Document:

alny-ex101_251.htm

Exhibit 10.1

Execution Copy

SIXTH AMENDMENT TO LEASE

This Sixth Amendment to Lease (this “Sixth Amendment”), made as of the 14th day of August, 2018, by and between ARE-MA REGION NO. 28, LLC, a Delaware limited liability company (“Landlord”), and ALNYLAM PHARMACEUTICALS, INC., a Delaware corporation (“Tenant”).  

W I T N E S S E T H :

WHEREAS, Landlord and Tenant are parties to a Lease dated as of September 26, 2003 (the “Original Lease”), as amended by a First Amendment to Lease dated March 16, 2006 between Landlord (as successor to Three Hundred Third Street LLC), and Tenant (as successor to Alnylam U.S., Inc., a Delaware corporation that is a subsidiary of Tenant and was formerly known as Alnylam Pharmaceuticals, Inc. (the “Original Tenant”), pursuant to an Assignment of Lease dated February 28, 2006 between Original Tenant and Tenant), by a Second Amendment to Lease between Landlord and Tenant dated June 26, 2009 (the “Second Amendment”), by a Third Amendment to Lease between Landlord and Tenant dated May 11, 2010 (the “Third Amendment”), by a Fourth Amendment to Lease between Landlord and Tenant dated November 4, 2011 (the “Fourth Amendment”), and by a Fifth Amendment to Lease (the “Fifth Amendment”) between Landlord and Tenant dated as of March 27, 2014 (as so amended, the “Lease”); and 

WHEREAS, pursuant to the Lease, Landlord leases to Tenant approximately 129,424 square feet within the building known and numbered as 300 Third Street, Cambridge, Massachusetts (the “Building”), which premises include but are not limited to space on the first, second, third and fourth floors of the Building and are more particularly described in the Lease; and

WHEREAS, as of the date hereof no portion of the Premises is subject to a sublease; and

WHEREAS, Landlord and Tenant desire to amend the Lease to extend the Term of the Lease for a period of twelve (12) years and four (4) months, such that the Term of the Lease will expire on January 31, 2034, and to make other modifications to the terms and provisions of the Lease, all as more particularly provided below.

NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby covenant and agree as follows:

1.Defined Terms.  All capitalized terms used and not otherwise defined herein shall have the respective meanings ascribed to them in the Lease. In the event of any inconsistency between the Lease and this Sixth Amendment, the provisions of this Sixth Amendment shall control, and all other provisions of the Lease shall remain in full force and effect.

 

2.Modifications to Lease.  Effective as of the date hereof, the Lease is modified as follows:

(a)Article 1, Section I entitled “Expiration Date”, last amended by paragraph 2(a) of the Fifth Amendment, is hereby deleted in its entirety and replaced with the following:

“I.Expiration Date:January 31, 2034.”

The foregoing amendment to the Expiration Date shall operate to extend the Original Term, and notwithstanding Tenant’s prior exercise of one option to extend the Term of the Lease, Tenant shall continue to have two options to extend the Term pursuant to the terms of the second paragraph of Article 2 of the Lease (the “Extension Option Provision”), provided that (a) the Annual Rent for each Extended Term shall be 100% of the then Fair Market Rent, determined in accordance with said Article 2, and (b) the amendment to said Article 2 set forth in paragraph 3(k) of the Second Amendment is deleted in its entirety without replacement.  For avoidance of doubt, if exercised in accordance with the terms of the Extension Option Provision, the first Extended Term would commence on February 1, 2034 and the second Extended Term would commence on February 1, 2039.

(b)Article 1, Section K entitled “Monthly Rent”, last amended by paragraph 2(b) of the Fifth Amendment, is hereby amended so that for the period from October 1, 2021 through January 31, 2034, the Annual Rent and Monthly Rent shall be as set forth in the table below:

[See following page for rental chart]

 

2

 

			
			
	
PERIOD
	
ANNUAL RENT
	
MONTHLY RENT

	
October 1, 2021 through September 30, 2022
	
$10,483,344.00
	
$873,612.00

	
October 1, 2022 through September 30, 2023
	
$10,745,427.60
	
$895,452.30

	
October 1, 2023 through September 30, 2024
	
$11,014,063.29
	
$917,838.61

	
October 1, 2024 through September 30, 2025
	
$11,289,414.87
	
$940,784.57

	
October 1, 2025 through September 30, 2026
	
$11,571,650.24
	
$964,304.19

	
October 1, 2026 through September 30, 2027
	
$11,860,941.50
	
$988,411.79

	
October 1, 2027 through September 30, 2028
	
$12,157,465.04
	
$1,013,122.09

	
October 1, 2028 through September 30, 2029
	
$12,461,401.66
	
$1,038,450.14

	
October 1, 2029 through September 30, 2030
	
$12,772,936.71
	
$1,064,411.39

	
October 1, 2030 through September 30, 2031
	
$13,092,260.12
	
$1,091,021.68

	
October 1, 2031 through September 30, 2032
	
$13,419,566.63
	
$1,118,297.22

	
October 1, 2032 through September 30, 2033
	
$13,755,055.79
	
$1,146,254.65

	
October 1, 2033 through January 31, 2034
	
$14,098,932.24, equal to $4,699,644.08 for such 4-month period
	
$1,174,911.02

 

(c)Article 9(A) of the Lease is amended by added the following clause, “except to the extent caused by the willful misconduct or negligence of Landlord”, at the end of each subsection (i) and (ii) of said Article 9(A) and after the words “or willful misconduct of Tenant” in subsection (iii) of said Article 9(A).  In addition, said Article 9(A) is further amended by adding the following sentence prior to the last sentence thereof: “In the event that any provision of this Lease expressly conflicts with the requirements of M.G.L. Chapter 186, Section 15, the provisions of said statute shall govern to the extent of such conflict.”

