Document:

Exhibit 10.2

 

FIRST AMENDMENT TO SECOND AMENDED AND RESTATED CREDIT AGREEMENT

 

This First Amendment to Second Amended and Restated Credit Agreement (this “Amendment”) is made as of this 31st day of January, 2014, among CORESITE, L.P., a Delaware limited partnership (“Parent Borrower”), the Subsidiary Borrowers party thereto (together with the Parent Borrower, collectively, the “Borrowers”), KEYBANK NATIONAL ASSOCIATION, as Administrative Agent (the “Agent”), on behalf of itself and certain other lenders (each a “Lender” and collectively, the “Lenders”). Unless otherwise defined herein, terms defined in the Credit Agreement set forth below shall have the same meaning herein.

 

W I T N E S S E T H:

 

WHEREAS, the Borrowers, the Agent and the Lenders have entered into a certain Second Amended and Restated Credit Agreement dated as of January 3, 2013 (the “Credit Agreement”); and

 

WHEREAS, the Borrowers, the Agent and the Lenders have agreed to amend the Credit Agreement as set forth herein.

 

NOW, THEREFORE, the Credit Agreement is hereby amended as follows:

 

1.             The following definitions are hereby added to Section 1.1 of the Credit Agreement in the proper alphabetical location:

 

“Approved Derivatives Contract.  A Derivatives Contract between the Parent Borrower and/or any Subsidiary Borrower, on the one hand, and a Lender or Affiliate of a Lender hereunder which is also a lender or Affiliate of a lender under the Term Loan, on the other hand.”

 

“Term Loan.  That certain Term Loan Agreement dated as of January 31, 2014 by and among Parent Borrower, the Subsidiary Borrowers, Royal Bank of Canada as a lender and administrative agent and the other lenders party thereto as it may be amended, amended and restated, modified or supplemented from time to time.”

 

“Term Loan Facility Availability.  The “Facility Availability” as defined in the Term Loan.”

 

“Term Loan Unencumbered Asset Pool.  The “Unencumbered Asset Pool” as defined in the Term Loan.”

 

2.             The definition of “FATCA” in Section 1.1 of the Credit Agreement is hereby deleted in its entirety and replaced with the following:

 

“FATCA.  Section 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor version that is substantively comparable), any current or future regulations or official interpretations thereof

 

1

 

and any agreements entered into pursuant to Section 1471(b) of the Code and any legislation, rules or practices adopted pursuant to any intergovernmental agreement entered into in connection with the foregoing.”

 

3.             The definition of “Unencumbered Asset Pool Availability” in Section 1.1 of the Credit Agreement is hereby deleted in its entirety and replaced with the following:

 

“Unencumbered Asset Pool Availability.  The Unencumbered Asset Pool Availability shall be the amount which is the least of (a) the maximum principal amount which would not cause the Unsecured Debt to be greater than the Unencumbered Asset Pool Value, (b) the aggregate of (i) the maximum principal amount which would not cause the Consolidated Unsecured Debt Service Coverage Ratio to be less than 1.75 to 1:00, plus (ii) the Leased Asset NOI Amount, and (c) the aggregate of (i) the maximum principal amount which would not cause the Consolidated Unsecured Debt Yield to be less than fourteen percent (14%), plus (ii) the Leased Asset NOI Amount; provided further that the Unencumbered Asset Pool Availability resulting from Eligible Real Estate Assets which are ground leases and/or Leased Assets shall not at any time exceed thirty percent (30%) of the sum of (x) the Facility Availability plus (y) the Term Loan Facility Availability.”

 

4.             Section 3.2 of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“Mandatory Prepayments.

 

(a) If at any time the sum of the aggregate outstanding principal amount of the Revolving Credit Loans, the Swing Loans and the Letter of Credit Liabilities exceeds the Total Commitment, then the Borrowers shall, within ten (10) Business Days after receipt of notice from Agent of such occurrence pay the amount of such excess to the Agent for the respective accounts of the Revolving Credit Lenders, as applicable, for application to the Revolving Credit Loans as provided in §3.4, together with any additional amounts payable pursuant to §4.8, except that the amount of any Swing Loans shall be paid solely to the Swing Loan Lender.  Notwithstanding the foregoing, if the Agent notifies the Borrowers at any time that the Outstanding amount of all Loans denominated in Alternative Currencies at such time exceeds a Dollar Equivalent amount equal to (a) 105% of the Alternative Currency Sublimit then in effect, or (b) 105% of the Unencumbered Asset Pool Availability, then, within three (3) Business Days after receipt of such notice, the Borrowers shall prepay Loans in an aggregate amount sufficient to reduce such Outstanding Amount as of such date of payment to an amount not to exceed 100% of the Alternative Currency Sublimit then in effect or 100% of the Unencumbered Asset Pool Availability, respectively.

 

(b)  If at any time the outstanding principal balance of the Revolving Credit Loans, the Swing Loans, the Term Loan and the Letter of Credit Liabilities exceeds the Unencumbered Asset Pool Availability (including, without limitation,

 

2

 

as a result of the termination of any ground lease or any lease of a Leased Asset related to an Eligible Real Estate Asset), then Borrowers shall, within ten (10) Business Days after receipt of notice from the Agent of such occurrence, pay the amount of such excess as a payment of principal to the holder or holders of any Unsecured Debt, together with any additional amounts required to be paid to such holder or holders in connection with such principal payments of Indebtedness.”

 

5.             Subsection (i) in Section 4.4(b) of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“(i) that are attributable to such Lender’s or Agent’s failure to comply with the requirements of § 4.4(c) that are withholding Taxes imposed under FATCA;”

 

6.             In Section 4.15 of the Credit Agreement, “U.S.” is hereby deleted in both instances prior to “withholding taxes”.

