank of America, N.A (or its successor) as its
Base Rate and (b) two percent (2%) (but in no event greater than the
maximum rate permitted by applicable law), from the date of the making of such
expenditures by Landlord, shall be deemed to be Additional Rent and, except as
otherwise in this Lease expressly provided, shall be payable to the Landlord on
demand, and if not promptly paid shall be added to any rent then due or
thereafter becoming due under this Lease, and Tenant covenants to pay any such
sum or sums with interest as aforesaid, and Landlord shall have (in addition to
any other right or remedy of Landlord) the same rights and remedies in the
event of the non-payment thereof by Tenant as in the case of default by Tenant
in the payment of Annual Fixed Rent.

 

(B)                                If Landlord shall at any
time be in default pursuant to the terms and conditions of this Lease
attributable to its failure to perform any act which Landlord is obligated to
perform under this Lease, and (except in the case of emergency) should such
failure continue beyond applicable grace periods, Tenant may, but shall not be
obligated so to do, after ten (10) business days’ written notice to and
demand upon Landlord explicitly setting forth the basis for Tenant’s claim of
default and specifying that Tenant intends to invoke Tenant’s rights under this
Section 16.17 (or without notice to or demand upon Landlord in the case of
any emergency) (“Tenant’s Self Help Notice”), and without waiving, or releasing
Landlord from, any obligations of Landlord in this Lease contained, perform
such act which Landlord is obligated to perform under this Lease in such manner

 

65

 

and to such extent as may be reasonably necessary.
All sums reasonably so incurred and paid by Tenant and all reasonable and
necessary costs and expenses of Tenant incidental to Tenant’s proper exercise
of self help rights pursuant to this Section 16.17, together with interest
thereon at the annual rate equal to the sum of (a) the Base Rate from time
to time announced by Bank of America, N.A (or its successor) as its Base Rate
and (b) two percent (2%) (but in no event greater than the maximum rate
permitted by applicable law), from the date of the making of such expenditures
by Tenant, shall be payable to the Tenant within thirty (30) days of Tenant’s
furnishing Landlord an invoice therefor, accompanied by reasonable
substantiation, and Landlord covenants to pay any such sum or sums with
interest as aforesaid if not timely paid. If Landlord fails to reimburse Tenant
for the sums paid by Tenant within thirty (30) days of Tenant’s invoice
(together with supporting documentation), and Landlord has not, within ten (10) business
days of its receipt of such invoice, given written notice to Tenant objecting
to such demand and stating that Landlord has filed suit in a court of competent
jurisdiction to determine whether or not Tenant had validly exercised its
self-help right hereunder (or if Landlord has timely disputed Tenant’s invoice,
has filed suit and has thereafter failed to pay Tenant the amount of any final,
unappealable award against Landlord within thirty (30) days after the issuance
thereof) then subject to the last sentence of this paragraph, Tenant shall have
the right to offset the amount of such sums demanded by Tenant against the
Annual Fixed Rent and Additional Rent payable under this Lease until offset in
full. Notwithstanding the foregoing, Tenant shall have no right to reduce any
monthly installment of Annual Fixed Rent by more than fifteen percent (15%) of
the amount of Annual Fixed Rent which would otherwise have been due and payable
by Tenant to Landlord, unless the aggregate amount of such deductions over the
remainder of the Lease Term (as the same may have been extended) will be
insufficient to fully reimburse Tenant for the amount demanded by Tenant, in
which event Tenant may effect such offset by making deductions from each
monthly installment of Annual Fixed Rent in equal monthly amounts over the
balance of the remainder of the Lease Term.

 

16.18                     Holding Over

 

(A)                              Any holding over by Tenant
after the expiration of the term of this Lease shall be treated as a tenancy at
sufferance and shall be on the terms and conditions as set forth in this Lease,
as far as applicable except that Tenant shall pay as a use and occupancy charge
an amount equal to the greater of (x) 200% of the Annual Fixed Rent and
Additional Rent calculated (on a daily basis) at the rate payable under the
terms of this Lease immediately prior to the commencement of such holding over,
or (y) the fair market rental value of the Premises, in each case for the
period measured from the day on which Tenant’s hold-over commences and
terminating on the day on which Tenant vacates the Premises. Notwithstanding
the foregoing, for the first sixty (60) days of any holding over, the
percentage figure set forth above shall instead be 150%.

 

(B)                                In addition, Tenant shall
save Landlord, its agents and employees harmless and will exonerate, defend and
indemnify Landlord, its agents and employees from and against any and all
damages which Landlord may suffer on account of Tenant’s hold-over in the
Premises after the expiration or prior termination of the term of this Lease. 

 

66

 

Notwithstanding the foregoing, however, Tenant shall
not be liable for indirect or consequential damages incurred by Landlord during
the first thirty (30) days of any holding over by Tenant.

 

(C)                                Nothing in the foregoing nor
any other term or provision of this Lease shall be deemed to permit Tenant to
retain possession of the Premises or hold over in the Premises after the
expiration or earlier termination of the Lease Term. All property which remains
in the Building or the Premises after the expiration or termination of this
Lease shall be conclusively deemed to be abandoned and may either be retained
by Landlord as its property or sold or otherwise disposed of in such manner as
Landlord may see fit. If any part thereof shall be sold, then Landlord may
receive the proceeds of such sale and apply the same, at its option against the
expenses of the sale, the cost of moving and storage, any arrears of rent or
other charges payable hereunder by Tenant to Landlord and any damages to which
Landlord may be entitled under this Lease and at law and in equity.

 

16.19                     Entry by
Landlord

 

Landlord,
and its duly authorized representatives, shall, upon reasonable prior notice
(except in the case of emergency), have the right (i) to enter the
Premises at all reasonable times (except at any time in the case of emergency)
for the purposes of inspecting the condition of same and making such repairs,
alterations, additions or improvements thereto as may be necessary if Tenant
fails to do so as required hereunder (but the Landlord shall have no duty
whatsoever to make any such inspections, repairs, alterations, additions or
improvements except as otherwise provided in Sections 7.1 and 7.2 and Exhibit C
attached hereto), and (ii) to show the Premises to prospective tenants
during the applicable time period after Tenant’s right to exercise its
extension option has lapsed under Section 3.2 above (or in the case of the
Extended Term, if exercised, during the 18 months preceding the expiration of
the Extended Term) and at any reasonable time during the Lease Term to show the
Premises to prospective purchasers and mortgagees.

 

16.20                     Tenant’s
Payments

 

Each
and every payment and expenditure, other than Annual Fixed Rent, shall be
deemed to be Additional Rent hereunder, whether or not the provisions requiring
payment of such amounts specifically so state, and shall be payable, unless
otherwise provided in this Lease, within thirty (30) days after written demand
by Landlord, and in the case of the non-payment of any such amount, Landlord
shall have, in addition to all of its other rights and remedies, all the rights
and remedies available to Landlord hereunder or by law in the case of
non-payment of Annual Fixed Rent. Unless expressly otherwise provided in this
Lease, the performance and observance by Tenant of all the terms, covenants and
conditions of this Lease to be performed and observed by Tenant shall be at
Tenant’s sole cost and expense. Except as otherwise expressly provided in
Section 7.6(D), if Tenant has not objected to any statement of Additional
Rent which is rendered by Landlord to Tenant within one hundred fifty (150)
days after Landlord has rendered the same to Tenant, then the same shall be
deemed to be a final account between Landlord and 

 

67

 

Tenant
not subject to any further dispute. In the event that Tenant shall seek
Landlord’s consent or approval under this Lease, then Tenant shall reimburse
Landlord, upon demand (accompanied by reasonable supporting documentation) as
Additional Rent, for all reasonable costs and expenses, including legal and
architectural costs and expenses, and costs associated with any of Landlord’s
senior or junior staff at the rates set forth above in this Lease, reasonably
incurred by Landlord in processing such request, whether or not such consent or
approval shall be given.

 

16.21                     Late Payment

 

If
Landlord shall not have received any payment or installment of Annual Fixed
Rent or Additional Rent (the “Outstanding Amount”) on or before the date on
which the same first becomes payable under this Lease (the “Due Date”), the
amount of such payment or installment shall incur a late charge equal to the
sum of: (a) five percent (5%) of the Outstanding Amount for administration
and bookkeeping costs associated with the late payment and (b) interest on
the Outstanding Amount from the Due Date through and including the date such
payment or installment is received by Landlord, at a rate equal to the lesser
of (i) the rate announced by Bank of America, N.A. (or its successor) from
time to time as its prime or base rate (or if such rate is no longer available,
a comparable rate reasonably selected by Landlord), plus two percent (2%), or
(ii) the maximum applicable legal rate, if any. However, not more than
once per calendar year, the aforesaid late charge will not be imposed until
five (5) days after written notice of such delinquency is given to Tenant,
in which case the aforesaid late charge shall be due only if such delinquency fails
to be cured within such five (5) day period. Additionally, in the case
where Tenant is entitled to such additional five (5) day cure period after
notice, as provided above, interest on the Outstanding Amount shall not begin
to accrue until the day following such five (5) day grace period. The
aforesaid late charge and interest accrued upon any Outstanding Amount shall be
deemed Additional Rent and shall be paid by Tenant to Landlord upon demand.

 

16.22                     Counterparts

 

This
Lease may be executed in several counterparts, each of which shall be deemed an
original, and such counterparts shall constitute but one and the same
instrument.

 

16.23                     Entire
Agreement

 

This
Lease constitutes the entire agreement between the parties hereto, Landlord’s
managing agent and their respective affiliates with respect to the subject
matter hereof and thereof and supersedes all prior dealings between them with
respect to such subject matter, and there are no verbal or collateral
understandings, agreements, representations or warranties not expressly set
forth in this Lease. No subsequent alteration, amendment, change or addition to
this Lease shall be binding upon Landlord or Tenant, unless reduced to writing
and signed by the party or parties to be charged therewith.

 

68

 

16.24                     Limitation of
Liability

 

Tenant
shall neither assert nor seek to enforce any claim for breach of this Lease
against any of Landlord’s assets other than Landlord’s interest in the Property
(and the proceeds of any insurance claim or eminent domain proceeding in
connection therewith), and Tenant agrees to look solely to such interest for
the satisfaction of any liability of Landlord under this Lease, it being
specifically agreed that neither Landlord, nor any successor holder of
Landlord’s interest hereunder, nor any beneficiary of any trust of which any
person from time to time holding Landlord’s interest is trustee, nor any such
trustee nor any member, manager, partner, director or stockholder, nor
Landlord’s managing agent, shall ever be personally liable for any such
liability. This paragraph shall not limit any right that Tenant might otherwise
have to obtain injunctive relief against Landlord or Landlord’s
successors-in-interest, or to take any other action which shall not involve the
personal liability of Landlord, or of any successor holder of Landlord’s
interest hereunder, or of any beneficiary of any trust of which any person from
time to time holding Landlord’s interest is trustee, or of any such trustee, or
of any manager, member, partner, director or stockholder of Landlord or
Landlord’s managing agent to respond in monetary damages from Landlord’s assets
other than Landlord’s interest in said Property (and the proceeds of any
insurance claim or eminent domain proceeding in connection therewith), as
aforesaid, but in no event shall Tenant have the right to terminate or cancel
this Lease or to withhold rent or to set-off any claim or damages against rent
as a result of any default by Landlord or breach by Landlord of its covenants
or any warranties or promises hereunder, except in the case of a wrongful
eviction of Tenant from the demised premises (constructive or actual) by
Landlord continuing after notice to Landlord thereof and a reasonable
opportunity for Landlord to cure the same.

 

In
no event shall either party hereto ever be liable for any indirect or
consequential damages or loss of profits or the like, provided that the
foregoing limitation of liability shall be inapplicable to Tenant’s obligations
pursuant to Section 16.18 hereof (subject to the limitations set forth in
Sections 16.18(B) thereof).

 

16.25                     No Partnership

 

The
relationship of the parties hereto is that of landlord and tenant and no
partnership, joint venture or participation is hereby created.

 

16.26                     Security
Deposit

 

(A)                              Concurrently with the
execution of this Lease, Tenant shall pay to Landlord a security deposit in the
amount of the Initial Security Deposit Amount set forth in Section 1.2,
and Landlord shall hold the same, throughout the Term of this Lease (including
the Extended Term, if applicable), unless sooner returned to Tenant as provided
in this Section 16.26, as security for the performance by Tenant of all
obligations on the part of Tenant to be performed under this Lease. Such
deposit shall be in the form of an irrevocable, unconditional, negotiable
letter of credit or an amendment to the existing letter of credit currently
being held by Landlord pursuant to the Existing Lease which increases the
amount secured thereby to the Initial Security Deposit Amount and modifies 

 

69

 

any provision that refers specifically to the
Existing Lease (in either event, the “Letter of Credit”). The Letter of Credit
shall (i) be issued by and drawn on a bank reasonably approved by Landlord
and at a minimum having a corporate credit rating from Standard and Poor’s
Professional Rating Service of BBB- or a comparable minimum rating from Moody’s
Professional Rating Service, (ii) be substantially in the form attached
hereto as Exhibit I, (iii) permit one or more draws thereunder to be
made accompanied only by certification by Landlord or Landlord’s managing agent
that pursuant to the terms of this Lease, Landlord is entitled to draw upon
such Letter of Credit, (iv) permit transfers at any time without charge,
(v) permit presentment in Boston, Massachusetts and (vi) provide that
any notice to Landlord be sent to the notice address provided for Landlord in
this Lease. If the credit rating for the issuer of such Letter of Credit falls
below the standard set forth in (i) above or if the financial condition of
such issuer changes in any other material adverse way, Landlord shall have the
right to require that Tenant provide a substitute letter of credit that complies
in all respects with the requirements of this Section, and Tenant’s failure to
provide the same within ten (10) days following Landlord’s written demand
therefor shall entitle Landlord to immediately draw upon the Letter of Credit.
Any such Letter of Credit shall be for a term of two (2) years (or for one
(1) year if the issuer thereof regularly and customarily only issues
letters of credit for a maximum term of one (1) year) and shall in either
case provide for automatic renewals through the date which is ninety (90) days
subsequent to the scheduled expiration of this Lease (as the same may be
extended) or if the issuer will not grant automatic renewals, the Letter of
Credit shall be renewed by Tenant each year and each such renewal shall be delivered
to and received by Landlord not later than thirty (30) days before the
expiration of the then current Letter of Credit (herein called a “Renewal
Presentation Date”). In the event of a failure to so deliver any such renewal
Letter of Credit on or before the applicable Renewal Presentation Date,
Landlord shall be entitled to present the then existing Letter of Credit for
payment and to receive the proceeds thereof, which proceeds shall be held as
Tenant’s security deposit, subject to the terms of this Section 16.26. Any
failure or refusal of the issuer to honor the Letter of Credit shall be at
Tenant’s sole risk and shall not relieve Tenant of its obligations hereunder
with regard to the security deposit. Upon the occurrence of any Event of
Default, Landlord shall have the right from time to time without prejudice to
any other remedy Landlord may have on account thereof, to draw on all or any
portion of such deposit held as a Letter of Credit and to apply the proceeds of
such Letter of Credit or any cash held as such deposit, or any part thereof, to
Landlord’s damages arising from such Event of Default on the part of Tenant
under the terms of this Lease. If Landlord so applies all or any portion of
such deposit, Tenant shall within ten (10) days after notice from Landlord
deposit cash with Landlord in an amount sufficient to restore such deposit to
the full amount stated in this Section 16.26. While Landlord holds any
cash deposit Landlord shall have no obligation to pay interest on the same and
shall have the right to commingle the same with Landlord’s other funds. Neither
the holder of a mortgage nor the Landlord in a ground lease on property which
includes the Premises shall ever be responsible to Tenant for the return or
application of any such deposit, whether or not it succeeds to the position of
Landlord hereunder, unless such deposit shall have been received in hand by
such holder or ground Landlord.

 

70

 

(B)                                Landlord shall return a Two
Hundred Fifty Thousand and 00/100 Dollar ($250,000.00) portion of such deposit
to Tenant so that the remainder of such deposit shall be Seven Hundred Fifty
Thousand and 00/100 Dollars ($750,000.00) (or if such deposit is in the form of
a Letter of Credit, Landlord shall exchange the Letter of Credit for a Letter
of Credit delivered by Tenant which reduces the amount secured by the Letter of
Credit by the amount stated hereinabove and otherwise in strict conformity with
the requirements herein) at the beginning of the sixty-first (61st) full
calendar month immediately following the Commencement Date (the “First
Scheduled Reduction Date”) if (i) Tenant is not then in default under the
terms of this Lease without the benefit of notice or grace, (ii) Landlord
has not applied such deposit or any portion thereof to Landlord’s damages
arising from any default on the part of Tenant, whether or not Tenant has
restored the amount so applied by Landlord, (iii) there have not been more
than three (3) monetary or material non-monetary Events of Default that
occurred during the Term, even if later cured, (iv) Tenant has not
declared bankruptcy at any point during the Term and (v) Tenant has
demonstrated a positive net income in accordance with generally accepted
accounting principles for its most recent fiscal year prior to the First
Scheduled Reduction Date, as shown in its public filings for such fiscal year
(or, in the event that Tenant is an entity other than a publicly held company
whose shares are traded on a national stock exchange, as shown in a certified
copy of its most recent audited financial statements covering such fiscal
year). In the event that Tenant does not meet all of the foregoing conditions
set forth in clauses (i) through (v) of the immediately preceding
sentence at the beginning of the sixty-first (61st) full calendar month
immediately following the Commencement Date, then the First Scheduled Reduction
Date shall be deferred until such date as Tenant has met such conditions.

 

(C)                                Landlord shall return an
additional Two Hundred Fifty Thousand and 00/100 Dollar ($250,000.00) portion
of such deposit to Tenant so that the remainder of such deposit shall be Five
Hundred Thousand and 00/100 Dollars ($500,000.00) (or if such deposit is in the
form of a Letter of Credit, Landlord shall exchange the Letter of Credit for a
Letter of Credit delivered by Tenant which reduces the amount secured by the
Letter of Credit by the amount stated hereinabove and otherwise in strict
conformity with the requirements herein) at the beginning of the eighty-fifth
(85th) full calendar month immediately following the Commencement Date (the
“Second Scheduled Reduction Date”) if (i) Tenant is not then in default
under the terms of this Lease without the benefit of notice or grace, (ii) Landlord
has not applied such deposit or any portion thereof to Landlord’s damages
arising from any default on the part of Tenant, whether or not Tenant has
restored the amount so applied by Landlord, (iii) there have not been more
than three (3) monetary or material non-monetary Events of Default that
occurred during the Term, even if later cured, (iv) Tenant has not
declared bankruptcy at any point during the Term and (v) Tenant has
demonstrated a positive net income in accordance with generally accepted
accounting principles for its most recent fiscal year prior to the Second
Scheduled Reduction Date, as shown in its public filings for such fiscal year
(or, in the event that Tenant is an entity other than a publicly held company
whose shares are traded on a national stock exchange, as shown in a certified
copy of its most recent audited financial statements covering such fiscal
year). In the event that Tenant does not meet all of the foregoing conditions
set forth in clauses (i) through (v) of the immediately 

 

71

 

preceding sentence at the beginning of the
eighty-fifth (85th) full calendar month immediately following the Commencement
Date, then the Second Scheduled Reduction Date shall be deferred until such
date as Tenant has met such conditions.

 

(D)                               If Tenant believes that it
has satisfied all the conditions precedent to a reduction in the amount of the
security deposit, then it shall request such reduction in writing to Landlord,
which request shall certify to Landlord that all such conditions have been
satisfied. If Landlord agrees, in its reasonable determination, that all of the
aforesaid conditions are met, the security deposit shall be so reduced in
accordance with this Section 16.26. No Letter of Credit shall automatically
reduce, but any reduction in the amount thereof shall require Landlord’s prior
written notice to the issuer of the Letter of Credit of the reduced amount.
Promptly after Landlord’s receipt of Tenant’s request for a reduction as
described above, Landlord shall determine whether such a reduction is permitted
in accordance with this Section 16.26, and if it is, Landlord shall notify
the issuer of the Letter of Credit of the amount to which the Letter of Credit
shall be reduced.

 

(E)                                 Tenant not then being in
monetary or material non-monetary default and having performed all of its
monetary or material non-monetary obligations under this Lease, including the
payment of all Annual Fixed Rent, Landlord shall promptly return the deposit,
or so much thereof as shall not have theretofore been applied in accordance
with the terms of this Section 16.26, to Tenant on the expiration or
earlier termination of the term of this Lease (as the same may have been
extended) and surrender possession of the Premises by Tenant to Landlord in the
condition required in the Lease at such time.

 

16.27                     Waiver of Trial
by Jury

 

To
induce Landlord to enter into this Lease, Tenant hereby waives any right to
trial by jury in any action, proceeding or counterclaim brought by either
Landlord or Tenant on any matters whatsoever arising out of or any way
connected with this Lease, the relationship of the Landlord and the Tenant, the
Tenant’s use or occupancy of the Premises and/or any claim of injury or damage,
including but not limited to, any summary process eviction action.