3.Tenant Improvement Allowance. Tenant shall perform the Tenant Improvements as set forth in the Work Letter attached hereto as Exhibit A (the “Work Letter”).  Landlord shall provide a Tenant Improvement Allowance of up to $65.00 per rentable square foot of the Premises, or up to $8,412,560.00, in the aggregate, which may be used by Tenant to fund appropriate improvements to the Premises which are consistent with the use of the Premises as Class A laboratory and office space and are constructed in accordance with, and as described in, the Work Letter; provided, however, the parties acknowledge and agree that Tenant may be retrofitting the Premises to be used, primarily, as office space, and, as such, portions of the Premises currently used for laboratory space 

3

 

may be converted to office space (but provided that such retrofitting be performed in such a manner so as to facilitate the future conversion of such office space back to laboratory space as set forth in Section 2(a) of the Work Letter).

4.Landlord’s Work.  In connection with this Sixth Amendment, Landlord shall replace the existing base Building cooling towers serving the Building (the “Cooling Tower Replacement”).  The cost of this Cooling Tower Replacement shall be paid by Landlord and shall not be included in Operating Expenses.  

5.Excess Income.  Landlord and Tenant acknowledge and agree that the Excess Income provision set forth in paragraph 5 of the Third Amendment, paragraph 2 of the Fourth Amendment and paragraph 3 of the Fifth Amendment are of no further force or effect, and in the event that Tenant desires to assign any interest in the Lease or enter into a sublease with respect to the Premises, the terms and provisions of Article 16 of the Original Lease shall apply thereto without modification. 

6.Right of First Offer and Right of First Refusal.  Landlord and Tenant acknowledge and agree that the Premises currently includes the Right of First Refusal Space described in Article 31 of the Original Lease and the ROFO Space described in Article 32 of the Lease (added to the Original Lease by paragraph 3(m) of the Second Amendment), and therefore, both such Articles 31 and 32 are deleted in their entirety without replacement. 

7.Ratification of Lease; Effect of Sixth Amendment.  The Lease, as amended by this Sixth Amendment, is hereby ratified and confirmed, and each and every provision, covenant, condition, obligation, right and power contained in and under, or existing in connection with, the Lease, as amended by this Sixth Amendment, shall continue in full force and effect from and after the date hereof and throughout the Term.  This Sixth Amendment is not intended to, and shall not be construed to, effect a novation, and, except as expressly provided in this Sixth Amendment, the Lease has not been modified, amended, canceled, terminated, surrendered, superseded or otherwise rendered of no force and effect.  Tenant acknowledges and agrees that the Lease, as amended by this Sixth Amendment, is enforceable against Tenant in accordance with its terms. The Lease and this Sixth Amendment shall be construed together as a single instrument.  This Sixth Amendment is the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous oral and written agreements and discussions.  This Sixth Amendment may be amended only by an agreement in writing signed by the parties hereto.

8.No Defaults, Counterclaims or Rights of Offset; Release of Landlord.  Tenant hereby warrants and represents that, to its knowledge, as of the date of the execution of this Sixth Amendment by Tenant, there are no defaults under the Lease in respect of Landlord's performance thereunder and there exist no defenses, counterclaims or rights of offset with respect thereto.  

4

 

9.Brokers.  Landlord and Tenant represent and warrant to each other that neither has dealt with any broker, finder or agent in procuring this Sixth Amendment except for Cushman & Wakefield and CBRE (collectively, the "Brokers", and individually, a “Broker”).  Tenant and Landlord represent and warrant to each other that, except with respect to the Brokers, both of whom represented Tenant, no broker, agent, commission salesperson, or other person has represented it in the negotiations for and procurement of this Sixth Amendment and that with respect to this Sixth Amendment no commissions, fees, or compensation of any kind are due and payable in connection herewith to any broker, agent, commission salesperson, or other person.  Tenant and Landlord agree to indemnify and hold harmless each other, its agents, members, partners, representatives, officers, affiliates, shareholders, employees, successors and assigns from and against any and all loss, liabilities, claims, suits, or judgments (including, without limitation, reasonable attorneys' fees and court costs incurred in connection with any such claims, suits, or judgments, or in connection with the enforcement of this indemnity) for any fees, commissions, or compensation of any kind which arise out of or are in any way connected with any claimed agency relationship not referenced in this paragraph.  Landlord shall be responsible for paying a brokerage fee to each Broker, each pursuant to the terms of separate agreement with such Broker.

10.Successors and Assigns.  This Sixth Amendment shall bind and inure to the benefit of the parties hereto and their respective permitted successors and assigns.

11.Counterparts.  This Sixth Amendment may be executed in two (2) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.  Counterparts may be delivered via facsimile, electronic mail (including pdf or any electronic signature process complying with the U.S. federal ESIGN Act of 2000) or other transmission method and any counterpart so delivered shall be deemed to have been duly and validly delivered and be valid and effective for all purposes. Electronic signatures shall be deemed original signatures for purposes of this Sixth Amendment and all matters related thereto, with such electronic signatures having the same legal effect as original signatures.

12.Lender Consent.  This Sixth Amendment is conditioned upon the written consent of Landlord’s Lender and shall not be effective unless and until Lender provides such written consent. 

[SIGNATURES ON FOLLOWING PAGE]

5

 

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

 

	
TENANT:

	
ALNYLAM PHARMACEUTICALS, INC.

