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HomeMy WebLinkAbout00-00679 .O~' . ~'='-'-'~ llih HAMPDEN CENTER, INC., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA Plaintiff CIVIL ACTION - LAW (!tu~L ~ v. NO. c1000 - 1-1'1 D & D DEVELOPMENT CORPORATION t/a SIGNS NOW, Defendant CONFESSION OF JUDGMENT FOR MONEY AND POSSESSION OF REAL PROPERTY CONFESSION OF JUDGMENT Pursuant to the authority contained in the Warrant of Attorney, the original or a copy of which is attached to the Complaint filed in this action, I appear for Defendant, D & D Development Corporation t/a Signs Now, and confess judgment in favor of Plaintiff and against Defendant as follows: Amount Past Due Unpaid Balance of Instrument Attorneys Fees Less Security Deposit $ 10,106.68 $ 53,579.23 $ 3,184.30 ($ 1,666.67) TOTAL $ 65,203.54 Date: 2/3/00 0. W. Allshouse, rney ID #78014 219 ine Street HarrI~burg, PA 17101 (717)236-5000 Attorney for Defendant . " ~ , ~~ HAMPDEN CENTER, INC., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA Plaintiff NO. v. CIVIL ACTION - LAW D & D DEVELOPMENT CORPORATION t/a SIGNS NOW, Defendant CONFESSION OF JUDGMENT FOR MONEY AND POSSESSION OF REAL PROPERTY CONFESSION OF JUDGMENT Pursuant to the authority contained in the Warrant of Attorney, the original or a copy of which is attached to the Complaint filed in this action, I appear for the Defendant and confess judgment in favor of Plaintiff and against Defendant for the possession of real property as follows: Space #B2 Hampden Centre Shopping Center 4830 Carlisle pike Mechanicsburg Hampden Township Cumberland County Pennsylvania Date: 2/3/00 .~\ W, Allshouse, E ney ID #78014 219 ine Street Harri burg, PA 17101 (717) 236-5000 Attorney for Defendant ., - -,'- "'. HAMPDEN CENTER, INC., IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA Plaintiff NO. v, CIVIL ACTION - LAW D & D DEVELOPMENT CORPORATION t/a SIGNS NOW, Defendant CONFESSION OF JUDGMENT FOR MONEY AND POSSESSION OF REAL PROPERTY NOTICE OF JUDGMENT BY CONFESSION To: D & D Development Corporation t/a Signs Now, Defendant You are hereby notified that on ~~ ~ ' 2000, the following judgment was entered against you in the above captioned case. Judgment by Confession in the amount $65.203,54 and for possession of the real property located at Space B2 in the Hampden Centre Shopping Center, Hampden Centre Shopping Center, 4830 Carlisle Pike, Mechanicsburg, Hampden Township, Cumberland County, Pennsylvania. Date:~~ 1..1 .)r:ll:>b I M(!~)V ~ ' ( rCithonotary YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW TO FIND OUT WHERE YOU CAN GET LEGAL HELP. CUMBERLAND COUNTY LAWYER REFERRAL SERVICE CUMBERLAND COUNTY LAWYER REFERRAL SERVICE P.O. BOX 186 100 SOUTH STREET HARRISBURG, PA 17101 (800) 692-7375 I hereby certify that the following is the address of the defendant: D & D Development Corporation t/a Signs Now c/o David Allen Snively, President 4910 Carlisle pike Suite 102 Mechanicsburg, PA 17055 Date: :2/3/oc) ),Cf W. Allshouse, rney ID #78014 219 pine.Street Harr'sburg, PA 17101 (717) 236-5000 Attorney for Plaintiff ~ 0" ~"'~O A: D & D Development Corporation t/a Signs Now, Defendant Por este medio sea avisado que en e1 dia de 1999, un fallo ha sido anotado caso mencionado en e1 epigrafe. de en contra suy en Fecha: e1 dia de de 2000. protonotario LLEVE ESTA DEMANDA A UN ABODAGO IMMEDIATAMENTE. SI NO TIENE ABOGADO 0 SI NO TIENE EL DINERO SUFICIENTE DE PAGAR TAL SERVICIO, VAYA EN PERSONA 0 LLAME POR TELEFONO A LA OFICINA CUYA DIRECCION SE ENCUENTRA ESCRITA ABAJO PARA AVERIGUAR DONDE SE PUEDE CONSEGUIR ASISTENCIA LEGAL. CUMBERLAND COUNTY LAWYER REFERRAL SERVICE P.O. BOX 186 100 SOUTH STREET HARRISBURG, PA 17101 (800) 692 -73 75 Por este medio certifico que 10 siguiente es 1a direccion del demandado: D & D Development Corporation t/a Signs Now c/o David Allen Snively, President 4910 Carlisle Pike Suite 102 Mechanicsburg, PA 17055 Date: 2/3/00 W. Allshouse, ney ID #78014 219 ine Street Harriburg, PA 17101 (717) ~36-5000 HAMPDEN CENTER, INC., Plaintiff IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA NO. v. CIVIL ACTION - LAW D & D DEVELOPMENT CORPORATION t/a SIGNS NOW, Defendant CONFESSION OF JUDGMENT FOR MONEY AND POSSESSION OF REAL PROPERTY COMPLAINT FOR CONFESSION OF JUDGMENT AND NOW, comes Plaintiff, Hampden Center, Inc., by and through its attorneys, the Law Offices Stephen C. Nude1, PC, and respeCtfully files this Complaint for Judgment by Confession as follows. 1. Plaintiff, Hampden Center, Inc., is a Pennsylvania corporation, with an address of 444 Park Avenue South, Suite 302, New York, New York 10016 ("HAMPDEN CENTER"), 2. Plaintiff is the owner of real property known as Hampden Centre Shopping Center, 4910 Carlisle Pike, Mechanicsburg, Hampden Township, Cumberland County, Pennsylvania (" SHOPPING CENTER") . 3. Defendant, D & D Development Corporation t/a Signs Now, is a Pennsylvania corporation with a registered address of 4910 Carlis1e Pike, Suite 102, Mechanicsburg, Cumberland County, Pennsylvania 17055 (nD & D DEVELOPMENT CORPORATIONn) . 4. On or about July 17, 1997, D & D Development Corporation, as Tenant, and Hampden Center, Inc., as Landlord, executed an Agreement of Lease ("LEASE") for 2,400 square feet of commercial space known as Space B2 located in the Shopping '" .' ~ " Center ("PREMISES"). A copy of the Lease is attached hereto and is incorporated herein as "Exhibit A" as if set forth at length. 5. The Lease has not been assigned. 6. The initial term of the Lease was to expire in November, 2002. 7. Defendant is in default under the terms of the Lease as hereinafter set forth and the Lease has been terminated. 8. Notice of default is not required by the terms of the Lease. 9. No judgment has been entered on the Lease in any jurisdiction prior to this action. 10. Judgment is not being entered by confession against a natural person in connection with a residential lease. COUNT I: CONFESSION OF JUDGMENT FOR MONEY 11. The averments set forth in paragraphs 1 through 10 are incorporated herein by reference as if set forth at length. 12. The Lease provides, inter alia, for the payment of base rent ("RENT"), promotional fund contributions, a pro rata share of common area maintenance expenses, insurance and taxes ("ADDITIONAL RENT") and, in the event of a default, interest, costs of suit and attorneys fees. 13, Defendant is in default under the terms and conditions of the Lease in that Defendant has failed to pay Rent and Additional Rent when due and owing for the months of September 1998, through December, 1999. The amount past due and owing by Defendant is $10,106.68. A true and correct copy of a Tenant I ~I Ledger attached hereto and made a part hereof as "Exhibit B" more fully sets forth the debt of Defendant. 14. The Lease provides, inter alia, that all amounts unpaid by Defendant shall bear interest at the rate of 18% percent per annum, but not in excess of the maximum legal rate. 15, The Lease provides, inter alia, that in the event of a default by Defendant, Plaintiff may accelerate the Rent and Additional Rent through the end of the Lease Term. 16. The Lease provides, inter alia, that, in the event of a default by Defendant, Plaintiff may confess judgment against D & D Development Corporation including attorneys fees in the amount of five percent (5%) of the amount claimed. 17. Defendant has paid to Plaintiff a security deposit in the amount of $1,666.67. 18. Based upon the foregoing, Defendant is liable to Plaintiff as follows: Amount Past Due Unpaid Balance of Instrument Attorneys Fees Less Security Deposit $ 10,106.68 $ 53,579.23 $ 3,184.30 ($ 1,666.67) TOTAL $ 65,203.54 WHEREFORE, Plaintiff demands judgment in the amount of $65,203.54 in accordance with the terms of the Lease as authorized by the Warrant appearing in the attached Lease plus interest, costs of suit and attorneys fees. ,,,- " - I. . .,;,_. COUNT II: CONFESSION OF JUDGMENT FOR POSSESSION OF REAL PROPERTY 19. The averments set forth in paragraphs 1 through 18 are incorporated herein by reference as if set forth at length. 20. Defendant has defaulted under the terms and conditions of the Lease by failing to pay rent and other charges as set forth in Count I of this Complaint. 21. The Lease provides, inter alia, that in the event of a default by Defendant, Plaintiff may confess judgment against Defendant for possession of the Premises. 22. The Lease provides, inter alia, that in the event of a default by Defendant, Defendant is liable for Plaintiff's attorneys fees incurred to regain possession of the Premises. WHEREFORE, Plaintiff demands judgment for possession of real property in accordance with the terms of the Lease authorized by the Warrant appearing in the attached Lease plus interest, costs of suit and attorneys fees. Respectful1y submitted, Date: 2/3/00 -r(i Ma k W. Allshouse Esquire At orney ID #7801 21 pine Street Harrisburg, PA 171 1 (717) 236-5000 Attorney for Plaintiff EXHIBIT A .-, -.' ,-dilii~.'~ ~ ,,"- ...._-...':-- .. .' .,:,- _::"'-w..:. AGREEXENT OF LEASE , L.A}I"J~OR:J : iJ.,AJ\1?DEN CENrrER, I!\C. TENANT: D & 0 DEVELOPMENT CORPORATION ,~~~"'- Section 1 Section 2 Section 3 Section 4 Sectior:. 5 Sect ion 6 Section 7 Section 8 Section 9 Section 10 Sec:.ior. 11 Section 12 Section 13 Section 14 Section 15 Section 16 Section 17 Section 18 Section 19 Section 20 Section 21 Section 22 Section 23 Section 24 Section 25 Section 26 Section 27 Section 28 Section 29 Section 30 Section 31 Section 32 Section 33 Section 34 Section 35 Section 36 Section 37 Section 38 Section 39 Section 40 Section 41 Section 42 Exhibits lIA" liB" lie" "0" "EU flF" I'G" liVer, 6.29,96 .,,---...::- : AGRESMENT Of :EASE I...A}Ji):'ORD: ~1PDS~ CE~~ER, I~C, TENA.."IT: ~ & D DEVE:OPME~T COR?ORATION AG~3E~E~rr OF LE~SE !!';'"DEX Premises Te:::-m Fixed Re:l': Percent-age P.e:l: G~oss Sales Defined Additional Rent Common Areas Cor.6truc:io~ 0: P~exi5e5 Use. . . Utilities Rules a~d Regulations Change of Improve~ents by Tenant Repairs and Maintenance . Haiver of :'iabili:.y by ':'enant =ndemnificat~on and =~s~rance Signs . . . . . Assignment and Sublett:.ng . . Repair After Casualty. . . . Condemnatio:l . . . . . Landlord's Remedies Unon Default Discharge of Liens . Liability 0: Landlo~d Rights of Landlord Subordination to Mortgage No Waiver by Landlord vacation of Premises Memorandum of Lease Rent Demand . . . . Notices . . . . . . Applicable ~aw and Construction Force Majeure . Landlord's Lien Quiet Enjoyment Holding Over Brokers . Captions variation in Pronouns Lenders' Approval . . Security Deposit No Income Participatio~ Hazardous Substances Binding Effect . . . . Legal Description of Shopping Center Description of Premises Landlord's Work Tenant's 1'1ork Rules and Regulations ~ignage Guaranty i ;,;, paae No 1 1 2 3 4 6 7 8 8 9 10 10 11 12 12 13 13 14 16 16 19 20 20 20 21 21 n 21 22 22 22 22 23 23 23 23 23 23 24 24 24 25 , ~j~i H~L ~ o 0> ~ ,., w OJ " '''; " ,... !j\ 'J d 1 lj: .'l.',--'.':O- . ....;. ~ ". .- RE'P'ERENCE PAGE prep-a,red J~ly a, :997 HA~.H:;OE~.t cz:--mE LA.'IDLORD , ~.AI';P:;E:N CEXTE'R, ::NC. ~\~LCRD'S AJ~RESS: 444 Pa=~ A~e~U~ South 51;.::.e 302 Ne~ Yo~k, ~~ lCO:6 ':'SNA..'I\J'r: D & D ~EvEtJ?~ENT CCR?ORATro~. TE~~','S ~DRESS, TENAN7'S 7RALE N~~E: S :GNS NOt.; ilRSi4!SES: :,.00 squa=e feet. (see: Exhibit "E" fer o'.;:'::.ne c! p::emises) aka Space 52 DO' f~on~age x 8e' de9t~) liSE: S\,.:=ject. ~c existing :'eaGes, Tenant. rr.av c~e~a~e a c~si~ess for ~he retail sale Of 5:;1":5. LEASE: CO~~S~CEMENT ~AT~; J'e:" _". ::;~X'~--:;" B- "1 ~ days after Landlord delivers t~e Premises REm CO~~ENCEME}~ DATE: TE~~!~ATION OA7E: Five {51 years from Rent Comtr,encemer.t Date TERM OF LBASE: ~. yeat"s, beginning on the Rent Co~menceme~t Date and ending on the Termination Date (~nless sooner terminated pursuant to this Lease) . ~~roAL FIXED RENT, Lease Yea:' 1....,$ 20,000.00 Lease Year 2....,$ 20,000.00 LeCise Year 3" . . . $ 20,OCO.00 Lease Year ~....,$ 22.000.00 Lease Year 5..,..$ 22,000.00 MCNTHL1 !NSTAL~~EN7S OF fIXED RENT, Lease Yea~ l.... ,$ Lease Ye5r G.....$ Lease Yea~ 3.....$ Lease Yea~ 4.... ,$ Lease Yea~ 5... ..5 1,666,67 1,666.67 1.666,67 1,833.33 1.833.33 ?ERCENTAGS RENT: X!~ INITIAL ANNUAL PROMOTIONAL FUND COS7, $0.30/SF an~ua:ly payable at the beginning 0: 2ac~ lease year. TEN~~T'S PRORA!~ SHARE~ 1.03% (2~OC5r!226,192 SF), however Ter-ant shall not pay more than $2.00 per square foot du~i~g the first lease year and ~he a~nual i~:=eases thereof shall not exceed three per:e~t (3~) per annum excluding snow re~o~al. 7he 3\ ir.ereases may be a~~:;,g~~:y ~~n:~:S 1t:~aL}\ 1 -rue- r,I{l.sr fO /:l~Y$ wrn+ r-JC) C/tM. C 1+MC:. t:">. -- ~. .fXPz:-- ~._- JI..II--"":O- .' L, :..:.':1 I~::> '_ i....;;.... SECURITY DEPOSIT: $1,666.67 REAL ESTATE BROKER DUE COMMISSION: NO~E RENEWAL OPTIONS: Prov:ded that Te~ant has not defaulted under the te~~,5 hereof, Tenant is granted O:1.e 4-year option to renew this Lease. ~JAL O?7ION RENT, Year l. " ,$ ",,000.00 '1e3:- 2, ,$ 24.000,00 Yea:- ). " ,$ 24,000,00 Yea:=- "', ,$ 24.000.0,0 Yea:." 1. ,$ ".000.00 Yea:- 2, ' $ 2,000,00 Year 3, ,$ 2.000,00 Year "', " ,$ 2.000.00 MONTHLY INSTALLMENTS OF OPTION RENT: CONDI7IO~; Landlord ,....i:..1 deliver the Premises in ~Vanllla EOX" condition. CO~"n.I3t;TION , ?rc':ided that Te:1ar:t has not defaulted he~eunder, Land:..ord will pay to Te~ant $~,CJO upc~ receipt by Lar.dlord of Te~a~t's fi~st ~onth'5 ~ent and $1,000 UPO;l rece:pt. by Landlord of rent from 7er:a~: fo~ the first year. The Reference page infol~aticn is :~corporated into and made a part of that certain Lease (the "Leasell) made and entered i:lto by and between ~~FDEN CENTER, INC., as Landlord, and D & D DEVELOFMEXT CORPORATION, as Tenant. In the event of a~y conflict between any Reference ?age in~orr.la::on and the Lease, this Reference Page shall control. The Lease includes Exhibits IIA" through "F", all or which are made a part hereof. unless other~ise provided herei~, all capitali~ed terms contained in this Re!erence Page shall have the meaning ascribed to them in the Lease. LANDLORD: -,~ ~:! '" By\d \fl- TSNAN"!': Title: Vice President Dated, r/?/f /{,< ,1997 " , , ~""''"'"' eo,",""" ,,-(~jJJ T:t,e ~~T Dated: ~ I 1997 iii ,~.- ~-'"~ ~ ~ ,,^ .'~- N;-:_-,..O LEASE THIS LEASE mads and entered into between HAMPOE~ CENTER, INC" as Landlord and D & D DEVELO?ME}rr CORPORATION. as Tenant evidences the following unders~and~nss and agreements. The Reference Page attached hereto, :~cludi~g all terms defined thereon, is inco=porated as part of this Lease. WITNESSETH, that for g::aci a:1d valuable consideration, each to the other in har.d paic, tr.e receipt. whereof is hereby acknowledged. the par:ies agree as :o:lows: PREMISES Section 1. (a) La~dlorc leases :~ Te~ant and Tenant rer.:s from Landlord the Premises hav:ng the :rontage and depth indicated on the Reference Paoe (all dime~sions ~~rein are measured froffi center of the wall ~o center of the wal2. fer a:1 party walls ar.d from the outside face of all exterior wal~s a~d store fronts), located in the building (the IIBuild:::g"j c:;:r:nonly kno.....n as Hampde:l Centre ("Shopping Center"). "':':te Shopp::-.g Cer:.ter is more particularly desc=ibed by metes and bOLlnds or:. :;:xhibit. HA" attached hereto and made a part hereof by refe~ence. (bl The Premi5~s are c~lt:;'i:1.ed in red on Exh:.bit "B" attached he:-eto ar.d itade a part. hereof by reference. "Tenant's Proportionate Share" as used in tjis Lease shall mean a f:-accion, the numerator of which is t~e a~oss :easable area of the ?remises and the d~nomina:or of i...hich -'is the g:'-055 leasable area of the Shopping Ceanter. p:.-emises a~e cross-hatched on Exhibit "B" att:ached hereto. Landlord's calculation of Tenar.t'S Proportionate Share is as indicated on the Reference PaC's. Gross leasable area of the Shopping Center means .al:' ground floor area contained in the Shopping Center designated for te:1.ants' exclusive occupancy. (c) Landlord expressly reserves (l) the use of the exterior rear ar.d side walls and :.-oo'~ of the Premises and the exclusive use of any space between the ceiling of the premises and the floor above or the roof of t.he Building, (iil the right to install, maintain, use, repair, and replace the pipes, ducts, conduits. and wires leading into or running through the Premises (in locations which will not materially interfere with Tenant's use thereof), (iii) the right in its sole and absolute discretion to expand, enlarge. make alterations or additions to. and to build additional stories on, the Shopping Center and to build other buildings or improvements on the Common Areas (as herei:1after defined), and (iv) the rig~~, upon sixty (GO) days prior written notice to Tenant, to transfer and re~ove Tenant from the Premises to other available te~ant space of equal area and equivalen~ rent in the Shopping Center. (Landlord shall bear the expense of said transfer Or removal as well as the expense of any renovations or alterations necessary to ~ake the new space conform substantially in arrangement and layout w:.th the Premises covered by this Lease) . The within reservations in favor 0: Landlord are in addition to the rights granted to Landlord under Sec~ion 23 hereof. ~ Section 2. (a) The Lease Term shall be as indicated on the Reference Page. The term "Commencement Datell means the day after Landlord' 5 work on the P:"emises, as specifically set forth in Section 8 hereo~, will be comp:'eted to the eJCtent reasonably required for the installation by Tenant of Tenant's fixtures. furnishings and equipment or if ::0 'Work is to be performed by Landlord pursuant to Section 8 hereof. on the date keys are delivered to Tenant by Landlord. Landlord shall notify Tenant in writing of the date on which Lar.dlo=d's work on the Premises has been or will be completed and of the Commencement Date. The parties agree to endorse this Lease to ider.tify the day, month and year that the Commencemer.t Da:e aceua:ly occurs. - -- (b) If Landlord is required to perform work pursuant to Section 8 hereof, when the actual Commencement Date is established, t.he parties will promptly enter into a Supplement to Lease, prepared by Landlord, stipulating the Commencement Date and the Expiration Date of the Term. (c) The term "Lease Year" as used herein shall begin on the Commencement Date and end twelve months therefrom. (d) Landlord hereby grants to Tenant the right and option co extend the Term of this Lease for the option periods indicated in the Renewal Option Section of the Reference page (each a uRenewal Term")'. Tenant shall notify Landlord in writing of its election to extend this Lease for each Renewal Term not less than six (6) months nor more than twelve (12) months prior to the expiration date of the then existing term. Each Renewal Term shall be upon all of the terms, covenants, and conditions of this Lease except that the Annual Fixed Rent and Percentage Rent payable during such Renewal Term shall be as set forth in Sections 3(.Q.l and ilAl hereof, respectively. Tenant shall have no right to extend or renew this Lease if it is in default hereunder at the time of. giving its notice of renewal, nor shall any renewal notice be effective if Tenant is in default hereunder as of the first day of the extended term which was the subject of such 'notice. FIXED