 

16.28                     Patriot Act and
Executive Order 13224

 

(A)                              As an inducement to Landlord
to enter into this Lease, Tenant hereby represents and warrants that, to
Tenant’s knowledge: (i) Tenant is not, nor is it owned or controlled
directly or indirectly by, any person, group, entity or nation named on any
list issued by the Office of Foreign Assets Control of the United States
Department of the Treasury (“OFAC”) pursuant to Executive Order 13224 or any
similar list or any law, order, rule or regulation or any Executive Order
of the President of the United States as a terrorist, “Specially Designated
National and Blocked Person” or other banned or blocked person (any such
person, group, entity or nation being hereinafter referred to as a “Prohibited
Person”); (ii) Tenant is not (nor is it owned or controlled, directly or
indirectly, by any person, group, entity or nation which is) acting directly or
indirectly for or on behalf of any Prohibited Person; and (iii) from and
after the effective date of the above-referenced 

 

72

 

Executive Order, Tenant (and any person, group, or
entity which Tenant controls, directly or indirectly) has not knowingly
conducted nor will knowingly conduct business nor has knowingly engaged nor
will knowingly engage in any transaction or dealing with any Prohibited Person
in violation of the U.S. Patriot Act or any OFAC rule or regulation,
including without limitation any assignment of this Lease or any subletting of
all or any portion of the Premises or the making or receiving of any
contribution of funds, goods or services to or for the benefit of a Prohibited
Person in violation of the U.S. Patriot Act or any OFAC rule or
regulation. In connection with the foregoing, is expressly understood and
agreed that (x) any breach by Tenant of the foregoing representations and
warranties shall be deemed a default by Tenant under Section 15.1(d) of
this Lease and shall be covered by the indemnity provisions of Section 13.1(A) above,
and (y) the representations and warranties contained in this subsection
shall be continuing in nature and shall survive the expiration or earlier
termination of this Lease. Notwithstanding anything contained herein to the
contrary, for the purposes of this subsection (B) the phrase “owned or
controlled directly or indirectly by any person, group, entity or nation” and
all similar such phrases shall not include any holder of a direct or indirect
interest in a publicly traded company whose shares are listed and traded on a
United States national stock exchange.

 

(B)                                As an inducement to Tenant
to enter into this Lease, Landlord hereby represents and warrants that, to
Landlord’s knowledge: (i) Landlord is not, nor is it owned or controlled
directly or indirectly by, any person, group, entity or nation named on any
list issued by the Office of Foreign Assets Control of the United States
Department of the Treasury (“OFAC”) pursuant to Executive Order 13224 or any
similar list or by any law, order, rule or regulation or any Executive
Order of the President of the United States as a terrorist, “Specially
Designated National and Blocked Person” or other banned or blocked person (any
such person, group, entity or nation being hereinafter referred to as a “Prohibited
Person”); (ii) Landlord is not (nor is it owned or controlled, directly or
indirectly, by any person, group, entity or nation which is) acting directly or
indirectly for or on behalf of any Prohibited Person; and (iii) from and
after the effective date of the above-referenced Executive Order, Landlord (and
any person, group, or entity which Landlord controls, directly or indirectly)
has not knowingly conducted nor will knowingly conduct business nor has
knowingly engaged nor will knowingly engage in any transaction or dealing with
any Prohibited Person in violation of the U.S. Patriot Act or any OFAC rule or
regulation, including without limitation, the making or receiving of any
contribution of funds, goods or services to or for the benefit of a Prohibited
Person in violation of the U.S. Patriot Act or any OFAC rule or
regulation. In connection with the foregoing, is expressly understood and
agreed that the representations and warranties contained in this subsection
shall be continuing in nature and shall survive the expiration or earlier
termination of this Lease. Notwithstanding anything contained herein to the
contrary, for the purposes of this subsection (B) the phrase “owned or
controlled directly or indirectly by any person, group, entity or nation” and
all similar such phrases shall not include (x) any shareholder of Boston
Properties, Inc., (y) any holder of a direct or indirect interest in
a publicly traded company whose shares are listed and traded on a United States
national stock exchange or (z) any limited partner, unit holder or
shareholder owning an interest of five percent (5%) or less in Boston
Properties Limited 

 

73

 

Partnership or the holder of any direct or indirect
interest in Boston Properties Limited Partnership.

 

16.29                     Governing Law

 

This
Lease shall be governed exclusively by the provisions hereof and by the law of
The Commonwealth of Massachusetts, as the same may from time to time exist.

 

16.30                     Tenant’s
Telecommunications Equipment

 

Tenant
shall be permitted, at its sole cost and expense, to install equipment for
telecommunications, data transmission and other similar technologies including,
without limitation, antennas and satellite dishes (the “Tenant’s
Telecommunications Equipment”) on the rooftop of the Building. The exact
specifications of the Tenant’s Telecommunications Equipment, the method of
installing the Tenant’s Telecommunications Equipment and the location on the
rooftop for the Tenant’s Telecommunications Equipment shall all be subject to
Landlord’s prior written approval, which shall not be unreasonably withheld or
delayed. Tenant and Tenant’s contractors shall have reasonable access to the
roof in order to inspect, service, repair, maintain and replace any Tenant’s Telecommunications
Equipment located thereon, subject to Landlord’s reasonable rules and
regulations of which Tenant has been given prior notice relative to the access
to and use of the rooftop. Tenant shall use Landlord’s roof contractor for the
installation of flashing for any rooftop penetrations necessary for the
placement of the Tenant’s Telecommunications Equipment on the rooftop of the
Building.

 

Tenant’s
use of the Tenant’s Telecommunications Equipment shall be upon all of the
conditions of the Lease, except as modified below:

 

(a)                                  It is
understood and agreed that Tenant shall be responsible, at its sole cost and
expense, for installing all necessary connections (the “Connections”) between
the Tenant’s Telecommunications Equipment and the Premises. In addition to
complying with the applicable construction provisions of this Lease, Tenant
shall not install or operate the Connections in any portion of the Building
until (x) Tenant shall have obtained Landlord’s prior written approval,
which approval will not be unreasonably withheld or delayed, of Tenant’s plans
and specifications for the placement and installation of the Connections, and
(y) Tenant shall have obtained and delivered to Landlord copies of all
required governmental and quasi-governmental permits, approvals, licenses and
authorizations necessary for the lawful installation, operation and maintenance
of the Connections. Landlord shall inform Tenant at the time of its review of
the Connections whether Landlord will require the same to be removed by Tenant
upon the expiration or earlier termination of this Lease.

 

(b)                                 Tenant shall
have no obligation to pay Annual Fixed Rent, Tax Excess or Operating Expense
Excess in respect of the Tenant’s Telecommunications 

 

74

 

Equipment or the Connections provided that the same
are used solely to provide service to Tenant’s business operations in the
Premises (as opposed to being utilized by the telecommunications carrier to
provide service to other tenants of the Complex).

 

(c)                                  Except as
otherwise set forth in this Lease, Landlord shall have no liability to Tenant
for the installation and subsequent operation of the Tenant’s
Telecommunications Equipment.

 

(d)                                 Landlord shall
have no obligation to provide any services to the Tenant’s Telecommunications
Equipment, provided, however, Tenant shall have the right to access
telephone/data closets and shafts and conduits in the Building, plenum areas
and other pathways in the Building in order to connect the Tenant’s Telecommunications
Equipment to the Premises, subject to Landlord’s right to reasonably approve
such connections and to Landlord’s reasonable rules and regulations of
which Tenant has been given prior notice relative to the access to and the use
of such areas within the Building. Tenant shall, at its sole cost and expense
and otherwise in accordance with the provisions of this Section 16.30,
arrange for all utility services required for the operation of the Tenant’s
Telecommunications Equipment.

 

(e)                                  Tenant shall,
at its sole cost and expense, be solely responsible for all maintenance and
repair to the Tenant’s Telecommunications Equipment and the Connections.

 

(f)                                    Tenant shall
have no right to make any changes, alterations, signs, or other improvements to
the Tenant’s Telecommunications Equipment or the Connections without Landlord’s
prior written consent, which consent shall not be unreasonably withheld or
delayed.

 

(g)                                 Tenant shall be
responsible for the cost of repairing any damage to the Building or the Site caused
by its use of the Tenant’s Telecommunications Equipment and the Connections or
any work related thereto.

 

(h)                                 Except for
assignees of this Lease or subtenants of all or a portion of the Premises, no
other person, firm or entity (including, without limitation, other tenants,
licensees or occupants of the Building) shall have the right to connect to the
Tenant’s Telecommunications Equipment other than Tenant.

 

(i)                                     To the maximum
extent permitted by law, Tenant’s use of the Tenant’s Telecommunications Equipment
and the Connections shall be at the sole risk of Tenant, and Landlord shall
have no liability to Tenant in the event that the Tenant’s Telecommunications
Equipment and the Connections are damaged for any reason.

 

75

 

(j)                                     Tenant shall
comply with all applicable laws, ordinances and regulations in Tenant’s use of
the Tenant’s Telecommunications Equipment and the Connections.

 

(k)                                  The Tenant’s
Telecommunications Equipment and the Connections shall not interfere with the maintenance,
use, occupancy or operation of the Building by Landlord or any other tenant,
occupant or licensee of the Building (including, without limitation,
interference with any communications equipment, telephones, radios, CATV, MATV,
televisions, HVAC systems, elevators or computers in place as of the date
Tenant installs Tenant’s Telecommunications Equipment and Connections). In the
event any such interference is not cured by Tenant within thirty (30) days
after written notice thereof from Landlord to Tenant, Landlord shall have the
right to require Tenant to relocate or remove the Tenant’s Telecommunications
Equipment causing such disturbance.

 

(l)                                     Landlord shall
have the right, upon no less than ninety (90) days’ notice to Tenant and at
Landlord’s sole cost and expense, to relocate the Tenant’s Telecommunications
Equipment and the Connections to another location on the roof of the Building
reasonably acceptable to Tenant provided that such relocation does not
adversely affect Tenant’s use of Tenant’s Telecommunications Equipment and
Landlord makes temporary arrangements for Tenant’s Telecommunications Equipment
to continue to operate during such relocation. Landlord and Tenant shall
cooperate with each other in good faith to schedule such relocation work on
nights and weekends so as to minimize interference with Tenant’s business
operations. Any such relocation by Landlord shall not independently (in the
absence of another cause) be deemed to constitute a service interruption under
Section 7.6(C) above.

 

(m)                               The Tenant’s
Telecommunications Equipment and the Connections shall be deemed to be a part
of the Premises for the purposes of the indemnity and insurance provisions of
Article XIII above. In addition to and not in limitation of the foregoing,
Tenant shall, to the maximum extent permitted by law, indemnify, defend, and
hold Landlord, its agents, contractors and employees harmless from any and all
claims, losses, demands, actions or causes of actions suffered by any person,
firm, corporation, or other entity arising from Tenant’s use of the Tenant’s
Telecommunications Equipment and the Connections.

 

(n)                                 Landlord shall
have the right to designate or identify the Tenant’s Telecommunications
Equipment and any related components or conduits with or by a lease or license
number (or other marking) and to place such number (or marking) on or near such
Tenant’s Telecommunications Equipment.

 

76

 

(o)                                 It is expressly
understood and agreed that the Tenant’s Telecommunications Equipment shall
remain the property of Tenant and that Tenant shall be required to remove the
same upon the expiration or earlier termination of this Lease and to repair any
damage caused by the installation or removal of the Tenant’s Telecommunications
Equipment.

 

Landlord
shall use commercially reasonable efforts to insure that the placement and
operation of other telecommunications equipment on the rooftop of the Building
does not interfere with the use and operation by Tenant of the Tenant’s
Telecommunications Equipment and the Connections and shall impose and enforce
upon other tenants or occupants of the Building installing telecommunications
equipment on the roof requirements similar to those contained in subsection (k) above;
provided, however, that Landlord shall not be liable to Tenant if any such
interference actually occurs, so long as Landlord is using commercially
reasonable efforts as aforesaid.

 

16.31                     Tenant’s
Operational Equipment

 

Tenant
shall be permitted, at its sole cost and expense, to install (i) up to
seven (7) dedicated HEV and EV parking spaces with charging stations on
the Site in the locations shown on Exhibit N attached hereto and (ii) a
chemical storage shed on the Site in a location to be mutually agreed upon by
Landlord and Tenant (said HEV and EV parking spaces with charging stations and
chemical storage shed being hereinafter referred to collectively as “Tenant’s
Operational Equipment”). The exact specifications of the Tenant’s Operational
Equipment and, the method of installing the Tenant’s Operational Equipment
shall all be subject to Landlord’s prior written approval, which shall not be
unreasonably withheld or delayed. Tenant and Tenant’s contractors shall have
reasonable access to the Site in order to inspect, service, repair, maintain
and replace the Tenant’s Operational Equipment, subject to Landlord’s
reasonable rules and regulations of which Tenant has been given prior
notice relative to such access and use.

 

Tenant’s
use of the Tenant’s Operational Equipment shall be upon all of the conditions
of the Lease, except as modified below:

 

(a)                                  Tenant shall
have no obligation to pay Annual Fixed Rent, Tax Excess or Operating Expense
Excess in respect of the Tenant’s Operational Equipment.

 

(b)                                 Landlord shall
have no obligation to provide any services to the Tenant’s Operational
Equipment. Tenant shall, at its sole cost and expense and otherwise in
accordance with the provisions of this Section 16.31, arrange for all
utility services required for the operation of the Tenant’s Operational
Equipment. In addition, Tenant shall, at its sole cost and expense, be solely
responsible for all maintenance and repair to the Tenant’s Operational
Equipment.

 

(c)                                  Tenant shall
have no right to make any changes, alterations, signs, or other improvements to
the Tenant’s Operational Equipment without Landlord’s 

 

77

 

prior written consent, which consent shall not be
unreasonably withheld or delayed.

 

(d)                                 Tenant shall be
responsible for the cost of repairing any damage to the Building, the Site or
the Complex caused by its use of the Tenant’s Operational Equipment.

 

(e)                                  To the maximum
extent permitted by law, Tenant’s use of the Tenant’s Operational Equipment
shall be at the sole risk of Tenant, and Landlord shall have no liability to
Tenant in the event that the Tenant’s Operational Equipment is damaged for any
reason.

 

(f)                                    Tenant shall
comply with all applicable laws, ordinances and regulations in Tenant’s use of
the Tenant’s Operational Equipment, including, without limitation, all
Hazardous Materials Laws.

 

(g)                                 Landlord shall
have the right, upon no less than one hundred twenty (120) days notice to
Tenant and at Landlord’s sole cost and expense, to relocate any portion of the
Tenant’s Operational Equipment to another area on the Site. Landlord and Tenant
shall cooperate with each other in good faith to schedule such relocation work
on nights and weekends so as to minimize interference with Tenant’s business
operations. Any such relocation by Landlord shall not independently (i.e., in
the absence of another cause) be deemed to constitute an event giving rise to
the provisions of Section 7.6(C) above.

 

(h)                                 The Tenant’s
Operational Equipment shall be deemed to be a part of the Premises for the purposes
of the indemnity and insurance provisions of Article XIII above.  In addition and not in limitation of the
foregoing, Tenant shall, to the maximum extent permitted by law, indemnify,
defend, and hold Landlord, its agents, contractors and employees harmless from
any and all claims, losses, demands, actions or causes of actions suffered by
any person, firm, corporation, or other entity arising from Tenant’s use of the
Tenant’s Operational Equipment.

 

(i)                                     Landlord shall
have the right to designate or identify the Tenant’s Operational Equipment with
or by a lease or license number (or other marking) and to place such number (or
marking) on or near such Tenant’s Operational Equipment.

 

It
is expressly understood and agreed that Tenant’s Operational Equipment shall
remain the property of Tenant and that, as Special Improvements, Landlord may
require removal of the Tenant’s Operational Equipment pursuant to Section 9.1
of this Lease, but that Tenant may elect to remove the Tenant’s Operational
Equipment any time during the Lease Term.

 

78

 

Landlord
and Tenant agree to cooperate with each other in good faith to accommodate
Tenant’s possible need for additional HEV and EV parking spaces in the future;
provided, however, that Landlord shall not be liable to Tenant if Landlord is
unable to accommodate such need so long as Landlord has acted in good faith as
aforesaid.

 

16.32                     Emergency
Generator

 

Tenant
may, at its sole cost and expense, install an emergency generator (the
“Emergency Generator”) on the Site and certain connections between the
Emergency Generator and the Premises (the “Generator Connections”).  The exact specifications of the Emergency
Generator and the Generator Connections, the method of installing the Emergency
Generator and the Generator Connections and the location on the Site for the
Emergency Generator and the Generator Connections shall all be subject to
Landlord’s prior written approval, which shall not be unreasonably withheld or
delayed with respect to a natural gas-powered generator to be installed on the
roof of the Building (but which shall otherwise be in Landlord’s sole
discretion). Tenant and Tenant’s contractors shall have reasonable access to
the Site in order to inspect, service, repair, maintain and replace the
Emergency Generator and Generator Connections, subject to Landlord’s reasonable
rules and regulations of which Tenant has been given prior notice relative
to such access and use.

 

Tenant’s
use of the Emergency Generator shall be upon all of the conditions of the
Lease, except as modified below:

 

(a)                                  It is
understood and agreed that Tenant shall be responsible, at its sole cost and
expense, for installing the Generator Connections.  In addition to complying with the applicable
construction provisions of this Lease, Tenant shall not install or operate the
Generator Connections in any portion of the Building until (x) Tenant
shall have obtained Landlord’s prior written approval, of the Emergency
Generator and the Generator Connections, as provided above, and (y) Tenant
shall have obtained and delivered to Landlord copies of all required
governmental and quasi-governmental permits, approvals, licenses and
authorizations necessary for the lawful installation, operation and maintenance
of the Emergency Generator and the Generator Connections.

 

(b)                                 Tenant shall
have no obligation to pay Annual Fixed Rent, Tax Excess or Operating Expense
Excess in respect of the Emergency Generator or the Generator Connections.

 

(c)                                  The Emergency
Generator may be used to provide back-up power in the event of an outage for
Tenant’s lights and plugs in the Premises and dedicated heating, ventilation
and air conditioning systems serving the Premises, or for the purposes of
running any life-safety systems or equipment.

 

79

 

(d)                                 Landlord shall
have no obligation to provide any services to the Emergency Generator.  Tenant shall, at its sole cost and expense
and otherwise in accordance with the provisions of this Section 16.32,
arrange for all utility services required for the operation of the Emergency
Generator.

 

(e)                                  Tenant shall,
at its sole cost and expense, be solely responsible for all maintenance and
repair to the Emergency Generator and the Generator Connections.  In connection therewith, Tenant shall provide
Landlord with evidence on an annual basis of the existence of a maintenance
contract for the Emergency Generator with a service provider reasonably
acceptable to Landlord.

 

(f)                                    Tenant shall
have no right to make any changes, alterations, signs, or other improvements to
the Emergency Generator or the Generator Connections without Landlord’s prior
written consent, which consent shall not be unreasonably withheld or delayed.

 

(g)                                 Tenant shall be
responsible for the cost of repairing any damage to the Building caused by its
use of the Emergency Generator and the Generator Connections.

 

(h)                                 Except for
assignees of this Lease or subtenants of all or a portion of the Premises, no
other person, firm or entity (including, without limitation, other tenants,
licensees or occupants of the Building) shall have the right to connect to the
Emergency Generator other than Tenant.

 

(i)                                     To the maximum
extent permitted by law, Tenant’s use of the Emergency Generator and the Generator
Connections shall be at the sole risk of Tenant, and Landlord shall have no
liability to Tenant in the event that the Emergency Generator or the Generator
Connections are damaged for any reason.

 

(j)                                     Tenant shall
comply with all applicable laws, ordinances and regulations in Tenant’s use of
the Emergency Generator and the Generator Connections.

 

(k)                                  Landlord shall
have the right, upon no less than ninety (90) days’ notice to Tenant and at
Landlord’s sole cost and expense, to relocate the Emergency Generator and the
Generator Connections to another location on the roof of the Building
reasonably acceptable to Tenant provided that such relocation does not
adversely affect Tenant’s use of the Emergency Generator and the Generator
Connections.  Landlord and Tenant shall
cooperate with each other in good faith to schedule such relocation work on
nights and weekends so as to minimize interference with Tenant’s business
operations. Any such relocation by Landlord shall not 

 

80

 

independently (in the absence of another cause) be
deemed to constitute a service interruption under Section 7.6(C) above.

 

(l)                                     The Emergency
Generator and the Generator Connections shall be deemed to be a part of the
Premises for the purposes of the indemnity and insurance provisions of Article XIII
above.  In addition to and not in
limitation of the foregoing, Tenant shall, to the maximum extent permitted by
law, indemnify, defend, and hold Landlord, its agents, contractors and
employees harmless from any and all claims, losses, demands, actions or causes
of actions suffered by any person, firm, corporation, or other entity arising
from Tenant’s use of the Emergency Generator and the Generator Connections.

 

(m)                               Landlord shall
have the right to designate or identify the Emergency Generator with or by a
lease or license number (or other marking) and to place such number (or
marking) on or near such Emergency Generator.

 

It
is expressly understood and agreed that, as Special Improvements, Landlord may
require removal of the Emergency Generator and Generator Connections pursuant
to Section 9.1 of this Lease, but that Tenant may elect to remove the
Emergency Generator and Generator Connection at any time during the Lease Term.