	
By:
	
 
	
/s/ Manmeet S. Soni

	
Name:
	
 
	
Manmeet S. Soni

	
Title:
	
 
	
Chief Financial Officer

	
 
	
 
	
 

	
LANDLORD:

	
ARE-MA REGION NO. 28, LLC, 

	
a Delaware limited liability company

	
 
	
 
	
 

	
By:
	
 
	
Alexandria Real Estate Equities, L.P.,

	
 
	
 
	
a Delaware limited partnership, its managing member

 

	
 
	
 
	
 

	
By:
	
 
	
ARE-QRS Corp., a Maryland corporation, its general partner

 

	
By:
	
 
	
/s/ Gary Dean

	
Name:
	
 
	
Gary Dean

	
Title:
	
 
	
Senior Vice President, RE

	
 
	
 
	
Legal Affairs

 

6

 

Pacific Life Insurance Company (“Lender”) holder of a Leasehold Mortgage, Financing Statement and Security Agreement (With Assignment of Rents and Fixture Filing) dated August 24, 2016 from ARE-MA Region No. 28, LLC to Lender, recorded with the Middlesex South District Registry of Deeds in Book 67892, Page 187, hereby consents to the terms and provisions of the within Sixth Amendment.

 

PACIFIC LIFE INSURANCE COMPANY

 

	
By:
	
 
	
/s/ L. Lisa Fields

	
Name:
	
 
	
L. Lisa Fields

	
Title:
	
 
	
Assistant Vice President

	
 
	
 
	
 

	
By:
	
 
	
/s/ DeAnne A. Reed

	
Name:
	
 
	
DeAnne A. Reed

	
Title:
	
 
	
Assistant Secretary

 

 

7

 

Exhibit A

to

Sixth Amendment to Lease

[Tenant Build]

WORK LETTER

THIS WORK LETTER (this "Work Letter") is incorporated into that certain Sixth Amendment to Lease (the "Sixth Amendment to Lease") dated as of August 14, 2018, by and between ARE-MA Region No. 28, LLC, a Delaware limited liability company ("Landlord"), and Alnylam Pharmaceuticals, Inc., a Delaware corporation ("Tenant"), which amends and is made part of the Lease.  Any initially capitalized terms used but not defined herein shall have the meanings given them in the Lease.

1.General Requirements.

(a)Tenant's Authorized Representative.  Tenant designates John Kyranos ("Tenant's Representative") as the only person authorized to act for Tenant pursuant to this Work Letter.  Landlord shall not be obligated to respond to or act upon any request, approval, inquiry or other communication ("Communication") from or on behalf of Tenant in connection with this Work Letter unless such Communication is in writing from Tenant's Representative.  Tenant may change Tenant's Representative at any time upon not less than 5 business days advance written notice to Landlord.

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

(c)Architects, Consultants and Contractors.  Landlord and Tenant hereby acknowledge and agree that the architect (the "TI Architect") for the Tenant Improvements (as defined in Section 2(a) below), the general contractor and any subcontractors for the Tenant Improvements, shall be selected by Tenant, subject to Landlord's approval, which approval shall not be unreasonably withheld, conditioned or delayed.  For purposes of this paragraph, the following groups shall be deemed pre-approved by Landlord:  The Cardinal Group; Siena Construction, Architectural Environments, Inc.; Symmes Maini & McKee Associates, Inc.; TRIA Architects, Inc.; Lighthouse Electrical Contracting Inc.; and Aqueduct Technologies.  Landlord shall be named a third-party beneficiary of any contract entered into by Tenant with the TI Architect, any consultant, any contractor or any subcontractor, and of any warranty made by any contractor or any subcontractor.

8

 

(d)Time Periods for Response.  Unless another time period is expressly set forth in this Work Letter, Landlord and Tenant shall respond to any request for consent or approval of the other party hereunder within 10 business days after delivery of such request.

2.Tenant Improvements.

(a)Tenant Improvements and Tenant Improvement Work Defined.  As used herein, "Tenant Improvements" shall mean any improvements to the Premises desired by Tenant of a fixed and permanent nature which are consistent with the use of the Premises as Class A laboratory and/or office space to be funded by the TI Allowance (as defined below).  Landlord acknowledges that Tenant may be retrofitting the Premises to be used, primarily, as office space, and, as such, portions of the Premises currently used for laboratory space may be converted to office space, and such conversion may include, among other modifications, the removal and disposal of laboratory casework and fume hoods.  As a condition to Landlord’s approval of the TI Design Drawings and/or TI Construction Drawings (both as hereinafter defined), Landlord may require Tenant to retain (a) certain existing utility infrastructure in the Premises and/or Building, such as air handlers, chillers, boilers, pumps, power panels, transformers, etc. and (b) certain existing piping, ductwork, and wiring, (which components may be cut and capped in place) so as to facilitate the future conversion of such office space back to laboratory space.    The work of performing the construction of the Tenant Improvements, which will be described on the TI Construction Drawings when the same have been approved pursuant to Section 2(c) is referred to herein as the “Tenant Improvement Work.”  Other than funding the TI Allowance and the completion of the Cooling Tower Replacement as provided herein, Landlord shall not have any obligation whatsoever with respect to the improvement of the Premises for Tenant's use and occupancy; provided, however, the foregoing shall not have the effect of modifying the terms and provisions of the Lease addressing Landlord’s repair and maintenance obligations or provision of services.  The Tenant Improvement Work may be performed in separate phases (each, a “Phase”), provided that each such Phase shall comply with the requirements of this Work Letter as a separate project.

(b)Tenant's Space Plans.  Tenant shall initiate any Tenant Improvements by delivering to Landlord, for Landlord’s review and approval, schematic drawings and outline specifications (the "TI Design Drawings") detailing Tenant's requirements for the Tenant Improvements.  Landlord shall not unreasonably withhold, condition, or delay such approval.

