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HomeMy WebLinkAbout09-6556IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA PR CAPITAL CITY LIMITED PARTNERSHIP, formerly named Crown American Capital City Associates, L.P. CIVIL DIVISION No. (5/ _ G sslo Plaintiff, V. JOHN CRAIG FASHIONS, INC., t/a John Craig Fashions, COMPLAINT IN CONFESSION OF JUDGMENT FOR EJECTMENT Filed on Behalf of the Plaintiff, PR Capital City Limited Partnership Defendant. This Complaint concerns real property known as: Store No. 432, Capital City Mall Camp Hill, Pennsylvania Counsel of Record for this Party: Stephen S. Zubrow Pa. I.D. No. 43523 Darlene M. Nowak PA ID No. 37093 MARCUS & SHAPIRA LLP Firm No. 145 One Oxford Centre, 35`b Floor 301 Grant Street Pittsburgh, PA 15219 (412) 471-3490 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA PR CAPITAL CITY LIMITED PARTNERSHIP, formerly named Crown American Capital City Associates, L.P. Plaintiff, V. JOHN CRAIG FASHIONS, INC., t/a John Craig Fashions, CIVIL DIVISION No. 6) g _ b 5-s--6 Gu?l ?u? Defendant. COMPLAINT IN CONFESSION OF JUDGMENT FOR EJECTMENT 1. Plaintiff, PR Capital City Limited Partnership, is a Pennsylvania limited partnership, with an address of c/o PREIT Services, LLC, 200 South Broad Street, Third Floor, Philadelphia, PA 19102. PR Capital City Limited Partnership is the owner of the Capital City Mall in Camp Hill, Pennsylvania. PR Capital City Limited Partnership is the successor by name change to Crown American Capital City Associates. 2. Defendant John Craig Fashions, Inc., trading as John Craig Fashions, is a corporation doing business in Pennsylvania. Defendant's most recent address of record for purposes of notice is 5832 Barnsley Drive, Harrisburg, Pennsylvania, 17111-4756. 3. On September 23, 1997, Crown American Properties L.P., predecessor to Crown American Capital City Associates, L.P., predecessor in interest to Plaintiff, entered into a lease for unit No. 432 at Capital City Mall, Camp Hill, Pennsylvania (the "Lease"). The Lease was amended by means of a Lease Amendment dated June 26, 2003 between Crown American Capital City Associates, L.P. and Defendant. Crown American Capital City Associates L.P.'s name was later changed to PR Capital City Limited Partnership. 4. The original instrument evidencing the obligation on which judgment is herein confessed, or a photostatic copy or like reproduction showing the signatures of Defendant, which is a true and correct reproduction of the original, is attached hereto and marked as Exhibit 1, and is incorporated herein by reference. The instrument is a Lease dated September 23, 1997. A confession of judgment for possession of the leased premises is warranted by Section 19.06(b) of the Lease. 5. Section 19.06(b) provides that, whenever the Lease shall be terminated or cancelled by reason of breach of any provision thereof, "it shall be lawful for any attorney as attorney for Tenant to file an agreement for entering in any court of competent jurisdiction an amicable action and confession of judgment in ejectment against Tenant and all persons claiming under Tenant for the recovery by Landlord of possession of the demised premises." 6. Defendant has breached the Lease by failure to make timely payment of rent when due. On March 30, 2009, Defendant was given written notice of breach for failure to pay amounts due and owing in the amount of $51,450.64. Exh. 2. Defendant did not pay the arrearage nor did Defendant make satisfactory arrangements to pay off its arrearage in full. 7. Section 19.01 of the Lease provides that the following shall be deemed an "Event of Default": "the failure by the Tenant to pay Minimum Rent and/or Percentage Rent and/or Additional Rent or any installment or year-end adjustment thereof if such failure continues for ten (10) days after written notice thereof by Landlord to Tenant. 8. Plaintiff avers that Section 19.06(b) of the Lease authorizes the entry of judgment for ejectment and for possession of real property after an Event of Default. An Event of Default has occurred under the Lease in that Defendants have failed to make payment in full of rent and other charges which were due for the months of May 2008 through September 2009. Plaintiff gave written notice of the failure to pay on, among other dates, August 21, 2008 and May 30, 2009, and more than ten days have passed after Defendant was sent notice of its failure to pay without making the missing payments. 9. Plaintiff terminated the Lease on September 18, 2009. 10. Plaintiff avers that judgment on the Lease is not being entered by confession against a natural person in connection with a consumer credit transaction. The underlying Lease of real property at Capital City Mall, Camp Hill, Pennsylvania, was made as a commercial transaction. 11. Judgment has not been entered on the Lease in this or any other jurisdiction. 12. The property in question ("Leased Premises") is described as follows: Room 432 in Capital City Mall, located on the West side of Hartzdale Drive between Zimmerman Drive and Capital City Mall Drive, and bounded by U.S. Route 15 on the West and North. WHEREFORE, Plaintiff P.R. Capital City Limited Partnership demands judgment in ejectment against all persons in possession of the Leased Premises including but not limited to John Craig Fashions Inc. t/a John Craig Fashions. Respectfully submitted, 2S Dated: September 1& 2009 farlene en S. Z row M. Nowak MARCUS & SHAPIRA LLP One Oxford Centre, 35th Floor 301 Grant Street Pittsburgh, PA 15219 (412) 471-3490 Counsel for Plaintiff, PR Capital City Limited Partnership IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA PR CAPITAL CITY LIMITED PARTNERSHIP, formerly named Crown American Capital City Associates, L.P. CIVIL DIVISION No. & q , & S s- 6 Plaintiff, V. JOHN CRAIG FASHIONS, INC., t/a John Craig Fashions, Defendant. CONFESSION OF JUDGMENT FOR EJECTMENT 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 ejectment in favor of the Plaintiff and against the Defendants for possession of the real property as follows: Room 432 in Capital City Mall, located on the West side of Hartzdale Drive between Zimmerman Drive and Capital City Mall Drive, and bounded by U.S. Route 15 on the West and North. Dated: September, 2 s, 2009 orney or Defendant 71 1 737 0607 L UNSWORN VERMCATION UNDER 18 PA. C.. 8 4904 The undersigned hereby states subject to the penalties of 18 Pa. C.S. § 4904 reganling unworn falsification to authorities as follows: I am a duly authorized representative Of the Plaintiff identified in the attached complaint in Confession of Judgment and that averments of fad contained in such Complaint are true and correct to the best of my knowledge, infoirr.•ation and belief. -it Dated: 1. 13 • , 2009 By- .?? ----- PRETT SERVICES, LLC Agent for PR CAPITAL CITY LIMITED PARTNERSHI? 1 waimIn.¦r*i ae ne t QeBu THIS INDENTURE OF LEASE, madt: on theZ34Aay of 4w e`,7 11997, by CROWN AMERICAN PROPERTIES, L.P., a Delaware Limited Partnership, by CROWN AMERICAN REALTY TRUST, as General Partner, with its offices located at Pasquerilla Pima, Johnstbwn, Pennsylvania 15907 (hereinafter called 'Landlord"), and JOHN CRAIG FASHIONS, INC., trading as JOHN CRAIG FASHIONS, with an address at 4808 Windsford Road, Harrisburg, Pennsylvania 17109, (hereinafter called "Tenant"), WITNESSRTH: A. Leased:PiseS. Landlord hereby leases to Tenant and Tenant hereby rents from Landlord the store premises (hereinafter' referred to as the "'premises", "leased premises" or "demised premises") outlined in red on the plan attached as Exhibit `B" hereto, now erected or hereafter to be erected as mart of a shopping center to be initially known as Capital City Mail, 3505 Capital Mall Drive, Camp Hill, Pennsylvania, (hereinafter referred to as the "center, "Shopping Center" or "entire premises" and Initially comprising the area shown in Exhibit 'B"), the demised premises being measured and described by the following dimensions which are measured from the outside building tines of each wall of the demised premises or, in the case of those walls separating the demised premises from other stores In the Shopping center, from the center lines of such wails: (ROOM J432) Front: Thirty Feet, Seven Inches (3(Y-71 -IRREGULAR, Depth: Sixty-Nine Feet, Eight inches (69'-8") - IRREGULAR, Total Area Two Thousand (2,000) Square Feet, together with the right to the non-exclusive use in common with otters entitled to use same of all such automobile parking areas, driveways, malls, courts, corridors and footways, loading facilities and other facilities as may be designated by Landlord from time to time as more fully set forth in and subject to the terms and conditions of this Indenture of Lease and the Lease Agreement thereinafter collectively referred to as the "Lease'), and to such rules and regulations for the use thereof as maybe prescribed' from time to time by the'Landlord- 6, Term_ The term of this Lease shall be for a period of six t6) years beginning on the "commencement date" as established by Section 1.01(a) of the Lease; provided, however, Tenant's fixed minimum rental and other charges will commence on the earlier to occur of. (a) the date upon which the Tenant opens Its premises for business or (b) Niruernber 1,_1997, whether Tenant is open for business or not. Upon the commencement of the term of this Lease, the Lease dated September 25, 1991, and all Amendments thereto, by and between Crown K -AK 431T ?. American corporation, predecessor4n4mrerest to Landlord, and Tenant for Room #425, In the Shopping Center ("Existing Lease') shall terminate and become null and void, provided that Tenant shall pay all sums due or accruing under the Existing Lease through its Termination Date. C. Fixed (minimum Rent. Tenant shall pay to Landlord a guaranteed annual minimum rent ("Fixed Minimum Rent") as follows: The Fixed Minimum Rent for each of the following periods during the term of this Lease shall be Time Period Annual Amount Atnottqt Years 1 - 3 $48,500.00 $4,041.67 Years 4 - 6 S50,500.00 S402W.34. Each such installment shall be due and payable on or before the first clay of each calendar month In the term of this Lease; In advance, at the office of Landlord or at such other place as may be designated by Landlord from time to time, without any prior demand therefor and without any deduction or setoff whatsoever, the first Installment to be paid on the commencement date whether or not the commencement date is the first day of a calendar month, in the event that the commencement date of the term of this Lease shall be a day other than the flrst day of a calendar month, TenanCs first payment of Fixed Minimum Rent shall be prorated for the fractional month between the commencement date and the first day of the first full calendar month in the term hereof, on a per diem basis (calculated on a thirty day month). D. Percentage Rent. in addition to the Fixed Minimum Rent as aforesaid, Tenant, in accordance with Section 2.01 of the Lease, shall pay to Landlord, as additional rent hereunder (hereinafter referred to as "Percentage Rent"), and as part of the consideration of the aforesaid demise, for each lease year In the terry; of this Lease a sum equal to six percent (6%) of that portion of Gross sales (as defined in Section 2.02 of the Lease) during such lease year which is in excess of the applicable, Percentage Rent Gross sates Base. The Percentage Rent Gross Sales Base for the following periods within each lease year shall be: Time Period Percentage Rent Gross Sales Base Years 1 - 3 S750,000.00 Years 4 -6 $850,400.00. E. use of Premises. Subject to the provisions of Article V of the Lease', Tenant shall use the leased premises solely for the purpose of conducting the business of: the retail sale of fashionable men's clothing at mid-to-better price points, Including suits, casual and sportswear, both regular and big and tall sizes and directly related accessories, such as shoes, belts and tie clips, and for no other purpose whatsoever. « R ' * - SEEPAGE 2(2) Cap john (INDENT.01'.97) In addition to the foregoing, and as an Incidental use only (°incidental" being defined as the sale and display of the following two categories within the applicable limits herein provided), Tenant may also sell cologne and men's jewelry, so long as said categories d:: not exceed, in the aggregate, (i) five percent (5%) of Tenant's Cross Sales (as herein defined), and (11) so long as the floor area devoted to cologne and men's jewelry does not exceed an amount equal to ten percent (TC%) of the floor area of the dewilsed premises. eta) Cap-john uNDUNT.br.v ) I 1 ................ F. Common Area PaYttleli - on the first day of each calendar month, Tenant shall pay to landlord, in - advance, without demand and without any setoff or df luction, as a minimum payment on account of Tenant's proportionate share of the operating Costs (as defined in Article VII of the Lease) an amount never less than one-twelfth (1112th) of the product obtained by multiplying the square feet of floor area of the demise, premises by the sum of f=ive Dollars and 001100 (SS,OQ). If the commencement date hereof shall not be the first day of a calendar month, Tenant's payment of its proportionate share of 0,perating Costs for the fractional month between the commencement date and the first day of the first full calendar month in the term shall be prorated on a per diem basis (calculated on a thirty day month) and shall be paid together with the first payment of Fixed Minimum Rent. in no event shall 'tenant's payments hereunder exceed D.5.00/per sq. ft. for the first 41St) twelve (12) months Of the term of this Lease, and thereafter shall not be increasedmore than six percent (6%) over the amount paid the Immediately preceding twelve (12) month period. 04 TetlMt'S AHOw2nre. The Landlord shall reimburse the Tenant on account of the cost of construction of the items designated as Tenant's Work in Exhibit "A", attached hereto, an allowance which shall be the lesser of Tenant's actual cost of construction, or„$3a.000.00, subject to the terms and conditions set forth in said Exhibit "A'. Notwithstanding anything contained in Exhibit "A" to the contrary, Tenant is not responsible for the payment of any Landlord-provided Construction items, but is responsible for the payment of any service changes, as provided In Exhibit'A". ktQ Re?rti6uRSC h6e?f?d?Oda. w;tjl4,A1 i4d.owa rjq,viaryr7re?- fie, jcr?/d/? Reyui rea?,t. . H. security Deiaasit. NOT AppUCARLS / 1. TIC Rent. As an initial estimated payment on account of Tenant's proportionate snare of taxes as defined in Article It of the Lease, Tenant shali'.pav monthly, In advance, as additional rent, together with each monthly Installment of fixed minimum rent, without demand or setoff, an amount equal to one-twelfth (1112th) of the product obtained by multiplying the floor area of the demised peen-lw= by the sum of a?1. 88 J. mark Ming_ nd2Advertlsinf - Tenant covenants and agrees to become a member of any marketing Fund formed by the Tenants of the Shopping Center and approved by Landlord, and to maintain such membership throughout the term of this Lease. Tenant further agrees to pay as its share of the cost of the activities conducted by such association the sum of S,5_4 per Vear for each square foot of floor area contained in the demised premises, subject to Gnl adjustment, as provided In Article XV of the Lease. in no event shall Tenant's payments hereunder exceed ?501per sq. ft. for the first (15h twelve (12) months of the term of this lease, and thereafter shall not be Increased more than six percent (6%) over the amount paid the Immediately preceding twelve (12) month period. C-nr,fi*n (INDENr_oT.97) 3 Tenant shall also pay to Landlord as its contribution to the Advertising Program for the shopping Center the sum of -$.50 per year for e;!ch square foot of floor area contained in the demised premises. Tenant's Advertising Program payment and Marketing Fund payment shall be made in monthly installments, together with payment of Fixed Minimum Rent, and said Advertising Program payment Shall be subject to CPI adjustment in the same manner as Tenant's Marketing Fund payment as provided In Aj :tcle XV of the Lease. In no event shall Tenant's payments hereunder exceed_$.50/per sq. ft for the first (111) twelve (12) months of the term of this Lease, and thereafter shall not be increased more than six' percent (6°%) over the amount paid the immediately preceding twelve (12) month period. K. Proportionate cost of sec TItY. in the event Landlord elects to provide security for the Shopping Center, Tenant shall pay monthly, in advance, as additional rent, together with each monthly installment of Fixed Minimum Rent, without demand or setoff, an amount equal to one-twelfth (V12th) of the product obtained by multiplying the 1. In no event shall floor area of the demised premises by theamount of $-_4 Tenant's payments hereunder exceed S4$/per sq. ft. for the first Hul twelve (12) months of the term of this Lease, and thereafter shalt not be Increased more than six percent (6%) over the amount paid the immediately preceding twelve (12) month period; L. e e :Documents, in addition to the Indenture of Lease and the Lease Agreement, tiie following are attached to the Lease and are hereby incorporated in and made part of the Lease as fully as though set forth at length In the Lease: Rider, If any, Exhibit "A", Exhibit "A-1", Exhibit "B', Exhibit "C" and Exhibit'D". IN WITNESS WHEREOF, the parties hereto, Intending to be legally bound hereby, have caused this tease to be duly executed the day and year first above written. (Corporate seal) CROWN AMERICAN PR&AR WS, L.P. A D"WAlllta UNLIT II2SHIP BY CROWN Al1AER1 REALTY TRUST AS GENERAL PA ATTEST- U L Rona d P. Rusinak secretary (Corporate Sean E A71 TES . cretary ay: T Ste enson ecu a Vice-President JOHN CRAIG FASHIONS, INC., T/A JOHN CRAIG FASHIONS )0 By: President Cap-john (]NDL'KT.OP.97) 4 RIDER 1. Aooh:aaa. In the event that (i.) J. C. Penney or Hechts department store fail ra operate, at the Shopping Ceater for a Donut ve twelve (12) month period, or (ii) the oeoupaacy level of the Shopping Center, excepting Separately Assessed Premises, halls below sixty percent (60%) occupancy, ("Cessation Pcriod'?, then in either event, Tenant shall pay to LatelMord, in lieu of Fixed Minimum RAnt, a percentage rein (hereinafter referred to as the "Inbrrim Renee each month within fifteen (0) dop after the end of each month in an amount equal to six peroent (6%) of the m*tttLly Gross Sales (as: the term "Gross Sales" is defined in Section 2.02 of this Lease) from all business conducted on the dumisod premises by or under Tenant. (a) Notwithstanding anything set forth herein to the contrary, the payment of Interim Rent shall ere in addition to, and not in lieu of, the minimum payment on account of Tt n*Ws proporrtionMe sham of the Common Area Payment as set forth in Paragraph "F"' of the Indenture, tl'te estimated payment on account of Tenautt's proportionate share of Taxes as sex forth in Paragraph "r of the indenturc, the Merchant's Association/Advertising assessments as set forth in Pwagaph "Y of the Imtcntur1% Tenant's prapoitiouste cost of Security as set forth in Paragraph "K" of the Indenure and any other charges due and payable, undo' the terms of this Lease. (b) Notwkhaar?dinS awything sa forth in Section 2.43(a) of this Leaso to teen contrary, Tenant agrees that, no heat than the Oeenth (i 5m) day after the end of each calendar month during the Cessation Period, Tenaut shah submit to Landlord an itemized and Kxw*w written statement signed by Teuant, its duly authorized officer or duly authorized representative. reflecting the bull mount of Gross Sales wade during the preceding calendar month. (c) Tenant's right to pay Interim pent shall continue until the earlier to occur (i) Landlord has executed a lease, sublease, assignment or other instrv&omot for a replacement tenant to occufy under a single trade name at least e0ity percent ($0°/.) of cite space each department store vacated; or (u) The occupancy level of tho small shop portion of the Shopping Coot exceods sixty percent (601%) occupancy; or (iii) Tenant it in default under this Lease. 2. Tgnartl'a liieki of Ten ipalign. Tenant shall have the option to terminate this Leasc in the event that: (a) Both J. C. Penney or Becht dcpaatwem stores have failed to operate at the Shopping Caller for a Consecutive twolve (12) month period, or the, OccapaMY level of the small shop portion of the shopping Center is below the sixty parent threshold for twelve, (I2) oonseentivo months, and I (b) By the end of the twelve (12) month period, a lease, sublease, assignment or other instrument has not bow exeottted by Landlord for a replacement tenant to occupy under a single trade name at lease eighty (SO%e) of the space each department store vacated, and (c) Temt is not in default at the time notice of termination is given or on the date the termiMion is effective. Tenant shall notify Landlord in writing of Tenant's eloction to termiinatc the Lease no later than sixty (60) days after the expiration of the twelve (12) month period, and such termination shall be effective on the last day of the second (2`) month after notice has been given. 3. j3elay In Tpraover. It is understood and agreed that Tenant shall have a period not to exceed sixty (60) days following turnover of possession of the demised premises to Tenant in order to prepare the same for occupancy. In the event that there is a delay in die turnover of possession of the demised premises to Teront due to the existing tenant Gertrude Hawk Chocolates not vacating the demised premises in a timely fashimt, and if ss a result of said delay Tenant hereunder is prevented from moving into the demised premises to cmplete its work, then in such event there shall be a oorresponding May in the commenc aunt of the team of this Lease. In such an event, the Term Commencement Date shall be deemed to have occurred on the earlier to occur of (i) sixty (60) days following turnover of, osscssion of the demised premises to Tenant, or (ii) the date that Tenant opens for business at thedemised premises- IWCx TO LEASE AGNT)"i _ ARTICLE I 1 Section 1.01 TERM Commencement of the Term .................... Page ARTICLE II Section 2.01 RENT Percentage Rent .............................. ........... ....... 1 2 Section 2.02 ......... Gross Sales Defined ....................................... 2 2.03 Percentage Rant Statements and Payments .......... ......... .... 3 04 on 2. Section .... Taxes ........................ ............................. 4 Section Section 2.05 ... Additional Rent... .....,,........ ... ............................. ARTICLE Ili 8=5 OF ACCOUNT AND AUDIT 5 Section 3.01 . . .... ............... Tenantls Records . ................... ? • 5' Section 3.02 . ....... .. .... Audit ..................................... ............ ... ARTICLE IV CONSTRUCTION Or LFASED PREMISES • •• Section 4.01 Construction by Landlord ....................................... : . . 5 Section 4.02 Tenant's Improvcwente end Fixtures ....................................... ......... 6 Section 4.03 Finencing........................... ............................ 6 Section 4.04 ...... Excuse of Performance........................................... ARTICLE V CONDUCT Of BUSINESS Section 5.01 ........ List of Premises............................. •• 7 Section 5.02 ............. . Storage.. ...., • ....... ........ .... .. ....... 7 Section 5.03 ,.•.•• Additional Use of thePromises ..................................... a 5.04 Section Rules end Regulations.......... . ... ARTICLE VI GRANT OF CONCESSIONS . 8 Section 6.01 ..... ...... ................... .. Cooditione to Grant...................................................... VII t AR COMMON AREAS 9 e 7.01 Section Definition; Control................ .. ,. .. ? Y Section 7.02 .................. . ..... ..................... . Parking Facilities. 9 Section 7.03 Roof, Malls, Changes and Adtfitions to Center. •.. ................ .... .. . Section 7.04 . . Right to Relocate ................................................ ... .. ..... to Section 7.05 Expenses.... .... ... .., ........ .. ..•• ..... ... . .. Section 7.06 . . Common Area P*yrent.................. .......... ... 11 Section 7.07 . Proportionate Cost of Security.. .. ............................... ARTICLE VIII SIGNSI Il1AiIt01 CANOPIES$ FIXTURESI ALTERA710N5 12 Section 8.01 Signs, Awnings and Canopies................................................ ... ............ •• ..... . 12 Section 6.02 Property in Demised Premises............................................. • 12 Section 8.03 ImproveKenta end Alterations... ..........••••••••••••••••••••••••......• MAINTEMANCE AND REPAIRI SURREWR OF CEASM PREMISES ARTICLE IX Section 9.01 Repaire end Maintenance by Tenant .............. .......................... . . 13 13 section 9.02 .... . Structural Repairs ..................... a......... ......... ......... . 14 Section 9.03 Surrender of Prerises.......... 0......................................... ARTICLE X VIDENNIfICATIOMI SUBROGATION 14 Section 10.01 ................... Indemnification and Waiver of Clsta ................... ARTICLE XI INSURANCE . 15 Section 11.01 1wran0e1 ......... . . .... .....I.. ............................. IS Section 11.02 . Insurance Provisions. .... ....... ............................. . ... 15 section 11.03 Effect on Insuranes........................................... ••••'•..••.. ARTICLE XII UTILITIES 16 Section 12.01 Utilities ............................... ........ ...................... 16 Section 12.02 Application for Utilities.. .................................. . 36 Section 12.03 Operation of Meeting and Air-Conditioning................................ ........... 16 Section It.04 Utility CMrgo Defined .................................... .. ARTICLE XIiI . .. esio EI CERTIFICATtI SUBORDINATION; ATTORNI£Mi . 16 Section 13.01 . .. .......... Execution of Estoppel Certificate.... ................ . 17 Section 13.02 Failure to Execute Estoppel Certificate ................................... ... 17 Section 13.03 Subordination and Attornment................. .......................... ARTICLE XIV ASSIGNMENT AND SUBLETTING 17 Section 14.01 Assignment and Subletting......................... ......... .... . i8 Section 14.02 Application to Assign or Sublet ................... ....................... .. . 18 Section 14.03 Copy of Assignment or Sublease .................... . .................... MERCHANTS' ASSMIATtON= PROMOTION FUDDI ADVERTISING ARTICLE XV Section 15.01 Merchants' Association, Promotion Fund and Adverti sing .................... 19 ARTICLE XVI DESTRUCTION Of LEASED PREMISES ... 20 Section 16.01 Total or Partial Destruction ...................... ..................... 20 Section 16.02 Partial Destruction of Shopping Center ............ ......................., ARTICLE XV'II EMINENT DOMAIN 21 . Section 17.01 Total Condemnation ........ ............. •.......... ... .. ••••••.... ... Section 17.02 Partial Condemnation.. ..... .. ..., ...... 21 Section 17.03 .. Partial Condemnation of Shopping Centsr......... •... ......... . .... 21 . Section 17.04 Landlord's Damages ................ ..... •• . ••••••••• .... 21 Section 17.05 Tenant's Damages ....... ......................... ..... ............. ARTICLE XVIII BANKRUPTCY OR INSOLVENCY 22 Section 18.01 . ..... Bankruptcy or Insolvency............... . .................... ARTICLE XIX EVENTS Of DEFAULT; LAND'LORD'S REMEDIES .. 22 . ' Section 19.01 Events of Default......... ..... ....... .. . .. ,.. ... .. , 23 . Section 19.02 Deliberate Events of Default .................... . ••• ............ .... 23 ....... . Section 19.03 Termination........ ...................... . ........... ... 23 Section 19.04 Right of Possession ............................. ..•••• ••• ••••. 23 Section 19.05 Additional Remedies of Landlord ................ -•• •• ... 20 Section 19.06 Confession of Judgment... ......•-•••••••• •••..•• .... 25 Section 19.07 Waivers.. ..................................... _ . ..... .. ARTICLE XX MISCELLANEOUS 25 Section 20.01 Access by ...... 11 ....................... . •.• .. .... . 25 5 Section 20.02 holding Over..................................... .... ........................ ..................... ...... ..• .. 2 Section 20.03 Successors ....... ................... ....... ................... . .... 26 Section 20.04 Quiet Enjoyment .................................. ..................... 26 Section 20.05 waiver: .... .. .. ...... ......... ? ? ? ? ... ... .......... 26 .. Section 20.06 ................................. Usa Custom end .......... tion f S i . ... .......... ......................... .. ........ b Section 20.07 ............... ................ ac at s Accord and ... Covenants t' f T .. . •. Section 20.06 ........... enan s Performance o 27 ..... Section 20.09 Entire Agreement ......................... ...... ............ 4 ..... 27 7 Section 20,10 No Partnership .............. . .... ........ ......... 2 ...... $e!ction 20.11 Notices.... . ....,.•.•....... 27 Section 20.12 Captions and Index ................................ ....................... 27 Section 20.13 Tenant Definsdi Use of Pronoun .................. ........................... 21 Section 20.14 We ation of Personal Liability...... .... .. ............ .......... q t of Governmental Limitstion on Rents and Other Charges. ........ 28 Effe Section 20.15 c 8 .... Section 20.16 Partial Invalidityi Separate Covenants.......... ...................... ..... 28 Section 20.17 ....... ................. Recording....................................... 8 ...... .... .... ................ Section 20.18 Brokerage Commission..... .. .........••••• --••• ...• • •••••^' 28 Section 20,19 Construction..... ...... ........... ... ............ ........... 28 . Section 30.20 Perpetuity ...................................... .. ....................... .... 28 Section 20.21 Choice of Law... ..................... 28 ...... .... ... Section 20.22 Joint Preparation. ..... ... .... ......... ..... .. ..... 28 .. Section 20.23 Interlineetion ..... .. .. .. .................. .................... ... 29 Section 20.24 Submission of Lease to Tenant ................••. ..