 

16.33                     Waiver of Landlord’s
Lien

 

From
time to time upon Tenant’s reasonable written request, Landlord agrees to
furnish Tenant or any vendor or other supplier under any conditional sale,
chattel mortgage or other security arrangement, any consignor, any holder of
reserved title or any holder of a security interest, with a waiver of
Landlord’s lien upon Tenant’s trade fixtures, furnishings, signs, equipment,
machinery, inventory and personal property in or on the Premises.

 

Without
limiting the generality of the foregoing, Landlord is aware that Tenant intends
to apply for federal, state and local grants, loans, tax abatements and
reductions and other incentives with respect to its business to be conducted at
the Premises. Landlord agrees to reasonably cooperate (at no out-of-pocket
expense to Landlord and without incurring any liability to Landlord on account
of such cooperation) with such activities. 
In connection with the foregoing, Landlord agrees, at the request of
Tenant, to execute any commercially reasonable documentation related to the
foregoing.  Further, and notwithstanding
anything to the contrary set forth in this Lease, Tenant shall have the right
to pledge or otherwise grant a first priority security lien in any of Tenant’s Property
(as defined in Section 13.4 above) to the United States Department of
Energy, Massachusetts Clean Energy Technology Center and/or any other party
providing financing to Tenant in connection with the conduct of Tenant’s
business in the Premises, and upon written request by Tenant, Landlord will
execute and deliver commercially reasonable instruments consenting to such
financing and/or waiving any statutory or contractual Landlord’s lien in
Tenant’s Property.

 

81

 

ARTICLE XVII

 

Expansion Rights

 

17.1                           Definitions

 

With
reference to the rights and obligations of Tenant referred to in this Article XVII,
it is agreed that the terms used herein are as defined as follows:

 

(a)                                  “Third Floor
Expansion Premises” means the approximately 9,318 square feet of rentable floor
area located on the third (3rd) floor of the east wing of the Building
currently occupied by ClickSquared, Inc. and shown on Exhibit F
attached hereto.

 

(b)                                 “East Wing
Expansion Premises” means, collectively, (i) the Third Floor Expansion
Premises (to the extent not previously leased by Tenant under Section 17.2
below) and (ii) all office space on the fourth (4th) floor of the east
wing of the Building, all as shown on Exhibit F attached hereto.

 

(c)                                  “Available ROFO
Space” means any office space in the Building which, from time to time during
the Lease Term, becomes “available for reletting” (as hereinafter defined),
including, without limitation, the Third Floor Expansion Premises and the East
Wing Expansion Premises to the extent not previously leased by Tenant under
Sections 17.2 or 17.3 below (but only after Landlord has leased such spaces to
third parties). Available ROFO Space shall be deemed “available for reletting”
when Landlord reasonably determines, subject to the provisions of subsection
(e) below, that the then current tenant or occupant of the Available ROFO
Space will vacate such space at the expiration or earlier termination of such
tenant’s lease; provided that in no event shall Landlord determine that any
Available ROFO Space is available for reletting (i) more than twelve (12)
months prior to the expiration or earlier termination of the existing lease of
the Available ROFO Space for any Available ROFO Space consisting of less than
10,000 square feet of rentable floor area or (ii) more than eighteen (18)
months prior to the expiration or earlier termination of the existing lease of
the Available ROFO Space for any Available ROFO Space consisting of 10,000
square feet of rentable floor area or more.

 

(d)                                 “ROFO Premises”
means any Available ROFO Space incorporated by Tenant into the Premises
pursuant to Section 17.4.

 

(e)                                  “Prior Rights”
means:

 

(i)                                     with respect to
all office space in the west wing of the Building, any rights of first offer,
first refusal, expansion, renewal, extension or other rights to lease that
encumber what would otherwise have been Available ROFO Space which were either
(1) granted prior to 

 

82

 

the date hereof or (2) solely in the case of
extension and renewal rights, granted by Landlord at any time whether prior to
or subsequent to the date hereof (i.e. regardless of whether the existing
leases for such space currently provide the existing tenants thereunder with
any such right to extend or renew);

 

(ii)                                  with respect to
all office space in the east wing of the Building, any rights of first offer,
first refusal, expansion, renewal, extension or other rights to lease that
encumber what would otherwise have been Available ROFO Space which rights were
granted prior to the date hereof (which such Prior Rights with respect to the
office space in the east wing of the Building are, to the best of Landlord’s
actual knowledge after due inquiry, as set forth on Exhibit M attached
hereto); and

 

(iii)                               with respect to
(x) the Third Floor Expansion Premises and the East Wing Expansion
Premises, to the extent Tenant declines to exercise its rights with respect to
such spaces under Sections 17.2 and 17.3 and (y) any Available ROFO Space
in the Building offered to Tenant under Section 17.4 but not leased by
Tenant pursuant thereto, any rights of first offer, first refusal, expansion,
renewal, extension or other rights to lease that encumber what would otherwise
have been Available ROFO Space, which rights were granted following the
expiration of Tenant’s right to lease such space without Tenant having elected
so to do.

 

17.2                           Third Floor
Expansion Premises

 

(A)                              Promptly upon the full
execution and delivery of this Lease, Landlord shall exercise its right to
terminate its existing lease with ClickSquared, Inc. (the “ClickSquared
Lease”) so that Tenant may expand into the Third Floor Expansion Premises, and
upon the effective date of termination of the ClickSquared Lease, the Third
Floor Expansion Premises shall automatically be deemed to be incorporated into
the Premises demised to Tenant hereunder. 
Landlord and Tenant shall execute an amendment to this Lease
incorporating such Third Floor Expansion Premises into the Premises upon the
terms and conditions set forth in this Section 17.2 within ten (10) days
of the date of this Lease (provided that the failure of the parties to execute
such an amendment shall have no effect on the effectiveness of the expansion of
the Premises to include the Third Floor Expansion Premises and the economic
terms associated therewith, as set forth above).

 

It
is acknowledged and agreed that the ClickSquared Lease requires that a minimum
of one hundred fifty (150) days’ notice of termination be provided to the
tenant thereunder.

 

Notwithstanding
the foregoing, Landlord agrees to use commercially reasonable efforts to
negotiate with ClickSquared for an earlier effective date of termination
(including by 

 

83

 

relocating
ClickSquared to another building owned by Landlord or its affiliates, if space
acceptable to ClickSquared is available for occupancy within that time frame),
it being understood and agreed that ClickSquared has no legal obligation to
negotiate with Landlord and Landlord shall have no liability to Tenant if an
agreement cannot be reached with ClickSquared to vacate the Third Floor
Expansion Premises any earlier than required by the terms of the ClickSquared
Lease.

 

(B)                                If the date on which the
Third Floor Expansion Premises is to be delivered to Tenant upon the expiration
or earlier termination of the ClickSquared lease (the “Third Floor Expansion
Premises Commencement Date”) occurs during the first Lease Year, the Third
Floor Expansion Premises shall be incorporated into the Premises on all of the
terms and conditions as are applicable to the Premises originally demised to
Tenant under this Lease, including Annual Fixed Rent, Lease Term and the
Original Allowance Rate (as that term is defined in Section 1.6(A) of
Exhibit B-1 attached hereto); provided, however, that the tenant allowance
for the Third Floor Expansion Premises shall be pro-rated to the extent that
the rent-paying portion of the Term for the Third Floor Expansion Premises is
less than that for the Premises originally demised to Tenant.

 

(C)                                If the Third Floor Expansion
Premises Commencement Date occurs after the first Lease Year, the Third Floor
Expansion Premises shall be incorporated into the Premises on all of the terms
and conditions as are applicable to the Premises originally demised to Tenant
under this Lease, including the Lease Term but specifically excluding the
Annual Fixed Rent and the tenant improvement allowance (which shall be
determined as set forth herein). Within fifteen (15) days after receipt by
Landlord of Tenant’s Third Floor Expansion Premises Notice setting forth a
Third Floor Expansion Premises Commencement Date after the first Lease Year,
Landlord shall provide Tenant with written notice setting forth the Landlord’s
quotation of a proposed annual rent and tenant improvement allowance (if any)
for the Third Floor Expansion Premises (“Landlord’s Third Floor Expansion
Premises Terms”). Tenant shall notify Landlord, within ten (10) business
days of receipt of Landlord’s notice as aforesaid whether Tenant agrees or
disagrees with Landlord’s Third Floor Expansion Premises Terms. If Tenant
disagrees with Landlord’s Third Floor Expansion Premises Terms and the parties
do not come to agreement on such terms within thirty (30) days after delivery
of such notice from Tenant, then either party may initiate a Broker
Determination in accordance with the provisions of Exhibit H attached
hereto to determine the Prevailing Market Rent for the Third Floor Expansion
Premises, by giving notice to the other within an additional ten (10) days
after the end of such thirty (30) day period.

 

(D)                               In the event that
ClickSquared, Inc. and any parties claiming by, through or under
ClickSquared, Inc. wrongfully fail to deliver possession of such premises
at the time when ClickSquared, Inc.’s tenancy is scheduled to expire,
Landlord shall use reasonable efforts and due diligence (which shall be limited
to the commencement and prosecution of an eviction proceeding within sixty (60)
days after the date on which the hold-over commences, but shall not require the
taking of any appeal) to evict such occupant from such space and to recover
from such occupant any Hold-Over Premium (as defined below) payable by such
occupant. In such event, the commencement of the term of 

 

84

 

Tenant’s occupancy and lease of the Third Floor
Expansion Premises shall, in the event of such holding over by such occupant,
be deferred until possession of such space is delivered to Tenant. The failure
of the then occupant of such premises to so vacate shall not constitute a
default or breach by Landlord and shall not give Tenant any right to terminate
this Lease or to deduct from, offset against or withhold Annual Fixed Rent or
Additional Rent (or any portions thereof); provided, however, that Tenant shall
have the right to require Landlord to pay to Tenant fifty percent (50%) of the
net (i.e. net of the costs and expenses, including, attorneys’ fees, incurred
by Landlord in obtaining such Hold-Over Premium) amount of any Hold-Over Premium
received by Landlord from such hold-over occupant relative to periods from and
after the thirty-first (31st) day of any hold-over, when and if Landlord
receives any such payment. For the purposes hereof, the term “Hold-Over
Premium” shall be defined as the amount (if any) which a hold-over occupant of
any portion of the Third Floor Expansion Premises is required to pay to
Landlord in respect of its hold-over in the premises (whether characterized as
rent, damages, or use and occupation) in excess of the amount of fixed rent and
other charges which the tenant under whom such occupant claims would have been
required to pay to Landlord had the term of such tenant’s lease been extended
throughout the period of such hold-over at the same rental rate as such tenant
was required to pay during the last month of its tenancy.

 

17.3                           East Wing
Expansion Premises

 

(A)                              On the conditions (which
conditions Landlord may waive by written notice to Tenant) that both at the
time that Tenant exercises its expansion option under this Section 17.3
and as of the date upon which the East Wing Expansion Premises which Tenant has
elected to lease pursuant to this Section 17.3 would have otherwise become
incorporated into the Premises: (i) there exists no Event of Default, (ii) this
Lease is still in full force and effect, and (iii) Tenant has neither
assigned this Lease nor sublet more than thirty-three percent (33%) of the
Rentable Floor Area of the Premises (excluding any assignment or subletting
permitted in accordance with Sections 12.2 and 12.8 hereof), prior to accepting
any offer to lease any portion of the East Wing Expansion Premises to a third
party (other than the Third Floor Expansion Premises, with respect to which
Landlord may enter into a lease amendment or new lease with ClickSquared, Inc.,
subject to Tenant’s rights under Section 17.2 above), Landlord will first
offer such portion of the East Wing Expansion Premises to Tenant for lease
pursuant to this Section 17.3.

 

(B)                                Landlord’s written notice to
Tenant (“Landlord’s East Wing Expansion Premises Notice”) offering Tenant any
portion of the East Wing Expansion Premises shall specify the location and
rentable area of such portion of the East Wing Expansion Premises, Landlord’s
quotation of a proposed annual rent for the applicable portion of the East Wing
Expansion Premises, tenant improvement allowances (if any), and all other
material terms and conditions which will apply to the applicable portion of the
East Wing Expansion Premises (“Landlord’s East Wing Expansion Premises Terms”),
provided that the term for such space shall be coterminous with the Original
Lease Term, subject to Section 17.3(D) below. Tenant must notify
Landlord, within five (5) business days of Landlord’s East Wing Expansion
Premises Notice given pursuant to this Section 17.3(B) 

 

85

 

that (i) Tenant elects to lease all of the East
Wing Expansion Premises designated in Landlord’s East Wing Expansion Premises
Notice, (ii) Tenant elects to lease all of the East Wing Premises
Expansion Premises designated in Landlord’s East Wing Expansion Premises Notice
but disagrees with Landlord’s East Wing Expansion Premises Terms (but only in
the case of any Landlord’s East Wing Expansion Premises Notice where the East Wing
Expansion Premises Commencement Date occurs after the first Lease Year) or
(iii) Tenant rejects Landlord’s offer designated in Landlord’s East Wing
Expansion Premises Notice.

 

(C)                                If Tenant has timely elected
to lease the East Wing Expansion Premises designated in Landlord’s East Wing
Expansion Premises Notice, the following terms and provisions shall apply:

 

(1)                                  If the East Wing Expansion
Premises Commencement Date as set forth in Landlord’s East Wing Expansion
Premises Notice occurs during the first Lease Year, the applicable portion of
the East Wing Expansion Premises shall be incorporated into the Premises on all
of the terms and conditions as are applicable to the Premises originally
demised to Tenant under this Lease, including Annual Fixed Rent, Lease Term and
the Original Allowance Rate (as that term is defined in Section 1.6(A) of
Exhibit B-1 attached hereto); provided, however, that the tenant allowance
for the East Wing Expansion Premises shall be pro-rated to reflect the fact
that the rent-paying portion of the Term for the East Wing Expansion Premises will
be less than that for the Premises originally demised to Tenant.

 

(2)                                  If the East Wing Expansion
Premises Commencement Date as set forth in Landlord’s East Wing Expansion
Premises Notice occurs after the first Lease Year, the applicable portion of
the East Wing Expansion Premises shall be incorporated into the Premises on all
of the terms and conditions as are applicable to the Premises originally
demised to Tenant under this Lease, including the Lease Term but specifically
excluding the Annual Fixed Rent and the tenant improvement allowance which
shall either (i) be as set forth in Landlord’s East Wing Expansion
Premises Notice, if Tenant agrees with Landlord’s East Wing Expansion Premises
Terms or (ii) be determined in accordance with the procedures set forth
below, if Tenant disagrees with Landlord’s East Wing Expansion Premises Terms.

 

(3)                                  If Tenant disagrees with
Landlord’s East Wing Expansion Premises Terms and the parties do not come to agreement
on such terms within thirty (30) days after delivery of such notice from
Tenant, then either party may initiate a Broker Determination in accordance
with the provisions of Exhibit H attached hereto to determine the
Prevailing Market Rent for the East Wing Expansion Premises, by giving notice
to the other within an additional ten (10) days after the end of such
thirty (30) day period.

 

86

 

(4)           Upon the delivery by Tenant of Tenant’s notice
electing to lease the East Wing Expansion Premises designated in Landlord’s
East Wing Expansion Premises Notice, the applicable portion of the East Wing
Expansion Premises shall automatically be deemed to be incorporated into the
Premises demised to Tenant hereunder, and Landlord and Tenant shall execute an
amendment to this Lease incorporating such portion of the East Wing Expansion
Premises into the Premises upon the terms and conditions set forth in this
Section 17.3  within ten
(10) days (provided that the failure of the parties to execute such an
amendment shall have no effect on the effectiveness of the expansion of the
Premises to include the applicable portion of the East Wing Expansion Premises
and the economic terms associated therewith, as set forth above).

 

(D)          Notwithstanding anything to the contrary provided in
Section 17.3(B) above, if the East Wing Expansion Premises shall be
available for delivery to Tenant at any time during the last eighteen (18)
months of the Original Lease Term, then: (a) if there is not available
extension option which can be exercised pursuant to Section 3.2, Tenant
shall not be entitled to lease the East Wing Expansion Premises under this
Section 17.3, and (b) if there is an available extension option which
can be exercised pursuant to Section 3.2, then the term for such East Wing
Expansion Premises shall not be coterminous with the Original Lease Term, but
shall be for a term that expires at the expiration of the Extension Term, and
in order to lease the East Wing Expansion Premises in accordance with
Section 17.3(B) above, Tenant must elect to extend the Original Lease
Term of the Lease for the entire Premises in accordance with the provisions of
Section 3.2, at the same time that Tenant elects to lease the East Wing
Expansion Premises hereunder.

 

(E)           If Tenant rejects Landlord’s offer as to the portion
of the East Wing Expansion Premises designated in Landlord’s East Wing
Expansion Premises Notice, or fails to notify Landlord within said five
(5) business day period that Tenant intends to lease such portion of the
East Wing Expansion Premises, Landlord shall be entitled to lease the
applicable portion of the East Wing Expansion Premises not elected by Tenant to
become incorporated into the Premises on such terms and conditions as Landlord
shall deem appropriate in its sole discretion, without again offering such
space to Tenant for lease; provided, however, that (i) the terms of this
Section 17.3 shall continue to apply to the remainder of the East Wing
Expansion Premises, if any, not included in Landlord’s East Wing Expansion
Premises Notice and (ii) any portion of the East Wing Expansion Premises
included in Landlord’s East Wing Expansion Premises Notice which is not leased
by Tenant and which is subsequently leased to another tenant  shall be offered to Tenant under
Section 17.4 below when such space next becomes available for reletting.

 

(F)           If Tenant shall timely exercise its rights under
this Section 17.3 with respect to the portion of the East Wing Expansion
Premises designated in Landlord’s East Wing Expansion Premises Notice and if,
thereafter, the then occupant of such portion of the East Wing Expansion
Premises and any parties claiming by, through or under such occupant wrongfully
fail to deliver possession of such premises at the time when its tenancy is
scheduled to expire, Landlord shall use reasonable efforts and due diligence
(which shall be limited to the commencement and prosecution of an eviction
proceeding 

 

87

 

within sixty (60) days after the date on which the
hold-over commences, but shall not require the taking of any appeal) to evict
such occupant from such space and to recover from such occupant any Hold-Over
Premium (as defined below) payable by such occupant. In such event, the
commencement of the term of Tenant’s occupancy and lease of such portion of the
East Wing Expansion Premises shall, in the event of such holding over by such
occupant, be deferred until possession of such space is delivered to Tenant.
The failure of the then occupant of such premises to so vacate shall not
constitute a default or breach by Landlord and shall not give Tenant any right
to terminate this Lease or to deduct from, offset against or withhold Annual
Fixed Rent or Additional Rent (or any portions thereof); provided, however,
that Tenant shall have the right to require Landlord to pay to Tenant fifty
percent (50%) of the net (i.e. net of the costs and expenses, including,
attorneys’ fees, incurred by Landlord in obtaining such Hold-Over Premium)
amount of any Hold-Over Premium received by Landlord from such hold-over
occupant relative to periods from and after the thirty-first (31st) day of any
hold-over, when and if Landlord receives any such payment. For the purposes
hereof, the term “Hold-Over Premium” shall be defined as the amount (if any)
which a hold-over occupant of any portion of the East Wing Expansion Premises
currently occupied by ClickSquared, Inc. is required to pay to Landlord in
respect of its hold-over in the premises (whether characterized as rent,
damages, or use and occupation) in excess of the amount of fixed rent and other
charges which the tenant under whom such occupant claims would have been required
to pay to Landlord had the term of such tenant’s lease been extended throughout
the period of such hold-over at the same rental rate as such tenant was
required to pay during the last month of its tenancy.

 

(G)           Time is of the essence of this Section 17.3.

 

17.4                           Right of First
Offer

 

(A)          On the conditions (which conditions Landlord may
waive by written notice to Tenant) that both at the time that the Available
ROFO Space first becomes available and as of the date upon which the ROFO
Premises which Tenant has elected to lease pursuant to this Section 17.4
would have otherwise become incorporated into the Premises: (i) there
exists no Event of Default, (ii) this Lease is still in full force and
effect, and (iii) Tenant has neither assigned this Lease nor sublet more
than thirty-three percent (33%) of the Rentable Floor Area of the Premises
(excluding any assignment or subletting permitted in accordance with Sections
12.2 and 12.8 hereof), prior to accepting any offer to lease Available ROFO
Space to a third party other than a third party with Prior Rights, Landlord
will first offer such Available ROFO Space to Tenant for lease pursuant to this
Section 17.4.

 

(B)           Landlord’s written notice to Tenant (“Landlord’s
ROFO Notice”) offering Tenant any Available ROFO Space shall specify the
location and rentable area of the Available ROFO Space, Landlord’s quotation of
a proposed annual rent for the Available ROFO Space (“Landlord’s ROFO Space
Rent Quotation”), Base Amounts for Operating Expenses and Taxes, tenant improvement
allowances (if any), and all other material terms and conditions which will
apply to the Available ROFO Space, provided that the 

 

88

 

term for the Available ROFO Space shall be
coterminous with the Original Lease Term or the Extension Term of this Lease,
subject to Section 17.4(C) below. Tenant must notify Landlord, within
twenty (20) days of Landlord’s ROFO Notice given pursuant to this
Section 17.4(B) that (i) Tenant elects to lease all of the Available
ROFO Space, on the terms set forth in Landlord’s ROFO Notice, or
(ii) Tenant rejects Landlord’s offer. If Tenant has accepted Landlord’s
terms for such Available ROFO Space, Landlord and Tenant shall execute an
amendment to this Lease incorporating the Available ROFO Space into the
Premises upon the terms contained in Landlord’s ROFO Notice, and otherwise on
substantially the same terms and conditions as contained in this Lease, within
ten (10) days, but failure of the parties to execute such an amendment
shall have no effect on the effectiveness of the expansion of the Premises to
include such Available ROFO Space and the economic terms associated therewith,
as set forth above.

