Document:

Exhibit 10.30

 

LEASE

 

BETWEEN

 

BOSTON WHARF CO.

 

Landlord

 

AND

 

THE MacGREGOR GROUP, INC.

 

Tenant

 

321 Summer Street

 

Boston, Massachusetts

 

 

AGREEMENT OF LEASE

 

AGREEMENT OF LEASE
made as of the 15th day of August, 2000, by and between BOSTON WHARF CO.,
a Massachusetts general partnership (hereinafter referred to as “Landlord”) and
THE MacGREGOR GROUP, INC., a Delaware corporation (hereinafter referred to as “Tenant”).

 

WITNESSETH:

 

Landlord hereby leases to
Tenant and Tenant hereby hires from Landlord the entire first (1st), second
(2nd) and third (3rd) floors and a portion of the so-called second basement
level, all as shown on Exhibit A attached hereto and made a part hereof
(hereinafter referred to as the “Premises” or the “Demised Premises”) contained
in the building known and numbered as 321 Summer Street, Boston, Suffolk
County, Massachusetts (hereinafter referred to as the “Building”).

 

1.             REFERENCE DATA

 

Each reference in this
Lease to any of the terms and titles contained in this Article shall be
deemed and construed to incorporate the data stated following that term or
title in this Article.

 

	
  1)

  	
   

  	
  Additional Rent:

  	
  Sums or other charges
  payable by Tenant to Landlord under this Lease, other than Yearly Fixed Rent.

  
	
   

  	
   

  	
   

  	
   

  
	
  2)

  	
   

  	
  Brokers:

  	
  Cushman &
  Wakefield of Massachusetts, Inc.

  
	
   

  	
   

  	
   

  	
   

  
	
  3)

  	
   

  	
  Business Day:

  	
  All days except
  Saturdays, Sundays, days defined as “legal holidays” for the entire state
  under the laws of the Commonwealth of Massachusetts, and such other days as
  Tenant presently or in the future recognizes as holidays for Tenant’s general
  staff.

  
	
   

  	
   

  	
   

  	
   

  
	
  4)

  	
   

  	
  Final Plans Date:

  	
  August 1,2000.

  
	
   

  	
   

  	
   

  	
   

  
	
  5)

  	
   

  	
  Land:

  	
  The parcel of land on
  which the Building is situated.

  
	
   

  	
   

  	
   

  	
   

  
	
  6)

  	
   

  	
  Landlord’s Address:

  	
  253 Summer Street

  Boston, Massachusetts 02210

  
	
   

  	
   

  	
   

  	
   

  
	
  7)

  	
   

  	
  Landlord’s Architect:

  	
  Any licensed architect
  designated by Landlord.

  
	
   

  	
   

  	
   

  	
   

  
	
  8)

  	
   

  	
  Lease Year:

  	
  A twelve (12) month
  period beginning on the Term Commencement Date and each succeeding twelve
  (12) month period during the Term of this Lease, except that if the Term
  Commencement Date shall be other than the first day of a calendar month, the
  first Lease Year shall include the partial calendar month in which the Term

  

 

1

 

	
   

  	
   

  	
   

  	
  Commencement Date
  occurs as well as the succeeding twelve (12) full calendar months.

  
	
   

  	
   

  	
   

  	
   

  
	
  9)

  	
   

  	
  Mortgage:

  	
  A mortgage, deed of
  trust, trust indenture, or other security instrument of record creating an
  interest in or affecting title to the Property or any part thereof or
  interest therein, and any and all renewals, modifications, consolidations or
  extensions of any such instrument.

  
	
   

  	
   

  	
   

  	
   

  
	
  10)

  	
   

  	
  Mortgagee:

  	
  The holder of any
  Mortgage.

  
	
   

  	
   

  	
   

  	
   

  
	
  11)

  	
   

  	
  Property:

  	
  The Land and Building.

  
	
   

  	
   

  	
   

  	
   

  
	
  12)

  	
   

  	
  Rent:

  	
  Yearly Fixed Rent and
  Additional Rent.

  
	
   

  	
   

  	
   

  	
   

  
	
  13)

  	
   

  	
  Rentable Area:

  	
  37,551 square feet.

  
	
   

  	
   

  	
   

  	
   

  
	
  14)

  	
   

  	
  Tenant’s Address:

  	
  Until the Term
  Commencement Date, 316 Summer Street, Boston, Massachusetts 02210, and
  thereafter, the Demised Premises.

  
	
   

  	
   

  	
   

  	
   

  
	
  15)

  	
   

  	
  Term Commencement 

  	
   

  
	
   

  	
   

  	
  Date:

  	
  As defined in
  Section 3.2.

  
	
   

  	
   

  	
   

  	
   

  
	
  16)

  	
   

  	
  Term of this Lease:

  	
  As defined in
  Section 3.1.

  
	
   

  	
   

  	
   

  	
   

  
	
  17)

  	
   

  	
  Termination Date:

  	
  As defined in
  Section 3.1.

  
	
   

  	
   

  	
   

  	
   

  
	
  18)

  	
   

  	
  Use of Demised
  Premises:

  	
  General office
  purposes.

  
	
   

  	
   

  	
   

  	
   

  
	
  19)

  	
   

  	
  Yearly Fixed Rent:

  	
  $1,192,244.28 through
  the end of the fifth Lease Year, and $1,380,000 thereafter.

  

 

2.             DESCRIPTION OF DEMISED PREMISES

 

2.1           Demised Premises. The Demised Premises are that portion of the
Building as described above (as the same may from time to time be constituted
after changes therein, additions thereto and eliminations therefrom pursuant to
rights of Landlord hereinafter reserved).

 

2.2           Appurtenant Rights. Tenant shall have, as appurtenant to the Demised
Premises, rights to use in common, subject to reasonable rules from time
to time made by Landlord of which Tenant is given notice, those common
roadways, walkways, elevators, hallways and stairways necessary for access to
that portion of the Building occupied by the Demised Premises. Subject to
Landlord’s reasonable security requirements, Tenant shall have access to the
Demised Premises at all times, utilizing keys or such other devices as Landlord
may supply to regulate entry by means of the main entrance of the Building.

 

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2.3           Reservations. All the perimeter walls of the Demised Premises
except the inner surfaces thereof, any space in or adjacent to the Demised
Premises used for servicing other portions of the Building exclusively or in
common with the Demised Premises, including without limitation (where
applicable) shafts, stacks, pipes, conduits, wires and appurtenant fixtures,
fan rooms, ducts, electric or other utilities, sinks or other Building
facilities, and the use thereof, as well as the right of access through the
Demised Premises for the purpose of operation, maintenance, decoration and
repair, are expressly reserved to Landlord.

 

3.             TERM OF LEASE

 

3.1           Term. The Term of this Lease is ten (10) years (or
until such Term shall sooner cease or expire) commencing on the Term
Commencement Date and ending on the day immediately prior to the tenth (10th)
anniversary thereof, except that if the Term Commencement Date is other than
the first day of a calendar month, the Term of this Lease shall end on the last
day of the calendar month in which said tenth (10th) anniversary occurs. The date
on which the Term of this Lease is scheduled to expire is hereinafter referred
to as the “Termination Date”.

 

3.2           Term Commencement Date. The Term Commencement Date shall be the earlier of
(a) the date on which, pursuant to permission therefor duly given by
Landlord, Tenant undertakes Use of the Demised Premises for general office
purposes, or (b) the date on which the Demised Premises are ready for
Tenant’s occupancy in accordance with the provisions of Section 4.2.

 

3.3           Option to Extend. So long as this Lease remains in full force and
effect, Tenant may extend the Term of this Lease for five (5) years by
giving notice of such election to Landlord at least twelve (12) months prior to
the originally-scheduled Termination Date. Such extension shall be on the same
terms and conditions set forth herein, subject to the provisions of
Section 6.1, except that Tenant shall have no further option to extend
said Term.

 

4.             WORK BY LANDLORD; TENANT’S ACCESS

 

4.1           Completion Date - Delays. Subject to delay by causes beyond the
reasonable control of Landlord or caused by the action or inaction of Tenant,
Landlord shall use reasonable diligence in order to have the Demised Premises
ready for occupancy by Tenant as soon as practicable. The failure to have the
Demised Premises so ready by a particular date shall in no way affect the
validity of this Lease or the obligations of Tenant hereunder, provided however
that Tenant may terminate this Lease by notice given to Landlord at any time
after May 31, 2001 if the Demised Premises are not ready for Tenant’s
occupancy within fifteen (15) days following receipt of such notice.

 

4.2           When Premises Deemed Ready. The Demised Premises shall be
conclusively deemed ready for Tenant’s occupancy after Landlord gives notice to
Tenant, together with a certificate from Landlord’s Architect, that the
installations to be done by Landlord in the Demised Premises (as hereinafter
set forth in this Article) have been substantially completed by Landlord
insofar as is practicable in view of delays or defaults, if any, of Tenant.
Such work shall not be deemed incomplete if only minor or insubstantial details
of construction or

 

3

 

mechanical adjustments
remain to be done, or if a delay is caused in whole or in part by Tenant
through the delay of Tenant in submitting any plans and/or specifications,
supplying information, approving plans, specifications or estimates, giving
authorization or otherwise. Landlord’s Architect’s certificate of substantial
completion, as hereinabove stated, given in good faith, or of any other facts
pertinent to this Article, shall be deemed conclusive of the statements therein
contained and binding upon Tenant.  
Following the completion of the work to be performed by Landlord pursuant
to this Article, Landlord shall obtain from the Boston Inspectional Services
Department a certificate authorizing the use and occupancy of the Demised
Premises pursuant to the applicable provisions of the Massachusetts State
Building Code. Landlord will save Tenant harmless, and will exonerate and
indemnify Tenant from and against, any claims, liabilities, penalties, damages,
losses, costs and expenses (including without limitation reasonable attorneys’
fees) resulting from Landlord’s failure to obtain such certificate.

 

4.3           Landlord’s Work. Landlord shall, at Landlord’s expense, perform the
work described in Exhibit B attached hereto and made a part hereof in
order to make certain improvements to the so-called shell and core of the
Building (hereinafter referred to as the “Base Building Work”). In addition,
Landlord shall perform such further work as may be necessary to lay out the
Demised Premises for Tenant’s occupancy (hereinafter referred to as the
“Premises Work”). Tenant shall furnish final architectural, electrical and
mechanical construction drawings and specifications describing the Premises
Work (hereinafter referred to as the “Plans”). The Plans shall be subject to
approval by Landlord and Landlord’s Architect (which approval shall not be unreasonably
withheld or delayed in the case of any proposed Premises Work of an interior,
non-structural nature) and shall be prepared so as to comply with their
requirements in order to avoid conflict with the design and function of the
Building. It shall be Tenant’s responsibility to assure that the Plans have
been delivered to Landlord and approved as aforesaid on or before the Final
Plans Date. Tenant has assured itself by direct communication with architects
and engineers that the final, approved Plans can be delivered to Landlord on or
before the Final Plans Date, provided that Tenant promptly furnishes complete
information concerning its requirements to said architects and engineers as and
when requested by them; and Tenant covenants and agrees to cause said final,
approved Plans to be delivered to Landlord on or before said Final Plans Date
and to devote such time as may be necessary in consultation with said
architects and engineers to enable them to complete and submit all Plans within
the required time limit. Following the presentation to Landlord of invoices and
receipts evidencing to Landlord’s reasonable satisfaction the architectural and
engineering costs incurred by Tenant with respect to the Plans, Landlord shall
pay to Tenant an amount equal to such costs (hereafter referred to as the
“Design Allowance”). Landlord shall solicit bids from the contractors
identified on Exhibit B-1 attached hereto and made a part hereof for the
performance of the Premises Work subject to such terms and conditions as
Landlord may customarily prescribe for projects of such type. Landlord shall
provide copies of such bids to Tenant and Tenant shall, within seven
(7) days thereafter, select a contractor from among the bidders to perform
the Premises Work.

 

4.4           Conclusiveness of Landlord’s Performance. Tenant shall be conclusively deemed to
have agreed that Landlord has performed all of its obligations under this
Article 4 unless not later than the end of the ninth calendar month next
beginning after Landlord’s notice of substantial completion under
Section 4.2 Tenant shall give Landlord written notice specifying the
respects in which Landlord has not performed such obligations. Landlord shall
promptly correct any defective or incomplete items of work specified in any such
notice. Landlord shall in

 

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all events be responsible
throughout the Term of this Lease for performance of the repairs described in
Section 7.4, and shall further use reasonable efforts to enforce on Tenant’s
behalf any warranties received by Landlord in connection with the work
described in the Plans.

 

4.5           Entry by Tenant; Interference With Construction. In the event that Tenant is permitted
by Landlord to enter the Demised Premises prior to the Term Commencement Date
to undertake such work as is to be performed by Tenant pursuant to this Lease
in order to prepare the Demised Premises for Tenant’s occupancy, such entry
shall be deemed to be pursuant to a license from Landlord to Tenant and shall
be at the risk of Tenant. In no event shall Tenant interfere with any
construction work being performed by or on behalf of Landlord in or around the
Building; without limiting the generality of the foregoing, Tenant shall comply
with all instructions issued by Landlord’s contractors relative to the moving
of Tenant’s equipment and other property into the Demised Premises and shall
pay any fees or costs imposed in connection therewith.

 

4.6           Tenant’s Cost. Tenant shall bear all costs incurred by Landlord in
order to perform the Premises Work to the extent that such costs exceed
Landlord’s Contribution (as such term is hereinafter defined). Payment of such
excess costs shall be made prorata as the Premises Work progresses, and within
ten (10) days next following periodic billings by Landlord to Tenant. For
purposes hereof, “Landlord’s Contribution” shall mean the sum of $938,775 less
the Design Allowance.

 

4.7           Change Orders. Tenant may from time to time propose revisions to
the Plans. Landlord shall not unreasonably withhold its consent to any such
revisions of a non-structural nature which will not tend to delay completion of
Landlord’s work hereunder and do not affect the common areas or facilities of
the Property. To the extent that the Plans are revised hereunder so as to
result in any increase or decrease in the cost of such work, the amount of such
increase shall be added to and the amount of such decrease shall subtracted
from the amount which Tenant is obligated to pay pursuant to Section 4.6.

 

5.             USE OF PREMISES

 

5.1           Permitted Use. Tenant may during the Term of this Lease occupy and
use the Demised Premises for the permitted Use set forth in Article 1 and
for no other purpose. Service and utility areas (whether or not a part of the
Demised Premises) shall be used only for the particular purpose for which they
are designated.

 

5.2           Prohibited Uses. Tenant shall not use, or suffer or permit the use
of, or suffer or permit anything to be done in or anything to be brought into
or kept in, the Demised Premises or any part thereof (i) which would
violate any of the covenants, agreements, terms, provisions and conditions of
this Lease, (ii) for any unlawful purposes or in any unlawful manner, or
(iii) which, in the reasonable judgment of Landlord shall in any way
(a) impair or tend to impair the appearance or reputation of the Building,
(b) impair or interfere with or tend to impair or interfere with any of
the Building services or the proper and economic heating, cleaning, air
conditioning or other servicing of the Building or with the use of any of the
other areas of the Building, or (c) occasion discomfort, inconvenience or
annoyance to any of the other tenants or occupants of the Building, whether
through the transmission of noise or odors or otherwise.

 

5

 

Without limiting the
generality of the foregoing, no food shall be prepared or served for
consumption by the general public on or about the Demised Premises; no
intoxicating liquors or alcoholic beverages shall be sold or otherwise
permitted on or about the Demised Premises; no lottery tickets (even where the
sale of such tickets is not illegal) shall be sold and no gambling, betting or
wagering shall otherwise be permitted on or about the Demised Premises; no
machinery shall be operated in the Demised Premises if such operation involves
vibratory motion of any kind; no loitering shall be permitted on or about the
Demised Premises; and no loading or unloading of supplies or other material to
or from the Demised Premises shall be permitted on the Land except at times and
in locations to be designated by Landlord. The Demised Premises shall be
maintained in a sanitary condition, and kept free of rodents and vermin. All
trash and rubbish shall be suitably stored in the Demised Premises or other
locations designated by Landlord from time to time.

 

5.3           Licenses and Permits. If any governmental license or permit shall be
required for the proper and lawful conduct of Tenant’s business, and if the
failure to secure such license or permit would in any way affect Landlord,
Tenant, at Tenant’s expense, shall (subject to Landlord’s obligations set forth
in Article 4) duly procure and thereafter maintain such license or permit
and submit the same to inspection by Landlord. Tenant, at Tenant’s expense,
shall at all times comply with the terms and conditions of each such license or
permit.