•....................... A . LEASE AGREEMENT ARTICLE I TERM SECTION 1.01. Commencin of the Term. (83 he "original term of this Lease (hereafter defined) and Tenant's obligation to pay rent and occupy the demised premises in accordance with the terns hereof shall commence an the earlier of the following dates (such earlier date being herein called the "commencement date"): (I)-on the date sot forth in. Section "8" of the Indenture of Lease or (2) the date on which Tenant shall first.. open the deisised premises for business, parties shall (b) At any time after the commencement date of the term of the Lease the execute and deliver to each other, at the option of Landlord, either an instrument in recordable form or a letter agreenen.t prepared by Landlord, wherein Tenant shelle (1) certify that the Lease ie in full force and effect and (2) certify the commencement and termination dates of the original term of this Lease. (c) This Lease and the tenancy hereby created shall cease and determine at the end of the term hereof without the naceasity of any notice from either Landlord or Tenant to terminate the sane, and Tenant hereby waives notice to vacate the premises and *grace that Landlord shall be entitled to the'benafit of all provisions of law respecting the summary recovery of possession of premises from a tenant holding over to the same extent as if statutory notice had been given. { d) The period commencing on the date hereof and terminating on the date immediately prior to the commencement date is hereby referred to as the "initial tern", and the period from the commencement date to the date of the expiration or earlier termination of this Lease shall be referred to herein as the "original term". For the purposes of this Lease the words "the term of this Lease" and "term hereof" shall be deemed to mean the initial term and the original term of this Laos* and all extensions or renewals: thereof. ARTICLE II RENT SECTION 2.01. Pereenta a Rent. (a) erMtsge Rent shall be payable without prior demand and without any se-boff or of deduction whatsoever at the times set forth hereinafter at the place then fixed for the payment Fixed Minimum Rent. (,b) Not Tatar then thirty (30') days after the expiration of the first lease year" (hereinafter defined) of the to am.hereof and, unless landlord exerciEea its option as set forth in the next sentence hereof, thereafter not later than thirty (30) days after the expiration of each subsequent lease year in the tere hereof, Tenant shall pay to Landlord the Percentage Rent due for the lease year in question. In the event that Percentage Rent shall be payable for any less* year in the term hereof. after the expiration of the first lease year containing twelve (12) complete calendar :months, Landlord, at Landlord's option to be exareised by written notice to Tenant, may require Tenant to pay. as additional rent, together with each monthly installment of Fixed Kiniaum Rent due hereunder coa+eencing with the first such payment due immediately after the receipt by Tenant of such notice on amount equal to one-twelfth (1/i m) of eighty percent (got) of the Percentage Rant payable for the immediately preceding lease year. Thereafter, Tenant shall continue to pay such estimated payments of Percentage Rant together with each monthly installment of Fixed Hinimum Rent due for each calendar month In the term hereof: provided, however, that the amount of such estiested monthly payments of Per"ntage Rent may, at Landlord's option, be adjusted at the expiration of tech subsequent lease year after receipt by Landlord of Tenant's statement referred to in Section 2.03(b) to on amount equal to orw -twelfth (1113th) of eighty percent (80%) of the Porcentage Rent payable for the lease year immediately preceding such adjustment and commencing with the payment of Fixed Minimum Rent due immediately after receipt by Tenant of notice of such adjustment. Tenant shall continuo to pay such adjusted amount until the next adjustment. Although estimated Percentage Rent shall be payable monthly as aforesaid, the final computation and payment shall be an on annual basis. (c) whenever used in this Lease the words "lease year" shall seen the theism (12) full calendar months of the term commencing with the first day of the term of this Least', provided the commencement of the term of this Lease is on the first day of the month or, if the Leval of We Lease commences on any day other then the first day of the month, then with the first day of the month immediately following the commencement date and mach succeeding twelve (12) month period. In the event that the first or lost lease year shall consist of lens than twelve (12) full calendar months, the Percentage Rent Cross Sales Base for such shatter lasso year shall be deemed to be that portion of such Sales Base obtained by multiplying the applicable Percentage Rent Grose Sales Bass set forth in the Indenture of Lease by a fraction, the numerator of which shall be the number of days contained in such shorter lease year and the denominator of which shall be three hundred sixty-five (365). in the event the amount of the Percentage Rent Gross Sales. Use set forth herein is subject to adjustments during the term of this Lease, and the date on which such adjustment is to occur (hareinarter referred to as the "Rental Adjustment date") is other then the first day of a lease year,' the Percentage Rent Gross Sales Base for the lease year in which the Rental Adjustment Date shall fall shall be the sue of: (a) the lesser Percentage Rent Grose Sales Base set forth in the Indenture of Lease multiplied by a fraction, the numerator of which shall be the number of days in the period commencing on the first day of the lease year in which the Rental Adjustment Date shall fall and ending on the day immediately prior to the Rental Adjustment Date and the denominator of which shall be three hundred sixty-five (365), plus (b) the greater Percentage Rent Gross Sales Base set forth in the Indenture of Lease multiplied by a fraction, the numerator or which shall be the number of days in the period commencing on the Rental Adjustment Date and ending on the last day of the lease year in which the Rental Adjustment Date shall fall and the denominator of which shall be three hundred sixty-five (365). (d) It is expressly understood and agreed that Landlord does not consider the Fixed Minimum Rent in itself a fair and adequate rental for the deaised premises and would not have entered into this Lease unless Tenant had obligated itself to pay Percentage Rent which Landlord expects to Supplement the Fixed Minimum Rent to provide such fair and adagratt rental return. iAsr"'i'F! each of at least two (2) of the first three (3) full lease years in the term hereof, Tenon not have been obligated to pay Percentage Rent in the amount as set in the Indentur se, Landlord may, at its option, (1) terminate this Lease upon written notice to Ton at any time within six (6) months after the receipt by Landlord of Tenant's annum nt of Gross Sales for such third full lease year, (or, if earlier, the due date th and this Lease shall terminate and be null and void sixty (60) days after delivery of lee; or (2) decrease the Percentage Rent Gross Sales Base set forth in Section "D" of ture of Lease to an amount equal to the Gross Sales reported by Tenant at the end o s year Immediately preceding the date on which Landlord sakes the election hereunder shall thereafter pay to Landlord Percentage Rent in excess or the decreased Per ant Gross Sales Boat for each lease year during the remainder of the term of this ncluding' the lease year during which the Percentage Rent Gross Sales Base has been SECTION 2.02. Grose Sal Dtfi ed. (a) 7words "Gross ales" as used herein shall wean the gross amount of all sales of all goods, wares and merchandise sold and 411 services performed by Tenant end/or by any subtenant, licensee or concessionaire in, at or from the demised promises (including, but not limited too catalogue sales made at or from the demised premises), -whether for cash, credit or other consideration, with such other conoide otion being determined at fair market value :and charges on all Gross Salem (without reserve or deduction for inability or failure to collecit including, but not limited to, such sales and services (1) se s result or transactions originating in, at or from the desissd premises, whether delivery or performance is made from the demised premises or from some other place; (2) pursuant to mail, telephone, telegraph, closed TV Circuit, Dial-A-Buy and other devices, automated or othervise, whereby orders are received at the demised premises at (3) which Tenant or any subtenant, licensee or concessionaire in the normal course of its business wou14 attribute to its operations at the demised premises. Gross Sales also include all deposits not refunded to purchasers. Each sale upon installment or credit shall be treated as a sale for the full price in the month during which such sale shall be made, irresps6tive of the time when Tenant shall receive payment therefor. (b) The following shell be deducted from Grose Salta if originally included therein, or excluded therefrom, as the case may be, provided separate records are supplied suppartinq such deductions or exclusions, namely: (1) any exchange or merchandise between stores of Tent whets such exchange is made solely for the convenient operation of Tenant's business and not for the purpose of consummating a sale made in, at or From the demised premises, (2) returns to shippers or manurecturars, (3) cash or credit refunds to customers on transactions otherwise included in Gross Sales, (4) sales of fixtures, machinery and equipment after use thereof in the conduct of Tenant's business in the demised premises, (5) amounts collected and paid out by Tenant for. any sales tow imposed by any duly constituted governmental authority provided such tax is both added to the selling price as a separate and distinct amount in addition to the regular price of Tenant's merchandise end paid to the taxing authority by Tenant (but not by any vendor of Tenant), (6) the amount of any discount on sales to employees, and (7), receipts from the permitted pay telephone and vending machines referred to in Section 5.03(r). No value added tax, and no franchise or capital stock tax and no income, gross receipts or similar tax based upon income, profits or gross receipts as such shall be deducted from Cross Sales, SECTION 2.03. Perc s Rent sn-s1. (m) a er au ks eta (30th) day after the end of each calendar month it the term. hereof, Tenant shall submit to Landlord on iteML2ad and accurete written statement signed by Tenant, its duly authorized officer or duly authorized representative, reflecting the full amount of Gross Sales made during the preceding calendar month. If the commencement date hereof shell not be the first day of a calendar month, the period between the commencement date and the first day of the first full calendar month in the term and Tenant's Grose Sales during such period shell be added to the first calendar month for both the purpose of the computation of Percentage Rent and the purpose of reporting of Gross Sales. (b) Not later then the date met forth in Seetlon 2,01(b) hereof, Tenant shall submit to Landlord a Complete written statement OF Tenant's Groan Sales far the preceding lease year in such - 2 - . reasonable detail as requested by landlord,_ certified by Tenant, its duly authorized officer or representetive, accompanied by a certified statement signed by Tenant's regularly engaged independent public accountant stating that the Gross Sales reported by Tenant are in accord with the amount :thereof act forth an Tenant's regularly maintained books and records. Simultaneously with the delivery of the statement referred to in the preceding sentence, Tenant shall pay to Landlord the full unpaid balance of the Percentage Rent due and payable for such lease year, if any. In the event Tenant is making estimated payments of Percentage Rent end Tenant is not then in default hereunder or otherwise indebted to Landlord, any excess of estimated Percentage Rent that Tenant may have paid for ouch lease year over the Percentage Rent actually due for such lease year shall be refunded to Tenant within thirty (30) daysi provided, if such overpayment is for the last lease year, Landlord shell not be obligated to refund to Tenant the amount of ouch overpayment until Tenant has fully performed all of its obligations under the Lease, is not indebted to Landlord and has vacated the demised premises in accordance with the provisions of this Lease. In the event Tenant is indebted to.Londlord for any reason whatsoever, Landlord may deduct such amount owed from such overpayment. (c) The sccaptonce by Landlord of'payftantb of Percentage Rent or reports thereof shall be without prejudice, and shall in no event constitute a waiver of Landlord's rights to claim a deficiency of sueh Percentage Rent or to audit Tenant's books and records as set forth in Section 3.01 hereof. (d) If Tenant shall fell to deliver such statement as required d $action 2.03(b), within the period get forth therein and such failure shall continue for ten (10) days after the date of written notice of such failure from Landlord, Landlord shall have the right thereafter to employ e certified public accountant to make such examination of Tenant's books and records as may be necessary to certify the amount of Tenant's Grose Sales for said lease year, the certification so. made shaill be binding upon Tenant and tenant shall promptly pay to Landlord the cost of the examination, together with the full balance of Percentage Rent due and payable for said lease year. In addition, Landlord my treat the failure to deliver such statements within ten (10) days after the aforesaid notice as a Deliberate Event of Default. (e) Tenant's obligations under this Section 2.03 shall survive the expiration or earlier termination of this Lease. SECTION 2.D4. Taxes. (a) -rar the purposes of this Section 2.04, the word "taxes" shall include all taxes attributable to improvements now or hereafter made to the $hopping Center or any part thereof or attributable to the present or future installation in the Shopping Center_ or any part thereof of fixtures, machineryor equipment, all real estate taxes, assessments, roll-back taxes or assessments, water and eerier rents and other governmental impositions and charges of every kind end nature whatsoever, nonrecurring as well se recurring, special or extraordinary as well as ordinary, foreseen and unforeseen, and each and every installment thereof, which shall or say during the term of this Lease be levied, assessed or imposed, or become due and payable or become liens upon, or erase in connection with the use, occupancy or possession of, or any interest in, the Shopping tenter or any part thereof, or any land, buildings or other improvements therein and all costs end fees incurred by Landlord in contesting and/or negotiating said taxes, leas all amounts paid me taxes to Landlord by the occupants of any "Separately Assessed Premises" (so defined in Section 2.04(d) hereof). The word "taxes` shall not include any charge, such as water meter charge and sewer rent based thereon, which is measured by the consumption by the actual user of the item or service for which the charge is made. (b) for each "Tax Yese (as defined in Section 2,04(e) hereof) during the term of this Lease, Tenant shall pay to Landlord as additional rent (hereinafter called "lax Rent"), the amount obtained by multiplying_ the total of all taxes payable during such lax Year by a fraction, the numerator of which shall be the square feet of floor area of the,Aoaiasd premises and the denominator of which shall be the square feet of all "leasable floor area" (as defined in Section 2.04(d) 'hereof) in the Shopping Center computed as of each date Landlord has a aright under Section 2.04(e) two bill Tenant for an installment of Tex Rent. On account of Tax Rent, Tenant shall pay monthly, in advance, as additional rent, together with each monthly installment of fixed Minimum Rent, without demand or setoff, the amount set forth in Section "I" of the Indenture of Lease. Such amount may be adjusted by landlord at any time during the term hereof to an amount egial to one-twelfth (1/12) of the Tax Rent payable by Tenant for the preceding Tax Year. If Tenant's payment on account of lax Rent for any lax Year exceeds the actual amount payable by Tenant as Tax Rent for such Tax Year and Tenant is not in default hereunder or otherwise indebted to Landlord, tandlord shall credit such excess to Tenant's future tax obligatittna provided, if such overpayment is for the last Tax Year, Landlord shall not be obligated to refund to Tenant the amount of such overpayment until Tenant has fully performed all of its obligations under this Lease, in not indebted to Landlord and has vacated the domired promiess in accordance with the provisions hereof. In the event Tenant is indebted to Landlord for any reason whatsoever! Landlord may deduct such amount owed from such overpayment. lc) Landlord shall have the right to bill Tenant for Tax Rent during each Tax Year after each receipt by Landlord of a bill, assessment, levy, notice of imposition or other evidence of taxes due or payable all of which are hereinafter collectively referred to as a "tax bill" (whether such bill is a final bill, an estimate of annual taxes or represents a tax bill based upon a final or partial assessment or determination). Tenant shall pay the balance of its Tax Rent within thirty (30) days of receipt from Landlord of a written statement setting forth the taxes for which Landlord has roteivcd a tax bill, Tenant's share of taxes, and Tenant's payments theretofore made on account of Tar Rant. In making the computations as aforesaid, a tax bill or photocopy thereof submitted by Landlord to Tenant shall be conclusive evidence of the amount of the taxes included in the computation of the - 3 - Tax. Rant in geestion; providgd, however, Landlord shall have the right to bill- tenant for Tenant's share IIf the Tax Rent for thhee last lease your in the term hereof whether or not Landlord shall theretofore have received a tax bill covering the, period from the dote of the tax bill which formed the btsis of the most recent installment on account of Tax Rent billed to Tenant to the expiration of the term hereof. If Landlord has not received a tax bill for such period, Landlord shell estimate the amount of such last installment of Tax Rent an the basis of information contained in the tax bill most recently received by Landlord, subject to adjustment when Landlord receives a tax bill which includes the period from the date of such tax bill to the expiration of the term hereof. Tenant shall pay such adjusted amount upon billing by Landlord. (d) For the purposes of this Leaser the words "Separately Assessed promises" shall mean only BsCh of the following portions of the Shopping Center which are in fact separately assessed or for which the amount of taxes actually assessed is readily ascertainable or which are used in connection with the operation of a department store or portions of the Shopping Center which are owned, leaved to or otherwise occupied by s department store or portions of the Shopping Center which are owned, leased to, or otherwise occupied by a variety or specialty store. For purposes of this Lease s "variety or specialty store" is an occupant Yhich Inns$ or occupies 15,000 aq?are feet or more of building space -in the Shopping Center. for the purposes of this Lease the words "leasable floor *roe" shall mean the square feet of floor arcs in enclosed buildings which are erected on portions of the Shopping Canter other than Sei;erstely Assessed premises and which are designed exclusively for use and occupancy by Tenants other than occupants of Separately Assessed Promises and which are open for business by such tenants. * (e) For the purpose of this Lease the words 'tax Year" shall wean the twelve (12) full calendar months of the term commencing with the January let Immediately fallowing the commencement date sod ending December 31st of such calendar year and each succeeding, twelve (12) month period thereafter commneing in the term of this Lease; provided, however, the first tax Year shall fiance on the commencement date and terminate on the 'iftoed atply succeeding December 31st. f) If for reasons other than Tenant's default the term of this Lease terminates on a date other then the last day of a tax Year, Tenant's Tax Rent shell be equitably pro-rated. Notwithstanding anything herein to the contrary, for the purpose of computing the Tax (tent due for the first Tax Year, all taxes (equitably pro-rated) payable during the calendar year in which the first Tax year shall fall shall be deemed payable during the first Tax Year. (g) If, after Tenant shall have made the required annual payment of Tax Pont, Landlord shall receive a refund of any portion of the taxes included in the computation of such Tax Rent, provided Tenant is not then in default hereunder, -Landlord 'shall credit to Tenant that percentage of the net refund after deducting all costs and expenses (including, but not limited to, attorneys' and appraisers' fees) expended or incurred in obtaining such refund, which the portion of the taxes in glestion paid by Tenant bears to the entire amount of such taxes immediately prior to the refund Tenant shall not institute any proceedings with respect '-to the assessed valuation of the Shopping Canter or any part thereof for the purpose of securing a tax reduction. In the event the Landlord shall retain any consultant to negotiate the amount of taxes, tax rate, assessed value and/or other - factors influencing the amount of taxes and/or institute any administrative endlor legal proceedings challenging the tax rate, assessed value or other factors influencing the amount of taxes, whether or not such action results in a reduction in the amount of taxes, Tenant's Tax Rent shall include the portion of the aggregate of all such 'reasonable fees, reasonable atterneya' and appraisers' fees and ell disbursements, court costs and other similar items paid or incurred by Landlord during the applicable Tax Year with respect to such proceedings which in obtained by multiplying the aggregate of such some by the fraction set forth An Section 2,04(b) hereof. (h) If at any time during the tern of this Lease, under the laws of any one or more jurisdictions in which the Shopping Center is located, a tax, imposition, charge, asesssment, levy, excise or license fee Ia levied on, imposed against or measured, computed or determined, whether an a substitute or not for the whole or any part of the taxes now levied, assessed or imposed on real estate as such, there shall be levied, assessed or imposed (1) a tax on the rents received from such real estate, or (2) a license fee measured by the rents receivable by Landlord from Landlord's Parcel or any portion thereof, or (3) a tax or license fee imposed upon Landlord which is otherwise measured by or based is whole or pert upon Landlord's Parcel or any portion thereof, or (A) an income or franchise tax, then the some shall be included in the computation of taxes hereunder, computed as if the amount of such tax or fee so payable were that du if Landlord's Parcel were the only property of Landlord subject thereto. In addition to the foregoing, should any governwntal authority acting under any existing or future law, ordinance or regulation, levy, assess or impose a tax, excise and/or aseeaemamt upon or against this Lease, the execution hereof and/yr the Hirnimvm Rent, or any item of additional rent payable by Tenant to Landlord whether by way or substitution for or in addition to any existing tax or otherwise, and whether or not evidenced by documentary ota+apo or the like, Tenant shall be responsible for and shall pay such tax, excise and/or assessment, or shall reimburse Landlord for the amount thereof, as the case stay be. (i) Tenant's obligations under this Section 2.04 shall survive the expiration or earlier termination of the term of this Lease, (j) In the event of any dispute as to the floor area in the Shopping Center or any portion thereof (other then the leased premises which shall be determined by the provisions of the Indenture of ),ease), the determination of Landlord's architect shall be binding upon the parties, SECTION 21.05. Additional Rent. All sumsoey or charges required to be paid by Tenant under this Lease, whether or not Provided. however, ir no event shall Tenants share of the Tai Rent be computed an r,# a basis of less then seventy-five percent (75%) occupancy of the Sltoptino Center ?I` re?arcles5 of argue] occupancy, less 5cl?aratQly Assessed PrcmLses. the some are designated "additional rent". shall for all purposes hereunder be, deemed and shall be paid by Tenant as rent. If such saounts or charges are not paid at the time provided in this Lease. they shall nevertheless, if not paid when due, be collectible as rent with the next Installment of Fixed Minimum Rent thereafter falling due hereunder and shall best interest from the due date thereof to the date of payment at the highest rate allowed by law. ARTICLE III BOORS OF ACCOUNT AND AWIT SECTION 3.01. Tenant's Records. (a) Tenant coren Fean and agrees that the business of Tenant and of any subtenent, licensee or concessionaire upon the demised premises shall be operated so ttwt a duplicate dated sales slip, dated invoice or dated cash register receipt, serially numbered, shall be issued with each sale or transaction, whether for cosh, credit or exchange, and to record all cash sales Tenant shall utilise, or cause to be utilized, -cash registers empipped with ieeled continusus total or oueh other devices for controlling sales as Landlord shall approve. Furthermore, Tenant shall keep at all times during the term hereof at the demised premises or at the general office of Tenant,' full, complete and accurate books o account and records in accordance with accepted accounting piwtices with respect to all operations of the business to be 'conducted in or from the demised premises including, without limitation, the recording of Gross Sales and the receipt of all merchandise into and the delivery of all merchandise from the demised premises during the tern hereof and shall retain such books and records, copies of all tax reports submitted to the appropriate taxing authorities, as well as copies of contracts, vouchers, checks, inventory records, dated cash register tapes and other documents and papers in any way relating to the operation of such business (all of which are hereinafter collectively referred to as "books and records"), for at least three (3) years from the end of the lease year to which they are applicable, or, if an audit is commenced or if a controversy should arise between the parties herein regarding the rent payable hereunder, until such audit or controversy is terminated even though such retention period may be after the expiration of the tern, of, or earlier termination of, this Lease. Such books and records shall at all reasonable times during the eforesaid retention period be open to the inspection of Landlord orits duly authorized representatives, who shall have full and free sceosa to such books and records, the right to audit such books and reeprda and the right to require of Tenant, its agents and employees, such information or explanation with, respect to such books and.records as may be necessary for a proper examination and/or audit thereof. (b) In time event Tenant violates the provisions of Section 3.01(a) and as a result of such violation, Landlord, or its duly authorized representative, Is unable to conduct a proper examination and/or audit, the parties agree that Landlord shall have, been deprived of an important right under this Lease and, as a result thereof, will suffer damages in an amount which is not readily ascertainable and thus, in such event, Landlord, in addition to and not in lie of any other remedies which Landlord has under this Lomas, at law or in equity, shall have the right, at its option, to collect, ae liquidated drmages and not as ¦ penalty, an amount equal to twenty percent (201) of the greater of (a) Percentage Rent reported for the period or periods in question, or (b) the annual fixed Minimum Rent payable for the period or periods in question. SECTION 3.02. Audit. If tha examination and/or audit referred to in Section 3.01 shall diacloee that Tenant has understated its Gross Sales by one percent (11) or earn for the period being examined, tenant shall pay to Landlord, upon demand, the coast of such examination and/or audit in addition to the deficiency in Percentage Rent which shall be payable in any event. In addition, Landlord:msy treat the existence of such liability as a Deliberate Event or Default. ARTICLE IV CONSTRUCTION OF LEASED PREMISES SECTION 4.01. Lonatruction tt Landlord. Landlo . a its ooJ-7RT-expense, shall construct the demised premises incorporating in such construction all items of work described as Landlord's Mork in Exhibit "A" attached hereto and made a part hereof (.oil swh items are hereinafter collectively referred to me "Landlord's Mork"), Landlord 'shall have the exclusive right to determine the architectural design end the structural, mechanical and other standard details and specifications of Landlord's Work, including, but oo.t limned to, the type of materials and the manufacturer and supplier thereof. SECTION 4.02. T is v ants and Fixtures. (m) WiSin r ye e r analora,a architect provides Tenant with Outline Plans:' for the dealsed premises, Tenant shall furnish to Landlord, for Landlord's approval, complete working drawings and specifications, pursuant to Exhibit "A". (b) within ten (I0) days after the notice of approval of tenant's complete working drawings and specifications, by Landlord's architect,' Tenant shall, at its sole coat and expense, subject to any _ 5 _ provisions for reimbursement set forth in the Indenture, commence and thereafter promptly complete all the work and other requirements imposed upon: Tenant in Exhibit "A", (all such items being herein referred to as "Tenant's Mork"). In the event Landlord. on Tenant's behalf, shell perform any work or install any equipment included in Tenant's Work, Tenant, within fifteen (15) days after receipt of a bill therefor, shell pay to Landlord, as additional rent, a sum equal to all sum paid and costa incurred by Landlord in performing such work and/or installing such equipment plus administrative costs of Landlord in a sum equal to twenty percent (20%) of such sums and/or costa. Notwithstanding anything contained in this Section 4.02 to the contrary, Landlord shall not be responsible or liable to Tenant,: Its agents, servants, employees-, licensees, or contractors, or their respective