 

7.             Section 5.1(a) of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“(a) After the Closing Date, Parent Borrower shall have the right, subject to the consent of the Agent (which consent shall not be unreasonably withheld) and the satisfaction by Parent Borrower of the conditions set forth in this §5.1, to add Potential Unencumbered Assets to the Unencumbered Asset Pool.  Parent Borrower from time to time after the Closing Date may also request that certain Real Estate of one or more Subsidiary Borrowers (collectively, the “Subsidiary Borrower Unencumbered Assets”) be included as an Eligible Real Estate Asset for the purpose of increasing the Unencumbered Asset Pool Availability. If Parent Borrower shall request that any Potential Unencumbered Assets or Subsidiary Borrower Unencumbered Asset be added to the “Term Loan Unencumbered Asset Pool,” it shall be required to add such Potential Unencumbered Asset or Subsidiary Borrower Unencumbered Asset, as applicable, to the Unencumbered Asset Pool hereunder.  In the event Parent Borrower desires to add additional Potential Unencumbered Assets or Subsidiary Borrower Unencumbered Assets as aforesaid, Parent Borrower shall provide written notice to the Agent of such request (which the Agent shall promptly furnish to the Lenders), together with all documentation and other information reasonably required to permit the Agent to determine whether such Real Estate is Eligible Real Estate.  Thereafter, the Agent shall have ten (10) Business Days from the date of the receipt of such documentation and other information to advise Parent Borrower whether the Agent consents to the acceptance of such Subsidiary Borrower Unencumbered Asset or Potential Unencumbered Asset (which consent shall not be unreasonably withheld). Notwithstanding the foregoing, no Subsidiary Borrower Unencumbered Asset or Potential Unencumbered Asset shall be included in the Unencumbered Asset Pool unless and until the following conditions precedent shall have been satisfied:”

 

3

 

8.             Section 5.2 of the Credit Agreement is hereby amended by inserting the following subsection (f) at the end thereof:

 

“(f) such Eligible Real Estate Asset has been (or, contemporaneous with the release under this Agreement, will be) released from the Term Loan Unencumbered Asset Pool.”

 

9.             Section 5.3 of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“Additional Subsidiary Borrowers.  In the event that Parent Borrower shall request that certain Real Estate of a Subsidiary of Parent Borrower be included in the Unencumbered Asset Pool and such Real Estate is approved for inclusion as an Eligible Real Estate Asset in the Unencumbered Asset Pool in accordance with the terms hereof, Parent Borrower shall cause each such Subsidiary (and any entity having an interest in such Subsidiary of Parent Borrower) to execute and deliver to Agent a Joinder Agreement, and such Subsidiary (and any such entity) shall become a Subsidiary Borrower hereunder.  For the avoidance of doubt, any Subsidiary or other such entity which becomes a “Subsidiary Borrower” as such term is defined in the Term Loan shall become a Subsidiary Borrower under this Agreement.  Each such Subsidiary shall be specifically authorized, in accordance with its respective organizational documents, to be a Borrower hereunder.  Parent Borrower shall further cause all representations, covenants and agreements in the Loan Documents with respect to Borrowers to be true and correct with respect to each such Subsidiary.  In connection with the delivery of such Joinder Agreement, Parent Borrower shall deliver to the Agent such organizational agreements, resolutions, consents, opinions and other documents and instruments as the Agent may reasonably require.”

 

10.          Section 5.4 of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“Release of Certain Subsidiary Borrowers.  In the event that all Eligible Real Estate Assets owned by a Subsidiary Borrower shall have been released from the Unencumbered Asset Pool in accordance with the terms of this Agreement and from the Term Loan Unencumbered Asset Pool in accordance with the terms of the Term Loan, then such Subsidiary Borrower shall be released by Agent from liability under this Agreement.”

 

11.          Section 8.1(h) of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“(h)         Derivatives Contracts (including Approved Derivatives Contracts) reasonably acceptable to Agent sufficient to ensure the Borrowers’ compliance with §9.7; and”

 

12.          Section 8.1(h) of the Credit Agreement is hereby further amended by inserting the following subsection (i) at the end thereof:

 

4

 

“(i)          the Term Loan.”

 

13.          The last (unnumbered) clause of Section 8.1 is hereby deleted in its entirety and shall be replaced by the following:

 

“Notwithstanding anything in this Agreement to the contrary, (i) none of the Indebtedness described in §8.1(g) above shall have any of the Eligible Real Estate Assets or any interest therein or any direct or indirect ownership interest in any Subsidiary Borrower as collateral, a borrowing base, asset pool or any similar form of credit support for such Indebtedness (provided that the foregoing shall not preclude Subsidiaries of the Borrowers (other than a Subsidiary Borrower) from incurring Indebtedness subject to the terms of this §8.1 or recourse to the general credit of Parent Borrower) and (ii) none of the Subsidiary Borrowers, Parent Borrower nor REIT shall create, incur, assume, guarantee or be or remain liable, contingently or otherwise, with respect to any Indebtedness (including, without limitation, pursuant to any conditional or limited guaranty or indemnity agreement creating liability with respect to usual and customary exclusions from the non recourse limitations governing the Non-Recourse Indebtedness of any Person, or otherwise) other than Indebtedness described in §8.1(a)-(i) above.”