 

6.             RENT

 

6.1           Yearly Fixed Rent. Tenant shall pay to Landlord, without any set-off or
deduction, at Landlord’s office, or to such other person or at such other place
as Landlord may designate by notice to Tenant, the Yearly Fixed Rent set forth
in Article 1, provided however that, if Tenant duly exercises its option
pursuant to Section 3.3 to extend the Term hereof, the Yearly Fixed Rent
shall be increased effective as of the commencement of such extension period to
reflect the fair market rental value of the Demised Premises for the balance of
the Term of this Lease, taking into account Tenant’s obligations to pay
Additional Rent and all other provisions of this Lease. If Tenant so requests
in writing, Landlord shall, within ten (10) days following receipt of such
request (but no sooner than fifteen (15) months prior to the
originally-scheduled Termination Date) notify Tenant of Landlord’s opinion as
to said fair market rental value. If no such request has been received by
Landlord, Landlord shall render such opinion following Tenant’s exercise of its
option to extend the Term of the Lease as aforesaid, and if Landlord and Tenant
have not in any event mutually agreed upon the same as of the thirtieth (30th)
day following Landlord’s receipt of Tenant’s notice of such exercise, then in
such event said fair market rental value shall be determined by appraisers, one
to be chosen by Landlord, one to be chosen by Tenant, and a third to be
selected by the two first chosen. All appraisers chosen or selected hereunder
shall be independent of the parties, shall have received the M.A.I. (Member,
Appraisal Institute) designation from the American Institute of Real Estate Appraisers
and shall have had at least ten (10) years of experience in appraising
office space in the downtown or Fort Point Channel sections of the City of
Boston. The unanimous written decision of the first two chosen, without
selection and participation of a third appraiser, or otherwise the written
decision of a majority of three appraisers chosen and selected as aforesaid,
shall be conclusive and binding upon Landlord and Tenant. Landlord and Tenant
shall each notify the other of its chosen appraiser within ten (10) days
following expiration of the aforesaid thirty (30) day period and, unless such
two appraisers shall have reached a unanimous decision within thirty (30) days

 

6

 

after having been chosen,
they shall within a further ten (10) days elect a third appraiser and
notify Landlord and Tenant thereof. Each party shall bear the expense of the
appraiser chosen by such party pursuant to this Section, and the parties shall
equally share the expense of the third appraiser (if any). If the Yearly Fixed
Rent for such extension period shall not have been “ determined prior to the
commencement thereof, Tenant shall continue to pay Yearly Fixed Rent at the
rate most recently in effect, subject to retroactive adjustment once the Yearly
Fixed Rent for such period has in fact been determined. In no event shall the
foregoing provisions be construed so as to result in any reduction in the Rent
payable by Tenant or in any increase in Yearly Fixed Rent so as to exceed the
value set forth in the opinion rendered by Landlord as aforesaid. Yearly Fixed
Rent shall be paid in equal monthly installments in advance on or before the
first Business Day of each calendar month during the Term of this Lease and
shall be apportioned for any fraction of a month in which Yearly Fixed Rent
first becomes payable or in which the last day of the Term of this Lease may
fall.

 

6.2           Taxes. Tenant shall pay to Landlord as Additional Rent a
proportionate share (as defined in Section 6.4) of all real estate taxes
(including without limitation all betterment assessments, all fire service
availability fees and similar charges for customary governmental services, all
other charges in lieu of such taxes and any tax on any fixture installed in the
Building, even if taxed as personal property) imposed against the Building and
the Land, in excess of $222,732.50, pro-rated with respect to any portion of a
fiscal year in which the Term of this Lease begins or ends. Such payments shall
be due and payable in installments corresponding to those in which such taxes
are payable by Landlord, and within fifteen (15) days after Tenant shall have
received a copy of the relevant tax bills. If Landlord shall receive any refund
of real estate taxes of which Tenant has paid a portion pursuant to this
Section, then, out of any balance remaining after deducting Landlord’s expenses
incurred in obtaining such refund, Landlord shall pay to Tenant the same
proportionate share of said balance, prorated as set forth above. Tenant shall,
if as and when demanded by Landlord and with each monthly installment of Yearly
Fixed Rent, make tax fund payments to Landlord. “Tax fund payments” refer to
such payments as Landlord shall reasonably determine to be sufficient to
provide in the aggregate a fund adequate to pay, when they become due and
payable, all payments required from Tenant under this Section. In the event
that said tax fund payments are so demanded, and if the aggregate of said tax
fund payments is not adequate to pay Tenant’s share of such taxes, Tenant shall
pay to Landlord the amount by which such aggregate is less than the amount of
said share such payment to be due and payable at the time set forth above. Any
surplus tax fund payments shall be accounted for to Tenant after payment by
Landlord of the taxes on account of which they were made, and shall be credited
by Landlord against future tax fund payments or refunded to Tenant at Tenant’s
option.

 

6.3           Operating Expenses. Tenant shall pay to Landlord as Additional Rent a
proportionate share (as defined in Section 6.4) of all annual costs and
expenses incurred by Landlord in the operation and maintenance of the Building
and the Land in excess of $445,465, including, without limiting the generality
of the foregoing, all such costs and expenses in connection with
(1) insurance, sprinkler service, license fees, security, trash and
rubbish removal, janitorial service, landscaping, and snow removal,
(2) wages, salaries, management fees (not exceeding 5% of rents and other
Building revenue), employee benefits, payroll taxes, administrative and
auditing expenses, and equipment and materials for the operation, management
and maintenance of the Property, (3) any capital expenditure (amortized,
with

 

7

 

interest, on such
reasonable basis as Landlord shall determine) made by Landlord for the purpose
of achieving a reasonably-corresponding reduction of other operating expenses
or complying with any governmental requirement imposed after the date of this
Lease, (4) the furnishing of heat, air conditioning, water and other
utilities, (5) the operation and servicing of any computer system
installed to regulate Building equipment, (6) the furnishing of the
repairs and services referred to in Section 7.4 and (7) unless such
costs and expenses for a particular year include management fees, a supervisory
and overhead fee which shall be in an amount equal to ten percent (10%) of all
other such costs and expenses (the foregoing being hereinafter referred to as
“operating expenses”). If, during any portion of a fiscal year for which
operating expenses are being computed pursuant to this Section, less than the
entire rentable area of the Building is occupied or Landlord is not supplying
all occupants with the same services being supplied hereunder, such costs and
expenses shall be reasonably extrapolated in order to take into account the
costs and expenses which would have been incurred had the entire rentable area
of the Building been occupied and had such services been supplied to all
occupants. As soon as Tenant’s share of operating expenses with respect to any
fiscal year established from time to time by Landlord can be determined, the
same will be certified by Landlord to Tenant and will become payable to Landlord
within thirty (30) days following such certification, subject to proration with
respect to any portion of a fiscal year in which the Term of this Lease begins
or ends or in the event that Landlord designates a different fiscal year.
Tenant shall, if as and when demanded by Landlord and with each monthly
installment of Yearly Fixed Rent, make operating fund payments to Landlord.
“Operating fund payments” refer to such payments as Landlord shall reasonably
determine to be sufficient to provide in the aggregate a fund adequate to pay,
when they become due and payable, all payments required from Tenant under this
Section. In the event that operating fund payments are so demanded, and if the
aggregate of said operating fund payments is not adequate to pay Tenant’s share
of operating expenses, Tenant shall pay to Landlord the amount by which such
aggregate is less than the amount of said share, such payment to be due and
payable at the time set forth above. Any surplus operating fund payments shall
be accounted for to Tenant after such surplus has been determined, and shall be
credited by Landlord against future operating fund payments or refunded to
Tenant at Tenant’s option.

 

6.4           Tenant’s Proportionate Share. Tenant’s proportionate share of taxes
and operating expenses pursuant to Sections 6.2 and 6.3 shall be computed
according to the ratio (initially 42.14%, but subject to adjustment as of the
last day of the relevant fiscal year in the event of any reconfiguration of the
Demised Premises or structural expansion of the Building) between the Rentable
Area of the Demised Premises (as defined in Article 1) and the total
rentable area of all space in the Building. Computations of rentable area other
than in the Demised Premises shall be made by Landlord’s Architect, whose good
faith determination shall be conclusive and binding on Tenant.

 

6.5           Payment to Mortgagee. Landlord reserves the right to provide in any
Mortgage given by it of the Property that some or all rents, issues, and
profits and all other amounts of every kind payable to the Landlord under this
Lease shall be paid directly to the Mortgagee for Landlord’s account and Tenant
covenants and agrees that it will, after receipt by it of notice from Landlord
designating such Mortgagee to whom payments are to be made by Tenant, pay such
amounts thereafter becoming due directly to such Mortgagee until excused
therefrom by notice from such Mortgagee.

 

8

 

7.             UTILITIES AND LANDLORD’S SERVICES

 

7.1           Electricity. Tenant shall purchase the electrical energy that
Tenant requires for operation of the lighting fixtures, appliances and
equipment (including without limitation all air conditioning equipment)
servicing the Demised Premises. The costs of initially installing any required
meter shall be paid by Landlord, but Tenant shall keep said meter and
installation equipment in good working order and repair. Landlord shall not be
liable in any way to Tenant for any failure or defect in the supply or
character of electrical energy furnished to the Demised Premises by reason of
any requirement, act or omission of the public utility serving the Building
with electricity unless due to the act or omission of Landlord. Tenant’s use of
electrical energy in the Demised Premises shall not at any time exceed the
capacity of any of the electrical conductors and equipment in or otherwise
serving the Demised Premises. In order to insure that such capacity is not
exceeded and to avert possible adverse effect upon the Building electrical services
Tenant shall give notice to Landlord and obtain Landlord’s prior written
consent whenever Tenant shall connect to the Building electrical distribution
system any fixtures, appliances or equipment other than lamps, typewriters and
similar small machines. Any additional feeders or risers to supply Tenant’s
electrical requirements in addition to those originally installed and all other
equipment proper and necessary in connection with such feeders or risers, shall
be installed by Tenant at the sole cost and expense of Tenant, provided that
such additional feeders and risers are permissible under applicable laws and
insurance regulations and the installation of such feeders or risers has been
approved in writing by Landlord in advance thereof and will not cause permanent
damage or injury to the Building or cause or create a dangerous condition or
unreasonably interfere with other tenants of the Building. Tenant agrees that
it will not make any alteration or material addition to the electrical
equipment and/or appliances in the Demised Premises without the prior written
consent of Landlord in each instance first obtained, which consent will not be
unreasonably withheld, and will promptly advise Landlord of any alteration or
addition to such electrical equipment and/or appliances. Landlord, at Tenant’s
expense, shall install and replace all light fixtures, bulbs, tubes, lamps,
lenses, globes, ballasts and switches used in the Demised Premises.

 

7.2           Water Charges. Landlord shall furnish hot and cold water for ordinary
cleaning, toilet, lavatory and drinking purposes to the extent required to service
facilities installed in the Demised Premises pursuant to the provisions of this
Lease. If Tenant requires, uses or consumes water for any purpose other than
for such purposes, Landlord may (i) assess a reasonable charge for the
additional water so used or consumed by Tenant or (ii) install a water
meter and thereby measure Tenant’s water consumption for all purposes. In the
latter event, Tenant shall pay the cost of the meter and the cost of installing
any equipment required in connection therewith, and shall keep said meter and
installation equipment in good working order and repair, and shall pay for
water consumed, as shown on said meter, together with the sewer charge based on
said meter charges, as and when bills are rendered.

 

7.3           Heat and Air Conditioning.

 

(a)           Landlord shall, through the equipment of the Building,
furnish to and distribute in the Demised Premises heat as normal seasonal
changes may require on Business Days from 8:00 a.m. to 6:00 p.m. when
reasonably required for the comfortable occupancy of the Demised Premises by
Tenant. Tenant agrees to lower and close the blinds or drapes when

 

9

 

necessary because of the
sun’s position whenever the air conditioning system is in operation, and to
cooperate fully with Landlord with regard to and abide by all regulations and
requirements which Landlord may prescribe for the proper functioning and
protection of the heating and air conditioning system.

 

(b)           Landlord’s only obligation under this Lease with
respect to the air conditioning of the Demised Premises is to maintain the
Building equipment servicing the Demised Premises and to furnish chilled water
therefor. The distribution of air conditioning within the Demised Premises
utilizes, as part of said equipment, handlers which are operated electrically
at Tenant’s expense pursuant to Section 7.1.

 

(c)           Landlord will endeavor, upon reasonable advance
written notice from Tenant of its requirements, to furnish additional heat or
air conditioning service to the Demised Premises on days and at times other
than as provided in this Article. Tenant will pay to Landlord a reasonable
charge (which shall be standard for all Building tenants) for any such
additional heat or air conditioning service required by Tenant.

 

7.4           Repairs and Other Services. Except as otherwise provided in
Articles 16 and 18, and subject to Tenant’s obligations in Article 12 and
elsewhere in this Lease, Landlord shall (a) keep and maintain the roof,
exterior walls, structural floor slabs and columns of the Building in as good
condition and repair as they are in on the Term Commencement Date, reasonable
use and wear excepted, and maintain in workable condition the common sanitary,
electrical, heating, air conditioning and other systems of the Building,
(b) provide cleaning services on Business Days according to the cleaning
standards set forth in Exhibit C attached hereto and made a part hereof, (c) keep
all roadways, walkways and parking areas on the Property clean and remove all
snow and ice therefrom, (d) replace windows whenever broken other than as
a result of the act, omission, fault, negligence or misconduct of Tenant or
Tenant’s agents, contractors, employees or invitees and (e) employ a guard
to be stationed at the main entrance of the Building from 4:30 p.m. until
Midnight on Business Days.

 

7.5           Interruption or Curtailment of Services. Landlord reserves the right to
interrupt, curtail, stop or suspend the furnishing of services and the
operation of any Building system, when necessary by reason of accident or
emergency, or of repairs, alterations, replacements or improvements in the
reasonable judgment of Landlord desirable or necessary to be made, or of
difficulty or inability in securing supplies or labor, or of strikes, or of any
other cause beyond the reasonable control of Landlord, whether such other cause
be similar or dissimilar to those hereinabove specifically mentioned, until
said cause has been removed. Landlord shall have no responsibility or liability
for any such interruption, curtailment, stoppage, or suspension of services or
systems, except that Landlord shall exercise reasonable diligence to eliminate
the cause of same.

 

8.             CHANGES OR ALTERATIONS BY LANDLORD

 

Landlord reserves the
right, exercisable by itself or its nominee, at any time and from time to time
without the same constituting an actual or constructive eviction and without
incurring any liability to Tenant therefor or otherwise affecting Tenant’s
obligations under this Lease, to make such changes, alterations, additions,
improvements, repairs or replacements in or

 

10

 

to the Building
(including the Demised Premises) and the fixtures and equipment thereof, as
well as in or to the street entrances, halls, passages, elevators, and
stairways thereof, as it may deem necessary or desirable, and to change the
arrangement and/or location of entrances or passageways, doors and doorways, and
corridors, elevators, stairs, toilets, or other public parts of the Building,
provided, however, that there be no unreasonable obstruction of the right of
access to, or unreasonable interference with the use and enjoyment of, the
Demised Premises by Tenant, except that Landlord shall not be obligated to
employ labor at so-called “over-time” or other premium pay rates. Nothing
contained in this Article shall be deemed to relieve Tenant of any duty,
obligation or liability of Tenant with respect to making or causing to be made
any repair, replacement or improvement or complying with any law, order or
requirement of any governmental or other authority. Landlord reserves the right
to from time to time change the address of the Building.

 

9.             FIXTURES, EQUIPMENT AND IMPROVEMENTS - REMOVAL BY
TENANT

 

All fixtures, equipment,
improvements and appurtenances attached to or built into the Demised Premises
prior to or during the Term, whether by Landlord at its expense or at the
expense of Tenant (either or both) or by Tenant shall be and remain part of the
Demised Premises and shall not be removed by Tenant at the end of the Term
unless otherwise expressly provided in this Lease. If furnished and installed
by and at the sole expense of Tenant, all removable electric fixtures, air
conditioning, carpets, drinking or tap water facilities, furniture, trade
fixtures or business equipment shall not be deemed to be included in such
fixtures, equipment, improvements and appurtenances and may be, and upon the
request of Landlord will be, removed by Tenant upon the condition that such
removal shall not materially damage the Demised Premises or the Building and
that the cost of repairing any damage to the Demised Premises or the Building
arising from such removal shall be paid by Tenant, provided, however, that any
of such items toward which Landlord shall have granted any allowance or credit
to Tenant shall be deemed not to have been furnished and installed in the
Demised Premises by or at the sole expense of Tenant.

 

10.           ALTERATIONS AND IMPROVEMENTS BY TENANT

 

Tenant shall make no
alterations, decorations, installations, removals, additions or improvements in
or to the Demised Premises without Landlord’s prior written consent and then
only by contractors or mechanics approved by Landlord. No installations or
other such work shall be undertaken or begun by Tenant until Landlord has
approved written plans and specifications therefor; and no amendments or
additions to such plans and specifications shall be made without prior written
consent of Landlord. Any such alterations, decorations, installations,
removals, additions and improvements shall be done at the sole expense of
Tenant and at such times and in such manner as Landlord may from time to time
designate. Any consent or approval required under this Article shall not
be unreasonably withheld or delayed in the case of any proposed work of a
non-structural nature which does not affect the common areas or facilities of
the Property. If Tenant shall make any alterations, decorations, installations,
removals, additions or improvements, then Landlord may elect, at the time of
consenting thereto, to require Tenant at the expiration of this Lease to
restore the Demised Premises to substantially’ the same condition as existed at
the Term Commencement Date.