(c)Working Drawings.  Upon Landlord’s approval of the TI Design Drawings, Tenant shall cause the TI Architect to prepare and deliver to Landlord for review and comment construction plans, specifications and drawings for the Tenant Improvements ("TI Construction Drawings"), which TI Construction Drawings shall be prepared substantially in accordance with the TI Design Drawings.  Tenant shall be solely responsible for ensuring that the TI Construction Drawings reflect Tenant's requirements for the Tenant Improvements.  Landlord shall deliver its written comments on the TI Construction Drawings to Tenant not later than 10 business days after Landlord's receipt of the same; 

9

 

provided, however, that Landlord may not disapprove any matter that is consistent with the TI Design Drawings.  Tenant and the TI Architect shall consider all such comments in good faith and shall, within 10 business days after receipt, notify Landlord the manner in which Tenant proposes to respond to such comments.  Any disputes in connection with such comments shall be resolved in accordance with Section 2(d) hereof.  Provided that the design reflected in the TI Construction Drawings is consistent with the TI Design Drawings, Landlord shall approve the TI Construction Drawings submitted by Tenant.  Once approved by Landlord, subject to the provisions of Section 4 below, Tenant shall not materially modify the TI Construction Drawings except as may be reasonably required in connection with the issuance of the TI Permit (as defined in Section 3(a) below).

(d)Approval and Completion.  If any dispute regarding the design of the Tenant Improvements is not settled within 10 business days after notice of such dispute is delivered by one party to the other, Tenant may make the final decision regarding the design of the Tenant Improvements, provided (i) Tenant acts reasonably and such final decision is either consistent with Tenant’s initial position or a compromise between Landlord's and Tenant's positions with respect to such dispute, (ii) that Tenant's decision will not affect the structural components of the Building or any Building systems (in which case Landlord shall make the final decision, consistent with any prior approval by Landlord of the TI Design Drawings and the TI Construction Drawings; and (iii) the design selected is in compliance with Legal Requirements (as such term is defined in the Lease).  Any changes to the TI Construction Drawings following Landlord's and Tenant's approval of same requested by Tenant shall be processed as provided in Section 4 hereof.

3.Performance of the Tenant Improvements.

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

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

10

 

(c)Tenant Liability.  Tenant shall be responsible for correcting any deficiencies or defects in the Tenant Improvements.

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

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

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

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

11

 

5.Costs.

(a)Budget For Tenant Improvements.  Before the commencement of construction of the Tenant Improvements (or, if the Tenant Improvements are undertaken in Phases, before the commencement of any Phase thereof), Tenant shall obtain a detailed breakdown, by trade, of the costs incurred or that will be incurred, in connection with the design and construction of the Tenant Improvements (the "Budget"), and deliver a copy of the Budget to Landlord for Landlord's approval, which shall not be unreasonably withheld, conditioned or delayed.  The Budget shall be based upon the TI Construction Drawings approved by Landlord and shall include Landlord’s reasonable third party out of pocket costs associated with the review of the proposed Tenant Improvements, which third party costs shall be payable from the TI Allowance, and shall not exceed $10,000 in the aggregate. 

(b)TI Allowance.  Subject to the terms and conditions of this Work Letter and the Lease, Landlord shall provide to Tenant a tenant improvement allowance ("TI Allowance") of $65.00 per rentable square foot of the Premises, or $8,412,560.00 in the aggregate.  Notwithstanding anything to the contrary contained in this Work Letter or the Lease, Landlord shall have no obligation to disburse any portion of the TI Allowance prior to January 1, 2019.

(c)Costs Includable in TI Allowance.  The TI Allowance shall be used for the payment of design, permits and construction costs in connection with the construction of the Tenant Improvements, including, without limitation, the cost of electrical power and other utilities used in connection with the construction of the Tenant Improvements, the cost of preparing the TI Design Drawings and the TI Construction Drawings, all costs set forth in the Budget, Landlord’s third party costs associated with the review of the proposed Tenant Improvements, and the cost of Changes (collectively, "TI Costs").  Notwithstanding anything to the contrary contained herein, no more than 10% of the TI Allowance (i.e., $841,256.00) may be used for soft costs, such as architect/engineer fees, third party project management costs, data/telecom cabling, and related furniture, fixtures and equipment. 

(d)Excess TI Costs.  Landlord shall have no obligation to bear any portion of the cost of any of the Tenant Improvements except to the extent of the TI Allowance. 

(e)Payment for TI Costs.   During the course of design and construction of the Tenant Improvements, Landlord shall reimburse Tenant for TI Costs not more than once a month against a draw request in Landlord's standard form, containing evidence of payment of such TI Costs by Tenant and such certifications, lien waivers (including a conditional lien release for each progress payment and unconditional lien releases for the prior month's progress payments), inspection reports and other matters as Landlord customarily obtains, to the extent of Landlord's approval thereof for payment, no later than 30 days following receipt of such draw request and applicable materials.  Upon completion of the Tenant Improvements (and prior to any final 

12

 

disbursement of the TI Allowance), Tenant shall deliver to Landlord:  (i) sworn statements setting forth the names of all contractors and first tier subcontractors who did the work and final, unconditional lien waivers from all such contractors and first tier subcontractors; (ii) as-built plans (one copy in print format and two copies in electronic CAD format) for such Tenant Improvements; (iii) a certification of substantial completion in Form AIA G704, (iv) a certificate of occupancy (either temporary or permanent) for the Premises (if required by the City of Cambridge); (v) evidence of payment of all TI Costs by Tenant in accordance with the Budget; and (vi) copies of all operation and maintenance manuals and warranties with respect to the Tenant Improvements.  Tenant shall submit a draw request no more frequently than once a calendar month, and no draw requests shall be processed unless prior to the first draw request Tenant shall have delivered to Landlord a copy of the TI Permit.

(f)Outside Date.  Landlord shall have no obligation to fund any portion of the TI Allowance which remains undisbursed as of December 31, 2023.

6.Miscellaneous.

(a)Consents.  Whenever consent or approval of either party is required under this Work Letter, that party shall not unreasonably withhold, condition or delay such consent or approval, except as may be expressly set forth herein to the contrary.

(b)Modification.  No modification, waiver or amendment of this Work Letter or of any of its conditions or provisions shall be binding upon Landlord or Tenant unless in writing signed by Landlord and Tenant.

