HomeMy WebLinkAbout06-6223BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP, a Delaware limited
partnership,
4900 Ritter Road, Suite 150
Mechanicsburg, PA 17055
Plaintiff,
vii.
CONTAINERBRIGHT, INC., a
Pennsylvania corporation,
2410 Gettysburg Road
Camp Hill, PA 17011
Defendant.
COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
CIVIL ACTION - Law
NO. No - a.Z3
CONFESSION OF JUDGMENT IN EJECTMENT
FOR POSSESSION OF REAL PROPERTY
Pursuant to the authority contained in the warrant of attorney (a copy of which is
attached hereto as Exhibit A and incorporated herein) set forth in the Lease described in the
complaint filed in the above-captioned action, I hereby appear for Defendant ContainerBright,
Inc., a Pennsylvania corporation, and confess judgment in favor of Plaintiff ProLogis Six Rivers
Limited Partnership and against the Defendant in ejectment and for possession of the Leased
Premises described in the Complaint, which consists of the premises located at 2410 Gettysburg
Road, Camp Hill, Pennsylvania.
PHDATA 13924153
Respectfully submigpd
David Pelletier, Esquire
(Pa. Att'y No. 90899)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2107
Attorney for the Defendant
(Pursuant to the Warrant of Attorney
Described in the Foregoing Complaint)
Dated: October 24, 2006
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Exhibit A:
Attachment to Confession of Judgment in Ejectment for Possession
Excerpt from Lease: Warrant of Attorney
PHDATA 13924153
27.17 DELIVERY FOR EXAMINATION. DELIVERY OF THE
LEASE TO TENANT SHALL NOT BIND LANDLORD IN ANY MANNER, AND NO
LEASE OR OBLIGATIONS OF LANDLORD SHALL ARISE UNTIL THIS
INSTRUMENT IS SIGNED BY BOTH LANDLORD AND TENANT AND DELIVERY
IS MADE TO EACH.
SEE RIDER ATTACHED TO AND MADE A PART OF THIS LEASE.
IN WITNESS WHEREOF, Landlord and Tenant have each caused their duly
authorized representatives to execute this Lease on their behalf as of the date first above
written.
McBRIDE PROPERTIES
By: KEYSTONE PROPERTY TRUST, its general partner
By:
Name: @1ephun J. oufe
Title: %bWrd dent
CONTAINERBRIGHT, INC.
By: C. 7q'-'
RIDER
1. PENNSYLVANIA REMEDIES-CONFESSION OF JUDGMENT.
(A) WHEN THIS LEASE OR TENANT'S RIGHT OF POSSESSION SHALL
BE TERMINATED BY COVENANT OR CONDITION BROKEN, OR FOR ANY
OTHER REASON, EITHER DURING THE TERM OF THIS LEASE, AND ALSO
WHEN AND AS SOON AS SUCH TERM SHALL HAVE EXPIRED OR BEEN
TERMINATED, TENANT HEREBY IRREVOCABLY AUTHORIZES AND
EMPOWERS ANY ATTORNEY OF ANY COURT OF RECORD AS ATTORNEY
FOR TENANT AND ANY PERSONS CLAIMING THROUGH OR UNDER TENANT
TO CONFESS JUDGMENT IN EJECTMENT AGAINST TENANT AND ALL
PERSONS CLAIMING THROUGH OR UNDER TENANT FOR THE RECOVERY BY
LANDLORD OF POSSESSION OF THE PREMISES, FOR WHICH THIS LEASE
SHALL BE SUFFICIENT WARRANT, WHEREUPON, IF LANDLORD SO DESIRES,
A WRIT OF EXECUTION OR OF POSSESSION MAY ISSUE FORTHWITH,
WITHOUT ANY PRIOR WRIT OR PROCEEDINGS WHATSOEVER, AND
PROVIDED THAT IF FOR ANY REASON AFTER SUCH ACTION SHALL HAVE
BEEN COMMENCED THE SAME SHALL BE DETERMINED, CANCELED OR
i
SUSPENDED AND POSSESSION OF THE PREMISES HEREBY DEMISED
REMAIN IN OR BE RESTORED TO TENANT OR ANY PERSON CLAIMING
THROUGH OR UNDER TENANT, LANDLORD SHALL HAVE THE RIGHT, UPON
ANY SUBSEQUENT DEFAULT OR DEFAULTS, OR UPON ANY SUBSEQUENT
TERMINATION OR EXPIRATION OF THIS LEASE OR ANY RENEWAL OR
EXTENSION HEREOF, OR OF TENANT'S RIGHT OF POSSESSION, AS
HEREINBEFORE SET FORTH, TO CONFESS JUDGMENT IN EJECTMENT AS
HEREINBEFORE SET FORTH ONE OR MORE ADDITIONAL TIMES TO
RECOVER POSSESSION OF THE SAID PREMISES.
(B) IN ANY ACTION OF OR FOR EJECTMENT, IF LANDLORD SHALL
FIRST CAUSE TO BE FILED IN SUCH ACTION AN AFFIDAVIT MADE BY IT OR
SOMEONE ACTING FOR IT SETTING FORTH THE FACTS NECESSARY TO
AUTHORIZE THE ENTRY OF JUDGMENT, SUCH AFFIDAVIT SHALL BE
CONCLUSIVE EVIDENCE OF SUCH FACTS; AND IF A TRUE COPY OF THIS
LEASE (AND OF THE TRUTH OF THE COPY SUCH AFFIDAVIT SHALL BE
SUFFICIENT EVIDENCE) BE FILED IN SUCH ACTION, IT SHALL NOT BE
NECESSARY TO FILE THE ORIGINAL AS A WARRANT OF ATTORNEY, ANY
RULE OF COURT, CUSTOM OR PRACTICE TO THE CONTRARY
NOTWITHSTANDING. TENANT RELEASES TO LANDLORD, AND TO ANY AND
ALL ATTORNEYS WHO MAY APPEAR FOR TENANT, ALL PROCEDURAL
ERRORS IN ANY PROCEEDINGS TAKEN BY LANDLORD, WHETHER BY
VIRTUE OF THE WARRANTS OF ATTORNEY CONTAINED IN THIS LEASE OR
NOT, AND ALL LIABILITY THEREFOR.