 

11

 

11.                                 TENANT’S CONTRACTORS – MECHANICS’ AND
OTHER LIENS – STANDARD OF TENANT’S PERFORMANCE - COMPLIANCE WITH LAWS

 

Whenever Tenant shall
make any alterations, decorations, installations, removals, additions or
improvements or do any other work in or to the Demised Premises, Tenant will
strictly observe the following covenants and agreements:

 

(a)           In no event shall any material or equipment be
incorporated in or added to the Demised Premises in connection with any such
alteration, decoration, installation, addition or improvement which is subject
to any lien, charge, mortgage or other encumbrance of any kind whatsoever or is
subject to any security interest or any form of title retention agreement. Any
mechanic’s lien filed against the Demised Premises or the Building for work
claimed to have been done for, or materials claimed to have been furnished to
Tenant shall be discharged by Tenant within ten (10) days thereafter, at
the expense of Tenant, by filing the bond required by law or otherwise. If
Tenant fails so to discharge any lien, Landlord may do so at Tenant’s expense
and Tenant shall reimburse Landlord for any expense or cost incurred by
Landlord in so doing within fifteen (15) days after rendition of a bill
therefor.

 

(b)           All installations or work done by Tenant under this or
any other Article of this Lease shall be at its own expense (unless
expressly otherwise provided) and shall at all times comply with (i) laws,
rules, orders and regulations of governmental authorities having jurisdiction
thereof; (ii) orders, rules and regulations of any Board of Fire
Underwriters, or any other body hereafter constituted exercising similar
functions, and governing insurance rating bureaus; and (iii) plans and
specifications prepared by and at the expense of Tenant theretofore submitted
to Landlord for its prior written approval.

 

(c)           Tenant shall procure all necessary permits before
undertaking any work in the Demised Premises; do all such work in a good and
workmanlike manner, employing materials of good quality and complying with all
governmental requirements, and defend, save harmless, exonerate and indemnify
Landlord from all injury, loss or damage to any person or property occasioned
by or growing out of such work.

 

12.           REPAIRS AND SECURITY BY TENANT

 

Tenant shall keep or
cause to be kept all and singular the Demised Premises in good repair, order
and condition, damage by fire or by unavoidable casualty excepted. Without
limiting the generality of the foregoing, Tenant shall replace all windows and
other glass, whenever broken as a result of the act, omission, fault,
negligence or misconduct of Tenant or Tenant’s agents, contractors, employees
or invitees, with glass of the same quality.

 

Tenant shall make, as and
when needed as a result of misuse by, or neglect or improper conduct (including
without limitation the placement of any equipment exceeding the floor load or
causing vibrations) of Tenant or Tenant’s servants, employees, agents, invitees
or licensees or otherwise, all repairs in and about the Demised Premises
necessary to preserve them in such repair, order and condition.

 

12

 

13.           INSURANCE, INDEMNIFICATION, EXONERATION AND
EXCULPATION

 

13.1         Insurance. Tenant shall procure, keep in force and pay for
(a) Commercial General Liability Insurance indemnifying Landlord, any
managing agent designated by Landlord, Tenant and (whenever Landlord shall so
request) any Mortgagee against all claims and demands for injury to or death of
persons or damage to property which may be claimed to have occurred upon the
Demised Premises in the amounts which shall at the time Tenant and/or its
contractors enter the Demised Premises in accordance with Article 4 of
this Lease be not less than One Hundred Thousand Dollars ($100,000) for
property damage and Two Million Dollars ($2,000,000) for injury or death of one
person or more than one person in a single accident, and from time to time
thereafter shall be not less than such higher amounts, if procurable, as may be
reasonably required by Landlord and are customarily carried by responsible
office tenants in the Greater Boston area, (b) insurance covering any
damage to the plate glass windows in or immediately about the Demised Premises,
in reasonable amounts to be established from time to time by Landlord, and
(c) so-called contents and improvements insurance adequately insuring all
property belonging to or removable by Tenant and situated in the Demised
Premises.

 

13.2         Certificates of Insurance. Such insurance shall be effected with
insurers authorized to do business in Massachusetts under valid and enforceable
policies, and such policies shall name Landlord and Tenant and any additional
parties designated by Landlord pursuant to Section 13.1 as the insureds,
as their respective interests appear. Such insurance shall provide that it
shall not be cancelled without at least ten (10) days’ prior written
notice to each insured named therein. Prior to entry by Tenant and/or its
contractors into the Demised Premises in accordance with Article 4 of this
Lease, and thereafter not less than fifteen (15) days prior to the expiration
date of each expiring policy, original copies of the policies provided for in
Section 13.1 issued by the respective insurers, or certificates of such
policies setting forth in full the provisions thereof and issued by such
insurers together with evidence satisfactory to Landlord of the payment of all
premiums for such policies, shall be delivered by Tenant to Landlord and
certificates as aforesaid of such policies shall upon request of Landlord be
delivered by Tenant to any additional parties designated by Landlord pursuant
to Section 13.1 as the insureds.

 

13.3         General. Tenant will save Landlord harmless, and will
exonerate and indemnify Landlord, from and against any and all claims,
liabilities or penalties asserted by or on behalf of any person, firm,
corporation or public authority:

 

(a)           On account of or based upon any injury to person, or
loss of or damage to property sustained or occurring on the Demised Premises on
account of or based upon the act, omission, fault, negligence or misconduct of
any person whomsoever (other than Landlord or its agents, contractors or
employees);

 

(b)           On account of or based upon any injury to person or
loss of or damage to property, sustained or occurring elsewhere (other than on
the Demised Premises) in or about the Building (and, in particular, without
limiting the generality of the foregoing on or about the elevators, stairways,
public corridors, sidewalks or other appurtenances and facilities used in
connection with the Building or Demised Premises) arising out of the use or
occupancy of the Building or Demised Premises by Tenant, or any person claiming
by, through or under Tenant;

 

13

 

(c)           On account of or based upon (including moneys due on
account of) any work or thing whatsoever done (other than by Landlord or its
contractors, or agents or employees of either) in the Demised Premises; and

 

(d)           On account of or resulting from the failure of Tenant
to perform and discharge any of its covenants and obligations under this Lease;

 

and, in respect of any of the foregoing items (a)-(d),
from and against all costs, expenses (including without limitation reasonable
attorneys’ fees), and liabilities incurred in or in connection with any such
claim, or any action or proceeding brought thereon; and in case any action or
proceeding be brought against Landlord by reason of any such claim, Tenant upon
notice from Landlord shall at Tenant’s expense resist or defend such action or
proceeding and employ counsel therefor reasonably satisfactory to Landlord, it
being agreed that such counsel as may act for insurance underwriters of Tenant
engaged in such defense shall be deemed satisfactory.

 

Landlord will save Tenant
harmless, and will exonerate and indemnify Tenant from and against, any and all
claims, liabilities, penalties, damages, losses, costs and expenses (including
reasonable attorneys’ fees) asserted against or incurred by Tenant on account
of or based upon the act, omission, fault, negligence or misconduct of Landlord
or its agents, contractors or employees; and, in case any action or proceeding
be brought against Tenant by reason of any of the foregoing, Landlord upon
notice from Tenant shall at Landlord’s expense resist or defend such action or
proceeding and employ counsel therefor reasonably satisfactory to Tenant, it
being agreed that such counsel as may act for insurance underwriters of
Landlord engaged in such defense shall be deemed satisfactory.

 

Each party, upon
receiving notice of any claim against which the other party has agreed to
provide indemnification pursuant to this Section or elsewhere in this
Lease, shall promptly so notify the other party.

 

13.4         Property of Tenant. In addition to and not in limitation of the
foregoing, and subject only to the provisions of applicable law, Tenant
covenants and agrees that all merchandise, furniture, fixtures and property of
every kind, nature and description which may be in or upon the Demised Premises
or the Building or the Land during the Term of this Lease shall be at the sole
risk and hazard of Tenant, and that if the whole or any part thereof shall be
damaged, destroyed, stolen or removed from any cause or reason whatsoever no
part of said damage or loss shall be charged to, or borne by Landlord.

 

13.5         Bursting of Pipes, etc. Landlord shall not be liable for any injury or
damage to persons or property resulting from fire, explosion, falling plaster,
steam, gas, electricity, electrical disturbance, water, rain or snow or leaks
from any part of the Building or from the pipes, appliances or plumbing works
or from the roof, street or sub-surface or from any other place or caused by
any other cause of whatever nature, unless caused by or due to the negligence
of Landlord, its agents, servants or employees, and then only after
(i) notice to Landlord of the condition claimed to constitute negligence
and (ii) the expiration of a reasonable time after such notice has been
received by Landlord without such condition having been cured or corrected; nor
shall Landlord or its agents be liable for any such damage caused by other
tenants or persons in

 

14

 

the Building or caused by
operations in construction of any private, public or quasi-public work; nor
shall Landlord be liable (subject only to its repair obligations hereunder) for
any latent defect in the Demised Premises or in the Building.

 

14.           ASSIGNMENT, MORTGAGING, SUBLETTING, ETC.

 

Tenant covenants and agrees
that neither this Lease nor the term and estate hereby granted nor any interest
herein or therein, will be assigned, mortgaged, pledged, encumbered or
otherwise transferred (whether voluntarily or by operation of law), and that
neither the Demised Premises, nor any part thereof, will be encumbered in any
manner by reason of any act or omission on the part of Tenant, or used or
occupied, or permitted to be used or occupied, or utilized for any reason
whatsoever, by anyone other than Tenant, or for any use or purpose other than
as stated in Article 1, or be sublet, or offered or advertised for
subletting, without the prior written consent of Landlord in every case. Such
consent shall not, in the case of a proposed subletting, be unreasonably
withheld or delayed.

 

In connection with any
request by Tenant for such consent, Tenant shall submit to Landlord, in
writing, a statement containing all of the terms and provisions upon which the
proposed transaction is to occur. If the rent received by Tenant on account of
a proposed assignment or sublease exceeds the Yearly Fixed Rent and Additional
Rent, allocated to the space subject to the assignment or sublease in the
proportion of the area of such space to the area of the entire Demised
Premises, plus actual out-of-pocket expenses incurred by Tenant in connection
therewith, including brokerage commissions and the cost of preparing such space
for occupancy, Tenant shall pay to Landlord fifty (50) percent of such excess,
as received by Tenant.  Notwithstanding
the foregoing provisions of this paragraph, (1) in the event Tenant
proposes to assign this Lease or enter into a sublease such that all or
substantially all of the Demised Premises will have been sublet, Landlord, at
Landlord’s option, may give to Tenant, within thirty (30) days after the
submission by Tenant to Landlord of such proposal, a notice terminating this
Lease on the date (referred to as the “Earlier Termination Date”) immediately
prior to the effective date of the proposed assignment or the proposed commencement
date of the term of the proposed subletting, as set forth in such proposal,
and, in the event such notice is given, this Lease and the Term shall come to
an end and expire on the Earlier Termination Date with the same effect as if it
were the date originally fixed in this Lease for the end of the Term of this
Lease, and the Rent shall be apportioned as of said Earlier Termination Date
and any prepaid portion of Rent for any period after such date shall be
refunded by Landlord to Tenant, or (2) in the event Tenant proposes to
sublet any portion of the Demised Premises such that more than 40% of the floor
area of the Demised Premises will have been sublet, Landlord, at Landlord’s
option, may give to Tenant, within thirty (30) days after the submission by
Tenant to Landlord of the statement required to be submitted in connection with
such proposed subletting, a notice electing to eliminate such portion of the
Demised Premises (said portion is referred to as the “Eliminated Space”) from
the Demised Premises during the period (referred to as the “Elimination
Period”) commencing on the date (referred to as the “Elimination Date”)
immediately prior to the proposed commencement date of the term of the proposed
subletting, as set forth in such statement, and ending on the proposed
expiration date of the term of the proposed subletting, as set forth in such
statement, and in the event such notice is given (i) the Eliminated Space
shall be eliminated from the Demised Premises during the Elimination Period;
(ii) Tenant shall surrender the Eliminated Space to Landlord on or prior
to the Elimination Date

 

15

 

in the same manner as if
said Date were the date originally fixed in this Lease for the end of the Term
of this Lease; (iii) if the Eliminated Space shall constitute less than an
entire floor, Landlord, at Landlord’s expense, shall have the right to make any
alterations and installations in the Demised Premises required, in Landlord’s
judgment, reasonably exercised, to make the Eliminated Space a self-contained
rental unit with access through corridors to the elevators and core toilets
serving the Eliminated Space, and if the Demised Premises shall contain any
core toilets or any corridors (including any corridors proposed to be
constructed by Landlord pursuant to this subdivision (iii) providing
access from the Eliminated Space to the core area), Landlord and any tenant or
other occupant of the Eliminated Space shall have the right to use such toilets
and corridors in common with Tenant and any other permitted occupants of the
Demised Premises, and the right to install signs and directional indicators in
or about such corridors indicating the name and location of such tenant or
other occupant; (iv) during the Elimination Period, the Yearly Fixed Rent
shall be reduced in the proportion which the area of the Eliminated Space bears
to the total area of the Demised Premises immediately prior to the Elimination
Date (including an equitable portion of the area of any corridors referred to
in subdivision (iii) of this sentence as part of the area of the
Eliminated Space for the purpose of computing such reduction), and any prepaid
Rent for any period after the Elimination Date allocable to the Eliminated
Space shall be refunded by Landlord to Tenant; (v) there shall be an
equitable apportionment of any Additional Rent payable pursuant to
Article 6 for the relevant fiscal and calendar years in which said
Elimination Date shall occur; and (vi) if the Elimination Period shall end
prior to the date originally fixed in this Lease for the end of the Term of
this Lease, the Eliminated Space, in its then existing condition, shall be
deemed restored to and once again a part of the Demised Premises subject to the
provisions of this Lease as if said elimination had not occurred during the
period (referred to as the “Restoration Period”) commencing on the date next
following the expiration of the Elimination Period and ending on the date
originally fixed in this Lease for the end of the Term of this Lease, except in
the event that Landlord is unable to give Tenant possession of the Eliminated
Space at the expiration of the Elimination Period by reason of the holding over
or retention of possession of any tenant or other occupant, in which event
(x) the Restoration Period shall not commence, and the Eliminated Space
shall not be deemed restored to or a part of the Demised Premises, until the
date upon which Landlord shall give Tenant possession of such Space free of
occupancies, (y) neither the date fixed in this Lease for the end of the
Term of the Lease, nor the validity of this Lease shall be affected, and
(z) Tenant waives any right to recover any damages which may result from
the failure of Landlord (despite the exercise of diligent efforts) to deliver
possession of the Eliminated Space at the end of the Elimination Period. At the
request of Landlord, Tenant shall execute and deliver an instrument or
instruments, in form satisfactory to Landlord, setting forth any modifications
to this Lease contemplated in or resulting from the operation of the foregoing
provisions of this paragraph; however, neither Landlord’s failure to request
any such instrument nor Tenant’s failure to execute or deliver any such
instrument shall vitiate the effect of the foregoing provisions of this
paragraph.

 

The failure by Landlord
to exercise its option under this Article with respect to any assignment
or subletting shall not be deemed a waiver of such option with respect to any
extension of such sublease or any subsequent assignment or subletting. Tenant
shall reimburse Landlord promptly, as Additional Rent, for reasonable legal and
other expense incurred by

 

16

 

Landlord in connection
with any request by Tenant for any consent required under the provisions of
this Article.

 

Notwithstanding the
foregoing, Tenant may, following notice to Landlord but without the requirement
of obtaining Landlord’s consent or affording Landlord an opportunity to
terminate this Lease or eliminate any portion of the Demised Premises therefrom
or share any excess rent, all as hereinabove set forth, and so long as Tenant
is not in default hereunder beyond the applicable grace period, assign this
Lease or sublease all or any portion of the Demised Premises to any entity
which is controlled by, or which controls, or which is under common control
with, Tenant, or assign this Lease to any entity with which Tenant may merge or
consolidate or to which Tenant may sell all or substantially all of its assets
as a going concern or to which a controlling interest in the corporation or
other entity constituting Tenant may be transferred (such entity with which
Tenant may merge or consolidate or to which Tenant may sell all or
substantially all of its assets or to which a controlling interest in the
corporation or other entity constituting Tenant may be transferred as aforesaid
being hereinafter referred to as a “Successor”), provided however that,
forthwith upon any assignment allowed pursuant to this paragraph, Tenant shall
deliver to Landlord an agreement in form and substance reasonably satisfactory
to Landlord which contains an appropriate covenant of assumption by such
assignee, and provided further that in the case of any such assignment to a
Successor, such Successor shall have financial resources and a general business
reputation comparable to those of Tenant as of the time of such assignment.

 

The listing of any name
other than that of Tenant, whether on the doors of the Demised Premises or on
the Building directory, or otherwise, shall not operate to vest any right or
interest in this Lease or in the Demised Premises or be deemed to be the
written consent of Landlord mentioned in this Article, it being expressly
understood that any such listing is a privilege extended by Landlord revocable
at will by written notice to Tenant.