agents, servants, employees, licensees or contractors, for any loss or damage to the property of such party occurring prior to or subsequent to the commencement of the term. Nothing in this Lease shall be construed as in any way constituting a consent or request by Landlord, expressed or implied, by inference or otherwise., to any contractor, subcontractor, laborer, or materialman for the performance of any labor of the furnishing of any materiels for any specific or general improvement, alteration, or repair of or to the demised' promises or to any buildings or im,provewents thereon, or to any 'part thereof. SECTION 4.03. Financing. Landlord reserves the right to sever the ownership of or title to the various sections of the Shopping Center and/or to place mortgages on said sections, in which case the right of Tenant and other tenants in the Shopping Center will be preserved by a written declaration or agreement, to be executed by Landlord and'. duly recorded, creating mutual, reciprocal and interdependent rights to use the parking and 'other comimon areas and the utilities and facilities needed for the full use andl enjoyment of the demised premises by Tenant and other tenants or occupants in the Shopping Center without impairing, any of the duties and obligations of Landlord to Tenant under this Leese. Tenant shall execute from tine to time such instruments reasonably required by Landlord and its mortgagee to effectuate the provisions of this Section 4.03. SECTION 4.04. Excuse of Performance. hetwi s;tendTinq pnyEFifng-in this Lease to the contrary, if Tenant shall be delayed or hindered in or prevented from performance of any act required hereunder by reason of any strike, lock- out, labor dispute, civil commotion, warlike operation, Invasion, rebellion, hostilities, military or usurped power, sabotage, governmental regulations or controls, failure of power, inability to obbin any material or service, Act of God or other reasons of a like nature not related to the fault of Tenant, then performance of such act by TenanE shall be excused for the period of the delay and the period for the performance of any ouch act by 7anant shall be extended for a period equivalent to the period of such delays provided, however, the foregoing provision of this Section 4.04 shall not exeuse Tenant from the prompt payment of Fixed Minimum Rent, Percentage Rent,iex Rent, additional rent or any other payments required by the term of this Lease. Notwithstanding anything in this Lease to the contrary, Landlord shell not be deemed in default with respect to the performance of any of the terms, covenants and conditions of this lease if Landlords failure to perform such terms, covenants and conditions is due to any strike, lockout, labor dispute, civil cowtotion, warlike operation, invasion, rebellion, hostilities, military or usurped power, sabotage, governmentel regulations or controls.,- failure of power, inability to obtain any material, service or financing, Act of God, fire or other casualty or other cause, whether similar or dissimilar to those enumerated in this Section, which is beyond the reasonable control of Landlord. ARTICLE V COMMIT OF BUSINESS SECTION 5.01. Use of premises. (a) _ExCepT ess otTecwise specifically provided herein, commencing on the commencement data and thereafter for the balance of the term of this Leese, Tenant shall continuously occupy and use the demised premises solely for conducting the business specified in the Indenture of Lease as the permitted use, and will not use or permit or suffer the use of the dealsed promises for any other, business or purpose. In addition, Tenant agrees that Tenant shall not operate or cause or permit to be operated any catalogue, mail, or telephone order sales in or from the demised premises except the incidental sale of merchandise which Tenant is permitted to sell over the counter to customers in the desized premises pursuant to the permitted use sat forth in the Indenture of Lease. The authorisation of the use of the premises for the business purposes set forth in the Indenture of Lease does not constitute a representation or warranty by Landlord that any particular use of the premises is now or will continue to be permitted under applicable laws or regulations. (b) Tenant shall not permit, allow or cause any of the following to be conducted in the demised premises: any public or private auction, or arty sale which would indicate to the public that Tenant is barnksvpt, is going out of business, or has lost its lease. Tenant shall not use or permit any use of the demised premises, except in a manner consistent with the general high standards of merchandising in the Shopping Center, nor shall Tenant's advertising indicate or infer that Tenant is operating its business in a manner which is not consistent with the general high standsrds of merchandising in the Shopping Center. Nothing contained in this Section 5.01(b) shall effect or is A ' intended to affect Tenant's pricing policies. (c) Because the adeq.+acy of the rental hetoWder is dependent upon Tenant's Groat Sales whether or not percentage Rent is payable hereunder, Tenant agrees that commencing with the commencement date and thereafter throughout the term of this Lease, Tenant will continuously, actively and diligently operate or. cause the permitted business to be operated in good faith and in an efficient, businesslike and respectable manner, maintaining in the demised promise a full staff or which employees and a full stock of seasonable merchandise of the quality, kind, type breadth and Tenant usually sells, and employing Tenant's best continual efforts and abilities to the end that the maximum Gross Sales which con reasonably be produced from the demised premises shall be produced. Tenant shall not use or permit any use OF the desised premises, or any part thereof, in a manner which in Landlord's opinion would injure the reputation of the Shopping Center or the neighborhood of which it is a pert. (d) Throughout the term of this Lease, Tenant shall cause its store to reaain open from MOO A.M. until at least 9:3() P.M. each day of the week and those hours on Sundays and holidays during which the enclahk mall is open to the public. Tenant agrees that the hours during which Tenant is obligated to operate may be changed by Landlord' from time to time, provided that landlord will not act in a discriminatory manner. (e) Tenant shell operate and/or advertise the business operated at or from the demised premises only under the name set forth in the first page of the Indenture of Lease, unless end until the use of another name is permitted, in writing, by Landlord. SECTION 5.02. Stow e. Tanan?T warehauss, store and/or stock in the leased premises only such goods, wares and merchandise as Tenant is permitted and intends to offer for sale at retail in, at or from the leased premises. this shall not preclude occasional emergency transfers of merchandise to other stores of Tenant, if any, not located within the Shopping Center. 51ECTION 5.03. Addit ona Use 9f tM Premises.. Tenant covenants and agrees he 'tenant at its own cost and expense: (a) Will keep all-exterior-and interior store front surfaces clean and will maintain the rest of the demised premiece and all corridors and loading areas immediately adjoining the demised premises in a clean, ordarly and sanitary condition and free of insects, rodents, vermin and other pests; (b) Will not permit accumulations of any refuse, but will remove the some daily and keep such refuse in odor-proof, rat-proof containers within the interior of the demised praiaisas shielded from the view of the general public until removed and will not burn any refuse whstmoever but will cause all such refuse to be reproved by such parson or companies, including Landlord. as may be designated in writing by Landlord and will pay all charges therefor{ will secure all wet garbage in heavy-duty trash bags; and will make special arrangements for the disposal of any fate', oils, grosses end/or batter. If Twant shall fell to remove all such refuse, or should fail to make special arrangements for the disposal of any fats, oils, greases and/or batter, Landlord may remove or diepoae of the same and Tenant shell pay to Landlord all sums and coots incurred by landlord in performing such removal or disposal plus administrative costs of the Landlord in a sum equal to twenty percent (20%) of such euos and/or coats as additional rent; (c) will replace promptly with glass of like kind and quality any plate glass or window glass of the demised premises which may become cracked or broken; (d) Will not, without the Landlord's prior written consent, place or maintain any merchandise or other !articles in any vestibule or entry of the demised premises of witfiin two (2) feet of any entrance from the doMsed premises to the enclosed mall, on the footwolks edjscent thereto or elsewhere on the exterior thereof; (e) Will not use or permit the use of any apparatus, or sound reproduction or transmission, or any musical instrument, in such •Anner that the !found so reproduced, transmitted or produced shall be audible beyond the confines of the prawisea, end will not use any other advertising medium, including without limitation flashing lights, or search lights which may be heard or experienced outside of the leased prewisee; (f) Will keep all mechaniical apparatus free of vibration and noise which may be transmitted beyond the confines of the demised premises; (g) Will not cause or permit objectionable odors to emanate or be dispelled from the demised premises'; (h) Will not solicit business, distribute handbills or other advertising matter or hold demonstrations in the parking areas or other Common Areas; (i) will not permit the perking of delivery, vehicles so as to interfere with the use of any driveway, walk, parking area, or other Common Areas in the Shopping Center; (j) will comply with all notices. orders, laws and ordinances, including all environmental laws and laws relating to wastes and hazardous materials and any environmental state, county or local laws or regulations, the Comprehensive Environmental Response, Compensation and Liability Act of 1960 and the Resource Conservation and Recovery Act or 1976, as amended from time to time, with any pro- approvals, if required, to he granted by the respective governmental agency, and all recommendations of the Association of Fire Underwritara, Factory mutual Insurance Companies, the Insurance Services Organization, or other similar body establishing standards far fire insurance tatings with respect to the use or occupancy of the premises by Tenant, and will petticipste in periodic fire. brigade instruction and drills at the request of Landlord and will supply, maintain, repair and replace for 7 _ the demised premises any fire extinguishers or other fire prevention equipment (including installation of approved hoods and ducts if cooking activity is conducted on the premisga) required by the aforearentioned rules, regulations and Association or other body in order to obtain insurance at the lowest available premium rate throughout the term of this Lease; and will not engage in the treatment of any waste, except as permitted or required by law and subject to the consent of the landlord and the issuance of all appropriate licenses and permits and compliance with all laws and regulations relating to such treatment; (k) Will not receive or ship articles of any kind except through the facilities provided for that purpose by Landlord and will not permit any delivery of goods, supplies, merchandise, or fixtures to or from the leased premises to be made through any of the enclosed sells unless the leased remises have no entrance other than on such a mall, in which letter case Tenant shall use its best efforts to schedule such deliveries outside Shopping Center business hours, except with Landlord's, approval in emergency situations= (l) Will light the show Mirfdgws of the dosived:promises and exterior signs each day of the year to the extent which shall be required by Landlord but in no event later than one hour after the close of the Center; (m) for any exterior entrance or service door exclusively serving the demised premises, will keep all outside areas immediately adjoining the same including, but not liO.4:tad to, sidewalks and loading docks free from ice and snow and Tenant hereby agrees that Tenant is ao:laYy:liable for any accidents occurring on said outside areas due or alleged to be due to any sccu461ation of ice and an", (n) Will refer to the note of the 5hopping Center in all advertising done to, promote salts at the demised premises; (a) Will, if required by Landlord, install, inspect and maintain filtration devices, including, without limitation, grease traps, oil splitters and/or acid neutralizers, in and on tenant's sewage lines prior to any discharge of water or sewage froa the demised premises Into Landlord's newer lines. In the event that Tonent shall fail to install, inspect or maintain the aforesaid filtration devices, Landlord may undertake such installation, inspection and/or maintenance and Tenant shall pay to Landlord' all sums and costs incurred by Landlord' in performing_ such installation, inspection acid/or maintenance plus administrative costs of the Landlord in s sun equal to twenty percent (20x) of such sues and/or coats aa'additional rent. (p) Will not use the plumbing facilities for any other purpose than that For which they are constructed and will not permit any foreign substance of any kind to be thrown therein and the expense of repairing any breakage, stoppage, seepage or damage, whether occurring on or off the premisest resulting from a violation of this provision by Tenant or Tensnt's employees, agents or invitees 'shall be borne by Tenant. All grease traps and other plumbing traps: shall be kept clean and operable by Tenant at Tenant's own east and en*nse; (q) Will not permit any shopping carts in the Common Areas even if taken there by customers; (r) Will not place or cause or permit to be placed within the demised premises, pay telephones, vending machines (except those for the exclusive use of tenant's employees) or smusament devices of any kind without the prior written consent of Landlord'; SECTION '5.04. Rules and R lotions. (s} t?ia rssarvss right from time to time to adopt arnd promulgate rules and- raguletions-applicable to the demised premises and the Shopping Center and to amend and supplement such rules and regulations. Notice of such rules and regulations and of any amendment and supplements thereto shall be given to Tenant and Tenant agrees thereupon to comply with and observe all such rules and regulations, provided that, to the extent practicable, the safe shall be applied uniformly to substantiall all non-department store retail tenants of the Shopping Center. (b? Landlord's rights and remedies in the event Tenant shall foil to comply with and observe such rules and regulations shell be the ease se though such rules and regulations were set forth in Section 5.03 of this Lease. ARTICLE VI GRANT OF CONCESSIONS SECTION 6.01. Conditions to Grant. The 'pro vis on'aga ns a letting elsewhere contained in this Lease shall be applicable so as to prohibit Tenant from granLins concessions without the consent of landlord tar. the operation of one or more departments of the business of Tenant, and any grant of concessions consented to by Landlord eholl be subject to the conditions that (a) each such concession which may be granted by Tenant shall be subject to all the term and provisions of this Lease; (b) the Gross Sales from the operation of each such concession shall be deemed to be a part of the Gross Sales of Tenant for the purpose of determining the Percentage Rent payable to Landlord; (c) all of the provision hereunder applying to the business of Tenant including, but not limited to, the provisions of Article* IT and III shall apply to each such concession; (d) unless otherwise approved in writing by Landlord, such department or departments shall be oporsted only as part of the business operation generally conducted by Tenant on the demised premises and under the advertised name of Tenentl and (e) at least gov.enty-five percent (75x) of the sales floor area of the leased promises shell at all times be opsrstsd directly by Tenant. - B - ARTICLE VII COMMON AREAS SECTION 7.01. Definition; Control. All areas, speCe,`F6011ities, equipment, and signs, to the extent wade available by Landlord for the common and joint use. and benefit of Landlord, Tenant and other tenants and .occupants of the Shopping Center, and their respective employees, agents, subtenents, concessionaires, licensees, customers and other invitees, are collectively referred to herein as "Common Area". If and to the extent made available by Landlord, Common Areas Shall include, but not be limited to, the sidewalks, perking areas, access roads and drives, driveways, parking decks, bridges, landscaped areas, truck serviceways, tunnels, loading docks, open and enclosed pedestrian walkways, corridors and malls, courts, stairs, ranpo, elevetors, escalators, comfort and first aid' stations, pubiic washrooms, community hall or auditorium, parcel pick-up stations and utility lines. All Common Areas in or. about the Shopping Center shell be subject to the exclusive control of landlord. Landlord shall operate, manage, equip, clean, light, surface and maintain the Common 'Areas all in such wanner as landlord, in its sole discretion, may, from time to time, determine (including, without limitation, the right to keep the enclosed mall aptn only during the hours when the Shopping Center is open for business) and Landlord shall have the sole right and exclusive authority to employ end discharge all personnel with respect thereto. Landlord hereby expressly reserves the right from time to time to construct, maintain and operate lighting 'and 'other facilities, equipment and signs on all of the, :Common Aresel to clean the Common Areasi to use and ellaw others to use the Common Areas for any 'purpose to change the size, area, level, location and arrangement of the Common Areas; to build multi-story and/or subterranean parking facilities; to regulate parking by tenants and other occupants of the Shopping Center and their respective employees, agents, subtenants,, concessionaires and licensees; to enforce parking charges (by operation of meters, or otherwise) with oppeopriate previsions for parking ticket validation for tenants; to close temporarily all or any portion of the Common Areas for the purpose of making repairs, changes or alterations thereto or perforating necaasary maintenance in connection with any emergency, in connection with closings resulting from adverse weather conditions or for any other purpose whatsoever, whether such purpose is similar or dissimilar to the foregoing; to discourage non- customer parking; to establish, modify and enforce reasonable rules and regulations with respect to the Common Areas and the use to be wade thereof. For the 'term of this lease Tenant is hereby given the license in common with all others to whom Landlord has or may hereafter great rights to owe, the Common Areas as they may from time to time exist; provided, however, that if such license shall at any time _be'revoked, in whole or in part, or the size, area, level,' location or arrangement, of such Common Areas or the type of facillties at any time forming a part thereof be changed altered, rearranged or diminished, Landlord shall not be subject to arty lio4illty therefor, nor shell Tenant be entitled to any compensation or diminution or abatement of rent therefor, nor shall such alterston, rearrangement, revocation, _change ' or diminution of such -Common Areas be 0gomed a constructive or actual eviction or otherwise be grounds for terminating at modifying this tease.. In order to establish that the Shopping Center or any portion thereof is and will continue to remain private property and to. prevent a dedication thereof or the accrual of any rights to any person or to the public thereon, Landlord hereby reserves the unrestricted right, in Landlord's sole discretion, to close all or any portion of the Conran Areas to such extent an, in the opinion of the tandlatd'a counsel, may be legally sufficient to prevent such dedication thereof or accrual of miry rights to any person or the public thereon) provided, however, Landlord reserves the right at any time and Tram time to time to dedicate to public use port or all of the ring roads, access road, and drives and utility lines, together with all easements required to effectuate such dedications, as it may act Tit. SECTION 7.02. Parking Fs_clli?i, , Tenant"-i a"T1 cause It and its employees to park only in the outer aroma of the parking lot or such places as provided and designated 'from time to time by Landlord for employee parking.' Within ten (10) days after a request by Landlord, Tenant shall deliver to Landlord s list of Tenant's and its employees' automobiles, which such list shall set forth the description of and the 'license numbers assigned to such automobilesand their state of issue. Thereafter, Tenant shall advi*c Landlord of any changes, additions or deletions in such list. If any automobile appearing on said list is parked in any ores of the Shopping Center other then the area designated by Landlord at any time after Landlord has given notice to Tenant or Tenant's store manager that the same automobile has previously been parked in violation of this provision, then Tenant shall pay to Landlord the sus of Twenty-Five WIlars ($25.00) pet day for each such automobile for each day (or part thereof) it its parked in violation of this provision. 'Tenant shall pay such suit to Landlord within ten (10) days after receipt of notice from Landlord. In addition to the foregoing, Tenant hereby authorized Landlord in such event to remove from the Shopping Center any of Tenant's automobiles, or automobiles belonging to tenant's employees, and/or to attach violation stickers or notices to Such automobiles, and Tenant hereby waives and releases Landlord and hereby indemnifies and holds landlord harmless from all claims, liabilities, casts and expenses which may arise therefrom. SECTION 7.03. ?R.oof Malls Changes and Additions to Center. (S) EMord hereby reserves a exc usive rR t at any time and from time to time to use all or any part of the roof , and exterior walls of the demised premises for any purposel to erect Scaffolds, protective barriers or other aids to construction an, around and, about the exterior of "a 9 Qeaised premises, provided that access to the demised premises shall not be Substantially denied; to center the demised premises to shots the foundations and/or walls thereof and/or to install, maintain, use, repair, inspect and replace PiPss, d tta, conduits and wires leading through or lorhted adjacent to the demised premises and serving other parts of the Shopping Center in locations which do not materially interfere with Tenant's use thereof. Tenant further agrees that Landlord may make any use it dselres of the side or rear walls or ceiling space of the demised premises, provided that there shall be no enCroachment upon the interior of the demised premises. Landlord's right hereunder may be exercised by Landlord's designees. (b) Landlord hereby reserves the right at any time to make alterations or additions to, and to build additional stories on, and to build adjoining to, 7in4 building in which the desised promises are contained, and Tenant shall have no interest of any whatsoever in the amid additions or additional starq or adjoiningbuildings. Landlord also reaas the right to enlarge the area of the Shopping !COM41s'by adding additional ground thereto from time to time sod, whether or not so enlarged, to construct other buildings or improvements in the Shopping Center at any time and from ties to time .and to Sake alterations thereto or additions thereto end to build additional stories on such building' or buildings and to build adjoining the ease and to construct double-deck elevated or subterranean parking facilities. (c) If any excavation shall be wade or authorized to be made upon land adjacent to the lessed premises, Tenant shall afford to the person causing or authorized to cause such excavation license to enter upon the leased premises for the purpose of doing such work as Landlord shall deem necessary to p"rve the wall or the building of which the leased piesisema form a part from injury or damage and to support the same by proper foundations, without any claim for damages or Indemnification against Landlord or diminution or abatement of rent. (d) Landlord' shall' not be liable in any such case for any inconvenience, disturbance, lose of business or any other annoyance arising from the exercise of any or all of the rights of Landlord in this Section 7.03. SECTION 7.04. Right to.Reldce e. The purpose o p on hereto amexed as Exhibit 06" is solely to show the a7?pr0ximatc location of the demised premises. Landlord hereby reserves the right at any time and from Use to time to make- changes or revision in such plan, including, but not liaited to, additions to, subtractions from, and/or relocations or rearrangements of, the buildings, parking aress, and ether Common Areas (as defined in Section 7.01 hereof) shown on such plan; provided only that the size and location of the demised premises shall not be altered and roommosble access thereto 'shall nat be substantially impaired= provided, however,' that Landlord reserves the right to relocate a kfook promises, at its sole expanse, to a location of #Qual desirability upon fifteen (13) days notice to Tenant. SECTION 7.05. E es. Lsndlo subj t to the Common' Area Payment as set forth in Section 7.06) will at its expense operate and maintain or cause to to operated and maintained tht Common Areas and the Shopping Center. For the purposes of this Lease, "Operating -Costa* shall be time costs of operating and maintaining, or of causing the operation and maintenance of, the Common Areas and the Shopping Center of which the demised' premises forms a pert in s manner deemed by Landlord to be reasonable and appropriate including, but not limited to, all costs and expenses, whether expanded or incurred of repairing, lighting, cleaning, painting, refurbishing, replacing end maintaining (including, but not limited to, preventive maintenance) and insuring the same with such policies and companies and in such limitsas selected by Landlord (including, but not limited to, fire Insurance with extended "IV rage,, liability insurance covering personal injury, deaths and property damage with s personal injury eindorsement cowering false arrest, detention or imprisonment, malicious prosecution, libel and slander, and wrongful entry or eviction, workman's compensation insurance, plate glws insurance, Sontractuol liability insurance and fidelity bonds); raexwi(W snow ice, rubbish and dmbrial inspecting; rental and depreciation (over s period not exceeding sixty 160) months) of mothinery sod equipment and other non real estate assets used in the operation and mi ntenanCe of the Snapping Canter; repairing and/or replacing of paving, roofing, curbs, walki+eys, landscaping, drainage, on-site water lines, santary sewer lines, storm water lines, electrical lines and other equipment serving the property an which Shopping Center or any part thereof is owatruoted or is to be constructed boating, ventilating and air conditioning enclosed Common Areasl uniforms and replacement of univorm; the rental of witic programs, servieft and loudspeaker systems including the furnishing of electricity therefore all charges that may result from any envlronaental or other laws, rules, regulations, guidelines or orders, the cost of obtaining end operating public transportation or shuttle bus eystams used in oonnect;pn with bringing customers to the Shopping Cantors the gross compensation of all personnel required or necessary to implement the operation. smintenancs, administration, or repair of the Shopping Center including, without limitation, management, secretarial, office, maintenance personnel, the cost of compensating Landlord's off-site personnel involved in the administration of, and providing services to, the Shopping Center, including, without limitation, legal, accounting and secretarial personnel, based upon on apportiw+oent of Such compensation among all properties In which Landlord or its affiliates own an equity interest and to supervise and accomplish the foregoing and an administrative charge equal to fifteen percent (15%) of the total of all Operating Costs. SECTION 7.06. Consort Area Pm nt. (a) 'Far eat nq Parlod" (se defined in section 7.116(f) during the tarsi of this - 10 - Lease, Tenant shall Par to Landlord, as additional rent, as Tenant's share of the operating Costs, a sum equal to the product obtained by multiplying (i) the total Operating Coats for such AQDalenUrml Period less all contributions thasatc actually cede to Landlord by occupants of nary Sworately Assessed 'Promisee. by (ii) a fraction., the numerator of which shall be the .Wars feat of flack area of the doIimed promises, and the denominator of which swell be use e9jue feet of leased floor area in the Shopping tenter. For the purposed of this $cations 1040sd floor area shall aaan the agnate feet of floor area In enclosed buildlrlp whirls are created an portions of use ShWIM Canter otJrar than Separstair Assessed Premises as defined in Section 2.a(d), which an designed exclusively for use and occupancy by toments other than occupants of Separstalr Assessed Ptaaelsee, end. sasich arm occupied pursuant to an agreeasnt with Landlord by the tarma 6 which Landlord obtains more than a nominal rental. All such floor area shall be ss determined pursuant to the Provisions of Section 2.e4(j) Brad shall be fixed as of the last day of the applicable Accounting Paried. (b) On the first day of each cmiendar month during that portion of the tore hereof falling within tho first Accounting Pariod, Tonsot shall pay to ten4.10p0i iR edvsrsea, and se additional rent, without demand and without any setoff or, deduction, a od)niw?m payomt. for Tonantia 'elgatls of. the Operating Coats as sat forth in Section "fee of the Indanture o Leese. jr the tcerancanaant date hereof snail not be the first day of a WoOdar 'month, Tenants payment of its shore of Operating Coats for the fractional' month between the commencement data and the first der of the first fuil calendar month in the term shall be prorated an a per diem-bmala (calculated ona thirty (30) day