8x8 2016 Annual Report Download - page 103

(90)dayspriorwrittenNoticetoTenant(whichNoticeshallspecifytheanticipateddateofsuchrelocation).Suchspace("RelocationSpace")shall
be comparable in size, quality, level of finish, of similar view to the exterior and with a similar amount of skylights, utility and condition to the
Premises(providedthatsuchrequirementtoprovidesimilarviewsandskylightsshallonlyapplyinconnectionwitharelocationofthe3rdfloorofthe
Premises,butnotthe2ndfloorofthePremises).Landlordshallpayallreasonablemovingexpenses,includingallcabling,ITandwiringcosts,costs
ofthirdpartymovingconsultants,andallcostsforimprovingtheRelocationSpacesothattheconditionthereofiscomparabletothePremises,and
shall reimburse Tenant for stationery reprinting costs necessitated by such relocation, up to, but not exceeding, a total reimbursement for such
stationary reprinting costs of $1,500.00. Tenant shall cooperate with Landlord in all reasonable ways to facilitate any such relocation, which
relocationshalloccuratsuchtimesandonsuchdate(s)asmaybereasonablydesignatedbyLandlord.PriortothedatethatTenantismovedtothe
RelocationSpace,TenantshallremaininthePremises andshallcontinue toperformallofits obligationsunderthis Lease.Uponthedeliveryof
possessionoftheRelocationSpacetoTenant,theRelocationSpaceshallthereuponbecomethepremisesleasedbyTenantunderthisLease(and
allreferencesinthisLeasetothe"Premises"shallthereafterrefertotherelocatedPremises),andthetermsoftheLeaseshallremaininfullforce
andshallthereupon applytothe RelocationSpace,exceptthat,if thesizeof theRelocationSpace issmallerthan thePremisesastheyexisted
beforetherelocation(asreasonablydeterminedbyLandlord),then,effectiveasofsuchrelocation,MonthlyRentandTenant'sShareshalleachbe
adjusted downwards based on the relationship between the number of rentable square feet of the pre-relocation Premises and the number of
rentablesquarefeetoftheRelocationSpace(allasreasonablydeterminedbyLandlord).Noamendmentorotherinstrumentshallbenecessaryto
effectuate a relocation of the Premises pursuant to this Section 3.8 , except that, if requested by Landlord, Tenant shall execute an appropriate
amendmentdocumentwithintwenty(20)daysafterLandlord'swrittenrequesttherefor.IfTenantfailstoexecutesuchrelocationamendmentwithin
suchtimeperiod,orifTenantfailstobereadytorelocateonthedate(s)designatedbyLandlord,thenanysuchfailureshallconstituteanEventof
DefaultbyTenantunderthisLease.
3.9OptiontoRenew.
A. General.LandlordherebygrantsTenantone(1)optiontoextendtheTermforone(1)periodoffive(5)years(the"OptionTerm"),which
optionshallbeexercisableonlybywrittenExerciseNotice(asdefinedbelow)deliveredbyTenanttoLandlordasprovidedbelow.Uponthe
properexerciseofthisoptiontoextend,theTermshallbeextendedfortheOptionTerm(whichshallbeonthesametermsandconditionsas
theLeaseexceptforMonthlyRentwhichshallbedeterminedassetforthbelow)andthepartiesshallpromptlyexecuteanamendmenttothis
LeasesettingforththeMonthlyRentandothertermsapplicabletosuchOptionTermoncesuchtermsarefinallydeterminedinaccordance
withthisSection3.9.Landlordshallhavenoobligationtoconstructanyimprovementson,inoraroundthePremisesorinthePropertyorto
provideanytenantimprovementallowance.TherightsetforthinthisSection3.9shallbepersonaltotheentityexecutingthisLeaseas
Tenant(the"OriginalTenant")oranyPermittedAssignee(asdefinedbelow)andsuchrightmayonlybeexercisedbysuchOriginalTenant
orPermittedAssignee(andnotanyotherassignee,sublesseeorothertransfereeofOriginalTenant'sinterestinthisLease)ifsuchOriginal
TenantoccupiestheentirePremisesasofboththedateoftheExerciseNoticeandthecommencementoftheOptionTerm.AtLandlord's
option,TenantshallnothavetherighttoextendtheTermoftheLeasefortheOptionTermifatanytimebetweenthedateofdeliveryofthe
ExerciseNoticebyTenantandtheendoftheTerm,TenanthascommittedorpermittedtooccuranEventofDefault.
B. ExtensionOptionRent.TheannualMonthlyRentpayablebyTenantduringtheOptionTermshallbeequaltotheFairMarketRentalRate
forthePremises.Asusedherein,the"FairMarketRentalRate"shallmeanthemonthlybaserentatwhichnon-equitytenants,asofthe
commencementoftheOptionTerm,willbeleasingnon-subleasespacecomparableinsize,locationandqualitytothePremisesfora
comparableterm,whichcomparablespaceislocatedintheBuildingandinothercomparableofficebuildingsinSanJose,California,taking
intoconsiderationallfreerentandotherout-of-pocketconcessionsgenerallybeinggrantedatsuchtimeforsuchcomparablespaceforthe
OptionTerm.AllothertermsandconditionsofthisLeaseshallapplythroughouttheOptionTerm;however,Tenantshall,innoevent,have
anyfurtheroptiontoextendtheTermunlessLandlordandTenantotherwiseagreeinwriting.
C. ExerciseofExtensionOption.TheoptionprovidedunderthisSection3.9shallbeexercisedbyTenant,ifatall,onlyinthefollowingmanner:
(i)Tenantshalldeliverwrittennotice("ExerciseNotice")toLandlordnoearlierthantwelve(12)monthsbeforetheexpirationoftheTerm
andnolaterthannine(9)monthsbeforetheexpirationoftheTerm,irrevocablyexercisingtheoption;(ii)Landlord,afterreceiptofTenant's
notice,shalldelivernotice(the"OptionRentNotice")toTenantnolaterthanseven(7)monthsbeforetheexpirationoftheTerm,setting
forthitsdeterminationofFairMarketRentalRate.IntheeventTenantobjectstotheFairMarketRentalRatesubmittedbyLandlord,Tenant
shalldosoinwritingwithinten(10)BusinessDaysand,withsuchobjection,setforthTenant'sdeterminationoftheFairMarketRentalRate
forthePremises.IfTenantdoesnotobjectinsuchtimeand
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