2. Lender Protections. Tenant agrees to simultaneously give to any party
holding a mortgage encumbering the Building, by registered or certified mail, a copy of
any notice of default served upon Landlord provided Tenant has been notified in writing
of the names and addresses of such mortgagee(s). Tenant further agrees that if Landlord
shall have failed to cure such default within the time provided for in this Lease, then the
mortgagee(s) shall have an additional thirty (30) days within which to cure such default or
if such default cannot be cured within such time, then such additional time as may be
necessary if within such thirty (30) days any mortgagee(s) has commenced and is
diligently pursuing the remedies necessary to cure such default (including but not limited
to commencement of foreclosure proceedings, if necessary to effect such cure), in which
event Tenant shall not have the right to pursue any claim against Landlord or such
mortgagee, including but not limited to any claim of actual or constructive eviction, so
long as such remedies are being diligently pursued.
IN WITNESS WHEREOF, Landlord and Tenant have each caused their duly
authorized representatives to execute this Rider on their behalf as of the date first above
written.
McBRIDE PROPERTIES
By: Keystone Property T its general partner
By: %w hen J. Butte
Senior Vice President
CONTAINERBRIGHT, INC.
By WAIVER OF PRIOR HEAR,I?jG CERTIFICATION
The undersigned acknowledges that, subject only to the default notices and cure periods
expressly provided for in the above Lease, the above Lease authorizes and empowers
Landlord, without the undersigned receiving My prior notice or M ri hearing in any
court, to cause the entry of judgments against the undersigned for possession of the leased
premises and immediately thereafter, without the undersio receiving any prior notice
or go ppigr hearing in any court , to exercise post judgment enforcement and execution
remedies to remove the undersigned from the leased premises by law enforcement
officers).
The undersigned acknowledges that it has agreed to waive its rights to a prior notice and
hearing under the Constitution of the United States, the Constitution of the
Commonwealth of Pennsylvania and all other applicable state and federal laws, in
connection with Landlord's ability to cause the entry of judgments against the
undersigned and immediately thereafter exercise Landlord's post judgment enforcement
execution remedies The undersigned has discussed the legal impact of this waiver with its
independent counsel, and the undersigned acknowledges that it has freely waived such
rights.
CONTAINERBRIGHT, INC.
Name: 5?s C . 7;, Aj ,?
Title: Wf-,t-DENT
Dated: April k, 2003
EXHIBIT A
WORK LETTER
Landlord and Tenant agree as follows:
1. Designation of Tenant's Construction Representative.
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Defendant.
COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
CIVIL ACTION - Law
NO. 01, - 2,18 (l . Z-7
COMPLAINT IN CONFESSION OF JUDGMENT IN EJECTMENT
ProLogis Six Rivers Limited Partnership (f/k/a Keystone Operating Partnership,
BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP, a Delaware limited
partnership,
4900 Ritter Road, Suite 150
Mechanicsburg, PA 17055
vi.
Plaintiff,
CONTAINERBRIGHT, INC., a
Pennsylvania corporation,
2410 Gettysburg Road
Camp Hill, PA 17011
L.P.), a Delaware limited partnership ("Landlord" or "Plaintiff'), brings this action, pursuant to
Pennsylvania Rules of Civil Procedure 2970, et seq., to obtain a judgment by confession in its
favor and against ContainerBright, Inc., a Pennsylvania corporation ("Defendant") in ejectment
for possession of real property, and avers as follows:
PHDATA 13924153
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Parties, Jurisdiction and Venue
Plaintiff is a limited partnership organized and existing under the laws of the State
of Delaware with a place of business at 4900 Ritter Road, Suite 150, Mechanicsburg,
Pennsylvania 17055.
2. Defendant is, upon information and belief, a Pennsylvania corporation with its
last known address at 2410 Gettysburg Road, Camp Hill, Pennsylvania 17011.
Venue properly lies in this Court because (i) the events out of which this action
arise occurred in Cumberland County, (ii) Defendant resides in Cumberland County, and (iii) the
Leased Premises is in this County.
Underlying Transaction
4. On or about April 11, 2003, McBride Properties, a New Jersey general
partnership and Landlord's predecessor-in-interest) entered into a written lease agreement (the
"Lease") wherein the Defendant, as tenant, leased the commercial real estate located at 2410
Gettysburg Road, Camp Hill, Pennsylvania, and further described in the Lease (the "Leased
Premises") for a term of five years commencing on August 13, 2003. A true and complete copy
of the Lease is annexed hereto as Exhibit A and incorporated herein by reference.
On or about August 4, 2004, McBride Properties assigned to Landlord (f/k/a
Keystone Operating Partnership, L.P.) its right, title and interest, as landlord, under the Lease
and Landlord assumed all obligations under the Lease. Evidence of assignment is annexed
hereto as Exhibit B and incorporated herein by reference.
6. Landlord has fulfilled all of its obligations under the Lease and has otherwise
performed all acts necessary to preserve all of its rights under the Lease.
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PHDATA 13924153
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Averment of Default
7. Among the obligations imposed upon the Defendant under the Lease is the
obligation to make certain monthly payments to Landlord, including the following:
(a) Paragraphs 1.2 and 5.1 of the Lease require the Defendant to pay Landlord
annual base rent in equal monthly installments (plus any applicable late fees under Paragraph 5.2
of the Lease) ("Rent") as follows:
Lease Year Annual Rent Monthly Rent Amount
1 $106,848.00 $8,904.00
2 $110,880.00 $9,240.00
3 $114,912.00 $9,576.00
4 $118,944.00 $9,912.00
5 $122,976.00 $10,248.00
(b) Paragraph 6 of the Lease requires the Defendant to pay Landlord
additional rent ("Additional Rent"), which includes, but is not limited to, estimated annual
operating expenses and real estate taxes.
8. Defendant is in default under the Lease because of, among other things, its failure
to pay when due the Rent and Additional Rent for each of the months of June, 2006, July, 2006,
August, 2006, September, 2006 and October 2006 in the aggregate amount set forth in paragraph
15 below.