 

If this Lease be
assigned, or if the Demised Premises or any part thereof be sublet or occupied
by anybody other than Tenant, Landlord may at any time and from time to time,
collect rent and other charges from the assignee, subtenant or occupant, and
apply the net amount collected to the Rent and other charges herein reserved,
but no such collection shall be deemed a waiver of this covenant, or the
acceptance of the assignee, subtenant or occupant as a tenant, or a release of
Tenant from the further performance by Tenant of covenants on the part of
Tenant herein contained. The consent by Landlord to an assignment or subletting
or occupancy shall not in any way be construed to relieve Tenant from obtaining
the express consent in writing of Landlord to any further assignment or
subletting or occupancy.

 

15.           MISCELLANEOUS COVENANTS

 

15.1         Rules and Regulations. Tenant and Tenant’s servants,
employees, agents, visitors and licensees will faithfully observe such
Rules and Regulations as are attached hereto as Exhibit D and made a
part hereof or as Landlord hereafter at any time or from time to time may make
and may communicate in writing to Tenant and which in the reasonable judgment
of Landlord shall be necessary for the reputation, safety, care or appearance
of the Property, or the preservation of good order therein, or the operation or
maintenance of the Property, or the equipment thereof, or the comfort of
tenants or others in the Building, provided however that in

 

17

 

the case of any conflict
between the provisions of this Lease and any such Rules and Regulations,
the provisions of this Lease shall control. Such Rules and Regulations shall
be applied in a non-discriminatory manner so as to be generally applicable to
other tenants of the Building whose permitted business activities are
comparable to those of Tenant hereunder, provided however that nothing
contained in this Lease shall be construed to impose upon Landlord any duty or
obligation to enforce such Rules and Regulations or the terms, covenants
or conditions in any other lease as against any other tenant and Landlord shall
not be liable to Tenant for violation of the same by any other tenant, its
servants, employees, agents, visitors, invitees or licensees.

 

15.2         Access to Premises - Shoring. Tenant shall: (i) permit Landlord
to erect, use and maintain pipes, ducts and conduits in and through the Demised
Premises, provided the same do not materially reduce the floor area or
materially adversely affect the appearance thereof; (ii) permit Landlord
and any Mortgagee to have free and unrestricted access to and to enter upon the
Demised Premises at all reasonable hours for the purposes of inspection or of
making repairs, replacements or improvements in or to the Demised Premises or
the Building or equipment (including, without limitation, sanitary, electrical,
heating, air conditioning or other systems) or of complying with all laws, orders
and requirements of governmental or other authority or of exercising any right
reserved to Landlord by this Lease (including the right during the progress of
any such repairs, replacements or improvements or while performing work and
furnishing materials in connection with compliance with any such laws, orders
or requirements to take upon or through, or to keep and store within, the
Demised Premises all necessary materials, tools and equipment); and
(iii) permit Landlord, at reasonable times, to show the Demised Premises
during ordinary business hours to any Mortgagee, prospective purchaser of any
interest of Landlord in the Property, prospective Mortgagee, or prospective
assignee of any Mortgage, and during the period of twelve months next preceding
the Termination Date to any person contemplating the leasing of the Demised
Premises or any part thereof. If during the last month of the Term, Tenant
shall have removed all of Tenant’s property therefrom, Landlord may immediately
enter and alter, renovate and redecorate the Demised Premises, without
elimination or abatement of Rent, or incurring liability to Tenant for any
compensation, and such acts shall have no effect upon this Lease. If Tenant
shall not be personally present to open and permit any entry into the Demised
Premises at any time when for any reason an entry therein shall be necessary or
permissible, Landlord or Landlord’s agents must nevertheless be able to gain
such entry by contacting a responsible representative of Tenant, whose name,
address and telephone number shall be furnished by Tenant, or (at Landlord’s
election) by using keys to the Demised Premises in Landlord’s possession. Locks
serving the Demised Premises shall not be altered or replaced, nor shall new
locks be added by Tenant without the prior written consent of Landlord in every
case. Provided that Landlord shall incur no additional expense thereby,
Landlord shall exercise its rights of access to the Demised Premises permitted
under any of the terms and provisions of this Lease in such manner as to
minimize to the extent practicable interference with Tenant’s use and
occupation of the Demised Premises. If an excavation shall be made upon land
adjacent to the Demised Premises or shall be authorized to be made, Tenant
shall afford, to the person causing or authorized to cause such excavation,
license to enter upon the Demised Premises for the purpose of doing such work
as said person shall deem necessary to preserve the Building from injury or
damage and to support the same by proper foundations without any claim for
damage or indemnity against Landlord, or diminution or abatement of Rent.

 

18

 

15.3         Accidents to Sanitary and other Systems. Tenant shall give to Landlord prompt
notice of any fire or accident in the Demised Premises or in the Building and
of any damage to, or defective condition in, any part or appurtenance of the
Building’s systems located in, or passing through, the Demised Premises.

 

15.4         Signs, Blinds and Drapes. Tenant shall not place any signs on the
exterior of the Building or on or in any window, public corridor or door
visible from the exterior of the Demised Premises without the prior written
consent of Landlord in every case. Landlord shall include Tenant’s name in any
standard Building directory maintained by Landlord. No blinds may be put on or
in any window nor may any Building drapes or blinds be removed by Tenant.
Tenant may hang its own drapes, provided that they shall not, without the prior
written approval of Landlord, in any way interfere with any Building drapery or
blinds or be visible from the exterior of the Building.

 

15.5         Estoppel Certificate. Tenant shall at any time and from time to time upon
not less than ten (10) days’ prior notice by Landlord to Tenant, execute,
acknowledge and deliver to Landlord a statement in writing certifying that this
Lease is unmodified and in full force and effect (or if there have been
modifications, that the same is in full force and effect as modified and
stating the modifications), and the dates to which Rent has been paid in
advance, if any, and stating whether or not to the best knowledge of the signer
of such certificate Landlord is in default in performance of any covenant,
agreement, term, provision or condition contained in this Lease and, if so,
specifying each such default of which the signer may have knowledge, it being
intended that any such statement delivered pursuant hereto may be relied upon
by any prospective purchaser of any interest of Landlord in the Property, any
Mortgagee or prospective Mortgagee, any lessee or prospective lessee thereof,
any prospective assignee of any Mortgage, or any other party designated by
Landlord.

 

15.6         Prohibited Items. Tenant shall not bring or permit to be brought or
kept in or on the Demised Premises or elsewhere in the Building any hazardous,
inflammable, combustible or explosive fluid, material, chemical or substance
(except such as are related to Tenant’s use of the Demised Premises, provided
that the same are stored and handled in a proper fashion consistent with
applicable legal standards).

 

15.7         Requirements of Law - Fines and Penalties. Tenant at its sole expense shall comply
with all laws, rules, orders and regulations of Federal, State, County and
Municipal authorities and with any direction of any public officer or officers,
pursuant to law, which shall impose any duty upon Landlord or Tenant with
respect to and arising out of Tenant’s use or occupancy of the Demised
Premises, provided however that Landlord shall be responsible for compliance
therewith to the extent necessary to allow the continued use of the Demised
Premises for general office purposes. In particular, Tenant shall be
responsible for compliance with requirements imposed by the Americans with
Disabilities Act relative to the layout of the Demised Premises or any work
performed by Tenant therein, including without limitation all such requirements
applicable to removing barriers, furnishing auxiliary aids and insuring that,
whenever alterations are made, the affected portions of the Demised Premises
are readily accessible to and usable by individuals with disabilities. Landlord
shall be responsible for compliance with requirements imposed by said Act
relative to the common areas of the Property and the work to be performed by
Landlord pursuant to Article 4. If Tenant receives notice of any

 

19

 

violation of law,
ordinance, order or regulation applicable to the Demised Premises, it shall
give prompt notice thereof to Landlord.

 

15.8         Tenant’s Acts - Effect on Insurance. Tenant shall not do or permit to be
done any act or thing upon the Demised Premises or elsewhere in the Building
which will invalidate or be in conflict with any insurance policies covering
the Building and the fixtures and property therein and shall not do, or permit
to be done, any act or thing upon the Demised Premises which shall subject
Landlord to any liability or responsibility for injury to any person or persons
or to property by reason of any business or operation being conducted on the
Demised Premises or for any other reason. Tenant at its own expense shall
comply with all rules, orders, regulations or requirements of the Board of Fire
Underwriters or any other similar body having jurisdiction, and shall not
(i) do, or permit anything to be done, in or upon the Demised Premises, or
bring or keep anything therein, except as now or hereafter permitted by the
Fire Department, Board of Underwriters, Fire Insurance Rating Organization, or other
authority having jurisdiction, and then only in such quantity and manner of
storage as will not increase the rate for any insurance applicable to the
Building, or (ii) use the Demised Premises in a manner which shall
increase such insurance rates on the Building or on property located therein,
over that applicable when Tenant first took occupancy of the Demised Premises
hereunder. If by reason of failure of Tenant to comply with the provisions
hereof the insurance rate applicable to any policy of insurance shall at any
time thereafter be higher than it otherwise would be, then Tenant shall
reimburse Landlord for that part of any insurance premiums thereafter paid by
Landlord, which shall have been charged because of such failure by Tenant.

 

15.9         Miscellaneous. Tenant shall not suffer or permit the Demised
Premises or any fixtures, equipment or utilities therein or serving the same,
to be overloaded, damaged or defaced, nor permit any hole to be drilled or made
in any part thereof. For purposes hereof, the capacity of the floors in the
Demised Premises is agreed to be 250 pounds dead load per square foot.

 

16.           DAMAGE BY FIRE, ETC.

 

Landlord shall keep in
force casualty insurance with respect to the Building (including for purposes
hereof all improvements of a permanent nature made thereto) in an amount no
less than the full replacement cost thereof. Such insurance shall afford
protection against fire and the other perils customarily covered by a so-called
“all risk” policy.

 

In the event of loss of,
or damage to, the Demised Premises or the Building by fire or other casualty,
the rights and obligations of the parties hereto shall be as follows:

 

(a)           If the Demised Premises, or any part thereof, shall be
damaged by fire or other casualty, Tenant shall give prompt notice thereof to
Landlord, and Landlord, upon receiving such notice, shall proceed promptly and
with due diligence, subject to unavoidable delays, to repair, or cause to be
repaired, such damage. If the Demised Premises or any part thereof shall be
rendered untenantable by reason of such damage, whether to the Demised Premises
or to the Building, Yearly Fixed Rent shall proportionately abate for the
period from the date of such damage to the date when such damage shall have
been repaired.

 

20

 

(b)           If, as a result of fire or other casualty, the whole
or a substantial portion of the Building or the Demised Premises is rendered
untenantable, Landlord, within ninety (90) days from the date of such fire or
casualty, may terminate this Lease by notice to Tenant, specifying a date not
less than twenty (20) nor more than forty (40) days after the giving of such
notice on which the Term of this Lease shall terminate. If Landlord does not so
elect to terminate this Lease, then Landlord shall proceed with diligence to
repair the damage to the Demised Premises and all facilities serving the same,
if any, which shall have occurred, and the Yearly Fixed Rent shall meanwhile
proportionately abate, all as provided in Paragraph (a) of this Section.
However, if such damage is not repaired and the Demised Premises restored to
substantially the same condition as they were prior to such damage within six
(6) months from the date of such damage, Tenant within fifteen (15) days
from the expiration of such six (6) month period or from the expiration of
any extension thereof by reason of unavoidable delays as hereinafter provided,
may terminate this Lease by notice to Landlord, specifying a date not more than
sixty (60) days after the giving of such notice on which the Term of this Lease
shall terminate. The period within which the required repairs may be
accomplished shall be extended by the number of days, not to exceed ninety (90)
days, lost as a result of unavoidable delays, which term shall be defined to
include all delays referred to in Article 24.

 

(c)           If the Demised Premises shall be rendered untenantable
by fire or other casualty during the last year of the Term of this Lease,
either party may terminate this Lease effective as of the date of such fire or
other casualty upon notice to the other given within thirty (30) days after
such fire or other casualty.

 

(d)           Landlord shall not be required to repair or replace
any of Tenant’s business machinery, equipment, cabinet work, furniture,
personal property or other installations (all of which shall, however, be
restored by Tenant as soon as practicable after Landlord shall have completed
any repair or restoration required under the terms of this Article), and no
damages, compensation or claim shall be payable by Landlord for inconvenience, loss
of business or annoyance arising from any repair or restoration of any portion
of the Demised Premises or of the Building. Any insurance proceeds received by
Tenant in connection with such loss or damage shall be applied by Tenant to
such repair or restoration to the extent reasonably necessary to accomplish the
same.

 

(e)           The provisions of this Article shall be
considered an express agreement governing any instance of damage or destruction
of the Building or the Demised Premises by fire or other casualty, and any law
now or hereafter in force providing for such a contingency in the absence of
express agreement shall have no application.

 

(f)            In the event of any termination of this Lease pursuant
to this Article, the Term of this Lease shall expire as of the effective
termination date as fully and completely as if such date were the date herein
originally scheduled as the Termination Date.

 

(g)           Landlord’s Architect’s certificate, given in good
faith, shall be deemed conclusive of the statements therein contained and
binding upon Tenant with respect to the performance and completion of any
repair or restoration work undertaken by Landlord pursuant to this
Article or Article 18.

 

21

 

17.           WAIVER OF SUBROGATION

 

In any case in which
Tenant shall be obligated under any provision of this Lease to pay to Landlord
any loss, cost, damage, liability, or expense suffered or incurred by Landlord,
Landlord shall allow to Tenant as an offset against the amount thereof the net
proceeds of any insurance collected by Landlord for or on account of such loss,
cost, damage, liability or expense, provided that the allowance of such offset
does not invalidate or prejudice the policy or policies under which such
proceeds were payable.

 

In any case in which
Landlord shall be obligated under any provision of this Lease to pay to Tenant
any loss, cost, damage, liability or expense suffered or incurred by Tenant,
Tenant shall allow to Landlord as an offset against the amount thereof
(i) the net proceeds of any insurance collected by Tenant for or on
account of such loss, cost, damage, liability, or expense, provided that the
allowance of such offset does not invalidate the policy or policies under which
such proceeds were payable and (ii) if such loss, cost, damage, liability
or expense shall have been caused by a peril against which Tenant has agreed to
procure insurance coverage under the terms of this Lease, the amount of such
insurance coverage, whether or not actually procured by Tenant.

 

The parties hereto shall
each endeavor to procure an appropriate clause in, or endorsement on, any fire
or extended coverage insurance policy covering the Demised Premises and the
Building and personal property, fixtures and equipment located thereon or
therein, pursuant to which the insurance companies waive subrogation or consent
to a waiver of right of recovery, and having obtained such clauses and/or
endorsements of waiver of subrogation or consent to a waiver of right of
recovery each party hereby agrees that it will not make any claim against or
seek to recover from the other for any loss or damage to its property or the
property of others resulting from fire or other perils covered by such fire and
extended coverage insurance; provided, however, that the release, discharge,
exoneration and covenant not to sue herein contained shall be limited by the
terms and provisions of the waiver of subrogation clauses and/or endorsements
or clauses and/or endorsements consenting to a waiver of right of recovery and
shall be co-extensive therewith. If either party may obtain such clause or
endorsement only upon payment of an additional premium, such party shall
promptly so advise the other party and shall be under no obligation to obtain
such clause or endorsement unless such other party pays the premium.

 

18.           CONDEMNATION - EMINENT DOMAIN

 

In the event that the
whole or any part of the Building shall be taken or appropriated by eminent
domain or shall be condemned for any public or quasi-public use, or (by virtue
of any such taking, appropriation or condemnation) shall suffer any damage
(direct, indirect or consequential) for which Landlord or Tenant shall be
entitled to compensation then (and in any such event) this Lease and the Term
hereof may be terminated at the election of Landlord by a notice in writing of
its election so to terminate which shall be given by Landlord to Tenant within
sixty (60)  days following the date on which Landlord shall have
received notice of such taking, appropriation or condemnation. In the event
that a substantial part of the Demised Premises or of the means of access
thereto within the perimeter of the Property shall be so taken, appropriated or
condemned, then (and in any such event) this Lease and the Term hereof may be

 

22

 

terminated at the
election of Tenant by a notice in writing of its election so to terminate which
shall be given by Tenant to Landlord within sixty (60) days following the date
on which Tenant shall have received notice of such taking, appropriation or
condemnation.