 

14.          Section 8.2 of the Credit Agreement is hereby amended by deleted subsection (a) in its entirety and replacing such subsection with the following:

 

“(a) create or incur or suffer to be created or incurred or to exist any lien, security title, encumbrance, mortgage, pledge, negative pledge (aside from any negative pledge in relation to the Term Loan), charge, restriction or other security interest of any kind upon any of their respective property or assets of any character whether now owned or hereafter acquired, or upon the income or profits therefrom;”

 

15.          Section 8.10 of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“Restriction on Prepayment of Indebtedness.  The Borrowers will not (a) prepay, redeem, defease, purchase or otherwise retire the principal amount, in whole or in part, of any Indebtedness other than the Obligations or the obligations under the Term Loan after the occurrence of any Event of Default; provided, that the foregoing shall not prohibit (x) the prepayment of Indebtedness which is financed solely from the proceeds of a new loan which would otherwise be permitted by the terms of §8.1; and (y) the prepayment, redemption, defeasance or other retirement of the principal of Indebtedness secured by Real Estate which is satisfied solely from the proceeds of a sale of the Real Estate securing such Indebtedness; and (b) modify any document evidencing any Indebtedness (other than the Obligations) to accelerate the maturity date of such Indebtedness after the occurrence of an Event of Default.”

 

5

 

16.          Section 9.1 of the Credit Agreement is hereby deleted in its entirety and shall be replaced by the following:

 

“Unencumbered Asset Pool.  The outstanding principal balance of the Term Loan, the Loans and the Letter of Credit Liabilities shall not be greater than the Unencumbered Asset Pool Availability.”

 

17.          Representations and Warranties.

 

(a)           Borrowers hereby represent, warrant and covenant with Agent and Lenders that, as of the date hereof:

 

(i)            All representations and warranties made in the Credit Agreement and other Loan Documents remain and continue to be true and correct in all material respects, except to the extent that such representations and warranties expressly refer to an earlier date.

 

(ii)           To the knowledge of the Borrowers, there exists no Default or Event of Default under any of the Loan Documents.

 

18.          This Amendment, which may be executed in multiple counterparts, constitutes the entire agreement of the parties regarding the matters contained herein and shall not be modified by any prior oral or written discussions.  Delivery of an executed counterpart of a signature page of this Amendment by telecopy or other electronic imaging transmission (e.g. PDF by email) shall be effective as delivery of a manually executed counterpart of this Amendment.  The Borrowers hereby ratify, confirm and reaffirm all of the terms and conditions of the Credit Agreement, and each of the other Loan Documents, and further acknowledges and agrees that all of the terms and conditions of the Credit Agreement shall remain in full force and effect except as expressly provided in this Amendment.

 

19.          Any determination that any provision of this Amendment or any application hereof is invalid, illegal or unenforceable in any respect and in any instance shall not affect the validity, legality or enforceability of such provision in any other instance, or the validity, legality or enforceability of any other provisions of this Amendment.

 

20.          This Agreement shall be governed by and construed in accordance with the laws of the State of New York.

 

[SIGNATURES ON FOLLOWING PAGE]

 

6

 

It is intended that this Amendment take effect as an instrument under seal as of the date first written above.

 

	
 
    	
PARENT   BORROWER:
    
	
 
    	
 
    
	
 
    	
CORESITE,   L.P., a Delaware limited partnership, by its general partner, CoreSite   Realty Corporation, a Maryland corporation
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    

 

[SIGNATURES CONTINUE ON FOLLOWING PAGE]

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
SUBSIDIARY   BORROWERS:
    
	
 
    	
 
    
	
 
    	
CORESITE   REAL ESTATE 70 INNERBELT, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    
	
 
    	
 
    	
 
    
	
 
    	
CORESITE   REAL ESTATE 900 N. ALAMEDA, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    
	
 
    	
 
    	
 
    
	
 
    	
CORESITE   REAL ESTATE 2901 CORONADO, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    
	
 
    	
 
    	
 
    
	
 
    	
CORESITE   REAL ESTATE 1656 MCCARTHY, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
CORESITE   REAL ESTATE 427 S. LASALLE, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
CORESITE   CORONADO STENDER, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
CORESITE   REAL ESTATE 2115 NW 22ND STREET, L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:   
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
CORESITE   ONE WILSHIRE, L.L.C., a Delaware limited liability company
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:   
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
CORESITE   REAL ESTATE 12100 SUNRISE VALLEY DRIVE L.L.C., a Delaware limited   liability company
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Derek S. McCandless
    
	
 
    	
Name:
    	
Derek   S. McCandless
    
	
 
    	
Title:
    	
Senior   Vice President, Legal, Secretary and General Counsel
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
(SEAL)
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
AGENT   AND LENDERS:
    
	
 
    	
 
    
	
 
    	
KEYBANK   NATIONAL
   ASSOCIATION, individually and as Agent
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Kathy Ahern
    
	
 
    	
Name:
    	
Kathy   Ahern
    
	
 
    	
Title:
    	
Senior   Banker
    
	
 
    	
 
    
	
 
    	
 
    
	
KeyBank   National Association
    	
 
    
	
225   Franklin Street
    	
 
    
	
Boston,   Massachusetts 02110
    	
 
    
	
Attention:   Gregory W. Lane
    	
 
    
	
Telephone:
    	
617-385-6212
    	
 
    
	
Facsimile:
    	
617-385-6293
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
ROYAL   BANK OF CANADA
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Brian Gross
    
	
 
    	
Name:
    	
Brian   Gross
    
	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
Royal   Bank of Canada
    
	
 
    	
New   York Branch
    
	
 
    	
Three   World Financial Center
    
	
 
    	
200   Vesey Street
    
	
 
    	
New   York, NY 10281-8098
    
	
 
    	
Attn:    Manager, Loans Administration
    
	
 
    	
Telephone:    877-332-7455
    
	
 
    	
Facsimile:    212-428-2372
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
REGIONS   BANK
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Kerri L. Raines
    
	
 
    	
Name:   
    	
Kerri   L. Raines
    
	
 
    	
Title:
    	
Vice   President
    
	
Regions   Bank
    	
 
    	
 
    
	
6805   Morrison Boulevard, Suite 210
    	
 
    	
 
    
	
Charlotte,   NC 28211
    	
 
    	
 
    
	
Attention:   Kerri Raines
    	
 
    	
 
    
	
Telephone:   704-362-3564
    	
 
    	
 
    
	
Facsimile:   704-362-3594
    	
 
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
CITIBANK,   N.A.
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   John C. Rowland
    
	
 
    	
Name:   John C. Rowland
    
	
 
    	
Title:   Vice President
    
	
 
    	
 
    
	
CitiBank,   N.A.
    	