RENT Section 3. (a) Tenant agrees, without notice or demand and without any deduction or setoff, to pay to Landlord, at Landlord's Address shown on the Reference Page, or at such other place as Landlord may designate, as a fixed minimum rent for the Premises per Lease Year, the Annual Fixed Rent indicated on the Reference Page for such Lease Year in fixed equal monthly installments during each Lease Year equal to the Monthly Installments of Fixed Rent indicated on the Reference Page for such Lease Year, each Monthly Installment of Fixed Rent to be payable in advance on the fi.rst day of each month during the Term. Tenant agrees to pay to Landlord, if as,sessed by the jurisdict.ion in which the Shopping Center is located, any sales or excise tax imposed, assessed or levied in connection with Tenant's payment of the Annual Fixed Rent. (b) Upon execution of this Lease, Tenant shall deposit with Landlord (i) the Security Deposit as indicated on the Reference Page to be held by Landlord during the Term pursuant to the provisions of Section 39 hereof; and (ii) the first Monthly Installment of Fixed Rent, and one month's worth of Additional Rent (as hereinafter defined) . . The funds so deposited pursuant to Item (ii) of this Subparagraph (b) shall be applied to the Monthly Installment of Fixed Rent and the Additional Rent due for the first full month of the Term. (c) Tenant's obligation to pay rent (as defined in Subparagraph 6(c)) shall begin on the earlier to occur of the date (said date is hereinafter re'ferred to as the "Rental Commencement Datell) upon which Tenant shall open for business in the Premises or the day after the expiration of the "Fixturing Period". The Fixturing Period shall begin on the Commencement Date and continue for the number of days specified on the Reference Page. Rent due for any period which is less than a calendar month, whether prior to the Rental Commencement Date or after the expiration Date, shall be prorated on a daily basis and shall be computed on the basis of Tenant's monthly rental payments (utilizing a thirty DO) day month for purposes of such computation) . Tenant shall pay to Landlord the rent for each such day {i) concurrently with the first Monthly Installment of Fixed Rent due hereunder; (ii), upon vacating the Premises as herein provided; or (iii) upon demand from Landlord, as 2 --"~ the case may be. (d) In the event Tenant exercises its right to extend the Term for a Renewal Term, the Annual Fixed Rent payable during the Renewal Term shall be equal to the amount indicated in the Renewal Option section of the Reference Page for such Renewal Term in fixed equal, monthly, in,st'allme.nts equal to the Monthly Installment of F~xed Rent ~nd~cated 10 the Renewal Option section of the Reference Page for such Renewal Term each to be payable in advance on the first day of each month during such Renewal Term. (e) Tenant recognizes that late payment of any rent or other sum due hereunder will result in administrative expense to Landlord, the extent of which additional expense is extremely difficult and economically impractical to ascertain. Tenant therefore agrees that if rent or any other sum is due and unpaid fifteen (15) days after said amount is due, such amount shall be increased by a late charge in an amount equal to the greater of: (a) Fifty Dollars ($50.00) or (b) a sum equal to five percent (5%) of the unpaid amount. The amount of the late charge shall be reassessed and added to Tenant's obligation tor each successive monthly period until paid. The provisions of this Section shall not in any way affect Landlord's remedies pursuant to Section 20 of this Lease. PERCENTAGE RENT Section 4. (a) In addition to Annual Fixed Rent, and as a material inducement for Landlord to lease the Premises to Tenant, Tenant agrees to pay to Landlord during each Lease Year the Percentage Rent indicated on the Reference Page for such Lease Year. During each Renewal Term, Percentage Rent shall be equal to the percentage Rent indicated in the Renewal Option section of the Reference page for' such Renewal Term. (b) In any Lease Year in which (i) Tenant shall cease conducting business in the Premises, (ii) the Term is terminated, or (iii) there shall be an abatement of Annual Fixed Rent, so that the Lease Year is less than twelve (12) calendar months, Tenant shall pay to Landlord prorated Percentage Rent equal t.o the amount by which the percentage of Tenant's Gross Sales set forth on the Reference Page for such lesser period exceeds the Annual Fixed Rent paid during the prior or subsequent Lease Year multiplied by the number of months in the shortened Lease Year divided by twelve (l2) , (c) On or before the twentieth (20th) day of each calendar month during the Terml Tenant shall deliver to Landlord a complete and accurate statement, signed and certified by Tenant, showing in detail Gross Sales (as hereinafter defined) for the previous month and Gross Sales for each prior month during the current Lease Year. (d) (i) During the first Lease Year, Percentage Rent shall be payable in one lump sum no later than thirty (30) days after the end of the first Lease Year. (ii) Commencing with the second Lease Year and continuing throughout the term of this L,ease, Percentage Rent shall be payable on a monthly basis as follows: No later ,than thirty (30) days before the first day of each Lease Year, Landlord shall send Tenant an estimate of annual percentage Rent due for said Lease Year based on the amount of Percentage Rent paid by Tenant in the prior consecutive twelve (12) months. The estimate shall be adjusted to equal twelve (12) times the average monthly Percentage Rent due if the Tenant has not been in possession of the premises for twelve (12) months. On or before the first of each month of said Lease Year, Tenant shall pay to Landlord one-twelfth (1/12) 'of the estimated annllal Percentage Rent due for the said Lease Year.. (iii) Within (30) days after the end of each Lease Yearj Tenant shall deliver to Landlord a complete and accurate statement, signed and certified by Tenant, showing (a} 3 . ~, -"", Gross Sales for such Lease Year; and (b) the computation of Percentage Rent for such Lease Year. In the event such statement reflects that Tenant owes Landlord Percentage Rent in addition to the sum of monthly Percentage Rent payments previously made during such Lease Year, Tenant shall pay the amount of suc~ additional Percentage Rent to Landlord at the time such statement is delivered to Landlord. In the event such statement reflects that the sum of monthly Percentage Rent payments previously made during such Lease Year exceeds the Percentage Rent actually due for such Lease Year, the amount of such excess shall be credited against the next due monthly payments of Percentage Rent hereunder. If such excess should occur in the last Lease Year of the Term, Landlord shall pay the amount of such excess to Tenant within thirty (30) days after receipt of such statement. (e) During the Term, Tenant shall not directly or indirectly engage in any similar or competing business' within three (3) miles of the Shopping Center. This restriction shall not apply to Tenant's stores, if any, presently open and in operation within such area. As used in t.his Section 4:, the word "Tenant II shall include: (i) if Tenant is a corporation, all of Tenant's officers, directors, employees, or shareholders, jointly and severally, and all entities in which Tenant or its officers, directors, employees, or shareholders, jointly and severally, shall have any interest; and (ii) if Tenant consists of one (1) or more partners, individuals, and/or unincorporated entities, each partner, the respective spouses and children of such partners and individuals, jointly and severally, and all corporations and/or other entities in which such partners, individuals, entities, or any member of such unincorporated entities, jointly and severally, shall have any interest. (f) If Tenant shall engage in any similar or competing business in viola.tion of Section 4 {el hereof, in addition to any and all other remedies available to Landlord at law and in equity, the amount of Gross Sales, made by such competing or similar business shall be included in Gross Sales for the Premises in the computation of Percentage Rent. GROSS SALES DEFINED Section 5. (a) The term lfGross Sales" as used herei.n SI1311 be construed to include the entire amount of the actual sales price of all goods and services provided at, in, on, or from the Premises, including, without limitation, mail or telephone orders received or filled at the Premises, all deposits not refunded to purchasers, orders taken at or from the Premises (although said orders may be filled elsewhere), and sales and receipts by any sublessee, concessionaire, licensee or other party in the Premises. Each installment or credit sale shall be treated as a sale for the full price in the month during which such installment or credit sale shall be made, irrespective of the time when Tenant shall receive payment (whether full or partial) from its customer. Layaway sales, so-called, shall be included in the Gross Sales to the extent of the down payment and any further payments thereupon dnring each calendar month. Gross Sales shall not include the following: (i) sums collected and paid out by Tenant for any sales or excise tax imposed by any duly constituted governmental authority i (ii) the exchange of merchandise between t.he stores of Tenant, if any, where such exchanges of goods or merchandise are made solely for the convenient operation of the business of Tenant and not for the purpose of consummating a sale which has theretofore been made at, in, on, or from the Premises, and/or for the purpose of depriving Landlord of the benefit of a sale which otherwise would be made at, in, on, from, or upon the Premises; (iii) the amount of returns to shippers or manufacturers; (iv) the amount of any cash or credit refund made upon any sale where the merchandise sold, or some part thereof, is thereafter returned by the purchaser and accepted by Tenant j (v) sales of fixtures; or (vi) all sums and credits received in settlement of claims for loss or damage to merchandise. 4 I~ -~ oL~" ow. - (b) All sales shall be recorded by means of cash registers or computers (IlRegisters") which display to the customer the amount of the transaction. All registers shall be equipped with sales totalizer counters for all sales categories and a sequential transaction totalizer counter. which counters are locked in, constantly accumulating, and which cannot be reset, Said registers shall further contain tapes upon which sales details and sequential transaction numbers are imprinted. Beginning and ending sales totalizer readings shall be made a matter of daily record. In the event of admission charges or rentals, Tenant shall issue serially numbered tickets for each admissions or rental and shall keep an adequate record of said tickets, both issued and unissued. Landlord may require Tenant to provide Landlord by noon of the next business day a recapitulation of Gross Sales to be set forth upon forms provided by Landlord. Failure to make available a proper receipt to each customer upon his request of the same upon payment shall constitute a breach of this Lease. Tenant shall keep on the Premises, or at its principal office, true and complete records and accounts of all Gross Sales, including daily bank deposits, in, at, and from the Premises. Such boolcs and records shall include such sale records as would normally be examined by an accountant pursuant to generally accepted auditing standards in performing an audit of Tenant's sales or the sales of its subtenants or concessionaires. On or before the twentieth (20th) day of each month, Tenant shall furnish to Landlord a true and accurate statement for each preceding month of all Gross Sales during said preceding month (showing the refunds and returns deducted in computing the amount of such Gross Sales). which statement shall be certified by an authorized representative of Tenant to be correct. Tenant agrees to give Landlord access during business hours to such books and records. Tenant agrees that it will keep and preserve for at least thirty-six (36) months after the end of each Lease Year all sales slips, cash register tape readings, sales books, bank booles, or duplicate deposit slips, and other evidence of Gross Sales for such year. Landlord shall have the right at any time and from time to time to audit all of the books of account, bank statements, documents, records returns, papers, and files of Tenant relat~ing to Gross Sales and Tenant on request by Landlord shall make all such matters available for such examination at the premises or at its principal office. If Landlord should have such an audit made for any year and the Gross Sales shown by Tenant's statement for such year shall be found to be understated by more than three percent (3%-), then, in addition to immediately paying Landlord the full amount of the understated percentage Rent, Tenant shall pay to Landlord the cost of such audit. Landlord's right to have such an audit made with respect ,to any year shall expire thirty-six (36) months after Tenant's statement for such year shall have been delivered to Landlord. Landlord shall have the right to terminate this Lease upon notice to Tenant if there should be more than two (2) audits during the Lease Term which reveal understatements of gross sales by Tenant by more than three percent (3%). (c) All statements of Gross Sales shall be delivered to Landlord's Address or to such other place as Landlord may from time to time direct by written notice to Tenant. (d) Computation of the Percentage Rent specified herein shall be made separately with regard to each calendar month and each Lease Year of the Term hereof, it being understood and agreed that the Gross Sales of any Lease Year and the Percentage Rent due thereon shall have no bearing on or connection with the Gross Sales of any other Lease Year. (e) It is understood and agreed that Landlord shall in no event be construed or held to be a partner, co-venturer or associate of Tenant in the conduct of Tenant's business, nor shall Landlord be liable for any debts incurred by Tenant. in the conduct 5 ~- ~~~~ -- of Tenant's business. It is understood and agreed that the relationship is and at all times shall remain that of Landlord and Tenant. Landlord and Tenant acknowledge and agree that neither shall be subject to any implied obligations to the other, by reason of the fact that this Lease provides for the payment of Percentage Rent. ADDITIONAL RENT Section 6. (a) Tenant agrees to pay to Landlord, as additional rent ("Additional Rent") for the Premises, throughout the Term, the following amounts: (i) Tenant's Proportionate Share of the cost of operating and maintaining the Common Areas, which areas are defined in Section' 7, (the "Common Area Cost'l), including, without limitation, the cost of the following: lighting; utilities, cleaning, snow and trash removal, line painting, security (iE provided), management fees not to exceed 5% of all rent and additional rent charged for the Shopping Center, maintenance, materials, labor costs, equipment, (inclUding, without limitation, the cost of service agreements on equipment), tools, general repairs, employee benefits and payroll t.axes, accounting fees, legal fees, permits, license and inspection fees, sales, use and service taxes, and the repair or replacement of paving, curbs, stations, first aid stations, comfort stations, stairways, truck ways, loading docks, package pick-up stations, sidewalks, ramps, the parking lot, driveways, any garage, landscaping, drainage facilities, and lighting facilities, including traffic lights, as may be necessary from time to time, and any other cost of operation of the, improvements on the Common Areas. The Common Area Costs shall include depreciation of equipment acquired for use in Common Area maintenance, but shall not include the original cost thereof. (ii) Tenant's Proportionate Share of any real estate and ad valorem taxes and assessments {l} which shall or may become a lien upon, or be assessed, imposed, or levied by lawful taxing authorities against the land upon which the Shopping Center is located, the Building, and other improvements on the Shopping Center for the tax years (the years for which a lien is imposed) falling wholly or partially within the Term of this IJeasei U) which arise in connection with the use, occupancy, or possession ot the Shopping Center or any part thereof or any land, buildings, or other improvements thereonj (3) which become due and payable out of or for the Shopping Center, any part thereof, or any land, buildings, or other improvements thereonj or (4) which are imposed, assessed, or levied in lieu of, in substitution for, or in addition to any or all of the foregoing (collectively the IITax Costll). The Tax Cost shall include any fees, expenses or costs {including attorneys' fees, expert fees and appraisal fees} incurred by Landlord in protesting any assessments, levies or the tax rate, but shall not include any charge (such as a water meter charge) which is measured by actual user consumption. A real estate tax bill or copy thereof submitted by Landlord to Tenant shall be conclusive evidence of the amount of any real estate taxes, assessments, or installment thereof. In addition, Tenant shall pay all taxes levied against personal property, fixtures and Tenant's improvements in the Premises. If such taxes for which Tenant is liable are levied against Landlord or Landlord's property and if Landlord elects to pay the same or if the assessed value of Landlord's property is increased by inclusion of any such items and Landlord elects to pay the taxes based on such increase, Tenant shall pay to Landlord uppn demand that part of such taxes for which Tenant is liable hereunder. (iii) Tenant's Proportionate Share of all premiums for public liability, fire and extended coverage or al:. risk, busin~ss interruption, and/or rent loss, and/or any other J.l1surance POllCY which may reasonably be carried by Landlord insuring the Premises, the Building, the Common Areas, the Shopping Center, or any 6 - improvements therein (the IIInsurance Cost") . (iv) A proportionate share of all utilities services not measured by a separate meter for the Premises and provided to Tenant and other tenants of the Shopping Center (the lIUtility Cost"). Tenant's share of the Utility Cost shall be determined on the basis of the total square feet of floor area of the Premises as a percentage of the total square feet of floor area leased by all tenants provided such services. Tenant shall pay its share of such cost, together with an amount equal to fifteen percent (15%) thereof as payment of administrative costs of Landlord, within ten (lO) days after demand therefor. Landlord shall not bill Tenant for such cost more often than monthly. In the event Landlord determines that it is not appropriate to base the utility bills on Tenant's proportionate share due to the nature of Tenant's business activities. Landlord may use its discretion in allocating such bills. (v) Tenant shall pay to Landlord prior to the Commencement