Circuit City 2009 Annual Report Download - page 94

Premises to Landlord in the condition required by the Lease. If Landlord delivers a Re-Capture Notice, then from and after the date on which
Tenant surrenders the Additional Retail Premises in accordance with this Section 2(o), Tenant shall have no further obligations under the Lease
with respect to the Additional Retail Premises, except for those obligations that expressly survive the expiration or termination of the Lease. If
Tenant fails to vacate and surrender the Additional Retail Premises on the Re-
Capture Date in accordance with this Section 2(o), and such failure
continues for five (5) days after written notice from Landlord, then such failure will be an Event of Default under the Lease.
(p) Sublease of Additional Retail Premises . Tenant shall have the right to sublease the Additional Retail Premises in
accordance with Section 9 of the Lease.
(q) Signage . Tenant shall have the right, at its sole costs and expense, to install signage on the building in which the
Additional Retail Premises are located, subject to (i) obtaining Landlord’s prior written consent, which consent will not be unreasonably
withheld or delayed, and (ii) complying with all applicable governmental requirements (including building codes).
3. Extension of Term of Original Remaining Premises
(a) Original Extension Term . As to the Original Remaining Premises, consisting of an aggregate of 82,866 rentable
square feet, the Term of the Lease is hereby extended for a period (the “Original Extension Term”) of ten (10) years, commencing February I,
2010 (the “Original Extension Term Commencement Date”) and ending January 31, 2020. Tenant shall have the right to further extend the Term
of the Lease under Section 4 of this Amendment. Section R-5 of the Lease Rider is hereby deleted and will be of no further force or effect.
(b) Annual Rent for Original Remaining, Premises . Tenant agrees to pay to Landlord, as Annual Rent for the
Original Remaining Premises for the first five (5) years of the Original Extension Term, without notice, demand, deduction, setoff or
counterclaim, plus all applicable sales, rent, use and/or other taxes thereon, the sum of One Million Two Hundred Twenty Eight Thousand
Seventy Four and 10/100 Dollars ($1,228,074.10) based upon the rate of $14.82 per square foot, payable in Monthly Installments of Rent equal
to One Hundred Two Thousand Three Hundred Thirty Nine and 50/100 Dollars ($102,339.50). The Annual Rent shall be increased on February
1, 2015 to One Million Six Hundred Fifty Seven Thousand Three Hundred Twenty and 00/100 Dollars ($1,657,320.00) based upon the rate of
$20.00 per square foot, payable in Monthly installments of Rent equal to One Hundred Thirty Eight Thousand One Hundred Ten and 00/100
Dollars ($138,110.00). Monthly Installments of Rent at the rate set forth above shall be payable to Landlord in advance, on the first day of each
calendar month during the Original Extension Term.
(c) Additional Rent for Original Remaining Premises . In addition to the Annual Rent payable on the Original
Remaining Premises, Tenant hereby further agrees to pay to Landlord during the Original Extension Term, all Direct Expenses, Taxes and other
charges due and payable by Tenant pursuant to the Lease (including, without limitation, Tenant’s Percentage Share of the cost associated with
the Property Insurance as to the Storage Premises only). Upon the Original Extension Term Commencement Date, the Base Year for Direct
Expenses and Taxes shall be changed to the calendar year 2010. On February 1, 2015, the Base Year for Direct Expenses and Taxes shall be
changed to the calendar year 2015.
(d) Original Remaining Premises Accepted by Tenant “AS IS” Subject to Landlord’s maintenance and repair
obligations under the Lease for the Original Remaining Premises, Tenant acknowledges and agrees that: (i) Tenant has been in occupancy oldie
Original Remaining Premises for an extended period of time; and (ii) Tenant is fully familiar with the Original Remaining Premises and the
Center and accepts the same now, and at the Original Extension Term Commencement Date in an “AS IS” condition. Within three hundred sixty
(360) days of the occurrence of the Original Extension Term Commencement Date. Tenant, at its sole option, shall have the right upon written
notice to Landlord to perform the following work (collectively, the “Reimbursable Improvements”) to the Office Premises, the Original Retail
Premises and the Additional Retail Premises: install new carpeting in the Office Premises to equal or better quality as when first installed at
inception of the Lease; repaint the Office Premises to equal or better quality as when first painted at inception of the Lease; and/or make other
tenant improvements to the Office Premises, the Original Retail Premises and the Additional Retail Premises which are permanent in nature, all
in accordance with the terms of the Lease. If Tenant performs any of the Reimbursable Improvements within such three hundred sixty (360)-day
period, then Landlord shall reimburse Tenant for the cost of the Reimbursable Im provements, in an amount not to exceed. Three Hundred
Twenty Five Thousand and 00/100 Dollars ($325,000.00), within thirty (30) days of Landlord’s receipt of reasonable documentary evidence that
the Reimbursable Improvements was performed in accordance with the Lease and the cost of the same has been paid in full (as evidenced by
unconditional lien waivers from the trades performing the Reimbursable Improvements); provided, however, that Landlord will only be
obligated to reimburse Tenant up to an amount of One Hundred Sixty Two Thousand Five Hundred and 00/100 Dollars ($162,500.00) for any
Reimbursable Improvements to the Original Retail Premises and the Additional Retail Premises. If Tenant fails to perform the Reimbursable
Improvements within such three hundred sixty (360)-day period, then Landlord will have no obligation to reimburse Tenant for any of the
Reimbursable Improvements. For purposes of Tenant’s reimbursement under this Section 3(d), the term Reimbursable Improvements shall
specially exclude any furniture, equipment or similar removable personal property.
4. Options to Renew the Original Extension Term and the Additional Retail Term .
(a) First Renewal Term . Provided Tenant is not in default under the Lease at the time of its exercise thereof, Tenant
shall have the right to extend the Original Extension Term for the Original Remaining Premises and the Additional Retail Term for the
Additional Retail Premises (together but not separately) for an additional five (5) year period (“First Renewal Term”) which shall commence
immediately upon expiration of the Original Extension Term and the Additional Retail Term. Tenant will not have the right to extend the
Original Extension Term for the Original
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