9. As set forth in paragraph 19 of the Lease, the Defendant's failures, in paying its
monthly rental obligations under the Lease to Landlord constitutes an "Event of Default" under
the Lease and entitles Landlord to exercise various legal remedies available both under the Lease
and at law generally.
10. Upon an Event of Default, paragraph 1 of the Rider appended to the Lease
provides that any attorney of any court of record may appear on behalf of the Defendant and
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PHDATA 13924153
confess judgment in ejectment against the Defendant (and all persons claiming through or under
the Defendant) for the recovery of possession of the Leased Premises.
Averment Concerning Notice
11. By letters (the "Default Letters") dated July 14, 2006 and July 31, 2006, Plaintiff
notified the Defendant of its continuing Default under the terms of the Lease and demanded that
such default be cured in accordance with the terms of the Lease. True and correct copies of the
Default Letters are annexed hereto as Exhibit C. The Lease requires no other notice prior to the
commencement of this Action or prior to the entry of judgment herein.
Statement Concerning Prior Judgments
12. No prior judgments against Defendant on the Warrant of Attorney contained in
the Lease have been entered in any jurisdiction.
Averment Regarding Fact That Judgment Is Not For
Obligation Under Consumer-Credit Transaction
13. The Lease executed by the Defendant is not a consumer-credit transaction and the
judgment being entered herein is not related to a consumer-credit transaction.
Statement Concerning Assignments
14. The Lease has not been assigned by the Defendant. As stated above, McBride
Properties assigned all of its right, title and interest in and to the Lease to Landlord (f/k/a
Keystone Operating Partnership, L.P.) and Landlord assumed the obligations under the Lease, as
evidenced by Exhibit B. There has been no further assignment of the Lease by Plaintiff.
Itemization of Amounts Due
15. As of October 1, 2006, the following amounts were due and owing but unpaid
under the Lease.
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PHDATA 13924153
Base Rent .......................................................
Operating Expenses .......................................
Late Charges ..................................................
Maintenance Fees ...........................................
(Less) Security Deposit:
TOTAL: ........................................................
$48,888.00
13,425.10
3,874.02
2,906.43
(35,000.00)
$34,093.55
16. None of the amounts listed in paragraph 15 above have been paid.
Averment of Fact that the Real Property at Issue Herein is
Not Residential and that Defendant is Not a Natural Person
17. The Leased Premises is purely commercial and Defendant is not a natural person.
DEMAND FOR JUDGMENT
18. By virtue of the above averments and pursuant to the Warrant of Attorney
contained in the Lease, Landlord is entitled to immediate entry of a judgment in its favor and
against the Defendant for possession of the Leased Premises and the issuance of a writ (or writs)
of possession to restore Landlord to actual possession thereof.
[SPACE INTENTIONALLY LEFT BLANK]
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PHDATA 13924153
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WHEREFORE, Plaintiff ProLogis Six Rivers Limited Partnership demands that
judgment be entered in its favor and against the Defendant ContainerBright, Inc., in ejectment,
for possession of the Leased Premises.
y E. Bressler, Esquire
a. Att'y No. 09868)
Michael J. Barrie, Esquire
(Pa. Att'y No. 85625)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2192
Attorneys for the Plaintiff
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, Pennsylvania 19103
(215) 751-2000
Of Counsel
Dated: October 24, 2006
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PHDATA 13924153
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1
INDUSTRIAL LEASE FOR
CONTAINERBRIGHT, INC.
Premises: 2410 Gettysburg Road
Camp Hill, Pennsylvania
TABLE OF CONTENTS
Article
Pa e
1. Reference Data and Definitions 1
2. Demise of Premises 3
3. Possession. 4
4. Term; Renewal Term. 4
5. Base Rent. 5
6. Additional Rent for Operating Expenses and Real Estate Taxes.
7. Security Deposit 9
8. Use; Compliance With Law, 9
9. Alterations and Tenant's Property. 12
10. Repairs and Other Work. 12
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11. Liens 14
12. Subordination 14
13. Inability to Perform 14
14. Destruction. 14
15. Insurance. 16
16. Eminent Domain. 18
17. Assignment; Subleasing. 18
18. Utilities and Services. 20
19. Default. 21
20. Insolvency or Bankruptcy 23
21. Fees and Expenses; Indemnity, Payment.
22. Access to Premises 24
23. Notices 25
24. No Waiver 25
25. Tenant's Certificates 26
26. Tenant's Taxes26
27. Miscellaneous. 26
RID
ER
EXHIBITS
A - Work Letter
B - Scope of Work
24
AGREEMENT OF LEASE
AGREEMENT OF LEASE (the "Lease") made as of this I'"day of April, 2003
between MCBRIDE PROPERTIES, a New Jersey general partnership (the "Landlord"),
and CONTAINERBRIGHT, INC., a Pennsylvania corporation (the "Tenant").
Landlord and Tenant agree as follows:
Reference Data and Definitions. The following sets forth some of the basic lease
information and definitions used in this Lease:
1.1 "Additional Rent" shall mean Real Estate Taxes and of Operating
Expenses, and all other sums (exclusive of Base Rent) payable by Tenant to Landlord
under this Lease.
1.2 "Base Rent" shall mean the Annual Base Rent for each Lease Year
set forth below:
Lease Year Annual B Rent Monthly Installment
of Annual Base Rent
1 $106848.00 $ 8,904.00
2 $1101880.00 $9,240.00
3 $114,912.00 $9,576.00
4 $118,944.00 $ 9,912.00
5 $122,976.00 $10,248.00
1.3 "Broker" shall mean NAI/Commercial Industrial Realty Company.
1.4 "Building" shall mean the building located at 2410 Gettysburg
Road, Camp Hill, Pennsylvania.
1.5 "Commencement Date" shall mean the date of this Lease.
1.6 "Concession Costs" shall mean Costs such as construction
allowances, rent concessions, moving expenses, takeover obligations and other similar
inducements, incurred in leasing, subleasing or assigning a lease or this Lease.
1.7 "Excess Assignment Consideration" shall mean an amount, if any,
equal to: (A) the consideration whenever paid by any assignee for the assignment, less
(B) Tenant's cost of improvements made or paid for by Tenant to satisfy the needs of the
assignee, and legal fees, leasing commissions and Concession Costs, reasonably
incurred by Tenant in connection with such assignment.