 
    
	
388   Greenwich Street, 23rd floor
    	
 
    
	
New   York, New York 10013
    	
 
    
	
Attention:
    	
David   L. Smith
    	
 
    
	
Telephone:
    	
212-816   3784
    	
 
    
	
Facsimile:
    	
866   421 9138
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
BANK   OF AMERICA, N.A.
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   James P. Johnson
    
	
 
    	
Name:
    	
James   P. Johnson
    
	
 
    	
Title:
    	
Senior   Vice President
    
	
 
    	
 
    
	
Bank   of America, N.A.
    	
 
    
	
315   Montgomery Street, 6th floor
    	
 
    
	
CA5-704-06-37
    	
 
    
	
San   Francisco, California 94104-1866
    	
 
    
	
Attention:
    	
James   P. Johnson
    	
 
    
	
Telephone:
    	
415-913-4699
    	
 
    
	
Facsimile:
    	
415-913-2356
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
CREDIT   SUISSE AG, CAYMAN ISLANDS BRANCH
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   William O’Daly
    
	
 
    	
Name:
    	
William   O’Daly
    
	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Sally Reyes
    
	
 
    	
Name:
    	
Sally   Reyes
    
	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
Credit   Suisse AG
    	
 
    
	
Eleven   Madison Avenue, 25th Floor
    	
 
    
	
New   York, NY 10010
    	
 
    
	
Attention:   William O’Daly
    	
 
    
	
Telephone:   212-538-1986
    	
 
    
	
Facsimile:   212-743-2254
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
COBANK,   ACB
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Nick Heslip
    
	
 
    	
Name:
    	
Nick   Heslip
    
	
 
    	
Title:
    	
Vice   President 
    
	
 
    	
 
    
	
CoBank,   ACB
    	
 
    	
 
    
	
5500   S. Quebec St.
    	
 
    	
 
    
	
Greenwood   Village, CO 80111
    	
 
    	
 
    
	
Attention:
    	
Nick   Heslip
    	
 
    	
 
    
	
Telephone:
    	
(303)   740-4154
    	
 
    	
 
    
	
Facsimile:
    	
(303)   224-2677
    	
 
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
JEFFERIES   GROUP LLC
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Alex Kelloff
    
	
 
    	
Name:   
    	
Alex   Kelloff
    
	
 
    	
Title:
    	
Managing   Director
    
	
 
    	
 
    
	
Jefferies   Group LLC
    	
 
    
	
520   Madison Avenue
    	
 
    
	
New   York, NY 10022
    	
 
    
	
Attention:
    	
Alex   Kelloff
    	
 
    
	
Telephone:
    	
212-284-8123
    	
 
    
	
Facsimile:
    	
646-514-0436
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
WELLS   FARGO BANK, NATIONAL ASSOCIATION
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Kevin A. Stacker
    
	
 
    	
Name:
    	
Kevin   A. Stacker
    
	
 
    	
Title:
    	
Vice   President
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
Address:
    	
 
    
	
 
    	
 
    
	
Wells   Fargo Bank, National Association
    	
 
    
	
1800   Century Park East
    	
 
    
	
Suite 1200
    	
 
    
	
Los   Angeles, California 90067
    	
 
    
	
Attention:   Ryan S. Gawel
    	
 
    
	
Telephone:   (310) 789-3787
    	
 
    
	
Facsimile:   (310) 789-3733
    	
 
    

 

Signature page to First Amendment to Second Amended and Restated Credit Agreement

 

 

	
 
    	
TORONTO   DOMINION (TEXAS) LLC
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Masood Fikree
    
	
 
    	
Name:
    	
Masood   Fikree
    
	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
Address:
    	
 
    
	
 
    	
 
    
	
Toronto   Dominion (Texas) LLC
    	
 
    
	
c/o   TD Securities
    	
 
    
	
Royal   Trust Tower, 25th Floor
    	
 
    
	
77   King Street West
    	
 
    
	
Toronto   Ontario M5K 1A2
    	
 
    
	
Attention:   Ruth Bengo
    	
 
    
	
Telephone:   416-983-8879
    	
 
    
	
Facsimile:   416-983-0003
    	
 
    

 

1650596.5

 

Signature page to First Amendment to Second Amended and Restated Credit AgreementExhibit 10.1

 

FIRST AMENDMENT TO LEASE AGREEMENT

 

This FIRST AMENDMENT TO LEASE AGREEMENT (the “Amendment”) dated this 9th day of December, 2013 (the “Effective Date”), is made by and between INTERCONTINENTAL FUND III 830 WINTER STREET, LLC, a Massachusetts limited liability company (the “Landlord”), and IMMUNOGEN, INC., a Massachusetts corporation (the “Tenant”).