 

Upon the giving of any
such notice of termination (either by Landlord or Tenant) this Lease and the
Term hereof shall terminate on or retroactively as of the date on which Tenant
shall be required to vacate any part of the Demised Premises or shall be
deprived of a substantial part of the means of access thereto, provided,
however, that Landlord may in Landlord’s notice elect to terminate this Lease
and the Term hereof retroactively as of the date on which such taking,
appropriation or condemnation became legally effective. In the event of any
such termination, this Lease and the Term hereof shall expire as of the
effective termination date as fully and completely as if such date were the
date herein originally scheduled as the Termination Date. If neither party
(having the right so to do) elects to terminate this Lease, Landlord will, with
reasonable diligence and at Landlord’s expense, restore the remainder of the
Demised Premises, or the remainder of the means of access thereto, as nearly as
practicably may be to the same condition as obtained prior to such taking,
appropriation or condemnation in which event (i) a just proportion of the
Yearly Fixed Rent, according to the nature and extent of the taking,
appropriation or condemnation and the resulting permanent injury to the Demised
Premises and the means of access thereto, shall be permanently abated, and
(ii) a just proportion of the remainder of the Yearly Fixed Rent,
according to the nature and extent of the taking, appropriation or condemnation
and the resultant injury sustained by the Demised Premises and the means of
access thereto, shall be abated until what remains of the Demised Premises and
the means of access thereto shall have been restored as fully as may be for
permanent use and occupation by Tenant hereunder. Except for any award
specifically reimbursing Tenant for moving or relocation expenses, there are
expressly reserved to Landlord all rights to compensation and damages created,
accrued or accruing by reason of any such taking, appropriation or
condemnation, in implementation and in confirmation of which Tenant does hereby
acknowledge that Landlord shall be entitled to receive and retain all such
compensation and damages, grants to Landlord all and whatever rights (if any)
Tenant may have to such compensation and damages, and agrees to execute and
deliver all and whatever further instruments of assignment as Landlord may from
time to time request. In the event of any taking of the Demised Premises or any
part thereof for temporary use, so long as the period thereof is not more than
twelve (12) consecutive months and will not extend beyond the Termination Date,
(i) this Lease shall be and remain unaffected thereby, and
(ii) Tenant shall be entitled to receive for itself any award made for
such use, provided, that if any taking is for a period extending beyond the
Term of this Lease, such award shall be apportioned between Landlord and Tenant
as of the Termination Date.

 

19.           DEFAULT

 

19.1         Conditions of Limitation - Re-entry - Termination. This Lease and the herein term and
estate are upon the condition that if (a) Tenant shall neglect or fail to
perform or observe any of the Tenant’s covenants herein, including (without
limitation) the covenants with regard to the payment when due of Rent; or
(b) Tenant shall be involved in financial difficulties as evidenced by an
admission in writing by Tenant of Tenant’s inability to pay its debts generally
as they become due, or by the making or offering to make a composition of its
debts with its creditors; or (c) Tenant shall make an assignment or trust
mortgage, or other conveyance or

 

23

 

transfer of like nature,
of all or a substantial part of its property for the benefit of its creditors;
or (d) the leasehold hereby created shall be taken on execution or by
other process of law and shall not be revested in Tenant within sixty (60) days
thereafter; or (e) a receiver, sequester, trustee or similar officer shall
be appointed by a court of competent jurisdiction to take charge of all or a
substantial part of Tenant’s property and such appointment shall not be vacated
within sixty (60) days; or (f) any proceeding shall be instituted by or
against Tenant pursuant to any of the provisions of any Act of Congress or
State law relating to bankruptcy, reorganization, arrangements, compositions or
other relief from creditors, and, in the case of any such proceeding instituted
against it, if Tenant shall fail to have such proceeding dismissed within sixty
(60) days or if Tenant is adjudged bankrupt or insolvent as a result of any
such proceeding; or (g) any event shall occur or any contingency shall
arise whereby this Lease, or the term and estate thereby created, would (by
operation of law or otherwise) devolve upon or pass to any person, firm or
corporation other than Tenant, except as expressly permitted under
Article 14 hereof - then, and in any such event (except as hereinafter in
Article 19.2 otherwise provided) Landlord may, in a manner consistent with
applicable law, immediately or at any time thereafter declare this Lease
terminated by notice to Tenant or, without further demand or notice, enter into
and upon the Demised Premises (or any part thereof in the name of the whole),
and in either such case (and without prejudice to any remedies which might
otherwise be available for arrears of Rent or preceding breach of covenant and
without prejudice to Tenant’s liability for damages as hereinafter stated),
this Lease shall terminate.  The words
“re-entry” and “re-enter” as used in this Lease are not restricted to their
technical legal meaning. As used in items (b), (c), (e) and (f) of
this Section, the term “Tenant” shall also be deemed to refer to any guarantor
of Tenant’s obligations hereunder.

 

19.2         Damages - Assignment for Benefit of Creditors. For the more effectual securing by
Landlord of the rent and other charges and payments reserved hereunder, it is
agreed as a further condition of this Lease that if at any time Tenant shall
make an assignment of its property for the benefit of its creditors under the
terms of which the debts provable by its creditors shall be debts provable
against the estate of insolvent debtors either under the laws of the
Commonwealth of Massachusetts or under some law or laws other than the
Bankruptcy Act as now or hereafter enacted, then and in any such case the same
shall constitute a breach of this Lease, and the term and estate hereby created
shall terminate ipso facto, without entry or other action by Landlord; and
notwithstanding any other provisions of this Lease, Landlord shall forthwith
upon such termination, without prejudice to any remedies which might otherwise
be available for arrears of rent or other charges due hereunder or preceding
breach of this Lease, be ipso facto entitled to recover as liquidated damages
the sum of (a) the amount (reasonably discounted to present value) by
which, at the time of such termination of this Lease, (i) the aggregate of
the Rent projected over the period commencing with such termination and ending
with the Termination Date stated in Article 1 exceeds (ii) the
aggregate projected rental value of the Demised Premises for such period and
(b) (in view of the uncertainty of prompt re-letting and the expense
entailed in re-letting the Demised Premises) an amount equal to the Rent
payable for and in respect of the calendar year next preceding the date of
termination, as aforesaid. Upon such termination Landlord, may immediately or
at any time thereafter, without demand or notice, enter into or upon the
Demised Premises (or any part thereof in the name of the whole), and (without
being taken or deemed to be guilty of any manner of trespass or conversion, and
without being liable to indictment, prosecution or damages thereof) may,
forcibly if necessary,

 

24

 

expel Tenant and those
claiming under Tenant from the Demised Premises and remove therefrom the
effects of Tenant and those claiming under Tenant.

 

19.3         Damages - Termination. Upon the termination of this Lease under the
provisions of this Article, then except as hereinabove in Section 19.2
otherwise provided, Tenant shall pay to Landlord the Rent payable by Tenant to
Landlord up to the time of such termination, shall continue to be liable for
any preceding breach of covenant, and in addition, shall pay to Landlord as
damages, at the election of Landlord

 

either:

 

(x)            the amount by which, at the time of the termination of
this Lease (or at any time thereafter if Landlord shall have initially elected
damages under Subparagraph (y), below), (i) the aggregate of the Rent
projected over the period commencing with such time and ending on the
originally-scheduled Termination Date as stated in Article 1 exceeds
(ii) the aggregate projected rental value of the Demised Premises for such
period, reasonably discounted in each case to present value,

 

or,

 

(y)           amounts equal to the Rent which would have been
payable by Tenant had this Lease not been so terminated, payable upon the due
dates therefor specified herein following such termination and until the
originally-scheduled Termination Date as specified in Article 1, provided,
however, if Landlord shall re-let the Demised Premises during such period, that
Landlord shall credit Tenant with the net rents received by Landlord from such
re-letting, such net rents to be determined by first deducting from the gross
rents as and when received by Landlord from such re-letting the expenses
incurred or paid by Landlord in terminating this Lease, as well as the expenses
of re-letting, including altering and preparing the Demised Premises for new
tenants, brokers’ commissions, and all other similar and dissimilar expenses
properly chargeable against the Demised Premises and the rental therefrom, it
being understood that any such re-letting may be for a period equal to or
shorter or longer than the remaining term of this Lease; and provided, further,
that (i) in no event shall Tenant be entitled to receive any excess of
such net rents over the sums payable by Tenant to Landlord hereunder and
(ii) in no event shall Tenant be entitled in any suit for the collection
of damages pursuant to this Subparagraph (y) to a credit in respect of any
net rents from a re-letting except to the extent that such net rents are
actually received by Landlord prior to the commencement of such suit. If the
Demised Premises or any part thereof should be re-let in combination with other
space, then proper apportionment on a square foot area basis shall be made of
the rent received from such re-letting and of the expenses of re-letting.
Landlord shall endeavor in good faith to mitigate damages payable pursuant to
the provisions of this subparagraph.

 

Suit or suits for the
recovery of such damages, or any installments thereof, may be brought by
Landlord from time to time at its election, and nothing contained herein shall
be deemed to require Landlord to postpone suit until the date when the term of
this Lease would have expired if it had not been terminated hereunder.

 

25

 

Nothing herein contained
shall be construed as limiting or precluding the recovery by Landlord against
Tenant of any sums or damages to which, in addition to the damages particularly
provided above, Landlord may lawfully be entitled by reason of any default
hereunder on the part of Tenant.

 

19.4         Fees and Expenses. 
If Tenant shall default in the performance of any covenant on Tenant’s
part to be performed as in this Lease contained, Landlord may immediately, or
at any time thereafter, subject (except in case of emergency) to expiration of
the applicable grace period, perform the same for the account of Tenant. If
Landlord at any time is compelled to pay or elects to pay any sum of money, or
do any act which will require the payment of any sum of money, by reason of the
failure of Tenant to comply with any provision hereof, or if Landlord is
compelled to or does incur any expense, including without limitation reasonable
attorneys’ fees, in instituting, prosecuting and/or defending any action or
proceeding arising by reason of any default of Tenant hereunder, Tenant shall
on demand pay to Landlord by way of reimbursement the sum or sums so paid by
Landlord with all interest, costs and damages. Without limiting the generality
of the foregoing, in the event that any Rent is more than ten (10) days in
arrears, Tenant shall pay, as Additional Rent, a delinquency charge equal to
two and one-half percent (2-1/2%) of the arrearage for each calendar month (or
fraction thereof) during which it remains unpaid.

 

19.5         Landlord’s Remedies Not Exclusive. 
The specified remedies to which Landlord may resort hereunder are
cumulative and are not intended to be exclusive of any remedies or means of
redress to which Landlord may at any time be lawfully entitled, and Landlord
may invoke any remedy (including without limitation the remedy of specific
performance) allowed at law or in equity as if specific remedies were not
herein provided for.

 

19.6         Grace Period. 
Notwithstanding anything to the contrary in this Article contained,
Landlord agrees not to take any action to terminate this Lease (a) for
default by Tenant in the payment when due of Rent, if Tenant shall cure such
default within ten (10) days after written notice thereof given by
Landlord to Tenant, or (b) for default by Tenant in the performance of any
other covenant, if Tenant shall cure such default within a period of thirty
(30) days after written notice thereof given by Landlord to Tenant, or with
respect to covenants other than to pay a sum of money within such additional
period as may reasonably be required to cure such default if (because of
governmental restrictions or any other cause beyond the reasonable control of
Tenant) the default is of such a nature that it cannot be cured within such
thirty (30)-day period, provided, however, (1) that there shall be no
extension of time beyond such thirty (30)-day period for the curing of any such
default unless, not more than twenty (20) days after the receipt of the notice
of default, Tenant in writing (i) shall specify the cause on account of
which the default cannot be cured during such period and shall advise Landlord
of its intention duly to institute all steps necessary to cure the default and
(ii) shall as soon as may be reasonable duly institute and thereafter
diligently prosecute to completion all steps necessary to cure such default
and, (2) that no notice of the opportunity to cure a default need be
given, and no grace period whatsoever shall be allowed to Tenant, if the
default is incurable or if the covenant or condition the breach of which gave
rise to the default had, by reason of a breach on two (2) prior occasions
during the preceding twelve (12) month period, been the subject of a notice
hereunder to cure such default.

 

26

 

20.           END OF TERM - ABANDONED PROPERTY

 

Upon the expiration or
other termination of the Term of this Lease, Tenant shall peaceably quit and
surrender to Landlord the Demised Premises and all alterations and additions
thereto which Tenant is not entitled or required to remove under the provisions
of this Lease, broom clean in good order, repair and condition excepting only
reasonable use and wear and damage by fire or other casualty for which, under
other provisions of this Lease, Tenant has no responsibility of repair or
restoration. Tenant’s obligation to observe or perform this covenant shall
survive the expiration or other termination of the Term of this Lease. If the
last day of the Term of this Lease or any renewal thereof falls on a day other
than a Business Day, this Lease shall expire on the Business Day immediately
preceding.

 

Any personal property in
which Tenant has an interest which shall remain in the Building or on the
Demised Premises after the expiration or termination of the Term of this Lease
shall be conclusively deemed to have been abandoned, and may be disposed of in
such manner as Landlord may see fit; provided, however, notwithstanding the foregoing,
that Tenant will, upon request of Landlord made not later than thirty (30) days
after the expiration or termination of the Term hereof, promptly remove from
the Building any such personal property or, if any part thereof shall be sold,
that Landlord may receive and retain the proceeds of such sale and apply the
same, at its option, against the expenses of the sale, the cost of moving and
storage, any arrears of Rent payable hereunder by Tenant to Landlord and any
damages to which Landlord may be entitled under Article 19 hereof or
pursuant to law, with the balance if any, to be paid to Tenant.

 

21.           RIGHTS OF MORTGAGEES

 

21.1         Superiority of Lease. Except to the extent that it may be provided
otherwise by written agreement between Tenant and a Mortgagee, this Lease shall
be superior, and shall not be subordinated, to a Mortgage or to any other
voluntary lien or encumbrance affecting the Land or Building or any part
thereof and hereafter granted by Landlord. Any Mortgagee shall have the right,
at its option, to subordinate its Mortgage to this Lease, in whole or in part,
by recording a unilateral declaration to such effect.

 

21.2         Entry and Possession. Upon entry and taking possession of the Property by
a Mortgagee, for the purpose of foreclosure or otherwise, such Mortgagee shall
have all the rights of Landlord, and shall be liable to perform all the
obligations of Landlord arising during the period of such possession, provided,
however, that upon the return of possession to Landlord by such Mortgagee, such
rights and obligations of Mortgagee shall cease until a subsequent entry.

 

21.3         Right to Cure. No act or failure to act on the part of Landlord
which would entitle Tenant under the terms of this Lease, or by law, to be
relieved of Tenant’s obligations hereunder or to terminate this Lease, shall
result in a release or termination of such obligations or a termination of this
Lease unless (i) Tenant shall have first given written notice of
Landlord’s act or failure to act to first Mortgagees of record, if any, and to
any other Mortgagees of whom Tenant has been given written notice, specifying
the act or failure to act on the part of Landlord which could or would give
basis to Tenant’s rights; and (ii) such Mortgagees, after receipt of such
notice, have failed or refused to correct or cure the condition complained of
within a

 

27

 

reasonable time
thereafter, but nothing contained in this paragraph shall be deemed to impose
any obligation on any such Mortgagees to correct or cure any such condition.
“Reasonable time” as used above means and includes a reasonable time to obtain
possession of the Land and Building if any such Mortgagee elects to do so and a
reasonable time to correct or cure the condition if such condition is
determined to exist.

 

21.4         Prepaid Rent. No Rent shall be paid more than thirty (30) days
prior to the due dates thereof and, as to a first Mortgagee of record and any
other Mortgagees of whom Tenant has been given written notice, payments made in
violation of this provision shall (except to the extent that such Rent is
actually received by such Mortgagee) be a nullity as against such Mortgagee and
Tenant shall be liable for the amount of such payments to such Mortgagee.

 

21.5         Continuing Offer. The covenants and agreements contained in this Lease
with respect to the rights, powers and benefits of a Mortgagee (particularly,
without limitation thereby, the covenants and agreements contained in this
Article) constitute a continuing offer to any person, corporation or other
entity, which by accepting or requiring an assignment of this Lease or by entry
or foreclosure assumes the obligations herein set forth with respect to such
Mortgagee; every such Mortgagee is hereby constituted a party to this Lease as
an obligee hereunder to the same extent as though its name was written hereon
as such; and such Mortgagee shall be entitled to enforce such provisions in its
own name.

 

21.6         Subordination. Notwithstanding the foregoing provisions of this
Article, Tenant agrees, at Landlord’s request, to execute and deliver promptly
any certificate or other instrument which Landlord may request subordinating
this Lease and all rights of Tenant hereunder to any Mortgage, and to all
advances made under such Mortgage and/or agreeing to attorn to such Mortgagee
in the event that it succeeds to Landlord’s interest in the Property, provided
that the holder of any such Mortgage shall execute and deliver to Tenant a
non-disturbance agreement to the effect that, in the event of any foreclosure
of such Mortgage, such holder will not name Tenant as a party defendant to such
foreclosure nor disturb its possession under the Lease and will otherwise
recognize Tenant’s rights hereunder. Landlord warrants and represents that the
Property is not presently subject to any Mortgage.