1.8 "Excess Sublease Rent" shall mean an amount, if any, equal to:
(A) (i) all rent or other consideration paid to Tenant by any subtenant, for and during
each month less (ii) the portion applicable to such month (when amortized from the date
such subtenant commences to pay rent over the remaining term of the sublease,
exclusive of any renewals or extensions) of Tenant's costs of improvements made or
paid for by Tenant to satisfy the needs of the subtenant, and legal fees, leasing
commissions and Concession Costs reasonably incurred by Tenant in connection with
such subletting, less (B) (i) the Monthly Installment of Base Rent for such month plus
,
(ii) such other rent or consideration attributable to such month, which would otherwise
be required to be paid by Tenant to Landlord. In determining the amount of Excess
Sublease Rent with respect to a sublease for less than all of the Premises, the amount of
the Monthly Installment of Base Rent to be deducted pursuant to clause (B)(i) of this
Section shall be determined by multiplying the then applicable square foot rate of the
Monthly Installment of Base Rent by the area of the portion of the Premises which has
been sublet.
1.9 "Guarantor" shall mean Susan C. Tandle.
1.10 "Holidays" shall mean the days observed as holidays by the United
States government, or the state government of the State in which the Building is located.
1.11 "Landlord" shall mean the Landlord named on page 1 of this Lease
or any subsequent owner of such Landlord's interest in the Property.
1.12 "Landlord's Address":
c% Keystone Realty Services, Inc.
200 Four Falls Corporate Center
Suite 208
West Conshohocken, Pennsylvania 19428
1.13 "Lease Interest Rate" shall mean the lesser of (A) 400 basis points
in excess of the Prime Rate in effect from time to time or (B) the maximum amount or
rate that lawfully may be charged in the circumstances, if such a maximum exists.
1.14 "Lease Taxes" shall mean any tax, assessment, levy or other charge
(other than any income tax) by any federal, state or local law now or hereafter imposed
directly or indirectly upon Landlord with respect to this Lease or the value thereof, or
upon Tenant's use or occupancy of the Premises, or upon the Base Rent, Additional Rent
or any other sums payable under this Lease or upon this transaction.
1.15 "Operating Expenses" shall have the meaning set forth in Section
6.1.1.
1.16 "Ordinary Business Hours" shall mean Monday through Friday,
inclusive, from 7 a.m. to 5 p.m., with Holidays excepted. Notwithstanding the
foregoing, Tenant shall have access to the Premises twenty-four (24) hours a day, seven
(7) days a week, fifty-two (52) weeks a year.
1.17 "Permitted Use" shall mean only use for washing, warehousing and
distributing of polypropylene plastic food containers, together with ancillary office.
1.18 "Premises" shall mean the Property.
1.19 "Prime Rate" shall mean the rate of interest announced from time
to time by PNC Bank N.A. or its successor as its prime rate or, if such rate is
discontinued, such comparable rate as Landlord reasonably designates by notice to
Tenant.
1.20 "Property" shall mean the Building together with the parcel of land
and all appurtenances thereto on which the Building is located.
1.21 "Real Estate Taxes" shall mean all real estate taxes and
assessments, general or special, ordinary or extraordinary, foreseen or unforeseen (other
than Lease Taxes) assessed or imposed upon the Property. If, due to a future change in
the method of taxation, any franchise, income, profit or other tax, however designated,
shall be levied or imposed in substitution, in whole or in part, for (or in lieu of) any tax
or addition to or increase in any tax which would otherwise be included within the
definition of Real Estate Taxes, then such other tax shall be deemed to be included
within Real Estate Taxes.
1.22 "Rent" shall mean Additional Rent and Base Rent, collectively.
1.23 "Rentable Area of the Premises" shall mean 33,600 square feet.
1.24 "Tenant" shall mean the Tenant named on page 1 of this Lease and
such person's permitted successors and assigns, subject to the provisions of this Lease.
1.25 "Tenant's Address" shall mean, at the Premises.
1.26 "Term" shall mean the period commencing on the Commencement
Date and terminating on July 31, 2008, subject to extension as provided in this Lease.
Demise of Premises. Subject to the terms of this Lease, Landlord leases to Tenant
and Tenant leases from Landlord the Premises. Landlord warrants to Tenant that the
Premises may be lawfully used for the Permitted Use under the applicable zoning code in
effect on the date of this Lease
3. Possession.
3.1 Improvements to Premises. The Premises will be improved by
Landlord as provided in Exhibit A to this Lease (the "Work Letter"). The scope of the
work to be performed by Landlord is set forth on Exhibit B to this Lease (the "Scope of
Work'). The Work Letter and Scope of Work set forth the obligations and
responsibilities of Tenant and Landlord for the design and construction of Landlord's
Work (as such term is defined in the Work Letter). Except for the improvements to the
Premises contemplated by the Landlord's Work, Tenant agrees to accept the Premises
and the Property in their "as is" condition. Subject to Tenant Delay (as such term is
defined in the Work Letter), Landlord shall cause the Landlord's Work to be
Substantially Complete on or before June 1, 2003. If for any reason Landlord cannot
achieve Substantial Completion of Landlord's Work by June 1, 2003, then the validity
of this Lease and the obligations of Tenant under this Lease shall not be affected, and
Tenant shall have no claim against Landlord in connection therewith; provided, that the
Rent Commencement Date shall be extended by one (1) day for each day it takes after
June 1, 2003 to achieve Substantial Completion of Landlord's Work; provided, further,
that the Rent Commencement Date shall not be extended on account of any delay in the
achievement of Substantial Completion of Landlord's Work which is attributable to
Tenant Delay (as such term is defined in the Work Letter).
3.2 Delivery of Possession. Landlord shall deliver possession of the
Premises to Tenant upon Substantial Completion of Landlord's Work. Following such
delivery, Landlord and Tenant will cooperate with each other in coordinating and
completing Landlord's Work and any Alterations to be performed by Tenant.