 

RECITALS:

 

A.                                    WHEREAS, Landlord and Tenant entered into that certain Lease Agreement dated July 27, 2007 (the “Original Lease”) (collectively, as amended herein by this Amendment, the “Lease”), whereby Tenant leases certain premises from Landlord consisting of approximately 88,930 rentable square feet (the “88,930 Premises”) of space in building located at 830 Winter Street, Waltham, Massachusetts (the “Building”); and

 

B.                                    WHEREAS, Tenant desires to lease additional space in the Building consisting of approximately 18,655 rentable square feet (which consists of approximately 303 rentable square feet in the basement area of the Building, approximately 851 rentable square feet on the penthouse roof part of the Building, and approximately 17,501 rentable square feet on the first (1st) floor of the Building) (collectively, the “18,655 Premises”) and Landlord is willing to lease the 18,655 Premises to Tenant on the terms and conditions set forth herein.

 

AGREEMENT:

 

NOW THEREFORE, in consideration of the promises contained herein and other good and valuable consideration, the receipt of which is hereby acknowledged, the parties agree as follows:

 

1.                                      Capitalized Terms.  Capitalized terms not otherwise defined herein shall have the meaning assigned to them in the Lease. In the event of any conflict between terms of the Lease and terms of this Amendment, the definitions set forth in this Amendment shall control.

 

2.                                      Incorporation of Recitals.  The recitals set forth above are incorporated herein and made a part of this Amendment as if set forth herein in full.

 

3.                                      18,655 Premises.

 

3.1                               As of the 18,655 Premises Delivery Date, the term of the Lease with respect to the 18,655 Premises shall commence and continue thereafter so as to expire on March 31, 2020 (the “18,655 Premises Lease Term”). For purposes herein, the “18,655 Premises Delivery Date” shall be the date upon which Landlord delivers possession of the 18,655 Premises to Tenant in broom clean condition, free of any existing furniture

 

1

 

and personal property, with all Base Building systems in working condition, and with the environmental clean-up and remediation of the Premises performed in accordance with the proposal and scope of work from Triumverate Environmental dated October 17, 2013 and from B&V Testing, Inc. dated November 14, 2013 (the “Decommission Terms”) and attached hereto as Exhibit “D” (the “Decommission Work”). Landlord shall provide Tenant, prior to the 18,655 Premises Delivery Date, evidence reasonably satisfactory to Tenant that the Decommission Work has been completed in accordance with the Decommission Terms. For purposes herein, the “Base Building Systems” shall include the plumbing, mechanical and electrical systems serving the 18,655 Premises.

 

3.2                               As of the 18,655 Premises Delivery Date: (a) the 88,930 Premises and 18,655 Premises shall collectively be referred to as the Premises; and (b) Tenant’s Proportionate Share shall be amended to be 59.07% which is based on approximately 107,585 rentable square feet in the Premises and 182,106 rentable square feet in the Building.

 

3.3                               The 18,655 Premises Delivery Date is estimated to be January 1, 2014, provided, however, that Landlord shall not be liable for any delays with respect to the 18,655 Premises Delivery Date.

 

3.4                               Commencing after the 18,655 Premises Delivery Date, Landlord and Tenant shall enter into an 18,655 Premises Commencement Date Certificate in the form attached hereto as Exhibit “A” in order to confirm the 18,655 Premises Delivery.

 

4.                                      Fixed Rent with respect to 18,655 Premises. Commencing on the 18,655 Premises Delivery Date, Tenant shall pay Fixed Rent with respect to the 18,655 Premises in accordance with the schedule set forth below and otherwise in accordance with the terms and conditions of the Lease:

 

	
 
    	
 
    	
Monthly
   Fixed Rent
    	
 
    	
Annual Fixed
   Rent
    	
 
    	
Fixed Rent per
   Square Foot of
   Premises
    	
 
    
	
18,655 Premises Delivery Date — Month 12*
    	
 
    	
$
    	
55,965.00
    	
*
    	
$
    	
671,580.00
    	
*
    	
$
    	
36.00
    	
*
    
	
Month 13 — Month 24
    	
 
    	
$
    	
55,965.00
    	
 
    	
$
    	
671,580.00
    	
 
    	
$
    	
36.00
    	
 
    
	
Month 25 — Month 36
    	
 
    	
$
    	
57,519.58
    	
 
    	
$
    	
690,235.00
    	
 
    	
$
    	
37.00
    	
 
    
	
Month 37 — Month 48
    	
 
    	
$
    	
57,519.58
    	
 
    	
$
    	
690,235.00
    	
 
    	
$
    	
37.00
    	
 
    
	
Month 49 — Month 60
    	
 
    	
$
    	
59,074.17
    	
 
    	
$
    	
708,890.00
    	
 
    	
$
    	
38.00
    	
 
    
	
Month 61 — March 31, 2020 
    	
 
    	
$
    	
59,074.17
    	
 
    	
$
    	
708,890.00
    	
 
    	
$
    	
38.00
    	
 
    

 

2

 

*Note:  Notwithstanding the schedule set forth above, Tenant shall not be obligated to pay Fixed Rent (or any additional rent) with respect to the 18,655 Premises for the period which is one hundred eighty (180) days following the 18,655 Premises Delivery Date. For purposes of confirmation herein, Tenant shall commence paying Fixed Rent with respect to the 18,655 on the one hundred eighty-first (181st) day following the 18,655 Premises Delivery Date.

 

5.                                      Confirmation of Operating Expenses and Taxes. For purposes of confirmation herein, Tenant shall pay Tenant’s Proportionate Share of Operating Expenses and Tenant’s Proportionate Share of Taxes with respect to the Premises (which, as of the 18,655 Premises Delivery Date, includes the 88,930 Premises and 18,655 Premises) in accordance with the terms and conditions of the Lease.