Date the Annual Promotional Fund Cost indicated on the Reference Page, as Tenant I s initial annual payment for Tenant's share of the costs (II Promotional Fund Costs II) of a promot ional fund (lIpromotional FundI!) to be used to pay all costs and expenses incurred in connection with the formulation and execution of publicity programs for the promotion of the Shopping Center. Such programs, which, at Landlord's option, shall be determined by an advertising agency or firm or volunteer committee of tenants, may include, without limitation, special events, shows, displays, advertisements, seasonal events, and promotional literature; provided, however, that Landlord or an outside advertising agency approved by Landlord shall have the right to review and approve such publicity programs I the items on the Promotional Fund budget -for each year, and any amendments to said budget. A portion of the Promotional Fund may be applied to pay costs of administering the Promotional Fund. Tenant's initial payment to the promotional Fund shall be increased in such Lease Years, if any, that the Annual Fixed Rent is increased pursuant to Section 3 hereof by the percentage increase in the Annual Fixed Rent. Tenant agrees to advertise in any and all special promotional Fund newspaper sections, tabloids or other advertisements, (inCluding audio and/or visual media) and agrees to cooperate and participate fUlly in all special sales and promotions sponsored by the Promotional Fund. (b) Tenant's Proportionate Share of the Common Area Cost, the Tax Cost, and the Insurance Cost shall be estimated by Landlord no later than thirty (3D) days prior to the first day of each Lease Year. Landlord shall notify Tenant of such estimates which shall be paid, together with an amount equal to fifteen percent (15%) thereof as payment of administrative costs of Landlord, by Tenant in advance, on the first day of each and every calendar month throughout such Lease Year. At the end of the Lease Year, when Landlord has calculated the exact amount of Tenant's Proportionate Share of such costs, Landlord shall notify Tenant of such exact amount. Any deficiencies in the payments theretofore (inclUding said administrative costs) made by Tenant shall be pa:id by Tenant to Landlord within ten (10) days of receipt of said notice. Any surplus paid by Tenant during the preceding Lease Year shall be applied against the next due monthly installments of such costs due from Tenant. During any part of the Term which shall be less than a full calendar year, any and all such costs shall be prorated on a daily basis so that Tenant shall only pay Tenant's Proportionate Share of such costs attributable to the portion of the calendar year occurring within the Term. (c) The term It rent II as herein used shall include Annual Fixed Rent, Percentage Rent and Additional Rent. COMMON AREAS Section 7. Subject to the Rules and Regulations. specified in 7 ----.... ~~,. - ~~lil'.-'! Section ~l hereof and Landlord's rights under Section l(cJ hereof, Landlord hereb~ g~ants to Tenant an~ Ten~nt's employees, agents, customers, and ~nv~tees the nonexclus~ve right, during the Term, to use, subject to the rights of governmental authorities, easements, public highways and other restrictions of record, in common with others granted the use thereof, the Common Areas located within the Shopping Center. The term ItCommon Areas" as used in this Lease shall mean the entire Shopping Center less the gross leasable area of the Shopping Center and shall include, without limitation, the par~ing areas, roadways, pedestrian sidewalks, loading docks, del~very areas, landscaped areas, and all other areas or improvements which may be provided by Landlord for the general use of tenants of the Building and the Shopping Center and their agents, employees, and customers. Landlord shall be responsible for the operation, management, and maintenance of the Common Areas. The manner in which the Common Areas shall be maintained and the expenditures therefor shall be at the reasonable d'iscret.ion of Landlord. Landlord may temporarily close parts of the Common Areas for such periods of time as may be necessary for {i) temporary use as a work area in connection with the construction of buildings or other improvements within the Shopping Center or contiguous propertYi (ii) repairs or alterations in or to the Common Areas or to any utility-type facilities; (iii) preventing the public from obtaining prescriptive rights in or to the Common Areas; (i v) emergency or added safety reasons; or (v) doing and performing such other acts as in the use of good business judgment Landlord shall determine to be appropriate for the Shopping Center; provided, however, that Landlord shall use reasonable efforts not to unduly interfere with or disrupt Tenant's business. CONSTRUCTION OF PREMISES Section 8. (a) Prior to the Commencement Date, Landlord shall complete the improvements to the Premises described in Exhihit lie" attached hereto and made a part hereof by reference. Tenant hereby approves Exhibit lien and all of the improvements, plans and specifications described therein. It is understood and agreed by Tenant tha-t. changes in such improvements, plans and specifications which will not materially interfere witl1 Tenant's use of the Premises and which may be necessary during construction of the Premises shall not affect, invalidate, or change this Lease or any of its terms and provisions. (b) Landlord's work in accordance with Exhibit "C" sha] 1 be deemed approved by Tenant in all respects thirty (30) days after the Commencement Date, unless prior thereto Landlord receives written notice from Tenant of any defect in such work. Any disagreement which may arise between Landlord and Tenant concerning the work to be performed by Landlord shall be resolved by the decisions of Landlord's architect. (c) Tenant shall complete the improvements to the Premises described in Exhibit IIDn attached hereto and made a pa-r:t hereof by reference. Landlord and Tenant hereby approve Exhibit liD" and all of the improvements, plans and specifications described therein, provided that Tenant's work descril1ed in Exhibi l:~~~ shall be performed in accordance with the provisions of 1iectin1L.l2J&lli hereof i and provided furtl1er that any change in the improvements, plans and specifications described in Exhibit "D" shall be approved by Landlord in writing in accordance with the provisions of Section 121a) Iii) hereof. USE Section 9. (a) The Premises shall be occupied and used exclusively for the purposes described on the Reference Page and for no other use, unless Tenant has obtained 1~and1.ord' s prior written consent, which consent may be withheld in Landlord's sole discretion for any reason or no reason whatsoever. Tenant shall commence business in the Premises OIl or before sixty (60) days 8 ~. -........ after the Commencement Date, shall operate continuously one hundred percent (lOO~) of the Premises during the entire Term and shall keep the Premises fully stocked with merchandise and staffed with personnel so as to maximize Gross Sales at the Premises at. all times. Tenant shall conduct its business in the Premises on all business days during all hours as from time to time may be reasonably determined by Landlord to be consistent with the days and hours of other tenants in the Shopping Center, but in no event less than eight (8) hours in a business day, five (5) days a week and fprty (40) hours a week (Holidays excepted), Tenant may close the Premises during reasonable periods for repairing, cleaning or decorating the premises, with the prior written consent of Landlord. (b) Tenant agrees to conduct its business in the Premises under Tenant's Trade Name as indicated on the Reference Page. (c) Tenant shall use and occupy the Premises in accordance with all governmental laws, ordinances, rules, and regulations and shall lceep the Premises in a clean, careful, safe, and proper manner. Tenant shall not use, or allow the Premises to be used, for any purpose other than as specified herein and shall not use or permit the premises to be used for any unlawful, disreputable, or immoral purpose or in any way that will injure the reputation of the Shopping Center. Tenant shall not permit any activities in the Premises which may create or cause noise levels which are audible outside the Premises and disturbing to neighboring residences, other tenants or their customers or employees. Tenant shall not permit the Premises to be occupied in whole or in part by any other person or entity. Tenant shall not cause or permi t the use or occupancy of the Premises to be or remain a nuisance or disturbance, as determined by Landlord in its sole discretion, to neighboring residences, other tenants, occupants, or users of the Shopping Center. UTILITIES Section 10. (a) (i) Landlord shall provide, up to the lease line of the Premises, the necessary mains and conduits to provide water, sewer, gas (if available by public utilities) and electric service to the Premises. Tenant shall duly and promptly pay to the supplier thereof all bills for utilities consumed in the Premises measured by a separate meter for the Premises. (ii) If Tenant shall use any utility service for any purpose in the Premises which is or can be measured by a separate meter for the Premises and Landlord shall elect to supply such service, Tenant shall accept and use the same as tendered by Landlord and pay Landlord therefor at the applicable rates charged by Landlord. In no event shall Tenant pay to Landlord for any such service more than would be chargeable to Tenant by the utility company providing such service. Payment for any and all water, gas, sewer, and electricity service used by Tenant, if furnished by Landlord, shall be made monthly as Additional Rent within thirty (30) days of the presentation by Landlord to Tenant of bills therefor. (iiil Notwithstanding anything to the contrary provided in this Section 10 or in Subsection 6 (a) (iv), Tenant acJeI10wledges that water service to the Shopping Center shall be supplied by Landlord, and Tenant agrees to purchase same from Landlord and to pay the charges therefor when bills are rendered at the applicable rates. Such water service shall be measured by a master met.er and Tenant's share of the charges for such service shall be allocated by Landlord, at Landlord's option, either (a) on the basis of the total square feet of floor area at the Premises as a percentage of the total square feet of floor area leased by all tenant,s in the Shopping Center provided such water service; or (b) based upon readings taken f't'om a water sub-meter for the Premises, if Landlo'Cd 9 - ---~-~ "~ ~~, "I elects to install such a sub-meter. All such charges shall be paid monthly to Landlord as Additional Rent within thirty (30) days of the presentation by Landlord to Tenant of bills therefor. (b) In the event Landlord supplies any sanitary sewer facilities to the Premlses, Tenant shall pay as Additional Rent Tenant's Proportionate Share of the cost of operating and maintaining such facilities, including, without limitation, the rental cost and/or amortization of such facilities. (c) Landlord shall have the right to cut off and discontinue, without notice to Tenant, any utility or other service whenever and during any period for which bills for the same rent or other obligations hereunder are not promptly paid or pe~formed by Tenant. (d) The obligations of Tenant to pay for ut'i1.ity service as herein provided shall commence on the Commencement Date. Landlord shall not be liable in damages or otherwise should the furnishing of such services to the Premises be interrupted by fire, accident, riot, strike, act of God, the making of necessary repairs or improvements, or other causes beyond the control of Landlord. (e) Landlord shall not be liable in the event of any interruption in the supply of any utilities. Tenant agrees that it will not install any equipment which will exceed or overload the capacity of any utility facilities serving the Premises and that if any equipment installed by Tenant shall require additional utility facilities, installation of the same should be at Tenant's expense, but only after Landlord's written approval of same. RULES AND REGULATIONS Section 11. Tenant agrees that Landlord has the right, at any time and from time to time, for the general welfare of the Shopping Center and its occupants, to impose reasonable rules and regulations of general application governing the conduct of occupants of the Shopping Center and their use of the Common Areas, Tenant agrees to comply with any and all such rules and regulations imposed by Landlord, including, without limitation, those rules and regulat-ions set forth in Exhibit "EII. CHANGE OF IMPROVEMENTS BY TENANT Section 12. (a) (i) Upon prior written approval of Landlord, Tenant shall have the right during the Term to make such interior alterations, changes and improvements to the premises (except structural alterations, changes, or improvements), as may be proper and necessary for the conduct of Tenant1s business and for the full beneficial use of the Premises, provided Tenant shall (A) pay all costs and expenses thereof; (B) make such alterations, changes, and improvements in a good and workmanlike manner, with new materials of first-class quality, and in accordance with all applicable laws and building regulations; and (C) provide Landlord reasonable assurances, prior to commencing such alt:erations, changes, and improvements, that payment for the same will be made by Tenant. Tenant shall not make any structural al terations, changes or improvements to the Premises. (ii) In order to obtain Landlord's approval for such alterations, changes, and improvements, Tenant shall submit to Landlord plans and specifications describing the design, materials, style, and appearance of such alterations, changes, and improvements with reasonable particularity. Within thirty (30) days after receipt of such plans and specifications, Landlord shall notify Tenant of any Objections of Landlord. Tenant shall cure the cause for such objection within thirty (30) days after receipt of such notice and shall resubmit such plans and specifications for Landlord's review and approval. Landlord may charge Tenant a reasonable charge to cover Landlord's overhead as it relates to 10 .- - ~~" ~ . ~': such p~opos~d work. Prior to construction, Tenant shall provide such flnanclal assurances as Landlord shall require to assure payment of the costs thereof and to protect Landlord against any loss from any mechanic'sl materialmen's, or other liens. Tenant shall not be permitted to enter upon the roof of any building without the prior consent of Landlord. (b) Except as otherwise provided below, all signs, equipment, furnishings, nonpermanent improvements, and trade fixtures within the Premises, installed in the Premises by Tenant and paid for by Tenant, shall remain the property of Tenant and shall be removed by Tenant upon the termination of this Lease, provided that any of such as are affixed to the Premises and require severance shall be removed by Tenant and Tenant shall repair any damage caused by such removal. By written notice to Tenant prior to expiration or termination of the Term, Landlord shall have the right to require Tenant to leave in 'the Premises equipment, improvements, or fixtures attached to the Premises or the Building. Anything contained herein to the contrary notwithstanding, the HVAC Facilities, and related systems shall at all times remain the property of Landlord and shall not be removed by Tenant. REPAIRS AND MAINTENANCE Section 13. (a) Landlord shall maintain the foundation, the exterior structural walls, and the roof of the Building in good repair, except that Tenant shall reimburse Landlord for the cost of any repair occasioned by the act or negligence of Tenant, its agents, employees, invitees or licensees. Landlord shall not' be required to make any other improvements or repairs of any kind upon the Premises and appurtenances thereto, except as otherwise provided in this Lease. If the Premis'es should become in need of repairs required to be made by Landlord hereunder, Tenant shall give immediate written notice thereof to Landlord, and Landlord shall not be responsible in any way for failure to make any such repairs until a reasonable time shall have elapsed after the giving of such written notice. Landlord's sole liability shall be limited to the cost of the repair. Landlord shall not be liable to Tenant for any interruption of Tenant's business or inconveni.ence caused Tenant or Tenant's assigns, sublessees, customers, invitees, employees, licensees or concessionaires in the Premises on account of Landlord's performance of any repair, maintenance or replacement in the Premises, any other work therein or in the Shopping Center pursuant to Landlord's rights or obligations under this lease so long as such work is being conducted by Landlord in accordance with the terms of the Lease and without gross negligence or gross disregard for Tenant's business operations. Unless otherwise provided herein, there shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant's business arising from the making of any repairs, alterations or improvements in or to any portion of the Shopping Center or the Premises or in or to fixtures, appurtenances and equipment therein. (b) At the sole cost and expense of Tenant and throughout the Term, Tenant shall keep and maintain the Premises in good order, condition, and repair, in a clean, sanitary, and safe condition in accordance with the laws of the State in which the Premises are located, and in accordance with all directions, rules, and regulations of the health officer, fire marshal, building inspector, or any other proper officer of the governmental agencies having juriSdiction over the Premises, Without limiting the foregoing, Tenant shall be responsible for maintenance, repair, and, with Landlord's consent, replacement as needed .Of all electrical, plumbing, heating, ventilating, air condition~ng, and utility systems located on the Premises, . all plate glass ~nd windows, window fittings and sashes, and lnterlor and exterlor doors all fixtures within the Premises, all interior walls, floors and c~ilings, water heaters I termite and pest extermination, all of 11 , -,~ .....' ~~""""-"""" " Te~ant~s improvem~nts ~nd trade fixtures. Tenant shall keep and ma~nta~n the Prem~ses ~n accordance with all requirements of law concerning the manner, usage, and condition of the Premises and appurtenances thereto, as the same shall be in effect from time to time. Tenant shall permit no waste, damage, or injury to the Premises. If at any time and from time to time during the Term, and any renewal th~reof, Tenant shall fail to make any maintenance, repairs or replacements in and to the Premises as required in this Lease I Landlord. shall have the right, but not the obligation, to enter the Prem~ses and to make the same for and on behalf of Tenant, and all sums so expended by Landlord shall be deemed to be Additional Rent hereunder and payable to Landlord upon demand. Tenant shall keep in force throughout the Lease Term maintenance contracts for the heating, ventilating