3.3 Permits. Landlord shall obtain such occupancy permits and other
licenses as may be required to be obtained to permit the use and occupancy of the
Premises for the Permitted Use. Tenant will assist Landlord in obtaining such
occupancy permits.
4. Term: Renewal Term.
4.1 Commencement Date. The Term of this Lease shall commence on
the Commencement Date.
4.2 Rent Commencement ate. Tenant's obligation to pay Rent shall
commence on August 1, 2003 (the "Rent Commencement Date"). However, if Tenant
takes possession of all or any part of the Premises prior to the Rent Commencement
Date, Tenant shall pay for the cost of all utilities and services provided to Tenant or the
Premises during the period of Tenant's possession prior to the Rent Commencement
Date.
4.3 Lease Year. The "First Lease Year" shall be the period
commencing on the Commencement Date and continuing through July 31, 2004. Each
"Lease Year" after the First Lease Year shall be a consecutive twelve (12) month period
commencing on the first day of the calendar month immediately following the preceding
Lease Year.
4.4 Renewal Term. Provided that at the time of exercise of the option
provided for in this Section 4.4 this Lease is in full force and effect, Tenant is not in
default hereunder and Tenant is in full occupancy of the Premises, Tenant shall have the
right by giving Notice to Landlord not less than six (6) months prior to the expiration
date of the Term to extend the Term for two (2) periods of one (1) year each (each, a
"Renewal Tenn") with such Renewal Term beginning on the day immediately following
the expiration date of the Term, on all of the same terms and conditions applicable to the
initial Term, except that the Base Rent during the Renewal Term will be determined as
provided in Section 4.5.
4.5 Base Rent During Renewal Term. Base Rent during each Renewal
Term shall equal the lesser of (a) 98% of the "Fair Market Rent" for the Premises, or (b)
an amount equal to 103% of the Base Rent payable during the immediately preceding
Lease Year. Fair Market Rent means a new Base Rent determined for occupancy
commencing as of the first day of the Renewal Term as determined by Landlord and
designated by notice from Landlord to Tenant given not earlier than four (4) months
prior to the first day of the Renewal Term, taking into consideration the rental rates then
being quoted for comparable warehouse buildings in the area of the Property.
Landlord's determination of Fair Market Rent shall be final and binding unless Tenant
shall submit such determination to the American Arbitration Association within 15 days
after Tenant's receipt thereof. In the event of such submission, the Fair Market Rent
shall be determined within 60 days thereof in Philadelphia by a panel of three arbitrators
under the Commercial Arbitration Rules of the American Arbitration Association,
whose determination shall be based upon the same factors to have been taken into
consideration by Landlord. The award rendered by the arbitrators shall be final,
conclusive and binding.
4.6 Early Termination. Tenant shall have the option, exercisable by
written notice delivered to Landlord no later than October 31, 2005 accompanied by
payment to Landlord of the sum of $32,791.35, to accelerate the expiration of the Term
of this Lease to July 31, 2006. Upon the valid exercise of such option by Tenant, the
Term shall automatically expire on July 31, 2006 without the necessity of any additional
notice from either party to the other.
5. Base Rent.
5.1 Payment. Base Rent shall be payable by Tenant in equal monthly
installments as set forth in Section 1.2 on or before the first day of each calendar month,
in advance. If the Commencement Date or the expiration date of the Term should occur
on a day other than the last day of a calendar month, then the Base Rent for such
fractional month shall be prorated upon a daily basis. All payments of Base Rent and
Additional Rent shall be made without prior demand and without offset, deduction or
counterclaim of any kind, in lawful money of the United States of America. Such
payments shall be made at Landlord's Address or at such other place as Landlord shall
designate from time to time.
5.2 Late Charees. If Tenant fails to pay any Base Rent or Additional
Rent within five (5) days after the same is due and payable, such unpaid amounts will be
subject to a late payment charge equal to five percent (5%) of the unpaid amounts in
each instance. Such late payment charge has been agreed upon by Landlord and Tenant,
after negotiation, as a reasonable estimate of the additional administrative costs and
detriment that will be incurred by Landlord as a result of any such failure by Tenant, the
actual costs thereof being extremely difficult if not impossible to determine. The late
payment charge constitutes fair and reasonable compensation to Landlord for its
damages resulting from such failure by Tenant to timely pay and shall be paid to
Landlord together with such unpaid amounts.
6. Additional Rent for Operating Expenses and Real Estate Taxes.
6.1 Definitions. For purposes of this Lease, the following terms shall
have the following meanings:
6.1.1 "Operating Expenses" shall mean the costs and expenses
paid or incurred by Landlord in connection with the management, operation, maintenance
and repair of the Property, including, without limitation:
(i) the cost of fire, extended coverage, boiler, sprinkler,
apparatus, public liability, property damage, rent, earthquake and other insurance as
Landlord carries, including the amounts of any deductible payment for such insurance
incurred by Landlord in connection with any claim thereunder;
(ii) reasonable fees, charges and other costs, including,
without limitation, property management fees, consulting fees, attorneys' fees and
accounting fees of all contractors engaged by Landlord in connection with the Property,
and all such fees, charges or other costs charged by Landlord if Landlord performs
management services in connection with the Property;
monitoring;
(iii) the cost of snow and ice removal and of alarm
(iv) landscaping;
(v) reasonable fees, costs and disbursements incurred in
connection with proceedings to contest, determine, or reduce Operating Expenses or Real
Estate Taxes.
"Operating Expenses" shall not include:
(i) leasing commissions, accountants' or attorneys' fees,
costs and disbursements and other expenses incurred in connection with proposals,
negotiations, or disputes with tenants or other occupants or prospective tenants or other
occupants, or associated with the enforcement of any leases or the defense of Landlord's
title to or interest in the Building or any part thereof,
(ii) costs incurred in renovating or otherwise improving
or decorating, painting or redecorating space for tenants or other occupants or any vacant
space in the Building;
(iii) except as specifically provided in this Lease with
regard to amortization of capital improvement costs, interest on debt or amortization
payments on any mortgages or deeds of trust or any other borrowings of Landlord;
(iv) salaries, benefits or other compensation paid to
leasing agents, promotional directors, officers, directors and executives of Landlord
above the rank of Building managers, or not involved in the day-to-day operations or
management of the Building (except for out-of-pocket expenses of such persons related to
the Building or the Property);
(v) all contributions to any organizations, whether
political or charitable, except for dues and similar expenses for BONIA, building
management associations and similar organizations;
(vi) interest or penalties for late payments; costs
reimbursed by insurance unless disputed by third parties;
(vii) ground lease rental;
(viii) costs or expenses paid directly by Tenant in
connection with the operation, maintenance or repair of the Property.