 

If
Tenant rejects Landlord’s offer as to the Available ROFO Space, or fails to
notify Landlord within said twenty (20) day period that Tenant intends to lease
such Available ROFO Space, Landlord shall be entitled to lease such Available
ROFO Space not elected by Tenant to become incorporated into the Premises
without again offering such space to Tenant for lease; provided, however, that
(i) Landlord shall reoffer the applicable portion of the Available ROFO
Space  to Tenant in accordance with the
terms and provisions of this Section 17.4 if (a) Landlord does not
enter into a binding letter of intent (i.e., a letter of intent signed by both
Landlord and a prospective third party tenant 
reflecting the intent of the parties to proceed to negotiate a lease) to
lease such space to a third party within one hundred eighty (180) days after
the first to occur of (x) Tenant’s election to reject Landlord’s offer and
(y) Tenant’s failure to notify Landlord within said twenty (20) day period
that Tenant intends to lease such Available ROFO Space, or (b) if Landlord
proposes to lease such space during such one hundred eighty (180) day period
for a net effective rental rate which is less than ninety-five percent (95%) of
Landlord’s ROFO Space Rent Quotation, and (ii) the terms of this
Section 17.4 shall continue to apply to the remainder of the Available
ROFO Space, if any, not included in Landlord’s ROFO Notice and to Available
ROFO Space included in Landlord’s ROFO Notice and not leased by Tenant which is
subsequently leased to another tenant in accordance with this Section 17.4
and thereafter becomes available for reletting.

 

(C)           Notwithstanding anything to the contrary provided in
Section 17.4(B) above, if the Available ROFO Space shall be available
for delivery to Tenant at any time during the last eighteen (18) months of the
Original Lease Term, then: (a) if there is not available extension option
which can be exercised pursuant to Section 3.2, Tenant shall not be
entitled to lease the Available ROFO Space under this Section 17.4, and
(b) if there is an available extension option which can be exercised
pursuant to Section 3.2, then the term for such Available ROFO Space shall
not be coterminous with the Original Lease Term, but shall be for a term that
expires at the expiration of the Extension Term, and in order to lease the
Available ROFO Space in accordance with Section 17.4(B) above, Tenant
must elect to extend the Original Lease Term of the Lease for the entire
Premises in accordance with the provisions of Section 3.2, at the same
time that Tenant elects to lease the Available ROFO Space hereunder.

 

89

 

(D)          If Tenant shall timely exercise its rights under
this Section 17.4 with respect to the Available ROFO Space designated in
Landlord’s ROFO Notice and if, thereafter, the then occupant of the Available
ROFO Space with respect to which Tenant shall have so exercised such right
wrongfully fails to deliver possession of such premises at the time when its
tenancy is scheduled to expire, Landlord shall use reasonable efforts and due
diligence (which shall be limited to the commencement and prosecution of an
eviction proceeding within sixty (60) days after the date on which the
hold-over commences, but shall not require the taking of any appeal) to evict
such occupant from such space and to recover from such occupant any Hold-Over
Premium (as defined below) payable by such occupant. In such event, the
commencement of the term of Tenant’s occupancy and lease of such additional
space shall, in the event of such holding over by such occupant, be deferred until
possession of the additional space is delivered to Tenant. The failure of the
then occupant of such premises to so vacate shall not constitute a default or
breach by Landlord and shall not give Tenant any right to terminate this Lease
or to deduct from, offset against or withhold Annual Fixed Rent or Additional
Rent (or any portions thereof); provided, however, that Tenant shall have the
right to require Landlord to pay to Tenant fifty percent (50%) of the net (i.e.
net of the costs and expenses, including, attorneys’ fees, incurred by Landlord
in obtaining such Hold-Over Premium) amount of any Hold-Over Premium received
by Landlord from such hold-over occupant relative to periods from and after the
thirty-first (31st) day of any hold-over, when and if Landlord receives any
such payment. For the purposes hereof, the term “Hold-Over Premium” shall be
defined as the amount (if any) which a hold-over occupant of any portion of the
Available ROFO Space is required to pay to Landlord in respect of its hold-over
in the premises (whether characterized as rent, damages, or use and occupation)
in excess of the amount of fixed rent and other charges which the tenant under
whom such occupant claims would have been required to pay to Landlord had the
term of such tenant’s lease been extended throughout the period of such
hold-over at the same rental rate as such tenant was required to pay during the
last month of its tenancy.

 

(E)           Time is of the essence of this Section 17.4.

 

(The remainder of this page is
intentionally left blank.)

 

90

 

EXECUTED
as a sealed instrument in two or more counterparts by persons or officers
hereunto duly authorized on the Date set forth in Section 1.2 above.

 

 

	
   

  	
   

  	
  LANDLORD:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  BOSTON
  PROPERTIES LIMITED PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Boston
  Properties, Inc., its general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/
  Bryan J. Koop

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Bryan
  J. Koop

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Senior
  Vice President — Regional Manager

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  TENANT:

  
	
   

  	
   

  	
   

  	
   

  
	
  ATTEST:

  	
   

  	
  A123
  SYSTEMS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
  /s/
  Eric Pyenson

  	
   

  	
  By:

  	
  /s/
  Michael Rubino

  
	
  Name:

  	
  Eric
  Pyenson

  	
   

  	
  Name:

  	
  Michael
  Rubino

  
	
  Title:

  	
  Secretary
  or Assistant Secretary

  	
   

  	
  Title:

  	
  President
  or Vice President

  
	
   

  	
   

  	
   

  	
   

  	
  Hereunto
  duly authorized

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/
  Michael Rubino

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Michael
  Rubino

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Treasurer
  or Assistant Treasurer

  
	
   

  	
   

  	
   

  	
   

  	
  Hereunto
  duly authorized

  

 

91

 

 

EXHIBIT A

 

DESCRIPTION OF SITE

 

A
certain parcel of land of West Street, Waltham, Middlesex County, as shown on a
plan entitled “Atwater Lane, A Subdivision in Waltham, MA, Middlesex County,
Lot Layout Plan,” dated July 22, 1988, recorded with Middlesex South
Registry of Deeds as Plan #6 of 1989 in Book 19575, Page 351, and shown
thereon as Lot A, containing 142,769± square feet, according to said plan, and
Lot B, containing 501,550± square feet, according to said plan, and the parcel
of land shown on said plan as Atwater Lane.

 

Said
Lots A and B consist of the following:

 

PARCEL
I:

 

A
certain parcel of land situate on First Avenue and West Street, Waltham,
Middlesex County, Massachusetts, and shown as Lots 13 and 14 on Plan entitled “Plan
of Land in Waltham, Mass.,” dated August 31, 1962, revised
October 26, 1962 and October 30, 1962, by Raymond C.
Pressey, Inc., Registered Land Surveyors, recorded as Plan No. 10 of
1963 in Book 10196, Page 40, bounded and described as follows:

 

	
  NORTHEASTERLY

  	
   

  	
  by
  the End of First Avenue by two lines measuring respectively forty-seven and
  50/100 feet and seven and 53/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHWESTERLY

  	
   

  	
  by
  other land of the Grantors herein three hundred eighty-seven and 17/100 feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  land now or formerly of United Electric Controls Company by two lines
  measuring respectively one hundred seventy and 51/100 feet and five hundred
  and twenty-one and 92/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHEASTERLY

  	
   

  	
  by
  the same by a curved line measuring seventy-six and 05/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHEASTERLY

  	
   

  	
  by
  the same by two lines measuring respectively one hundred forty-one and 17/100
  feet and one hundred seventy feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  West Street by two lines measuring respectively forty-five and 26/100 feet
  and eleven and 16/100 feet;

  

 

1

 

	
  SOUTHWESTERLY

  	
   

  	
  by
  the line between Weston and Waltham and land believed to be now or formerly
  of Ralph P. Hussey three hundred twenty-eight and 28/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  land of owners unknown one hundred four and 77/100 feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  the same forty-eight and 80/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHWESTERLY

  	
   

  	
  by
  said line between Weston and Waltham, and land believed to be now or formerly
  of said Hussey one hundred eighty-one and 61/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  land believed to be now of formerly of Frederick C. Dumaine Jr. and another
  one hundred seventeen and 30/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHWESTERLY

  	
   

  	
  by
  the same forty-four and 80/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHWESTERLY

  	
   

  	
  by
  said line between Weston and Waltham and other land of the Grantors herein
  one hundred fifty four feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHEASTERLY
  and EASTERLY 

  	
   

  	
  by
  other land of the Grantors herein by two lines measuring respectively four
  hundred ten and 53/100 feet and seventy-three feet; 

  
	
   

  	
   

  	
   

  
	
  NORTHERLY

  	
   

  	
  by
  land now or formerly of David Burstein et al., Trustees, one hundred sixteen
  and 14/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHEASTERLY

  	
   

  	
  by
  the same two hundred ninety-one and 99/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHEASTERLY

  	
   

  	
  by
  the same three hundred fifty-five and 99/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHEASTERLY

  	
   

  	
  by
  the same five hundred forty-eight and 31/100 feet.

  

 

Containing
397,490 square feet of land, according to said plan.

 

PARCEL
II:

 

The
parcel of land on West Street, Waltham, Middlesex County, Massachusetts, shown
as Lot E containing 2.37 acres on a plan by Raymond C. Pressey, Inc.,
Registered Land Surveyors, dated 1 October 1965 recorded as Plan
No. 1339 of 1965 in Book 10961, Page 438, and bounded and described
according to said plan as follows:

 

2

 

	
  WESTERLY

  	
   

  	
  in
  a curved line by West Street two hundred twenty-one and 05/100 (221.05) feet;

  
	
   

  	
   

  	
   

  
	
  NORTHERLY

  	
   

  	
  by
  land of Leland L. Crowell and of Clifford Griggs, two hundred four and 98/100
  (204.98) feet, and by Lot “A” on Plan No. 1530 of 1960 (being the second
  parcel herein described) two hundred seventy-five and 40/100ths (275.40)
  feet;

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  Lot 13 on Plan 10 of 1963, Book 10196, Page 40, two hundred twenty-three
  (223) feet; and

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  Lot D, being remaining land of the Grantor, four hundred forty-eight and
  35/100ths (448.35) feet.

  

 

Also,
the parcel of land situated in Waltham, Middlesex County, Massachusetts, and
shown as Lot A on plan entitled “Plan of Land in Waltham, Mass.” dated
June 29, 1960, by Raymond C. Pressey, Inc. recorded with said Deeds
as Plan No. 1530 of 1960, Book 9693, Page 417, bounded and described
as follows:

 

	
  SOUTHERLY

  	
   

  	
  by
  Lot B on said Plan, two hundred seventy-five and 40/100 feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  land now or formerly, of Clifford Griggs, two hundred ten and no/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHERLY

  	
   

  	
  by
  land of Trustees of Waltham Properties Trust two hundred fifty-two and no/100
  feet; and

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  the same, one hundred seventy and 51/100 feet.

  

 

Containing
49,400 square feet of land, according to said plan.

 

PARCEL
III:

 

The
parcel of land on West Street, Waltham, Middlesex County, Massachusetts, shown
as Lot D containing 3 acres on a plan by Raymond C. Pressey, Inc.,
Registered Land Surveyors, dated 1 October 1965, recorded in Middlesex
South District Deeds in Book 10961, Page 438, and bounded and described
according to said plan as follows:

 

	
  WESTERLY

  	
   

  	
  in
  a curved line by West Street, three hundred fifty-one and 70/100ths (351.70)
  feet;

  

 

3

 

	
  NORTHERLY

  	
   

  	
  by
  Lot E, being land owned now or formerly by Little, Brown and Company (Inc),
  four hundred forty eight and 35/100ths (448.35) feet;

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  Lot 13 on Plan 10 of 1963, Book 10196, Page 40, two hundred ninety-eight
  and 92/100ths (298.92) feet;

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  the same in a curved line, seventy-six and 5/100ths (76.05) feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  Lot 14 on Plan 10 of 1963, Book 10196, Page 40, three hundred eleven and
  17/100ths (311.17) feet.

  

 

TOGETHER
WITH THE FOLLOWING APPURTENANT RIGHTS:

 

Right
to use twenty-foot wide utility easement as recited in deed dated
August 12, 1960, recorded in Book 9693, Page 417.

 

Right
to use twenty-foot wide utility easement as recited in deed dated
August 12, 1960, recorded in Book 9693, Page 420.

 

Easement
reserved in Grant of Right and Easement for ten-foot wide water main dated
September 8, 1980, recorded in Book 14118, Page 227.

 

Right
to tie-in to water line as recited in Easement Agreement dated June 12,
1996, recorded in Book 26436, Page 15.

 

4

 

 

EXHIBIT B-1

 

LANDLORD’S WORK

 

1.0                                 Base Building
Work

 

Landlord,
at Landlord’s sole cost and expense, shall perform the improvements and
modifications to the Building described on Exhibit B-2 attached hereto
(the “Base Building Work”) in accordance with the terms and provisions of this
Exhibit B-1.

 

1.1                                 Tenant
Improvement Work

 

(A)                              Plans

 

(1)                                  Schematic
Plans.

 

It
is acknowledged and agreed that on May 3, 2010, Tenant delivered to
Landlord a full set of schematic drawings, together with a narrative of the mechanical
systems (the “Schematic Plans”), for the work necessary to prepare the Premises
for Tenant’s use and occupancy (all of the work designated on the work matrix
attached hereto as Exhibit B-3 as being the Landlord’s responsibility
being hereinafter referred to as the “Tenant Improvement Work”) (the Tenant
Improvement Work, together with the Base Building Work, being sometimes
hereinafter referred to collectively as the “Landlord’s Work”), such plans and
specifications to be prepared by an architect licensed by the Commonwealth of
Massachusetts and reasonably approved by Landlord (Landlord hereby approving
Packard Design and AHA Consulting Engineers). Landlord shall not unreasonably
withhold, delay or condition its consent to the Schematic Plans; provided that
notwithstanding the requirement that Landlord act reasonably, Landlord’s
determination of matters relating to aesthetic issues relating to alterations
or changes visible outside the Premises shall be in Landlord’s sole discretion
(Landlord hereby agreeing not to withhold its consent to items such as rooftop
equipment, loading dock penetrations, equipment pads and mechanical shafts, all
of which are currently contemplated to be part of the Tenant Improvement Work,
simply by virtue of the fact that the same will be visible outside the
Premises).

 

Landlord
agrees to respond to the Schematic Plans within ten (10) business days
after receipt thereof.  If Landlord
disapproves of any element of the Schematic Plans, it shall do so in writing
and with reasonable detail so that Tenant’s architect can incorporate all
reasonable objections and conditions presented by Landlord into subsequent
iterations of the plans hereunder.

 

1

 

(2)                                  Interim
Plans.

 

On
or before June 28, 2010 (the “Interim Plans Date”), Tenant shall deliver
to Landlord a full set of design development plans and specifications for the
Tenant Improvement Work, such plans and specifications to be (i) prepared
by an architect licensed by the Commonwealth of Massachusetts and reasonably
approved by Landlord and (ii) in suitable form for filing with an
application for a building permit with the City of Waltham. Such Interim Plans
shall be of sufficient detail to enable Landlord to contract for and/or purchase
long lead items such as demolition work, structural steel and large
mechanicals, etc. (subject to the provisions set forth below regarding
Tenant’s right to approve such long lead items).  Landlord shall not unreasonably withhold,
delay or condition its consent to the Interim Plans provided that the same are
consistent with the Schematic Plans; provided further, however, that
notwithstanding the requirement that Landlord act reasonably, Landlord’s
determination of matters relating to aesthetic issues relating to alterations
or changes visible outside the Premises shall be in Landlord’s sole discretion
(Landlord hereby agreeing not to withhold its consent to items such as rooftop
equipment, loading dock penetrations, equipment pads and mechanical shafts, all
of which are currently contemplated to be part of the Tenant Improvement Work,
simply by virtue of the fact that the same will be visible outside the
Premises).

 

Landlord
agrees to respond to the Interim Plans within seven (7) business days
after receipt thereof (but will use commercially reasonable best efforts to
respond within seven (7) calendar days). 
If Landlord disapproves of any element of the Interim Plans, it shall do
so in writing and with reasonable detail so that Tenant’s architect can incorporate
all reasonable objections and conditions presented by Landlord into subsequent
iterations of the plans hereunder.

 

(3)                                  Tenant
Plans.

 

On
or before July 30, 2010 (the “Tenant Plans Date”), Tenant shall deliver to
Landlord a full set of construction plans and specifications for the Tenant
Improvement Work, such plans and specifications to be (i) prepared by an
architect licensed by the Commonwealth of Massachusetts and reasonably approved
by Landlord and (ii) in suitable form for filing with an application for
an amendment to the building permit (if required). Such Tenant Plans shall
contain at least the information required by, and shall conform to the
requirements of, Exhibit B-4. 
Landlord shall not unreasonably withhold, delay or condition its consent
to the Tenant Plans provided that the same (x) contain at least the
information required by, and shall conform to the requirements of,
Exhibit B-4 and (y) are consistent with the Interim Plans; provided
further, however, that notwithstanding the requirement that Landlord act
reasonably, Landlord’s determination of 

 

2

 

matters
relating to aesthetic issues relating to alterations or changes visible outside
the Premises shall be in Landlord’s sole discretion (Landlord hereby agreeing
not to withhold its consent to items such as rooftop equipment, loading dock
penetrations, equipment pads and mechanical shafts, all of which are currently
contemplated to be part of the Tenant Improvement Work, simply by virtue of the
fact that the same will be visible outside the Premises).

 

Landlord
agrees to respond to the Tenant Plans within ten (10) business days after
receipt thereof. If Landlord disapproves any of the foregoing, it shall do so
in writing and with reasonable detail and then Tenant shall have the plans
revised by its architect to incorporate all reasonable objections and
conditions presented by Landlord and resubmitted to Landlord. Such process
shall be followed until the Tenant Plans shall have been approved by Landlord.
Landlord shall respond to the resubmission of any plans by Tenant within five
(5) business days of Landlord’s receipt thereof (or such longer time as
may be reasonably necessary in the case of a major redesign).

 

(4)                                  General
Matters.

 

In
connection with the foregoing, it is understood and agreed that Landlord’s
approval under this Section 1.1(A) is given solely for the benefit of
Landlord, and neither Tenant nor any third party shall have the right to rely
upon Landlord’s approval of the Schematic Plans, the Interim Plans or the
Tenant Plans (hereinafter collectively referred to as the “Plans”) for any
other purpose whatsoever. Without limiting the foregoing, Tenant shall be
responsible for all elements of the design of the Plans (including, without
limitation, compliance with law, functionality of design, the structural
integrity of the design, the configuration of the Premises and the placement of
Tenant’s furniture, appliances and equipment), and Landlord’s approval of the
Plans shall in no event relieve Tenant of the responsibility for such design.
In addition, Tenant shall, on or before the Building Permit Application Date
(as defined in Section 1.1(B)(3) below), execute and deliver to
Landlord any affidavits and documentation provided to Tenant by Tenant’s
architect and/or engineers preparing the Plans and/or by Landlord, and required
in order to obtain all permits and approvals necessary for Landlord to commence
and complete the Tenant Improvement Work (excluding any operational permits
that are required in order for Tenant to operate its business in the Premises,
which such operational permits shall be Tenant’s sole responsibility to obtain)
on a timely basis (“Permit Documentation”).

 

Landlord’s
failure to respond to any version of the Plans meeting the requirements of this
Section 1.1(A) within the applicable time periods set 

 

3

 

forth
herein shall be deemed to constitute Landlord’s approval thereof. To the extent
that Landlord has previously approved a particular element shown in an earlier
iteration of the Plans (or such element has been deemed approved by virtue of
Landlord’s failure to respond to such Plans within the applicable time period),
Landlord shall not have the right to disapprove such element in any subsequent
Plans, provided that (i) such element has not been materially modified,
(ii) such element was approved without objection or condition by Landlord
in the earlier iteration of the Plans, and (iii) in the case of Plans that
had been deemed approved, the element was shown in sufficient detail in the
earlier iteration of the Plans that Landlord could reasonably have responded to
the same at the time.

 

(B)                                Construction
Process

 

(1)                                  Contractor
and Subcontractor Selection.

 

It
is understood and agreed that the general contractor will be selected prior to
the completion of the Interim Plans based solely on general conditions, fee and
appropriate contingencies, and that the construction contract for the Tenant
Improvement Work will be a Guaranteed Maximum Price “GMP” contract to be priced
after the general contractor has been selected based on the approved Tenant
Plans.