 

21.7         Limitations on Liability. Nothing contained in the foregoing
Section 21.6 or in any such non-disturbance agreement or non-disturbance
provision shall however, affect the prior rights of the holder of any Mortgage
with respect to the proceeds of any award in condemnation or of any fire
insurance policies affecting the Building, or impose upon any such holder any
liability (i) for the erection or completion of the Building, or
(ii) in the event of damage or destruction to the Building or the Demised
Premises by fire or other casualty, for any repairs, replacements, rebuilding
or restoration except such repairs, replacements, rebuilding or restoration as
can reasonably be accomplished from the net proceeds of insurance actually
received by, or made available to, such holder, or (iii) for any default
by Landlord under the Lease occurring prior to any date upon which such holder
shall become Tenant’s landlord, or (iv) for any credits, offsets or claims
against the Rent as a result of any acts or omissions of Landlord committed or
omitted prior to such date, or (v) for return of any security deposit or
other funds unless the same shall have been received by such holder, and any
such agreement or provision may so state.

 

28

 

22.           QUIET ENJOYMENT

 

Landlord covenants that
if, and so long as, Tenant keeps and performs each and every covenant,
agreement, term, provision and condition herein contained on the part and on
behalf of Tenant to be kept and performed, Tenant shall quietly enjoy the
Demised Premises from and against the claims of all persons claiming by,
through or under Landlord subject, nevertheless, to the covenants, agreements,
terms, provisions and conditions of this Lease and to all Mortgages to which
this Lease is subject and subordinate.

 

Without incurring any
liability to Tenant, Landlord may permit access to the Demised Premises and
open the same, whether or not Tenant shall be present, upon any demand of any
receiver, trustee, assignee for the benefit of creditors, sheriff, marshall or
court officer entitled to, or reasonably purporting to be entitled to, such
access for the purpose of taking possession of, or removing Tenant’s property
or for any other lawful purpose (but this provision and any action by Landlord
hereunder shall not be deemed a recognition by Landlord that the person or
official making such demand has any right or interest in or to this Lease, or
in or to the Demised Premises), or upon demand of any representative of the
fire, police, building, sanitation or other department of the city, county,
state or federal governments.

 

23.           ENTIRE AGREEMENT - WAIVER - SURRENDER

 

23.1         Entire Agreement. This Lease and the Exhibits made a part hereof
contain the entire and only agreement between the parties and any and all
statements and representations, written and oral, including previous
correspondence and agreements between the parties hereto, are merged herein.
Tenant acknowledges that all representations and statements upon which it
relied in executing this Lease are contained herein and that Tenant in no way
relied upon any other statements or representations, written or oral. Any
executory agreement hereafter made shall be ineffective to change, modify, discharge
or effect an abandonment of this Lease in whole or in part unless such
executory agreement is in writing and signed by the party against whom
enforcement of the change, modification, discharge or abandonment is sought.
Nothing herein shall prevent the parties from agreeing to amend this Lease and
the Exhibits made a part hereof as long as such amendment shall be in writing
and shall be duly signed by both parties.

 

23.2         Waiver by Landlord. The failure of Landlord to seek redress for
violation, or to insist upon the strict performance, of any covenant or
condition of this Lease, or any of the Rules and Regulations promulgated
hereunder, shall not prevent a subsequent act, which would have originally
constituted a violation, from having all the force and effect of an original
violation. The receipt by Landlord of Rent with knowledge of the breach of any
covenant of this Lease shall not be deemed a waiver of such breach. The failure
of Landlord to enforce any of such Rules and Regulations against Tenant and/or
any other tenant or subtenant in the Building shall not be deemed a waiver of
any such Rules and Regulations. No provisions of this Lease shall be
deemed to have been waived by Landlord unless such waiver be in writing signed
by Landlord. No payment by Tenant or receipt by Landlord of a lesser amount
than the Rent herein stipulated shall be deemed to be other than on account of
the stipulated Rent, nor shall any endorsement or statement on any check or any
letter accompanying any check or payment as Rent be deemed an accord and
satisfaction, and Landlord may accept such check or payment without prejudice
to

 

29

 

Landlord’s right to
recover the balance of such Rent or pursue any other remedy in this Lease provided.

 

23.3         Surrender. No act or thing done by Landlord during the term
hereby demised shall be deemed an acceptance of a surrender of the Demised
Premises, and no agreement to accept such surrender shall be valid, unless in
writing signed by Landlord. No employee of Landlord or of Landlord’s agents
shall have any power to accept the keys of the Demised Premises prior to the
termination of this Lease. The delivery of keys to any employee of Landlord or
of Landlord’s agents shall not operate as a termination of the Lease or a
surrender of the Demised Premises.

 

24.           INABILITY TO PERFORM - EXCULPATORY CLAUSE

 

Except as otherwise
expressly provided in this Lease, this Lease and the obligations of Tenant to
pay Rent hereunder and perform all other covenants, agreements, terms,
provisions and conditions hereunder on the part of Tenant to be performed shall
in no way be affected, impaired or excused because Landlord is unable to
fulfill any of its obligations under this Lease or is unable to supply or is
delayed in supplying any service expressly or impliedly to be supplied or is
unable to make or is delayed in making any repairs, replacements, additions,
alterations, improvements or decorations or is unable to supply or is delayed
in supplying any equipment or fixtures if Landlord is prevented or delayed from
doing so by reason of strikes or labor troubles or any other similar or
dissimilar cause whatsoever beyond Landlord’s reasonable control, including but
not limited to, governmental preemption in connection with a national emergency
or by reason of any rule, order or regulation of any department or subdivision
thereof of any governmental agency or by reason of the conditions of supply and
demand which have been or are affected by war, hostilities or other similar or
dissimilar emergency. In each such instance of inability of Landlord to
perform, Landlord shall exercise reasonable diligence to eliminate the cause of
such inability to perform.

 

Tenant shall neither
assert nor seek to enforce any claim for breach of this Lease against any of
Landlord’s assets other than Landlord’s interest in the Property and in the
rents, issues and profits thereof, and Tenant agrees to look solely to such
interest for the satisfaction of any liability of Landlord under this Lease, it
being specifically agreed that in no event shall Landlord (which term shall
include, without limitation any of the officers, trustees, directors, partners,
beneficiaries, joint venturers, members, stockholders or other principals or
representatives, disclosed or undisclosed, of Landlord or any managing agent)
ever be personally liable for any such liability. This paragraph shall not
limit any right that Tenant might otherwise have to obtain injunctive relief
against Landlord or to take any other action which shall not involve the
personal liability of Landlord to respond in monetary damages from Landlord’s
assets other than the Landlord’s interest in said real estate, as aforesaid. In
no event shall Landlord ever be liable for consequential damages. In no event
shall Tenant be liable for consequential damages not expressly provided for in
this Lease unless such damages are a reasonably foreseeable result of Tenant’s
failure to fulfill its obligations hereunder.

 

30

 

25.           BILLS AND NOTICES

 

Any notice, consent,
request, bill, demand or statement hereunder by either party to the other party
shall be in writing and shall be either delivered or served personally or sent
by certified mail, return receipt requested, in a postpaid envelope, deposited
in the United States mails addressed to the respective party at its Address as
stated in Article 1, or if any Address for notices shall have been duly
changed as hereinafter provided, at such changed Address. Either party may at
any time change the Address for such notices, consents, requests, bills,
demands or statements by delivering or mailing, as aforesaid, to the other
party a notice stating the change and setting forth the changed Address,
provided such changed address is within the United States. Any such notice,
consent, request, bill, demand or statement shall be effective when received or
refused.

 

All bills and statements
for reimbursement or other payments or charges due from Tenant to Landlord
hereunder shall be due and payable in full thirty (30) days, unless herein
otherwise provided, after submission thereof by Landlord to Tenant. Tenant’s
failure to make timely payment of any amounts indicated by such bills and
statements, whether for work done by Landlord at Tenant’s request,
reimbursement provided for by this Lease or for any other sums properly owing
by Tenant to Landlord, shall be treated as a default in the payment of Rent, in
which event Landlord shall have all rights and remedies provided in this Lease
for the nonpayment of Rent.

 

26.           PARTIES BOUND - SEIZIN OF TITLE

 

The covenants,
agreements, terms, provisions and conditions of this Lease shall bind and
benefit the successors and assigns of the parties hereto with the same effect
as if mentioned in each instance where a party hereto is named or referred to,
except that no violation of the provisions of Article 14 hereof shall
operate to vest any rights in any successor or assignee of Tenant and that the
provisions of this Article shall not be construed as modifying the
conditions of limitation contained in Article 19 hereof.

 

If in connection with or
as a consequence of the sale, transfer or other disposition of the real estate
(Land and/or Building, either or both, as the case may be) of which the Demised
Premises are a part Landlord ceases to be the owner of the reversionary
interest in the Demised Premises, Landlord shall be entirely freed and relieved
from the performance and observance thereafter of all covenants and obligations
hereunder accruing thereafter on the part of Landlord to be performed and
observed (other than the duty to properly account for any security deposit held
by Landlord pursuant to Section 27.7 until said deposit, or any balance
thereof, is transferred to Landlord’s successor), it being understood and
agreed in such event (and it shall be deemed and construed as a covenant
running with the land) that the person succeeding to Landlord’s ownership of
said reversionary interest shall thereupon and thereafter assume, and perform
and observe, any and all of such covenants and obligations of Landlord.

 

27.           MISCELLANEOUS

 

27.1         Separability. If any provision of this Lease or portion of such
provision or the application thereof to any person or circumstance is for any
reason held invalid or unenforceable,

 

31

 

the remainder of the
Lease (or the remainder of such provision) and the application thereof to other
persons or circumstances shall not be affected thereby.

 

27.2         Captions. The captions are inserted only as a matter of
convenience and for reference, and in no way define, limit or describe the
scope of this Lease nor the intent of any provisions thereof.

 

27.3         Brokers. Each party represents and warrants that it has not
directly or indirectly dealt, with respect to the leasing of space in the
Building, with any broker or had its attention called to the Demised Premises
or other space to let in the Building, by any broker other than the Brokers
listed in Article 1, whose commission shall be the responsibility of
Landlord. Each party agrees to exonerate and save harmless and indemnify the
other against any claims for a commission by any other broker, person or firm,
with whom such party has dealt in connection with the execution and delivery of
this Lease or out of negotiations between Landlord and Tenant with respect to
the leasing of other space in the Building.

 

27.4         Governing Law. This Lease is made pursuant to, and shall be
governed by, and construed in accordance with, the laws of the Commonwealth of
Massachusetts.

 

27.5         Assignment of Lease and/or Rent. With reference to any assignment by
Landlord of its interest in this Lease and/or the Rent payable hereunder,
conditional in nature or otherwise, which assignment is made to or held by a
bank, trust company, insurance company or other institutional lender holding a
Mortgage on the Building, Landlord and Tenant agree:

 

(a)           that the execution thereof by Landlord and acceptance
thereof by such Mortgagee shall never be deemed an assumption by such Mortgagee
of any of the obligations of Landlord hereunder, unless such Mortgagee shall,
by written notice sent to the Tenant, specifically otherwise elect; and

 

(b)           that, except as aforesaid, such Mortgagee shall be
treated as having assumed the Landlord’s obligations hereunder only upon
foreclosure of such Mortgagee’s Mortgage and the taking of possession of the
Demised Premises after having given notice of its intention to succeed to the
interest of Landlord under this Lease.

 

27.6         Notice of Lease. Neither party shall record this Lease in any
Registry of Deeds or Registry District, provided however that either party
shall at the request of the other, execute and deliver a recordable Notice of
this Lease in the form prescribed by Chapter 183, Section 4 of the
Massachusetts General Laws.

 

27.7         Security Deposit. A deposit in the amount of $596,122 shall be paid by
Tenant upon execution hereof and held by Landlord as security for the full,
faithful and punctual performance by Tenant of all the covenants of this Lease
on Tenant’s part to be performed, it being understood that said deposit is not
to be considered prepaid rent, nor shall damages be limited to the amount of
said deposit, nor shall Landlord be required, because of said deposit, to waive
its right under Article 19 to terminate this Lease in the event of
default. In no event shall Landlord be obligated to pay interest on said
deposit. Said deposit, or any balance thereof, shall be refunded to Tenant,
subject to Tenant’s satisfactory compliance with its covenants hereunder,

 

32

 

within thirty (30) days
following the end of the Term of this Lease. Tenant shall be entitled to pay
said deposit, either initially or to replace a previous cash payment (it being understood
that no further substitutions in the form of said deposit shall be allowed), by
furnishing an irrevocable letter of credit subject to the following terms and
conditions. Said letter of credit shall be issued by a commercial bank approved
by Landlord and shall be in form and content satisfactory in all respects to
Landlord. In the event of any default by Tenant, Landlord shall be entitled to
receive from the issuer of such letter of credit upon demand so much of the
amount which may be drawn therefrom as shall be necessary to cure such default
and compensate Landlord for all losses, liabilities, damages and other
expenses, including without limitation reasonable attorneys’ fees, which may be
imposed upon, incurred by or asserted against Landlord by reason of such
default, and Tenant shall thereafter promptly restore such letter of credit to
its original amount. If Tenant fails to restore such letter of credit to its
original amount as hereinabove required, or if such letter of credit is about
to expire and shall not have been renewed as herein required within thirty (30)
days preceding such expiration, or if Landlord otherwise reasonably deems
itself insecure with regard to the performance by Tenant of its covenants
hereunder, then in any such event Landlord may upon demand withdraw all
remaining available funds under such letter of credit and hold the same as a
cash security deposit pursuant to the preceding provisions of this Section.

 

27.8         Parking. So long as this Lease remains in full force and effect,
Landlord shall allocate to Tenant nine (9) unreserved spaces in the
parking area to be contained in the Building.  Tenant shall comply with all regulations of
general applicability imposed by Landlord with respect to the use of such
spaces by Tenant hereunder, including without limitation payment of such fees
as may be generally applicable from time to time, calculated at the same
monthly rate applicable from time to time to spaces located in the garage at 10
Necco Street, Boston, Massachusetts (or, if Landlord no longer owns or operates
said garage, at the same monthly rate applicable from time to time to spaces
located in any comparable garage facility designated by Landlord). To the
fullest extent permitted by law, Landlord shall have no responsibility for
securing such parking area, nor shall Landlord be liable for any theft, injury
or damage occurring therein.

 

33

 

IN WITNESS WHEREOF,
Landlord and Tenant have caused this instrument to be executed under seal, all
as of the day and year first above written.

 

	
   

  	
  LANDLORD: 

  
	
   

  	
   

  
	
   

  	
  BOSTON WHARF CO.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By

  	
  [ILLEGIBLE]

  
	
   

  	
   

  
	
   

  	
  On behalf of
  P & 0 Properties Boston Inc. and

  Summer St. Properties Inc., its sole General

  Partners

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  TENANT:

  
	
   

  	
   

  
	
   

  	
  THE MacGREGOR GROUP,
  INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By

  	
  /s/ Thomas F. Sheehan

  
	
   

  	
  Its

  	
  Chief Financial Officer

  
	
   

  	
   

  	
  (duly-authorized)
  title

  

 

34

 

EXHIBIT A

PLAN OF DEMISED
PREMISES

 

 

 

 

 

 

 

 

	
  321 Summer Street
  Building Improvements

  	
   

  	
   

  
	
  Scope of Construction
  Work

  	
   

  	
  EXHIBIT B

  
	
  SHELL
  AND CORE IMPROVEMENTS

  	
   

  	
   

  
	
  November 10, 1999

  	
   

  	
  BASE BUILDING
  WORK

  

 

The following is an
outline of the work required for the proposed building shell and core
improvements to 321 Summer Street in preparation for tenant occupancy. The
scope of work outlined herein does not include tenant improvements.

 

0.0           Contracts and Conditions

 

0.1                                 Form of Contract: AIA A111,
Owner/Contractor Agreement, Cost of the Work Plus a Fee, 1987 edition.

 

0.2                                 Conditions of the Contract:

 

a.                                       AIA A201, General Conditions of the
Contract for Construction, 1987 edition.

 

b.                                      Boston Wharf Company, Supplementary
General Conditions.

 

0.3                                 Insurance Requirements: Per requirements
of Boston Wharf Company.

 

1.0           General Requirements

 

1.1                                 General Requirements customarily
applicable to Boston Wharf projects shall be applicable to this project. Copy
available on request.

 

1.2                                 Do not interrupt services, utilities, or
facilities except when having given prior written permission by the Boston
Wharf Co.

 

1.3                                 Take special care and make every
reasonable effort to protect the exterior and building system upgrades in
progress or completed.

 

1.4                                 Prevent the entry of rain water, snow,
ice from entering the building while construction operations are underway.

 

1.5                                 Perform torch cutting operations in
accordance with requirements of the Boston Wharf Co. and the local fire
department.

 

2.0           Project Site Preparation

 

2.1           Selective Demolition:

 

a.             Demolish the following items:

 

i.              Miscellaneous non-masonry partitions.

 

ii.             Existing toilet fixtures and fittings.

 

iii.            Existing windows, sash only.

 

iv.            Existing fire stair doors, fire escape doors and
overhead doors and miscellaneous interior doors.

 

1

 

v.             Existing interior finishes at exterior walls.

 

vi             Existing roofing gravel and flashings. Remove loose
roofing plies, cutout blisters.