6.2 Payment of Real Estate Taxes. Commencing on the
Commencement Date, Tenant shall pay to Landlord as Additional Rent one twelfth
(1/12th) of Real Estate Taxes for each calendar year on or before the first day of each
month during such calendar year, in advance, in an amount reasonably estimated by
Landlord in good faith and billed by Landlord to Tenant. Landlord shall have the right
to revise such estimate from time to time. Within one hundred twenty (120) days after
the expiration of each calendar year, Landlord shall furnish Tenant with a statement
("Landlord's Tax Statement") setting forth the actual amount of Real Estate Taxes for
such calendar year. If the actual amount of Real Estate Taxes due for such calendar year
differs from the estimated amount of Real Estate Taxes paid by Tenant for such calendar
year, then, if Tenant owes any amounts to Landlord, such amounts shall be paid by
Tenant (whether or not this Lease has terminated) within thirty (30) days after receipt of
Landlord's Tax Statement, and if Landlord owes any amounts to Tenant, such amounts
shall be credited against the next installments of Base Rent and Additional Rent due
from Tenant (or if the Lease has terminated for any reason other than Tenant's default,
paid to Tenant within thirty (30) days after delivery of Landlord's Tax Statement).
6.3 Payment of Operating Expenses. Commencing on the
Commencement Date, Tenant shall pay to Landlord as Additional Rent one twelfth
(1/12th) of Operating Expenses for each calendar year on or before the first day of each
month during such calendar year, in advance, in an amount reasonably estimated by
Landlord in good faith and billed by Landlord to Tenant. Landlord shall have the right
to revise such estimate from time to time. Within one hundred twenty (120) days after
the expiration of each calendar year, Landlord shall furnish Tenant with a statement
("Landlord's Operating Expense Statement"), setting forth the actual amount of
Operating Expenses for such calendar year. If the actual amount of Operating Expenses
due for such calendar year differs from the estimated amount of Operating Expenses
paid by Tenant for such calendar year, then, if Tenant owes any amounts to Landlord,
such amounts shall be paid by Tenant (whether or not this Lease has terminated) within
thirty (30) days after receipt of Landlord's Operating Expense Statement, and if Landlord
owes any amounts to Tenant, such amounts shall be credited against the next
installments of Base Rent and Additional Rent due from Tenant (or if the Lease has
terminated for any reason other than Tenant's default, paid to Tenant within thirty (30)
days after delivery of Landlord's Operating Expense Statement).
6.4 Objections to Statements. Tenant acknowledges that Landlord's
ability to budget and incur expenses depends on the finality of Landlord's Tax
Statements and Landlord's Operating Expense Statements, and Tenant shall have sixty
'e
(60) days following receipt of any such Statement within which to raise any objection to
the calculations contained in any such Statement. Failure of Tenant to object within
such sixty (60) day period shall be deemed a waiver of any such objection. Tenant shall
continue to make all payments required under this Lease pending resolution of any such
objection. If Tenant makes a timely objection, Landlord and Tenant shall use reasonable
efforts and due diligence in attempting to resolve such dispute within a reasonable, time.
No delay by Landlord in providing any Statement shall be deemed a default by Landlord
or a waiver of Landlord's right to require payment of Tenant's obligations for actual or
estimated Real Estate Taxes or Operating Expenses.
6.5 Limitations.
6.5.1 Notwithstanding anything contained in this Article 6, Tenant shall
not be obligated to reimburse Landlord for Real Estate Taxes and the Specified Operating
Expenses (defined below) incurred by Landlord on account of the period ending July 31,
2004 in an amount which exceeds $21,504. "Specified Operating Expenses" means the
following Operating Expenses only: insurance, landscaping and lawn maintenance, snow
removal, alarm monitoring and management fee.
6.5.2 In no event will the amount of Operating Expenses which Tenant is
obligated to pay during any Lease Year after the First Lease Year on account of
Controllable Operating Expenses (defined below) exceed 105% of the amount of
Operating Expenses payable by Tenant on account of Controllable Operating Expenses
during the immediately preceding Lease Year. "Controllable Operating Expenses" means
the following Operating Expenses only: insurance, landscaping and lawn maintenance,
alarm monitoring and management fee. In no event will the limitation contained in this
Section 6.5.2 apply to Real Estate Taxes or any Operating Expenses other than
Controllable Operating Expenses.
Security Deposit. Concurrently with the execution of this Lease, Tenant shall deliver to
Landlord the sum of $35,000.00 to be held as security for the faithful performance by
Tenant of its obligations under this Lease (the "Security Deposit"). Except as may
otherwise be required by applicable law, (a) Tenant shall not be entitled to any interest on
the Security Deposit, (b) Landlord shall not be obligated to hold the Security Deposit in
trust or in a separate account, and (c) Landlord shall have the right to commingle such
Security Deposit with its other funds. If Tenant defaults under this Lease, without
limiting any right or remedy of Landlord, Landlord may also apply the whole or any part
of the Security Deposit-to the extent required for the payment of any rent or other sums
payable under this Lease as to which Tenant is in default or on account of any sum which
Landlord may expend or may be required to expend by reason of Tenant's default. If any
portion of the Security Deposit is applied by Landlord for any such purpose, Tenant shall,
within ten (10) days after demand is made by Landlord, deposit cash with Landlord in an
amount sufficient to restore the Security Deposit to its original amount. If Tenant shall
fully and faithfully comply with all of the covenants and conditions of this Lease, the
Security Deposit shall be returned to Tenant after the expiration date of the term of this
Lease and the surrender of the Premises to Landlord. In no event shall the Security
Deposit be applied to the last monthly installment of rent or additional rent due prior to
the expiration date of the terns of this Lease. In the event of a sale of the Premises,
Landlord shall have the right to transfer to the purchaser the Security Deposit, whereupon
Landlord shall be released by Tenant from all liability for the return of the Security
Deposit and Tenant shall look solely to the new landlord for its return.