 

Landlord
shall have the right to select the general contractor who will perform the
Tenant Improvement Work, subject to Tenant’s approval (not to be unreasonably
withheld, conditioned or delayed). 
Landlord and Tenant hereby agree that requests for proposals will be
sought from the following general contractors: 
Erland Construction, J. Calnan & Associates, Chapman Construction
and Integrated Builders.  In its requests
for proposals, Landlord shall require the general contractors to provide safety
performance information for both themselves and their proposed subcontractors
for the major sub-trades (defined as subcontracts in excess of $50,000.00)
regarding (i) incident rates for the past three years (number of
incidents/man hours worked), (ii) lost days resulting from safety-related
issues per year over the past three years, (iii) overview of work safety plans
and (iv) standard safety training programs for employees. Upon receipt of
proposals from the aforesaid general contractors, Landlord shall compare the
proposals and submit the same to Tenant, together with Landlord’s designation
of the proposal Landlord intends to accept together with a statement of the
reasons Landlord so designated such proposal. 
Tenant shall respond in writing within five (5) business days after
receipt of Landlord’s notice, either approving or disapproving of Landlord’s
selection (and if the latter, specifying the reasons therefor and indicating
Tenant’s selection).  Notwithstanding the
foregoing requirement that Tenant have the right to approve the general
contractor selected by 

 

4

 

Landlord
to perform the Tenant Improvement Work, Tenant shall have the right to
disapprove of no more than three (3) of the four (4) general
contractors from whom bids have been received on the grounds that such general
contractors do not meet safety performance standards reasonably acceptable to
Tenant.  In the event that Tenant does
not approve of any of the general contractors on the grounds that none of them
meet safety performance standards reasonably acceptable to Tenant, any delay in
the completion of the Tenant Improvement Work resulting from such failure to
approve a general contractor shall be deemed a Tenant Delay hereunder.

 

Landlord
shall have the right to select the subcontractors for the major sub-trades
(defined as subcontracts in excess of $50,000.00), subject to Tenant’s approval
(not to be unreasonably withheld, conditioned or delayed).  Landlord shall require that the general
contractor solicit and receive bids from no less than three
(3) subcontractors with respect to all major sub-trades (which such bids
shall contain the safety performance information described above).  Upon the receipt of such subcontractor bids,
Landlord shall require the general contractor to prepare a bid format which
compares each bid, and shall deliver such bid format, together with copies of
the bids themselves to Tenant (together with Landlord’s designation of the bid
Landlord intends to accept).  Tenant
shall respond in writing within three (3) business days after receipt of
Landlord’s notice, either approving or disapproving of Landlord’s selection
(and if the latter, specifying the reasons therefor and indicating Tenant’s
selection).  Notwithstanding the
foregoing requirement that Tenant have the right to approve the subcontractors
selected by Landlord for the major sub-trades, Tenant shall have the right to
disapprove of no more than two (2) of the three (3) subcontractors
from whom bids have been received on the grounds that such subcontractors do
not meet safety performance standards reasonably acceptable to Tenant.  In the event that Tenant does not approve of
any of the subcontractors for a given major sub-trade on the grounds that none
of them meet safety performance standards reasonably acceptable to Tenant, any
delay in the completion of the Tenant Improvement Work resulting from such
failure to approve a subcontractor shall be deemed a Tenant Delay hereunder.

 

(2)                                  Pricing.

 

Within
eleven (11) business days after its receipt of the Interim Plans, Landlord
shall furnish to Tenant a written estimate of all costs of the Tenant
Improvement Work shown on such Interim Plans that can be priced at that time
based on the level of completion of the Interim Plans.

 

5

 

Within
fifteen (15) business days after its receipt of the Tenant Plans, Landlord
shall furnish to Tenant a final guaranteed maximum price for the Tenant
Improvement Work as shown on the Tenant Plans.

 

(3)                                  Building Permit
Application Date; Long Lead Item Release Date; Authorization to Proceed Date.

 

It
is understood and agreed that (i) Landlord must file for a building permit
by July 1, 2010 (the “Building Permit Application Date”) based on the
Interim Plans in order to commence and complete construction of the Tenant
Improvement Work within the time periods contemplated by this Exhibit B-1,
even though Landlord’s review of the Tenant Plans and the pricing of the Tenant
Improvement Work will not have been completed by such Building Permit
Application Date, and (ii) any delay in the performance of the Tenant
Improvement Work caused by the need to amend the application for a building
permit as the result of modification to the Interim Plans after the same have
been approved by Landlord shall be deemed to be a Tenant Delay (as that term is
defined in Section 1.2 below) for the purposes of this Exhibit B-1.

 

In
connection with its approval of the Interim Plans, Landlord shall provide a
reasonably detailed construction schedule, including identification of
milestones and significant decision dates, and at such time shall also identify
and notify Tenant of any items contained in the Interim Plans which Landlord
then reasonably believes will constitute long lead items. Landlord will give to
Tenant Landlord’s best, good faith estimate of the period(s) of any delay
which would be caused by a long-lead item. Within two (2) calendar days of
its receipt of Landlord’s written estimate of the cost of the Tenant
Improvement Work shown on the Interim Plans under
Section 1.1(B)(2) above (the “Long Lead Item Release Date”), Tenant
shall have the right to either (a) revise the Interim Plans to eliminate
any such long-lead item or (b) authorize Landlord to construct the Tenant
Improvement Work in accordance with the approved Interim Plans including any
such long-lead items (any such approved long-lead items being hereinafter
called “Tenant Approved Long Lead Items”). Tenant acknowledges that certain
Tenant Approved Long Lead Items may still delay completion of the Tenant
Improvement Work and thus result in a Tenant Delay even if Tenant does
authorize them on or before the Long Lead Item Release Date.

 

Within
five (5) business days after the later to occur of (x) Tenant’s  receipt of Landlord’s approval of the Tenant
Plans and (y) Tenant’s receipt of the final guaranteed maximum price for
the Tenant Improvement Work shown on the Tenant Plans (the “Authorization to
Proceed Date”), Tenant shall give Landlord written authorization to 

 

6

 

proceed
with Tenant Improvement Work in accordance with the approved Tenant Plans and
the bids from the subcontractors for the major sub-trades selected pursuant to
the provisions of sub-section (B)(1) above (“Notice to Proceed”).

 

(4)                                  Change
Orders.

 

Tenant
shall have the right, in accordance herewith, to submit for Landlord’s approval
change proposals subsequent to Landlord’s approval of the Tenant Plans and
Tenant’s approval of the Tenant Plan Excess Costs, if any (each, a “Change
Proposal”). Landlord agrees to respond to any such Change Proposal within five
(5) business days after the submission thereof by Tenant, advising Tenant
of any anticipated increase in costs (“Change Order Costs”) associated with
such Change Proposal, as well as an estimate of any delay which would likely
result in the completion of the Landlord’s Work if a Change Proposal is made
pursuant thereto (“Landlord’s Change Order Response”). With respect to Change
Proposals for which a response cannot reasonably be developed within five
(5) business days, Landlord shall within the five business-day response period
advise Tenant of the steps necessary in order for Landlord to evaluate the
Change Order Proposal and the date upon which Landlord’s Change Order Response
will be delivered. Tenant shall have the right within five (5) days after
receiving Landlord’s Change Order Response (or Landlord’s notice that a Change
Proposal could not be evaluated within the five business-day response period
set forth above) to then approve or withdraw such Change Proposal. If Tenant
fails to respond to Landlord’s Change Order Response within such five
(5) day period, such Change Proposal shall be deemed withdrawn. If Tenant
approves such Change Proposal, then such Change Proposal shall be deemed a “Change
Order” hereunder and if the Change Order is made, then the Change Order Costs
associated with the Change Order shall be deemed additions to the Tenant Plan
Excess Costs and shall be paid in the same manner as Tenant Plan Excess Costs
are paid as set forth in Section 1.6.

 

(5)                                  Response
to Requests for Information and Approvals.

 

Except
to the extent that another time period is expressly herein set forth, each of
Landlord and Tenant shall respond to any written request from the other for
approvals or information in connection with Tenant Improvement Work, within
three (3) business days of the responding party’s receipt of such request.

 

7

 

(6)                                  Time
of the Essence.

 

Time
is of the essence in connection with Landlord’s and Tenant’s obligations under
this Section 1.1.

 

(C)                                Construction Management
Fee

 

Landlord
shall charge a construction management fee (the “Construction Management Fee”)
for its management of the Tenant Improvement Work in accordance with the scope
described in Exhibit B-5 attached hereto in an amount equal to three
percent (3%) of the hard construction costs (but not design or other soft
costs) of the Tenant Improvement Work; provided, however, that if Landlord
shall Substantially Complete (as that term is defined in Section 1.3
below) the Landlord’s Work on or before the Estimated Commencement Date as set
forth in Section 1.2 of the Lease, then the Construction Management Fee
shall be an amount equal to four percent (4%) of the hard construction costs
(but not design or other soft costs) of the Tenant Improvement Work (it being
understood and agreed that if the Landlord’s Work is not Substantially
Completed by the Estimated Commencement Date by reason of any Tenant Delay, as
defined in Section 1.2 below, or Landlord’s Force Majeure, as defined in
Section 1.3 below, Landlord shall nonetheless be entitled to the four
percent (4%) Construction Management Fee as aforesaid) . The Construction
Management Fee shall be deducted from the Landlord’s Contribution as set forth
in Section 1.6(D) below and/or paid by Tenant as part of Tenant Plan
Excess Costs as set forth in Section 1.6(E) below.

 

1.2                                 Delays

 

(A)                              Tenant Delay

 

A
“Tenant Delay” shall be defined as the following:

 

(1)                                  Tenant’s
failure to deliver the Plans to Landlord by the applicable dates set forth in
Section 1.1(A) above and to provide all required Permit Documentation
to Landlord on or before the Building Permit Application Date, or (except to
the extent caused by a Landlord Delay, as hereinafter defined) to give
authorization to Landlord to proceed with the Tenant Approved Long Lead Items
on or before the Long Lead Item Release Date or with the Tenant Improvement
Work on or before the Authorization to Proceed Date; or

 

(2)                                  Tenant’s
failure timely to respond to any written request from Landlord within the time
period specified therefor under this Exhibit B-1;

 

(3)                                  Tenant’s
failure to pay the Tenant Plan Excess Costs in accordance with
Section 1.6;

 

(4)                                  Any delay due
to Tenant Approved Long Lead Items;

 

8

 

(5)                                  Any delay due
to Change Orders; or

 

(6)                                  Except to the
extent caused by a Landlord Delay, any other delays caused by Tenant, Tenant’s
contractors, architects, engineers or anyone else engaged by Tenant in
connection with the preparation of the Premises for Tenant’s occupancy,
including, without limitation, utility companies and other entities furnishing
communications, data processing or other service, equipment, or furniture.

 

In
order to invoke a Tenant Delay, Landlord must advise Tenant in writing of the
alleged Tenant Delay within two (2) business days after Landlord becomes
aware thereof.

 

(B)                                Tenant
Obligations with Respect to Tenant Delays

 

(1)                                  Tenant
covenants that no Tenant Delay shall delay commencement of the Term or the
obligation to pay Annual Fixed Rent or Additional Rent, regardless of the
reason for such Tenant Delay or whether or not it is within the control of
Tenant or any such employee. Landlord’s Work shall be deemed substantially
completed as of the date when Landlord’s Work would have been substantially completed
but for any Tenant Delays, as determined by Landlord in the exercise of its
good faith business judgment.

 

(2)                                  Tenant shall
reimburse Landlord the amount, if any, by which the cost of Landlord’s Work is
increased as the result of any Tenant Delay.

 

(3)                                  Any amounts due
from Tenant to Landlord under this Section 1.2(B) shall be due and
payable within thirty (30) days of billing therefor, and shall be considered to
be Additional Rent. Nothing contained in this Section 1.2(B) shall
limit or qualify or prejudice any other covenants, agreements, terms,
provisions and conditions contained in this Lease.

 

(C)                                Landlord Delay

 

A
“Landlord Delay” shall mean Landlord’s failure timely to respond to any written
request from Tenant within the time period specified therefor under this
Exhibit B-1. In order to invoke a Landlord Delay, Tenant must advise
Landlord in writing of the alleged Landlord Delay within two (2) business
days after Tenant becomes aware thereof.

 

1.3                                 Substantial
Completion

 

(A)          Subject to any prevention, delay or
stoppage due to Landlord’s Force Majeure (as hereinafter defined) or
attributable to any Tenant Delays, Landlord shall use reasonable speed and
diligence in the construction of the Landlord’s Work so as to have the same
Substantially Completed (as hereinafter defined) on or before the Estimated 

 

9

 

Commencement Date as set forth in Section 1.2
of the Lease, but Tenant shall have no claim against Landlord for failure to
complete construction of the Landlord’s Work except as expressly set forth in
Section 1.4 below.

 

Notwithstanding
the foregoing, it is understood and agreed that, subject to any prevention,
delay or stoppage due to Landlord’s Force Majeure or attributable to any
Tenant Delays, Landlord shall complete certain components of the Tenant
Improvement Work in accordance with the following schedule so that Tenant may
commence construction of its dry rooms located on the first (1st) and second
(2nd) floors of the Building substantially as shown on Exhibit B-6
attached hereto (it being understood and agreed that the exact dimensions of
said dry rooms will not be finalized until the Interim Plans have been
prepared) prior to Substantial Completion of the Landlord Work:

 

	
  ITEMS

  	
   

  	
  INTERIM
  COMPLETION DATE

  
	
   

  	
   

  	
   

  
	
  1st
  Floor

  	
   

  	
  December 1,
  2010

  
	
   

  	
   

  	
   

  
	
  ·      Utilities brought to within five (5) feet of
  perimeter of room.

  	
   

  	
   

  
	
  ·      Underground utilities (drainage) stubbed through
  floor.

  	
   

  	
   

  
	
  ·      Trenching/repair for underground utilities

  	
   

  	
   

  
	
  2nd
  Floor

  	
   

  	
  December 1,
  2010

  
	
   

  	
   

  	
   

  
	
  ·      Utilities brought to within five (5) feet of
  perimeter of room.

  	
   

  	
   

  
	
  1st
  and 2nd Floors

  	
   

  	
  January 1,
  2011

  
	
   

  	
   

  	
   

  
	
  ·      Final connections made to rooftop units.

  	
   

  	
   

  
	
  ·      Final connections made between dry room “boxes”
  and stubbed utilities.

  	
   

  	
   

  

 

Any
delay by Landlord in completing the foregoing items of work by the applicable
Interim Completion Date set forth above (except to the extent such delay is
caused by Landlord’s Force Majeure or Tenant Delays) shall be deemed to delay
the Commencement Date and the Substantial Completion Date (even if the Landlord’s
Work has otherwise been Substantially Completed by such time) if and solely to
the extent that such delay causes an actual delay in Tenant’s ability to begin
its commissioning and start-up activity within the dry rooms as shown on
Exhibit B-6 on or before February 1, 2011.  In order to invoke the provisions of this
paragraph, Tenant must advise Landlord in writing within two (2) business
days after Tenant becomes aware of any delay in Tenant’s ability to complete its
work on the dry room caused by Landlord’s failure to

 

10

 

 

complete
the foregoing items of work by the applicable Interim Completion Date set forth
above.

 

(B)           The “Actual Substantial Completion Date” shall be
defined as the date on which the Landlord’s Work has been Substantially
Completed. “Substantial Completion” and “Substantially Completed” shall each
mean the date on which the Landlord’s Work has been completed except for
so-called “punch-list” items of work and adjustment of equipment and fixtures
the incompleteness of which do not cause material interference with Tenant’s
use of the Premises for the Permitted Uses. After Substantial Completion,
Landlord shall proceed diligently to complete all “punch-list” items within
thirty (30) days after the occurrence of Substantial Completion (except for
long-lead items or items which can only be performed during certain seasons or
weather, which items shall be completed diligently as soon as the season and/or
weather permits).

 

(C)           Except as set forth in
Section 1.3(E) below but subject to the provisions of Section 1.3(A) above,
the Commencement Date shall be defined as the earlier of (x) the
Substantial Completion Date (as hereinafter defined) and (y) the date on
which Tenant commences occupancy of any portion of such Premises for the
Permitted Use. The “Substantial Completion Date” shall be defined as the later
to occur of (i) Actual Substantial Completion Date or (ii) the date
when permission has been obtained from the applicable governmental authority
(which such permission may be evidenced by the signature(s) of the
appropriate municipal official(s) on the building permit for the Landlord’s
Work) to the extent required by law, for occupancy by Tenant of the Premises
for the Permitted Uses. Notwithstanding the foregoing, in the event that
Landlord is delayed in the performance of Landlord’s Work or cannot obtain
permission from the applicable governmental authority for the occupancy of the
Premises by reason of any Tenant Delay, then the Substantial Completion Date
shall be deemed to be the date that Landlord would have achieved the Actual
Substantial Completion Date or obtained such governmental permission, but for
such Tenant Delay. Tenant agrees that no Tenant Delay shall delay commencement
of the Term or the obligation to pay rent, regardless of the reason for such
delay or whether or not it is within the control of Tenant or any such
employee. Nothing contained in this paragraph shall limit or qualify or
prejudice any other covenants, agreements, terms, provisions and conditions
contained in this Lease.

 

(D)          When used in this Lease “Landlord’s Force Majeure”
shall mean any prevention, delay or stoppage due to governmental
regulation, strikes, lockouts, acts of God, acts of war, terrorist acts, civil
commotions, unusual scarcity of or inability to obtain labor or materials (to
the extent that such scarcity or inability is the result of conditions not
prevalent in the market, and otherwise unforeseen, as of the date of this
Lease), labor difficulties, casualty or other causes reasonably beyond Landlord’s
control; provided, however, that in no event shall the financial inability of
Landlord or Landlord’s general contractor constitute a cause beyond Landlord’s
reasonable control. In order to invoke the Landlord’s Force Majeure provision
of this Exhibit B-1, Landlord must advise Tenant in writing of the alleged
Landlord’s Force Majeure within three (3) business days after Landlord
becomes aware thereof. Landlord shall use commercially reasonable efforts to 

 

11

 

mitigate the impact of Landlord’s Force Majeure on
the performance of Landlord’s Work, to the extent it is within Landlord’s
reasonable ability to do so given the nature of the event giving rise to the
Landlord’s Force Majeure.

 

(E)           Notwithstanding that the Estimated Commencement Date
is April 1, 2011. Landlord shall endeavor to Substantially Complete the
Tenant Improvement Work no earlier than March 1, 2011 so that Tenant may
commence occupancy of the Premises for the Permitted Uses, subject to (i) any
prevention, delay or stoppage due to Landlord’s Force Majeure or
attributable to any Tenant Delays, (ii) Landlord’s receipt of all
municipal approvals necessary to permit such occupancy (Landlord hereby
agreeing to use commercially reasonable efforts to obtain such approvals) and
(iii) Tenant having submitted Tenant Plans which enable Landlord to pursue
a certificate of occupancy for the portion of the Premises located on the third
(3rd) floor notwithstanding the fact that the remainder of the Premises may not
be Substantially Complete at such time (it being acknowledged and agreed that
the foregoing may require Tenant to prepare and submit a separate set of Tenant
Plans for the portion of the Premises located on the third (3rd) floor and
another set of Tenant Plans for the remainder of the Premises), in the event
that Tenant wants to preserve the ability to occupy the third (3rd) floor
irrespective of the status of completion of the remainder of the Premises. Any
such occupancy by Tenant shall be upon all of the terms and conditions of the
Lease (other than the payment of Annual Fixed Rent), but shall not impact the
determination of the Commencement Date as set forth in
Section 1.3(C) above.  Tenant
further acknowledges that it may be occupying portions of the Premises while
the Landlord’s Work is being completed in other portions of the Building and
accordingly that there may be some disruptions in Tenant’s occupancy,
consistent with the nature of the work being performed.

 

In
addition, Landlord shall permit Tenant access for installing Tenant’s trade
fixtures, systems, equipment and furniture in portions of the Premises prior to
Substantial Completion when it can be done without material interference with
remaining work and with the maintenance of harmonious labor relations. Any such
access by Tenant (including, without limitation, access for the construction by
Tenant of the dry room under Section 1.3(A) above) shall be upon all
of the terms and conditions of the Lease (other than the payment of Annual
Fixed Rent, the Tax Excess, the Operating Cost Excess and payments on account
of electricity under Section 5.2 of the Lease) and shall be at Tenant’s
sole risk, and Landlord shall not be responsible for any injury to persons or
damage to property resulting from such early access by Tenant.

 

(F)           Except as set forth in
Section 1.3(E) above, if prior to the date that the Landlord’s Work
is in fact actually Substantially Complete, the Landlord’s Work is deemed to be
Substantially Complete pursuant to the provisions of this Section 1.3
(i.e. and the Commencement Date has therefore occurred), Tenant shall not
(except with Landlord’s consent) be entitled to take possession of the Premises
for the Permitted Uses until the Landlord’s Work is in fact actually
Substantially Complete.