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

13alny-ex102_250.htm

Exhibit 10.2

 

Execution Copy

SECOND AMENDMENT TO LEASE

 

THIS SECOND AMENDMENT TO LEASE (this “Second Amendment”) is dated as of September 27, 2018 (the “Effective Date”), between RREEF AMERICA REIT II CORP. PPP, a Maryland corporation (“Landlord”), and ALNYLAM PHARMACEUTICALS, INC., a Delaware corporation (“Tenant”), for certain premises located in the building in Riverfront Office Park at 101 Main Street, Cambridge, Massachusetts (the “101 Main Building”).

RECITALS:

 

A.Landlord and Tenant entered into that certain Lease dated for reference as of March 9, 2015, as amended by that certain First Amendment to Lease dated as of April 16, 2015 (the “First Amendment”) (as so amended, the “Lease”), for approximately 23,350 rentable square feet (“Premises”) on the tenth (10th) floor of the 101 Main Building.

B.Landlord and Tenant wish to enter into this Second Amendment to (i) extend the term of the Lease, and (ii) amend certain other terms and conditions of the Lease as hereinafter set forth.

C.All terms, covenants and conditions contained in this Second Amendment shall have the same meaning as in the Lease, and, shall govern should a conflict exist with previous terms and conditions.

AGREEMENT:

 

NOW, THEREFORE, in consideration of the foregoing recitals and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Landlord and Tenant hereby agree as follows:

1.Defined Terms.  All terms defined in the Lease retain their meaning herein, unless specified herein to the contrary.

2.Extension of Term.  The Term of the Lease is hereby extended for an additional term (the “Extended Term”) of five (5) years commencing on April 1, 2019 (the “Extended Term Commencement Date”) and expiring on March 31, 2024 (the “Termination Date”), unless extended or earlier terminated as set forth in the Lease.  The Extended Term shall be upon all of the terms and conditions of the Lease, except as otherwise expressly modified or amended in this Second Amendment.  As of the Effective Date, “Term” or “Term of this Lease,” as used in the Lease, shall be deemed to refer to the Term of the Lease, as herein extended for the Extended Term.

1

 

 

3.Rent Schedule.  Until the Extended Commencement Date, Tenant shall continue to pay Annual Rent as currently in effect per the Lease, without change.  Commencing as of the Extended Term Commencement Date and thereafter throughout the Extended Term, Tenant shall pay Annual Rent as follows:

				
	
Period
	
Annual Rent Per Square Foot
	
Annual Rent
	
Monthly Installment of Rent

	
From April 1, 2019 through March 31, 2020
	
$90.00
	
$2,101,500.00
	
$175,125.00

	
From April 1, 2020 through March 31, 2021
	
$91.80
	
$2,143,530.00
	
$178,627.50

	
From April 1, 2021 through March 31, 2022
	
$93.64
	
$2,186,494.00
	
$182,207.83

	
From April 1, 2022 through March 31, 2023
	
$95.51
	
$2,230,158.50
	
$185,846.54

	
From April 1, 2023 through March 31, 2024
	
$97.42
	
$2,274.757.00
	
$189,563.08

 

All rental amounts are net of Tenant electricity.

4.Other Reference Page Amendments.  As of the Extended Term Commencement Date, the following Reference Page items are amended to read as follows:

(a)Base Year (Expenses):  2019

(b)Base Year (Insurance):  2019

(c)Base Year (Taxes):  Taxes for July 1, 2018 to June 30, 2019

(d)Parking:  19 parking passes at $325 per parking pass per month (see Article 39), which prevailing monthly parking charge is subject to increase from time to time as set forth in the Lease.  In addition, Landlord shall provide Tenant with an additional 5 parking passes on a “tenant-at-will” basis at the same prevailing parking charge, provided Landlord shall have the right to take back such tenant-at-will spaces upon six (6) months’ prior written notice to Tenant in the event that a portion of the garage is redeveloped into office space.  In no event shall such tenant-at-will spaces be allocated to another tenant in the Building. 

5.Condition of Premises; Extended Term Improvements.  

(a)Tenant is in possession of the Premises, and hereby accepts the Premises for the Extended Term in its AS IS condition, WITHOUT REPRESENTATION OR WARRANTY by Landlord, and Tenant acknowledges that Landlord shall have no obligation to perform any construction or make any additional improvements or alterations (including any Landlord’s Work), or to afford any allowance to Tenant for improvements or alterations to prepare or improve the same for Tenant’s use during the Extended Term, except as set forth in this Second Amendment.  

2

 

 

(b)Tenant shall construct any improvements in the Premises required by Tenant for the Extended Term at Tenant’s sole cost and expense except to the extent that Tenant is entitled to receive the Second Amendment TI Allowance (as hereinafter defined) pursuant to the terms and conditions of Exhibit A attached hereto.   Before commencing any work in the 101 Main Building, Tenant and its contractor must acknowledge in writing that they have received, reviewed and agreed to be bound by Landlord’s Construction Rules and Regulations for the 101 Main Building. 

6.Extension Option.  Landlord and Tenant hereby agree that Tenant’s right to extend the term of this Lease for one 5-year period, as set forth in Section 1 of the First Amendment, shall remain in full force and effect notwithstanding the extension of the Term effected by this Second Amendment. 

7.Service Providers.  If Landlord or any affiliate of Landlord has elected or at any time during the Term elects to qualify as a real estate investment trust (a “REIT”), any services required or permitted to be performed by Landlord pursuant to the Lease , the charge or cost of which may be treated as impermissible tenant service income under the Laws governing a REIT, may be performed by a taxable REIT subsidiary that is affiliated with either Landlord or Landlord’s property manager or by an independent contractor of Landlord or Landlord’s property manager (the “Service Provider”) provided the cost of any such service is not in excess of market rates for such service if rendered by unrelated third parties.  If Tenant is subject to a charge under the Lease for any service, then, at Landlord’s direction, Tenant will pay such charge either to Landlord for further payment to the Service Provider or directly to the Service Provider, and, in either case, (i) Landlord will credit such payment against any charge for such service made by Landlord to Tenant under the Lease, and (ii) such payment to the Service Provider will not relieve Landlord from any obligation under the Lease concerning the provision of such service.  Any charges payable by Tenant to the Service Provider shall not increase Tenant’s monetary obligations under the Lease above what would be due from Tenant if the payment was made directly to or the service performed by Landlord.