month) and shall be paid together with the first payment of Fixed Minims pent. (c) After the first Accounting Period, Tenant shall cont.Jwa• to pay such alnimwa paymeme for Tenant's share of opermting Coats an tins first day of each s+onth In adverwe and as additional rent, without 'demand and without any setoff or deduction, but the aforesaid eeount of Tanant'a share of operating Costs may be increased by Landlord after the end of ameh Accounting Period daring the term hereof on the basis of the actual operating Costa for the immediately preceding Accounting Period. Upon Landlord furnishing W Tenant a $tube - t settlnq forth such raw$*" OperatinqCosts, Tenant shall pay to Landlord such revised *hers In equal aonthly inst41Lsmnts, each such installment to be a sum equal to one-twelfth (12th) of such mrisad Operating Coats An advance an the first day of each calendar month thereafter until the next sueeeading revision. (d) Following the end of each Accounting Period in which Tenant's share of Operating Costs exceeds the minimum payment set forth in Section "Fe of the Indenture of Leese. Landlord shall furnish to tenant a written statement in reasonable detail covering the Aecoonti Period gust expired showing the total Operating Costs for such Aeeou+tlreq Period, the amount of t'enant's proportionate share thereof and payments *ads by Tenant with respect thereto. In caking the computations as aforesaid, Landlord's statement shell be cawluxive evidence of Operating Costs. (e) If Tenant's proportionate share of Operating Costs exceeds Tenant's pey"Ats with respect to any Accounting Period, tenant shell pay to Landlord the deficiency wLWn twenty (?a) days after the data, of the furnishing of the statement from Landlord. (f) For the purpose of this Lease, the words " tiftO Periods mean the period corbaisting of twelve (12) consecutive calendar months commencing on a data determined by Landlord and each succeeding twelve (12) calendar month period commencing during the tam of this issue, provi4ed, however, the first Accounting Period shall comunt* on the data the Sing Center first opens for business with the public and shall terminate an the data iwwdiatsly P1 ceding the data so determined by Landlord. (g) If the tern of this Lease commeneas after the data the Shopping Center first opens for business with the public or terminate@ father then by reason of Tansat's default) during mn Accounting Period, Tenant's obligation for Ttnent's shays of 00erstino Coats for such, Accounting Period shall be equitably pro-rates, (h) Tenant's obligations under this Section 7.06 shall survive the expiration or earlier termination of the tars of this Lease. SECTION 7.07. senate Cast dr 5ecurit :? Lsnd3 r e o'E, WE • on required, to provide security for the Shaming Center. If' Landlord shall elect to previde seoority for the Shopping Grater, Tenant shall pay its proportion- ate cost of mob assYliRy determined am follows (a) Tenant shell par to Landlord,, as sdditimsel rent, the amount obtained by multiplying the tatel of ell coats and exp•nse$ of every kind and nature incurred by Landlord in providring security for the Shopping Center by a fractian, the numerator of which shall be the square feet of floor area of the demised priestess, and the denominator of which shall be the square fast of all 'Iassabls floor area" (M defined in S*Ctiofn 2.04(d) of this tosseje All much floor area shell be se' determined pursuant to the provisions of Section 2.04(j) and shall be fix d to of the last day of the soplLeSbis ACCovntinq Pariod. (b) Tenant shall pay its proportionate cost of security within tweet (2 day" attar the date of the futhiaping of ¦ statement of such charges by Landlord tar each t?Caoa or poets (c) Although Tenant shall pay its proportionate share of the frost of security, am aforesaid, in addition to, and not as a component of, its proportionate share of Operating Coats, for the purpose of articles XVIII end XIX and Sections 13.329 14.01 and 20.02 of this Leslie, the words "Operating Costae shall be deemed to include such share of cast of security. ARTICLE YILI S1CMSt AWMIMCSr CAROPIESI FIXTURCSI ALTERATIONS -11-_ +atie?t then the awtilt met forth is Secam It of the IMknW M of Ise and in the acme,,' ib is,? in 4t . SECTION 8.01. Signs. Amin and Cmnopipa. ('a) - errant aha11, at its own risk, lawfully erect illuminated signal concerning the business of the occupant of the devised promisee, and agrees to maintain said signs in good condition and state of repair and save Landlord harmless from any loss, cost of damage as a result of the erection, maintenance, existence or removal of such signs. All signs shall be in accordance with Landlord's Sign Specifications, a copy of which will be attached to the Outline Plan and shall be -- approved in writing by Landlord. Uponvacating the devised premises, the Tenant agrees to remove all signs and repair ell damage caused by such removal. Tenant covenants that no flashing, illuminated or paper signs will be used anywhere in the devised premises and all signing is subject to Landlord's prior written approval. Tenant shall not install or affix -any Sign, device, antenna, fixture or attechment on or to the exterior or interior of the demised premises including, by way of illustration, any window or door; nor place any vent, structure, building, improvement, sign or advertising device or obstruction of any kind within the Coammon Areas or on the exterior or interior walls of the demised premises, without: rivet obtaining Landlord's written consent. (b) Tenant shall neither place nor maintain nor suffer to be placed or maintained on the exterior of the devised premises or on the glees of any window or door of the demised provisos which shall be visible from the exterior thereof or within three (3) feet of any Such glass (other than neatly lettered_ signs of reasonable size placed an the floor of the display window identifying articles offered for sole end the price thereof)any sign, awning, canopy, decoration, lettering, advertising matter or any other thing without in etch instance first obtaining Landlord's written approval thereof; and Tenant further' agrees to design .and to 'maintain such sign, decoration, lettering, advertising matter or other 'thing 'as may be approved in good condition and repair at all times'. (c) Tenant shall not point or decorate arty part of the exterior of the demisad promises, or any part of the premises which shall be visible from the exterior thereof, without first obtaining Landlord's written approval of such painting or decoration, (d) Tenant shall install and maintain at all times, subject to the other provisions of this Section, displays of seasonable merchandise in the show windows (it any) of the demised premises; and Tenant further- agrees that all eCticlts and the arrangement, style, color and :general appearance thereof, in the interior of the devised premises which shall be risible from the exterior thereof, including, but not limited to, window displays, advertising matter, _signs, merchandise and store fixtures, shall be maintained in the premises +So as to be in keeping with the character and standards of the Shopping Center. SECTION 8.02. P cMrty in Osmised Premises. (a) lI Teems old improvements, such as light fixtures, heating and air-conditioning equipment. shall when installed attach to the fee and became and remain the property of Landlord. Such property shall not be removed unless replaced with like property. (b) All inventory and all trade fixtures hereafter installed or pieced by Tenant in the demised premises shall be new, shall rewain the property of lenant and shall be removable by Tenant ¦t the expiration or earlier termination of the term of this Lease provided that: (1) Tenant shall not at such ties be in default under this Lease, and (2) in the event of the removal of any or all of such property Tenant shall promptly roster* thedamage done to the promises by the installation and/'or removal thereof. Should Tenant fail to so remove Tenant's property and/or to so restore the promises, Landlord may do: so, collecting, at Landlord's. option, the cost and pxpense thereof, as additional rent, upon demand. Any such property which is not removed and which by the term of the tease is not removable by, Tenant at or prior to any termination of this Lease including, but not limited to, a termination by Landlord pursuant to this Lease, shell, unless Landlord gives Tenant notice to remove any or all of such property, be and become the property of Landlord (without any obligation by landlord to pay compensation for such property). In the event Landlord 'gives Tenant such notice to remove any or all of such property, Tenant shall promptly remove such property as may be specified by Landlord in such notice. Notwithstanding anything herein contained to the contrary or any decision of any court to the 'contrary, the term "trade fixtures" Shall not include any attached lessahold Improvements including but not limited to tir-conditioning, hosting, lighting, electrical and plumbing equipment installed by tenant in the demised premises, nor any wiring or other apparatus related thereto. (c) In the event Tenant ceases its business operation its the demised promises and is in default with respect to its obligation for the continuous operation of its business, tenant shall be deemed to have abandoned the devised premises and all property of tenant shall also be deemed to have been abandoned and said property may be retained or disposed of by Landlord as Landlord desires. SECT10N 6.03. Is movements and Alterations, (a) anont covenants and agrees not to make or perait to be made any alterations, improvements and additions to the devised premises or any part thereof !except by and with the written conaont of Landlord first had. All alterations, improvements and additions to said premises shall be made in accordance with all applicable laws and shall at once when made or installed be deemed to have attached to the freehold and to have become the property of Landlord and "hall remain for the 'benefit of Landlord at the and of the term or other expiration of this Lease in as good order and condition as they were when Installed, reasonable wear and tear excepted. (b) In asking such alterationa, edditions and improvements to the demised premises end in installing such chattels, equipment and fixtures or doing such other work, tenant shall promptly pay all contractors and materislmen so as to minimize the possibility of a lien attaching to the demised 12 premises or tha Shopping Center, and Tenant stall include in all Contracts: and subcontracts for work to be performed on Tenant's behalf at the demised premises provisions wharain such contractor or subcontractor acknowledgaa that Landlord has no liability under such contracts and subcontracts and that such contractor or subcontractor waives any right it may have to lien or attach Landlord's parcel or the Shopping center of which Landlord's parcel is a part, and should any such lien or notice of intention to perform or furnish materials ("Notice") be wade or filed, Tenant shall band against or discharge the some or notice of intention to perform or furnish materials ("Notice") within twenty (30) days after written request by Landlord. If tenant shall fail to cause such lien or Notice to be bonded against or to be discharged within the period aforesaid, then, in addition to any other right or remedy which Landlord may have under this Lease, at law or in aquity, Landlord say, but shall not be obligated to, discharge the same either by paying the amount claimed to be due or by procuring the discharge of such lien by deposit or by bonding proceedings and, in any such event, Landlord shall be entitled, if Landlord so elects, to compel the proasevtinn of any action for the foreclosure of such lien or Notice by the lienor with interest, costs and expenses. Any aaount so paid by Landlord and all costs and expenses incurred by Landlord in connection therewith, together with interest thereon at the highest rate permitted by law from the respective dates of Landlord's wWinq of the payment and incurring of the cost and expense, shall constitute additional rent payable -by Tenant under this Lease and shall be paid by Tenant to Landlord on demand.. (c) The provisions of this Article shsli survive the expiration or earlier termination of the term of this lease. ARTICLE IX NA NIENIWCE AND KFAM $UfdtDd*R' of LEASED PREMISES SECTION 9.01. Rem sod Asintenance by Tenant. (a) Tenant shah at all t mes -e-f-M own expanse keep and maintain the demised promises (including, but not limited to, all entrances and the inside and outside of all 'glass in the doors and windows and show vindow moldioga) and all partitions, doors, fixtures, sigma, equipment and appurtenances thereof in good order and repair, and in a neat, safe, clean and orderly condition, , including, but not limited to, reasonable periodic painting as determined by Landlord and making all non-structural ordinary and extraordinary, foreseen and unforeseen repairs and replacement$ to the demised premises, including, without liaitotion, repairs and rsplacerants to the piuabing and sewage facilities within the desieed prewlsed or under the floor slab including free flow up to the main sewer line, electrical, heating, ventilating and air-conditioning dystema and escalators and elevators, if any, *04 mechanical systems and installations therein. Tenant shall not overload the electrical wiring serving the premises or within the premises, and will install at its own expense but only after obtaining Landlord's written approval, any additional electrical wiring which ray be required in connection with the demised premises, (b) Tenant will repair promptly at its own expense any damage (whether structural or non-4tructural) to the demised premises caused by any construction or alterations performed by Tenant at bringing into the promises any property for Tenant's use, or by the installation or removal of such property, regardless of fault or by whom such damage shall be caused, unless caused solely by the negligence of Landlord or its servants or employees. (c) In the event Tenant defaults in the performance to Landlord's satisfaction of any of its obligations under this Section 9.01, and such default continues for a period of tan (10) dayyss after written notice from Landlord (except that in an emergency no notice shall be required!, Landlord, in addition to landlord's other roadies under this Lease, at law or in equity, nay (but shall not be obligated' to do so) cure such default an behalf of Tenant without any liability of Landlord its ago", servants, employees, contractors or subcontractors for damage to Twuo t'a merchandise, fixtures or ether property or to Tenant's business by reason thereof, and Tenant shall: reimburse Landlord, as !additional rent, upon domand, for any suave paid or costs incurred in curing' such default, plus administrative costs of Landlord in a mina egyal to twenty percent (20x) of such sums and/or costs. SECTION 9.02. S turd Repairs. (a) xctP as otherwise provided by 9.01(b), structural portions of the premises, the roof of the demised premises end Chase portions or the exterior of the demised prealisea which Tenant is not obligated to maintain pursusot to Section 9.01(x) will be repaired by Landlord provided Tenant given Landlord notice specifying the need for and nature of such rapairsi provided, however, if Landlord is required to make any repairs to such portions of the demised premises by reason, in whole or in part., of the negligent act or failure to act by Tenant or Tenant's agent, servants, eopioybes, contractors or subcontractors, or by reason of an unusual use of the demised promises by Tenant (whether or not such use in a permitted use hereunder), Landlord may collect the cost of ouch repairs, as additional rent, upon demand. For the purpose of this Lease, any difference in floor level, shifting of floor slab, or deviation in finished floor height resulting from the insertion or aonatruction of an expansion joint or strip in the floor slab small not be deemed a structural defect requiring repair by Landlord, but rather, s normal construction prrotiCe which shall be Tenant's responsibility Lo appropriatel plan for in its construction and use of the demised premises. If, without Landlord's prior consent, Tenant performs any alterations, additions, - 13 - improvements, changes, affixations of chattels or other work which 'affects the structural portions of the demised premises and/or the roof of the building of which the devised premises are a part and/or that portion of the exterior of the demised premises which Landlord is obligated: to repair pursuant to Section 9.02(a) or which affects the structural integrity of the building of which the leased premises shall form s part, such action by Tenant shell release and discharge Landlord as of the commencement of such alteration, addition, improvement, affixation or other work of and from such repair obligation and thereafter Tenant agrees to be solely responsible for the maintenance, repair and replacement of any or all such structural portions, roof, exterior and building which have been affected as aforesaid; provided, in the event Tenant shall default in the performance, to Landlord's satisfaction, of such responsibilities, Landlord, in addition to Landlord's other remedies under this Lomas, at law or in acpityI may (but shell not be obligated to do so) cure such default on behalf of Tenant without any liability of Landlord, Its agents, servants, employees, contractors or subcontractors for'damsge to Tenant's merchandise, fixtures or other property or to Tenant's business by reason thereof, and Tenant shall reimburse landlord, as additional rent, upon demand, for any sums paid or costs incurred in curing such default, plus adainistrstive coats of Landlord in a sus equol'to twenty percent (2QS) of such sums and/or costs. For the purposes of the foregoing, if Tenant performs any much alterations, additions, improvements, changes, affixations or other work in a manner not consistent with Landlord's prior consent, thereto, such work shall be dammed to have %won performed without Landlord's consent. SECTION 9.03. Surrender of Premises. At the exp -;;donor earlier termination of the term of this Lease, Tenant shall peaceably surrender the leased premises in the sans condition including, but not limited to, the conditions of cleanliness, as the leased premises were upon the commencement of the term of this Lease, ordinary wear and tear excepted to the extent the leaned premises is not required to be repaired and/or maintained by Tenant and damage by unavoidable casualty excepted to the extent that the same is covered by Landlord's fire insurance policy with extended coverage endorsement, and Tenant shall surrender all keys for the leaned premises to Landlord at the place then fixed for the:psyment of rent and shall notify Landlord in writing of all combinations of loe", safes and vaults,-if any, in the leased premises.. Tenant shall cowply with:. the provisions of. SecUon 8.02 respecting the. removal of its. property before surrendering the premises as aforesaid. Any property not so removed at the expiration of the term hereof, shall be deemed to have been abandoned by Tenant, and may be retained or disposed of by Landlord, as Landlord shall desire. Tenant's obligation to observe and perform' the covenants set forth in this Section 9.03 shall survive the expiration or earlier termination of the term of this Lease: ARTICLL X INDEMNIFICATION{ SUBROGATION SECTION 10;01. Indemnifcation and Waiver of Claim. (s) Tenant wi e enema except}x extent caused by the negligence of Landlord, its agents, servants, and employees, will indemnify Landlord and Agent and save them harmless from and againat any and all claim*, actions, damages, liability' and expense (including, but not limited to, attorney's fees and disbursements) in connection with the loss of life, personal injury or damage to property or business arising from, related to, or in connection with the occupancy or useby Tenant of the demised premises or any part of Landlord's property or the Shopping Center or occasioned wholly or in part by act or omission of Tenant, its contractors, subcontractors, subtenoote, licensees or concessionaires, or its or their respective agents, servants or employees. Tenant shall oleo pay all costs, expenses and reasonable attorney's fees that say be expended or incurred by Landlord and/or Agent in successfully enforcing the covenants and agreements of this Leans. The provisions of this Section 10.01 shall survive the termination or earlier expiration of the term of this Lease. (b) Unless rod then solely to the extent such damage is caused by the negligent acts or omissions of Landlord, Agent, or their respective agents, servants, and employees, neither Landlord, Agent nor their respective agents, servants, emplayees or contractors shall be liable for, and Tenant, in consideration of Landlord's execution of this Lease, hereby releases all claima for loss of life, personal injury or damage to property or business sustained by Tenant or any person claiming through Tenant resulting from any fire, accident, occurrence or condition in or upon the Shopping Center or any part thereof (including, without limitation, the demised premises and the building of which the ease is a part), including, but not limited to, such claims for lose of life, personal injury or damage resulting from (1) any defect in at failure of plumbing, hosting or air conditioning equipment, electrical wiring or installation thereof water pipes, stairs, railings or walksi (Z) any equipment or appurtenances being out of repair; (31 the bursting, leaking or running of any tank, "ahatand, water closet, waste pipe, drain or any other pipe or tank in, upon or about the Shopping Center; (4) the backing up of any sewer pipe; (5) the escape of steam or hot waters (6) water, snow or ice being upon or coming through the roof or any other place upon or near the dealsed premises or the buildinngg of which the same in a part or otherwise; (7) the falling of any fixture, plaster or stuccos (a) broken glass; (9) any act or omission of other tenants or other occupants of the Shopping Tenter; and (10) any Oct or omission of Landlord, Agent or their respective principals, agents, servants and employees whether occurring on, prior to, or subsequent to the date of this Lease. The foregoing - 14 - waiver and release is intended by Landlord end Tenant to be absolute, unconditional and without exception and to supersede any specific repair obligation imposed upon Landlord hereunder. ARTICLE Xi INSURANCE SECTION 11.01. Insurance. (a) moan will keep in force in companies licensed to do business in the state where the Center is located at Tenant's expense at all Lima during the term of this Lease and during such other times go Tenant occupies the demised premises or any part thereof: (1) Public liability insurance with respect to the demised premises,- the sidewalks abutting end adjoining- the demised premises, if any, and the business operated by Tenant and any subtenents, licensees and co(cessionaires of Tenant in or from the demised premises with minimum limits of One Million Dollars 31,000,000) combined single limit for bodily injury and property damage, and including coverage for liability assumed under contracts. (3) Yorkers' Compensetion insurance which will provide for all Tenant's aaployees the statutory benefits for the state in which demised preaisas are located, and will also include Employers' Liability insurance with minimum limits of One Wosdred Thousand Dollars (3100,000.00)• (3) Such other types of insurance (excluding rent insurance in favor of Landlord) and such additional amounts of insurance as, in Landlord's judgment, are necessitated by good business practice. (b) Prior to delivery of possession of the demised premises and within ten (10) days of each occasion of renewal or replacement of insurance coverage, throughout the term of the Lease, Tenant shall' submit to Landlord, marked "Attention" Insurance'Dgmrtment", a valid Certificate of Insurance, signed by on authorized' agent of the insurer',' which shall evidence all the insurance coverage required by this Section 11.01 and which shall set forth the followingi_ (1) Landlord is named an "additional insured" on the public -liability insurance policy. (Z) At least thirty (30) days prior notice shall be given to Landlord as to any policy cancellation or any Material alteration in coverage. (3) The public liability insurance policy is an "occurrence" form of coverage; (claims-made insurance is not acceptable). SECTION 11.02. Insurance Previsions. Ti-Ts a ron33'fo--n-`6? this Lease that -the'Tenant shall install and maintain, in proper working order, an Underwriter's Laboratory and Rating Bureau approved Automatic Extinguishing System in the hoods: and ducts serving such tenant's cooking equipment and_desp fat fryers. The system shall else bearranged to shut off the electrical current and/or gas supply to the deep, fat fryers when the extinguishing system is activated. No change affecting the operation of this system shall be made without giving prior notification to the Landlord. SECTION 11.03. Effect on Insurance. (a) -TWa-nt w1 not , omit to do, or suffer to be done or keep or suffer to be kept anything in, upon or about the leased promises which will violate the provisions of Landlord's policies insuring against loss or domige by fire or other hazards (including, but not liaited to, public liability), which will adversely affect Landlord's file or liability insurance premium rating or which will prevent Landlord from procuring such policies in companies acceptable to Laadlsrd, provided Tenant is first given adequate notice of the requirements of such policies. If snything done, omitted to be done or suffered to be done by Tenant, or kept or suffered by Tenant to be kept in, upon or about the premises shall by itself or in combination with ether circumstances. existing at the Shopping Center cause the premium rate of fire or other insurance on Lhe lose" premises or other property of the Shopping Center in eoapanes acceptable to Landlord to be increased beyond the established rate from time to time fixed by the appropriate underwriters with regard to the use of the demised premises for the purposes permitted under this Lease or to such other property in the Shopping Center for the use or usms ands thereat, Tenant will pay the amount of such increase or, in the avant that other circumstances existing at the Shopping Center shall have contributed to such increase, such equitable portion of such increase as reasonably determined by Landlord, as 'additional rent upon Landlord's demand and will thereafter pay the amount of such increase, as the goes may vary from Lime to time, with respect to every premium relating to coverage of the demised premises during a period falling within the term of this Luse until such increase is eliminated. In addition, if applicable, Landlord any at its option rectify the condition existing on the demised premises which caused or was a contributing cause of the increased premium rate in the event that the Tenant should fail to do so and may 'charge the cost of such action to Tenant as additional rent, payable on demand. In determining whether increased premiums are the result of Tenant's wee of the leased premises, a schedule, issued by the organization making the insurance rate an the leased 'premises, showing. the various components of such rage, shall be conclusive evidence of the several its" end charges which make up the fire insurance rate on the leased premises. (b) If for any reason whatsoever Including, but not limited to, the abandonment of the demised premises, Tenant's failure topay the insurance premium or Tenant's failure to occupy the demised premises as herein permitted, Tenant fails to provide end keep in farce any or all of the . 