and air conditioning systems reasonably satisfactory to Landlord. WAIVER OF LIABILITY BY TENANT Section 14. Landlord and Landlord's agents and employees shall not be liable for, and Tenant unconditionally and absolutely waives any and all causes of action, rights, and claims against Landlord and its agents and employees arising froml any damage or injury to person or property I regardless of causel sustained by Tenant or any person claiming through or under Tenant, resul ting from any accident or occurrence in or upon t~e Premises of any other part of the Building or the Shopping Center, unless the same shall be due to the gross negligence of Landlord and/or Landlord's agents and employees. This provision shall survive the termination or expiration of this Lease. INDEMNIFICATION AND INSURANCE Section 15. (a) Tenant will defend, indemnify, and save Landlord harmless from and against any and all claims, actions, lawsuits, damages, liability, and expense (including, without limitation, attorneys' fees) arising from loss, damage, or injury to persons or property occurring inion, or about the Premises, arising out of the Premises, or occasioned wholly or in part by any act or omission of Tenant, Tenant's agents, contractors, customers or employees. (b) At all times from the Commencement Date and duriJlg the Term or any Renewal Term, Tenant shall, at its expense, keep in full force and effect the following insurance policies insuring Tenant, Landlord, and Landlord's mortgagee: (i) public liability insurance in companies acceptable to Landlord with minimum limits of (a) One Million Dollars ($1,000,000,00) on account of bodily injuries to or death of one (1) person, and One Million Dollars ($1,000,000.00) on account of bodily injuries to or neath of more than ODe (1) person as the result of anyone (1) accident or disaster, and One Million Dollars ($l, 000, 000.00) on account of damage to property; or (b) One Million Dollars {$l,OOO,OOO} Bodily Injury Liability and Property Damage Liability Combined Single Limit Coverage; and (ii) all-risk hazard insurance covering Tenant I s improvements to the Premises and all equipment and contents within the Premises for the full replacement value and business interruption insurance for a minimum of six (6) months. Prior to the Commencement Date and upon each renewal, Tenant shall deposit with Landlord the policies of such insurance, or certificates thereof, showing Landlord and its mortgagee as additional insureds, and shall update the same prior to expiration thereof. Tenant's insurance shall not be cancelable without thirty (30) days prior written notice to Landlord. (c) Tenant shall not carry any stock. of goods or do anything in or about the Premises which will in any way increase the insurance rates on the Premises, the Building and/or the Shopping Center. Any such increase shall be paid by Tenant to Landlord within thirty (30) days after written demand therefor. n < I. (4) All c.aSualty c~verage insurance carried by Landlord or Tenant shall prov~de for wa~ver of subrogation against Landlord Tenant and other tenants in the Shopping Center on the part of th~ insurance carrier. Evidence of the existence of such waiver shall be furnished by either party to the other party on request. SIGNS Section 16. Prior to opening for business, Tenant shall install an identification sign for the Premises at its cost and expense, whiCh sign shall comply with Exhibit "FlI. Tenant shall not erect or install any other signs except as expressly permitted by Landlord. All permitted signs shall comply with the terms and provisions of Exhibit "F" and all requirements of appropriate governmental authorities. All necessary permits or licenses shall be obtained by Tenant. Tenant shall maintain all permitted signs in good condition and repair at all times and shall save Landlord harmless from any injury to person or property arising from the' erection and maintenance of said signs. Upon vacating the Premises, Tenant shall remove all signs and repair all damage caused by such removal. ASSIGNMENT AND SUBLETTING Section 17. (a) Neither this Lease nor any or all interest herein shall be sold, mortgaged, pledged, encumbered, assigned, transferred, or otherwise disposed of in any manner by Tenant, voluntarily or involuntarily, by operation of law, or otherwise, nor shall the Premises or any part thereof be sublet, used, or occupied for the conduct of any business by any third person, firm, or corporation or for any purpose other than herein authorized, ~except with the prior written consent of Landlord, which consent Landlord may grant or withhold in its sole discretion. A sale or sales of fifty percent (50%) or more of the capital stock of Tenant (if Tenant is a corporation) or of the interest in capital, profits, or losses of Tenant (if Tenant is a partnership) shall be deemed to be a prohibited assignment of this Lease within the meaning of this Section 17. In the event Tenant desires to sublet the Premises, or any portion thereof, or assign this lease, Tenant shall give written notice thereof to Landlord at least ninety (90) days but not more than one hundred eighty (180) days prior to the proposed commencement date of such subletting or assignment, which notice shall set forth the name of the proposed subtenant or assignee, the relevant terms of any sublease or assignment and copies of financial reports and other relevant financial information on the proposed subtenant or assignee. Notwithstanding any permitted assignment or subletting, Tenant shall at all times remain directly and primarily liable for the payment of the rent herein specified and for compliance with all of its other obligations under this Lease. Upon the occurrence of a default under Section 20 of this Lease, which is not cured within the applicable grace period, if the Premises or any part thereof are then sublet, Landlord, in addition to any other remedies provided herein or by law, may collect directly from such subtenant all rents due and becoming due to Tenant under such sublease and apply such rent against any sums due to Landlord from Tenant hereunder. No such collection directly from an assignee or subtenant shall be construed to constitute a novation or a release of Tenant from the further performance of Tenant's obligations hereunder nor shall it. constitute consent of the sublease or assignment. Any guaranty of Tenant.s performance executed as consideration for this Lease shall remain in full force and effect before and after any such assignment or subletting. Landlord may require Tenant, and Tenant hereby agrees, to execute a guaranty of this Lease before Landlord consents to any such assignment or sublease and to cause the guarantor of Tenant 's Lease to execute an acknowledgment of the assignment or sublease. (b) In addition to Landlord's right to consent to any subtenant or assignee, Landlord shall have the optionj in its sole discretion, in the event of any proposed subletting or assignment, 13 ~ , ,~ .-" - ,~ to terminate this ~ease, or,in the case of a proposed subletting of less. than the entl.re Prem1.ses, to' recapture the portion of the ~remlses to be s';1blet, as of ,the da~e the subletting or assignment 18 to be effectlve. The optl-on shall be exercised by Landlord's giving Tenant written notice the,reof within thirty (3D) days following La~dlord/s receipt of Te~ant's written notice as required above. If thlS Lease shall be termlnated with respect to the entire Premises, the Term shall end on the date stated in Tenant's notice as the effective date of, the sublease or assignment as if that date had been originally fixed in this lease for the expiration of the Term. If Landlord recaptures only a portion of the Premises, the Annual Fixed Rent and Addi tional Rent during the unexpired Term shall abate, proportionately, based on the Annual Fixed Rent and Additional Rent due as of the date inunediately prior to such recapture and Percentage Rent shall be calculated using the adjusted Annual Fixed Rent. Tenant shall, at Tenant's own cost and expense, discharge in full any outstanding commissibn Obligation with respect to this Lease and any commissions which may be owing as a result of any proposed assignment or subletting, whether or not the Premises are rented by Landlord to the proposed tenant or any other tenant. (c) Consent by Landlord to any assignment or subletting shall not include consent on a subsequent assignment or subletting of the Premises by Tenant or its assignee' or sublessee or the consent to the assignment or transferring of any Lease renewal option rights I space option rights or other special privileges granted to Tenant hereunder (and such options, rights or privileges shall terminate upon such assignment or subletting), unless Landlord specifically grants in writing such options, rights or privileges to assignee or subtenant. Any sale'assignment, mortgage, transfer of this Lease or subletting whiCh does not comply with the provisions of this Section shall be void. (d) Notwithstanding Landlord's consent. in the event that Tenant sells, sublets, assigns, or transfers this Lease and at any time receives periodic' rent and/or other consideration which exceeds that which Tenant would at that time be obligated to pay to Landlord, Tenant shall pay to Landlord 100% of the gross increase in such rent as such rent is received by Tenant and lOO% of any other consideration received by Tenant from such subtenant or such assignee. {e) Should Landlord consent to an assignment or sublease of this Lease, Tenant, its proposed assignee or subtenant and Landlord shall execute an agreement prepared by or acceptable to Landlord wherein the proposed assignee or subtenant agrees to be bound by the terms and conditions of this Lease, and Tenant will pay to Landlord on demand a sum equal to all of Landlord's costs, including reasonable attorneys' fees, incurred in connection with such assignment I sublease or transfer. REPAIR AFTER CASUALTY Section 18. (a) (i) Tenant shall immediately give written notice to Landlord of any damages caused to the Premises by tire or other casualty. If the Premises shall be destroyed or so injured, due co any cause, as to be unfit, in whole or in part, for occupancy, and such destruction or injury could reasonably be repaired within nine (9) months from the receipt of insurance proceeds cover'ing such destruction or injury, then Tenant shall not be entitled to surrender possession of the Premises, nor, except as hereinafter provided, shall Tenant's liability to pay rent under this Lease cease without the TIilltual consent of the parties heTeto. In the case of any such destruction or injury, Landlord sllall repail- a11 structural portions of t.he Premises with all reasonable speed and shall complete such repairs within nine (9) months from the receipt of such insurance proceeds, Notwithstanding the foregoing, Landlord shall not be required to expend any amount in excess of the net insurance proceeds for such repairs, Unless such. damage is the 14 . ~, I I I I I i I I ~" , ,. ~ result of the negligence or willful misconduct of Tenant Dr its agents, employees or invitees, if during such period Tenant shall be deprived of the use of all or any portion of the Premises a proportionate adjustment in the Annual Fixed Rent and Additio~al Rent shall be made corresponding to the time during which, and the portion of the Premises of which, Tenant shall be so deprived and Percentage Rent shall be calculated using the adjusted Annual Fixed Rent. Tenant shall, within sixty (60) days after completion of Landlord's work, complete all work to the Premises (without any allowance from Landlord) necessary to restore the Premises to their condition on the date'Tenant opened for business to the public. (ii) If such destruction or injury to the Premises cannot reasonably be repaired within nine (9) months from the receipt of insurance proceeds covering such destruction or inju~y, or if the net insurance proceeds available for such repairs are not sufficient in Landlord's reasonable determination, Landlord shall notify Tenant within ninety (90) days after the occurrence of such destruction or injury whether or not Landlord will repair or rebuild. If Landlord elects not to repair or rebuild, this Lease shall be terminated. If Landlord shall elect to repair 0:(" rebuild, Landlord shall notify Tenant of the time within which such repairs or reconstruction will be completed, and Tenant shall have the option, within thirty (30) days after the receipt of such notice, to elect by written notice to Landlord to either terminate this Lease and any further liability hereunder, or to extend the Term by a period of time' equivalent to the time from the Occurrence of such destruction or injury until the Premises are restored to their former condition. In the event Tenant elects to extend the Term Landlord shall restore the structural portions of the Premises t~ their former condition within the time specified in said notice, Tenant shall complete the work required of Tenant pursuant to paragraph (i) above within sixty (60) days after completion of Landlord's work, and Tenant shall not be liable to pay the Annual Fixed Rent and Additional Rent for the period from the occu~rence of such destruction or injury until the structural portions of the Premises are so restored by Landlord and Percentage Rent shall be calculated using the adjusted Annual Fixed Rent. (b) In addition to all rights to cancel or terminate this Lease given to the parties in Section 18 (aL hereof, (aa) if fifty percent (50%) or more of the gross leasable area of the Shopping Center is destroyed or damagedj regardless of whether or not the Premises shall be affected by such damage or destruction, Landlord shall have the right to cancel and terminate this I,ease as of the date of such damage or destruction by giving notice thereof to Tenant within ninety (90) days after the date of such damage or destruction and (bb) if the Premises are destroyed or damaged during the last two (2) years of the Term to the extent of fifty percent (50%) or more of the total square feet of floor area of the Premises, then either Landlord or Tenant shall have the right to cancel and terminate this Lease as of the date of such damage or destruction by giving notice thereof within thirty (30) days after the date of said damage or destruction. However, if subsection (aa) above does not apply and Tenant shall, within thirty (30) days following receipt of Landlord's notice of cancellation pursuant to (bb) above, give Landlord notice of its intention to renew the Lease for any additional option periods then available to it under the terms of this Lease, then the notice of Lanrtlord to tenninat.e the Lease shall be of no force and effect and Section 18i!i.Lill or 18 (a) (ii) hereof, as the case may be, shall apply. If no additional option periods are then available to Tenant, this Lease shall terminate on the date recited in such notice from Landlord. (c) Notwithstanding anything to the contrary contained in Sections IS(a) (il, lSla) (iil, and 1QJhl hereof, Landlord may cancel this Lease with no further liability to Tenant whatsoever in the event that following any damage, destruction, or injury to the Premises or the Building, Landlord's mortgagee elects to require Landlord to make advance payments upon or for any indebtedness 15 seC1,.lred by a mortgage on the Shopping Center or any portion the:t:'eof. (d) In the event of any insurance claim against any of Landlord's insurance policies, Landlord shall have the right to recover from Tenant Tenant's Proportionate Share of the amount of any deductible or other loss not reimbursed to Landlord by proceeds of i?surance. CONDEMNATION Section 19. (a) In the event the entire Premises shall be taken by condemnation or right of eminent domain, this Lease shall terminate as of the day possession shall be taken by the taking authority and Landlord and Tenant shall be released from any further ,liability hereunder. In the event only a portion of the Premises shall be taken by condemnation or right of eminent domain and the portion so taken renders the balance unsuitable for the purpose of this Lease, either Landlord or Tenant shall be entitled to terminate this Lease, such termination to become effective as of the day possession of the Premises shall be talcen, provided notice of $uch termination is given within thirty (30) days after the date of notice of such taking. If, in such case, this Lease is not terminated, Landlord agrees to restore the Premises with reasonable speed to an architectural unit as nearly like its condition prior to @uch taking as shall be practicable. If during and/or after the worle of restoration, Tenant shall be deprived of the use of all or any portion of the Premises, a proportionate adjustment in the Annual Fixed Rent and Additional Rent shall be made corresponding to the time during which and the portion of the Premises of which Tenant is so deprived and Percentage Rent shall be calculated using the adjusted Annual Fixed Rent in the formula specified in Section ~ hereof. (b) All damages awarded in connection with the taking of the premises, whether allowed as compensation for diminution in val~e to the leasehold, to the reversion and fee of the Premises, to 'fenant' s leasehold improvements or otherwi se, sh.:1.11 be] ong to Lanolord. Notwithstanding the foregoing, Tenant shall be entitled to make a separate ,claim to the condemning authority for damage to merchandise and fixtures, removal and reinstallation costs, and moving expenses. (c) Notwithstanding anything to the contrary contained in !=iections 19(a) and.1...2...l.Ql hereof, Landlord may cancel this Lease wit>> no further liability to Tenant whatsoever in the event that (a) fifty percent (50%) or more of the gross leasable area of the Shopping Center is taken by condemnation or right of eminent domain, or (b) following any taking of the Premises or the Building by condemnation or right of eminent domain, Landlord's mortgagee elects to require Landlord to make advance payments upon or for any indebtedness secured by a mortgage on the Shopping Center or any portion thereof. LANDLORD'S REMEDIES UPON DEFAULT Section 20. (a) If, at any time after the Commencement Date: (i) Tenant shall be in default in the payment of rent or other sums of money required to be paid by Tenant, or in the performance of any of the covenants, terms, conditions, provisions, rules and regulations of this Lease, and Tenant shall fail to remedy such default within ten (10) days of the date when due in the event the default is as to payment of any sums of money, or, except as provided in subsection (ii) below, within twenty (20) days after receipt of written notice thereof if the default relates to matters other than the payment of moneYi or (ii) Landlord shall have an audit made for any year in accordance with Section 5(b) above and the Gross Sales shown by 16 ~.~ ~ .