8.Commissions.  Each of the parties represents and warrants that it has not dealt with any broker or finder in connection with this Second Amendment, other than Cushman & Wakefield and CBRE (the “Brokers”).  Landlord hereby agrees to pay the fees and commissions of the Brokers in connection with this Second Amendment pursuant to a separate written agreement.

9.Authority.  Each of the persons executing this Second Amendment represents and warrants that such entity has been and is qualified to do business in the state in which the 101 Main Building is located, that the entity has full right and authority to enter into this Second Amendment, and that all persons signing on behalf of the entity were authorized to do so by appropriate actions.  Tenant hereby represents and warrants that neither Tenant, nor any persons or entities holding any legal or beneficial interest whatsoever in Tenant, are (i) the target of any sanctions program that is established by Executive Order of the President or published by the Office of Foreign Assets Control, U.S. Department of the Treasury (“OFAC”); (ii) designated by the President or OF AC pursuant to the Trading with the Enemy Act, 50 U.S.C. App. § 5, the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701‐06, the Patriot Act, Public Law 107-56, Executive Order 13224 (September 23, 2001) or any Executive Order of the President issued pursuant to such statutes; or (iii) named on the following list that is published by OF AC: “List of Specially Designated Nationals and Blocked Persons.” If the foregoing representation is untrue at any time during the Term, an Event of Default will be deemed to have occurred, without the necessity of notice to Tenant.

3

 

 

10.Incorporation.  Except as modified herein, all other terms and conditions of the Lease shall continue in full force and effect and Tenant hereby ratifies and confirms its obligations thereunder.  In the event of any conflict between the terms contained in this Second Amendment and the existing Lease, the terms herein contained shall supersede and control the obligations and liabilities of the parties. Landlord and Tenant acknowledge that, as of the Effective Date, neither party (i) is in default under the terms of the Lease; (ii) has a defense, set off or counterclaim to the enforcement by the other party of the terms of the Lease; and (iii) is not aware of any action or inaction by the other party that would constitute a default by the other party under the Lease.

11.Successors and Assigns.  Each of the covenants, conditions and agreements contained in this Second Amendment shall inure to the benefit of and shall apply to and be binding upon the parties hereto and their respective heirs, legatees, devisees, executors, administrators and permitted successors and assigns and sublessees.  Nothing in this Section shall in any way alter the provisions of the Lease governing assignment or subletting.

12.Counterparts. This Second Amendment may be executed in multiple counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same document.  A facsimile or portable document format (PDF) signature on this Second Amendment shall be equivalent to, and have the same force and effect as, an original signature.

13.Limitation of Liability.  Redress for any claim against Landlord under this Lease shall be limited to and enforceable only against and to the extent of Landlord’s interest in the Building.  The obligations of Landlord and Tenant under this Lease are not intended to be and shall not be personally binding on, nor shall any resort be had to the private properties of, any of its or its investment manager’s trustees, directors, officers, partners, beneficiaries, members, stockholders, employees, or agents, and in no case shall Landlord or Tenant be liable to the other hereunder for any lost profits, damage to business, or any form of special, indirect or consequential damages.

[The remainder of this page is intentionally left blank.]

4

 

 

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

 

	
LANDLORD:
	
 
	
TENANT:

	
RREEF AMERICA REIT II CORP. PPP, a Maryland corporation
	
 
	
ALNYLAM PHARMACEUTICALS, INC., a Delaware corporation

	
 
	
 
	
 
	
 
	
 
	
 
	
 

	
By:
	
 
	
/s/ David F. Crane
	
 
	
By:
	
 
	
/s/ Manmeet S. Soni

	
Name:
	
 
	
David F. Crane
	
 
	
Name:
	
 
	
Manmeet Singh Soni

	
Title:
	
 
	
Vice President
	
 
	
Title:
	
 
	
Chief Financial Officer

	
Dated:
	
 
	
September 27, 2018
	
 
	
Dated:
	
 
	
September 24, 2018

 

 

5

 

 

EXHIBIT A

 

attached to and made a part of Second Amendment to Lease

between

RREEF AMERICA REIT II CORP. PPP, as Landlord and

ALNYLAM PHARMACEUTICALS, INC., as Tenant

 

101 Main Street, Cambridge, Massachusetts 02142

 

TENANT’S EXTENDED TERM WORK

 

1.Plans and Specifications.

 

1.1.1Tenant shall employ professionals reasonably satisfactory to Landlord for preparation of the necessary architectural, mechanical and electrical plans, drawings and specifications pertaining to the construction work which Tenant intends to perform in the Premises following the Effective Date (“Tenant’s Extended Term Work”).  Tenant, at its expense, shall furnish Landlord with architectural and design plans and specifications (“Tenant’s TI Plans”) prepared first in preliminary form (“Preliminary TI Plans”), and thereafter in working form (“Working TI Drawings”), and covering the Tenant’s Extended Term Work.  Tenant shall pay all costs and expenses relating to Tenant’s TI Plans (subject to Landlord’s obligations with respect to the Second Amendment TI Allowance (as defined below)).  All Tenant’s TI Plans shall meet the requirements set forth in Schedule II to Exhibit B of the Lease.