1S ., insurance policies set forth in Section 11.01 hereof, then In such event Tenant shall indemnify end hold Landlord harmless against any lose which would have been covered by such insurance. (c) if Tenant shell not comply with Ate covenants' mods in this Section, Landlord in addition to Landlord's other remedies hereunder may (but shall not be obligated to) cause insurance, as aforesaid, to be issued, and-ln.such event Tenant agrees to pay the premium for such insurance so additional rent promptly upon Landlord's demand, or Landlord, at its option, may treat such failure to coaply as a Deliberate Event of Defsult. ARTICLE XII UTILITIES SECTION '12.01. Utilities. (e) enT& shall be solely responsible for and promptly pay all charges for heat, rater (including standby), electricity, serer rents or charges, sprinkler charges, A.D.T. or ether slats systems, water treatment facility charges, and any other utility used or consumed in the leased premises or in providing heating and *IT conditioning to the leased premises, without limitation, together with all connection and service charges and all taxes or other charges levied an such utilities, said responsibility Commencing on the dote Landlord notifies Tenant tbet the leased premises are ready for Tenant's com4neement of Tenant's Work. Should Landlord elect or be required to supply or make available any utility used or consumed at the demised premises, Tenant agrees to pucchaee and pay for seine, se additional tent, every month in the term hereof; provided that Tenant shall not be 'Obligated to pay to.Lanfilord an aggregate annual sum therefor in excess of the aggregate annual amount therefor which Tenant would otherwise be obligated to pay for similar utility usage and service as 'a retail customer of the public utility or municipal authority then supplying such utility to the Center. Tenant agrees to purchase from Landlord and pay for electricity to be used by Tenant at the demised premises in accordancs with the Utility Schedule attached hereto sit Exhibit "C". (b) In the event that Tenant does not have a water meter installed in the leased premises, Tanent will pay to Landlord, as additional rent, every month in the term of this Lease the minimum charge for the size of the line installed in the leased premises in accordance with the rates' established from time to time by the company or authority supplying water to the premises. (c) In the event the local authority, nnmicipslity, utility or other body collects for the water and/or sewerage or sanitary service and/or consumption, ae afares id, Tenant covenants and agrees to pay the rater and serer rent ewrga (both minimum and otherwise) and any other tax, rent, levy, connection fee or motor or other charge which now or heresfter is assessed, Imposed or may, become a lion upon the demised premises, at the realty of which they are a part, pursuant to law, . order or regulation made or issued. in Connection with the use, consumption, maintenance or supply of water, or the water or new rage connection or system, (d) In no event shall Landlord be liable to Tenant in damages or otherwise for any interruption, cwtsllasnt or suspension of any of the foregoing utility services in the event of a default by Tenant under this tease or due to repairs, action of public authority, strikes, acts of God or public enemy, or any other cause, whether similar or dissimilar to the aforesaid. SECTION 12.02. A lication For Utilities. Terng e a e a71 4pproprXetv applications to the local utility companies at such times as shall be necessary to insure utilities being available at the demised premises no later than the commencement of the term and pity all required deposits, connection fees aril/or charges for meters within the applicable time period set by the local utility company. SECTION 12.03. Operation of Heating and Air-Conditio?ninq Tenant must operate !basting an coo ng equipmant to maintain store temperatures at such. tenperstures as will prevent the freezing or bursting of pipes and the draining of heated and chilled air from the enclosed cell. SECTION 13.04. Utility Chi Defined. All e3i o be paid by Tenant in accordance with this Article XIi are collectively herein referred to as the "Utility ChargeO. ARTICLE %II1 ESTOf"PEL CERTIFICATE; SUBMINATION;-ATTOAMMENT SECTION, 13.01. Execution of Esto l Certificate. At any aa, and roc time o me, upon the written request of Landlord or any mortgagee, Tenant, within twenty (20) days of the date of such written request, agrees to execute and deliver to Landlord and/or such mortgagee, without charge and in a form satisfactory to Landlord and/or Ruch mortgagee, a written staLementi (a) ratifying this Lease; (b) confirming the eoemsnesment and expiration dates of the term of this teaaaj (c) certifying that Tenant is in occupancy of the -demised - 16 - premises, and that the Lease is In full force and effect and has not been modified, assigned, Supplemented or amended except by such writings me shall be stated; (d) certifying that all conditions and: agreements under this Lease to be satisfied or performed by Landlord have been 'satisfied and performed except as shall be stated; (e) certifying that Landlord is not in default under the Lease end there are no defenses or offsets against the enforcement of this Lease by Landlord, or stating the defaults and/or defenses claimed by Tenant; (f) reciting the amount of advance rent, if any, paid by Tenant end the date to which such rent has been paid; (g) reciting the amount of security deposited with Landlord, if any; (h) certifying -compliance with the environmental covenants of the Lease as set forth in Section 5.03(J) of the Lease; and (i) any other information which Landlord or the mortgagee shall require. SECTION 13.02. Failure to Execute Estoppel Certificate. The failure X G7oin o execute, rc noK'edge and deliver to Landlord and/or shy mortgages a Statement in accordance with the provisions of Section 13.01 above within the period set forth in Section 13.01 shall constitute an acknowledgment by Tenant which may be relied upon by any person holding or intending to ocgjlre any interest whatsoever inthe demised pMalses or the Shopping Cantor that this 'Lease has not been assigned, amended, changed or modified, is in full force and effect and that the fixed Minimum Rent, Tax Rent, Tenant's share of Operating Costs, Utility Charge, Percentage Rent and 'additional rent have been duly and fully paid not beyond the respective due dates immediately preceding the date of the request for such statement and shall constitute an to any persona entitled to rely on such statements a waiver of any defaults. by Landlord or defenses or offsets against the enforcement of this Lease by Landlord which may exist prior to the date of the written request, and Landlord, at its option, may treat such failure as a Deliberate Event of Default. SECTION 13.03. Subordination and At ottwWnt. Tenant agrees a Uvot, excep so hereinafter provided, this Lease is, and all of Tenant's, rights hereunder are and -shall always be, subject and subordinate to any mortgage, leases of Landlord's property (in sale-leaseback) pursuant to which Landlord his or shall retain the right of possession of the demised premises or security instruments (collectively called "'Mortgage") that now exist, or may hereafter be placed upon the demised premises or the Shopping Center or any part thereof and to all advances made or to be fade thereunder and to the interest thereon, and all rgnowsla, replacements, modifications, consolidations, or extensions thereof; and (4) that if the holder of any such mortgage ("Mortgagee"), the purchaser at any foreclosure sale or at any sale under a power of same contained in any Mortgage, or the owner, at the time of the hereinafter described request, of the fee estate or the leasehold estate of the real estate upon which the demised premises is situate (hereinafter referred to as Landlord for purposes of thla Section) shell at its sale option so request, Tenant will attorn to and racogni.se such Mortgages, purchaser, or Landlord, sip the case may be, as Landlord under this Lease for the balance then remaining of the tern of this Least, subject to all terms of this Lease; and (c) that the aforesaid provisions shall be self operative and no further instrument or document shall be necessary unless required by any such Mortgages, purchaser, or Landlord. Notwithstanding anything to the contrary act forth above, any Mortgagee may at any time subordinate its Mortgage to this Lease, without Tenant's consent, by execution o a written document subordinating such Mortgage to this'Loss@ to the extent set forth therein, andthersupon,this Least shall, be deemed prior to such Mortgage to the extent set forth in such written document without regard to their respective dates of execution, delivery and/or recording and in that event, to the extent set forth in such written document such Mortgagee shall have the same rights with respect to this Lane as though this lease had been executed and a memorandum thereof recorded prior to the execution, delivery and recording of the Mortgage and as though this Lease had been aasigned to such Mortgagee. Should Landlord or any Mortgages or purchaser desire confirmation of either such subordination or such attornment,_as the case may be, Tenant upon written request, and from time to time, will execute and deliver without charge and in form satisfactory to Landlord, the Mortgagee or the purchaser ¦ll instruments and/or documents that may be requested to acknowledge such subordination and/or ayresawnt to attorn, in recordable fore. ARTICLE XIV ASSIMIlENT MD SUKETTIMG 5ECTION 14.01. Assignment and Sublettina. (a) enT ant dhalTlt-o vo un srily, involuntarily, or by operation of law *osign, transfer, mortgage or otherwise encusbet (herein collectively referred to as at "assignment"S this Lease or any interest of Tenant herein, in whole or in part, nor sublet the whole or any part of the demised premises, nor permit the demised promises or any part thereof to be used or occupied by others:, without first obtaining in each and every instance the prior written consent of Landlord. Any content by Landlord to an assignment or subletting or use or occupancy by others shall be held to apply only to the specific transaction thereby_auth"Ired and shall not constitute a waiver of the necessity for such consent to any subsequent assignment or subletting or vae or occupancy by others, including, but not limited to, a subse W ent assignment or subletting by any trustee, receiver, liquidator, or personal representstiva of tenant, nor shall the references anywhere in this Lease to subtenants, licensees and concessionaires be construed so a consent by 'Landlord to an assignment. If this Lease - 17 - or any interest herein be assigned or if the demised premises or any part thereof be sublet or used or occupied by anyone other than 'Tenant without Landlord's prior written consent having been obtained thereto, Landlord asy nevertheless collect rent (including, but, not limited to, fixed 1liniaum Rant, Percentage Rent, the Utility Charge, Tax Rent, Tenant's proportionate shore of Landlord's Operating Costs, and additional rent) from the assignee, subleases, user or occupant and apply the not amount collected to the rents herein reserved, and furthermore in any such event Tenant shall pay to Landlord monthly, as additional rent, the excess of the consideration received or to be received during such month for such assignment, sublease, or occupancy (whether or not denoted as rent) over the rental reserved for such month in this Lease applicable to such portion of the demised premises so assigned, sublet or occupied. No such assignment, subletting, use, occupancy or collection shall be deemed a waiver of the covenant herein against assignment, subletting at use or occupancy by others, or the acceptance of the assignee, subtenant, user or occupant as Tenant hereunder, or constitute a release of Tenant from the further pertoraahcee by tenant of the tervis and provisions of this Lease. If this Lease or any interest of Tenant herein be assigned or if the whole or any part of the demised premises be !sublet or used or occupied by others, after having obtained Landlord's prior written consent thereto. Tenant shall nevertheless tswaln fully liable for the full performance of all obligations under this Lease to be performed by Tenant and Tenant shall not be released therefrom in any manner. (b) If at any time during the term of this Lease any part or all of the corporateshares of Tenant, or of a parent corporation of which Tenant is a direct or indirect subsidiary, shall be transferred by sale, assignment, bet, inheritance,, operation of law or other disposition Be as to result in a change in the present effective voting control of Tenant or of such parent corporation by the person or persons owing or controlling a majority of the shares, of Tenant or of such parent. corporation on the date of this Lease, Tenant shall promptly notify Landlord in writing of such change, and such change in voting control shall constitute an assignment of this Lease for all purpoaes of this Section; provided, however,- that this provision shall not apply in the event that over fifty percent 150%) of the voting power of the Tanent corporation or of such parent corporation is held by fifty (50) or more unrelated shareholders or distributed to such number of unrelated shareholders in a public distribution of securities. This clause shall not apply to a,corporation whose stock is traded on a nationally rel.6grsized stock exchange, (c) If Tenant is a partnership and if at any time during the term of thiS Lease any person rho at the time of the execution of this Lease owns a general partner's interest ceases to ores such general partner's interest, such cessation of ownership shall constitute an assignmentof this Lease for all purposes of this Section. (d) Opon the occurrence of any of such events as described in Section 14.01(a), 14.01(b), or 14.01(c) hereof, whether voluntary, involuntary, by operation of Jett, or otherwise, without the prior written consent of Landlord (whether or not Tenant shall have divan notice thereof to Landlord). Landlord may treat any such occurrence as a Deliberate Event of Default. SECTION 14.02. liica ion to Assign ,a_,,r $Alea. In the even hat tenant should desire to assign or sublet the whole or a pert of the leased praaisea, Tenant shall submit to Landlord a written statement, signed by Tenant, setting forth the following informations (a) The none and address of the proposed,asaignee or aubtenent and the character of its business; (b) The activities to be conducted in and the use to be .wade of the premises by the propeaed aesignae or subtenant; (c A full and complete' outline of all of the terms and conditions of the proposed assignment or subletting) (d) Such financial information and credit information pertaining to the proposed assignee or subtenant sufficient to enable Landlord to evaluate its financial respansibilityl (e) A representation that the proposed assignee or subtenant is not a tenant, subtenant, assignee or occupant of any space in the Shopping Center. During a periad_of thirty (30) days after receipt by Landlord of the foregoing information, Landlord may elect (1) to conser t to such proposed assignment or subletting; or (2) to refuse or withhold consent to ouch'sesignment or subletting; or (3) terminate this Lease, in which event this Lease shall terminate and end upon thirty (30) days' written notice of Landlord's decision to so tormtMts. Such election may be exercised by written notice served upon Tenant within such thirty (30) day period, but if no such notice is served, it shalt be deemed that Landlord has elected to refuse or withhold consent of the proposed assignment or subletting. Landlord agrees slot unreasonably to refuse or withhold consent to such proposed assignment or subletting, but it shall conclusively be deemed that Landlord's refusal or withholding of consent is not unreasonable if the proposed assignee or subtenant, or the character of the business of the proposed assignee or sult~t, or the use for which the proposed assignee or subtenant is to occupy said premises, or any of thew, is in Landlord's' sole discretion lees desirable; and it shall concluaively be deemed that Landlord's refusal or withholding of consent is not unreasonable if the sublease rent is greater than. the rent payable under this Lease, unless Tenant agrees in writing that such excess shall be paid to Landlord, SECTION 14,03. ?RU Ef Assz n nt 2E 5vblvasa. LandlorT s consen' ?'itto any sssignment or sublease shall not be effective until ono: (1) fully-executed copy of any written instrument of assignment or sublease has been delivered to Landlord. _ig_ ARTICLE Yv MERCHANTS' ASSOCIATIONI PROMOTION FUNDI ADVERTISING SECTION 15.01- WVq anta• AssociatPromotion Fund and Advertisi . (e) Tenant covenants and to become a area era any rchants' Association formed by the tenants of the Shopping Center- and approved by Landlord, and to maintain such membership throughout the term of this Lease. Tenant further agrees to pay as its share of the cost of the activities conducted by such association the sum set forth in Section "J" of the Indenture of Lease or such other sum as shall be determined by the Merchants' Association, hereinafter referred to as "Merchants' Association Payment', payable in advance in monthly installments to the Merchants' Association. If Landlord elects, Landlord may collect said Merchants' Association Payment on behalf of the Merchants' Association in which case tenant's Merchants' Association Payment shell be payable monthly together with installments of Fixed Minimum Rent. In addition, should Tenant Fail to make any such Merchants' Association payments when due, Landlord, an behalf of the merchants' Association, may collect said payments in the same manner and with the some rights granted to Landlord under the Lease for the collection of rent or other charges. Commencing with the second Lease Year, and each Lease Your thereafter, the Merchants' Association payumt shall be adjusted in the manner set forth below, but never less than the above amount. The amount of the Merchants' Association payment for each Lease Year, coarwencing with the second Lease Year, shall be determined as follows: Using the "Consumer'a Price Index -- U. S. Average, All Item and Commodity Croups", published monthly in the "Monthly Labor Review" by the United States Department of Labor, for the month and year during which the Lease was executed as the denominator and the index number for the first month of each Lease Your thereafter as the numerator, multiply said resulting fraction times the above stated Merchants' Association rote. In the event that the Bureau of Labor Statistics shall change the base period, the new index number.* shall be substituted for the old index numbers in making the above computation. In the event the Consumer's Price Index of the United States Bureau of Labor Statistics is discontinued, comparable statistics on the purchasing power of the consumer dollar as published at the time of said discontinuation by a responsible financial periodical of recognized authority shall be used for asking such computation. Tenant also agrees to cooperate fully with the Landlord and other 'tenants of the Shopping Center in promoting the use of trade names and slogans as may be adopted for the Shopping Center, and all promotional and advertising compel no end pay any special assessments as are required by the Merchants' Association. Within thirty (3Q) days after billing, 'I.7}Ir a wOR?r4" ? ? ?t ? ? .._?+`..d ?:.9 rw. _bappLaq - Tanent egress that Landlord or its designee may in its sale discretion and under its exclusive control and supervision provide the association with any or all of, and be reimbursed by the association for providing the following; (i) the services of a marketing director and all staff and outside consultants (including professional marketing service organizations) deemed necessary by Landlord to carry out effectively the marketing and public relations objectives of the Merchants' Association including, without limitation, all payroll, payroll taxes and employee benefits of any such director and staff; (ii) such reasonable amount of space within the shopping center as may be'. necessary for the Merchants' Association, the rental therefor to be comparable to the rentals for similarly sized tenant space in Landlord's building; (iii) all actual coats incurred in advertising end promoting the Shopping Center, including without limitation radio, newspaper, television, direQt and indirect coots of services, artwork, copy, printing, paper. stationery and supplies; and (iv) such office equipment, utilities and telephones as may be deemed necessary by the marketing director. (b) Notwithstanding that Landlord may form the Association so set forth above, Landlord or the Landlord's designee reserves the, right at any time and from time to ties, without Tenant's consent or approval, to institute in its place a Promotion Fund to furnish and maintain edvertising and sales promotions for the benefit of ell tenants of the Shopping Center. Upon formation of the Promotion Fund, the Association will turn over all amounts in its possession to Landlord or the Landlord's designee which will open and maintain a beak account, separate from all of its other bank accounts, into which Landlord or the Landlord's designaa shall deposit the promotion fund contribution paid by Tenant, the aforesaid: mount received from the Association, as well as other contributions which Landlord or the Landlord's designee may receive from time to time from other tenants of the Center (the aggregate of such funds on hand from time to time being referral to herein as the "Promotion Fund"). Upon turning over such funds to Landlord or the Landlord's designee, the Association shell be liquidated and dissolved. Commencing with the formation of the Promotion Fund, and thereafter while the Promotion Fund is in existence, Tenant shall pay to Landlord or the Landlord's designee, as Tenant's contribution to the Promotion Fund, and an annual charge ("Promotion Charge") which shell be in the some amounts, including any CPI sdjstments, as the assessment Tenant would be required to pay to the Association if the asas was in effect, except that the annual Charge shall be payable monthly together with Installments of Fixed Minimum Rent. The Promotion Fund shall be used by Landlord or the Landlord's designee to pay all coats and expenses associated with the implementation of in ongoing program for the promotion of the Shopping Center, which program may include, without limitation. special events, shows, displays, signs, seasonal events, institutional advertising for the Shopping Center, promotional literature and other activitiea'designed to attraCt customers to the Shopping Center. In connection with the operation of the Promotion Fund, Landlord or the Landlord's designee shall have the right to employ or reuse to be employed- all promotional services and personnel which, in the judgment of the Landlord or the Landlord's designee, are - 19 - necessary to administer such fund and such promotional activities, and such personnel ¦hs11 be under the exclusive control and supervision of Landlord or the Landlord's designee who shall have the sole authority to employ and discharge such personnel. The Promotion Fund say also be used to defroy.the cost of administration of the Promotion Fund and such advertising programs including. without limitation, the salary of the promotion and advertising director and related administrative personnel, rent and insurance. Landlord shall have no obligation to expend on such ongoing program any funds in excess of the annual sums contributed to the Promotion Fund after payment of all such administrative and other expenses. (c) All sum required to be paid by Tenant pursuant to this Article XV shall be deemed "additional rent", shall be payable without demand, deduction or offset, and for the purposes of Articles XVIII and XIX of this Lease shall be referred to as the Promotion Charge. (d) Notwithstanding anything to the contrary contained heroin, Landlord or the Landlord's designee: reserveeE the right, from time. to time Upon written notice to Tenant, to convert the. AsOwl- :. ation ar Promotion fund to any other entity selected by Landlord or the Landlords designee to perform the 'services theretofore performed' by the Association or Promotion Fund. Upon the forwstion of such entity, the provisions of Sections (a) and/or (b) hereof which are then in effect shall cease and become null and void, and thereafter Tenant shall comply with the charter or by-laws of such new entity. Tenant shall pay to such new entity. Landlord, or the Landlord's designee, as directed by Landlord or the 'Landlord's designee, the payments theretofore required to be paid by Tenant to the ARTICLE XVI DESTRUCTION OF LEASM PREMISES SECTION 16.01. Total or Partial' Destruction. (a) fF7" leased prey sea shall be damaged by fire or other casualty covered by Landlord's policies of 'fire and broad form extended coverage insurance but are not thereby rendomd untenantable in whole or in part, subject to the limitations hereafter set forth, Landlord, at its own expense, may cause such damage to be repaired, and the rent shall not be abated. If by reason of such occurrence, the premises shall be tendered untartsntsble in whole or in part, subject to the limitations hereafter get forth,, Landlord, at its own expense, may cause the damage to be repaired and the Fixed Minimum Rent shall be abated proportionately as to the portion of the premises rendered untenantable until the completion of Landlord's repairs thereto. If the loosed premises shall be damaged or destroyed by a fire or casualty, in whole or it part, and the Landlord, at its option, decides not to repair and restore the promises, Landlord shall have the right, to be exercised by notice in writing delivered to Tenant within sixty (bap) dsyo from and after the occurrence of such damage or destruction, to cancel end terminate this Lease. Either party shall have the right, to be exercised by notice in writing, delivered to the other within thirty (30) days from and after any occurrence which renders the premises wholly untenantable to cancel this Lease, if said destruction of the premises occurs within the lost three (3) years of the term of this tease, said cancellation to take effect ninety (90) days iron and after the receipt of such notice by the other party, and in such event this Lease and the tenancy hereby created shall cease as of the aforesaid cancellation date, the rent to be adjusted at of such date; provided, however, that if Landlord shall commence repairs of reconstruction of the destroyed premises during the period prior to the cancellation date:, the tenancy shall remain in effect and said notice of cancellation shall be considered void. In no event shall Landlord be obligated to expend for any repairs or reconstruction pursuant to this Section 16.01 on amount in excess of the insurance proceeds recovered by it and allocable to the dosage to the leased premises after deduction therefrom of Landlord's reasonable expenses in obtaining such proceeds and any snounte ro Wired to be paid to Landlord's mortgagee. Nothing in this Section ahall be construed to permit the abatement in whole or in part of the Percentage Rent, and the calculation of Percentage Rent shall be ggvwrned solely by Section 2.01'(c) hereof. (b) If the Landlord is required to repair or reconstruct the leaned premises pursuant to the provisions of this Section 16.01, its obligation shall be limited to the building shell. Tenant at Tenant's expense shall promptly perform all repairs or restoration not required to be donee by Landlord and shall promptly re-enter the demised premises and comments doing business in accordance with the provisions of this Lease. Landlord shall not be liable for delays occasioned by adjustment of losses with insurance carriers or by any other cause so long as Landlord shall proceed in good faith. (c) Notwithatanding anything set forth herein to the contrary, Tenent shall be responsible for all repairs and replacements of damage and/or destruction of the lasted premises necessitated by burglary or attempted burglary, or any other illegal or forcible entry into the demisedpreaises. 5ECTION 16.02. Partial pestESURD of in 90-nter. In tt-e?` 8Vent -m ifty percen -or more of the grilse leasable floor area of the -2D- Shopping Center shall be damaged or destroyed by fire or other cause notwithstanding that the leased premises may be unaffected by such fire at other cause, Landlord shall have the right, to be exercised by notice in writing delivered to Tenant within aixty (60) days after said occurrence, to cancel and terminate this Lease. Upon the giving of such notice, the term of this Lease shall expire by lapse of time upon the fifteenth (15th) day after such notice is given and Tenant shall vacate the leased premises and surrender the sane to Landlord. ARTICLE XVII EMINENT DOMAIN SECTION 17.01. Toth .. anon. If thewTole of the ised premises shall be taken by any public or quasi-public authority under the power of eminent domain. condemnation or expropriation, or in the event of a conveyance in lieu thereof, then this Lease shall terminate as of the date an which possession of the demised premmises is required' to be surrendered to the condemning authority, and Tenant shall have no claim against Landlord or the condemning authority for the value of the unexpired term of this Lease. SECTION 17.02. Partial Candeenetion. If any?o ed premises shall be so taken or conveyed and if such partial taking or conveyance shall render the leased premises unsuitable for the business of the Tenant, then the term of this Lease shall cease and terminate as of the date on which possession of thei demised premises is required to be surrendered to the condemning authority and Tenant Shall have no claim against Landlord or the condemning authority for the value of any unexpired term of this tease. In the event such partial taking or conveyance is riot extensive enough to sneer the premises unsuitable for the business of Tenant, this Lease shall continue' in full force and effect except that the fixed Minimum Rent and the Percentage Rent Gross Sales Base shall each be reduced in the some proportion that the floor area of the dswised premises so taken or conveyed bears to such floor area imedietely prior to such taking or conveyance, such reduction commencing as of the, date Tenant is required to surrender possession of such portion and with respect to the days during which the demised premises are not open for !business the calculation of Percentage Rent shall be adjusted in accordance with Section 2.01(C) hereof,. Landlord shall promptly restore the leased premises, to the extent of condemnation proceeds available For such purpose, as nearly as :practicable to a condition comparable to their condition as the time of such condemnation less the portion lost in the taking or conveyance and Tenant shall promptly wake all necessary repairs, restoration and alterations of Tenant's fixtures. equipment and furnishings and shall promptly re-ontar the lased prvataes and commence doing business in accordance with the provisions of this Lease. For purposes of determining the amount of funds availablefor restoration of the leased premises from the condemnation award, said amount will be deemed to be that pert of the award which remains after payment of Landlord's reasonable expenses incurred in recovering same and of any aaounte due to any mortgagee of Landlord, and which represents a portion of the'total 'sum, so available (excluding any award or other compensation for land) which is equitable allocable to the leased premises. SECTION 17.03. Parti cndomnstion of SSh ^ Cen .r. (a) more an one-third of the floor area of the buildings of which the demised premises are a part or more then one-third (1/3) of the leasable floor area of the Shopping Center or more than one-third (113) of the Common Areas shall be so taken or conveyed, or (b) if any part of the parking area in the Shopping Center is so taken or convoyed and as a result of ouch partial taking or conveyance the size, layout or location of the remaining parking facilities will violate the requirements of the applicable zoning or similar law (or any permitted variance or exception thereto), than in any or all such events notwithstanding the fact that llie demised premiss are not to taken or conveyed, Landlord shell have the right and power, at its option to be exercised by written notice to Tenant, to terminate this Lease effective either the date title vests in the condemning authority or the date Landlord is required to deliver- possession of the: part so taken or conveyed; provided, however, in the event of a taking or conveyance described in clause (b), if Landlord shell take immediate steps towards eliminating such violation, this Leaase shall be unaffected and remain in full force and effort. In any event, Tenant shall 'have no claim against Landlord or the condemning authority for the value of, any unexpired term of this Less*. 