- l,_ ~"""""'. ""I: i~i ii 11 I' " " i' H " " " L! !j i I i " I .1 \:1 " :, I :1 " I ! j i ., 'I I :j ~ I ,I II II ~ \,j i J Tenant's statement of Gross Sales for such year shall be found to be understated by more than three percent (3%); or (iii) Tenant becomes insolvent or makes an assignment for the benefit of creditors, or if .any guarantor of Tenant shall become insolvent or make an ass~gnment for the benefit of creditors, or if a receiver shall be appointed, or if proceedings under the Bankruptcy Code shall be instituted by or against Tenant or any guarantor of this Lease and the same shall not be dismissed by the Court within ninety (90) days after being filed, or if any event shall happen which, aside from this provision, would cause any assignment or devolution of Tenant's interest or occupancy hereunder by operation of law; then it any of the circumstances described in (i), (ii) or (iii) above should occur, Landlord may, in addition to all other remedies given to Landlord in law or in equity, by written notice to Tenant, terminate this Lease or without terminating this Lease reenter the Premises by summary proceedings or otherwise and, in any event, dispossess the Tenant, it being the understanding and agreement of t:;he parties that under no circumstances is this Lease to be an asset for Tenant's creditors by operation of law or otherwise. In the event of such reentry Landlord may, but need not, relet the Premises or any part thereof for such rent and upon such terms as Landlord, in its sole discretion, shall determine (including the right to relet the Premises for a greater or lesser term than that remaining under this Lease, the right to relet the Premises as a part of a larger area, and the right to change the character or use made of the premises). If Landlord decides to relet the Premises or a duty to relet is imposed upon Landlord by law, Landlord and Tenant agree that Landlord shall only be required to use the same efforts Landlord then uses to lease other properties Landlord owns or manages (or if the Premises is then managed for Landlord, then Landlord will instruct such manager to use the same eE forts such manager then uses to lease other space or pr"operties which it owns or manages) i provided, however, that Landlord (or its manager) shall not be required to give any preference or priority to the showing or leasing of the Premises over any other space that Landlord (or its manager) may be leasing or have available and may place a suitable prospective tenant in any such available space regardless of when such alternative space becomes available; provided, further, that Landlord shall not be required to observe any instruction given by Tenant about such reletting or accept any tenant offered by Tenant unless such offered tenant has a creditworthiness acceptable to Landlord, leases the entire Premises, agrees to use the Premises in a manner consistent with this Lease and leases the Premises at the same rent, for no more than the Term and on the same other terms and conditions as in this Lease without the expenditure by Landlord for tenant improvements or broker's commissions. In any such case, Landlord may, but shall not be requi:t'ed tOI make repairs, alterations and additions in or to the premises and redecorate the same to the extent Landlord deems necessary or desirable, and Tenant shall, upon demand, pay the cost thereof, together with Landlord's expenses of reletting, including I without limitation, any broker's commission incuX'red by Landlord. In the event of a reletting, Landlord may apply the rent therefrom first to the payment of Landlord's expenses, including attorneys' fees incurred by reason 0'[ Tenant's default and the expense of reletting (including,' without limitation, repairs, renovation or alteration of the Premises) and then to the amount of rent and all other sums due from Tenant hereunder, Tenant remaining liable for any deficiency. Any and all deficiencies shall be payable by Tenant monthly on the date herein provided for the payment of Monthly Installments of Fixed Rent. In determining the deficiencies and rent whi.ch would be payable by Tenant hereunder subsequent to default, the annual rent tor each Lease Year of tile unexpired portion of the Term shall be equal t:o the average Annual Fixed Rent and Percentage Rent paid by Tenant from the commencement of the Term to the time of default, or during the preceding three (3) full calendar years, whichever is shorter. ~i I 'I 'I ~ I " :1 " 17 -~ -~ ~ - l~ , !'! \ ~, " " I' I , Li I:! (b) No termination of this Lease or any taking or recovery of possession of the Premises shall deprive Landlord of any of its remedies or rights of action against Tenant, and Tenant shall remain liable for all past or future rent, including all Additional Rent, taxes, insurance premiumsj and other charges and rent payable by Tenant under this Lease, during the Term. In no event shall the bringing of any action for rent or other default be construed as a waiver of the right to obtain possession of the Premises. (c) If suit shall be brought for recovery of possession of the Premisesj for the recovery of rent, or for any other amount due under the terms and provisions of this Lease, or because of the breach of any other covenant herein contained on the part of Tenant, and a breach shall be established, Tenant shall pay to Landlord all expenses incurred therefor, including reasonable attorneys' fees. (dl WHEN THIS LEASE AND ITS TERM SHALL HAVE BlmN TERMINATED ON ACCOUNT OF ANY DEFAULT HEREUNDER AND ALSO WHEN THE TERM HEREBY CREATED SHALL HAVE EXPIRED, IT SHALL BE LAWFUL FOR ANY ATTORNEY OF ANY COURT OF RECORD TO APPEAR AS ATTORNEY FOR TENANT AS WELL AS FOR ALL PERSONS CLAIMING BY, THROUGH OR UNDER TENANT AND TO SIGN AN AGREEMENT FOR ENTERING IN ANY COMPETENT COURT AN AMICABLE ACTION IN EJECTMENT AGAINST TENANT AND ALL PERSONS CLAIMING BY, THROUGH OR UNDER TENANT AND TO THEREIN CONFESS JUDGMENT FOR TilE RECOVERY BY LANDLORD OF POSSESSION OF THE DEMISED PREMISES TOGETHER WITH COSTS OF SUIT AND REASONABLE ATTORNEYS FEES OF NOT LESS THAN ONE THOUSAND DOl1LARS, FOR WHICH THIS LEASE SHALL BE SUF'FICIENT WARRANT. THEREUPON, IF LANDLORD SO DESIRES, AN APPROPRIATE WRIT OF POSSESSION MAY ISSUE FORTHWITH, WITHOUT ANY PRIOR WRIT OR PROCEEDING WHATSOEVER, PROVIDED THAT IF FOR ANY REASON AFTER SUCH ACTION SHALL HAVE BEEN COMMENCED IT SHALL BE DETERMINED THAT POSSESSION OF THE DEMISED PREMISES SHOULD REMAIN IN OR BE RESTORED TO TENANT, LANDLORD SHALL HAVE THE RIGHT FOR THE SAME DEFAULT AND UPON ANY SUBSEQUENT DEFAULT OR DEFAULTS, OR UPON 'rIlE TERMINATION OF THIS LEASE OR OF TENANT'S RIGHT OF POSSESSION AS HEREINBllFORE SET FORTH. TO BRING ONE OR MORE FURTHER AMICABLE ACTION OR ACTIONS AS HEREINBEFORE SET FORTH, TO RECOVER POSSESSION OF TilE DEMISED PREMISES AND TO CONFESS JUDGMENT FOR THE RECOVERY OF POSSESSION OF THE DEMISED PREMISES AS HEREINBEFORE PROVIDED, NOTWITHSTANDING ANYTHING CONTAINED IN THIS LEASE TO THE CONTRARY, THE RIGHT OF LANDLORD TO INITIATE AN AMICABLE ACTION OF EJECTMENT AS SPECIFIED ABOVE SHALL NOT PRECLUDE OR LIMIT LANDLORD'S RIGHT TO INITIATE AN AMICABLE ACTION FOR RENT, IN THE EVENT OF DEFAULT HEREUNDER AND ALSO WHEN THE TERM HEREBY CREATED SHALL HAVE EXPIRED, IT SHALL BE LAWFUL FOR ANY ATTORNEY OF ANY COURT OF RECORD TO APPEAR AS ATTORNEY FOR TENANT AS WELL AS FOR ALL PERSONS CLAIMING BY, THROUGH OR UNDER TENANT AND TO SIGN AN AGREEMENT FOR ENTERING IN ANY COMPETENT COURT AN AMICABLE ~CTION AGAINST TENANT AND ALL PERSONS CLAIMING BY, THROUGH OR UNDER TENANT AND TO THEREIN CONFESS JUDGMENT FOR DAMAGES FOR AMOUNTS DlJE HEREUNDER TOGETHER WITH COSTS OF SUIT AND ATTORNEYS FEES OF FIVE PERCENT OF THE AMOUNT CLAIMED, FOR WHICH THIS LEASE SHALL BE SUFFICIENT WARRANT, THEREUPON, IF LANDLORD SO DESIRES. AN APPROPRIATE WRIT OF EXECUTION MAY ISSUE FORTHWITH, WITHOUT ANY PRIOR WRIT OR PROCEEDING WHATSOEVER, PROVIDED THAT IF' FOR ANY REASON AFTER SUCH ACTION SHALL HAVE BEEN COMMENCED LANDLORD SHALL HAVE THE RIGHT FOR THE SAME DEFAULT AND UPON ANY SUBSEQUENT DEFAULT OR DEFAULTS, OR UPON THE TERMINATION OF THIS LEASE OR OF TENANT'S RIGHTS AS HEREINBEFORE SET FORTH, TO BRING ONE OR MORE FURTHER ACTION OR ACTIONS AS HEREINBEFORE SilT FORTH, AND TO CONFESS JUDGMENT AS HEREINBEFORE PROVIDED. NOTWITHSTANDING ANYTHING CONTAINED IN THIS LEASE TO TilE CONTRARY, THE RIGHT OF LANDLORD TO INITIATE AN ACTION AS SPECIFIED ABOVE SHALL NOT PRECLUDE OR LIMIT LANDLORD'S RIGHT TO INITIATE ANY OTHER ACTION, (e) In any amicable act.ion of ejectment or for rent and other sumsj Landlord shall first cause to be filed .in such action 18 ...."-~^' an affidavit made by Landlord or someone acting for Landlord, setting forth the facts necessary to authorize the entry of judgment and if a true copy of this Lease (and of the truth of the copy suCh affidavit shall be sufficient evidence) shall be filed in such suit, action or actionsj it shall not be necessary to file the original as a warrant of attorneYj any rule of courtj custom or practice to the contrary notwithstanding. (f) Tenant expressly waives: (i) The right to delay execution on any real estate that may be levied upon to collect any amount which may become due under the terms and conditions of this Lease and any ~ight to have the same appraised. Tenant authorizes the Prot110notary or Clerk to enter a writ of execution or other process upon Tenant's voluntary waiver and further agrees that said real estate may be sold on a writ of exe,cution or othe:C process. (iil Tenant Act thereto. All rights under the Pennsylvania Landlord and of 1951 and all supplements and amendments (iii) The right to three (3) months and fifteen (IS) or thirty (30) days' notice required under certain circumstances by the Pennsylvania Landlord and Tenant Act of 1951, Tenant hereby agreeing that the respective notice periods provided for in this Lease shall be sufficient in either or any such case. (g) The parties hereto shallj and they hereby do, waive trial by jury in any action, proceeding, or counterclaim brought by either of the parties against the other on any matters whatsoever arising out ofj or in any way connected with, this Leasej the relationship of Landlord and Tenantj Tenant's use or occupancy of the Premises, and/or any claim of injury or damage arising out of the Premises, the Building, or the Shopping Center. (h) All rights and remedies provided herein or otherwhle existing at law or in equity are cumulative, and the exercise of one or more rights or remedies by either party shall not preClude or waive its right to the exercise of any or all of the others. DISCHARGE OF LIENS Section 21. (a) The Tenant shall not causej suffer, or permit the Premise~, Building, or the Shopping Center to be encumbered by any liens of mechanic's, laborers, or materialmenj any security interescs, or any other liens. Tenant shallj whenever and as often as any such liens are filed against the Premises, the Buildingj or the Shopping Center and are purported to be for labor or material furnished or to be furnished to Tenant, discharge without demand by Landlord the same of record within ten (10) days after the date of filing by payment, bonding or otherwise, as provided by law. Tenant shall, upon reasonable notice and request in writing from Landlord, also defend against Landlordj at Tenantjs sole cost and expense, any actionj suit, or proceeding which may be brought on or for the enforcement of any such lien and shall pay any damages and satisfy and discharge any judgments entered in such actionj suit, or proceeding and shall save harmless Landlord from any liability, claim, or damages resulting therefrom. In default of Tenant procuring the discharge of any such lien, Landlord may, without further notice, procure the discharge thereof by bonding or payment or othe~wisej and all costs and expenses which Landlord may incur in obtaining such discharge shall be paid by Tenant as Additional Rent within ten (10) days of any demand therefor. (b) Nothing in this Lease, nor any approval by Landlord of any of Tenant's alterations or contractors, shall be deemed or 19 -....,,- ~.,. construed in any way as constituting consent by Landlord for the making of any alterations or additions by Tenant, or constituting a request by Landlord, expressed or implied, to any contractor subcontractor, laborer or materialman for the performance of any labor or the furnishing of any materials for the use or benefit of Landlord. LIABILITY OF LANDLORD Section 22. If Landlord shall fail to perform any covenant, term, or condition of this Lease, and if Tenant shall recover a money judgment against Landlord, such judgment shall be satisfied only out of the proceeds of sale received upon execution of such judgment and levy thereon against the right, title, and interest of Landlord in the Shopping Center as the same may then be encumbered and neither Landlord nor any of its partners shall be liable for any deficiency. It is understood that in no event shall Tenant have any right to levy execution against any property of Landlord other than its interest in the Shopping Center. Such right of execution shall be subordinate and subject to any mortgage or other encumbrance upon the Shopping Center. RIGHTS OF LANDLORD Section 23. {a} Landlord shall have the right, but not the duty, at all reasonable times, by itself or through its duly authorized agents I to go upon and inspect all or any part of the Premises and, at Landlord's option, to ma]<:e repairs, alterations, and additions to the Premises, the Building, or any part thereof, or to show the Premises or the Building to lenders or to prospective purchasers or tenants. (b) If Tenant shall fail to fulfill any of its obligations hereunder, Landlord shall have the right to fulfill such obligation and any amounts so paid by Landlord are agreed and declared to be I1Additional Rentll due and payable .to Landlord from Tenant with the next installment of Monthly Installment of Fixed Rent due thereafter under this Lease. Any such amounts which shall be paid by Landlord on behalf of Tenant shall hear interest from the date so paid by Landlord at the rate of eighteen percent (18%) per annum or at the prime rate of interest then being charged by Chase Manhattan .Bank N.A., a national banking association, whichever is higher provided that in no event shall such rate to be charged Tenant exceed the rate otherwise permitted by law. {c} All rights of Landlord hereunder shall be deemed to accrue to the benefit of Landlord's mortgagee, if any. SUBORDINATION TO MORTGAGE Section 24. (a) Tenant understands, acknowledges and agrees that this Lease is and shall be subordinate to any mortgage, ground lease or other lien or restriction of record now existing or hereafter placed on or affecting the Premises, the Building, or the Shopping Center, or any part thereof, and to any renewals, refinancing or extensions thereof and to all advances made or hereafter to be made upon the security thereof. This subordination provision shall be self-operative and no further instrument of subordination shall be required by any mortgagee or' lender. However, Landlord is hereby irrevocably vested with full power and authority to subordinate this Lease to any mortgage or other lien now existing or hereafter placed upon the Premises, the Buildillg, or the Shopping Center as a whole. Further, Tenant agrees, upon the demand or request of any party in interest, to execute promptly such further instruments or certificates as may be necessary to carry out the intent of this Section. (b) Notwithstanding the provisions of Section---1.1..Le.l hereofj any mortgagee may at any time subordinate the lien of its mortgage to the operation and effect of this. Lease without 20 - ~ ~~~; -~ obtaining Tenant's consent thereto, by giving the Tenant written notice thereof, in which event this Lease shall be deemed to be senior to such mortgage without regard to their respective dates of execution, delivery, and/or recordation among the land records of the county in which the Shopping Center is located, and thereafter such mortgagee shall have the same rights as to this Lease as it would have had, were this Lease executed and delivered before the execution of such mortgage. (cl Tenant shall, within ten (10) days from request by Landlord, execute and deliver to such persons as Landlord shall specify a statement in recordable form 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 so modified), stating the dates to which rent and other charges payable,under this Lease have been paid, stating that Landlord is not in default hereunder (or, if Tenant alleges a default, stating the nature of such alleged default) and further stating such other matters as Landlord or its mortgagee(s) or proposed purchaser(s) shall reasonably require. (d) In the event any proceedings are brought for foreclosure or in the event of the exercise of the power of sale under any mortgage or deed of trust, Tenant shall attorn to the purchaser in any such foreclosure or sale and recognize such purchaser as landlord under this Lease. NO WAIVER BY LANDLORD Section 25. No waiver of any of the terms, covenants, provisions, conditions, rules, and regulations imposed by this Lease, and no waiver of any legal or equitable relief or remedy, shall be implied by the failure of Landlord to assert any rights, declare any forfeiture, or for any other reason. No waiver of any of said terms, provisions, covenants, conditions, rules, and regulations shall be valid unless it shall be in writing signed by Landlord. No waiver by Landlord or forgiveness of performance by Landlord in respect to one or more tenants of the Building shall constitute a waiver or forgiveness of performance in respect to Tenant. VACATION OF PREMISES Section 26. Tenant shall deliver and surrender to Landlord possession of the Premises (including all of Tenant's permanent work upon and to the Premises, all replacements thereof, and all fixtures permanently attached to the Premises during the Term) immediately upon the expiration of the Term or the termination of this Lease in any other way in as good condition and repair as the same were on the Commencement Date {loss by any insured casualty and ordinary wear and tear only excepted) and deliver the keys at the office of Landlord or Landlord's agenti Drovided, however, that upon Landlord's request made at least thirty (30) days prior to the end of the Term, or the date Tenant is otherwise required to vacate the Premises, Tenant shall remove all fixtures and equipment affixed to the Premises by Tenant, and restore the Premises to their condition on the Commencement Date {loss by any insured casualty and ordinary wear and tear only excepted}, at Tenant's sole expense. Such removal shall be performed prior to the earlier of the end of the Term or the date Tenant is required to vacate the Premises. MEMORANDUM OF LEASE Section 27. Upon request by Landlord, Tenant hereby agrees to execute for recordation a memorandum of this Lease. RENT DEMAND Section 28. Every demand for rent wherever and whenever made shall have the same effect as if made at the time it falls due and at the 21 -- I"'~"" place of payment. After the service of any notice or commencement of any suit, or final judgment therein, Landlord may receive and collect any rent due, and such collection or receipt shall neither operate as a waiver of nor affect such notice, suit, or judgment. NOTICES Section 29. Any notices, requests, or consents required to be given by or on behalf of Landlord or Tenant shall be in writing and shall be sent overnight courier or by registered or certified United States mail, return receipt requested, postage prepaid, address~d to the parties hereto at the respective addresses set forth on the Reference Page, or at such other address as may be specified from time to time, in writing. Such notice shall be deemed given when it is deposited in an official United States Post Office, postage prepaid. Copies of all notices to Landlord shall be sent to: i: i ;, i' ~, !..