8. Use; Compliance With Law.
8.1 Permitted Use. The Premises shall be used only for the Permitted
Use and for no other purpose. All polypropylene-plastic containers will be stored on
pallets which will be shrink-wrapped and stacked no higher than fifteen (15) feet above
the warehouse floor.
8.2 No Nuisance. Tenant shall not allow, suffer or permit the Premises
or any use thereof to constitute a nuisance or unreasonably interfere with the safety,
comfort or enjoyment of the Building by Landlord or any other occupants of the
Building or their customers, invitees or any others lawfully in, upon or about the
Building or its environs.
8.3 Compliance with Laws. Tenant, at Tenant's expense, shall comply
with and cause all of Tenant's contractors, agents, servants, employees and licensees to
comply with all applicable laws, ordinances, rules and regulations of governmental '
authorities applicable to the Premises or the use or occupancy thereof. Notwithstanding
the foregoing, Landlord, at Landlord's expense, shall cause the Premises to comply with
the requirements of the Americans with Disabilities Act (and all regulations
promulgated thereunder).
8.4 Hazardous Materials.
8.4.1 Hazardous Substances. "Hazardous Substance" shall mean any
hazardous or toxic substance, material or waste which is or becomes regulated by any
local, state or federal governmental authority having jurisdiction. The term "Hazardous
Substance" includes, without limitation, any material or substance which is (i) designated
as a "hazardous substance" pursuant to Section 311 of the Federal Water Pollution
Control Act (33 U.S.C. Section 1317), (ii) defined as a "hazardous waste" pursuant to
Section 1004 of the Resource Conservation and Recovery Act, 42 U.S.C. Section 6901 et
seq. (42 U.S.C. Section 6903), (iii) defined as a "hazardous substance" pursuant to
Section 101 of the Comprehensive Environmental Response, Compensation and Liability
Act, 42 U.S.C. Section 9601 et seq. (42 U.S.C. Section 9601), (iv) petroleum or (v)
asbestos or asbestos-containing materials.
8.4.2 Complian with Law. Tenant shall conduct, and cause to be
conducted, all operations and activity at the Premises in compliance with, and shall in all
other respects applicable to the Premises comply with, all applicable present and future
federal, state, municipal and other governmental statutes, ordinances, regulations, orders,
directives and other requirements, and all present and future requirements of common
law, concerning the protection of public health, safety or the environment (collectively
"Environmental Statutes").
8.4.3 Permits. Tenant, in a timely manner, shall obtain and maintain in
full force and effect all permits, licenses and approvals, and shall make and file all
notifications and registrations as required by Environmental Statutes. Tenant shall at all
times comply with the terms and conditions of any such permits, licenses, approvals,
notifications and registrations.
8.4.4 Documents. Tenant shall provide to Landlord copies of the
following, promptly after each shall have been submitted, prepared or received by Tenant:
(A) all applications and associated materials submitted to any governmental agency
relating to any Environmental Statute; (B) all notifications, registrations, reports and other
documents, and supporting information, prepared, submitted or maintained in connection
with any Environmental Statute or otherwise relating to environmental conditions; (C) all
permits, licenses, approvals, and amendments or modifications thereof, obtained under
any Environmental Statute; and (D) any correspondence, notice of violation, summons,
order, complaint, or other document received by Tenant pertaining to compliance with or
liability under any Environmental Statute. Landlord has provided to Tenant a copy of a
phase I environmental assessment report covering the Property dated October 4, 1998
prepared by EMG.
8.4.5 erations. Tenant shall not cause or suffer or permit to occur in,
on or under the Premises any generation, use, manufacturing, refining, transportation,
emission, release, treatment, storage, disposal, presence or handling of Hazardous
Substances, except that limited quantities of Hazardous Substances may be used,
generated, handled or stored on the Premises, provided such is incident to and reasonably
necessary for the maintenance of the Premises and Tenant's operations for the Permitted
Use and is in compliance with all Environmental Statutes and all other applicable
governmental requirements. Should a release of any Hazardous Substance occur at the
Premises, Tenant shall immediately contain, remove and dispose of, off the Premises,
such Hazardous Substances and any material that was contaminated by the release, and
remedy and mitigate all threats to human health or the environment relating to such
release. When conducting any such measures the Tenant shall comply with all
Environmental Statutes.
8.4.6 Activities of Others. Tenant agrees that any contracts or
agreements of any land entered into or renewed by Tenant, for the occupancy of or the
performance of activities on the Premises will contain the same limitations on the
activities of such other contracting party as are placed on Tenant by this Section 8.4.
8.4.7 jag2d'on. Following not less than twenty-four (24) hours' prior
written notice, Tenant agrees to permit Landlord and its authorized representatives to
enter, inspect and assess the Premises at reasonable times for the purpose of determining
Tenant's compliance with the provisions of this Section. Such inspections and
assessments may include obtaining samples and performing tests of soil, surface water,
groundwater or other media.
8.4.8 Tanks. Tenant, without the prior written consent of Landlord, shall
not install or cause the installation of any above ground or underground storage tank at
the Premises. If Tenant does install or cause the installation of any such tank, the
provisions of this Section shall apply thereto, and Tenant shall comply with all applicable
laws as to its installation, operation, maintenance, testing, repair, replacement and
removal, including any requirement for insurance. If such insurance is required, Landlord
shall be named as an additional insured thereunder. Notwithstanding any other provision
in the Lease to the contrary, upon the earlier of the termination of the Lease or the
expiration of the Lease term, each underground tank shall be surrendered to Landlord or
removed, as required by Landlord in its sole discretion. The removal of any tank shall
include, without limitation: (A) the removal of any associated contaminated material,
including without limitation soil and groundwater, (B) the performance of all tests
required by Landlord and any required by applicable law, and (C) the restoration of the
area to the same condition as existed prior to the installation of the underground tank.
