eTrade 2000 Annual Report Download - page 201

Option Space (for which Tenant has exercised its expansion option).
26.2Second Expansion Option Spaces.
(a) Option to Expand . Provided that (i) no Event of Default by Tenant exists under the terms of this Lease at the time Tenant exercises
its option to expand the Premises or at the time Tenant is to commence occupancy of the space in question, (ii) E-Trade Group, Inc. or
a Permitted Assignee occupies at feast ninety percent (90%) of the Building, the 4200 Bohannon Building and all other space leased to
Tenant pursuant to this Lease and the 4200 Bohannon Lease (including the 4400 Bohannon Expansion Option Space), (iii) Tenant has
exercised the First Expansion Option with respect to all of the First Expansion Option Space, (iv) Tenant has exercised its expansion
option with respect to and the 4400 Bohannon Expansion Option Space, and (v) Tenant has a financial net worth of at least Seven
Hundred Million Dollars ($700,000,000.00) at the time Tenant exercises its Second Expansion Option, or Tenant otherwise delivers to
Landlord the additional security deposit required pursuant to Section 26.3 below, Tenant shall have the option (the “Second Expansion
Option”) to lease the space (the “Second Expansion Option Space”) listed on Exhibit F-2 , attached hereto, in the increments listed on
Exhibit F-2 , upon the terms and conditions contained in this Section 26.
(b) Exercise of Second Expansion Option . Tenant shall exercise the Second Expansion Option with respect to either or both of the
increments of Second Expansion Option Space by written notice to Landlord no earlier than fifteen (15) months prior to the expiration
date (the “SEOS Current Lease Expiration Date”) of the existing lease of the applicable increment of Second Expansion Option Space
(noted on Exhibit F-2 ) and no later than twelve (12) months prior to the SEOS Current Lease Expiration Date. Notwithstanding the
foregoing, if the tenant that currently leases the Second Expansion Option Space defaults on its obligations under its lease and
Landlord either terminates the existing tenant’ s lease or enters into a lease termination agreement with the existing tenant (in lieu of
bringing an unlawful detainer action against the existing tenant) which results in an incremen t of Second Expansion Option Space
becoming available for lease prior to the SEOS Current Lease Expiration Date (hereinafter referred to as an “Early Termination
Event”), then Tenant shall exercise its option to lease the applicable increment of Second Expansion Option Space (if at all) within
forty-five (45) days after Landlord notifies Tenant in writing of the date that the increment of Second Expansion Option Space has
become or will become available for lease (hereinafter referred to as the “SEOS Early Availability Date”); provided, however, in no
event will Tenant be required to exercise its Second Expansion Option with respect to any increment of Second Expansion Option
Space more than twelve (12) months prior to the SEOS Early Availability Date. If Tenant fails to exercise the Second Expansion
Option with respect to any increment of Second Expansion Option Space within the time period provided above, the Second
Expansion Option with respect to that increment of Second Expansion
Option Space shall expire, and Tenant and Landlord shall have no further rights or obligations under this Section with respect to that
increment of Second Expansion Option Space.
(c) Terms of Lease . Landlord shall lease each increment of Second Expansion Option Space to Tenant on all the same, terms and
conditions contained in this Lease except (i) Landlord shall not be required to pay to Tenant any tenant improvement allowance or
inducement, (ii) the term of Tenant’ s lease of each increment of Second Expansion Option Space shall be for twelve (12) years,
commencing on the date on which Landlord delivers to Tenant possession of the increment of Second Expansion Option Space
(subject to extension pursuant to Section 26.2(e) below), (iii) Tenant may not place exterior building signage on the building located at
4600 Bohannon Drive (but Tenant shall have the right to place exterior building signage on the building located at 4700 Bohannon
Drive in accordance with the provisions contained in this Lease pertaining to exterior building signage), (iv) Tenant shall deliv er to
Landlord concurrently with Tenant’ s execution of an amendment to this Lease to include the additional premises or Tenant’ s execution
of a new lease for the additional premises (which Tenant shall execute within thirty (30) days after Tenant exercises its Second
Expansion Option and receives the proposed amendment or lease from Landlord) a security deposit for the applicable increment of
Second Expansion Option Space in an amount equal to the last monthly installment of Base Rent due for the applicable increment of
Second Expansion Option Space, (v) the monthly Base Rent per rentable square foot for the increment of Second Expansion Option
Space leased by Tenant shall be an amount equal to monthly Base Rent per rentable square foot of the existing Premises in effect at the
commencement of the term of the applicable increment of Second Expansion Option Space, less (1) the amount of the monthly Base
Rent per rentable square foot attributable to the Additional Allowance (if any) and (2) the amoun t of the monthly Base Rent per
rentable square foot attributable to the Base Allowance (which the parties agree to be an amount equal to Seven and One-Half Cents
($0.075) per rentable square foot, increased by three and one-half percent (3.5%) per annum beginning on the Commencement Date
and ending on the commencement date of the term of the applicable increment of Second Expansion Option Space), subject to further
increases thereafter in the same percentages and on the same dates as the remainder of the Premises pursuit to Section 4.2, and (vi)
Tenant shall lease the Second Expansion Option Space in its “as is” condition, except Landlord shall deliver the Second Expansion
Option Space to Tenant in broom clean condition, with all building systems in good working condition and the roof in water-tight
condition.
(d) Delivery of Second Expansion Option Space . If Tenant exercises its Second Expansion Option with respect to any increment of
Second Expansion Option Space, Landlord shall use commercially reasonable efforts to deliver possession of the applicable increment
2002. EDGAR Online, Inc.