~ " i !' i Lavipour & Company, Inc. 444 Park Avenue South, Suite 302 New York, NY 10016 APPLICABLE LAW AND CONSTRUCTION Section 30. The laws of the Commonwealth of Pennsylvania shall govern the validity, performance, interpretation, and enforcement of this Lease. The invalidity or unenforceability of any provision of this Lease shall not affect or impair any other provision. All negotiations, considerations, representations, and understandings between the parties are incorporated herein. This Lease may be modified or altered only by agreement in writing between the parties. Tenant shall have no right to quit the Premises or cancel or rescind this Lease except as expressly granted herein. This Lease has been negotiated by Landlord and Tenant and this Lease, together with all of the terms and provisions hereof, shall not be deemed to have been prepared by either Landlord or Tenant, but by both equally. If any provision of this Lease is held to be invalid or unenforceable, the validity and enforceability of the remainder of this Lease shall not be affected thereby. FORCE MAJEURE Section 31. In the event that either party hereto shall be delayed, hindered in, or prevented from performing any act required hereunder by reason of strikes, lockouts, inability to procure materials, failure of power, restrictive governmental laws or regulations, riots, insurrection, war, or any other reason of a like nature not the fault of the party delayed in performing such act! then performance of such act shall be excused for the period of the delay and the period allowed for the performance of such act shall be extended for a period equivalent to the periOd of such delay. Notwithstanding anything contained herein to the contrary, Tenant shall not be excused from the payment of rent or other sums of money which may become due under the terms of this Lease. LANDLORD'S LIEN Section 32. (a) Tenant hereby grants to Landlord a lien and security interest on all property of Tenant now or hereafter placed in or upon the Premises, and such property shall be and remain subject to such lien and security interest of Landlord for payment of all rent and other sums agreed to be paid by Tenant herein. Landlord's lien, however, shall not be superior to a lien from a lending institution, supplier or leasing company, if such Jendjll9 institution, supplier or leasing company has a perfected security interest in the equipment! furniture or other tangible personal property which originated in a transaction whereby Tenant acquired same. 22 -'. . . , ~i_ (b) The provisions of this Section relating to such lien ~nd security interest shall constitute a security agreement under ~nd subject to the Uniform Commercial Code of the state wherein the Shopping Center is located, so that Landlord shall have and may enforce a security interest on all property of Tenant now or l1ereafter placed in or on the Premises, in addition to and cumulative of Landlord's liens and rights provided by law or by the other terms and provisions of this Lease. (c) Tenant agrees to execute as debtor such financlng statement or statements and such other documents as Landlord may now or hereafter request in order to protect or further perfect ~andlord's security interest. Notwithstanding the above, Landlord ,ahall neither sell nor withhold from Tenant Tenant's business :eecords. QUIET ENJOYMENT Section 33. Landlord hereby covenants and agrees that if Tenant :3ha11 perform all of the covenants and agreements herein stipulated t:o be performed by Tenant, Tenant shall at all times during the continuance - hereof have peaceable and quiet enjoyment and possession of the Premises without any manner of let or hindrance trom Landlord or any person or persons claiming by, through, or under Landlord, subject, always, to the terms and provisions of chis Lease. HOLDING OVER Section 34. If at the expiration of the Term or any renewal chereof Tenant continues to occupy the Premises, such holding over @hall not constitute a renewal of this Lease, but Tenant shall be a. tenant from month to month upon all of the terms, provisions, covenants, and agreements hereof, except that Landlord may, in its @ole discretion, increase the amount of the Annual Fixed Rent chereafter due hereunder to an amount equal to 200% of the Annual Fixed Rent being paid immediately prior to such expirations. BROKERS 8ection 35. Tenant represents and warrants that it has not dealt with any real estate broker other than the real estate broker{s) listed on the Reference Page in connection with this Lease. I~andlord shall pay any commission or fee due such broker(s) as a ~esult of this Lease. Tenant agrees to indemnify Landlord against, and hold it harmless from, all liabilities arising from any claim ~esulting from its having dealt with any other broker in connection ~ith this Lease. 9APTIONS gection 36. All paragraph titles or captions contained in this ~ease are for convenience only and shall not be deemed part of the context of this Lease. VARIATION IN PRONOUNS Section 37. All of the terms and words used in this IJease, !'egardless of the number and gender in which they are used, shalJ be deemed and construed to include any other number or gender, as t:.he context or sense of this Lease or any paragraph or clause l1erein may require, as if such terms and words had been fully and properly written in the appropriate number and gender. LENDERS' APPROVAL Section 38. Notwithstanding anything contained herein to the contrary, Landlord's obligations and Tenant I S rights under this :Lease are conditioned upon its approval by Landlord's construction lender and permanent lender. In the event Landlord is unable to 23 -- - " -"""""~>-=--'- ! 1 ;'1 ,I i'i !,l !'I L! ,i l:'1 I :1 ;1 i ! obtain such approvals, Landlord shall notify Tenant of the basis therefor and Tenant shall have thirty (30) days in which to agree to any changes requested by such lender in order to make the within Lease acceptable to it. In the event Tenant fails to agree to any such changes within said thirty (30) day period, Landlord may terminate this Lease within thirty (30) days thereafter. In such event, both parties shall be released from any further liability under this Lease. I I, 1 I I i II II il :1 'I 'i Ii II "I ;1 il il SECURITY DEPOSIT Section 39. The Security Deposit shall be held by Landlord without liability for 'interest and as security for the performance by Tenant of Tenant's covenants and obligations under this Lease, it being expressly understood that the Security Deposit shall not be considered an advance payment of rental or a measure of Tenant's damages in case of default by Tenant. The Security Deposit shall be paid' to LaI1dlord upon execution of this Lease. Landlord may, in its sole discretion, from time to time without prejudice to any other re~edy, use the Security Deposit to the extent necessary to make good any default under this Lease or to satisfy any other covenant or obligat:.ion of Tenant hereunder; orovided, however, that no portion of the Security Deposit shall be applied towards payment of the last month's rent hereunder without the prior written consent of the Landlord's mortgagee. Following any such application of the Se'curity'Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. If Tenant is not in default at the termination of this Leasel the balance of the Security Deposit remaining after any such application shall be returned by Landlord to Tenant after deduction therefrom any unpaid obligation of the Tenant to the Landlord as may arise under this Lease, including, without lindtation, the obligation to restore the Premises pursuant to Section 26 hereof, If Landlord transfers its interest in the Premises during the term of this L@ase, Landlord may assign the Security Deposit to the transferee and thereafter Landlord shall have no further liability to Tenant tor the return of such Security Deposit, and Tenant shall look solely to the transferee for return of such Security Deposit. NO INCOME PARTICIPATION Section 40. Neither Tenant nor any other person having an interest in the possession, use, occupancy or utilization of the Premises shall enter into any lease, sublease, license, concessioll or other agreement for use, occupancy or utilization of the Premises which provides for rental or other payment for such use, occupancy or utilization based in whole or in part on the net income or profits derived by any person from the Premises or portion thereof leased, usedl occupied or utilized (other than an amount based on a fixed percentage or percentages of receipts or sales) I and that any such purported lease, sublease, license, concession or other agreement shall be absolutely void and ineffective as a conveyance of any right or interest in the possession, use, occupancy or utilization of any part of the mortgaged Premises. HAZARDOUS SUBSTANCES Section 41. In addition to, and not in limitation of any other provision of this Lease, Tenant agrees not to generate, store, use treat or dispose ofl nor to allow, suffer or permit the generatioll, storage, use, treatment or disposal of, any "hazardous waste" or Ithazardous substance II (as those terms are defined in the Resource Conversation and Recovery Act, 42 U,S.C Sections 6901 et seo., as amended (ltRCRAI1) or the Comprehensive Environmental Response, Compensation, and Liability Actl 42 D.S.C. Sections 9601, et ~., as amended (IICERCLAll), and any rules and regulations now or hereafter promulgated under either of such acts) o,r allY pol] utant or other contaminant on, in from or about the Premises or the Shopping Center, which hazardous material is prohibited or controlled by any federal, state or local law, ordinance, rule or 24 ." ~~~"..."..,,"", :' N !~ H EXHIBIT IlA" ALL that certain lot or tract of land situate in Hampden Township, Cumberland County, Pennsylvania more fully bounded and described as follows, to wit: BEGINNING at an iron pin (found) on the southern right-af-way line of the Carlisle Pike (S,R. 1010, 50 R.O,W.I and the line of lands NIP of William C. Rowland, Jr. thence proceeding in a generally southern direction South 05 degrees, 45 minutes, 59 seconds East 1173.92 feet to a point on the northern right-at-way line of S.R. 0011 {120 R.O.W.lj thence along said right-af-way line North 83 degrees, 59 minutes, 24 seconds West 5~6.43 to an iron pin (found)j thence by same on a curve to the right having a radius of 3079,36 feet and an arc length of 1237.06 feet to a point on the western right-of-way line of Sporting Hill Road (S.R. 1013, 40 R.O.W.)i thence along said right-of-way line North 05 degrees,' 30 minutes, 4S seconds West 221.48 feet to a point i thence by lands N/F of David R. Miller North 83 degrees, 04 minutes, 02 seconds East 121.68 feet to an iron pin (found); thence by lands N/F of D.E.S. Associates and Universal Restaurants, Inc. North 86 degrees, 33 minutes, 17 seconds East 441.20 feet to an iron pin (found); thence by lands of Universal Rest.aurant.s, Inc. North 03 degrees, 14 minutes, 44 seconds West 415.88 feet to a point on the southern right-of-way line of the Carlisle Pike (S.R. 1010, 50 R.O.W.); thence by said right-of-way line North 86 degrees, 36 minutes, 37 seconds East 1082.77 feet to an iron pin (found) being the point and place of BEGINNING. Containing 31.963 Acres. A-l -. EXHIBIT "B" - DESCRIPTION OF PREMISES The boundaries and location of the Premises, utilities, paved lng:t"ess, esp:-ess, etc., as shown 011 thls site plan Sets forth the ~JelJ(~r:al layollt of the shopping center and shall not be n warranty oj' n:pl"r~fiPlll ill' i.oll ClI' ()qn~r:1lIf"'!1l1. Oil tl1p. pftl:t: o[ l,flnd.lonl Uti'll: SElid :;lltlPI'.itl~1 Cnlll.(~I. wi.ll IH~ (lXiH,:l..ly tlfl i.lldJ.cated 011 Lh.i.r.: r"i.L{~ plElIl. . --'.-~" -- l-'- ... .-- - ~-- ,_ . __ ._ _ I ...' ---,--~- [::1 " l-\J:f:1 "J:~l-=-~';;~-I:0' u -~~ =I~~ '''I~'~ --- ';:---~'-- ~. L '~I'" ~I .... ... ;; :: i:i ....0: l;; ;;; -. .... u . - .1.1- - - _._-,-, ,_ _ 8~ -- _~~_ I ~:~ Jfl 1~ , ""...~ I~!} , I ., : '.' ~ ~ I '~z. :-U~~_~_.~MJ ,8 z , i' , I , I I J! I I ~ ~ ~ :~ 'U z 0 " . c H , :j ;JJ ,t1 ~ J . ] il' N ~ c ~ Z ~ I 'I 0 " J Z . ~ 0 n ii ~ ;; " :;:: 't:! a 3 , '. c l> >~ ~ " z f;j :< z fl l'EOrlf:'S onUGS --1n...!I.J'L-. n o !"I': :l 8 z ii\ ><", n JI,I [r1 ., x '" VI c; ~ I~ ~ ~ ;" '" ~ :( ~ " ~ l' ~ ::J ~i~l [~I - ~ ;1' - .1 \ , i.c~ :; ; t~]WEESf ~!~ IJ , [_I ~,' l;CI'J Y.';2S L--' ~ ol~! l\ -:r-- { .~I.etr.~~!!!~!"~~J'51'~Qf2on'l~t~~~~ ; I! 1!!I!!l!!!!!!,!,i:1 !llil!l!l,!!ll!!!I!111 fl ;';!~:!i.ili,..il; I..i;~;! :~!:.:'l!:r.' ! :;~p.iI:. E lilllllPl\1:. 1;:;:~:':" ':'~H .!l '9 'n ....:~.llilij:.:i. !::'I'! In!! ;IEI~!1 ~. ''';'~.i ,I tf' . u .:- , :-:'1"'" li,.r, , :-: it e " : t t !, 'I ! I' I · , I .. . . ,. i' ii 1\ :1 aVOlIlllI1 D,NIlUOdS B-1 .~ ~ i I' l: I' ~ I I', I! , ~ J 1'1 H ~I n 11 ! , i n ! I , 'i tl ! :l: fi ~ f! " II ~ Ii " " u <"1 ,,. ~ 'i ii " C , ~ ~i ,; I, 0 \i ~ ii :I li j! ~ U. '. i'i & Ii ~ Ii I' " iJ : !j d ; " ~; " " i; " " 'I l1 " " I, , , 1i " f! Ij ! I " ' " :1 " ;,; ,; -- 1 - '-:] 'i' i:'1 kj EXHIBIT "e" I i~ I I 1 I 'I 1 LANDLORD'S WORK :~ i :)1 ,jj 1 ji ;] "I ! ;1 ~! i,j i 1 Ii' 'I PREMISES WILL BE DELIVERED IN AN liAS IS" CONDITION. ~I :1 ii iJ 1i :] ,;1 ;! Ii :1 " Ii !i '1 'I 5i ;! ~i ,I I 11 ;j [I I] ~ ;1 11 Ii I! Ii II II 11 II I I I I ~ I I C-l -........- ,-" " EXHIBIT "DIl TENANT'S WORK I . WORK BY TENANT A. GENERAL REOUIREMENTS, 1. APPROVALS, The Tenant shall submit ta the Landlord and obtain full approval of all plans, specifications and work including all roof openings I signs I etc. Any damage done by Tenant shall be paid for by the Tenant. Landlord must approve any and all materials, equipment and fixtures which become a permanent part of the structure. Tenant shall furnish Landlord with a list of all contractors Tenant intends to use to work in his premises. Landlord reserves the right to approve or disapprove of any and all of Tenant's contractors, All contractors engaged by Tenant as peDmitted by Landlord shall be bondable, license contractors, possessing good labor relations, capable of performing quality workmanship and working in harmony with Landlord's and other tenants' contractors on the job. All work shall be coordinated with the general project work. The design of all work and installation undertaken by Tenant shall be approved by the Landlord. All work underta](en shall be at the Tenant's expense and shall not damage or weal<:en the structural strength of the building or any part thereof, and shall be done in a first-class worknmnlike manner and in accord with all applicable Federal, State, County and local municipal statutes, ordinances, regulations, laws and codes, All tenant construction shall be non-coniliustible, and no combustible materials of any nature will be permitted above the finished ceiling. PLANS: The Tenant shall deliver to the Landlord within twenty (20) days after the execution of this Lease, its plans and specifications for work within the leased space. PERMITS. INSPECTIONS, FEES. ETC, , All warl, installed by Tenant shall be coordinated with and completed so as not to interfere with Landlord's construction schedule nor any other tenant's activities. Tenant shall secure and pay for any necessary building permits, inspections and fees. Prior to start of work, Tenant shall forward a copy of all required permits to the Landlord. 2. STOREFRONTS: Should Tenant desire an individualized storefront other than Landlord's standard, the additional cost of designing and constructing same shall be done at the Tenant's expense. The following crit.eria shall apply for same. a. Materials, designs and color selections shall be subj eet to the prior approval of Landlord and Landlord's archit.ect. b. No portion of the storefront may protrude beyond the front line of the leased premises D-l "' ~, " i Ii nor encroach in any manner into the covered sidewalk. " 11 ~ ) C. No unfinished wall area will be permitted on the storefront. :1 " I: i! \1 i! Ii !: " Ii ,. :i d. Storefront material shall be selected for durability and freedom from maintenance. e. Temporary storefront: If a Tenant's work is not completed within the time required by this Lease (or, in any event, is not completed on the grand opening date), Landlord may, at Tenant's expense, install a temporary storefront or barricade. 3, INSURANCES: Tenant shall secure, pay for and maintain, or cause its contractor(s) to secure, pay for and maintain, as the case may be, during the continuance of construction and fixturing work within the leased premises, Workman Compensation Employers Liability Insurance; Comprehensive General Liability Insurance (including Contractors Protective Liability); Owner's Protective Liability Insurance, insuring Tenant against any and all liability to third parties for damage due to bodily injury and property damage liability; and Tenant's Builder's Risk Insurance; and statutory Automobile Insurance. H :i i ~ ,I All of the foregoing insurance policies shall be with an insurance company approved by Landlord and the insurance limits contained therein shall be acceptable to Landlord. In addition, the aforesaid Tenant's insurance policies shall name IJandlordf its Lender, its Architect and its General Contractor as an additional insured and Tenant' s contractor shall deliver necessary evidence of all of the foregoing policies to Landlord. , , ii Ii 11 " ii Ii Ii iJ 1 " NO WORK SHALL BEGIN UNTIL ALL INSURANCE CERTIFICATES ARE IN POSSESSION OF LANDLORD, 4. Each tenant shall be responsible for the cost of delivery and arranging all receipt and unloading of all materials and equipment pertaining to his work. 5. CLEANING OF PREMISES: The Tenant shall, at all times, keep the premises free from accumulations of waste materials and/or rubbish caused by his employees, workers, or contractors. Tenant shall maintain the premises in a clean and orderly condition during construction and merchandising. Tenant shall promptly remove all unused const.ruction materials, equipment, shipping containers, packaging, debris, and flammable waste from the Shopping Center. Tenant shall contain all construction materials, equipment; fixtures, merchandise, shipping containers and debris within the premises. The common exterior areas of the Shopping Center shall be clear of Tenant's equipment, merchandise, fixtures, refuse and debris at all times. Trash storage within the premises shall be confined to covered metal contains. Tenant is responsible for the removal of all trash and debris from Tenant's premises. 6. CERTIFICATE OF OCCUPANCY, secure a Certificate of The Tenant shall Occupancy from the D-2 _.Il"',~~~ ~-"~ ~ - ^= .~' Li !~: jurisdictional authorities in sufficient time to allow Tenant to open the premises in accordance with the opening requirements of this Lease. A copy of the Certificate of Occupancy shall be forwarded to the Landlord. 