56CfIOM 17.04. "A m es. In the even oRany condemnation or taking as hereinbefore provided, whether whole or partial, the Tenant shall not be entitled to any part of the award as damages or otherwise for such condemnation and Landlord and any mortgagee of Landlord are to receive the full amount of such award as their respective interests may appear. Tenant heresy expceasly waives any right at Clain to any part thereof and assigns to Landlord any such right or Claim to which Tenant might become entitled. SECTION 17.05. Tenant's Comma". Althou a _ domsgee'in the event of any condemnation are to belong to the Landlord and tiny mortgagee of Landlord as aforesaid, whether such damages ere awarded an full eoepensstion for diminution in value of the lossohold or to the fee of the leased premises. Tenant shall have the right to the extant that name shall not diminish the Landlord's or such nortgagse's award: to claim end - 21 - recover from the condemning suthority,:but not from Landlord or such ,mortgagee, such compensation as may be separately awarded or recoverable by Tenant under the Eminent Domain Code in Tenants own right for or on account of, ,and limited solely to, any cost to which Tenant might be put in removing Tenant's merchandise, furniture, fixtures, and cquipsent. ARTICLE XMIII BANKRUPTCY OR INSOLVENCY SECTION 18.01. 8snkru tc? or Irt?solven?. (a) If e;t any time priar to the date herein fixed as the commencement of the term of this Lease of at any time thereafter there shall be filed by or against Tenant in any court pursusnt to any statute either of the United States or of any state, a petition in insolvency, or if Tenant wakes an assignment for the benefit of creditors or if there is an assignment by operation of law,. at if Tenant makes application to Tenant's creditors to settle or compound or extend the time fat payment of Tenant's obligation, or if any execution or attachment shall be levied upon any of the Tenant's property or the demised premises are taken or occupied of attempted to be taken or occupied by someone other then the Tenant, then this Leese shall at the Landlord's option be cancelled and terminated end, in which event, neither Tenant nor any person claiming through or under Tenant or by virtue of any statute or of an order of any court shall be entitled to possession of the demised premises. (b) if at any time prior to the data herein fixed ea the commencement of the term of this Lease or at any time thereafter there shall be filed by or against Tenant in any court of the United States a petition in bankruptcy or for reorganization or for the appointment of a receiver at trustee of all or a portion of Tenant's property, theh this Lease shall at 'the Landlord's option be cancelled and terminated if ouch cancellation or termination is permitted' by the applicable low. If such termination or cancellation is not permitted by the applicable law, then: (i) upon the filing of a petition by or against Tenant under the Bankruptcy Code, Tenant$ as debtor and ae debtor in possession, and any trustee who may be appointed, agree to perform each and every obligation of Tenant under this Lease until such timeas this Lease is either rejected or assumed by, order of the United States Bankruptcy Court; and to :pay monthly in advance on the first day of each month as reseanably compensation for use and occupancy of the Premises an amount equal to all Annual Minimum Rent and Additional Rent; and to reject or assume this Lease within sixty (SIl) days of the filing of such petition under the Bankruptcy Code; and to give Landlord at least forty-five (45) days prior written notice of any proceeding relating to any assumption of this Lease; and to give at least thirty (3U) days prior written Aortic* of any abandonment of the Prominent any such abandonment to be deemed e rejection of this Lease; and to do all other things of benefit to Landlord otherwise required under the Bankruptcy Code; and to be deemed to have rejected this Lease in the event of the failure to comply with any of the above; and to have consented to the entry of an order by an appropriate United States Bankruptcy Court providing all of the above, waiving notice end hearing of the entry of asset (ii) no default of this Lease by Tenant, either prior to or subsequent to the filing of such s petition,, shall -be deemed to have been waived unless expressly done so in writing by Landlord; 040 it is understood and agreed that this is a Lease of real property in a-shopping center and of non- residential reel property as such a lease is described or referred to in the 'Bankruptc'y Code; (iv) included within and in addition to any other conditions or obligations imposed upon Tenant or its successor in the event of assumption and/or assignment are the cure of any monetary defaults and the reimbursement of pecuniary love within not mote than thirty (30) days of assumption and/or assignment; and the deposit of an additional sum equal to three (3) months' Rent; and the use of the Premises as set forth in the Indenture of this Leese and the quality and/or lines of merchandise of any goods or services required to be offered for sale are unchanged; and the reorganized debtor or assignee of such debtor in possession or of Tenant's trustee deaanstrates in writing that it hoe sufficient background including, but not limited to, substantial retailing experience in shopping centers of comparable size and financial ability to operate a retail establishment out of this Leese; and the Prwtiaes, at all tio", remains a single store and no physical changes of any kind maybe made to the Premises unless in compliance with the applicable provisions of this Lease. ARTICLE XIX EVENTS OF DEFAULT; LAN)LORD15 RMIES SECTION 19.01. Events of Default. The Foor?ow nq sFs vnatitute Events of Defauitr (a) If tenant defaults in the payment of any mum of money (whether fixed Minimum Refit, Percentage Rent, Tax Rent, Tenant's proportionate share of Operating Costs, the Utility Charge, Promotion Charge, additlonal rant or otherwise) when duo end such default shall continue fort period of more than ten (10) days after the date said payment is due. (b) Except an to acta, defaults, omissions and/or occurrencee_ characterized, defined. denoted, or identified in this Lease as Deliberate Events of Default, if Tenant defaults in fulfilling any of the other covenants of this Lease on Tenant's part to be performed hereunder and such default -22- shall continue for the period within which performance is 'required to be made by specific previsdon of this Lease, or, if no such period is provided, fifteen (I5) days eFtor the date of written notice from Landlord to Tenant specifying the nature of said default, or, if the default so specified shall be of such a nature that the some cannot be reasonably cured or remedied within said fifteen (15) day period. if Tenant shall not in good faith have commenced the curing or remedying of such default within such fifteen (15) day period and shall not thereafter diligently proceed therewith to completion. (c) If any execution or attachment shall be issued against Tenant or any of Tenant's property and shall not be discharged or vacated within ten (10) days after the issuance thereof. (d) Any event described in Section 18.01. (e) If Tenant shall abandon the demigod premises or if the demised premises shall be permitted to beeves vacant, or shall fail to keep the demised premises continuously and uninterruptedly open fat business. SECTION 14.02. Deliberate Events of Default.. (a) -GawLbstandn anything of the contrary out forth in this. Lease, of Tenant shall default (1) in the timely payment of Fixed Minimum Rent, -Percents" Rent, tax Rent, Tenant's proportionate share of Operating Costs, the Utility Charge, -or Promotion Charge or in the timely reporting of Gross Sales or any of them, and any such default shall be repeated two (2) times in any period of twelve (12) months; or (2) in the performance of any other covenant of this Lease more than three (3) tunes in any period of twelve (12 months, then, notwithstanding that such defaults shall have been cured within the 'period after notice as above provided, any further similar default within such twelve (12) month period shall be deemed to be a Deliberate Event of Default. (b) Any default, act, omission or occurrence characterized, defined, demoted, or identified elsewhere in this Lease as a Deliberate Event of Default shall also be a Deliberate Event of Default (c) In the event of a Deliberate Event of Default, Landlord, without giving Tenant any notice andwithout affording. Tenant an opportunity to cure the default (Tenant hereby specifically waiving any right of tender) may exercise any or all of its rigtvts under this tease in addition to those it may have at law or in equity. SECTION 19.03. Termination. upon orhe occurrence of any one or more of such Event of Default or Deliberate Events of Default, if the term shall not have commenced, Landlord may immediately pencel this Lease by written notice to Tenant, or if the tore shall have commenced Landlord may serve upon lament a written notice that this Lease and the term will terminate on a date to be specified therein, which shell not be less than ten (10) days after the date of such notice and, in either event, Tenant 'shell have nu right to avoid the cancellation or termination by payment of any sum due or by other performance of any condition, term or covenant broken. Upon the date specified in the aforesaid notice of termination, this Lease and the term hereof shall terminate and come to an and as fully and completely as if such date were the day herein definitely fixed for the end and expiration of this Lease and such term, and Tenant shall then gait and surtender the desisad premisss to Landlord, but mtNithatsnding any statute, rule of law, or decision of any court to the contrary, Tenant shall rommirwilable as set forth hereinafter. Notwithstanding Landlord's election to terminate this Lease, Landlord my, at its option, reinstate this Lease at any time thereafter, and a letter from Landlord, Agent or the attorney for Landlord or Agent setting forth Landlord's exercise of 'Lis _option to reinstate the Lease Shall be sufficient to reinstate this tease upon all of its terms and conditions, without any other notice to or from either party to the other. SECTION 19.04. Right of Poss ion. Upon or enter any one or more Events of Default or Deliberate Events of Default; at if the notice provided for above in Section 19.03 hereof shall have been given and this Lassa whs11 be terminated; or if the demised promises become vacant or deserted; then, in all or any of rush events, in addition to, and not in lieu of, all other remedies of Landlord, Landlord may without notice terminate all services (including, but not limited to, the furnishing of utilities) and/or re-enter the demised premises, either by force or -otherwise, and/or by, summary proceedings or otherwise dispossess Tenant and the legal representative of Tenant or other occupant of the demised premises, end remove their effects and repossess and enjoy the demigod premises, together with all altsrstions, additions and improvements, all without being liable to prosecution or damages therefor. SECTION 19.05. Additional Remedies of Landlord. (a) In the ovviiit any Ven of Default, Deliberate Event of Default, re-entry, termination and/or dispossession by summary proceedings or otherwise, in addition to, and not in lieu of, all other remedies which Landlord has under this Lease, at law or in eq.?itys (1) the Fixed Minimum Rent shall become due thereupon and be paid up to the time of such re-entry, dispossession and/or eKpirstionT and (2) Landlord may, in its sole discretion, relot the demised presisss or arty part or parts thereof, either in the nags of Landlord or otherwise, for a term which may at Landlord's option be less than or exceed the period which would otherwise have constituted the balance of the term of this Lease, and may grant concessions or free rent; provided, however, Landlord is expreasly under no obligation to relet the deaiaed premises; and (3) Tenant or the legal representative of Tenant shall also pay Landlord, at Landlord's option and whether or not Landlord has terminated or cancelled this Lease, as liquidated damages for the failure of Tenant to observe and perform said lenant'a cotenants 21 - herein contained, for each month of the period which would otherwise have constituted the balance of the term, the excess, if any, of the sum of one monthly installment of Fixed Minimu Rent, one-twelfth (1/12th), of the annual average Percentage Rent payable hereunder for the three (3) lease years immediately preceding (or for the entire preceding portion of the term of this Lease if less than three (3) lease years), the monthly portion of the payment of Tex Rent that would have been payable for the period in giestion but for such re-entry or termination, the utility Charge payable for such month computed on the basis of the average monthly charge for the said three ()) preceding lease years or entire preceding portion of the term, as the case maybe, the monthly payment of Tenant's current proportionate share of Operating Costs, the Promotion Chargo computed on a monthly basis over the net amount, if any, of the rents actually collected on account of the lease or leases of the demised premises for such month. The refusal or failure of Landlord to relet the demised promises or any part or parts thereof shall not release or affect Tenant's liability for damages. In computing such liquidated damages there shall be added to the said deficiency such expenses as Landlord may incur in connection with reletting, such as court COSts, attorneys' fees and disboreements, brokerage end management fees and commissions,_ cost of putting and keeping the defined promises in good order and costs of preparing the demised premises for reletting as hereinafter provided. any such liquidated damages shall be paid in monthly installments by Tenant on the day specified in this Lease for the payment of Fixed Minimum Rent and any action brought to collect the amount of deficiency for any month shall not prejudice in any way either the rights of Landlord: to c611set the deficiency for any subsequent month by a similar proceeding; provided only that such liquidated damages shall be reduced by the amount, if any, of monthly liquidated damages collected by Landlord minus the actual cost (including attorneys' fees a" casts) Of collecting such monthly liquidated damagea. Landlord, at Landlord's option, say make such altermtions, repairs, replacemonts and/or decorations in the demised premises an Landlord in Landlord's sole judgment considers advisable and necessary for the purppse of resetting the demised premises; and the making of such alterations and/or decorations shall not operate or be construed to release Tenant from liability hereunder as aforesaid. Landlord shall in no event be liable in any way whatsoever for failure to relet the demised premises, or, in.the event that the demised premises are relet, for failure to collect the rent thereof under such relettinQg. (b) In any of the circumstances mentioned in the foregoing Section 19,f1S(a) in, which Landlord shall have the right to hold Tenant liable as therein provided, Landlord shall have the election, i.: place and instead of holding Tenant so liable, forthwith to recover against Tenant, as liquidated damages for loss of the bargain and not as a penalty, a sum equal to the Fixed Mintmom Rent multiplied by the number of months and fractional month which would have constituted the balance of the term, together with costs and attorneys' fees. (c) In the event of a breach or threatened branch by Tenant of any of the covenants or provisions hereof, -,Landlord shall have the right of injunction and the right to invoke any remedy allowed at law or in equity as if re-entry, summary proceedings and other remedies were not herein provided for. Mention in this Lease of any particular remedy shall not preclude Landlord from any other remedies under this Lease, or now or hereafter existing at law or in equity or by statute. (d) Tenant hereby expressly waives the service of' notice of intention to re-enter or to institute legal proceedings to that end and any and all rights of redemption granted by or under any present or future laws in the event of Tenant being evicted or dispossessed for any cause, or in the event of Landlord obtaining possession of the de*ised premises by reason of the violatlon by Tenant of any of the covenants and conditions of this Lease or otherwise. The words "re-enter" and "reentry" as -used in this Lease are not restricted to their technical legal meaning. SECTION 14.06. Confession of .]:oddment. (s) on the occurrences Or any Event of Default, or in the event of a Deliberate' Event of Default as defined herein, Tenant hereby empowora any Prothonotary or any attorney of any court of record within the United States or elsewhere to appear for Tenant with declaration flied, and confess judgment in favor of Landlord, its successors or assigns, we of any tern, for any determined amount to which Landlord would be entitled as damages under the provisions of Article X1X hereof including also an attorney's fee for collection of the same of five percent (54) of the total amount of such damages, together with costs of suit, and Tenant hereby woiveg all errors, defects and imperfections in entering said judgment or in any writ, or process, or proceeding thereon or thereto or in any wise touching or concerning the same; and for the confession and entry of such judgment, this Lease or a true and correct copy thereof shall be sufficient warrant and authority. The authority and power contained herein shell not be exhausted by one exercise'thereaf, but judgment may be confossed as aforesaid from time to time end as often as there is an occurrence of any Event of Default, or in the event of a Deliberate Event of Default as defined herein; and furthermore ouch authority end power way be exercised during the original term and any extension or renewal thereof, or after the expiration or earlier termination of the terns hereof. (b) When this Lease shell be terminated or cancelled by reason of the breach Of any provision hereof, either during the original 'term of this Lease or arty renewal thereof, and also as soon as the tern hereby created or any renewal thereof shall have expired, it shall be lawful for any attorney as attorney for Tenant to file an agreement for entering in any court of competent jurisdiction an amicable action and confession of judgment in ejectment against TenanL and all persona claiming under Tenant for the recovery by Landlord of possession of the demised premises, for which this lease or a true and correct copy thereof shall be his sufficient warrant, whereupon, if Landlord so, desires, a writ of possession may issue forthwith, without any prior writ or proceedings whatecover, and provided that if for any reason after ouch action shall have been commenced the acme shall be terminated and possession remain in or be restored to Tenant, Landlord shall have the right . 24 - upon any subsaguent default or defaults, or upon the termination or cancellation of this Lease as herainbefore set forth, to bring we or more amicable action or actions as hereinbefore met forth to recover possession ev aforesaid,) SECTION 19.01. Waivers. (a) enWint expressly waives: (1) The benefit of all laws, now or hereafter in force, exempting any goods on the devised premises, or elsewhere, from distraint, levy or sale in any legal proceedings taken by Landlord to enforce any rights under this Lease. (2) The benefit of all laws now made or which may hereafter be made regarding any limitation as to the goods upon which, or the time within which, distress is to be made after the removal of goods, and further relieves Landlord of the obligation of proving or Identifying such goods, it being the purpose and intent' of this provision that all goods of Tenant, whether upon the demised premises or not, shall be liable to distress for rent. (3) The right to issue a writ of replevin for the recovery of any goods seized under a distress for rent or levy upon an execution for rent, daneges or otherwise,. (4) The right to delay execution on any real estate that way be levied upon to collect any, amount which may become due under the terms and conditions of this Lease and any right to have the some appraised, and Tenant outhorites any Prothonotary 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. awrit of execution or other process. -(5) All rights under any law, ordinance or statute relating to Landlord and Tenant rights to the extent of hereby authorizing the sale of any gouda distesined for rent at anytime after seven (7) days frost said distraint without appralsesent and condemnation thereof. (6) The right to three (3) months' notice end/o3 ftfteen (15) or thirty (30) days' notice required under certain circtmatances by The Pennsylvania Landlord and Tenant Act of 1931, as amtnded, hereby agreeing that any notice time period as required in this Lease Agreement shall be Sufficient in either or any such ease. Landlord and Tenant agree that this Section (f) shall only be applicable if the devised premises5 is situate in Pennsylvania (b) The parties hereby waive trial by jury in any action, proceeding or counterclaim brougnt by either party against the other on any matter 'whatsoever arising out of, or in any way connected with, this Lease, the relationship of Landlord and Tenant created hereby, Tenant's use or occupancy of the Demised Premises, and/or any claim for injury or damage. In the event Landlord commences any action ur proceeding far nonpayment of 'Kinioum Rent or any items of additional rent due hereunder, Tenant shall not Oterpose any counterclaim of any nature or description in any such action or proceeding. The foregoing, however, shall nat be construed as a waiver of Tenant's right to assert such claim in a separate action or proceeding instituted by Tenant. ARMLE XX SECTION 20.41. Access YX Landlord. Landiem?y at a reasonable times during the taro of this Lease enter to inspect the demised premises: and/or may show the demised premises and building: to others. At any time within opo (1) year immediately preceding the 'expiration of the term of this Lease, Landlord shall have the right to display on the exterior of the demised premises (but not to as to unreasonably obstruct the view thereof or access thereto) the watomery "for Rent" sign and during such period 'Landlord 'may show the premises and all parts thereof to prospective tenants between the homers of 9100 A.M. and 9sOO P.M. on any day. Landlord also reserves the right after notice of intention to so enter (except that in the event of an emergency, no notice shall be required) to enter the premises at any Line and from time to time to make such repair. additions or alterations ea- it may deem necessary for the safety, improvement or preservation thereof, or of the building in which the devised premises is contained, but - Landlord assumes no obligation to do so, end the performance thereof by Landlord shall not constitute a waiver of Tenant's default in failing to perform the same. Landlord shall in na event be liable for any inconvenience, disturbances, loss of business or other damage to Tenant by reason of the performance by Landlord of any work in, upon, above or under the devised premises. If Tenant shall have vacated or deserted the demised premises or in the event of an emergency, or if in any other instance after Landlord has given notice of Landiord's intention to enter, Tenant or Tenant's employees shall not be personally present to permit an entry into the demised premises, then, in any such event, Landlord or its agents or employees may enter the some by the use of force or otherwise without rendering Landlord liable therefor, and without in any manner affecting Tenant's obligations under this Lease. The exercise of any such reserved right by Landlord stroll not be deemed an eviction or disturbance of Tenant's use and possession of the premises and shall not render Landlord liable in any manner to Tenant or to any other person, nor shell the same constitute any grounds for an abatement of any rent hereunder. SECTION 20.02, Holdi Over. Should Tenant 10d over in possession of the demised pramsissa after the expiration of the term hereof withoutthe execution of a new lease agreement or eatenalon or renewal agreement, Tenant, .. 25 u? at the option of Landlord, shall be deemed to be occupying the devised premises from month to month, N'?y subject to such occupancy being terminated by either party upon at least thirty (30) days' written F- notice, at the rental, including, but not limited to, fixed Minimum Rent computed at a 'rate which is `,•.daubla_.the. fixed Minimum Rent rate in effect for the last full month of the term of this Lease, w Percentage Rent, Tax Rent, Tenant's proportionate share of Operating Costs, the Utility Charge, r, Promotion Charge, and additional gent all calculated, from time to time, as though the term of this Loose had continued and otherwise mi.,eject to all of the other terms, covenants and conditions of the Lease insofar as the same may be applicable to a month to month tenancy. (D p SECTION 20.03. Succeasors. All rights, obligations and liabilities herein given to, or imposed upon, the respective r- p,erties hereto shall extend to mind bind the several respective heirs, executors, administrators, trustees, receivers, legal reprasentativas, Successors and "ensigns of the said parties; and, if there m shall be pore than one tenant, they shell all be bound jointly and severally by the terms, covenants and agreements herein.. No rights, however, shall inure to the benefit of any aasigge41 legal 0 representative, trustee, receiver, legatee Or other personal representative of Tenant unless the assignment to such party has been approved by Landlord in writing as provided in Section- 14.01(.e) hereof. Any reference to any department Store herein shall sppiY to its Successors, replacements or assigns. SECTION 20,04. 21ALEn nt. So long as .errant shall pay the rents herein provided within the respective times provided therefor, and provided and so long &I Tenant observes and perform$ all the covenants, terms and conditions on Tenant's pert to be observed end performed, Tenant shall peaceably and q.iietly hold and enjoy the oenlaed prewisee for the tore hereby demised without' hindrance or interruption by Landlord or any other person or persons lawfully claiming by, through or under Landlord, subject, nevertheless, to the terms and conditions of this Lease. Landlord's liability under this Section shall Cease upon a conveyance by landlord of the premises. SECTION 20.05. Waiver. The waiver by Landlord of any breech of any term, covenant or condition herein contained shall not be deemed to. be a waiver or any subseW.ent breach of the same or a waiver of any other: term, covenant or condition herein enntr ned. The subsequent acceptance by Landlord of rent doe harsunder or any or all other monetary obligations of Tenant hereunder, whether or not denoted as rent hereunder, shall not be deemed to be a waiver of any preceding breach by Tenant of any term, Covenant or conditi,.n of this Lease, other than the failure of Tenant to make the particular payment so accepted, regardless of tandlord0s knowledge of such preceding breach at the time of acceptance of such rent. No covenant, term or condition of this tease shell be deemed to have been waived by Landlord, unless such waiver be in writing and executed by Landlord. SECTION 20.06. Custom and Usage. Any law. usage or custom to the contrary notwithstanding, Landlord shall have the 'right at all times to enforce the covenants and conditions of this Lease in strict accordance with the terms hereof, notwithstanding any conduct or custom on the part of the Landlord in refraining Prow so doing at any time or times with respect to the Tenant hereunder or with respect to other tenants of the Shopping Center, The failure of Landlord at any time or tires to enforce its rights under said. covenants and provisions strictly in accordance with the same shall not be construed as having created' s custom in any way or manner contrary to the specific terns, provisions and covenants of this Lease or as having in any way or manner modified the same. SECTION 20.07. Accord and Satisfaction. No payAant by Henan of receipt by Landlord of a lesser amount than any payment of rent or additional rent herein stipulated shall be deemed to be other than on account of the earliest' stipulated rent or additional rent then due and payable, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as rent be deemed an accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord's right to recover the balance of such rent or pursue any other remedy provided in this Lease, at law or in equity. SECTION 20.08. Perf of Tenant'* Covenants. Tcnan eft"VrOn.5vto a agrees et it rill perform all agreements and observe all covenants herein expressed on.: is part to be performed and observed and that it will promptly, upon receipt of written notice specifying action desired by Landlord in connection with any such agreement or covenant, comply. Kith such noticeT end further, that if Tenant shell not comply with any suCh.notiCe to the satisfaction of Landlord prior to the date on which such noncompliance would constitute an Event of default, in addition to, and not in lieu of or in limitation of any other remedy which Landlord may have pursuant to this Lease, at law or in acpity, Landlord may, but shall not be obligated to, enter upon the premises and do the things specified in said notice. Landlord shall have no liability to Tenant fair any Jos or damage resulting in any way from ouch action and Tenant +rgroes to pay upon demand, as 'additional cent, any expense incurred by Landlord in taking ouch action, Notwithstanding the foregoing, Landlord's performance of any or all of tenant's covenants shall hot release. Tenant from liability for non-perforaance• - 26 - SECTION 20.04. 