 

6.                                      Utilities.  For purposes of confirmation herein, Tenant pay, or cause to be paid, directly to the proper authorities charged with the collection thereof, all charges for any utilities or services directly metered to Tenant used or consumed in the Premises (which, as of the 18,655 Premises Delivery Date, includes the 88,930 Premises and 18,655 Premises) in accordance with the terms and conditions of the Lease.

 

7.                                      Tenant’s MEP, PH Room, Rooftop HVAC Units and Vivarium Room Obligations.

 

7.1                               Tenant hereby acknowledges and confirms that it will convert the 18,655 Premises to office use which may require Tenant to modify and/or remove the current mechanical, engineering or plumbing systems (the “MEP”) currently serving the 18,655 Premises as of the Effective Date. Notwithstanding the foregoing, unless otherwise agreed to by Landlord, Tenant hereby acknowledges and confirms that throughout the term of the Lease it shall not remove the pathway or sizing of the process piping, process supply lines, process waste lines, process plumbing, exhaust lines or other ductwork and the pathway and sizing of such shall remain at all times through expiration or earlier termination of the Lease, it being understood, however, that Tenant intends to replace the ductwork following the same size and pathway as is currently configured as of the Effective Date.

 

7.2                               Upon expiration or earlier termination of the Lease, Tenant shall be required to leave the existing PH room within the Premises in place, provided however, that the PH room shall be decommissioned, removed from operation and otherwise cleaned so as to permit Tenant to issue the report to Landlord as is required under Section 28.2 of the Lease.

 

7.3                               Tenant shall remove, at its sole cost (subject to reimbursement from the Additional Construction Allowance), the Rooftop HVAC Unit 4(b) and replace it with a New Office Variable Air Volume (VAC Unit).  Tenant shall further disable the HVAC Unit 4(a), Exhaust Fans EF1A, EF1B and HVAC RTU 4A (including integral boiler plant) and, notwithstanding anything contained in the Lease to the contrary, shall have no obligations to maintain or repair Unit 4(a) or such exhaust fans during all times that they

 

3

 

are disabled. Tenant shall be responsible for the maintenance and repair of the VAV Unit during the term of the Lease.  Tenant shall have no obligation to remove the VAV Unit at the expiration of the term or to restore any existing rooftop equipment to achieve laboratory functionality. In connection with the replacement of the Rooftop HVAC Unit 4(b) with the VAC Unit, Tenant, at its sole cost and expense, shall be responsible for reconfiguring the associated electric meter(s), if necessary, so that the electric meter is consistent with Building standard materials as reasonably determined by Landlord.

 

7.4                               Notwithstanding the terms and conditions of the Lease to the contrary, Tenant shall not be required to reconstruct or restore the “vivarium” existing in the 18,655 Premises as of the Effective Date.

 

7.5                               Landlord and Tenant acknowledge that the generator serving the 18,655 Premises shall not be included in the 18,655 Premises, and that Tenant shall not use nor operate said generator, shall have no obligation to maintain or repair said generator, and shall have no obligation to remove the same upon expiration of the Lease.

 

7.6                               For purposes of confirmation herein, Tenant shall comply with all other removal obligations under the Lease, including but not limited to those set forth in Section 28 of the Original Lease.

 

8.                                      Additional Construction Allowance.  For purposes of confirmation herein, Exhibit “C”, the Additional Construction Allowance shall be incorporated herein and made a part of this Amendment.

 

9.                                      Letter of Credit.  Pursuant to Section 7.2 of the Lease, Tenant has delivered to Landlord a Letter of Credit in the amount of $2,230,660.85 in accordance with all terms and conditions of Section 7.2 of the Lease.  For purposes of confirmation herein, the Letter of Credit shall be reduced as follows upon written request from Tenant, provided, however, that upon the time of such reduction, Tenant is not in default (beyond any applicable grace period) of its obligation to pay any installment of Fixed Rent, Additional Rent or any other sum payable by Tenant hereunder:

 

(a)         Decreased to $1,911,995.02 on May 1, 2014;

(b)         Decreased to $1,593,329.19 on May 1, 2015; and

(c)          Decreased to $1,274,663.36 on May 1, 2016.

 

10.                               Parking. As of the 18,655 Premises Delivery Date, Section 33. PARKING of the Original Lease shall be deleted in its entirety and replaced with the following:

 

33. PARKING.  Pursuant to all covenants, conditions and agreements of this Lease, Landlord hereby authorizes for use by Tenant, at no additional charge to Tenant, up to 2.8 non-reserved, first-come, first-served parking spaces per 1,000 rentable square feet of the Premises leased hereunder, which is currently three hundred one (301) non-reserved, first-come, first-served parking spaces (such

 

4

 

parking spaces to be allocated as follows:  2.4 non-reserved, first-come, first-served “surface” parking spaces per 1,000 rentable square feet of the Premises leased hereunder (currently two hundred fifty-eight (258) surface parking spaces), and 0.4 non-reserved, first-come, first-served “garage” parking spaces per 1,000 rentable square feet of the Premises leased hereunder (currently forty-three (43) garage parking spaces).  Landlord reserves the right to rearrange the configuration of any parking spaces, assign particular spaces to other tenants of the Building, and otherwise change or alter the “surface” or “garage” parking in any manner whatsoever, so long as Tenant is not deprived of the use of the number of parking spaces in the allocated ratios set forth above.  Landlord does not assume any responsibility for, and shall not be liable for, any damage, loss or theft (of any nature whatsoever) to or of any automobiles or other vehicles, or any contents or other Personal Property located therein, while in or about the surface parking lot or structured parking garage.