 

12

 

1.4                                 Tenant’s
Remedies Based on Delays in Landlord’s Work

 

If
the Substantial Completion Date shall not have occurred by that date (the “First
Interim Completion Date”) which is thirty (30) days from the Estimated
Commencement Date (which date shall be extended automatically for such periods
of time as Landlord is prevented in delivering the same by reason of Landlord’s
Force Majeure or any Tenant Delay, without limiting Landlord’s other rights on
account thereof), then the Annual Fixed Rent and payments on account of the Tax
Excess and the Operating Cost Excess shall be abated, from and after the
Commencement Date, by one (1) day for each one (1) day beyond the
First Interim Completion Date that the Substantial Completion Date is delayed.

 

If
the Substantial Completion Date shall not have occurred by that date (the “Second
Interim Completion Date”) which is sixty (60) days from the Estimated
Commencement Date (which date shall be extended automatically for such periods
of time as Landlord is prevented in delivering the same by reason of Landlord’s
Force Majeure or any Tenant Delay, without limiting Landlord’s other rights on
account thereof), then the Annual Fixed Rent and payments on account of the Tax
Excess and the Operating Cost Excess shall be abated, from and after the
applicable Commencement Date, for one and one-half (1 1⁄2) days for each one
(1) day beyond the Second Interim Completion Date that the Substantial
Completion Date is delayed.

 

In
addition, if the Substantial Completion Date shall have not occurred by that
date (the  “Outside Completion Date”)
which is one hundred twenty (120) days from the Estimated Commencement Date
(which date shall be extended automatically for such periods of time as Landlord
is prevented in delivering the same by reason of Landlord’s Force Majeure or
any Tenant Delay, without limiting Landlord’s other rights on account thereof),
then Tenant shall have the right to terminate this Lease effective as of the
thirtieth (30th) day after receipt by Landlord of a notice from Tenant given on
or after the Outside Completion Date (as so extended) indicating Tenant’s
desire to so terminate; and upon the giving of such notice, the Term of the
Lease shall cease and come to an end without further liability or obligation on
the part of either party as of the expiration of the aforesaid thirty (30)
business day period, unless the Substantial Completion Date shall in fact have
occurred on or before such expiration date.

 

The
foregoing rent abatements and right of termination shall be Tenant’s sole and
exclusive remedies at law or in equity or otherwise for the failure of the
Substantial Completion Date to have occurred within the time periods set forth
above.

 

1.5                                 Quality and
Performance of Work

 

(A)          All construction work required or permitted by the
Lease shall be done in a good and workmanlike manner and in compliance with all
applicable laws, ordinances, rules, regulations, statutes, by-laws, court
decisions, and orders and requirements of all public authorities (“Legal
Requirements”) and all Insurance Requirements (as defined in Section 

 

13

 

9.1 of the Lease). Any work performed by or on
behalf of Tenant under the Lease shall be coordinated with any work being
performed by or on behalf of Landlord and in such manner as to maintain
harmonious labor relations.

 

(B)           Each party authorizes the other to rely in
connection with design and construction upon the written approval or other
written authorizations on the party’s behalf by any Construction Representative
of the party named in Section 1.2 of the Lease or any person hereafter
designated in substitution or addition by notice to the party relying. Each
party may inspect the work of the other at reasonable times and shall promptly
give notice of observed defects. Tenant acknowledges that Tenant is acting for
its own benefit and account and that Tenant will not be acting as Landlord’s
agent in performing any work that may be undertaken by or on behalf of Tenant
under this Lease, and accordingly, no contractor, subcontractor or supplier of
Tenant shall have a right to lien Landlord’s interest in the Property in
connection with any such work.

 

(C)           Landlord warrants to Tenant that: (i) the
materials and equipment furnished in the performance of the Landlord’s Work
will be of good quality; (ii) the Landlord’s Work will be free from
defects not inherent in the quality described in the applicable plans and
specifications therefor; and (iii) the Landlord’s Work and all components
thereof shall be in good working order and condition, consistent with those of
Class A office buildings in the Central Suburban 128 Market. Any portion
of the Landlord’s Work not conforming to the foregoing requirements will be
considered defective. Landlord’s warranty hereunder shall not apply to the
extent of damage or defect caused by (1) the negligent acts or omissions
or the willful misconduct of Tenant, its employees, agents, contractors,
sublessees or permitted occupants under Article XII of the Lease
(hereinafter, the “Tenant Parties”), (2) improper operation by any of the
Tenant Parties, or (3) normal wear and tear and normal usage.

 

The
foregoing warranty with respect to each component of the Landlord’s Work shall
commence on the date on which Landlord has Substantially Completed the Landlord’s
Work and shall expire on the date which is fifty (50) weeks after the
commencement of the warranty on the Landlord’s Work (the “Warranty Period”),
and Tenant shall be required to deliver notice to Landlord of any defects prior
to the expiration of the Warranty Period in order to permit Landlord to take
action to enforce Landlord’s warranty rights with respect to the Landlord’s
Work. Landlord agrees that it shall correct any portion of the Landlord’s Work
which during the Warranty Period is found not to be in accordance with the
warranties set forth in this subsection (C). Landlord shall use commercially
reasonable efforts to enforce warranties from its general contractors,
subcontractors, vendors and others on Tenant’s behalf.

 

(D)          Except for latent defects which could not reasonably
have been discovered during the Warranty Period despite the exercise of due
diligence and except to the extent to which Tenant shall have given Landlord
notice of respects in which Landlord has not performed Landlord’s construction
obligations under this Exhibit B-1 within the Warranty Period, Tenant
shall be deemed conclusively to have approved Landlord’s 

 

14

 

construction and shall have no claim that Landlord
has failed to perform any of Landlord’s obligations under this
Exhibit B-1.

 

1.6                                 Landlord’s
Contribution; Tenant Plan Excess Costs

 

(A)          As an inducement to Tenant’s entering into the
Lease, Landlord shall provide to Tenant an allowance in an amount equal to the
product of (i) $21.50 (the “Original Allowance Rate”) and (ii) the
Rentable Floor Area of the Premises (the “Landlord’s Contribution”) to be used
and applied by Landlord towards the cost of the Tenant Improvement Work. For
the purposes hereof, the cost of the Tenant Improvement Work shall include the
cost of leasehold improvements, architectural and engineering fees and tel/data
cabling installation (provided, however, that the amount of the Landlord’s
Contribution that may be applied towards the reimbursement of architectural and
engineering fees and tel/data cabling installation shall be capped at an amount
equal to the product of (x) $4.00 and (y) the Rentable Floor Area of
the Premises).

 

(B)           Landlord shall be under no obligation to apply any
portion of the Landlord’s Contribution for any purposes other than as provided
in this Section 1.6. In addition, in the event that (i) Tenant has
received notice from Landlord that it is in default of its obligations under
this Lease and such default remains uncured or (ii) there are any liens
which are not bonded to the reasonable satisfaction of Landlord against Tenant’s
interest in the Lease or against the Building or the Site arising out of any
work performed by Tenant (it being acknowledged and agreed for these purposes
that the Tenant Improvement Work being performed by Landlord shall not be
considered “work performed by Tenant”) or any litigation in which Tenant is a
party, then, from and after the date of such event (“Event”), Landlord shall
have no further obligation to fund any portion of the Landlord’s Contribution
and Tenant shall be obligated to pay, as Additional Rent, all costs of the
Tenant Improvement Work in excess of that portion of the Landlord’s
Contribution funded by Landlord through the date of the Event, subject to
reimbursement by Landlord after the condition giving rise to the Event has been
cured or otherwise rectified to Landlord’s reasonable satisfaction. Further,
the Landlord’s Contribution shall only be applied towards the cost of leasehold
improvements and, subject to the limitations set forth in subsection
(A) above, architectural and engineering fees and tel/data cabling
installation. In no event shall Landlord be required to make application of any
portion of the Landlord’s Contribution towards Tenant’s personal property,
trade fixtures, trade equipment, furniture/furniture fronts or moving expenses
or on account of any supervisory fees, overhead, management fees or other
payments to Tenant, or any partner or affiliate of Tenant. In the event that
the costs of the Tenant Improvement Work are less than the Landlord’s
Contribution, Tenant shall not be entitled to any payment or credit nor shall
there be any application of the same toward Annual Fixed Rent or Additional
Rent owed by Tenant under the Lease. Tenant acknowledges that any portion of
the Landlord’s Contribution which has not been utilized on or before the date
that is one (1) year after the Substantial Completion Date shall be
forfeited by Tenant. Landlord shall be entitled to deduct the Construction
Management Fee referenced in Section 1.1(C) above from the Landlord’s
Contribution.

 

15

 

(C)           If and at such time as the costs of the Tenant
Improvement Work exceed the Landlord’s Contribution, such excess costs shall
hereinafter be defined as “Tenant Plan Excess Costs” and shall be payable
Tenant as set forth in this Section 1.6(C).

 

To
the extent, if any, that there are Tenant Plan Excess Costs, Tenant shall pay
Landlord, as Additional Rent, within ten (10) business days after billing
therefor, from time to time during the performance of the Tenant Improvement
Work, (but no more often than one (1) time per thirty (30) day period),
the amount of the Tenant Plan Excess Costs incurred for the Tenant Improvement
Work performed during that period (including, without limitation, architectural
and engineering fees and tel/data cabling installation costs) after application
of the full amount of the Landlord’s Contribution in accordance with the
provisions of this Section 1.6; provided however, that if the Tenant Plan
Excess Costs are the result of a Change Order, then Tenant shall pay all such
Tenant Plan Excess Costs to Landlord, as Additional Rent, at the time that
Tenant approves such Change Order in accordance with
Section 1.1(B)(4) above.

 

(D)          With respect to architectural and engineering fees
and tel/data cabling installation costs, Tenant may from time to time request
disbursements of the Landlord’s Contribution to pay such costs (or reimburse
Tenant for having paid such costs), up to the maximum amounts set forth in
subsection (A) above, including with its request for payment a summary of
the costs incurred and reasonable supporting documentation with respect thereto
(which in the case of any payment for which Tenant seeks reimbursement shall
include, without limitation, paid invoices, receipts and the like evidencing
such payment, as well as lien waivers in recordable form reasonably acceptable
to Landlord from all persons who might have a lien as a result of such work).
Provided that the conditions to disbursement of the Landlord’s Contribution as
set forth in this Section 1.6 have otherwise been satisfied, Landlord
shall disburse the requested funds to Tenant within thirty (30) days after
Tenant’s request therefor.

 

If
Tenant has satisfied the conditions to disbursement of the Landlord’s
Contribution and Landlord fails to disburse the requested funds to Tenant
within thirty (30) days of Tenant’s request therefor, and Landlord has not,
within ten (10) business days of its receipt of Tenant’s demand, given
written notice to Tenant objecting to such demand and submitting the same to
arbitration under Section 1.7 below (or if Landlord has timely disputed
Tenant’s demand, has submitted such dispute to arbitration in accordance with
said Section 1.7 and has thereafter failed to pay Tenant the amount of any
final, unappealable arbitration award against Landlord within thirty (30) days
after the issuance thereof) then subject to the last sentence of this
paragraph, Tenant shall have the right to offset the amount of such sums
demanded by Tenant against the Annual Fixed Rent and Additional Rent payable
under the Lease until offset in full. Notwithstanding the foregoing, Tenant
shall have no right to reduce any monthly installment of Annual Fixed Rent by
more than fifteen percent (15%) of the amount of Annual Fixed Rent which would
otherwise have been due and payable by Tenant to Landlord, unless the aggregate
amount of such deductions over the remainder of the Lease Term (as the same may
have been extended) will be insufficient to fully reimburse Tenant for the
amount demanded 

 

16

 

by
Tenant, in which event Tenant may effect such offset by making deductions from
each monthly installment of Annual Fixed Rent in equal monthly amounts over the
balance of the remainder of the Lease Term.

 

(E)           It is currently estimated that the total cost of all
labor, materials and other work necessary to design, permit and perform the
Base Building Work will be approximately $850,000.00.  To the extent that the total cost of the Base
Building Work upon full completion thereof is less than $850,000.00, Landlord
shall provide any such excess (the “Additional Contribution”) to Tenant as part
of the Landlord’s Contribution, to be used and applied towards the cost of the
Tenant Improvement Work subject to and in accordance with the provisions of
this Section 1.6 (including, without limitation, that cap on the amount of
the Landlord’s Contribution that can be applied towards architectural and
engineering fees and tel/data cabling costs, as set forth in subsection
(A) above).  To the extent that the
Tenant Improvement Work has been fully paid for at the time the Additional
Contribution is made, Tenant may retain the same as reimbursement for any
Tenant Plan Excess Costs previously funded by Tenant.  In connection with the foregoing, it is
expressly understood and agreed that Tenant shall have no right to the
Additional Contribution unless, and then only to the extent that, there are
Tenant Plan Excess Costs (i.e. if the amount of the Additional Contribution is
$50,000.00 and the amount of Tenant Plan Excess Costs is $25,000.00, Tenant shall
only be entitled to $25,000.00 of the Additional Contribution).

 

1.7                                 Fast Track
Arbitration

 

Any
controversy, dispute or claim arising under this Exhibit B-1 shall be
settled by arbitration in Boston, Massachusetts in accordance with the
Expedited Arbitration Rules of the American Arbitration Association as
then in effect (unless the parties mutually agree otherwise). The decision
rendered by the arbitrator or arbitrators shall be final and conclusive upon
Landlord and Tenant. To avail itself of the dispute resolution procedures of
this Section 1.7, the party demanding arbitration shall file a written
notice of such demand with the other party and with the American Arbitration
Association. In connection with resolution of disputes submitted to arbitration
hereunder, Landlord and Tenant hereby irrevocably waive any and all rights they
may have to resolve such dispute in a manner that is inconsistent with the
provisions of this Section 1.7. The costs and administration expenses of
each arbitration hereunder shall be borne equally by the parties, and each
party shall be responsible for its own attorneys’ fees and expert witnesses’
fees.

 

In
connection with the foregoing, it is expressly understood and agreed that the
parties shall continue to perform their respective obligations under the Lease
and this Exhibit B-1 during the pendency of any arbitration proceeding
hereunder (with any adjustments or reallocations to be made on account of such
continued performance as determined by the arbitrator in his or her award).

 

17

 

EXHIBIT B-2

 

BASE BUILDING WORK

 

Work Within Portions of Tenant Premises

 

Passenger/Service
Elevator:  Landlord
shall provide at its expense a passenger/service elevator with a minimum
capacity of 4,500 pounds servicing all four (4) floors in the East Wing,
location of elevator to be mutually determined/acceptable. Landlord will be
responsible for construction of pit, all slab openings, reinforcement of slab
openings, any required override, elevator machine room on first floor
(approximately 8’x8’), shaft walls, cab and controls. Shaft walls in the Tenant
premises will be drywalled, taped, primed, and ready for paint.

 

Loading
Dock:  Landlord shall provide at its
expense an exclusive loading dock for Tenant, location to be
determined/mutually acceptable (provided, however, that such loading dock shall
be designed to accommodate trucks with a maximum length of fifty-three (53)
feet without cab). Landlord work shall include the penetration of exterior wall,
installation of one overhead rolling door (below the existing precast concrete
spandrel), installation of concrete/steel exterior dock, exterior canopy and
corresponding foundations as required, including any reconfiguration of parking
striping/islands as necessary for safe truck access.

 

Work within Building Common Areas

 

Fitness
Center:  Landlord shall provide at its
expense a common fitness center for the building located in the first floor of
the west wing. The fitness center will be on the order of 800-1200sf. The new
fitness center will include machine weights, free weights, and cardiovascular
equipment. Locker room and showers to remain as existing.

 

1

 

 

EXHIBIT B-3

 

WORK MATRIX

 

	
  Scope of Work

  	
   

  	
  Landlord Contractor

  	
   

  	
  Tenant Contractor

  
	
  A123 TENANT WORK (cost of all LL items from Tenant
  Allowance)

  	
   

  	
   

  	
   

  	
   

  
	
  General

  	
   

  	
   

  	
   

  	
   

  
	
  Tel/Data equipment, wiring & outlets

  	
   

  	
   

  	
   

  	
  X

  
	
  Card Access/Security

  	
   

  	
   

  	
   

  	
  X

  
	
  Audio Visual equipment, wiring and outlets

  	
   

  	
   

  	
   

  	
  X

  
	
  Raceways/Power for items noted above

  	
   

  	
  X

  	
   

  	
   

  
	
  Kitchen Millwork and Sinks

  	
   

  	
  X

  	
   

  	
   

  
	
  Built-in millwork at Mail, Copy, Storage and Board
  Room

  	
   

  	
  X

  	
   

  	
   

  
	
  Lockers at 2nd floor Locker Room

  	
   

  	
   

  	
   

  	
  X

  
	
  Design of Bldg. Electrical service upgrade

  	
   

  	
   

  	
   

  	
  X

  
	
  Install electrical service upgrades (equip.
  provided by Utility Co.)

  	
   

  	
  X

  	
   

  	
   

  
	
  HVAC units for Dryrooms [**]

  	
   

  	
   

  	
   

  	
  X

  
	
  Utilities to Dryroom HVAC units

  	
   

  	
  X

  	
   

  	
   

  
	
  Rigging/Installation of HVAC units for Dryrooms

  	
   

  	
  X

  	
   

  	
   

  
	
  Roof-top dunnage required for Dryroom HVAC units

  	
   

  	
  X

  	
   

  	
   

  
	
  Ductwork between Dryroom HVAC units and Dryrooms

  	
   

  	
   

  	
   

  	
  X

  
	
  Structural modifications (shafts/dunnage) req’d
  for utilities and Tenant Equipment

  	
   

  	
  X

  	
   

  	
   

  
	
  Dedicated Lab Waste drainage system equipment

  	
   

  	
   

  	
   

  	
  X

  
	
  Piping/Storage tank associated with Lab waste
  drainage system

  	
   

  	
  X

  	
   

  	
   

  
	
  Safety Showers (if req’d) and Eye Wash Stations

  	
   

  	
  X

  	
   

  	
   

  
	
  FF&E

  	
   

  	
   

  	
   

  	
   

  
	
  Kitchen appliances and/or Vending Machines

  	
   

  	
   

  	
   

  	
  X

  
	
  Lab Benches/Fume Hoods

  	
   

  	
   

  	
   

  	
  X

  
	
  Lab Equipment

  	
   

  	
   

  	
   

  	
  X

  
	
  Disconnect/Rigging/Transport of Lab Equipment from
  Watertown to Waltham

  	
   

  	
   

  	
   

  	
  X

  
	
  Utilities (“laterals”) to Lab Benches, Fume Hoods
  and Equipment (within 5’)

  	
   

  	
  X

  	
   

  	
   

  
	
  Final utility connections to Lab Benches/Fume
  Hoods

  	
   

  	
  X

  	
   

  	
   

  
	
  Final utility connections to Lab Equipment
  relocated from Watertown

  	
   

  	
  X

  	
   

  	
   

  
	
  Final utility connections to new Lab Equipment

  	
   

  	
   

  	
   

  	
  X

  
	
  Workstation Furniture and Conference
  Room tables/chairs

  	
   

  	
   

  	
   

  	
  X

  

 

1

 

	
  Scope of Work

  	
   

  	
  Landlord Contractor

  	
   

  	
  Tenant Contractor

  
	
  Power for workstation furniture to junction box
  below floor

  	
   

  	
  X

  	
   

  	
   

  
	
  Wire workstation “whips” (provided by Tenant
  Contractor) to junction boxes

  	
   

  	
  X

  	
   

  	
   

  
	
  Final power and tel/data connections at
  workstation furniture

  	
   

  	
   

  	
   

  	
  X

  
	
  Start-up & Commissioning of Lab Equipment

  	
   

  	
   

  	
   

  	
  X

  
	
  1st Floor

  	
   

  	
   

  	
   

  	
   

  
	
  Removable façade panels (design TBD) for Equip.
  delivery

  	
   

  	
  X

  	
   

  	
   

  
	
  Interior fit-out of [**] including:

  	
   

  	
   

  	
   

  	
   

  
	
  Perimeter walls (including viewing windows)

  	
   

  	
   

  	
   

  	
  X

  
	
  Flooring

  	
   

  	
  X

  	
   

  	
   

  
	
  Ceilings

  	
   

  	
   

  	
   

  	
  X

  
	
  Doors

  	
   

  	
   

  	
   

  	
  X

  
	
  Gowning Vestibule

  	
   

  	
   

  	
   

  	
  X

  
	
  Fire Protection System (wet)

  	
   

  	
  X

  	
   

  	
   

  
	
  Lighting

  	
   

  	
  X

  	
   

  	
   

  
	
  Life Safety (exit signs) devices

  	
   

  	
  X

  	
   

  	
   

  
	
  Utilities (“Mains”) to within 5’ of room perimeter

  	
   

  	
  X

  	
   

  	
   

  
	
  Utilities (“Laterals”) within Dryroom

  	
   

  	
  X

  	
   

  	
   

  
	
  Underground utilities (drainage) stubbed through
  floor

  	
   

  	
  X

  	
   

  	
   

  
	
  Trenching/repair for underground utilities

  	
   

  	
  X

  	
   

  	
   

  
	
  Interior fit-out (floors, walls, ceilings, doors,
  MEPFP) of the following rooms:

  	
   

  	
   

  	
   

  	
   

  
	
  Tech Area

  	
   

  	
  X

  	
   

  	
   

  
	
  Mtg/Conference Rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  Machine Room

  	
   

  	
  X

  	
   

  	
   

  
	
  R&D Active Powder

  	
   