'Entire _ifgr_e_e ,ntt. The Inn-metre nease, the Lease Agreement, the Exhibits and Rider, if any, act forth all the covenants, promises, agreements, conditions and understandings between Landlord and Tenant concerning- the demised premises and there are no 'covenants, promises, agreements, Conditions or understandings, either oral or written, between them other than ae herein set forth. All prior communications, negotiations, arrangements, representations, agreements and understandings, whether oral, written or both, between the parties hereto, end their representatives, are merged herein and extinguished, this Lease superseding and cancelling the same. Exempt as herein otherwise provided, no subsequent alteration, amendment, change or addition to this Lease shall be binding upon Landlord or Tenant unless reduced to writing and executed by the party against which such subsequent alterations, amendment, change or modification is to be enforced. If any provision contained in any rider hereto is inconsistent with any printed provisions of this Lease, the provision contained in such rider shall supersede said printed provision. Tenant hereby acknowledges that: (a) this Least contains no restrictive covenants or exclusives in favor of Tenant; (b) this Lease shall not be deemed or interpreted to contain, by implication or otherwise, any warranty, representation or agreement on the pert of Landlord that any department store or regional of national chain store or any other merchant shall open for business or occupy or continue to occupy any presides in or adjoining the F wppin0 Center during the term of this Lease or any port thereof and Tenant hereby expressly waives all claim with respect thereto and acknowledges that Tenant ia.not relying on any such warranty, representation or agreement by Landlord either as a matter of inducement in entering into this Lease or on a condition of this'Lesse or as a covenant by Landlord SCCT10N 10.10. No Pa tnersh- Landlo end du s not, in any way or for any purpose, become a partner of Tenant in the conduct of its business, or otherwise, or joint venturer ors member of a joint enterprise with Tenant. The provisions of this Lease relating to the Percentage Rent payable hereunder are included solely for the purpose of providing a method whereby adequate rent its to be measured and ascertained. SECTION 20.11, Notices. A11 payments of rent and any and all other monetary obligations of Tenant accruing hereunder, whether or not denoted as rent, shill he paid to Landlord or its agent at the address set forth in the Indenture of Lease, until Tenant is notified otherwise in writing, and all notices given to Landlord hereunder shall be in writing and forwarded to it at such address, postage prepaid, by registered or certified mail, return receipt requested, or prepaid by any nationally recognised express or overnight nail delivery service which provides proof of receipt. All notices to Tenant shall be forwarded to it at the address set -forth in the Indenture of Lase, until Landlord is notified otherwise in writing,, by postage prepaid, registered or certified mail, return receipt requested, or prepaid by any nationally recognized express or overnight mail delivery service, which provides proof of receipt, or by delivery in parson and in the event of a delivery in person, the affidavit of the person making such delivery shall be conclusive proof of the delivery and of the date and time of such delivery. All notices shall be deemed to have been given on the date when depomitad in the sail receptacles maintained by the corporation which has been chartered by the United States Government to operate and deliver the mail, deposited with the express or overnight mail service as aforesaid or, in the case of notices delivered in person to Tenant, when so delivered. Notices by the Landlord may be given on its behalf by Agent or by any attorney for Landlord or Agent. SECTION 20.12. C tions and Index. The cap loom aAF x appearing in this Lease are inserted only as a setter of convenience and in no way define, limit, construe or describe the sieope or intent of such sections or articles of this Lease nor in any way affect this Lease. SECTION 20.13. Tenant DDef?inedl Use of Pronoun. The word anT?snt" sheTI-bed and taken to mean each and every person or party mentioned as a Tenant herein, be the same one or morei and, if there shall be more then one Teerent, any notice required or permitted, by the terns of this Lease may be given by or to any one thereof, and shall havethe same force and effect as if given by or to all thereof. The use of the neuter singular pronoun to refer to Landlord or Tenant shall be deemed a proper reference even though Landlord or Tenant may be an individual, a partnership, a corporation, or a group or two or more individuals or corporations. The necessary grammatical rh". go required to make the provisions of this Lease apply in the plural number where there is more than one Landlord or tenant and to either corporations, associations, partnerships or individuals, pales or females, shall in all instances be assumed so though in each case fully expressed. SECTION 20.16. N Lion of Personal Liability. Notwi np anyth n g con mined herein to the contrary, Tenant agreed that Landlord shall have no personal liability with respect to any of the provisions of this Lease and Tenant shall took solely to the estate and property of Landlord in the land and buildings comprising the Shopping Center of which the demised premises forme a part for the satisfaction of Tenant's remedies, including, without limitation, the collection of any judgment or the enforcement of any other judicial process requiring the payment or expanditure of money by Landlord in the event of any default or breach by Landlord with respect to any of the terms and provisions of this Lease to be observed and/or, performed by Landlord, subject, however, to the prior rights of any holder of any Nortgago covering - 27 - all or port of the Shopping Center, and no other assets of Landlord or any principal of Landlord cull be subject to levy, execution or other judicial plgeess for tM satisfeetton Of'Tenent's Claim end, in the event 'Tenant obtains a Judgment against Landlord, the judgment docket.0011 be so noted. This Section shall inure to the benefit ofLandlord's s cue. I. and ss gns and their respective principals. (Ccxltil><led on Page 29, AddeMw 2.74 Nesaatim of alsrnal Liabi?it1. ) SECTION 20.15. Effec of Core ntal _L I a ion on 12 g" Othes In the event that any law, c Tula or raga aI`t ?? governmental body having jurisdiction shell have the effect of limiting for any period of time the amount of rent or other charges payable by Tenant to any amount less then that otherwise provided pursuant to this Lease, the following anounto shall nevertheless be payable by Tanantt (a) throughout such period of limitation, Tenant shall remain liable for the maximum mount of rent and other charges which are legally payable (without regard to any limitation to the 01004nt thereof eit0tatied in this Lease except that all amounts payable by reason of this Section Z01.15 shall net in the aggregate exceed the total of all amounts which would otherwise be payable by Tenant pursuant to the terms of this tease for.thc period of limitation), (b) at the termination of such period of limitation, Tenant shall pay to Landlord, on demand but only to the extent legally collectible by Landlord, any amounts which would have been duc from the Tenant during, the period of limitation but which were not paid because of such limiting law, decision, rule or regulation, and (c1 for the remaining 'tors of this Lease following the period of limitation, Tenant shall pay to.landlord all amounts due for such portion of the teem of this Lease in accordance with the terms hereof calculated as 'though 'there had been no intervening period of lid,itetion, SECTION 20.16. Partial Invalidity; 5 crate_ Covenant*. If any term, Covenent or Condition o s Lease or the aWDliCSt!ion thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remalnder'or this Lease or the application of such term, eovenant or condition to parsons or circumstances other than those as to which it is hold invalid or unenforceable shall not be affected thereby and each tans, covenant and condition of this lease 'shall be valid and be enforced to the fullest extent permitted by law. Furthermore each covenant, agreement, obligation and other provisioo contained in this Lease is, and shall be deemed and construed as, a separate and independent covenant of the party bound by, undertaking or making the sama, and not dependent on any other provision of this Lease unless expressly so provided. SECTION 20.17. Recording. Tenant shall not record this Lease without the written consent Of LSnOord. If Tenant regLaests, and Landlord consents, the parties shall execate and acknowledge a short form of Lease for recording purposes which shall be recorded at Tenant's expense. SECTION 20.18. Broe fiCommiss on. Landlo and enant each warrant to the other that neither has been represented by any Broker with regard to this Lease Agreement. Further, Landlord and Tenant each agreeto indeenify and hold harmless the other should any claim be made by any Broker claiming to have represented tither Landlord or Tenant regarding this Lease Agreement. SECTION 20.19. Construction. It is n an of: the parties hereto :that if any term, covenant, gonditian or agreement of this Lease is capable of two or mote constructions, one of more of which would render the provision void, and the other or others of which would render the provision valid, then the provision shall have the meaning or meanings which would render it valid. SECTION 20.20. PsE 1 If the arm o!r this Lease shall not have comsenced within three (j) years of the date hereof, then this Lasse automatically shall become null and void and both landlord and Tenant shall be relieved of all obligations hereunder. SECTION 20.21 Cice, of aw This rise ell construed and enforced in accordance with the lowe!an6 jurisdiction or the :State in which the demised premises is situate. SECTION 20,22. Joint Preparation This Lease is to be deemed to have been prepared jointly by the partite hereto and any uncertainty or ambiguity existing herein, if any, shall not be interpreted against any party, but shall be interpreted according to the application of the rules of interpretation for arm's length agreements. SECTION 20.23. Interlineetion Whenever in this tease any printed portion has been stricken. out, whether or not any relative provision has been added, this Lease shall be construed as it the material so stricken was never included herein and no inference shall be drawn from the material so stricken out which would be 28 - inconsistent in any ray with the construction or interpretation which would be appropriate if such material were never contained heroin. SECT 1ON 20.THE 5 _Z?0 TENANT Ttnant. OF THIS LEASE SHALL HAVE NO BINDING FORCE OR EFFECT, SHALL NOT CONSTITUTE AN OPTION FOR THE LEASING OF THE DEMISED PRE M SES, NOR COWER ANY RIGHTS OR IMPOSE ANY OBLIGATIONS UPON EITHER PARTY UNTIL THE EXECUTION THEREOF BY LANDLORD AND THE DELIVERY OF AN EXECUTED ORIGINAL COPY THEREOF TO TENANT OR ITS REPRESENTATIVE. Ap6EbtUN TO SECTION ?0.14. Neoatign of entsonal Liability. The referent" to "Landlord in this Lease shall be limited to mean and include only the owner of the Shopping tenter of which the Premises forms a part. Im'the event af'a sale'-or transfer of such interest (except a Mortgage or other transfer as security rot,* debt), the "Landlord" initially named herein, or in the case of a aubsequent transfer the transferor, as of the date of such transfer, shall be automatically released from all liability for the perforwnce or dbearvancs of any term, condition, covenant or obligation required to be performed or observed by Landlord herauoderi and the transferee shall be deemed to have assumed all of such terme, conditions, Covsnents and tbli0at)bns except as to pre-existing defaults by Landlord. The covenants and obligation contained in this Lease to be performed on the part of "Landlord" shall be binding on the Landlord or any transferor only during the periods In which it is a Landlord hereunder. The now and designation Crown American Realty trust is the name of the Trust and the collective designation of the Trustees from time to time under the Declaration of Trust, s?.ereded snd restated as of August 6, 1"3, and as may be further amended and/or restated, ¦nd all persons dealing with the Crown American Realty Trust must look solely to the Shopping Center for the enforcement of any claims against Crown Aiericsn Realty Trust, as neither the Trustees, officers, agents or shareholders of the Crown American Realty Trust assume any personal liability for obligations entered into by the Crown American Realty trust by resew of their status as said'Truatee, officer, agent Or shareholder. -24- CAPITAL CITY MALL Camp Hill, PA Revl8loa Date: April 17, 1997 JOHN CRAIG FASHIONS - RM #432 EXHIBIT "A" (MODIFIED' "AS IS") 1. A. Tenant has inspected the premises and agrees to accept the premises in an "as is" condition- Except as provided in the foregoing !,ease Agreement, this Exhibit "A" and the Exhibit "A• l " drawing attachment, Landlord shall not be required to expend any amount of money or do any other act which might be required to make the demised premises suitable for the use permitted in the Lease Agreement. B. Existing Conditions: Refer to attached drawing (Exhibit A-1) for additional information regarding certain existing conditions, limitations of Landlord provided work and specific responsibilities of the tenant. The drawing (Exhibit A--0 information shall take precedence over any conflicting information as contained herein. 2. Tenant's Plans and Specifications: A. Complete professionally prepared working drawings and specifications shall be submitted for review and/or approval by Landlord within thirty (30) days after the Landlord provides the tenant with a criteria package for the demised space, 6. Drawings and specifications shall be prepared and arranged in four (4) categories as applicable: Architectural, H.V.A_C., Plumbing and Electrical. The practice of combining two or more groups onto one plan should be avoided. Each group shall be clearly designated. Plans shall be drawn at 1/8" scale or larger, on a standard paper size no larger than 30'x 42" throughout. All drawing submissions shall include properly completed Landlord Construction Standards (LCS) Drawings (set of LCS Drawings are part of Tenant Criteria Package). C. During all phases of plan development and prior to bidding or commencing of construction, the tenant shall make a physical on-site inspection of the demised space and verify conditions, dimensions etc. of the demised space. Failure to do so shall be at the risk and sole expense of the tenant. D. Landlord's plan review and/or approval is for compliance with Landlord's criteria only, and this approval does not relieve tenant of responsibility for compliance with local, state and federal codes, and regulatory agencies governing this area. } pet ihe dmwisv$ foe r, Pate 1 3. Compliance: Tenant shall be required to attain all necessary approvals and permits from state and local governing authorities including a final inspection and a Certificate of Oc=cupancy, as required. Tenant shall also comply with any requirements of the American's with Disabilities Act (A.D.A.) as applicable and as mandated by local and state authorities. a. Mandatory Remodeling Requirements: If the store has not been remodeled within the last three (3) years, the foliowt:n, rcc wry: ments will apply. If the store has been remodele=d withi=n the past three: 0) years, remc mild. re quirements will be enforced at Landlord's option. Mandatory Remodeling Requirements Include: A, Storefront - Landlord does encourage pop-outs of storefronts, and/or sign band area. Final pop-out limitations shall be determined by the Landlord. No more than 50`,tE of storefront to be open to the mall common area. Minimal storefront remodeling requi=rements would include all new finishes, materials, and sigrtage. B. HVAC Uttit If unit is more than ten (10) years old, Landlord will require a written statement from a bonafide HVAC Contractor that the unit has been inspected in all phases of operation and is in good working condition. C. All electrical work shall comply with the latest National' Electrical Code (N.E.C.), and all Federal, State and Local Codes. Landlord does not Permit: 1. Exposed light source in public or sales area. 2. Romex -All wiring must be in conduit. D. Ceiling Tile - Landlord mc,-ommends the use of a Tx T ceiling the pattern. E. The. tenant's store design, drawings, specifications and construction must comply with all the Landlord requirements presented Within the Tenant Design & c=onstruction Criteria Handbook. Tenant, tenant's agents, tenant's architect and/nr engineer, and tenant's contractor(s) and/or subcontractor(s) are responsible to comply with all Landlord requirements and specifications 5. Tenant's Construction/ Remodel Work Tenant shall promptly commence and thereafter diligently proceed with and complete the remodeling of the demised premises within sixty (60) days after the approval of such plans and specifications. If Tenant shall neglect, fail or refuse to commence its work asaforesaid or thereafter neglects, fails or refuses to diligently proceed with and c=omplete iLs work, the Landlord, in addition to other rights or remedies it may have and after fifteen (15) days notice to Tenant, may (a) complete Tenant's remodeling work at Tenant's expense and thereupon the Rental Commencement Date shall occur and all of Tenant's payment obligations pursuant thereto will commence, (b) cause the kental commencement Date to occur and all of Tenant's payment obligations pursuant thereto to commence, notwithstanding the incompletion of Tenant's remodeling work, or (c) dcclare'the Lease canceled and of no further force and effect. Page 2 A. Tenant's progress and workmanship is subject to Laindlord's inspection and approval. Any violation involving the Tenant's store construction shall be corrected and made acceptable to the Landlord, at the Tenant's sole responsibility and cast. Tenant's failure to correct violations within fifteen (15) days of notice of same to the tenant shall, at Landlord's option, result in correction of same by Landlord or its agent. Related costs will be billed to the `enant as additional rent under the terms and conditions of the lease. K. 'tenant shall perform and cause tenant's contractor(s) and subcontractor(s) to perform all tenant's work in a manner so as not to damage, delay or interfere with the prosecution or completion of any work being performed by the Landlord or the Landlord's contractor(s) in the demised space or in or about any other portion of the Shopping Center, or to comply with all construction procedures and regulations prmribcd in, or pursuant to, this N-Hbit "A" for the execution of the tenant's work and the coordination of such work with work being performed by the Landlord or by the Landlord's contrac:tor(s)_ 1. Landlord, in its sole discretion, and for any reason, shall have the right to order tenant to terminate any construction work being performed byoron behalf of tenant in the demised premises. Upon notification frorn Landlord to tenant to cease any such work, tenant shall forthwith remove from the demised premises all agents, employees and contractors of the tenant's performing such work until such time as Landlord shall have given its consent for the resumptions of such construction work and tenant shall have no claim for damage of any nature whatsoever against Landlord in connection therewith, 2. Should tenant fail to comply with the rules and regulations established by landlord or its contractors in any union contract to which Landlord, its contractors or any subcontractor may be a party. Landlord shall have the option either to cancel the lease agreement or to compel tenant immediately to suspend the work being performed.' 3. All work must be performed by bonsfiide licenses contractor(s) and conform with all applicable laws, rules, regulations, specifications, codes, and standards. 6. Insurance: Tenant is responsible to furnish the Landlord with evidence of general liability and property damages insurance coverage for the tenant's contractor(s) and/or sub- contractor(s) prior to the start of any construction within the demised space. General liability insurance :shall be, a combined single limit of one million dollars ($1,000,000.00). 't'enant shall indemnify and hold harmless the Landlord from and against any claims, actions or damages resulting from the acts or neglects cf the subcontractor(s) in the performance of the tenant's work. 7. Notification: 't'enant shall notify the Landlord a minimum of one (1) week prior to moving onto the job to commence construction. Tenant must also check in with the mall mangerand present him/her with a set of approved plans along with the building permit number (where applicable). 8. ' Service Charges: The following services will be handled directly by the Mall Management office with all associated costs invoiced to the tenant's contractor(s), unless directed otherwise by the, tenant in writing to the Management office. page 3 l ? A. Trash dumpster will be provided and handled for the demised space up to the tenant's opening date. Landlord will locate a construction dumpster. The tenant's contractor(s) or subcontractor(s) are responsible to place all rubbish, construction trash and surplus material in the dumpster. The tenant or its contractor(s) is cautioned against having trash _accumulated within the demised.space. Should this develop, Landlord will remove the trash and charge the tenant for all costs. B. Temporary electrical service as necessary will be provided under the following conditions: 1. Termination of this service is at Landlord's sole discretion. 2. Landlord is not responsible. for interruption of this service. 3. one (1) hook-up is provided for the demised space. C. Roof work and reflashing for HN.A.C. equipment, plumbing vents, penetrations, etc., shall be provided by the Landlord's roofing contractor only (as per Landlord. construction standard drawings). Tenant shall be responsible for the removal of any abandoned rooftop equipment within the demised premises. D. Sprinkler system modification with respect to the tenant design and specifications will be performed by the landlord's Sprinkler contractor, in compliance with N.C.P.A. Regulations and Landlord's Insurance Co. 9. Waiver of Liens: A. Tenant agrcea to enter into Waiver of Liens Agreements or Waiver of:Riglts to file Lien contract with any of its contractors, suboontrltctors, materialmen, or other persons furnishing services, labor or materials concerning, in any way, wort to be completed in part, or while, in connection with tenants work and provide Landlord with copies of same. B. Any mechanic's lien filed against the demised premises or the Shopping Center for work claimed tohave been done or for materials claimed to have been furnished' to Tenant shall be discharged within twenty (20) days after filing by bonding or as provided or required by law or in-any other lawful manner. Tenant's failure to comply with this (Paragraphs 9, A & 8) shall be deemed an event of default. 10_ Hazardous Materialx' Tenant and/or its architect and/or contractor(s) and/or subcontractor(s) shall not specify, furnish, install or ase any materials containing any hazardous or carcinogenic producing materials in the completion of tenant's work. Ten (10) worlang days after completion of tenant's work, the tenant or tenant's architect shall deliver to Landlord' a certification that none of the materials used in the completion of tenant's work contains hazardous/or carcinogenic producing materials. 11. HN.A.C. Maintenance: Within ninety (90) days of tenant's opening for businmm, tenant is required to place in force and keep in force for the full term of the lease agreement it maintenance agreement, with a reputable' licensed company, for the service, repair and maintenance of all the tenant's HN.A.C. unit(s) providing service to the demised space. The agreement shall provide for but not be limited to at least four (4) inspection and services each year and a minimum of eight (8) filter changes each year. A copy of the agreement roust be delivered to the Landlord. Page 4 12 After Tenant opens for business, i andlord will be responsible for removing, Tenant's trash, excluding grease trap residue, from the rear of the demised space to a compactor and/or holding bin(s). Tenant shall contact mall management office prior to opening for business to make all necessary arrangements for trash removal. Tenant is responsible to separate dry trash from wet and suitably bag and/or containerize same as directed by the Landlord. A charge for removal will be levied on the Tenant based on a fixed fee, subject to periodic escalation, comparable to existing local rates. 13, Cash Allowance: Landlord shall pay toTenanl the amount of the Tenant allowance set forth in Paragraph "G" of the Indenture of Lease less any deductions for costs incurred by Landlord on Tenant's behalf or other sums owed to Landlord by Tenant under this Lease: (1) after written request by Tenant; and (2) upon compktion of Tenant's work as set forth in the Lease or any Exhibit or rider thereto and approval thereof by Landbrd; and (3) the opening of business by Tenant and the commencement of the payment of Med Minimum Rent and other charges under the Lease; and (4) prawntment of an Electrical and Numbing Certificate to Landlord; and (5) receipt by Landlord of properly executed -'Tenant's Affidavit", "General Contractor's Affidavit" and "Final Waiver of Liens",' for the total amount of Tenant's actual cost of construction, attached hereto as Exhibit "D" and (6) evidence of a state and/or local Occupancy Certificate. Page 5 CRO 'NAMBRICAN z EXISTING 'DOOR I- - •? - • - C O R R {D Q R To REMAIN- + - _ - -- _ -- - • - --- LOCATION ELECTRICAL SERVICE AppRp PRcmus E>dsTO _ r?t.ocATEa LuaX. Pu RELOCATED TI: DEU S Y THE TO ACWC -! LANDLORD SHALL PROVIDE 1 ELECTRICAL 436 BE MoDIFIEO I THE PRIMARY DE110UfFI0N AREA OF THE PREIYASES. I : WITHIN THE E)FR WP{ AREA 1 ADJACENT NEW 6" METAL STUD OBONG WALL (20 GAUGE n 24" O/C) '. I TENANT WITH %. FIRECOOE GYPSUM BOARD ON 80TH UR F FtIE UP TO RATED DECK (AREA REDUCED) BY LANDLORD, NEW PARTITION SHALL BE 1-HOlJit WP .b I ! 30'-0« I _- LANDLORD Rmml FILE TO TAPE SPAME AND SAND P*" READY FOR FW BY THE TE• EXiSTNG g(RUCTURA. STEEL COLUMN CENTERED WITH NEW s" STUD DEIMSN? WALL THE >?D P IS IUD OVER TO EXPNON /IKEA TO oNpTE: THE Fa1T REI T?c EXIST JTmN `` SHOWN HATCH_D _ ao - TENANT "A&-L4" WITH THE RED OF ALL 1 1. IiIEI' aR16 AtC. ANY NECfSSAE( TIC Is. A$ :TAI V- dwqZ TC THE H vu. SYST 1'F THE PRE#AgES.T ?Y ALL ti ..?. - ADE11TIlNAL WM EMU COII'DITWNS. EIIISTI+IG CDRRI?OR TO " SQtVNG RM•'432 AND .434 432 z' i XISTW DOOR To RE" 16. 1 2 }+??? b, Q LOCA?J ?aF XISTING ELECTRICAL SERVICE TO BE L EXTENT OF owK& RELOCATED BY' LANDLORD. OfrAtISED PROASEs SY SHE - SOLID PERWETER L F{ OOR SLAB AS REGUIIffD AND p01>FYJAOD TO THE EXISTl16 CEER?G A5 RE>aIARFD TO SKIT TIE STORE ?'?' A REPRESENTS I OCTI0N5 LEASE I z NOTE 1JPON:C01riPLETfOM OF ? Q ? ; , G. TFNANf SHILAIID"S1? •r ? oN THIS 434 ALL I?iY RECOKSSPACE#ms ? RE N ? J? I z ADJACENT THE ENt{RE REDEMRSE '' ?TNE LEASE. I f /~SsyTRUC;OTURLLAL WS TENANT LEASE LINE BETWEEN TMW SFAS 'S STUT W ?TERLNE OF THE r _ NEYH,Y DEMISED pFfEA FOR JOW CRAIG co PAWNS INC. 3p 7 _ $c r HECHTS STOREFRONT LEASE LINE J,C. LOCATED AT THE FNtSHED POW EDGE OF THE MALI. FLOO" - ? SEARS MA'L'L G0HC0URS€ MALL KEY PLAN _ MODIFIED "AS4S" LEASE mm By. B.T.S/D.T.S. Sew TMEl PARTIAL FLOOR PL94 - CAOWt4 Alrt8A1GAN SCHEMAT)C LEASE DIAGRAM PesQUUIX <LLA PLAZA DATE: 17 APRIL 1997 .:Expansion of Room •432 JbHN1i'fOWN, pgHNayLyANIA 1590 Itl4 IT. John Crotg 814-634-4441 SIffT SS A-432 Fdsrions Inc. SEA 1 ) TOTAL CAPITAL CITY MALL Exhibit A 1 CAMP HLL, PA ?+"°""'? aiw nw nuen Boa y ,_? x$Sr"s- @:?_' _ _. q `r •.•..?...w? o iwx uinv ?mn• •.?.. o FQ?s£^ v s ?. 1-7 A a i ®....... 7 S } w??. t. U . lit 9 ® }i == I ' ' i I.8's• ?s p ? ? 1 .®41 ®.? i s G .Itrr x7 . .°r EXHIBIT "C" UTILITY SCHEDULE RATE. I' Utility Services small he furnished to individuHl tenants as needed. Tenant agrPee ueht use and pay for utility service supplied by Landlord as additional rent adjus the Lease on a monthly I- 00 a seian Land lord m ay estimate such periodic biilinys aid confirm and/or adust same ory ly as s lifess r TenanSe[- service shall be in acencdanee With Tenant's u categ utility by the local public utility or municipal authority a then any tar4ipffs'issued to super- - basis. Charges for utility were servictd super- Shopping Center Y and any suppl",eots thereto or any taxes, surcharges, vice to the Shoppiwhich may ere tariff ) 2 and Tenant shall also pay Y applicable to the utility surchargea?i?oaitions sede' said tariff, which may hereafter be filed, impositions penalties or other additional charges aid by Landlord m its are not inciuded in the aforesaid rate o and be tariff, Proid e that de ant such eapes, or ar law or other charges are required by supplier of utility service. in the event that the rate 2 Notwithstanding anything contained herein to the contrary, a public utility for equivalent amounts of service becomes insufficient to which sate an charged by .? utility service, coF.oensat tLandlord for e?renouRtbe?eis`b the actualncnstlnf supplying on the them Landlord shall be entitled to charge Tenant f each utility bill. together with an aa,ount not to exceed 15. o t shall Landlord be liable for the quality, quantity, failure or interruption 3. In no ever remises. of any utility service to the demised p Management System to efficiently con- 4. The Landlord may, at its option, install an 'Energy 00 to pay a monthly charge of $50.1, as Tenantrl,3 y serve utility usage, Tenant agrees mstntcnhe o and upgrade costs. System purchase, installment, art of the Tenant's regular Management Sy arattly identified in the original invaace, as p onarge, which will ve separately mnnthiy utility payment' ELECTRIC SERVICE, alt supplied hereunder by Landlord shall be nominally sixty-cycle, e designated by Landlord. Electric energy phase 4 wires, end of a voltag he National alternating current, in the form of 3 p Installation of Tenant's glectcic facilities shall be in conformity with the Lease, Electric Code and the requirements of the public utility ar municipal authority then furnishing electricity to the Shopping Center. if Tenant a replacing a prior Lenan- in the demised p emises lilies:Frowill chardetthe new new Tenant a 3150.00 charge for the transfer of utility services respa Tenant. RIGHT TO CUT-OFF. arreatorrs Tenant and to remove obeyondd to grace any of the Landlord sha11 have t e right to whenever bills foinuer I t s litutility are service P f Tenant-2 premises with or Its property from or in case Tenant fails to comply the tact the eoraviolates any of the covenants set forth in the Leese beyond g period set forth in conditions or obligations period set forth in the Lease. APPLICATION FOR UTILITY SERVICE. lied b Landlord. Tenant shall make application u ilitylbooklet?lWhgrB suchlservice iscsupplie xiyh rules and regulations set forth in Landlord i TENANT7S AFFIDAVIT uccupY?nB' a st itnCli,o,ttn known J, he iTNIANT at ?DL?FL? that unit No. I}n -, 1' t?1'lgne`i`heil'r pursuant to its [.east hereby certifies to I.PA. ` shows the name(s) of TE'S the ez eral Ci. CT if any?uhi.,n S 1" ??'prk has been completed satisfactorily, and that the following .e. against TENAract Premises and .iglecs ? enr acterc :t Tenant has entered into Multiple contracts) used in the completion of TgNA`TS Work giving e contractor(s), lat,or and. rnalcnal i . {,cc?smr duc, to them. TENAAIT further sta liens have been 1u:. ?1 a no xlerunity am hold harmless l ANDLt7RD froth any claim 11 ,e. tiers arisip n out of the can lotion Of I-A?S Work. 1 IC? ?v.IEN AAAUUFft PAID 8AJ.ANCETO FAY TENANTI U NCAAL CONTttnC"roK AMOPIt ror corfrS ACT traCl81 lt'f 'S CC) RS f NT hbs entei^ed into #rtti h or BALM4CE10 My V1AA14fR t'ENAN7 x?t grPAI - ------------- r LIES Ca80r, OR AMOUI`7 OF .