 

vii.                                Land and remove all existing passenger
and freight elevators and related equipment including rails and supports.

 

viii.                             Existing finishes from ceilings.

 

ix.                                     Concrete loading docks on back of
building.

 

x.                                        Existing mechanical systems.

 

b.             Preparation of the construction for installation of
new building components and systems:

 

i.                                          Core holes in existing floors to receive
new piping and conduit.

 

ii.                                       Cut new openings at floors/slabs for new
elevators, stairs, duct shafts and new main entry lobby.

 

c.             Remove and legally dispose of demolished materials
off-site.

 

3.0           Concrete

 

3.1                                 Miscellaneous patching as required.

 

3.2                                 New slab at main entry lobby, slab
infills at existing brick masonry stair and elevator shafts.

 

3.2                                 Concrete pads for new emergency
generator, fire pump, boilers, air handling units, booster pumps, switch gear
and transformer.

 

3.3           Concrete foundations and slabs at elevator pit.

 

4.0           Masonry

 

4.1                                 Setting of relieving angles and
structural steel elements and patching at new piping, ductwork, conduit and
other new openings, doorways and penetrations in masonry walls. Patch with
matching masonry materials.

 

4.2                                 Cut and point 50% of exterior brick
walls.

 

4.3                                 Epoxy inject broken stone lintels if
necessary.

 

4.4                                 Clean Summer Street elevation and east
and west facades with restoration cleaner at brick and high pressure water on
limestone.

 

2

 

4.5                                 Cut and retooth in new window openings in
east and west facades at floors 6,7 and 8.

 

5.0           Metals

 

5.1           Provide loose lintels and structural steel elements
for penetrations in masonry walls.

 

5.2           Provide metal deck and support angles at new slab
infills at existing brick masonry stair and elevator shafts.

 

5.3                                 Provide new steel stair system with
concrete infill @ treads and landings including treads, stringers, risers,
landing and rails, shop primed and related items for new egress stair, all
floors including roof.

 

5.4                                 Provide structural steel framing at new
main entry lobby, stairs, ductwork shafts, elevator hoistway and elevator
override.

 

5.5                                 Provide steel to support roof top cooling
tower, galvanized.

 

5.6                                 Provide miscellaneous elevator steel
items including pit ladder, sills and angles.

 

5.7                                 Heavy gage structural steel stud framing
at elevator override and stair roof access.

 

6.0           Wood

 

6.1           Rough Carpentry:

 

a.             Provide blocking where required.

 

b.             Prepare window openings for installation of new
windows.

 

b.             Provide plywood backing panels in the electrical
closet.

 

c.                                       Remove and replace pieces of existing
buckled and deteriorated flooring, fill in gaps and low spots, in preparation
for carpet installation by Tenant.

 

6.2           Finish Carpentry:

 

a.             Steamed beach veneer window sills with solid beach
edge band, clear finish.

 

b.             Main lobby millwork and trim.

 

c.             Steamed beach wall base at typical floor elevator
lobbies.

 

7.0           Thermal and Moisture Protection

 

7.1           Insulation:

 

a.             Min. 3” foil faced fiberglass blankett at exterior
walls.

 

3

 

b.             Min. 2” polyisocyanurate at roof, tapered to roof
drains, mechanically fastened.

 

c.             2 1/2” sound
attenuation blanket at toilet room walls.

 

7.2                                 Firestopping: Mineral wool or 3M
Fire-Barrier Caulk or Bio Fireshield Firestop Collars, at floor and wall
penetrations as appropriate.

 

7.3                                 EPDM Membrane Roofing: .060, Fully
adhered.

 

7.4                                 Flashing and Sheet Metal: Copper flashing
and counter flashings, 16 oz, where required. .060” cap flashing at building
perimiter where missing.

 

7.5                                 Roof Specialties and Accessories: Provide
new roof access hatch and elevator shaft vents.

 

7.6                                 Preformed Siding:

 

a.                                       Provide .060”aluminum siding,
pre-finished AAMA 2605 70% kynar paint, with related accessories for cladding
of elevator override and stair penthouse.

 

7.7           Joint Sealers and Fillers:

 

a.                                       Multi-component polyurethane, ASTM C920
Type M, Grade NS, Class 25, FS TT-S-00227E Class A at all exterior
building joints and windows.

 

b.                                      Single component urethane, ASTM C920,
Type S, ASTM C719, FS TT-00230C, Type II, Class A and FS TT-S-001543A,
Class A for all interior joints except at toilet rooms.

 

c.                                       Silicone, sanitary type, ASTM D2240, ASTM
C719, FS TT-00230C, Type II, Class A and FS TT-S-001543A, Class A, at
toilet rooms.

 

d.                                      Miscellaneous materials as required.

 

8.0           Doors and Windows

 

8.1           Provide Hollow Metal Doors and Frames in the following
locations:

 

a.                                       All door openings - hollow metal frames;
welded at exterior openings, knock-down at interior openings .

 

b.                                      All doors, steamed beach veneer, solid
core, natural finish.

 

8.2           Aluminum Windows:

 

a.                                       High performance heavy duty commercial
replacement windows, fixed.

 

4

 

b.                                      1” insulating glass, clear glass, thermal
break.

 

c.                                       Interior and exterior panning, including
radiused head breaks.

 

d.                                      Kynar finish.

 

8.3           Building Entrances and Store Front:

 

a.                                       Building entrances: medium style
stainless steel clad aluminum doors with manufacturer standard hardware, Kynar
finish, thermal breaks.

 

b.                                      Storefront: 1” insulating glass, thermal
breaks and Kynar finish.

 

8.4           Finish Hardware:

 

a.                                       Finish - Brushed stainless steel.

 

b.                                      Sets:

 

i.              Door at Electrical/Telephone Rooms and Other
Miscellaneous Doors:

 

Butts

Lock Set

Strike

Silencers

 

ii.             Doors at Toilet Rooms:

 

Butts

Closer

Push/Pulls

Strike

Silencers

 

8.5           Mirrors: Unframed full width mirrors at lavatories.

 

9.0           Finishes

 

9.1           Drywall partitions:

 

a.                                       3-5/8” stud partitions.

 

b.                                      2-1/2” stud furring at building perimeter
and along party walls (if scheduled to receive drywall).

 

c.                                       5/8” drywall, X-type where fire rated,
MR-type at toilet room fixture walls, vapor barrier type at building perimeter.
Three layers of drywall at toilet room walls.

 

5

 

d.                                      Shaftwall at new building shafts.

 

e.                                       Metal trim accessories.

 

f.                                         Fire ratings:

 

i.              2-hour at stairs, elevator shaft and ductwork shafts.

 

ii.             1-hour at mechanical room

 

9.2           Ceramic Tile:

 

a.             8” x 8” porcelain ceramic tile on floor.

 

b.             4”x 8” porcelain ceramic tile base with bull nose top.

 

c.             Marble threshold.

 

9.3           Acoustical Ceilings: 2’ x 2’ lay-in, with 9/16”
exposed gird, at toilet rooms.

 

9.4           Interior Stone: Polished granite lavatory tops at
toilet rooms.

 

9.4           Painting:

 

a.             Wood work: natural finish, AWI System TR4.

 

b.             Painted Drywall:

 

i.              Walls in tenant areas and electrical/telephone room -
primer only.

 

iii.            Walls in toilet rooms - 1 coat primer, 2
coats eggshell, polomyx at wet walls.

 

c.             Painted Metal: 1 coat primer, 2 coats, semi-gloss.

 

10.0         Specialties

 

10.1         Fire Extinguisher and Cabinets:

 

a.             2 fully recessed cabinets per floor.

 

b.             ABC type extinguisher.

 

10.2         Toilet Partitions

 

a.             Floor mounted, factory painted enamel finish.

 

10.3         Toilet Accessories:

 

a.             Fully recessed paper towel dispenser with waste
receptacle.

 

6

 

b.             Toilet tissue dispensers.

 

c.             Sanitary napkin dispenser (women only).

 

d.             Sanitary napkin disposer (women only).

 

e.             Grab bars.

 

11.0         Equipment: None.

 

12.0         Furnishings: None.

 

13.0         Special Construction: None.

 

14.0         Conveying Systems:.

 

14.1         Elevators

 

a.             Provide two traction elevators.

 

b.             Microprocessor based control system.

 

c.             Cab: Manufacturer’s standard plastic laminate walls,
egg crate ceiling.

 

15.0         Mechanical

 

15.1                           Fire Protection: Provide new sprinkler
branch lines heads and drops in new spaces as required to maintain full
sprinkler coverage on the floor based on tenant layout.

 

15.2                           Plumbing:

 

a.                                       Provide water and sanitary distribution
for toilet rooms as required, to tie into

new building system.

 

b.                                      Fixtures:

 

i               Water closets, wall mounted, elongated bowl.

 

ii.             Urinals, wall hung.

 

iii.            Lavatories, self-rimming, oval for surface mount in
countertop.

 

iv.            Electric water coolers.

 

v.             Mop receptors.

 

vi.            Electric waterheaters, 30 gallon, 1 every other floor.

 

15.3         HVAC

 

7

 

a.             Heating: Hot water boiler with fin tube radiation and
supplemental heating coils in ductwork.

 

b.             Roof top exhaust fans.

 

c.             Ductwork

 

i.              Vertical supply and return distribution stubbed into
tenant spaces.

 

ii.             Toilet exhaust system.

 

iii.            Horizontal distribution at common lobbies, corridors
and spaces.

 

d.             Main entrance and ground floor egress cabinet heaters.

 

e.             Automatic temperature controls coordinated with Boston
Wharf Co. system.

 

16.0         Electrical

 

16.1         Service and Distribution:

 

a.                                       Provide new service and distribution
system throughout building including

service distribution to tenant meters and panels on each floor.

 

b.                                      Provide power and lighting wiring to
house and common areas on each floor.

 

16.2         Lighting:

 

a.                                       4 foot 2 lamp strip fluorescents, chain
hung tenant electric/telephone closets, penthouses, and basement.

 

b.                                      Decorative lighting in main lobby.

 

c.                                       Decorative exterior lighting at front
building entrance.

 

d.                                      Temporary fluorescent lighting in tenant
spaces.

 

e.                                       Recessed fluorescent cove lighting with
recessed fluorescent down lighting in toilet rooms.

 

8

 

16.3         Fire Alarm System:

 

a.             Provide in tenant areas, tied into central fire alarm
system.

 

9

 

EXHIBIT B-1

 

APPROVED CONTRACTORS

 

Turner Construction Co.

Payton Construction Corp.

T.R. White Co., Inc.

 

 

EXHIBIT C

 

SCHEDULE OF CLEANING SERVICES

 

NIGHTLY

 

Empty wastebaskets and
replace plastic liners as needed (liners to be paid for by tenant).

 

Dust furniture and
fixtures, office equipment, ledges, windowsills, telephones and bookshelves.

 

Spot clean walls around
door frames and light switches. Clean and sanitize drinking fountains. Damp
wipe desk and table tops.

 

Vacuum carpeting.

 

Spot clean carpeting.

 

Dry mop composition
floors using chemically treated dry mops.

 

Spot mop composition
floors.

 

Vacuum and/or sweep and
dust stairways.

 

 

LOBBY AND ELEVATORS

 

Damp wipe elevator doors
inside and out and elevator walls and button panels.

 

Dust elevator doors and
walls.

 

Clean elevator tracks.

 

Vacuum elevator rugs.

 

Wash entrance door glass.

 

 

TENANT’S KITCHEN

 

Wash table tops in
kitchen.

 

Wipe down chairs,
refrigerator, sink, microwave and dishwasher in kitchen.

 

 

COMPUTER ROOM. COMPUTERS
AND OTHER EQUIPMENT

 

Special care in cleaning
of these items.

 

 

LAVATORIES

 

Wash and disinfect sinks,
commodes and urinals. Wash and polish mirrors and bright work. Empty
receptacles and remove trash. Dust partitions, dispensers and receptacles.

 

Replenish toilet tissue,
paper towel and hand soap dispensers (supplies to be furnished by Landlord).

 

Sweep, wash and disinfect
floors.

 

Wash and polish all
marble.

 

 

WEEKLY

 

Dust bottoms of chairs,
typewriter tables, baseboards, open shelves, etc.

 

Remove fingerprints and
smudges from doors, door frames, walls, switchplates and partitions.

 

Wash composition floors.

 

Spray buff composition
floors.

 

Wash chairs.

 

 

MONTHLY

 

Dust walls and venetian
blinds.

 

Wash and redress
composition floors and baseboards.

 

 

QUARTERLY

 

Dust ceiling diffusers.

 

Machine strip and
refinish composition floors.

 

 

WINDOW CLEANING

 

Wash and clean interior
and exterior windows including all metal mullions and sashes, which shall be
wiped clean during the window cleaning operation once every three
(3) months.

 

2

 

EXHIBIT D

 

RULES AND REGULATIONS

 

1.             The sidewalks, entrances, passages, courts, elevators,
vestibules, stairways, corridors or halls of the Building shall not be
obstructed or encumbered or used for any purpose other than ingress and egress
to and from the premises demised to any tenant or occupant.

 

2.             No awnings or other projections shall be attached to
the outside walls or windows of the Building without the prior consent of
Landlord. No curtains, blinds, shades, or screens shall be attached or hung in,
or used in connection with, any window or door of the premises demised to any
tenant or occupant, without the prior consent of Landlord. Such awnings,
projections, curtains, blinds, shades, screens, or other fixtures must be of a
quality type, design and color, and attached in a manner, approved by Landlord.

 

3.             No sign, advertisement, object, notice or other
lettering shall be exhibited, inscribed, painted or affixed on any part of the
outside or inside of the premises demised to any tenant or occupant or of the
Building without the prior consent of Landlord. Interior signs on doors and
directory tables, if any, shall be of a size, color and style approved by
Landlord.

 

4.             The sashes, sash doors, skylights, windows, and doors
that reflect or admit light and air into the halls, passageways or other public
places in the Building shall not be covered or obstructed, nor shall any
bottles, parcels, or other articles be placed on any window sills.

 

5.             No show cases or other articles shall be put in front
of or affixed to any part of the exterior of the Building, nor placed in the
halls, corridors, vestibules or other parts of the Building.

 

6.             The water and wash closets and other plumbing fixtures
shall not be used for any purposes other than those for which they were
constructed, and no sweepings, rubbish, rags, or other substances shall be
thrown therein.

 

7.             No tenant or occupant shall mark, paint, drill into,
or in any way deface any part of the Building or the premises demised to such
tenant or occupant. No boring, cutting or stringing of wires shall be permitted,
except with the prior consent of the Landlord, and as Landlord may direct. No
tenant or occupant shall install any carpeting in the premises demised to such
tenant or occupant except in manner approved by Landlord and in accordance with
the following minimum specifications:

 

Padding - 40 ounces in
weight per square yard

Carpeting - 25 ounces in
face weight per square yard

 

8.             No bicycles, vehicles or animals of any kind shall be
brought into or kept in or about the premises demised to any tenant. Bicycles
may be stored in racks, if any, furnished for such purpose by Landlord in a
common area of the Property. No cooking shall be done or permitted in the
Building by any tenant without the approval of Landlord. No tenant shall cause

 

 

or permit any unusual or
objectionable odors to emanate from the premises demised to such tenant.

 

9.             Without the prior consent of Landlord, no space in the
Building shall be used for manufacturing, or for the sale of merchandise, goods
or property of any kind at auction.

 

10.           No tenant shall make, or permit to be made, any
unseemly or disturbing noises or disturb or interfere with other tenants or
occupants of the Building or neighboring buildings or premises whether by the
use of any musical instrument, radio, television set or other audio device,
unmusical noise, whistling, singing, or in any other way. Nothing shall be
thrown out of any doors or windows.

 

11.           Each tenant must, upon the termination of its tenancy,
restore to Landlord all keys of stores, storage areas, offices and toilet
rooms, either furnished to, or otherwise procured by, such tenant.

 

12.           All removals from the Building, or the carrying in or
out of the Building or the premises demised to any tenant, of any safes,
freight, furniture, or bulky matter of any description must take place at such
time and in such manner as Landlord or its agents may determine, from time to
time. Landlord reserves the right to inspect all freight to be brought into the
Building and to exclude from the Building all freight which violates any of the
Building Rules or the provisions of such tenant’s lease.

 

13.           No tenant shall use or occupy, or permit any portion
of the premises demised to such tenant to be used or occupied, as an office for
a public stenographer or typist, or as a barber or manicure shop, or as an
employment bureau. No tenant or occupant shall engage or pay any employees in
the Building, except those actually working for such tenant or occupant in the
Building, nor advertise for laborers giving an address at the Building.

 

14.           No tenant or occupant shall purchase spring water,
ice, food, beverage, lighting maintenance, cleaning towels or other like
service, from any company or person not approved by Landlord, such approval not
unreasonably to be withheld.

 

15.           Landlord shall have the right to prohibit any
advertising by any tenant or occupant which, in Landlord’s opinion, tends to
impair the reputation of the Building or its desirability as a building for
offices, and upon notice from Landlord, such tenant or occupant shall refrain
from or discontinue such advertising.