  	
  X

  	
   

  	
   

  
	
  R&D Wet Storage

  	
   

  	
  X

  	
   

  	
   

  
	
  In/Out Quality Check

  	
   

  	
  X

  	
   

  	
   

  
	
  Stock Storage

  	
   

  	
  X

  	
   

  	
   

  
	
  Chemical Storage

  	
   

  	
  X

  	
   

  	
   

  
	
  Chemical Waste

  	
   

  	
  X

  	
   

  	
   

  
	
  Clean Viewing Corridors

  	
   

  	
  X

  	
   

  	
   

  
	
  Cathode and Anode Mixing

  	
   

  	
  X

  	
   

  	
   

  
	
  Cell Testing

  	
   

  	
  X

  	
   

  	
   

  
	
  Unisex Toilet room

  	
   

  	
  X

  	
   

  	
   

  
	
  Reception

  	
   

  	
  X

  	
   

  	
   

  
	
  Locker Room

  	
   

  	
  X

  	
   

  	
   

  

 

2

 

	
  Scope of Work

  	
   

  	
  Landlord Contractor

  	
   

  	
  Tenant Contractor

  
	
  Misc. mechanical/electrical/storage rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  Specialty HVAC or Exhaust for above rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  Exterior Fencing for equipment enclosure (if
  required)

  	
   

  	
  X

  	
   

  	
   

  
	
  Exterior equipment/storage tanks (if required)

  	
   

  	
   

  	
   

  	
  X

  
	
  Sitework/Landscape at exterior equipment enclosure

  	
   

  	
  X

  	
   

  	
   

  
	
  Reconfigure existing elevator machine room

  	
   

  	
  X

  	
   

  	
   

  
	
  2nd Floor

  	
   

  	
   

  	
   

  	
   

  
	
  Interior fit-out of [**] including:

  	
   

  	
   

  	
   

  	
   

  
	
  Perimeter walls (including viewing windows)

  	
   

  	
   

  	
   

  	
  X

  
	
  Flooring

  	
   

  	
  X

  	
   

  	
   

  
	
  Ceilings

  	
   

  	
   

  	
   

  	
  X

  
	
  Doors

  	
   

  	
   

  	
   

  	
  X

  
	
  Gowning Vestibule

  	
   

  	
   

  	
   

  	
  X

  
	
  Fire Protection System (dry system with preaction)

  	
   

  	
  X

  	
   

  	
   

  
	
  Ceiling-mounted lighting

  	
   

  	
  X

  	
   

  	
   

  
	
  Life Safety (exit signs) devices

  	
   

  	
  X

  	
   

  	
   

  
	
  Utilities (“Mains”) to within 5’ of room perimeter

  	
   

  	
  X

  	
   

  	
   

  
	
  Utilities (“Laterals”) within Dryroom

  	
   

  	
  X

  	
   

  	
   

  
	
  Interior fit-out of [**] including:

  	
   

  	
   

  	
   

  	
   

  
	
  Perimeter walls (including viewing windows)

  	
   

  	
   

  	
   

  	
  X

  
	
  Flooring

  	
   

  	
  X

  	
   

  	
   

  
	
  Ceilings

  	
   

  	
   

  	
   

  	
  X

  
	
  Doors

  	
   

  	
   

  	
   

  	
  X

  
	
  Gowning Vestibule

  	
   

  	
   

  	
   

  	
  X

  
	
  Fire Protection System (dry system with preaction)

  	
   

  	
  X

  	
   

  	
   

  
	
  Ceiling-mounted lighting

  	
   

  	
  X

  	
   

  	
   

  
	
  Life Safety (exit signs) devices

  	
   

  	
  X

  	
   

  	
   

  
	
  Utilities (“Mains”) to within 5’ of room perimeter

  	
   

  	
  X

  	
   

  	
   

  
	
  Utilities (“Laterals”) within Dryroom

  	
   

  	
  X

  	
   

  	
   

  
	
  Interior fit-out (floors, walls, ceilings, doors,
  MEPFP) of the following rooms:

  	
   

  	
   

  	
   

  	
   

  
	
  Techs Touchdown

  	
   

  	
  X

  	
   

  	
   

  
	
  Conference Rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  R&D Staff and Expansion Space

  	
   

  	
  X

  	
   

  	
   

  
	
  Shared Labs

  	
   

  	
  X

  	
   

  	
   

  
	
  CPG Lab

  	
   

  	
  X

  	
   

  	
   

  
	
  Misc. Safety and Abuse rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  Misc. mechanical/electrical/storage rooms

  	
   

  	
  X

  	
   

  	
   

  

 

3

 

	
  Scope of Work

  	
   

  	
  Landlord Contractor

  	
   

  	
  Tenant Contractor

  
	
  Kitchen/Copy Rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  3rd Floor

  	
   

  	
   

  	
   

  	
   

  
	
  Interior fit-out (floors, walls, ceilings, doors,
  MEPFP) of the following rooms:

  	
   

  	
   

  	
   

  	
   

  
	
  Board Room

  	
   

  	
  X

  	
   

  	
   

  
	
  Mail/Copy/Supply

  	
   

  	
  X

  	
   

  	
   

  
	
  Conference Rooms and Interview Room

  	
   

  	
  X

  	
   

  	
   

  
	
  Reception

  	
   

  	
  X

  	
   

  	
   

  
	
  General Office space for workstations

  	
   

  	
  X

  	
   

  	
   

  
	
  Kitchens

  	
   

  	
  X

  	
   

  	
   

  
	
  Misc. mechanical/electrical/storage rooms

  	
   

  	
  X

  	
   

  	
   

  
	
  Server Room (including any supplemental
  cooling)

  	
   

  	
  X

  	
   

  	
   

  
	
  Lactation Room

  	
   

  	
  X

  	
   

  	
   

  
	
  Reception Desk and Display millwork

  	
   

  	
  X

  	
   

  	
   

  

 

4

 

EXHIBIT B-4

 

TENANT PLAN AND WORKING DRAWING REQUIREMENTS

 

1.                                       Floor plan
indicating location of partitions and doors (details required of partition and
door types).

 

2.                                       Location of
standard electrical convenience outlets and telephone outlets, excepting any
such outlets existing as of the date of the Lease which are not being
relocated.

 

3.                                       Location and
details of special electrical outlets, including voltage, amperage, phase and
NEMA configuration of outlets.

 

4.                                       Reflected
ceiling plan showing layout of standard ceiling and lighting fixtures.
Partitions to be shown lightly with switches located indicating fixtures to be
controlled.

 

5.                                       Locations and
details of special ceiling conditions, lighting fixtures, speakers, etc.

 

6.                                       Location and
heat load in BTU/Hr. of all special air conditioning and ventilating and
exhaust requirements and all necessary HVAC mechanical drawings.

 

7.                                       Location and
details of special structural requirements, e.g., slab penetrations and areas
with floor loadings exceeding a live load of 70 lbs./s.f.

 

8.                                       Locations and
details of all plumbing fixtures; sinks, drinking fountains, etc.

 

9.                                       Location and
specifications of floor coverings, e.g., vinyl tile, carpet, ceramic
tile, etc.

 

10.                                 Finish schedule
plan indicating wall covering, paint or paneling with paint colors referenced
to standard color system.

 

11.                                 Details and
specifications of special millwork, glass partitions, rolling doors and
grilles, blackboards, shelves, tenant-furnished equipment, etc.

 

12.                                 Hardware
schedule indicating door number keyed to plan, size, hardware required
including butts, latchsets or locksets, closures, stops, and any special items
such as thresholds, soundproofing, etc. Keying schedule is required;
provided, however, that such schedule shall not include keys to doors providing
access to portions of the Premises which Tenant, in Tenant’s sole discretion,
deems to require heightened security.

 

13.                                 Verified
dimensions of all built-in equipment (file cabinets, lockers, plan
files, etc.).

 

14.                                 Location of any
special soundproofing requirements.

 

15.                                 MEP/FP drawings
by an engineer licensed by the Commonwealth of Massachusetts.

 

1

 

16.                                 All drawings to
be uniform size (30” X 42”) and shall incorporate the standard project
electrical and plumbing symbols and be at a scale of 1/8” = 1’ or larger.

 

17.                                 Drawing submittal
shall include the appropriate quantity required for Landlord to file for permit
along with four half size sets and one full size set for Landlord’s review and
use.

 

18.                                 Provide other
information reasonably necessary to obtain all permits and approvals for the
performance of Landlord’s Work.

 

19.                                 Upon completion
of the work, Tenant shall provide Landlord with two hard copies and one
electronic CAD file of updated architectural and mechanical drawings to reflect
all project sketches and changes.

 

20.                                 All
requirements of this Exhibit B-4 are applicable only for areas where
renovation or reconfiguration is intended.

 

21.                                 Identification
of base building impacts, including without limitation:

 

·                  Steel/heavy loads.

·                  Existing air-handling units.

·                  Roof details.

·                  Shafts on floors outside of the Premises.

·                  Increased electrical service.

 

2

 

EXHIBIT B-5

 

CONSTRUCTION MANAGEMENT SERVICES

 

Preconstruction Phase

 

Landlord
will:

 

1.                                       At the outset
of the Project, Landlord will review the existing programming and participate
in the start of the design work.  Advise
the Tenant as to whether any aspect of the work should be modified, with
particular attention paid to the proposed lease provisions.  In addition, Landlord will advise Tenant as
to sustainable constructions operations and practices.

 

2.                                       Develop and
distribute the General Contractor RFP (which RFP shall include requirements for
sustainable construction operations and practices) and then recommend the
General Contractor selection.

 

3.                                       Develop and
execute contracts with General Contractor and appropriate vendors.

 

4.                                       Develop a
comprehensive budget for the Tenant and provide budget feedback for project
design decisions with the input of the selected General Contractor.

 

5.                                       Develop a
Project Schedule, which coordinates all the elements of the architectural team,
the Contractor and Tenant activities. Permitting activities and
responsibilities shall be included in the Project Schedule.

 

6.                                       Be available to
assist Tenant in various meetings and presentations.

 

7.                                       Work with the
Architect to include the necessary technical detail and specification language
in plans being prepared by the Architect in order to avoid claims and changes.

 

8.                                       Work with the
Architect and Tenant’s other consultants (i.e., IT, FF&E, Security,
A/V, etc.) to include necessary technical detail and specification
language in plans being coordinated by the Architect.

 

9.                                       Participate in
cost reduction and value engineering processes, in conjunction with Tenant, the
Architect and design team (i.e., IT, FF&E, Security, A/V, etc.).

 

10.                                 Coordinate with
Tenant’s specialty contractors (Dry Rooms, etc.) in accordance with the
terms and provisions of Exhibit B-1 to the Lease regarding the delivery
and installation of items for which Tenant is responsible under
Exhibit B-3 to the Lease.

 

1

 

Construction Phase

 

Landlord
will:

 

1.                                       As an advisor
to, and a representative of Tenant, provide administrative, management and related
services as required to coordinate work of the entire team. Landlord will
concentrate its efforts in the coordination of the Contractor, Subcontractor
(s) and all other consultants contracted to perform services on the
Project in order to complete the project in accordance with Tenant’s objectives
for cost, time and quality.

 

2.                                       Assist Tenant’s
specialty vendors/contractors in coordinating with the Contractor to provide
access to the Premises for the delivery and installation of equipment and
components.  Provide necessary assistance
and delivery of infrastructure in accordance with the terms and provisions of
Exhibit B-1 to the Lease to support the assembly, installation and
completion of the specialty work by Tenant’s contractors/vendors.

 

3.                                       Assist Tenant,
Contractor and Architect in development of a schedule of values for payment
that is realistic and in conformance with the expected cash flow of work.

 

4.                                       Schedule and
conduct regular construction and progress meeting to discuss such matters as
procedures, progress problems, and scheduling. Prepare and distribute the
Action Items List of these meetings to all parties in a prompt manner. The
Contractor shall prepare meeting minutes for weekly construction progress
meetings.

 

5.                                       Develop and
maintain a Project Construction Schedule that incorporates the Construction
Schedule prepared by the Contractor. Update monthly to show current conditions
and revisions required due to actual progress. Monitor the activities of the
Contractor, Subcontractor (s) and consultants on processing of shop
drawings, project data and samples, and delivery of products requiring long
lead time procurement.

 

6.                                       Expedite and
participate in Tenant’s review of project submittals when the Architect
requests such review.

 

7.                                       Oversee the
Contractor and the Architect in the process of (i) issuing Requests for
Information (RFIs) and associated documentation (sketches, etc.) and
(ii) maintaining an RFI log to track and record responses.

 

8.                                       Endeavor to
obtain satisfactory performance from the Contractor and each
Subcontractor.  Recommend courses of
action to Tenant when the requirements of the contract are not being fulfilled
and the non-performing party will not take satisfactory corrective action.

 

9.                                       Provide regular
monitoring of all Project costs, showing actual costs for activities in
progress and estimates for unaccomplished tasks. Identify variances between
actual costs of labor and materials and other work requiring accounting
records, such as preliminary change order requests.

 

2

 

10.                                 Advise Tenant
of necessary or desirable changes to the Project, assist in negotiation of the
Contractor’s proposals for these changes, submit recommendations of the
Architect and Tenant, and, if accepted, prepare or cause the Contractor to
prepare change orders for the Architect’s approval and Tenant’s authorization.
Establish and implement a change order system to monitor and report job cost
events, including approved change orders, pending change orders and anticipated
change orders. Establish a time line for the change order process that does not
interfere with the progress of the work and coordinate with Lease requirements.

 

11.                                 Develop and
implement procedures for prompt review and processing of applications for
payment from the Contractor for progress and final payments. Make
recommendations to Tenant for payment(s). Provide review and certification in
connection with the Contractor’s monthly application for payment and coordinate
with Lease requirements.

 

12.                                 Review the
activities and responsibilities of the Contractor in order to assist in
maintaining schedules, controlling costs, assuring quality, minimizing
disruption, monitoring compliance with the various contract requirements.

 

13.                                 Keep Tenant advised
on an on-going basis of all significant Project developments, including
conditions and circumstances that may cause delay in the Project Schedule or
that otherwise may be inconsistent with the Project requirements or Tenant’s
expectations. In these cases, provide Tenant with a proposed contingency to
avoid or mitigate possible or actual delays or negative consequences.

 

14.                                 Assist Tenant
in selecting and retaining professional services of testing laboratories, as
required. Coordinate their services.

 

15.                                 Review and
coordinate quality assurance, testing and inspection programs. Develop and
implement procedures for consistent feedback to the Contractor and
Subcontractor(s) of observations and recommendations of the Architect.

 

16.                                 Monitor the
proper record keeping of all types by the Contractor, including progress
prints, manuals, samples, cut sheets, handbooks, etc. related to the
quality and nature of the construction in progress.  Insure that the same are being maintained on
the job site for the use of the Architect and Tenant.

 

17.                                 Assist in
developing, in conjunction with the Architect, a punch list of those items
remaining to be completed at the time of Substantial Completion. Recommend an
amount sufficient to complete these items to be withheld from payment to the
Contractor to ensure the completion of this punch list and follow up with
corrective actions.

 

18.                                 At the
conclusion of the Project, and after a Certificate of Substantial Completion
and an Occupancy Permit are issued by the appropriate authorities, coordinate
the transfer to Tenant of all as-built drawings, warranties, O&M manuals
and all other construction related documents and all materials necessary for
occupancy and full operation of the facility. Coordinate any training to be provided
by the Contractor to Tenant’s employees.

 

3

 

 

EXHIBIT B-6

 

TENANT’S DRY ROOM

 

[see attached]

 

[**]

 

A total of two pages were omitted and filed separately with the
Securities and Exchange Commission pursuant to a request for confidential
treatment. 

 

1

 

EXHIBIT C

 

LANDLORD’S SERVICES

 

I.              CLEANING

 

Cleaning
and janitorial services shall be provided as needed Monday through Friday,
exclusive of holidays observed by the cleaning company and Saturdays and
Sundays.

 

A.            OFFICE AREAS

 

Cleaning
and janitorial services to be provided in the office areas shall include:

 

1.             Vacuuming, damp mopping of
resilient floors and trash removal.

 

2.             Dusting of horizontal
surfaces within normal reach (tenant equipment to remain in place).

 

3.             High dusting and dusting of
vertical blinds to be rendered as needed.

 

B.            LAVATORIES

 

Cleaning
and janitorial services to be provided in the common area lavatories of the
building shall include:

 

1.             Dusting, damp mopping of
resilient floors, trash removal, sanitizing of basins, bowls and urinals as
well as cleaning of mirrors and bright work.

 

2.             Refilling of soap, towel,
tissue and sanitary dispensers to be rendered as necessary.

 

3.             High dusting to be rendered
as needed.

 

C.            MAIN LOBBIES, ELEVATORS,
STAIRWELLS AND COMMON CORRIDORS

 

Cleaning
and janitorial services to be provided in the common areas of the building
shall include:

 

1.             Trash removal, vacuuming,
dusting and damp mopping of resilient floors and cleaning and sanitizing of
water fountains.

 

2.             High dusting to be rendered
as needed.

 

1

 

D.            WINDOW CLEANING

 

All
exterior windows shall be washed on the inside and outside surfaces at
frequency necessary to maintain a first class appearance.

 

II.            HVAC

 

A.            Heating, ventilating and air
conditioning equipment will be provided with sufficient capacity to accommodate
a maximum population density of one (1) person per one hundred fifty (150)
square feet of useable floor area served, and a combined lighting and standard
electrical load of 3.0 watts per square foot of useable floor area. In the
event Tenant introduces into the Premises personnel or equipment which
overloads the system’s ability to adequately perform its proper functions,
Landlord shall so notify Tenant in writing and supplementary system(s) may
be required and installed by Landlord at Tenant’s expense, if within fifteen
(15) days Tenant has not modified its use so as not to cause such overload.

 

Operating
criteria of the basic system are in accordance with the Massachusetts Energy
Code and shall not be less than the following:

 

(i)            Cooling season indoor temperatures of not in excess
of 73 - 79 degrees Fahrenheit when outdoor temperatures are 91 degrees
Fahrenheit ambient.

 

(ii)           Heating season minimum room temperature of 68 - 75
degrees Fahrenheit when outdoor temperatures are 6 degrees Fahrenheit ambient.

 

B.            Landlord shall provide
heating, ventilating and air conditioning as normal seasonal changes may
require during the hours of 8:00 a.m. to 6:00 p.m., Monday through
Friday (legal holidays in all cases excepted).

 

If
Tenant shall require air conditioning (during the air conditioning season) or
heating or ventilating during any other time period, Landlord shall use
landlord’s best efforts to furnish such services for the area or areas
specified by written request of Tenant delivered to the Building Superintendent
or the Landlord before 3:00 p.m. of the business day preceding the extra
usage. Landlord shall charge Tenant for such extra-hours usage at reasonable
rates customary for first-class office buildings in the Boston Suburban market,
and Tenant shall pay Landlord, as additional rent, upon receipt of billing
therefor.

 

III.           ELECTRICAL SERVICES

 

A.            Landlord shall provide
electric power for a combined load of 3.0 watts per square foot of useable area
for lighting and for office machines through standard receptacles for the
typical office space.

 

2

 

B.            In the event that Tenant has
special equipment (such as computers and reproduction equipment) that requires
either 3-phase electric power or any voltage other than 120 volts, or for any
other usage in excess of 3.0 watts per square foot, Landlord may at its option
require the installation of separate metering (Tenant being solely responsible
for the costs of any such separate meter and the installation thereof) and
direct billing to Tenant for the electric power required for any such special
equipment.

 

C.            Landlord will furnish and
install, at Tenant’s expense, all replacement lighting tubes, lamps and
ballasts required by Tenant. Landlord will clean lighting fixtures on a
regularly scheduled basis at Tenant’s expense.

 

IV.           ELEVATORS

 

Provide
passenger elevator service.

 

V.            WATER

 

Provide
hot water for lavatory purposes and cold water for drinking, lavatory and
toilet purposes.

 

VI.           CARD ACCESS SYSTEM

 

Landlord
will provide a card access system at one entry door of the building.

 

3

 

EXHIBIT D

 

BUILDING SIGNAGE AND MONUMENT SIGNAGE

 

 

1

 

 

EXHIBIT E

 

FLOOR PLANS

 

1

 

 

2

 

 

3

 

 

4

 

 

EXHIBIT F

 

THIRD FLOOR EXPANSION PREMISES AND 

EAST WING EXPANSION PREMISES

 

1

 

 

1

 

 

2

 

EXHIBIT G

 

DECLARATION AFFIXING THE COMMENCEMENT

DATE OF LEASE

 

THIS
AGREEMENT made this          day of
                              ,
2010, by and between BOSTON PROPERTIES
LIMITED PARTNERSHIP (hereinafter “Landlord”) and A123 SYSTEMS, INC. (hereinafter “Tenant”).

 

W I T N E S S E T H T H A T:

 

1.             This Agreement is made pursuant to
Section 3.1 of that certain Lease dated [date], between Landlord and Tenant (the “Lease”).

 

2.             It is hereby stipulated that the
Lease Term commenced on [commencement
date], (being the “Commencement Date” under the Lease), and
shall end and expire on [expiration
date], unless sooner terminated or extended, as provided for in
the Lease.