 

1.1.2Upon submittal of any portion of Tenant’s TI Plans, Landlord shall review Tenant’s TI Plans and shall either approve Tenant’s TI Plans or advise Tenant in writing of any aspect of the design, engineering, construction or installation which is not acceptable to Landlord. Landlord’s approval of Tenant’s TI Plans shall not be unreasonably withheld, conditioned or delayed.  Landlord shall advise Tenant of its approval or comments on the Tenant’s TI Plans within ten (10) business days after Landlord’s receipt of the Tenant’s TI Plans.  In the event that Landlord shall disapprove of any portion of Tenant’s TI Plans, Tenant shall have fifteen (15) business days after Landlord’s notification of its disapproval to revise Tenant’s TI Plans and resubmit them to Landlord.  In the event Landlord fails to approve or disapprove Tenant’s TI Plans or any changes thereto within the time period set forth above, and if such failure continues thereafter for five (5) business days after Landlord’s receipt of a second notice from Tenant requesting action on Tenant’s TI Plans, Tenant’s TI Plans or the changes shall be deemed to be approved.

 

1.1.3After approval of Tenant’s TI Plans or any portion thereof, Tenant shall not materially modify, revise or change such Tenant’s TI Plans without the prior written consent of Landlord, not to be unreasonably withheld, conditioned or delayed.  If Landlord approves such request, the entire cost of such change, including the cost of revising Tenant’s TI Plans or preparing new plans, shall be borne by Tenant (subject to Landlord’s obligations with respect to the Second Amendment TI Allowance (as defined below)).

 

1.1.4Except for such matters, if any, as shall have been required by Landlord and not requested by Tenant, it shall be Tenant’s responsibility that the Tenant’s TI Plans comply with all applicable governmental and municipal codes and regulations and to procure and deliver to Landlord upon written request all such licenses, permits and approvals from all governmental authorities as are necessary to permit the Tenant’s Extended Term Work to be commenced and continued to completion.

		
	
MS
	
DFS

Initials

A-1

 

 

 

2.Cost Estimates and Payment Protection; Second Amendment TI Allowance.

 

2.1Tenant is responsible for the entire “Cost of the Tenant’s Extended Term Work” (defined below), subject to Landlord’s obligation to pay the Second Amendment TI Allowance (defined below).  Prior to commencing any of the Tenant’s Extended Term Work, Tenant shall submit to Landlord a written estimate of the Cost of the Tenant’s Extended Term Work, based upon competitive bids or a fixed-price contract (a “Total Cost Estimate”).  To the extent that the Total Cost Estimate exceeds the Second Amendment TI Allowance (such excess, the “Excess Second Amendment TI Costs”) Landlord may require Tenant pay the Costs of the Tenant’s Extended Term Work on a pari passu basis with Landlord as such costs become due, in the proportion of Excess Second Amendment TI Costs payable by Tenant to the Second Amendment TI Allowance.

 

2.2Landlord shall contribute the Second Amendment TI Allowance toward the costs and expenses incurred in connection with the performance of the Tenant’s Extended Term Work.  Tenant may apply the Second Amendment TI Allowance for the payment of construction and other costs in accordance with the terms of this Exhibit A.

 

2.2.1Upon submission by Tenant to Landlord of (a) a statement (a “TI Fund Request”) setting forth the total amount of the Second Amendment TI Allowance requested, (b) a summary of the Tenant’s Extended Term Work performed using AIA standard form Application for Payment (G 702) executed by the general contractor and by the architect, (c) invoices from the general contractor, the architect, and any subcontractors, material suppliers and other parties requesting payment with respect to the amount of the Second Amendment TI Allowance then being requested, ( d) except with respect to the final TI Fund Request, conditional lien releases from the general contractor and each subcontractor and material supplier with respect to the Tenant’s Extended Term Work performed that correspond to the TI Fund Request each in a form reasonably acceptable to Landlord and complying with applicable laws, then Landlord shall, within thirty (30) days following receipt by Landlord of a TI Fund Request and the accompanying materials required by this Section, pay to (as elected by Landlord) the applicable contractors, subcontractors and material suppliers or Tenant (for reimbursement for payments made by Tenant to such contractors, subcontractors or material suppliers as a result of Tenant’s decision to pay for the Tenant’s Extended Term Work itself and later seek reimbursement from Landlord in the form of one lump sum payment in accordance with the Lease and this Exhibit A), the amount of the Cost of the Tenant’s Extended Term Work set forth in such TI Fund Request or Landlord’s pari passu share thereof if Excess Second Amendment TI Costs exist based on the Total Cost Estimate.

 

2.3The Cost of the Tenant’s Extended Term Work is the total of all “hard” and “soft” costs for the design, permitting and construction of the Tenant’s Extended Term Work, and includes, without limitation, the following:

 

2.3.1All costs and expenses actually incurred by Tenant pertaining to the Tenant’s Extended Term Work and the construction thereof, including, but not limited to, costs charged by contractors, subcontractors, labor, materials, equipment and fixtures and general and other conditions costs and expenses in connection with the Tenant’s Extended Term Work;

 

2.3.2All costs and expenses of preparation of the plans for such construction, and site inspection and contract administration by Tenant’s consultants, project managers, consulting architects and/or engineers;

 

		
	
MS
	
DFS

Initials

A-2

 

 

2.3.3All costs of permits, licenses, taxes, fees, charges and other approvals required for the performance of Tenant’s Extended Term Work; 

 

2.3.4A construction management fee to Landlord of 0.75% of the total of the costs under the foregoing paragraphs 2.3.1, 2.3.2 and 2.3.3, unless Tenant hires an architect, construction manager and project manager mutually acceptable to Landlord pursuant to Section 5.4 below, in which case no construction management fee shall be required; and 

 

2.3.5Reimbursement to Landlord for its actual cost reasonably incurred for third-party architects, engineers and other professionals engaged for the purpose of reviewing and approving Tenant’s TI Plans and responding to Tenant’s requests to Landlord, in connection with Tenant’s Extended Term Work, with respect to changes, interpretations and approvals.