 

11.                               Subordination, Non-Disturbance and Attornment Agreement.

 

11.1                        In connection with this Amendment, Landlord and Tenant shall sign a Subordination Agreement, Acknowledgement of Lease Assignment, Estoppel, Attornment and Non-Disturbance Agreement in the form attached hereto as Exhibit “B”.  Landlord will obtain Lender’s signature to the same within thirty (30) days following the Effective Date.

 

11.2                        Exhibit “H” attach to the Original Lease shall be deleted in its entirety and replaced with Exhibit “B” attached hereto to this Amendment.

 

12.                               Confirmation of Right of First Offer. For purposes of confirmation herein, Landlord and Tenant hereby acknowledge and confirm that Section 35. RIGHT OF FIRST OFFER as set forth in the Original Lease is hereby in full force and effect.

 

13.                               Confirmation of Extension Option. For purposes of confirmation herein, Landlord and Tenant hereby acknowledge and confirm that Section 36. EXTENSION OPTION as set forth in the Original Lease is hereby in full force and effect.

 

14.                               Brokers.  Landlord and Tenant represent and warrant to the other that except for: Richards Barry Joyce and Partners, representing Landlord exclusively (the “Landlord’s Broker”) and T3 Realty, representing Tenant exclusively (the “Tenant’s Broker”), they have not made any agreement or taken any action which may cause anyone to become entitled to a commission as a result of the transactions contemplated by this Amendment, and each will indemnify and defend the other from any and all claims, actual or threatened, for compensation by any such third person by reason of such party’s breach of their representation or warranty contained in this Section 14. Landlord will pay any commission due to Landlord’s Broker and Tenant’s Broker pursuant to its separate agreement between Landlord and Landlord’s Broker.

 

15.                               Ratification of Lease.  Except as modified by this Amendment, all other terms and conditions of the Lease remain unchanged and in full force and effect.

 

5

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the Effective Date.

 

LANDLORD:

 

INTERCONTINENTAL FUND 830 WINTER STREET, LLC

a Massachusetts limited liability company

 

	
By:
    	
INTERCONTINENTAL   REAL ESTATE INVESTMENT FUND III, LLC
    
	
 
    	
a   Massachusetts limited liability company, its Manager
    
	
 
    	
 
    
	
 
    	
By:
    	
INTERCONTINENTAL   REAL ESTATE CORPORATION
    
	
 
    	
 
    	
a   Massachusetts corporation, its Manager
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/   Peter Palandjian
    	
 
    
	
 
    	
Name:
    	
Peter   Palandjian
    	
 
    
	
 
    	
Title:
    	
President &   Treasurer
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
TENANT:
    
	
 
    	
 
    
	
IMMUNOGEN, INC.
    
	
 
    	
 
    	
 
    
	
By:
    	
/s/   Craig Barrows
    	
 
    
	
Print   Name:
    	
Craig   Barrows
    	
 
    
	
Title:
    	
VP,   GC
    	
 
    

 

6

 

EXHIBIT “A”

 

18,655 PREMISES COMMENCEMENT DATE CERTIFICATE

 

RE:                           First Amendment to Lease dated                              (the “Amendment”) by and between INTERCONTINENTAL FUND III 830 WINTER STREET, LLC, a Massachusetts limited liability company (the “Landlord”), and IMMUNOGEN, INC., a Massachusetts corporation (the “Tenant”).

 

Dear Tenant:

 

This document shall constitute the 18,655 Premises Commencement Date Certificate referenced in Section 3.4 of the above referenced Amendment. Unless otherwise defined herein, all capitalized terms shall have the same meaning assigned to them in the Amendment.

 

1.                                                              The 18,655 Premises Delivery Date shall be deemed to be                   .

 

2.                                      The 18,655 Premises Lease Term shall be                            through March 31, 2020.

 

3.                                      Fixed Rent with respect to the 18,655 Premises Commencement Date shall be paid in accordance with the following schedule:

 

	
 
    	
 
    	
Monthly
   Fixed Rent
    	
 
    	
Annual Fixed
   Rent
    	
 
    	
Fixed Rent per
   Square Foot of
   Premises
    	
 
    
	
18,655 Premises Delivery Date — Month 12*
    	
 
    	
$
    	
55,965.00
    	
*
    	
$
    	
671,580.00
    	
*
    	
$
    	
36.00
    	
*
    
	
Month 13 — Month 24
    	
 
    	
$
    	
55,965.00
    	
 
    	
$
    	
671,580.00
    	
 
    	
$
    	
36.00
    	
 
    
	
Month 25 — Month 36
    	
 
    	
$
    	
57,519.58
    	
 
    	
$
    	
690,235.00
    	
 
    	
$
    	
37.00
    	
 
    
	
Month 37 — Month 48
    	
 
    	
$
    	
57,519.58
    	
 
    	
$
    	
690,235.00
    	
 
    	
$
    	
37.00
    	
 
    
	
Month 49 — Month 60
    	
 
    	
$
    	
59,074.17
    	
 
    	
$
    	
708,890.00
    	
 
    	
$
    	
38.00
    	
 
    
	
Month 61 — March 31, 2020 
    	
 
    	
$
    	
59,074.17
    	
 
    	
$
    	
708,890.00
    	
 
    	
$
    	
38.00
    	
 
    

 

*Note:  Notwithstanding the schedule set forth above, Tenant shall not be obligated to pay Fixed Rent (or any additional rent) with respect to the 18,655 Premises for the period which is one hundred eighty (180) days following the 18,655 Premises Delivery Date. For purposes of confirmation herein, Tenant shall commence paying Fixed Rent with respect to the 18,655 on the one hundred eighty-first (181st) day following the 18,655 Premises Delivery Date.