 

16.           Landlord reserves the right to exclude from the
Building, between the hours of 6:00 p.m. and 8:00 a.m. on Business
Days and otherwise at all hours, all unauthorized persons.

 

17.           Each tenant, before closing and leaving the premises
demised to such tenant at any time, shall see that all entrance doors are
locked and windows closed.

 

18.           No premises shall be used, or permitted to be used,
for lodging or sleeping, or for any immoral or illegal purpose.

 

2

 

19.           There shall not be used in the Building, either by any
tenant or occupant or by their agents or contractors, in the delivery or
receipt of merchandise, freight or other matter, any hand trucks or other means
of conveyance except those equipped with rubber tires, rubber side guards and
such other safeguards as Landlord may require.

 

20.           Canvassing, soliciting and peddling in the Building
are prohibited and each tenant and occupant shall cooperate in seeking their
prevention.

 

21.           If the premises demised to any tenant become infested
with vermin, such tenant, at its sole cost and expense, shall cause its
premises to be exterminated from time to time, to the satisfaction of Landlord,
and shall employ such exterminators therefor as shall be approved by Landlord.

 

22.           No tenant shall move, or permit to be moved, into or
out of the Building or the premises demised to such tenant, any heavy or bulky
matter, without the specific approval of Landlord. If any such matter requires
special handling, only a person holding a Master Rigger’s license shall be
employed to perform such special handling. No tenant shall place, or permit to
be placed, on any part of the floor or floors of the premises demised to such tenant,
a load exceeding the floor load per square foot which such floor was designed
to carry and which is allowed by law. Landlord reserves the right to prescribe
the weight and position of safes and other heavy matter, which must be placed
so as to distribute the weight. Whenever any passenger elevator is used for the
transport of freight, protective padding furnished by Landlord shall be
attached to the side and rear walls of said elevator during such use.

 

23.           The requirements of tenants will be attended to only
upon application at the office of the building. Building employees shall not be
required to perform, and shall not be requested by any tenant or occupant to
perform, any work outside of their regular duties, unless under specific
instructions from the office of the managing agent of the building.

 

24.           The possession of any lighted cigarette, cigar, pipe
or other smoking articles shall be prohibited throughout the Building and the
sidewalks adjoining the Building.

 

3EXHIBIT 10.30.1

 

CONSENT TO ASSIGNMENT

 

This Consent
to Assignment (this “Agreement”)
is dated as of March 31, 2006, among W2005 BWH III Realty, L.L.C., a
Delaware limited liability company (“Landlord”),
The MacGregor Group, Inc., a Delaware corporation (“Assignor”),
and Investment Technology Group, Inc., a Delaware corporation (“Assignee”).

 

RECITALS:

 

A.            Assignor and Boston Wharf Co., a
Massachusetts general partnership (the “Original Landlord”), entered into that
certain Lease dated as of August 15, 2000 (the “Lease”),
under which Landlord is leasing to Assignor approximately 37,551 rentable
square feet of floor area in the building located at 321 Summer Street, Boston,
Massachusetts.  (the “Building”). Capitalized terms used
herein but not defined shall be given the meanings assigned to them in the
Lease.

 

B.            Assignor desires to assign the Lease to
Assignee, and Assignee desires to assume all of Assignor’s obligations under
the Lease, subject to the terms and conditions contained herein.

 

C.            Landlord has succeeded to the interest of
Original Landlord as owner of the Building and as landlord under the Lease.

 

AGREEMENTS:

 

For valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
the parties hereto agree as follows:

 

1.             Consent. Subject to the terms and
conditions contained in this Agreement, Landlord hereby consents to the
assignment of the Lease by Assignor to Assignee pursuant to the Lease
Assignment and Assumption Agreement between Assignor and Assignee, a true copy
of which is attached hereto as Exhibit A (the “Assignment”).
Landlord’s consent contained herein shall not waive its rights as to any
subsequent assignment, sublease or other transfer and shall not be construed as
a consent to any modifications of the terms of the Lease contained in the
Assignment (if any) unless such modifications are expressly set forth in this
Agreement.

 

2.             Assumption of Liabilities. Assignor
and Assignee shall be jointly and severally liable to Landlord for all of the
obligations of the “Tenant” under the Lease (whether arising or accruing before
or after the effective date of the Assignment), including, without limitation,
the indemnification obligations, and Landlord may enforce the same directly
against Assignee or Assignor or both.

 

3.             No Obligations Created. Each of the
parties to this Agreement agree and acknowledge that Landlord shall have no
obligation or liability under the terms of the Assignment. Without limiting the
generality of the foregoing, Landlord shall have no liability for (and shall
not be bound by) any modifications, deletions or waivers of any provision of
the Lease which Landlord has not agreed to specifically in writing.
Additionally, Landlord shall have no obligation to give notice of any default
under the Lease except to Assignee (and only

 

1

 

to the extent
required under the Lease) and shall have no obligation to deal with any party
other than Assignee with respect to the Lease or the Premises. Assignee hereby
releases, acquits and forever discharges Landlord and its agents, employees,
officers, directors, partners and affiliates from any and all claims,
liabilities and obligations arising out of or in any way related to the
Assignment which Assignee or any party claiming by, through or under Assignee
now has or may ever have in the future against Landlord or any of such other
parties. Assignee acknowledges that Landlord would not have entered this
Agreement without such release.

 

4.             [Intentionally
Omitted.]

 

5.             Condition of Premises. Landlord
makes no representations or warranties, express or implied, concerning the
condition of the Premises, and Assignee accepts the Premises in their “as-is”
condition as of the date hereof, subject to Landlord’s ongoing obligations
under the Lease.

 

6.             Subordination. Assignor hereby
subordinates to the interest of Landlord any statutory lien, contractual lien,
security interest or other rights which Assignor may claim with respect to any
property of Assignee.

 

7.             Security Deposit. Pursuant to Section 27.7
of the Lease, Assignor has delivered to Landlord a letter of credit in the
amount of $596,122 (the “Letter of Credit”). Within thirty (30) days of the
date of this Agreement, Landlord shall return to Assignor the Letter of Credit.
From and after the date of this Agreement, Section 27.7 shall be deleted
from the Lease and Assignee shall have no obligation to provide a security
deposit under the Lease.

 

8.             Conditions Precedent. The delivery
to Landlord of the following items no later than 3:00 p.m. Boston,
Massachusetts, time on April 28, 2006, shall be conditions precedent to
Landlord’s consent as provided in Section 1 above:

 

(a)          $1,000.00 from Assignor,
representing Landlord’s attorneys’ fees incurred in connection with this
Agreement;

 

(b)         $750 from Assignor,
representing Landlord’s administrative fee payable in connection with this
Agreement;

 

(c)          certificate(s) of
insurance from Assignee satisfying all the requirements of the Lease; and

 

(d)         a photocopy of the
original executed Assignment.

 

9.             Limitation of Liability. In
addition to any other limitations of Landlord’s liability as contained in the
Lease, as amended to date, the liability of Landlord (and its partners,
shareholders or members) to either Assignor or Assignee (or any person or
entity claiming by, through or under Assignor or Assignee) for any default by
Landlord under the terms of the Lease or any matter relating to or arising out
of the occupancy or use of the Premises and/or other areas of the Building
shall be limited to such party’s actual direct, but not consequential, damages
therefor and shall be recoverable only from the interest of

 

2

 

Landlord in the Property and
Landlord (and its partners, shareholders or members) shall not be personally
liable for any deficiency.

 

10.           Brokerage. Neither Assignor nor
Assignee has dealt with any broker or agent in connection with the negotiation
or execution of the Assignment or this Agreement. In no event shall Landlord be
liable for any leasing or brokerage commission with respect to the negotiation
and execution of the Assignment or this Agreement. Assignor and Assignee shall
each jointly and severally indemnify, defend and hold Landlord harmless from
and against all costs, expenses, attorneys’ fees and other liability for
commissions or other compensation claimed by any broker or agent claiming the
same by, through or under the indemnifying party with respect to the Assignment
or this Agreement.

 

11.           Notices; No Electronic Records. All
notices and other communications given pursuant to the Lease and this Agreement
shall be in writing and shall be (a) mailed by first class, United States
mail, postage prepaid, certified, with return receipt requested, and addressed
to the parties hereto at the address(es) listed below, (b) hand delivered
to the intended addressee, (c) sent by a nationally-recognized overnight
courier (e.g., Federal Express), or (d) sent by facsimile transmission
followed by a confirmatory letter. Notice sent by certified mail, postage
prepaid, shall be effective three business days after being deposited in the
United States mail; all other notices shall be effective upon delivery to the
address of the addressee (even if such addressee refuses delivery thereof).
Landlord, Assignor and Assignee hereby agree not to conduct the transactions or
communications contemplated by this Agreement, by electronic means, except by
facsimile transmission as specifically set forth in this Section 11; nor
shall the use of the phrase “in writing” or the word “written” be construed to
include electronic communications except by facsimile transmissions as
specifically set forth in this Section 11. The parties hereto may change
their addresses by giving notice thereof to the other in conformity with this
provision. Without limiting the provisions of Section 3 hereof, the
addresses for notice set forth below shall supersede and replace any addresses
for notice set forth in the Lease.

 

	
  Landlord:

  	
   

  	
  W2005 BWH III Realty, L.L.C.

  
	
   

  	
   

  	
  c/o Spaulding and Slye

  
	
   

  	
   

  	
  263 Summer Street

  
	
   

  	
   

  	
  Boston, Massachusetts 02210

  
	
   

  	
   

  	
  Attention: Property Manager

  
	
   

  	
   

  	
  Telecopy No.: 617-439-0557

  
	
   

  	
   

  	
   

  
	
  with a copy to:

  	
   

  	
  W2005 BWH III Realty, L.L.C.

  
	
   

  	
   

  	
  c/o Archon Group, L.P.

  
	
   

  	
   

  	
  99 High Street

  
	
   

  	
   

  	
  Boston, Massachusetts 02110

  
	
   

  	
   

  	
  Attention: Regional Marketing Officer

  
	
   

  	
   

  	
  Telecopy No.: 617-854-5540

  

 

3

 

	
  with a copy to:

  	
   

  	
  W2005 BWH III Realty, L.L.C.

  
	
   

  	
   

  	
  c/o Archon Group, L.P.

  
	
   

  	
   

  	
  600 East Las Colinas Boulevard, Suite 400

  
	
   

  	
   

  	
  Irving, Texas 75039

  
	
   

  	
   

  	
  Attention: General Counsel — 321 Summer Street, Boston,

  
	
   

  	
   

  	
  Massachusetts

  
	
   

  	
   

  	
  Telecopy No.: 972-368-3199

  
	
   

  	
   

  	
   

  
	
  Assignor:

  	
   

  	
  The MacGregor Group, Inc.

  
	
   

  	
   

  	
  c/o Investment Technology Group, Inc.

  
	
   

  	
   

  	
  380 Madison Avenue

  
	
   

  	
   

  	
  New York, New York 10017

  
	
   

  	
   

  	
  Attention: General Counsel

  
	
   

  	
   

  	
  Telecopy No.: 212-444-6494

  
	
   

  	
   

  	
   

  
	
  Assignee:

  	
   

  	
  Investment Technology Group, Inc.

  
	
   

  	
   

  	
  380 Madison Avenue

  
	
   

  	
   

  	
  New York, New York 10017

  
	
   

  	
   

  	
  Attention: General Counsel

  
	
   

  	
   

  	
  Telecopy No.: 212-444-6494

  

 

12.           Ratification. Assignor and Assignee
hereby ratify and confirm their respective obligations under the Lease, and
represent and warrant to Landlord that, as of the date hereof, they have no
defenses thereto. Additionally, Assignor, and Assignee further confirm and
ratify that, as of the date hereof, (a) the Lease is and remains in full
force and effect, (b) to each party’s knowledge, neither of such parties
has any claims, counterclaims, set-offs or defenses against Landlord arising
out of the Lease or in any way relating thereto or arising out of any other
transaction between Landlord, Assignor or Assignee, and (c) except as
expressly provided for in this Agreement, all tenant finish-work allowances
provided to Tenant under the Lease or otherwise, if any, have been paid in full
by Landlord to Tenant, and Landlord has no further obligations with respect
thereto.

 

Landlord confirms and ratifies that, as of the date hereof, (a) the
Lease is and remains in full force and effect, and (b) to Landlord’s
knowledge, Landlord has no claims, counterclaims, set-offs or defenses against
Assignee or Assignor arising out of the Lease or in any way relating thereto or
arising out of any other transaction between Landlord, Assignor or Assignee.

 

13.           Binding Effect; Governing Law.
Except as modified hereby, the Lease shall remain in full effect and this
Agreement shall be binding upon Landlord, Assignor, and Assignee and their
respective successors and assigns. If any inconsistency exists or arises
between the terms of this Agreement and the terms of the Lease, the terms of
this Agreement shall prevail. This Agreement shall be governed by the laws of
the state in which the Premises are located.

 

14.           Amendment; Entire Agreement. This
Agreement shall not be amended or modified except by an instrument in writing
signed by all the parties hereto and this

 

4

 

Agreement contains all of the agreements, understandings,
representations and warranties of the parties with respect to the subject
matter hereof.

 

15.           Counterparts. This Agreement may be
executed in multiple counterparts, each of which shall constitute an original,
but all of which shall constitute one document.

 

[THE REMAINDER OF THIS PAGE INTENTIONALLY
LEFT BLANK]

 

5

 

EXECUTED as a
sealed instrument as of the date first written above.

 

	
  LANDLORD:

  	
  W2005 BWH III REALTY, L.L.C., a Delaware

  
	
   

  	
  limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ John M. Matteson

  
	
   

  	
  Name:

  	
    John M. Matteson

  
	
   

  	
  Title:

  	
    AVP

  
	
   

  	
   

  
	
   

  	
   

  
	
  ASSIGNOR:

  	
  THE MACGREGOR GROUP, INC., a

  
	
   

  	
  Delaware corporation

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ P. Mats Goebels

  
	
   

  	
  Name:

  	
    P. Mats Goebels

  
	
   

  	
  Title:

  	
    Director & Secretary

  
	
   

  	
   

  
	
   

  	
   

  
	
  ASSIGNEE:

  	
  INVESTMENT TECHNOLOGY GROUP,

  
	
   

  	
  INC., a Delaware corporation

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ P. Mats Goebels

  
	
   

  	
  Name:

  	
    P. Mats Goebels

  
	
   

  	
  Title:

  	
    Managing Director, General Counsel & Secretary

  
					

 

6

 

EXHIBIT A

 

Copy of the Assignment

 

 

A-1

 

LEASE ASSIGNMENT
AND ASSUMPTION AGREEMENT

 

This Lease Assignment and
Assumption Agreement (this “Agreement”) is hereby entered into as of the 2nd day
of January, 2006 by and between The MacGregor Group, Inc., a Delaware
corporation (“Assignor”), and Investment Technology Group, Inc., a
Delaware corporation (“Assignee”).

 

WHEREAS, Boston Wharf Co., a
Massachusetts general partnership, and Assignor entered into that certain Lease
(the “Lease”) dated as of August 15, 2000 with respect to a portion of the
building located at and known as 321 Summer Street, Boston, Massachusetts.

 

WHEREAS, Assignor has agreed
to assign to Assignee all of its right, title and interest in and to the Lease
and the leasehold estate created thereby for the remaining term thereof and Assignee
has agreed to accept such assignment and assume all of the obligations of the
tenant under the Lease.

 

NOW, THEREFORE, in consideration of the mutual covenants and agreements
set forth herein, and other good and valuable consideration, the receipt and
sufficiency of which are hereby mutually acknowledged, the parties hereto
hereby agree as follows:

 

1.  As of January 3, 2006 (the “Effective Date”),
Assignor hereby assigns to Assignee all of Assignor’s right, title and interest
as tenant in and to the Lease and the leasehold estate created thereby for the
remaining term thereof on and after the Effective Date.

 

2.  Assignee hereby accepts the within assignment effective
as of the Effective Date and agrees to assume, be bound by and perform all
of the obligations of the tenant under and pursuant to the terms and provisions
of the Lease arising prior to, on or after the Effective Date.

 

IN WITNESS WHEREOF, Assignor
and Assignee have executed this Lease Assignment and Assumption Agreement as a
sealed instrument as of the date first above written.

 

	
  ASSIGNOR:

  	
   

  	
  THE
  MACGREGOR GROUP, INC., a Delaware

  corporation

  

 

	
   

  	
  By:

  	
  /s/
  P. Mats Goebels

  	
   

  
	
   

  	
  Name:
  P. Mats Goebels

  
	
   

  	
  Title:
  Director and Secretary

  

 

 

	
  ASSIGNEE:

  	
   

  	
  INVESTMENT
  TECHNOLOGY GROUP, INC.,

  a Delaware corporation

  

 

	
   

  	
  By:

  	
  /s/
  P. Mats Goebels

  	
   

  
	
   

  	
   

  	
  Name:
  P. Mats Goebels

  
	
   

  	
   

  	
  Title:
  Managing Director and Secretary

  

 

2

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