 

2.4Landlord hereby agrees to pay to Tenant toward the Cost of the Tenant’s Extended Term Work, the sum of $408,625.00 (the “Second Amendment TI Allowance”), to be disbursed as set forth in Sections 2.2 and 2.3 above.  If the total Cost of the Tenant’s Extended Term Work exceeds the Second Amendment TI Allowance, such Excess Second Amendment TI Costs shall be borne by Tenant.   

 

2.4.1Tenant may requisition the Second Amendment TI Allowance at any time following the Extended Term Commencement Date to apply to costs in the costs categories set forth in Sections 2.3.1, 2.3.2, 2.3.3, and/or 2.3.4 above.  Notwithstanding anything in this Exhibit A or the Lease to the contrary, Tenant may requisition up to fifty percent (50%) of the Second Amendment TI Allowance in the aggregate for reimbursement of FF&E and/or as a credit against the Annual Rent payable during the Extended Term (which rent credit, if any, shall apply to the first month’s installment of Annual Rent during the Extended Term, or if the Extended Term has already commenced, the next monthly installment after Tenant’s notice to Landlord of its election to utilize the rent credit).  The balance of the Second Amendment TI Allowance that is not applied by Tenant toward FF&E and/or as an Annual Rent credit, may be applied toward Architectural, Engineering, Project Management Fees, Tel/Data and Hard Costs.     Tenant may requisition the Second Amendment TI Allowance at any time during the three (3) years after the Extended Term Commencement Date.

 

3.Contracts and Contractors for the Tenant’s Extended Term Work.  Tenant shall make all such contracts and arrangements as shall be necessary or desirable for the construction and installation of the Tenant’s Extended Term Work.  Tenant agrees to retain contractors, subcontractors and materialmen who are experienced in construction of space comparable to the Premises in the metropolitan area where the 101 Main Building is located and that are properly licensed for the work they are to perform.  Tenant shall provide Landlord with a list of all contractors, subcontractors and materialmen to be utilized by or for Tenant with respect to the Tenant’s Extended Term Work.  The mechanical, electrical and plumbing contractor must be satisfactory to Landlord in Landlord’ s reasonable discretion, and shall not be employed without Landlord’s written approval first obtained which approval shall not be unreasonably withheld, conditioned, or delayed.  Tenant and Tenant’s contractors shall use qualified craftsmen and laborers who are compatible with the trade unions operating in the 101 Main Building (if any) and Tenant shall take promptly upon Landlord’s written demand all reasonable measures necessary to avoid labor unrest in the Premises and in the 101 Main Building which is caused by Tenant or Tenant’s contractors.  

 

		
	
MS
	
DFS

Initials

A-3

 

 

4.Construction.  Promptly upon Landlord’s approval of the Tenant’s TI Plans, Tenant shall apply for, and supply to Landlord upon issuance, a building permit and any other required governmental permits, licenses or approvals.  Upon issuance of such approvals, Tenant shall commence the Tenant’s Extended Term Work and shall diligently prosecute the Tenant’s Extended Term Work to completion.  Tenant agrees to cause the Tenant’s Extended Term Work to be constructed in a good and workmanlike manner using materials specified in the Tenant’s TI Plans or their reasonable equivalent, at its sole cost and expense in accordance with the provisions of the Lease.  Any reasonable out-of-pocket costs incurred by Landlord in providing utilities, the use of the freight elevator, supervision or other services needed solely for the accomplishment of the Tenant’s Extended Term Work shall be reimbursed by Tenant to Landlord.  Upon completion of the Tenant’s Extended Term Work, Tenant shall provide to Landlord: (i) an architect’s certificate of final completion; (ii) copies of all necessary governmental permits, including, but not limited to, a certificate of occupancy; (iii) the sworn statement of the general contractor; (iv) final lien waivers from all contractors, subcontractors and materialmen; and (v) any other information or documentation reasonably requested in writing by Landlord to evidence lien-free completion of construction and payment of all of the cost thereof.  Landlord shall have the right to observe the performance of the Tenant’s Extended Term Work and Tenant shall take all such actions with respect thereto as Landlord may, in its good faith determination, deem advisable from time to time to assure that the Tenant’s Extended Term Work and the manner of performance thereof shall not be injurious to the engineering and construction of the 101 Main Building or the electrical, plumbing, heating, mechanical, ventilating or air-conditioning systems of the 101 Main Building and shall be in accordance with Tenant’s TI Plans and the provisions of the Lease.

 

5.Miscellaneous.

 

5.1All rights and remedies of Landlord herein created or otherwise existing at law or equity are cumulative, and the exercise of one or more such rights or remedies shall not be deemed to exclude or waive the right to the exercise of any other rights or remedies.  All such rights and remedies may be exercised and enforced concurrently and whenever and as often as deemed desirable.

 

5.2This Exhibit A shall not be deemed applicable to any additional space added to the original Premises at any time or from time to time, whether by any options under the Lease or otherwise, or to any portion of the original Premises or any additions thereto in the event of a renewal or extension of the original term of the Lease, whether by any options under the Lease or otherwise.

 

5.3Tenant shall, before commencing any of the Tenant’s Extended Term Work, and for so long as any Tenant’s Extended Term Work shall continue, comply with the insurance requirements in Exhibit B, Schedule I attached to the Lease.  In the event Tenant fails to so comply, Landlord shall have the option, but not the obligation to procure the required insurance and charge Tenant the cost of such compliance as additional rent.

 

5.4Tenant may elect to hire a mutually acceptable architect, construction manager and project manager for the Tenant’s Extended Term Work.  In the event Tenant so elects, Landlord shall not charge any coordination, overhead or contractor supervision fees.  The following design, project management and construction companies are deemed approved by Landlord for purposes of designing, managing and constructing Tenant’s Extended Term Work: Siena Construction Corp.; Symmes Maini & McKee Associates, Inc.; TRIA Architects, Inc.; and Lighthouse Electrical Contracting Inc. 

		
	
MS
	
DFS

Initials

A-4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00289-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00289-of-00352.parquet"}]]