 

7

 

IN WITNESS WHEREOF, the parties hereto have executed this 18,655 Premises Commencement Date Certificate as of this         day of                             2013.

 

LANDLORD:

 

INTERCONTINENTAL FUND 830 WINTER STREET, LLC

a Massachusetts limited liability company

 

	
By:
    	
INTERCONTINENTAL   REAL ESTATE INVESTMENT FUND III, LLC
    
	
 
    	
a   Massachusetts limited liability company, its Manager
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
INTERCONTINENTAL   REAL ESTATE CORPORATION
    
	
 
    	
 
    	
a   Massachusetts corporation, its Manager
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    	
 
    
	
 
    	
Name:
    	
Peter   Palandjian
    	
 
    
	
 
    	
Title:
    	
President &   Treasurer
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
TENANT:
    
	
 
    
	
IMMUNOGEN, INC.
    
	
 
    	
 
    	
 
    
	
By:
    	
 
    	
 
    
	
Print Name:
    	
 
    	
 
    
	
Title:
    	
 
    	
 
    

 

8

 

EXHIBIT “B”

 

SUBORDINATION AGREEMENT, ACKNOWLEDGEMENT OF LEASE ASSIGNMENT, ESTOPPEL, ATTORNMENT AND NON-DISTURBANCE AGREEMENT

 

ATTACHED HERETO

 

9

 

EXHIBIT “C”

 

ADDITIONAL CONSTRUCTION ALLOWANCE

 

1.                                      As an inducement to Tenant’s entering into this Amendment, Landlord shall provide to Tenant a tenant improvement allowance of up to $40.00 per rentable square foot of the 18,655 Premises (totaling $746,200.00 based on 18,655 rentable square feet) (the “Additional Construction Allowance”) to be used by Tenant to pay for the cost to make certain improvements in the 18,655 Premises (“18,655 Premises Work”). Landlord and Tenant specifically agree that Tenant may only apply the Additional Construction Allowance toward “hard costs” and Tenant shall not be permitted to apply the Additional Construction Allowance towards “soft costs” which include, but shall not be limited to, architect’s and engineer’s fees, or furniture, fixtures and equipment expenses.

 

2.                                      Prior to the commencement of the 18,655 Premises Work, Tenant shall be required to submit for Landlord’s prior written approval, which approval shall not be unreasonably withheld, conditioned or delayed: (a) all plans and specifications relating to the 18,655 Premises; and (b) the list of all contractors and architects who will be performing or working in connection with the 18,655 Premises Work.

 

3.                                      Landlord shall pay Landlord’s Proportion (as hereinafter defined) of the cost shown on each requisition (as hereinafter defined) submitted by Tenant to Landlord within thirty (30) days of submission thereof until the entirety of the Additional Construction Allowance has been exhausted.  If requested by Tenant, Landlord shall pay Landlord’s Proportion directly to Tenant’s contractors, vendors, service providers and consultants; provided, however, such arrangement is acceptable to Landlord’s mortgagee (if any).  For purposes of the 18,655 Premises Work, “Landlord’s Proportion” shall be a fraction, the numerator of which is the Additional Construction Allowance, and the denominator of which is the total contract price for the 18,655 Premises Work. A “requisition” shall mean written documentation, including, without limitation, (i) invoices from Tenant’s contractors, vendors, service providers and consultants, and such other documentation as Landlord may reasonably request, showing in reasonable detail the cost of the items in question or improvements installed to date in the 18,655 Premises, accompanied by certifications from Tenant that the amount of the requisition in question is true and correct and does not exceed the cost of the items or improvements covered by such requisition; and (ii) evidence that all of the 18,655 Premises Work and other work done by or on behalf of Tenant which could give rise to any mechanic’s or materialman’s liens has been paid for in full and that any and all liens therefor that have been or may be filed have been satisfied of record or waived (“Lien Waivers”) with respect to the prior month’s requisition.  Landlord shall have the right, upon reasonable advance notice to Tenant, to inspect Tenant’s books and records relating to each requisition in order to verify the amount thereof.

 

4.                                      Notwithstanding anything to the contrary contained herein:

 

(a)                                 Tenant shall not submit requisitions, nor shall Landlord have any

 

10

 

obligation to advance funds on account of the Additional Construction Allowance, more often than once per month.

 

(b)                                 If Tenant fails to pay the amounts paid by Landlord to Tenant in the prior month’s requisition to Tenant’s contractors, vendors, service providers and consultants, Landlord shall thereafter have the right to have the Additional Construction Allowance paid directly to Tenant’s contractors, vendors, service providers and consultants.

 

(c)                                  Landlord shall have no obligation to pay any portion of the Construction Allowance with respect to any requisition submitted after the date which is three (360) days following the 18,655 Premises Delivery Date (the “Outside Requisition Date”); provided, however, that if Tenant certifies to Landlord that it is engaged in a good faith dispute with a contractor, vendor, service provider or consultant, such Outside Requisition Date shall be extended while such dispute is ongoing, so long as Tenant is diligently pursuing the resolution of such dispute.  Tenant shall not be entitled to receive any portion of the Additional Construction Allowance except to the extent that it has submitted requisitions, and/or made demand therefor, on or before the Outside Requisition Date.

 

(d)                                 In addition to all other requirements hereof, Landlord’s obligation to pay the final requisition of the Additional Construction Allowance shall be subject to simultaneous delivery of all Lien Waivers in connection with the 18,655 Premises Work.

 

11

 

EXHBIT “D”

 

THE DECOMISSION WORK

 

ATTACHED HERETO

 

12

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00225-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00225-of-00352.parquet"}]]