'I 11 'I I, ',j [j " 'I 11 'I II :1 H [I li " 7. VIOLATIONS: In the event the Tenant is notified of any violations of codes, ordinance regulations, requirements or guidelines either by the jurisdictional authorities or by the Landlord, Tenant shall, at its expense, correct such violations within seven (7) calendar days after such notification. 8. ROOF OPENINGS: Any proof opening required by the Tenant will be performed by Landlord's roofing contractor at the Tenant's expense. Such openings will include supporting structures, angles, curbs, flashings, ducts, vents and grilles. Landlord may refuse to approve any openings which, in Landlord's jUdgement, exceed the capability of the structural system. 9. LIENS: Tenant shall not permit any mechanic's liens to attach to the leased premises or the Shopping Center development in which the premises are located on account of any labor or materials furnished or supplied to 'the demised premises in connection with Tenant's Work. In the event that such a lien is attached, Tenant shall forthwith cause the same to be discharged or in lieu thereof furnish a bond for the benefit of Landlord issued by a duly licensed surety company authorized to do business in the state the project is located, which by its terms indemnifies and holds the Landlord harmless from the effects of such lien. In addition, Tenant shall provide Landlord with final waivers of lien, materialman certificates, affidavits and sworn statements from all tenant's contractors and suppliers within thirty days of completion of work. (I i1 " Ii II [i " I! " " Ii 'I II Ii " I il I 1 I I , 10. LANDLORD'S RIGHT OF ACCESS TO PREMISES: Landlord, Landlord's agent, an independent contractor, or an authorized utility company, as the case may be, shall have the right, subject to Landlord's written approval, to run utility lines, conduits or duct work, where necessary or desirable, t11rough ceiling space, column space or other parts of the demised premises and to repair, al ter, replace or remove the same, all in a manner which does not interfere unnecessarily with Tenant's use thereof. B. GENERAL WORK, The Tenant will furnish and install the faU owing items of work at its sole cost and expense: 1. Interior partitions within the leased areas, except for the toilet room walls. 2. Floor coverings, 3. Interior finishing of wall surfaces including priming, painting, staini.ng and wall coverings. 4. Display window backs, display window floor~, display window ceilings, and display window lighting fixtures and power for the same. D-3 __~J""~~ 5 . Install ceiling tiles. Landlord will stockpile tiles in Premises. 6. PLUMBING WORK, Any plumbing facilities in excess of that provided by the Landlord, such as increase in size of service, drinking fountains, additional toilet facilities, janitor's sink, hose bibbs, lab sinks, special fixturing and outlets, will be provided, installed and connected at Tenant's expense. Tenant will also pay for any increases in water and sewer capital charges or any other related charges imposed by the municipality or Landlord above the municipality's or Landlord's standard charge for a retail store due to the Tenant's use of the premises. i. e. restaurants I beauty salon, etc. Tenant will provide fire exti;nguishers as required by building code and insurance underwriters. 7. HEATING. VENTILATING AND AIR CONDITIONING, Added capacities to roof top HVAC units, if necessary, shall be furnished and installed by the Tenant. SPRINKLER WORK: Cost of additional pipe and heads required as a result of interior store partitions, mezzanine areas, unusual use of premises or tenant fixtures will be charged to Tenant. 8. 9, ELECTRICAL WORK: Tenant shall furnish, pay for all electrical work other furnished by Landlord, including but to: install and than items not limited a. Increased size of incoming electrical service and panel. b. Telephone and communication system. c. Burglar alarms and/or warning systems. d. Eme~gency generator. e. Tenant's store signs and controlling time clocks. f. High voltage outlets. g. Floor outlets. h. Music systems. i. Additional exit signs and emergency lighting units necessitated by Tenant's fixtures and interior partitions. 10, MISCELLANEOUS WORK, a. All trade fixtures, cabinets, shelving, counters, appliances, fur-ni ture, fllr~nishings, etc., signs (interior and exterior) and other personal property shall be new and of first quality and shall be furnished and installed by Tenant. b. Toilet paper holders, soap dispensers, mirrors, shelves, towel dispensers, etc. shall be provided by the Tenant. c. Tenant at his expense shall sound insulate, to extent required by the nature of its business, the demising walls so as not to permit sound to emanate outside the premises. 11, SIGNS: The Tenant shall furnish, install and ~ct identification signs at locations provided at canopy fascia at Tenant's expense. Canopy fascia sign design, lighting and sign copy D-4 L_ ~'"'"'." 51 I' " !i I: r, Ii !! i L f! I: Ii ,: i' " i: !: Iii " !I " ii II Ii 'Ii , Ii I', !, 11 , , color shall be subject to Landlord's approval. Canopy signs shall be in conformance with the detailed sign criteria, as prepared by Landlord's Architect. Prior to fabrication, sign plans and specifications must be submitted for Landlord's approval. D-5 ~ - - ,~.~ EXHIBIT "Ell RULES AND REGULATIONS 1. Landlord reserves the right to change from time to time the format of the signs Or lettering on the signs, and to require replacement of any signs previously approved pursuant to Section 16 to conform to Landlord's new standard sign criteria established pursuant to any remodeling of the Shopping Center. 2. Tenant shall not, without the prior written consent of Landlord (i) paint, decorate or make any changes to' the store front of the Premises; or (ii) install any exterior lighting, awning or protrusions, signs, advertising matter, decoration or painting visible from the exterior of the Premises or any coverings on exterior windows and doors, excepting only dignified displays of customary type in store windows. If Landlord objects in writing to any of the foregoing, Tenant shall immediately discontinue such use. 3. Tenant shall not (i) conduct or permit any fit;"e, bankruptcy or auction sale (whether real or fictitious) unless directed by order of a court of competent jurisdiction, or conduct or permit any legitimate or fictitious lIGoing Out of Business" sale nor represent or advertise that it regularly or customarily sells merchandise at "manufacturer'sll, "distributor' Sll J or lIwholesalel1, "warehousell, or similar prices or other than at lIoffpricelr or at I1retailll prices; (ii) use, or permit to be used, the malls or sidewalks adjacent to such Premises, or any other area outside the Premises for solicitation or for the sale or display of any merchandise or for any other business, occupation or undertaking, or for outdoor pub:;I.ic meetings, circus or other entertainment (except for promotional activities in cooperation with the management of the Shopping Center or an association of merchants within the ShoppinS Center); (iii) use or permit to be used any sound broadcasting or amplifying device which can be heard outside of the Premises or any flickering lights; (iv) operate or cause to be operated any 11 elephant trainsl1 or similar transportation devices; or (v) use or permit to be llsed any portion of the Premises for any unlawful purpose or use or permit the use of any portion of the Premises as regular living quarters, sleeping apartments or lodging rooms or for the conduct of any manufacturing business. 4. Tenant shall at all times keep the Premises at a temperature sufficiently high to prevent freezing of water pipes and fixtures. Tenant shall not, nor shall Tenant at any time, r permit any occupant of the Premises to: (i) use, operate or maintain the Premises in such manner that any rates for any insurance carried by Landlord, or the occupant of any premises within the Shopping Center, shall thereby be increased; or (ii) commit waste, perform any acts or carryon any practices which may injure the Shopping Center or be a nuisance or menace to other tenants in the Shopping Center. S. Tenant shall not obstruct any sidewalks, passages, exits, entrances, truck ways, loading doc].cs, package piCk-Up stations, pedestrian sidewalk and ramps, first aid and comfort stations, or stairways of the Shopping Center. No tenant and. no employee or invitee of any tenant shall go upon the roof of the Shopping Center without notifying the Landlord. 6. Landlord will furnish Tenant free of charge with two keys to each door lock in the Premises. Landlord may maJ<:e a ~~easonable charge for any additional keys. Tenant, upon the termination of its tenancy, shall deliver to Landlord the keys of all doors which have been furnished to Tenant, and in the event of loss of any keys so furnished, shall pay Landlord therefor. E-l -- --- "_J 7. If Tenant requires telegraphic, telephonic, burglar alarm or similar services, it shall first obtain and comply with Landlord's instructions in their installation. 8. Tenant shall not place a load upon any floor which exceeds the designed load per square foot or the load permitted by law. Landlord shall have the right to prescribe the weight, size and position of all equipment, materials, furniture or other property brought into the Premises. Heavy objects shall stand on such platforms as determined by Landlord to be necessary to properly distribute the weight. Business machines and mechanical equipment belonging to Tenant which cause noise or vibration that may be transmitted to the structure of Tenant's store or to any other space to such a degree as to be objectionable to Landlord or to any tenants shall be placed and maintained by Tenant, at Tenant's expense, on vibration eliminators or other similar devices. The persons employed to move equipment in or out of Tenant's store must be acceptable to Landlord. Landlord will not be responsible for loss of, or damage to, any equipment or other property from any cause, and all damage done to the Shopping Center by maintaining or moving such equipment or other property shall be repaired at the expense of Tenant. 9. The toilet rooms, toilets, urinals, wash bowls and other apparatus shall not be used for any purpose other than that for which they were constructed. No foreign substance of any kind whatsoever shall be thrown therein, and the expense of any breakage, stoppage or damage resulting from the violation of this rule shall be borne by the tenant who, or whose employees or invitees, shall have caused it. 10. Tenant shall not install any radio or television antenna, loudspeaker or other device on the roof or exterior walls of Tenant's store. Tenant shall not interfere with radio or television broadcasting or reception from or in the Shopping Center or elsewhere. 1.1.. Except as approved by Landlord, Tenant shall not damage partitions, woodwork or plaster or in any way deface the Premises. Tenant shall not cut or bore holes for wires, Tenant shall not affix any floor covering to the floor of the Premises in any manner except as approved by Landlord. Tenant shall repair any damage resulting from noncompliance with this rule. 12. Tenant shall not install, maintain or operate upon the Premises or in any Common Areas under the exclusive control of Tenant any vending machine or video game without Landlord's prior written consent. 13. Tenant shall store all its trash and garbage in containers within its Premises and/or in the portion of the Common Areas designated by Landlord. Tenant shall not place in any trash box or receptacle any material which cannot be disposed of in the ordinary and customary manner of trash and garbage disposal. All garbage and refuse disposal shall be made in accordance with directions issued from time to time by Landlord. 14. No cooking shall be done or pennitted by Tenant on the Premises without Landlord's prior written consent, except for brewing coffee and similar beverages and use of a single microwave oven by employees only and in any event will not permit odors to emanate from the Premises provided that such use is in accordance with all applicable federal, state and city laws, codes, ordinances, rules and.regulations. E-2 -~ - - ,j i', !::i i: " 15. Tenant shall not use in any space any hand trucks except those equipped with rubber tires and side guards or such other material-handling equipment as Landlord may approve. Tenant shall not bring any other vehicles of any kind into Tenant's store. lJ !'! ::i 1,\ I ,i !l j' ,I j' 16. Employees of Landlord shall not perform any work or do anything outside of their regular duties unless under special instructions from Landlord. 17. All loading of goods shall be done only at such times, in the areas, .and through the entrances, designated for such purposes by ,Landlord. The delivery or shipping of merchandise, supplies and fixtures to and from the leased premises shall be subject to such rules and regulations as in the judgment of the Landlord, are necessary for the proper operation of the leased premises or the Shopping Center. L,\ !,j II I "I "j I II I:] '.I 1,1 " 18. Tenant and Tenant's employees shall park their cars only in such portion of the parking area designated for those purposes by the Landlord. Tenant shall furnish Landlord with state automobile license numbers assigned to Tenant's employees within five (5) days after taking possession of the premises and shall thereafter notify the Landlord of any changes within five (5) days after changes occur. In the event: tl1at the Tenant or its employees fail to park their cars in designated parking areas as aforesaid, then the landlord, at its option, shall charge the Tenant Ten Dollars ($~O .00) per day or partial day per car parked in any area other than that designated. 19. Landlord may waive anyone or more of these Rules and Regulations for the benefit of any particular tenant or teriants, but no such waiver by Landlord shall be construed as a waiver of such Rules and Regulations in favor of any other tenant or tenants, nor prevent Landlord from thereafter enforcing any such Rules and Regulations against any or all of the tenants of the Shopping Center. I I <I I I CI tl II 1 :1 :1 ',i " I " I Ii 'I 20. These Rules and Regulations are in addition to, and shall not be construed to in any way modify or amend, in whole or in part, the terms, covenants, agreements and conditions of any lease of premises in the Shopping Center. 21. Tenant shall be responsible for the observance of all of the foregoing rules by Tenant's employees, agents, clients, customers, invitees and guests. 22. Tenant shall use, at Tenant's cost, such pest extermination contractor as Landlord may direct and at such intervals as Landlord may require. 23. Trailers or trucks shall not be permitted to remain parked overnight in any area of the Shopping Center, whether loaded, unloaded or partially loaded, No parking shall be permitted of any trailer, truck or other vehicle in any area of the Shopping Center at any time for purposes of advertising or promotion without Landlord's written permission. :! Tenant agrees to comply with all additional and supplemental rules and regulations upon notice of same from the Landlord. E-} .~ EXHIBIT IIFII TENANT SIGN CRITERIA , :i " H ii [I :..1.' ': :] i;1 II GENERAL: This exhibit is meant to outline the tenant sign criteria for the Retail Shops at Ha'mpden Centre Shopping Center, Mechanicsburg, Pennsylvania. It is drafted as a guide to provide a consistent graphic techniql.1e and may be amended or altered only with the written consent of Landlord. Tenants will be required to submit detailed and dimensioned drawings indicating graphic content, colors, script, construction and fastening details and electrical requirements to Landlord for review and approval prior to fabrication and installation of any signs. A. The advertising content of all signs shall be limited to letters designating the store name, or the type of store, Tenants will not be permitted to indicate specific merchandise sold (i.e. brand ,names, etc.), specific services rendered (i. e., IIfree gift wrapping" etc.), or indicate any advertising slogans (i.e., liThe We Care People II , etc.). I !I I ,:1 ':1 1 j:1 II. ~ ; ~ ; I :1' , II " B. Crests and corporate shield designs may be permitted, but, must be submitted to the Landlord for approval for compatibility of design intent with the sign criteria, C. The location, character, design, color and layout of all signs shall be subj ect' to the approval of the landlord. Proper consideration will be given to signs used by occupants for the same or similar retail operations elsewhere. D. No sign shall be placed in final position without written approval of the Landlord. All signs are to ~e fabricated and installed by a licensed sign installer and shall be in compliance with all local, state and national codes governing sign installation and shall bear a U.L. label. ,I n il ::i 1.'1 II I I E, F, Tenant may install one identity sign on its service door with maximum 2" high letters. Identity sign shall list place of business as indicated on the tenant sign located on the sign band and shall be "Helvetica Mediumll all capital letters. G, If any or all of the sign standard limitations as described herein are found to be invalid under local sign and/or zoning ordinances, regulations or law, to the extent that such limitations and restrictions, or any other ordinances, regUlations or law, is invalid as described, then the Landlord may modify said limitations or restrictions to comply with such local ordinance, regUlation or law. In no event shall the invalidity of anyone of the limitations or restrictions be deemed to invalidate the sign standard scheme as outlined. SIGN REOUIREMENTS, A. All signage shall not exceed 60% of storefront length (see attached Elevation Drawing - Appendix A) . B. Maximum sign height is 36". C. No sign shall exceed maximum brightness of 100 foot lamberts, No fluorescent tubing, electrical transformers, shall be permitted. E. No flashing, moving, flickering, or blinking illumination shall be permitted. D. incandescent lamps, ballast boxes, crossovers, conduit or sign cabinets F-l - .'