%tA-MR:AL C?h AMOUhT PAID 9? l? T?i PAY N'Ah?F SUP _ ]:4A1E _ ARCH[TECtt1Rl,L F - ARCHC[tX`r ENGINEER SEALS PERhtlIS j -ARY i AAPAR ON PAGF TWO OF Fp[+)511.? OTE: SiGNA UPS AND NOT Exhibit D Page- contract, labor or rnaterial othff th;4,11 those uua=...? wHEREOf, the utulersignt TUNAXr has Caused this e .? 1vTTNT-SS 19 ?--- flay of this i l E53 CrTNA,YF'S Legal Name per Least) BY: Sig"ture of Executing Officer) 'i y'FATF OF j - SH gR? TO REFOR.C W AND SUBSMBED IN My pMENCE,at 19' this day of _.??.-------- i CoIYSTRtic,TtON, ??---:-? oN OF WITHIN TMR1 (3THQ FOB TO BE CO EM BY GENR a CONTRACTOR ------------ INaprdISNAVi'S"ae) . ?? ti,jeril,01ed_ Ixtnb the GEtiERAL CONKMACTOR for the construction of unit "So. located in titak tors used in the eantpletion of its contract with herebw certifies that the following shows ft name0) of gulxantrac giving the amount, if any, which is duc, or to become due, to them The underst}med ?x `,•: 5 ?Y.I N•"i ?Ia ?m•a' faced against TEhAAII"S Premises- fut-ther states that no liens have been p the contract at,urts n ested) ?tE? TENA S GENERAL COK1 KA aR (list' T C010 an 11At?ie"AkIC. U!?rrOf oL:t`'r PAID g t A.1CE TO PAY W AM cudr`-cwtcr NOTE: $JGNATURL &ND N< _hRY API'tyAR.ON PAS Exhibit "D" _ Page 3 i Cl'OR has not employed, purchased and does not ,We for any I:antrart. lotion of -;l,A\T'S WC`rk . Ilr aidrrsS.ttcd turtitu Sums that the GENE[tAL C?`n? or 1113, trial ether than thosc mentioned above for the comp 1. autho IL)F. the undersigned CONrmCTGR has caused this Affidavit to be executed by its duty authorized officer I j this day of ------ ___----- CrE?EFALCO(VFRACf'O> - (Company's Legal Name Pcr by, officer) (gtature of £xecutirig ?- Title: 1T.4Tf. l]F i ----- ? JL ? r}?1F t_ SEFORT ALE AND SLRSCR]13ED IN ,Ytl F'RI;fiCNCE, at ? . day of I this I ,fib-?'l (Notary Exhibit "U" - Page 4 f ------ IR7Y t(3fJ} I)A }?S AFTER -Hp C4MFLErION OI' CONoj1 C7IOIV, 7 MAAr "'S CoNr +c?rORS ?uvn I 7'H;?N TH W1 ,I HIS FINAL WAIVER OF LI "N IS' TO BE CoAfPLE77ED BY ALL GENERAL CONM 71 R. S SUB;CON77tAC7'ORS for the construcrion 01 I, T)lc undersigned, being tIIC ?Namedtr.u.'?b.r ^<«dtna`. n4P?a? ----- at :,..?..t m ewers (Nmrd of smrcY' having enured in an agreement with knit No . ------- located in Mot) hereby certifies that --- tcint ?sovm,n? , the_ tru?.ro ?^°?''c°" 4e ed to the dais of this usi?..<an o<unnorhu<?<a«i havebeenpaidan( ,indebtedn blecorg wrc . tree undersigntd, and othergood and valuable ctians'dcranon paid .oat the ail later. material and services committed for,bYm Aidavit. rurthermorc, for and in eonsideratian of S does hereby waive, release and celrnqutsh any and l all ur,dersi?tned (the receipt whercl-I is hereby acknowledged), the undersigned described, for labor" and ntatertal, general z Gh the undersigned may now have upon the premises Above cla;Ms 4r right of lien wtti repair and/or othcrwe. .up?rvisian of erection. construction, alteration, for Sale; and/or use Tax, wham applicable has. been d'scharged I,i,hiliry to the State of i _ ed officer dersi ed has caused is Waiver of Lien to be executed by its duly author+zcer I ? ?i'lTti1;45 W'Fl?itEi?F, the un S*t `I t9 Jay of this 1 CCU, tTRACCOR ?x II (Company's Legal Name r Contract) t By: _ (5igttatur?of Executing Officer) Title: STATE OF ) C-OU\T• or SNyOFLN TO BEFORE ABLE AND SUBSCRIBE') "N My PRESENCE, at day of this -- (I?[otary Public) Exhibit "D" - Page 5 MENT OF LEASE, made on this 2.4 day of enns atti ?ited THI5 AMEND CAPITAL CITY ASSOCIATES, L. P ,business treat Partners Partnership, by CROWN AMERICAN CROWN AMERICAN CAPITAL CITY ASSOCIATES, a Delaware with its Part Trust, as Sole General Partner, and wholly-owned subsidiary of Crown American Realty ercinafter called "I.Andlord"), offices located at Pasquerilla Plaza, Johnstown, Pennsylvania 15901 (h and JOHN CRAIG FASHIONS, INC., trading as ?'rrwr !•n AiC• F?Hl.ONS with an address at 5832.13amsley Drive, Harrisburg, Pennsylvania 17111-4756 (hg?rtafter called "Tenant'') . ,o,r=r?ruCSF"rI-I: cnt dated 1997, WHEREAS, by Indenture of Lease and Lease ?' American Properties, ecessor-tn-interest to I?ndavrd lease and amp demised S*ania, Croce Amen located in the QQ a1 ir"- Mall, a ceztttin store premises, (hereinafter referred to as the,%A%se"); and WHEREAS, Landlord and Tenant wish. to amend the Lease in the manner and to the extent as hereinafter provided. -cvnside:ra?n of the pretr?ises and mutual promises herein set NOV, T14BREFORL ' in manner forth, Landlord and Tenant agree that the Lease be and is amended in the following 1. T r,? (13'aragraph A. of the Indenture) shall be deleted in its entirety and restated as follows: "A. dlord the store premises landlord` hereby leases to Tenant and Tenant hereby rents from ?' remises') outlined in red (hercinafte+t referred to as the "premises"' „leased premises or demised p to be erected as PArt hereAft lan attached as Exhibit "I3" hereto, now erected Or)6 re ite city Mall Drive, Camp oHill, on the p ..:tol('itv Mall. 35 P shopping center to be initially known as r' Pennsylvania 17011-70n' Center" or "entire premises" and initially (hereinafter referre d to as the "t; enter , iShc?ppsng measured and described by ..the area shown in Exhibit "B"), the demised premises being comprising lines of each wall of the the following dimensions which are measured from the outside bed Prgemises from other stores in thedemised pr demised x wises or, in the case of those walls sepfaratm ( - the shopping Center, from the center lines of such walls: Itcc)m #432) p.?LeKal?Brcodx11+1?Wf3RTtlA?nd?nents12QQ3Z(:a?ni-t'.iryW ohn-Craig-FaMons (fcv. i }.doe 4 IRRECTtJLAR, Front: 'Ihirty Feet (30? Depth; Sixty-Four Feet (G4'} IItRF.GtJLAlt, Two Thousand (2,000) Square F`et' Total Area: all t to the non-exclusive use in common with oers d fbtwa dC?o?ug fatties and togethc.t with the r. ? areas, driveways, malls, courts, corridors an Ys such auEOmobile parku?g Landlord from time to time as more fully set forth aEndr of designated by other facilities as may subject to the terms and conditions e of this Indenture f Lease and the Lease Agreement ereui for the use thereof as may collectively referred to as the Lea ?, and to such rules and regulations be prescribed from time to time by the Landlord" 2. ? (paragraph 1i. of the Indenture): on the "cotntnertccm?t fixed tnccmtm The term of the Lease shall be extended for a period however, on the date" as established by Section 1R1(a) of the I.tase; provided, rental and'oth? charges will commence on whether r, Teri Tenas x open for r, `Aber 31'? 244 business or not, *nd shall terminate and expire on -- Fixed 11'fWMUM RW (paragraph c of the indenture). teed annual minimum tent ("Fixed b in"n' n Rent") Tcttattt shall pay to Landlord a guaran periods during the term of this as follows: The Fixed Minimum Rent for each of the following p AmeodnUnt of Lease shall be: TaMtPsjQ?d $4,375.00 N avemlOr 10, 2003 -November 9, 2004 $52$?,,5E10500.00 November 10, 2004 - November 9, 2006 $54,W.00 $4 ,45.00 07. Novetnher 10, 2006 - December 31, 2W9 s , 'such installment shall be due and payable on or before the first day of each calendar Fads at the office of Landlord or at such other place asaY month in the'term of this Lease, to Advance, prior demand therefor and without tatty be designated by Landlord from time to time, without any [i deduction or setoff whatsoever, the first installment to of be Pa'd o z mcon mm In th _ent date w ?hr event or not the commencement date is the first day rotated for. the oth commencement date of the term of this Amendment Minimum Rentdshall be than die first day of a calendar month, Tenant's first payment o fractional month between the commencement date and the rst f day day of t-he best full calendar month in the term hereof, on a per diem basis (calculated a thirty 4. percCUAg Rent (Paragraph D_ of the Indenture) um Rent as aforesaid, Tenant, in accordance with Section 2.()t of In addition the Fixed dimas additional rent hereunder (hereinafter referred to as the Lease, shall pay to l..aitdlvrd, "Percentage Rent'7, and as part of the consideration of the aforesaid demLse, for each tease year in ev.1)dce ? ¢fs12403tCapitai CtfyUohn-Crs -F?cs inns (R b:41.epAJ% rndsMXW0RD\ae%dme 1 y to °?p ripr??^r (G%ol of that portion of Gross Sales the term of this Amendment of Lease a sutra equal Burin such lease year which is in excess of the applicable (as defined in Section 2.02 of the Lease) g percentage Rent Gross Sales Base. The Percentage Rent Gross Sales Base for the following periods within each lease year shall be: November 10, 20()3 - NNovember 9,2004 ovember 9, 24(16 November 10, 2004 - November-10, 2006 December 31, 2009 $875,000.00 48794,4"@ $908,329.17 04442M4 $9",667.00 046,44e contained in this Lease, as amended herein, to the 5 Notwithstanding anything contra q, Tenant's payments pursuant t esof, the term of this Amendment of 1 $?? s" and be increased for the first (1) twelve (12) months unt (50/4) o the amount thereafter each of said p,ymerits shall lnot 1?zct onth period during the trim of this Amendment of paid for the immediately preceding ) l .ease. 6. Section 2.02, Qt e t..s peftned, Paragraph (a) shall be deleted in its entirety and restated as follows-A sales -(a) 'ibe words "Gross Sales" as used herein shall mean the b gross amount Ofor by any aU goods, wires and merchandise sold and all services performed by subternant, tirensee or concessionaire in, at or from the dernised whether forluds hg, bctedttoo? other tv catalogue sales made at or from the derrused premises), financing consideration, with such other consideration being determined at fair market value and including, charges on all Gross Sales (without reserve or deduction for inability or failure to co t) ifrom the r h sales and services (1) as a result of transactions originating in, at Or from but not limited to, suc derniscd premise`s, whether delivery or performance is made from l?c? TV sed es Circuit, - or A`u uy, some other place, (2) pursuant to trail, telephone, telegrap automated o electrotnic, video, computer, or other technology-based systems and other devic 'received at or otherwise, whether existing now or developed in the future whereby __ btenant supplied from the demised premises or (which would attribute ono fats op? lions at h demised concessionaire in the normal course of its business premises. Gross Sales also include all deposits not refunded to purchasers. Each We upon installment or credit shall be treated as a -Ale for tshall preceive rice payment therefor." udng which such sale Tenant shall be made, irrespective of the time when 7. Except as expressly amended herein, the Lease is hereby ratified and confirmed sod the terms, conditions, agreements, obligations, and provisions thereof tart incorporated hereby as if MY set forth herein and the same shall continue in full force an arties g, This Amendment shall be binding upon and shall inure to he beane t of the p extent successors, , hereto and their respective heirs, adnunistrators, representatives. permitted by the terms of the Lease, their assignees. 3 Dc?[rx\BrrudaltttVYflltltnmettdmsutat?3atr?f_GyiyLlohnratg-6agki°as (Rev. t):dce 1 s WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have IN WI to be duly cxctutcd the clay and year fist above written' caused this Amendment of Lease CROWN AIVI 'RICAN CAFITAL CITY (Corporate Seat) ASSOCIATES, L. P., A PENNSYLVANIA LIMITED PARTNERSHIP, BY: CROWN AMERICAN CAPITAL CITY ASSOCIATES, A DELAWARE BUS BSS TRUST AND WHOLLY-p Ij'StM8IDIARY OF CROON AMERI ''REALTY TRUST, AS S01,E GENE pi tTNER o ephensoo ATTEST: Ronsid P. Rusinak Ex utive Vice President 5eccetaty JOHN CRAIG FASHION% INC., (Corporate Sell) D/B/AjOHhi CRII 'r`°?'.'S NS BY• ATTEST:.: preshicnt Secrc r9 D:\[.egal\BrtndaM\WORD\AmendmentS\2803\Cagitmi-Oty\7ohn-Crtit-Fa*IM (Rey. t).doc 4 MARCUS & SHAPIRA LLP ONE OXFORD CENTRE, 3510 FLOOR 301 GRANT STREET PITTSBURGH, PENNSYLVANIA 15219-6401 (412) 471-3490 DARLENE M. NOWAK nowak@marcus-shapira.com (412) 338-5214 Via Certified Mail, Return Receipt Requested John Craig Fashions, Inc. Attn: Dave McKenzie 5832 Barnsley Drive Harrisburg, PA 17111 Fax: (412) 391-8758 March 30, 2009 Re: Lease dated September 23, 1997 (the "Lease") by and between Crown American Properties, as Landlord, and John Craig Fashions, Inc., as Tenant; Premises: Capital City Mall Dear Tenant: We are legal counsel for the Managing Agent of the above-referenced Premises. As of March 24, 2009, you are in default for failure to pay sums due under the Lease in the amount of $51,450.64 (see enclosed account). Unless the foregoing amount is received in the Capital City Mall Management Office within 10 days from the date hereof, we will take all legal action necessary to collect all amounts owing, terminate the Lease, and retake possession of the Premises. THIS LETTER IS BEING SENT PURSUANT TO THE REQUIREMENTS OF ARTICLE 19, SECTION 19.01 OF THE LEASE. Very truly yours, arlene M. Nowak DMN/lbm cc: Lisa M. Most, Esq. Keyianna Ward - PREIT Lease Administration Bill King - PREIT Sr. Leasing Representative Dirk Westerfer, Collections Don Smith, Mall Manager STATEMENT Maxe Check PR CAPITAL CITY'. %-1:TED PARTNFRSHIP Payable To PO BOX 92406 CLEVELAND CH 4+-93 To, John Craig F-as-.-crs nc: Attn: Mr. Dave VcKe'?z e 5832 Barnsley 0,,e Harrisburg PA':.7' 11-4756 Date . Accou^1 Sta?erinrt do - Page - From: CAPITAL CITY MALL 3506 CAPITAL CITY MALL DR CAMP H'LL I-A 17011-1003 Tenant: John Crag Fas`tons FOR !N01131WES CALL; Justo Vega TEL 717-737-8175 or FAX; 717-73740607 Ammint Remrthwl . Remit top portion with payment CHARS.' DETAIL Capital Cif Mao John Craig Fashions InvowaDate 80.1 code Desvription Charges Payments r 1,21)03 Balance Fara<ard 41712003 XRE 2007 Rr TAX Reaondlia6on 285 12 4r25i2tm8 ELEU Electric 582.88 4i25,1200!8 STAX Stale Tax 34.97 5728,2008 ELEU Electric 540,74 5;78!2008 STAX State Tax 32.44 Si3l'VM38 XCAM' 2007 CAM Reconciliation 2.098.44 611/2008 XSEC 2,107 SEC Remnc3tiatitan 374.89 6!2412008 ELEU Electric 573.17 8/2412008 STAR State Tx 34.39 7,301200E ELEV Etectnc 572.45 7i3tb'2008 STAX State lax 34.35 8,112008 RENT WWW;M RENT 4.708.34 j1;5o4.71} 8t 18(2008 SEWR Sewer 37.70 a;%2612006 CLEF Eiecwc Penalty 18,14 81291200$ ELEU Fiedve 589.49 8;29;2008 STAR State. Tax 35.37 9;1,x"2008 RENT M NWUM RENT 4,708.34 (1 504.71} 1.01112008 RENT M.NINIUM RENT 4,706.34 (1.504.71) 1012t200 ELEU Electr. 560.01 10721008. STAR State fax 34.14 10130,2008 ELFU Elect;c 575,17 10; 30,2008 STAX State Tax 34.5" 11"42008 EMF Energy lNanagernant Fee 50.00 12008 MKFD MarKehng F_ro 83.33 l ii200$ ADV ADVERT SING 8333 1'•'112008 RENT MINIMUM RENT +4.708.34 1i28D8 RE RUL E"STATE. TAXES 300.08 . `142W9 fVWD MarKat?^g Fund 10.20 111 ?2008 ADV Nfec:a Fund AdYer4i.9WV 10.20 .1 172tW8 CAM CAM ESCROIN 1,059,93 ":112908 SEC Sacurity 101.85 '^110Mwa 9EWR Sewer 37.42 1211,'7008 M. KF0 Marketing Fund 83.33 12;11008 ADV ADVERTISING 83.33 ev1r2008. RE REAL ESI ATE TAXES 300.08 1211;1,,008 MNKFD Marketing Fund 10.20 3;: ?GC 72F,., 343',-, Lease 00006409 Ba anr-e Check Number .U0 285.12 58288 34.97 540.74 32.44 2,098.44 374.89 573.11 34.38 572.45 34.35 3.203..63 3223 37.70 18.14 58x0.48 35.37 3,203.63 3027 3,203.63 3046 569.01 34.14 575.17 34.51 50.00 83.33 83.33 4.708.34 300.08 10.20 10.20 1,059.93 101.85 37:42 83.33 83.33 300.08 IT, 20 10 ,2hr2U.9 Gate 7 G11t"H ^000nt- ? . V.3323 STATEM ENT ,,,.,,,.,:,-,,,• ; rv:; , l? ge . Lease 00006409 Check Narnbec.... ARCEDEI ra' Fashions t -_. Bohn C f9 aYm?ts _ P pstanro _........ 1 CaPHaI City MaB ?ascrVLoft ^ ...._.__.._._' Charges 7010 _.3 (173 sr.u_e Uate 87,7 Ca7o_. 059-91 1 . ADV 12 -- ' CAME CR0.4' . 10' .,85 108.3h rZ-'r2G08 CAM SEC Sea*ty 4,'08:34 g6.0U nA;tiI7JLM FtF 1`41 RENT 855.84 2068 Energy tt.cemo^t Fee EMF 655.A4 3.35 7;,•:2006 ELEU Elerln?• 39.35 A0393 ?"t;L'2008 Sl'AX State Talc &03.53 24.24 `.2i'2.290A ELL-U Electric 2424 83.33 'Zi29?2D08 State Tax STAR 83.33 ;}06.08 7 2; 2972008 ADVFRT iSiNG 300.08 +.01.85 s•1'7009 ADV REAL ESTATE TAXES 101.85 4,708.34 172009 RE SEC Secunty 4.768.34 10.26 ?r}I2609 ZFNT RENT MINiYIUN, 0.20 10.'20 1.:112909 MKFD Markeling Fu^, 0.20 1,059.93 .:1.2009 Mac.a F,.^d Advort sing 059.933 1 50.00 ADV ?I}?2JG9 CXV ESCROW , $0.00 83.33 CAM :112005 urnent Foe £rtergY Marap 83.33 47413 FAF is 1!2709 MKPD MarkelircFund 47^+.'3 28.45 Vi:2009 ELEU Eteetrtc 1 21 23108-Q1122-0g 28.45 83.33 V30!2009 Sales Tax 72+23!08-0122109 83.33 300.08 STAR 1 e';fr 2(579 ADVERT7S7NG 300,08 1(1.20 ADV 2'? '1009 REAL ESTATE TAXES 10.20 10.20 RE 2{12009 MKFD Marketing Fund 10.?.0 , 059 93 2009 2%! Media Fund Arnarlis;ng ARV +,059.95 101.65 - 2%'.'29Q9 CAM ESCROW 101.85 708.34 4 CAM 21i121109 . SEC Secur4y 4,708.34 5-3.00 2; ^ 2005 RENT fu'ti1MUM R[:NT 50:00 83.39 1 2,",;2009 aOen eM Fee EMF Efterg'.J M,an 83.3:3 538.58 rzG-3a MKFU Aarhotutg Furd 8.58 53 47044 217+21109 T Rocorci+lai;on 200$ RE X 470 44 28.23 27 1 31 200 9 09.02d20109 Eledfic 0'.22; 28.23 10.20 ELEU i126f20G9 Sates Tax 07.:22?09A2+20109 10.20 10.20 STAR 2;26:2009 MKFU Markatir7gFurd 10.20 1,059.93 3i 1!209 Media Fury Avert+s;ng } 054.93 1(11.95 1O AW ;u t CAM ESCROW , 101.85 1()8.34 4 3lt+2009 SEC Sec:;nty SEC 4.708.34 . 50.00 3 tt'LtdN? RENT MINVU NA RENT 50.00 83.33 ;#t1;2(7ll9 E 1.4anagoment Fes nergy £MF 83.33 300.48 3i 112009 ADYEdT'.S;NG 300,08 83.33 3N;2009 AOJ REAL ESTATE TAXES 63.33 45.50 RE s' V209 ting Fund Marke 45.50 (nAKFD 31 t2009 ?>8.6t 91109 Se we r iGig _ SEWti 3;11 12009 _ _ (-!tack Njtnae3 PAYMENTS SECT O ----------- ..... .....__...... ___ R e* __....--- S4g 15 8623.07 pe r Uon ._... ................ ' 549,15 $162 671.0 6 tats _ Gti ( PaPnwtRecd T-l'-You 073.971 6161 6 . 1 154,16 gt5?2004 2;1212004 1`2ynterlt Redd - Thank You , 4E.00 6823 , 13218.08 Payment Recd - Then" You 3;11i2W4 42,3.119 6824 13,648.56 3111120Q4 PalfltReed • Thank You 6,013-92 6827 19,722.48 a Pa rttent Redd - Thank you 31151200 Y 42048 6874 20.168.15 Yo: 4;112004 Payftrer(tRec'd -Thank 6.073.92 68$4 26,242.07 411212004 Payment Recd - Thank You 445:67 6934 511.012U04 Payment Red^_ - Thank You 6,073,92 6932 nlReed -Thank You 6tV2004 Payfne 60 aC2 3,2412009 7'28'.98 STATEMENT nc sas323 ..,,.: . 3 „1v aalance . .. F'P>Yti1[tdTS SF"?1 L ?...__ RemarK Payments .............. ....... . 26,71939 32,7939? Dale Deu'iptio= - C' - 4'77.12 7008 33,310.00 • 5t2 .;2004 paY;rlentRec'a' Thank You 8984 5;G73.9'1 36.383.92 e-1 Reed - Thank You ,24,2,H 4 Pay m 516.29 702,9 33,383-92 5 ,i5;20,p 4 F'aymo?lt Rac d - Thank You ,,073.c2 7056 VOt3 36,383:92 "W4 F'ayme^t Recd -Thank You 7r'29?2_` 3.0110.()0- 7055 39.?83.92 &4003: , 3,000.00 7055 39,407.92 gr1G_On, pay na ;t Recd -Thank You 3 000.0, 7106 33.588.77 ^t Recd -Thank You 82512ik)4 Payme 24,00 7130 43.043.69 8; 2; ;4 Payme^.t Recd - ThanK YOU 561.85 7131 e9,12313 8730t20U4 Pay1'lert Radd - Thank You 3,073.92 7129 48,137.73 9r2i204 Paymant RRacd -Thank You 6,080.04 7197 49.921.45 1e:1t Ftec'd - TtCanK YOU 1 Gd12i2ii01 Payrr 24.00 7247 S6:OU?.49 11.'5°2UG4 paynlontRedd -ThankYou 773.72 7252 58,144,12 'tUFLUU4 F,art Ree`d-Than'YOU 6,080.04 7248 64,218.04 11 1;1071;04 Pa•1mer.1. Recd Thank You 2,152.63 7282 84;593.67 1 129t2U04 Payment Roca - T larkYou 6,073.92 7304 64,717-87 11 t y#2}?4 Payment Recd - Than%You 475,83 1350 70;90BA6 Thank You 12,29`2004 payment Reed - 24.00 7349 74.028.46 11'29,1004 Payntont Recd . Thank You 8,190.59 7351 77,149:05 tr101? 105 Parnen, Recd-Thank You 3,120.00 7362 78,17,4-38 2192&'75 Payment Recd -Thank YOU 3,120'59 7363 84 407,73 2#9120,5 Payment Recd -Thank You 1,030.33 7443 90:648.32 2t25i2v05 Payment Redd - Thank You 6.228..35 (038 91,137.00 K 1-`ayy,nenl Recd -Thank You 3!10!2?C`i.. 6.240.59 1073 91,161-00 4017M Payer'" t Recd -Thank You 486.68 1os8 91.605x58 • 41612505 Payment Redd - Thank You 24:00 1087 47,946,17 4:'F'2005 payment Rae'd - Thank You 44458 t 135 98,375:91 'Thank You 5j62'.d35 Payment Reed - 6,240.59 1136 104.1317-50 Thank You 5M-1005 payment Reed 1,T 4 530.74 1 1D5w4876 payment Reeed-Thank you 612,;2005 5 .: 6:240:59 1176 1D5182.10 Payment Rg'a Thank You 6S6t`t..Gil6 529.26 1218 111,422.59 612212005 Payment Redd -Thesik You 35.134 1219 112,007,14 6i22t2UG5 Payment Ree`a - Thank YGru 240.69 1262 115,12693 6e'317 0i?6 Payment Recd - Thank YOU 584..45 1.273 1 ^:8,240.73 9f1t20G5 Payment Rec'sJ.. Thank You 1835 3.121.59 119,534.64 91612005 payment Redd •. The, 3,120.00 1277 119.458,11 Thank You 9#8+2005 Payinont Recd • +.,285.91 1374 525,809.70 10f7r2005 paymantRedd "Thank YOU 33.47 1375 132,054.29 nk YOU 16r72C)U5 PaYn'1eit Recb - Tom' 8,241.59 1377 138,290.88 1Of 172005 Paymanl Recd -Thank YOU 6,240.59 1462 140,589:86 11721:,2005 Payment Reed Thank You 14V 6.240.59 140.8'14:87 120512005 paymentReG)d Thank You 2.298.98 1495 (48,8$6.25 Thank YOU (15+24)05 payment Red ' 34,61 1496 ^.48.985.55 2 12! 15 TOOS Payment Redd -Thank YOU 6,240.59 1511 15(),796.97 `2#2812005 Payment Reed - Thank YOU 3.120-29 1580 150,872.95 You 21602006 Payment Rec'.d - 8114'2 1617 150,948.85 3,172006 payment Redd -Thank YOU 75.96 161.4 154.059.15 payment Recd -Thank You 3,112005 75.90 1615 160,300,74 31111006 paynra,*t Rocd . Thank You 3,120.30 1561 183,42934 371612°".)(6 Payment Recd - Thank YOU 6,24().559 1.`135 164,810.75 ThanK Yew 413(77008 Paymert Reed - 3120:00 1693 186,487.25 Roca-- Thank You 5('12006 payment 1735 1,181-01 187,259.70 3#112006 paynwnt Recd - Thank You 21,876.50 1753 -189,259.'70 Thank You 51812005 payment Recd T T72,45 1754 t 91,259-70 `3082008 Pa. art Recd - Thank YOU 2,000.(X1 1769 5 2202005 paYmert Rac'd • Thank You 2.000.00 1T88 615/2006 Parrtent Ree'd' Thank You 4y 0- STATEMENT - 24!20,4 3281913 °,k+k?r•,e^t N, 343'523 'aye PAYMENTS SECT ON GIL Oate 0escrfoborn ............ _.-_ ..._...---_..? Payments _. _...._ ____.._. Check Nvnoe, Remark . _.._......._. ... 6a ance 61812IX)b Pay" 1,..112ecd - Thank You 2,240.59 180.4 ............... ... 93,504.29 7;!012006 Pay,nert Roc'd - Thank You 702,45 1844 194,202.74 7110=216+6 Pa,; -i- t Recd - Thank Yra 33.74 1843 44.236 48 734pi2(K)6 Pa...ne. I ReLC - Thank You 6.240.59 1842 200,477.07 ,.2b32.LrJ6 pav:•;erl Recd- Thank You 3.200.00 ?859 203,677.07 83132(100 Pay*,s;-t Recd T^sankYou 3.663.90 ;8647 207.340.97 W&2006 Fla? nerl Racd - Thank You 3 0(W 00 1917 , , 210,340.97 9151200?, Pay hart Roc'd - t-nank You 3.240.59 1918 213,581 56 lWV2006 Pa.rm=_ni Recd - Thank You 1,665 50 1982 215,247-06 103`2006 Paynn::t Recd - Thank You 3.20.(!0 1990 218,367.06 1011212+105 Pay ,eM Recd - Thank You 3 120 59 1991 , . 221,487.65 1.431612006 Payr:amt Recd - Thank You 81 34 2036 . 221,522,46 10124•:2006 Paynet+t Recd T-hanK You 844.84 2052 222,387.30 11!6,2006 Paymerf Recd - Thank You 3 120 00 20117 , , 225,487.30 11113,2006 Paymant Rec'd - Thank You 120 3 59 2.468 , . 228,607,89 11127,'2.306 Pavn;t+„f Recd - Thank You 676.43 21,07 229,28432 ,, V27,2006 Payma^f Recd - Thank You 3 12080 2097 1211/2006 Payment Reed - Thank You , 3,120.59 2098 232.404.32 ?..96,514,91 12M2006 Payment Recd - Thank You 729:19 2123 236254.10 1 2128 32 0 08 Payment Recd - Thank You 35 94 2157 . 236,291.04 1212612006 Payment Recd - Thank You 3,203.83 2158 239,494.67 1212642406 Paymerd Rac'd - Thank You 116.67 2156 734.611,34 12126124306 Pay7nanf Recd - Thank You 3 203 63 2159 , . 242,814.47 . P92,007 Payr:art Recd - Thank You 3,203.53 2207 246,016,60 1115/2007 Pauncamt Recd - Thank You 3,203.63 2208 249222.23 2126/2007 Payment Recd - Thank You 40 65 2235 - , 249262,78 315C21W7 Paymer't. Recd - Thank You 736 60 2236 . 249,999.36 3!1632007 Paynwl Reed - Thank You 3 20313 2252 , 253,203.01 3322120117 Paymer:t Recd - Thank You 3,203.63 2253 256;446.64 431632007 Payr:ont Recd - Thank You 3203 63 2326 , 269,61(7:27 431912:707 Payment Recd - Thank You 626 14 2334 . . 260,238,41. 412312307 Payrnort Recd - Thank You 3,203,63 2327 26$,440:04 51"'2007 Payment Recd - Thank You 1,044.45 2377 264,484.49 51'4120.47 Paymant Roc 'd - Thank You 3,203.63 2375 2670812 5;2112007 Pawnanl Recd - Thank You 2.135.00 2411 269,82312 51213200•' Payr.anl Recd - Thank You 1,207.07. 2409 271,430;14 5.1112f707 Paym-onf Roc d Thank Y(P4 3:203.63 2376 274,233.77 .5321;+24(77 Payment Rec'd - Thank You 920 04 2378 . 275,153.81 5121)2007 Payrnenf Rocd - Thank You 2.137:26 2412 277,291.07 51Y432007 Payment Recd - Thank You 2,135.40 2410 279,426.07 71212407 Payment Recd .. Thank You 6,40726 2461 285,833.33 732120(17 Payrnenf Recd - Thank You 806 07 2 463 . . 286,439.40 73212407 Payomfit Rac'd - That* You 652 64 2460 . 287,092.04 73212007 Payment Reed - Thank You 592 24 2482 . 287,684.28 8!832007 Pay-ant Ret:'d - Thank You 1 560 00 2531 . . 2$9,244,28 & &2007 Payment Recd - Thank You 1,560.59 2530 29(7 804.87 81612!707 Payment Recd Thar* You 1 560 00 2533 , . 292,36417 81612007 Payment Roc'd - Thank You 1 560 00 2532 , . 29;1.924;87 1 (VI? 200 7 Pay writ Recd - Thank You 51 38 2615 . 293,976,25 1011%2008 Payment Recd - Thank You 284.48 2$25 294260,73 1 011 4200 7 Payment Raed - Thank You 696 67 2614 . 294,957.40 101132007 Pay-wit Rec 0 - Thant You 739 92 2613 . 295,697.32 10313'1007 Payment Recd - Thank You 55519 2617 295,252,51 '03/32007 Payment Rac'd - Thank You 6 40716 2588 , 302,659:77 ;W112007 Payrrort Recd - Thank You 6,407.26 2616 309,067.03 113812007 Payment Recd T"nank You 6 240 59 2881 , . 315,307:62 STATEMENT z'«' Ac CO .[ r2a19a Stafa:nert N, 34?323 PAYMENTS SECTEON GIL Date Dose( on . ..... .__.. . Payments ... .... Check Numhe! ................. .... . Remark Balance 2118+7007 Payment Rec,: I hank You 6.140.59 . .... 2736 .......... .. __-_?_._..._._... 321;546.21 '0012008 Payment Rec'c - Thank You 6.407.26 2f68 327.955,47 212!2008 Pap rent Rxc`c -Thank You 1,936.64 2765 329,8Y2.11 Z,",W2008 Payment Re c Ti•a'xk You 1 392.84 2737 331,284.95 2;19[2008 Payment Rac" - Ihank You 46.54 266 331,331.49 212812008 Paymant RiWc! - Thank You 3,203.633 2828 334,535.12 X712008 Payment koc'c TFa^k Yo:: 3,203.63 2829 337,738.76 3;13/2008 Payment Rec'c 1"hank You 1.247.72 2854 338,986.47 34112068 Payment Rec'a Thank You 3,203.63 2885 342,190.10 312 112 0 08 Payment Rec'd " Thank You 3,203.63 2886 345,393.73 3/2112008 Payment Recd - Thank You 166.66 2883 345,560,19 31211200 Paymoni Roc'o 1"hank You 333.34 2882 345,893.73 3121i26tri3 567.67- 2884 NSF 345,326.06 4,'24126b8 Payment Rec d - T!-arnk You 3,203 63 2922 348,529.69 &2311b08 Payment Recd " Thaw You 3,203.63 2932 351,733,32 5123/2008 Payment Recd - Thank You 3,203.63 2933 354,986.95 51232008 Payment Recd - Thank You 3.203.63 2934 3$8,140.$8 6i19?20A8 Payment Rec'a Thank You 3,203.63 2692 361,34421 71172008 Payment Recd - Thank You 3,203.63 2972 3134,547.84 7.17120Q8 Payment Recd - Thank You 3,203.53 2975 367;751;47 7MV2098 Payment Recd - Thank You 3.203.63 2976 374155.10 71',&2608 Payment Recd - Thank You 77.68 2988 371,039,7$ $1512408 1,150.26- 2996 VOD 369,882.52 812712608 Payment Recd - Thank You 1.15026 3013 371,032,78 9d6=2008 Paymant Rec u Thank You 3,20163 3017 374,236,41 y,'17)2008 3,203.63- 3027 VOD 371,032,78 `Qt6f,21%18 Payment Recd - Thank You 3,203.83 3046 374,236.41 :247008 Paymant Rer.'c Thank You 3.203.63 3088. 377,440.04 '11212009 Payment. Recd - Thank You 3,20163 3158 380,643.67 212312409 Payment Rec'd - Thank You 3,203.63 3223 383,847:30 ACCOUNT SUMMARY 501ahee Pnor To 1:12003 .00 Hus Chames From itii2403 55,964.77 Less PayhleittS/Cted:tsFrom if1P1008 14,514.13} AMOUNT DUE: _.._._..__..........._Sf,45Q.84 ACCOUNT. AGING _..- -- Cufrent 1-30 ..._-... _ - •? _._ 31 - 60 _ _......... __.... 61 - 9Q .... ........ _ 4_.. ._..... . . . 91 120 Over 120 6,961:43 _ . . ....... _........... .. 7,448.40 6,835,43 . _........ -....... - ............... _. . .. 7.102.45 .... ... ...... ......... ..... 23,112,93 D 2MOCT -1 I111: 23 w j 2??-3 1 3 b ? N tl d.," c e- m-& J II e- ? IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA PR CAPITAL CITY LIMITED PARTNERSHIP, formerly named Crown American Capital City Associates, L.P. Plaintiff, V. JOHN CRAIG FASHIONS, INC., t/a John Craig Fashions, CIVIL DIVISION No. U` 9 SS 40 ,T, -f Defendant. CERTIFICATE OF ADDRESS The undersigned certifies that the most recent known address for the John Craig Fashions, Inc., t/a John Craig Fashions, is: John Craig Fashions, Inc, t/a John Craig Fashions5832 Barnsley Drive, Harrisburg, Pennsylvania, 17111-4756. Respectfully submitted, Dated: September 29, 2009 ephen S. &brow Darlene M. Nowak MARCUS & SHAPIRA LLP One Oxford Centre, 35th Floor 301 Grant Street Pittsburgh, PA 15219 (412) 471-3490 Counsel for Plaintiff, PR Capital City Limited Partnership IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA PR CAPITAL CITY LIMITED PARTNERSHIP, formerly named Crown American Capital City Associates, L.P. ) CIVIL DIVISION No. d y- 6 s?6 6'V:1 fzfA- Plaintiff, V. JOHN CRAIG FASHIONS, INC., t/a John Craig Fashions, Defendant. NOTICE OF ENTRY EC O MENT D JUDGMENT FOR TO: John Craig Fashions, Inc. t/a John Craig Fashions Please take notice that a judgment in ejectment has been entered against you by confession on the date below in favor of the plaintiff for possession of property described as follows: Room 432 in Capital City Mall, located on the West side of Hartzdale Drive between Zimmerman Drive and Capital City Mall Drive, and bounded by U.S. Route 15 on the West and North. / , '-6a 9 Date: othonot o Common Pleas of umberland ounty