 

WITNESS
the execution hereof under seal by persons hereunto duly authorized, the date
first above written.

 

	
   

  	
   

  	
  LANDLORD:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  BOSTON
  PROPERTIES LIMITED PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Boston
  Properties, Inc., its general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  TENANT:

  
	
   

  	
   

  	
   

  
	
  ATTEST:

  	
   

  	
  A123
  SYSTEMS, INC.

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
  By:

  	
   

  
	
  Name:

  	
   

  	
   

  	
  Name:

  	
   

  
	
  Title:

  	
  Secretary
  or Assistant Secretary

  	
   

  	
  Title:

  	
  President
  or Vice President

  
	
   

  	
   

  	
   

  	
  Hereunto
  duly authorized

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
  Treasurer
  or Assistant Treasurer

  
	
   

  	
   

  	
   

  	
  Hereunto
  duly authorized

  
							

 

1

 

EXHIBIT H

 

BROKER DETERMINATION OF PREVAILING MARKET RENT

 

Where
in the Lease to which this Exhibit is attached provision is made for a
Broker Determination of Prevailing Market Rent, the following procedures and
requirements shall apply:

 

1.             Tenant’s Request.  Tenant shall send a notice to Landlord by the
time set for such notice in the applicable section of the Lease, requesting a
Broker Determination of the Prevailing Market Rent, which notice to be
effective must (i) make explicit reference to the Lease and to the
specific section of the Lease pursuant to which said request is being made,
(ii) include the name of a broker selected by Tenant to act for Tenant,
which broker shall be affiliated with a major commercial real estate brokerage
firm selected by Tenant and which broker shall have at least ten
(10) years experience dealing in properties of a nature and type generally
similar to the Building located in the Central Suburban 128 Market, and
(iii) explicitly state that Landlord is required to notify Tenant within
thirty (30) days of an additional broker selected by Landlord.

 

2.             Landlord’s Response.  Within thirty (30) days after Landlord’s
receipt of Tenant’s notice requesting the Broker Determination and stating the
name of the broker selected by Tenant, Landlord shall give written notice to
Tenant of Landlord’s selection of a broker having at least the affiliation and
experience referred to above.

 

3.             Selection of Third Broker.  Within ten (10) days thereafter the two
(2) brokers so selected shall select a third such broker (the “Third
Broker”) also having at least the affiliation and experience referred to above,
provided, as a further qualification, that the Third Broker shall not be an
individual who is then under contract to represent either Landlord or Tenant.

 

4.             Rental Value Determination.  Within thirty (30) days after the selection
of the Third Broker, the three (3) brokers so selected, by majority
opinion, shall make a determination of the annual fair market rental value of
the Premises for the period referred to in the Lease. Such annual fair market
rental value determination (i) shall require rent to commence upon the
commencement of the period in question, and may include provision for annual
increases in rent during said term if so determined, (ii) shall take into
account the as-is condition of the Premises and the amount, if any, that
Landlord will be making available to Tenant as a leasehold improvements
allowance, as specified in Landlord’s rent quotation as set forth in the Lease,
(iii) shall take account of, and be expressed in relation to, the
applicable tax and operating cost bases expressly set forth in the Lease and
provisions for paying for so-called tenant electricity as contained in the
Lease and (iv) shall take into account all relevant factors as determined
by the brokers. The brokers shall advise Landlord and Tenant in writing by the
expiration of said thirty (30) day period of the annual fair market rental
value which as so determined shall be referred to as the Prevailing Market
Rent.

 

1

 

5.             Resolution of Broker
Deadlock.  If the
Brokers are unable by the expiration of such thirty (30) day period to agree at
least by majority on a determination of annual fair market rental value, then
the brokers designated by Landlord and Tenant shall submit their individual
determinations of fair market rental value to the Third Broker within five
(5) days after the expiration of such thirty (30) day period and the Third
Broker shall select from these two individual determinations the one closest to
the Third Broker’s own individual determination of fair market rental value,
and the determination so selected shall constitute and be referred to as the
Prevailing Market Rent.

 

6.             Costs.  Each party shall pay the costs and expenses
of the broker selected by it and each shall pay one half (1/2) of the costs and
expenses of the Third Broker.

 

7.             Failure to Select Broker or
Failure of Broker to Serve.  If Tenant shall have requested a Broker
Determination and Landlord shall not have designated a broker within the time
period provided therefor above, then Tenant’s Broker shall alone make the
determination of Prevailing Market Rent in writing to Landlord and Tenant
within thirty (30) days after the expiration of Landlord’s right to designate a
broker hereunder. If Tenant and Landlord have both designated brokers but the
two brokers so designated do not, within a period of fifteen (15) days after
the appointment of the second broker, agree upon and designate the Third Broker
willing so to act, the Tenant, the Landlord or either broker previously
designated may request the Boston Bar Association (or such organization as may
succeed to the Boston Bar Association) to designate the Third Broker willing so
to act and a broker so appointed shall, for all purposes, have the same
standing and powers as though he had been seasonably appointed by the brokers
first appointed. In case of the inability or refusal to serve of any person
designated as a broker, or in case any broker for any reason ceases to be such,
a broker to fill such vacancy shall be appointed by the Tenant, the Landlord,
the brokers first appointed or the Boston Bar Association as the case may be,
whichever made the original appointment, or if the person who made the original
appointment fails to fill such vacancy, upon application of any broker who
continues to act or by the Landlord or Tenant such vacancy may be filled by the
Boston Bar Association and any broker so appointed to fill such vacancy shall have
the same standing and powers as though originally appointed.

 

2

 

EXHIBIT I

 

FORM OF LETTER OF CREDIT

 

	
  BENEFICIARY:

  	
  ISSUANCE
  DATE:

  
	
   

  	
   

  
	
   

  	
                          20     

  
	
   

  	
   

  
	
   

  	
  IRREVOCABLE
  STANDBY LETTER OF CREDIT NO.

  
	
   

  	
   

  
	
  APPLICANT:

  	
  MAXIMUM/AGGREGATE
  CREDIT AMOUNT: US$

  
	
   

  	
  USD:

  

 

LADIES
AND GENTLEMEN:

 

We
hereby establish our irrevocable letter of credit in your favor for account of
the applicant up to an aggregate amount not to exceed
                                            
and     /100 US Dollars (US
$                                              )
available by your draft(s) drawn on ourselves at sight accompanied by:

 

Your
statement, signed by a purportedly authorized officer/official certifying that
the Beneficiary is entitled to draw upon this Letter of Credit (in the amount
of the draft submitted herewith) pursuant to the Lease (the “Lease”) dated
                              
by and between                             ,
as Landlord, and
                                        ,
as Tenant, together with the original copy of this Letter of Credit and any
amendments thereto which have been accepted by you.

 

Draft(s) must
indicate name and issuing bank and credit number and must be presented at this
office.

 

You
shall have the right to make partial draws against this Letter of Credit, from
time to time.

 

This
Letter of Credit shall expire at our office on
              
        , 200   (the “Stated
Expiration Date”). It is a condition of this Letter of Credit that the Stated
Expiration Date shall be deemed automatically extended without amendment for
successive one (1) year period s from such Stated Expiration Date, unless at
least forty-five (45) days prior to such Stated Expiration Date ) (or any
anniversary thereof) we shall send you written notice at the address specified
in this Letter of Credit (or at such other address of which you may have
notified us in writing) and the Applicant in writing by registered mail (return
receipt) or overnight courier that we elect not to consider this Letter of
Credit extended for any such additional one (1) year period.

 

1

 

This
Letter of Credit is transferable at any time and from time to time without cost
to Beneficiary. JP Morgan Chase Bank only is authorized to act as the
Transferring Bank. We shall not recognize any transfer of this Letter of Credit
until this original Letter of Credit together with any amendments and a signed
and completed transfer form, attached hereto, is received by us. The
correctness of the signature and title of the person signing the transfer forms
must be verified by Beneficiary’s bank. In case of any transfer of this Letter
of Credit, the draft and any required statement must be executed by the
Transferee. This Letter of Credit may not be transferred to any person with
which U.S. persons are prohibited from doing business under U.S. Foreign assets
control regulations or other applicable U.S. Laws and Regulations.

 

Our
customary and reasonable charges to transfer this Letter of Credit shall be for
the Applicant’s account.

 

Except
as otherwise expressly stated herein, this Letter of Credit is subject to the “International
Standby Practice, International Chamber of Commerce, Publication No. 590.”

 

This
Letter of Credit shall be governed by, and construed in accordance with the
laws of the state of New York, without regard to principles of conflict of
laws.

 

2

 

EXHIBIT J

 

FORM OF NOTICE OF LEASE

 

NOTICE OF LEASE

 

Pursuant
to Section 4 of Chapter 183 of the General Laws of Massachusetts, as
amended, notice is hereby given of the following described lease (the “Lease”).
Capitalized terms used, but not defined, in this Notice of Lease shall have the
respective meanings given to them in the Lease.

 

	
  LANDLORD:

  	
   

  	
  Boston
  Properties Limited Partnership, a Delaware limited partnership

  
	
   

  	
   

  	
   

  
	
  TENANT:

  	
   

  	
  A123
  Systems, Inc., a
                      
  corporation

  
	
   

  	
   

  	
   

  
	
  LEASE
  EXECUTION DATE:

  	
   

  	
                                         ,
  2010

  
	
   

  	
   

  	
   

  
	
  PREMISES
  AND EXPANSION PREMISES:

  	
   

  	
  The
  Initial Premises consists of a portion of the first (1st), second (2nd) and
  third (3rd) floors of the Building, comprising 87,924 rentable square feet,
  in accordance with the floor plans annexed to the Lease as Exhibit E and
  incorporated therein by reference, as further defined and limited in
  Section 2.1 of the Lease. The Building is known as and numbered 200 West
  Street and is situated on that certain parcel of land located in Waltham,
  Middlesex County, Massachusetts, being more particularly described in
  Exhibit A attached hereto (the “Site”).

  
	
   

  	
   

  	
   

  
	
  TERM:

  	
   

  	
  The
  period commencing on the Commencement Date (as defined in the Lease) and
  ending on the last day of the one hundred twentieth (120th) full calendar
  month immediately following the Commencement Date.

  
	
   

  	
   

  	
   

  
	
  TENANT’S
  EXTENSION OPTIONS:

  	
   

  	
  Tenant
  has the right to extend the term of the Lease for one (1) period of five
  (5) years, as provided in and on the terms set forth in Section 3.2 of
  the Lease.

  

 

1

 

	
  TENANT’S
  EXPANSION OPTIONS:

  	
   

  	
  As
  more particularly described in, and subject to the terms of, the Lease,
  Tenant shall have the right to expand into certain space located on the third
  (3rd) and fourth (4th) floors of the east wing of the Building.

  
	
   

  	
   

  	
   

  
	
  TENANT’S
  RIGHT OF FIRST OFFER:

  	
   

  	
  As
  more particularly described in, and subject to the terms of, the Lease, prior
  to accepting any offer to lease Available ROFO Space to a third party other
  than a third party with Prior Rights, Landlord will first offer such
  available ROFO Space to Tenant. Available ROFO Space consists of any office
  space in the Building, which, from time to time during the Lease Term,
  becomes “available for reletting”, as further defined in the Lease.

  

 

This
Notice of Lease has been executed merely to give notice of the Lease, and all
of the terms, conditions and covenants thereof which are incorporated herein by
reference. The parties do not intend this Notice of Lease to modify or amend
the terms, conditions and covenants of the Lease.

 

[Signature Page Follows.]

 

2

 

EXECUTED
UNDER SEAL as of the date first above-written.

 

 

	
   

  	
  LANDLORD:

  
	
   

  	
   

  
	
   

  	
  BOSTON
  PROPERTIES LIMITED PARTNERSHIP

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Boston
  Properties, Inc.,

  
	
   

  	
   

  	
  its
  general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  TENANT:

  
	
   

  	
   

  
	
   

  	
  A123
  SYSTEMS, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
  President
  or Vice President

  
	
   

  	
   

  	
  Hereunto
  duly authorized

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
  Treasurer
  or Assistant Treasurer

  
	
   

  	
   

  	
  Hereunto
  duly authorized

  
	
   

  	
   

  

 

3

 

COMMONWEALTH OF MASSACHUSETTS

 

                           ,
ss.

 

On
this            day of
                      ,
2010, before me, the undersigned notary public, personally appeared
                              ,
proved to me through satisfactory evidence of identification, which was
                                      ,
to be the person whose name is signed on the preceding or attached document,
and acknowledged to me that he/she signed it voluntarily for its stated
purpose, as
                              
of A123 Systems, Inc.

 

	
   

  	
   

  
	
   

  	
  Notary
  Public

  
	
   

  	
  [Seal]

  

 

COMMONWEALTH OF MASSACHUSETTS

 

                                       ,
ss.

 

On
this            day of
                      ,
2010, before me, the undersigned notary public, personally appeared
                              ,
proved to me through satisfactory evidence of identification, which was
                                      ,
to be the person whose name is signed on the preceding or attached document,
and acknowledged to me that he/she signed it voluntarily for its stated
purpose, as
                              
of Boston Properties, Inc., the general partner of Boston Properties
Limited Partnership.

 

	
   

  	
   

  
	
   

  	
  Notary
  Public

  
	
   

  	
  [Seal]

  

 

4

 

EXHIBIT A TO NOTICE OF LEASE

 

DESCRIPTION OF SITE

 

A
certain parcel of land of West Street, Waltham, Middlesex County, as shown on a
plan entitled “Atwater Lane, A Subdivision in Waltham, MA, Middlesex County,
Lot Layout Plan,” dated July 22, 1988, recorded with Middlesex South
Registry of Deeds as Plan #6 of 1989 in Book 19575, Page 351, and shown
thereon as Lot A, containing 142,769± square feet, according to said plan, and
Lot B, containing 501,550± square feet, according to said plan, and the parcel
of land shown on said plan as Atwater Lane.

 

Said
Lots A and B consist of the following:

 

PARCEL
I:

 

A
certain parcel of land situate on First Avenue and West Street, Waltham, Middlesex
County, Massachusetts, and shown as Lots 13 and 14 on Plan entitled “Plan of
Land in Waltham, Mass.,” dated August 31, 1962, revised October 26,
1962 and October 30, 1962, by Raymond C. Pressey, Inc., Registered
Land Surveyors, recorded as Plan No. 10 of 1963 in Book 10196,
Page 40, bounded and described as follows:

 

	
  NORTHEASTERLY

  	
   

  	
  by
  the End of First Avenue by two lines measuring respectively forty-seven and
  50/100 feet and seven and 53/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHWESTERLY

  	
   

  	
  by
  other land of the Grantors herein three hundred eighty-seven and 17/100 feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  land now or formerly of United Electric Controls Company by two lines
  measuring respectively one hundred seventy and 51/100 feet and five hundred
  and twenty-one and 92/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHEASTERLY

  	
   

  	
  by
  the same by a curved line measuring seventy-six and 05/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHEASTERLY

  	
   

  	
  by
  the same by two lines measuring respectively one hundred forty-one and 17/100
  feet and one hundred seventy feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  West Street by two lines measuring respectively forty-five and 26/100 feet
  and eleven and 16/100 feet;

  

 

5

 

	
  SOUTHWESTERLY

  	
   

  	
  by
  the line between Weston and Waltham and land believed to be now or formerly
  of Ralph P. Hussey three hundred twenty-eight and 28/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  land of owners unknown one hundred four and 77/100 feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  the same forty-eight and 80/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHWESTERLY

  	
   

  	
  by
  said line between Weston and Waltham, and land believed to be now or formerly
  of said Hussey one hundred eighty-one and 61/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  land believed to be now of formerly of Frederick C. Dumaine Jr. and another
  one hundred seventeen and 30/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHWESTERLY

  	
   

  	
  by
  the same forty-four and 80/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHWESTERLY

  	
   

  	
  by
  said line between Weston and Waltham and other land of the Grantors herein
  one hundred fifty four feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHEASTERLY
  and EASTERLY

  	
   

  	
  by
  other land of the Grantors herein by two lines measuring respectively four
  hundred ten and 53/100 feet and seventy-three feet;

  
	
   

  	
   

  	
   

  
	
  NORTHERLY

  	
   

  	
  by
  land now or formerly of David Burstein et al., Trustees, one hundred sixteen
  and 14/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHEASTERLY

  	
   

  	
  by
  the same two hundred ninety-one and 99/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHEASTERLY

  	
   

  	
  by
  the same three hundred fifty-five and 99/100 feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHEASTERLY

  	
   

  	
  by
  the same five hundred forty-eight and 31/100 feet.

  

 

Containing
397,490 square feet of land, according to said plan.

 

PARCEL
II:

 

The
parcel of land on West Street, Waltham, Middlesex County, Massachusetts, shown
as Lot E containing 2.37 acres on a plan by Raymond C. Pressey, Inc.,
Registered Land Surveyors, dated 1 October 1965 recorded as Plan
No. 1339 of 1965 in Book 10961, Page 438, and bounded and described
according to said plan as follows:

 

6

 

	
  WESTERLY

  	
   

  	
  in
  a curved line by West Street two hundred twenty-one and 05/100 (221.05) feet;

  
	
   

  	
   

  	
   

  
	
  NORTHERLY

  	
   

  	
  by
  land of Leland L. Crowell and of Clifford Griggs, two hundred four and 98/100
  (204.98) feet, and by Lot “A” on Plan No. 1530 of 1960 (being the second
  parcel herein described) two hundred seventy-five and 40/100ths (275.40)
  feet;

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  Lot 13 on Plan 10 of 1963, Book 10196, Page 40, two hundred twenty-three
  (223) feet; and

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  Lot D, being remaining land of the Grantor, four hundred forty-eight and
  35/100ths (448.35) feet.

  

 

Also,
the parcel of land situated in Waltham, Middlesex County, Massachusetts, and
shown as Lot A on plan entitled “Plan of Land in Waltham, Mass.” dated
June 29, 1960, by Raymond C. Pressey, Inc. recorded with said Deeds
as Plan No. 1530 of 1960, Book 9693, Page 417, bounded and described as
follows:

 

	
  SOUTHERLY

  	
   

  	
  by
  Lot B on said Plan, two hundred seventy-five and 40/100 feet;

  
	
   

  	
   

  	
   

  
	
  WESTERLY

  	
   

  	
  by
  land now or formerly, of Clifford Griggs, two hundred ten and no/100 feet;

  
	
   

  	
   

  	
   

  
	
  NORTHERLY

  	
   

  	
  by
  land of Trustees of Waltham Properties Trust two hundred fifty-two and no/100
  feet; and

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  the same, one hundred seventy and 51/100 feet.

  

 

Containing
49,400 square feet of land, according to said plan.

 

PARCEL
III:

 

The
parcel of land on West Street, Waltham, Middlesex County, Massachusetts, shown
as Lot D containing 3 acres on a plan by Raymond C. Pressey, Inc.,
Registered Land Surveyors, dated 1 October 1965, recorded in Middlesex
South District Deeds in Book 10961, Page 438, and bounded and described
according to said plan as follows:

 

	
  WESTERLY

  	
   

  	
  in
  a curved line by West Street, three hundred fifty-one and 70/100ths (351.70)
  feet;

  

 

7

 

	
  NORTHERLY

  	
   

  	
  by
  Lot E, being land owned now or formerly by Little, Brown and Company (Inc),
  four hundred forty eight and 35/100ths (448.35) feet;

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  Lot 13 on Plan 10 of 1963, Book 10196, Page 40, two hundred ninety-eight
  and 92/100ths (298.92) feet;

  
	
   

  	
   

  	
   

  
	
  EASTERLY

  	
   

  	
  by
  the same in a curved line, seventy-six and 5/100ths (76.05) feet;

  
	
   

  	
   

  	
   

  
	
  SOUTHERLY

  	
   

  	
  by
  Lot 14 on Plan 10 of 1963, Book 10196, Page 40, three hundred eleven and
  17/100ths (311.17) feet.

  

 

TOGETHER
WITH THE FOLLOWING APPURTENANT RIGHTS:

 

Right
to use twenty-foot wide utility easement as recited in deed dated
August 12, 1960, recorded in Book 9693, Page 417.

 

Right
to use twenty-foot wide utility easement as recited in deed dated
August 12, 1960, recorded in Book 9693, Page 420.

 

Easement
reserved in Grant of Right and Easement for ten-foot wide water main dated
September 8, 1980, recorded in Book 14118, Page 227.

 

Right
to tie-in to water line as recited in Easement Agreement dated June 12,
1996, recorded in Book 26436, Page 15.

 

8

 

 

EXHIBIT K

 

SITE PLAN

 

1

 

 

1

 

EXHIBIT L

 

FORM OF CERTIFICATE OF
INSURANCE

 

1

 

 

1

 

 

2

 

EXHIBIT M

 

PRIOR RIGHTS

 

	
  Tenant

  	
   

  	
  RSF

  	
   

  	
  LED

  	
   

  	
  Renewal Option

  	
   

  	
  ROFO

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Click
  Squared

  	
   

  	
  8,652

  	
   

  	
  8/31/2011

  	
   

  	
  None

  	
   

  	
  None

  	
   

  

 

1

 

EXHIBIT N

 

TENANT’S OPERATIONAL EQUIPMENT

 

1

 

 

1

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00177-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00177-of-00352.parquet"}]]