%'.1 F. No animation, moving lights, or floodlight illumination shall be permitted. G. The name and/or stamp of the sign contractor or sign company, or both, shall not be exposed to view. Signs, symbols, and/or trademarks must have a preliminary approval by Landlord before shop drawings are executed. H, I. One sign, or other graphic treatment, is allowed per storefront elevation. Stores with two storefront elevations may have a second sign with the written approval of the Landlord. Such second signs should maintain the same sign message, graphic technique and design intent as the first sign. Signing is limited to trading name or logo only~ J, K. All signing must occur on the sign band unless otherwise approved. .L. Color of raceway must match sign band color. PROHIBITED SIGNS, A. Paper signs, cardboard and hanging signs and/or stickers utilized as signs. B. Signs of a temporary character or purpose, irrespective of the composition of the sign or material used therefor. c. Moving signs. D. Pictures or paintings. E. Box type signs or sig~s with formed plastic letters. F'. Advertising devices, slogans, merchandise or several listings. G. Moving or rotating objects. H. Back illuminated signs, "halo" effect letters. I. Moving or flashing lights. J. Painted on or luminous letters. K. Cloth, wood, paper or cardboard. L. Free standing signs or sandwich boards. M. Noise making devices. N. Boxes, cabinets, frames, transparent or translucent panels. o. Rooftop signs or banners, except for those beneath canopy, as approved by the Landlord. P. Names of designer, manufacturer or installer. Q, Any other signs, graphics or components which the Landlord determines to distract from the overall center theme. R, Individual dimensional wood, metal or plastic letters, s. Formed plastic or injected molded plastic signs. Projecting signs and banners. Exposed neon tubing. T. u. F-2 --.... - ILLUMINATED SIGNS: A. All sign band identification signs to be internally channelled letters with opaque metal sides and translucent acrylic face. Letters shall be no more than 6" in depth and not less than 6" high, with concealed ballasts. Letters must be installed on a raceway. The color of the raceway must match the sign band/facade. B. Exposed neon tubes forming letters or logos shall be used only in decorative fashion and shall be allowed at the discretion of the Landlord on an individual basis. SIGN SPECIFICATIONS: These specifications are meant to serve as performance standards for tenant signage at the Shopping Center. Wall mounted. internallv illuminated siqn: Custom fabricated aluminum plast.ic face, interior neon illuminat.ion, and individual letters. Deoth of letters: Overall sign depth is 611. Pla~tic face~ As selected from stock colors connected to letters by continuous aluminum retainer. Retainer ring size to be 3/8" x 1/2". Letter stroke: Minimum 311. TV90araohv: attached sheet All standard letter styles are permitted (see "Letter Stylesll - Appendix IIBlI). per Color: Permitted colors for illuminated signs are as follows: 1. Lettering to be standard colors as approved by Landlord. 2. Aluminum frames to match lettering color as approved by Landlord. Illumination: By two (2) neon tubes with standard ratings of 118 volts. F-3 " """ -.\- EXHIBIT "G" LEASE GUARANI''l In considera:ion of the making o~ the Lease Agreement by and etween F~PDEN CENTER, INC., as Land~ord, and D & 0 DEVELOPMENT CORPORATION, as Tenant. p=epared Ju:y 6, 1~97, for the premises commonly described as B~2 Ham9den Centre (hereinafter referred to as the "Lease") and for the purpose of inducing Landlord to enter into and make the Lease, the undersigned hereby unconditionally guarantees the full and p~O~pt pajment of rent and all other sums required to be paid by Tenant under the Lease ("Guaranteed P~yments" I and the fu~l and faitr.:t..:: performance of all terms, conditions. coVe~a~:s. cb::gatio~s and a9ree~ents contained in the Lease cn the Tenant's part to be performed ("Guaranteed Obligations"} and ti~e under-signed further promises to pay all of Landlord' 5 costs and expenses (l.ncluding reasonable attorney' 5 fees) incurred in e~deavoring to collect the Guaranteed Payments or to enforce the Guaranteed Obliga:~ons or incurred in enforci~g this guaranty as well as all damages which Landlord may suffer in consequence of ar.y default or breach under the Lease or this guaranty. 1. Lar:dlord may a~ a;1Y time and from time to time, without notice ~o the u~ders:gned, take a~y or all of the following actions without affec~i~g o~ impair~ng the liability and obligations of the undersigned on this gua~.ar:ty: I" I: a. grar.: an ex~en5ion or extensions of time o~ oav~",e::lt of any Guaranteed PaYment or ti.me :or pe=formance of ar.y Guaranteed Obligation; b. g::-ar.t an :':1dulgence or indulgences in any Guaranteed ?a)~er.: or i~ the performance of any Guaranteed Obligatio~; c. modify or amend the Lease or any term Chereof. or any obligation 0: ~ehant arising thereunder; d. consent to any assignment or assignments, sublease or subleases and successive assignments or 5ublessees or a change or differe~t use of the leased premises; e. consent to an extension or extensions of the term of the Lease; f. accept o~her guarantors; and/or g. release any perso~ primarily or secondarily liable. The liability of the undersigned under this guaranty shall in no way be affected or impaired by any failure or delay in enforcing any G~aranteed Payment or Guaranteed Obligation or this guaranty or any security therefor or in exercising ar.y right or power in respect thereto, or by any compromise! waiver, settlement, change, subordinat.ion, modificatio:1 or disposition of any Guaranteed Payme~: or Guaranteed Obligation or of any security therefor. Th:s is a guaranty of payment and oerformance and not of collection. The liability ot the undersigned under this guaranty shall be direct and immediate and nct conditional or contingent upon the pursuit of any remedies against Tenant or any other party or security. 2. The undersigned ~aives alL diligence in .collection or in protection of any security, preser.tmen~, protest, demand, notice of dishonor or default, notice of acceptance of this guaranty, notice of any extens~ons granted or other ac~ion taken in reliance hereon and all demands and ::otices of ar:.y kind in connection with this guaranty or any Guaranteed Parmen: 0= Guaranteed Obligation. ""~" - '" .. o ~] ~~ aJ H w aJ ...; .c 0 '" w '-< 0 " aJ " aJ '" W ...; W "" ...; .... .. '" .. '" "" :. w OJ Q) ~ " W N ~ " ~ W '" '" I ...; " 0 0 " 0 Q) :. .... 0 "'H w .. ,,'-< Q) Q) Q) 0 0. """'"" '" 0 w """" "'''' ww .... 0 '-< '"'" aJ 0 0 OJ.... .. S '" 0 00 Q) OJ S~ " .. Q) N .... 0 .. Q)...; w U 0 "'~ .... '-< .... .. 0 '" :> Q) :. w 0 :> OJ .....; " OJ '" 0.Q) .... "" :. '"'" o w w '" Q) Q) W " .. OJ "" '" ~O "'''' 0 " '" U Q) Q) '" aJ"'; ;-l .. H~OJ .... 0 .... '-< 0.... ,,"0 0 0<"" '-< Q) W Q) W .... Q)...; W .. .... WW 0"'; :. 0'-< '" 0 aJ C.I'44-1 '" .c W '-< Q)'-< ...; 0 '" Q) W 0 W Q) '" 0 '" :> Q) 0'-< OJ "'"" " Q) Q.l~+.J+M.-l'1:l aJ ...; .....; W '" "''-< 00"'; 0 aJ"" 0 '" '" Q) .. OJ "" :> Q) OJ '" OJ aJ "'''' aJ .. .... .. U 0 W Q) OJ 0.... ...; 0"" O...;W '" '" W 0'" 0 " 0 U 0 0 '" Q) 0 '" ;-lHH ;-l ~;;j d + rI'\r.f\ :;;. (!\ ;: ft-\~~ ~ ~. ~ m ~ ~ -J ; t !, C c t "(110'l~ p,... ): - r- each ;~cv:.~~~~ L~~d~~~~ ~1~~r~~~J~r~dc~~6ci;;:e~'llt~;e~~dl a~gp~{~~~~: i~~~ ~r -} 1 cJ 1- However, :..f ar:y prc\Oisicl1 of this guaranty is four.d by a cou~c to A: ~ + 1.1\ be in'Jalic. fo:: ar:y t.eaSO:1. t.he partl€':S :":1cend that ~he ::"erncunde:- of (1]', Q this guarancy shall contll'~ue lr. full force ar.d effect and the ~ ~ V invalid pro\.iaiona shall oe construed aa if t)-.ey were ~~ Containe<:,", -I. +" ') herein, p, ~ 1-- rfJ n C7 Q r:: ( ,rtJ <:; +- 1:> iL \<. c I l r0 r- Fv' -1 t'o ~ ,t E E. ~.. 6' IN WITNESS WHEREOF, intending to be le9~.~ bou~d hereby, the ~ ,~~ \ undersigned has executed this guaranty this day of JUly. 1997. (4' H 1: ~\"" r r ;'S\c, . ( 1- -T-\ <:: <:, <: '- C C5' e, -l p ~ _I f" VJ 0' rti ~ ,-~- 3. The undersigned here~y ackr.o.....ledges full and complete not:.ice and knowledge o~ all of t.r.e terms. cO:1di:.ions. covenar.t.s, obligatic;1s am! agre~rr:eil.t.~ of tl~E! Lease. <1. The payrr.er:.t by :he und~:-5igr.~c of ar:.y amount pursuant to this guaranty shall no: in any ....ay el1title che undersiS'ned to any rig~t, ti:.le or ir.te::est ('..:he::he:- by sL:brogat.ior:. or othertolise) 0: the ~ena~t under the Lease or co a~y secu::icy bei~g held fer any Guarant.eed Pa)'";r,ent 0:: Gua:-a:lceed 0bl igat.ior.. S. :E 7enaI1t fails ::0 make such pa~en:'s as prov;.ded abcve, or :.~ :'e:,ar.t :.s o~he.r'",':se ir:. d~:a~::: 'iJnde~ the Lease on said ter;r.inat:,oll dace, this Sua::'a:".~y sllall :~.C~ cel..-:TI.:.r.ate and shall be co.'1tinuir.g. absolute njiO u;1co::c:t:o;:al and remai.:1 in fill: :orce ar.d effect cntil all Guaran:eed Pa~~en:s are :;\ade. al: Gua=a~::eed Obligations a=e per:ormed. and all obliga~ion5 of the undersicnec under this 9uara~ty are fulfil:ed. - o. Th.:.s suaran::.y 5:12.11 also bi:1d tl:@ successors an(j assig:,.s of the undersionec! a:1d i:lure to :he bene:i: 0: :..e5801:". its successors a:ld ii$sig="s. Tl::.s gcarant.y shall be construed accordi.ng to the la.....o of th~ Ccmm::n~'.,'e.;:lc.t; of Pe:msylvania, in. which state it sr.ali be p~rfor:ued by the \~nders:.gned. 7. :E this g....:.ara:...:.y :5 2xe::ut.ed =y more ::.har: c;:e e:n:ity, all sir:gula:- nouns and ve~b5 herein :-elati:'lg to the undersigned shall include the plural ntl:i~te= i'l.:1d the ob:igacion of :he several guaran~ors shall be jo:~t and seve=al. 9, Notwithstanding the foregoi.og, this Guaranty shall be limited to the amount of O~e year's rent, co~~on area costs. taxes and ir.surance provided that the undersigned has not defaulted under any term or condi cion hereunde.:. In t.he event of default, this Gua=anty shall not be limited. ~80J J3JJewt(- STATE OF COUNTY OF On this. the l') ~ay 0[ July. 1997. be:o"e me the undersigned of~iC'ef., pe:,'sona1.:y a?pea:-ed DAVID AL~EN SNIVELY, JR., known to me, (or sat~sfactorily p~oven) to be the person whose name is subscribed to the i'J.:.c:-.in i:1st~urnen':.. and ack:1owledge that he executed the same Eer the purpose cherein co~ta:..r.ed. IN WITNESS WHE?80F, r hereun=c set m(JJ:::tJljt Notary ?ublic ~ly com",ission expires, lltur;. 1a . '" '\ r I ! i 'I II I i II II 11 ,I tS r [ <; ~. +- ~ ~ - ~~ ~ \ ~ _ ..~O" .~, . EXHIBIT B . ., ': -.- . HAMPDEN CENTER, INC. 444 Park Avenue South Suite 302 New York, NY 10016 Statement Account: HAMPDE" 802. SIGN10 Date: 02/01/00 SIGNS NOW (0 & 0 DEVELOPMENT) 4910 Carlisle Pike, Suite 102 Mechanicsburg, PA 17055 Payment: )at.. Description Charges Payments Balance Balance Forward 0.00 I 39/01/98 August Rent (Late Charge) 50,00 5000 10/01/98 September Rent (Late Charge) 50,00 100.00 I 11/01198 Mnual Promotion Fee 720.00 820,00 I 12101/98 Nov, Late payment 50,00 870.00 01/01/99 December Rent (Late Charge) 50.00 920.00 Ii 01/01199 December Rent (late charges) 50.00 970,00 jj fi 11/01/99 Rent 1,666,67 2,636.67 I' ,I 11101199 Annual Promotion Fee 720.00 3,356.67 II i, 11/01199 CAM1 Estimate (11199) 233.33 3,590.00 Ii 11/01/99 Insurance Estimate (11/99) 34.44 3,624.44 )i Ii 11/01/99 R.E, Tax Estimate (11199) 132,23 3.756.67 II 12/01/99 Rent 1.666.67 5,423,34 12101/99 CAM1 Estimate (12/99) 233.33 5,656.67 I, ::~ 12/01/99 Insurance Estimate (12/99) 34.44 5.691,11 i' 12/01199 R.E. Tax Estimate (12/99) 132.23 5,823.34 " 12/01/99 November Rent (late charge) 50.00 5,873.34 ii fi 01/01/00 Rent 1.666.67 7,540,01 U 01/01/00 CAM1 Estimate (01/00) 233.33 7,773.34 , " " 01/01/00 Insurance Estimate (01/00) 34.44 7,807.78 Ii 01/01100 R.E. Tax Estimate (O1100) 132.23 7,940.01 ! 01/01100 December Rent (late charge) 50,00 7.990,01 i; 02101/00 Rent 1.666.67 9,656,68 Ii 02/01/00 CAM1 Estimate (02/00) 233.33 9,890.01 i II 02101/00 11'Isurance Estimate (02/00) 34.44 9,924.45. fl " 02/01100 R.E. Tax Estimate (02/00) 132.23 10.056.68 I) 02/01/00 january Rent (late charges) 50.00 10.106.68 ;1 i I I , ! I I I I Current 30 Days 60 Days 90 cays Amount Due 2.116,67 2.116,67 2,116.67 3.756.67 10.106.68 '~ " . ".. -""-'I >t ,I . VERIFICATION I, David F. Lavipour, Vice President for Hampden Center, Inc., being authorized to do so, verify that the statements in the foregoing document are true and correct to the best of my knowledge, information and belief. I understand that any false statements herein are made subject to the penalties of 18 Pa.C.S.A. Section 4904, relating to unsworn falsification to authorities. HAMPDEN CENTER, Date: Z/3/OO By: Vic esident - Ii! ~1, ,1 I' " .. I. ~ HAMPDEN CENTER, INC., Plaintiff IN THE COURT OF COMMON PLEAS CUMBERLAND COUNTY, PA NO. v. CIVIL ACTION - LAW D & D DEVELOPMENT CORPORATION t/a SIGNS NOW, Defendant CONFESSION OF JUDGMENT FOR MONEY AND POSSESSION OF REAL PROPERTY CERTIFICATE OF RESIDENCE I, Mark W. Allshouse, Esquire, hereby certify that the business address of the Plaintiff is: Hampden Center, Inc. c/o Lavipour & Company, LLC 444 Park Avenue South SuitEi 302 New York, NY 10016 I, Mark W. Allshouse, Esquire, hereby certify that the last known address of the Defendant is: D & D DevEilopment Corporation t/a Signs Now c/o David Allen Snively, President 4910 Carlis1e pike Suite 102 Mechanicsburg, PA 17055 Date: 2/3/00 V\(\i Mark W. Allshouse, squ~re Atto ney ID #78014 219 gine Street Harri~burg, PA 17101 (717) 236-5000 I L I ~.. , "'" . l ~: " .~, . .. . , rttJ ~ :u 3: (l ~z: (l H en ""- 1Al00O~Z ..., 3:(l PiR' ~ZZ, tI1 00 ttJ t"1AlJ,j tDl-j :c 'i:I ZZ ootJ <: tJ ><:1Al t<:!:I: . 1AlJ,j H IAl ttJ 00 :U1Al 3, ::r: ><:1Al GltJ Z :u~oo t" :;. tI1 00 Zt<:! o H ~g 0 '" Zr- ttJ~~ 00<: (l ttJ 0 ~ i' IAl IAl IAl Z '" )> Zt" ~ :UttJ :u ~ '" (j~ 0 '" 00 1-j00 (ll-j '" " .' - 0 :u :E:ttJ IAl ><:ooJ,j 0 w ~ OttJo '" 0 '" - 3: :u 00 ~}iJ '" "'- i# Z~ ttJoJ,j t<:! - t<:!y 0 < IAlOO tJ ttJ 0 . 0 em Z g;a I-j 0 . ~ :uOOy CD I-j I-' H ><:(l S' ti I-jlAla H> Pi Z HGl - 0 '" tI1 ><:00 CD (l 1-'- (l 03: 3: r' OOGl ::s 0 ::s I ZIAl '03: 0 H3: P. :u rt - Z ~o OIAl Pi ttJ 1-'- Ol-j Z 'i:I Zz ::s 0 H> J,j (j :ul-j rt ~ H> J,j '0 t<:!J,j 0 t" I-j :u IAl . E::Q H ~ Z ~ ~ f{ ~ 0 0 c.,:, :t. c:- ,0 0 ;0 ? "TJ -0-- ..., ~ (nO) f'l1 ::-:1 2n1 () B ~, o:J i-'::~;::;~J Zf~~' ~ ~ 0?l:: , . '1(7.' ~ rs ~,~~ ..... }"--.- Kl7 (~)(L 2 ::r;: -0 , ~~' ",. :~~~ :B ~ ~ ~ ~ >.......' ~~'" ( ) c:- !f? ol:rl ~ ~ );i (;:, :0 J -< ~!>'>l"=- - - ~~ ~- ...J,,,,,"',. IN THE COURT OF COMMON PLEAS OF CUMBERLANO COUNTY, PENNSYLVANIA CIVIL DNl510N PRAECIPE FOR WRIT OF EXECUTION Caption: vs. ( X) Confessed Judgment ( ) Other File No, 2000-679 Civil Term Amount Due 1 3 , 323 . 36 Interest Atty's Comm Costs Hampden Center, Inc., plaintiff D&D Development Corporation t/a Signs Now; Defendant TO THE PROTHONOTARY OFTHE SAID COURT: The undersigned hereby certifies that the below does not arise out of a retail installment sale, contract, or account based on a confession of judgment, but if it does, it is based on the appropriate original proceeding filed pursuant to Act 7 of 1966 as amended; and for real property pursuant to Ace 6 of 1974 as amended. Issue writ of execution in the above matter to the Sheriff of Cumberland County, for debt, interest and costs, upon the following oeseribed proper~1 of the detendant(s) AIl property located in space #B2, Hampden Centre Shopping Center, 4830 Carlisle Plke, Mechanicsburg, PA . . PRAECIPE FOR' ATrACHMENT EXECUTION Issue writ of attachment to the Sheriff of ' County, for debt, interest and costs, as above, directing attaehmeritagai8st the above-named garnishee(s) for the following property (if real estate, supply six copies of the description; supply four copies of lengthy personalty list) and all other property of the defendant(s) in the possession, custody or control of the said gamishee(s). o (Indicate) Index this writ against the garnishee(s) as a lis pendens against real estate of the defendant(s) described in the attached exhibit. Date July 14, 2000 Signature: Print Name: Address: ~LIAJ.~ M rk W. A11shouse.Esq. 219 Pine street Attorney for: Telephone: Supreme Court ID No.: Harrisburg, PA Hampden Center, Inc. (717) 236-50QO # 78014 (over) ~lIl~fl!MWlill:II.Oiil:iti."ii'I#$ilill'Ji!.j;fJ~~"'''''''~''">.. iit.~~! .- .'- (') 0 C) C 0 '''il ~ .....~ 5: L _::;J -""'Cf' ~ 0 ~ -tt .... III mnl ;- . ';'O~!i 2:1.3 i'" (] .... 0 ZC' 8 6 o (9 0 C/)",i=-~ .t':~ f:t. 0 -<L~ o , () ~c ,g 2;'c- ~: ~ -.0 r I I I =c; If? f) ~u Pc ~ .... ~ () ::::> '.J ~ ... ... ... ~F m .. ~ ~ 0, ft ~ ~~ .... - ~ . , -, AA ., SHERIFF'S RETURN - GARNISHEE CASE NO: 2000-00679 P COMMONWEALTH OF PENNSLYVANIA COUNTY OF CUMBERLAND HAMPDEN CENTER INC VS D & D DEVELOPMENT CORP ET AL And now MICHAEL BARRICK , Sheriff or Deputy Sheriff of Cumberland County, Pennsylvania, who being duly sworn according to law, at 1355:00 Hours, on the 31st day of July , 2000, attached as herein commanded all goods, chattels, rights, debts, credits, and moneys of the within named DEFENDANT D & D DEVELOPMENT CORPORATION T/A SIGNS NOW , in the hands, possession, or control of the within named Garnishee HAMPDEN CENTRE SHOPPING CENTER 4830 CARLISLE PIKE MECHANICSBURG, PA 17055 Cumberland County, Pennsylvania, by handing to MICHAEL NAWA, MAINTENANCE SUPERVISOR personally THREE tTue and attested copies of the within WRIT OF EXECUTION and made the contents thereof known to His . Sheriff's Costs: Docketing Service Affidavit Surcharge So answers: .00 .00 ,00 .00 .00 .00 r:~-~<:~ R. Thomas Kline Sheriff of Cumberland County oo/oo,~~~~ r Depu eri me ~" -; , " - -- '""~....-: R. Thomas Kline, Sheriff, who being duly sworn according to law, states this writ is returned STAYED. Sale of personal property held as advertised on November 1, 2000 at 2:00 pm at 4830 Carlisle Pike, Space B-2, Mechanicsburg, Cumberland County, Pennsylvania. All personal property sold as one 10t to Attorney Mark Al1shouse on behalf of the plaintiff, Hampden Center, Inc., for the sum of $1.00, it being the highest bid. Sheriff's Costs: Docketing Advertising Law Library Prothonotary Service Garnishee Surcharge Levy Poundage $18.00 10.00 .50 1. 00 14.88 9.00 10.00 20.00 1. 67 $85.05 Advance Costs: Sheriff's Costs: $150.00 85.05 $ 64.95 REfund to atty on 2/27/01 SOA~ ~ r f~ c.(# R. Thomas Kline, Sheriff Sworn and subscribed to before me This ;Lgl.:: day Of~~ A.D.CJ.r. 0 flu.Rj,., A~1 Prothonotary BY g~1ftj vvtJi{ D put Sheriff 2001. 2: t;; ..;, ~ :-1' ....! ~. ~ 8 L I lOr JLlil: - ;riJ .:Ui{i:i"~;. :,[ _. il'j - :;.:1:10 \ ,6'> tk.... ~ 16'1"1 ,) jOf)1 f \;VU/ -MIRI& . ._., "-tiltllli:1M""~Il!!/\~~IIi>iIIi5_'- .~ ~,~'~~_'VS" , ,~ ~_~'m 'ibi . WRIT OF EXECUTION and/or ATTACHMENT COMMONWEALTH OF PENNSYLVANIA) COUNTY OF CUMBERLAND) NO. .00-679 Civil Term CIVIL ACTION - LAW TO THE SHERIFF OF Cumberland COUNTY: To satisfy the debt, interest and costs due Hampden Center, Inc. PLAINTIFF(S) from D&D Development Corporation t/a Signs Now, 4830 Carlisle, Pike, Mechanicsburg, PA 17055 DEFENDANT(S) (1) You are directed to levy upon the property of the defendant(s) and to sell All property located in space #B2, Hampden Centre Shoppinq Center, 4830 Carlisle Pike, Mechanicsburg, PA 17055 (2) You are also directed to attach the property of the defendant(s) not levied upon in the possession of GARNISHEE(S)as follows: and to notify the garnishee(s) that: (a) an attachment has been issued; (b) the garnishee(s) is/are enjoined from paying any debt to or for the account of the defendant(s) and from delivering any property of the defendant(s) or otherwise disposing thereof; (3) If property of the defendant(s) not levied upon an subject to attachment is found in the possession of anyone other than a named garnishee, you are directed to notify him/her that he/she has been added as a garnishee and is enjoined as above stated, % L.L. Due Prothy Other Costs $.50 $1.00 Amount Due Interest Atty's Comm Atty Paid Plaintnf Paid $13,323.36 $41 Of) Date: ,T1l1 Y 14, 2000 Curtis R. Lonq Prothonotary, Civil Division ...by: L20/Y'R J 2. 7f;(77/UYt, ;- Deputy REQUESTING PARTY: Name Mark W. Allshouse, Esq. Address: 219 Pine Street Harrisburq, PA Attorney for:Plaintiff Telephone: 717-236-5000 Supreme Court 10 No. 78014 _.,~<. ~ ,~. " ^ ' .