Tenant shall provide promptly to Landlord and government agencies, if required, copies
of all reports, including without limitation the results of all tests, regarding the
installation, operation, maintenance, testing, repair, replacement and removal of the
underground tanks. Notwithstanding anything in the Lease to the contrary, Tenant owns
the underground tanks unless and until any underground tank is surrendered to Landlord
as provided above.
8.4.9 Indemnification. Notwithstanding any other provision in the Lease
to the contrary, Tenant hereby agrees to indemnify and to hold harmless Landlord and its
officers, directors, shareholders, partners and principals of, from and against any and all
expense, loss, cost, claim, damage, penalty, fine, or liability of any kind or nature suffered
by Landlord by reason of the presence or release of Hazardous Substances at or from the
Premises which are introduced to the Premises after the Commencement Date or Tenant's
breach of any of the provisions of this Section, including without limitation: (A) any and
all expenses that Landlord may incur in complying with any Environmental Statutes, (B)
any and all costs that Landlord may incur in studying, assessing, containing, removing,
remedying, mitigating, or otherwise responding to, the presence or release of any such
Hazardous Substance at or from the Premises, (C) any and all costs for which Landlord
may be liable to any governmental agency for studying, assessing, containing, removing,
remedying, mitigating, or otherwise responding to, the presence or release of any such
Hazardous Substance at or from the Premises, (D) any and all fines or penalties assessed,
or threatened to be assessed, upon Landlord by reason of a failure of Tenant to comply
with any obligations, covenants or conditions set forth in this Section, and (E) any and all
legal fees and costs incurred by Landlord in connection with any of the foregoing.
Tenant's obligations under this Section shall survive the expiration or earlier termination
of the Term of this Lease.
9. Alterations and Tenant's Property.
9.1 Alterations Defined. Tenant shall not make or suffer or allow to be
made any alterations, additions or improvements in or to the Premises (collectively,
"Alterations") without first obtaining Landlord's written consent based on detailed plans
and specifications submitted by Tenant; provided Landlord's consent will not be
required if the proposed Alterations will not affect the structure or the mechanical,
electrical, HVAC, plumbing or life safety systems of the Building and the total cost to
acquire and install the proposed Alterations will be no more than $5,000. In all
instances where Landlord's consent is so required, it may be granted or withheld by
Landlord in its sole discretion.
9.2 Removal of Property. All Alterations shall become the property of
Landlord and shall be surrendered to Landlord upon the expiration or earlier termination
of this Lease; provided, however, that this provision shall not apply to movable
equipment, trade fixtures, personal property or furniture which are owned by Tenant
("Tenant Owned Property"). At Landlord's sole election, to be made at the time
Landlord's consent thereto is provided, any or all Alterations made by or on behalf of
Tenant shall be removed from the Premises at Tenant's sole cost and expense at the
expiration or sooner termination of this Lease, and the Premises shall be restored, at
Tenant's sole cost and expense, to their condition before the making of such Alterations,
ordinary wear and tear excepted. Nothing contained in this Section 9.2 shall require
Tenant to remove any of Landlord's Work from the Premises. Tenant shall repair at its
sole cost and expense all damage caused to the Premises or the Building by removal of
any Alterations or Tenant Owned Property. Any Tenant Owned Property not removed
from the Premises at the expiration or earlier termination of this Lease shall, at
Landlord's option, become the property of Landlord, or Landlord may remove them and
Tenant shall pay to Landlord the reasonable cost of removal. Tenant's obligations under
this Section shall survive the expiration or earlier termination of the Term of this Lease.
10. Repairs and Other Work.
10.1 Tenant's Obligations. Subject only to the provisions of Section
10.2 and 10.3, at Tenant's sole cost and expense, Tenant shall maintain the Building in
good, clean and sanitary condition and shall make all repairs as and when necessary to
preserve the Building in good working order and condition. Without limiting the
foregoing, Tenant shall make all repairs necessary to the heating, ventilation and air
conditioning systems servicing the Building ("HVAC Systems'), and shall cause all
trash and refuse generated at the Building to be removed.
10.2 Conditions Applicable to Repairs and Other Work. All repairs,
replacements, and reconstruction (including, without limitation, all Alterations) made by
or on behalf of Tenant shall be made and performed (a) at Tenant's cost and expense and
at such time and in such manner as Landlord may reasonably designate, (b) by
contractors or mechanics reasonably approved by Landlord, (c) at least equal in quality
of materials and workmanship to the original work or installation, (d) in accordance with
such reasonable requirements as Landlord may impose with respect to insurance to be
obtained by Tenant in connection with the proposed work, (e) in accordance with the
rules and regulations for the Property adopted by Landlord from time to time, if any, (f)
in accordance with all applicable laws and regulations of governmental authorities
having jurisdiction over the Premises, and (g) in compliance with such other
requirements as Landlord may reasonably impose (including without limitation a
requirement that Tenant furnish Landlord with as-built drawings upon completion of the
work). Notwithstanding anything contained in this Article 10, all reasonable costs of
performing Tenant's obligations under Section 10.1 to make repairs as and when
necessary to preserve the Building in good working order and condition during the First
Lease Year in excess of $2,750.00 (the "First Lease Year Cap") shall be paid by
Landlord. Prior to incurring any such expenditure which will cause the First Lease Year
Cap to be exceeded, Tenant shall notify Landlord and Landlord shall, at Landlord's cost,
perform the necessary maintenance work. The First Lease Year Cap shall not apply to
costs incurred by Tenant to perform its other obligations under Section 10. 1, including
without limitation its obligation to remove all trash and refuse generated at the Building.
10.3 Landlord's Obligations. Landlord shall be responsible, at
Landlord's sole cost and expense, for repair, maintenance and replacement of (a) all
structural elements, roof, floor and exterior walls of the Building, (b) parking areas
located upon the Land and (c) during the initial Term only, all office-related system,
installed by Landlord as part of Landlord's Work, provided, to the extent any of the
facilities described in clauses (a), (b) or (c) is part of any Alterations or any such repair,
maintenance or replacement is required as a result of the negligence or misconduct of
Tenant, Tenant's contractors, employees or invitees, Tenant shall reimburse Landlord for
such costs within thirty (30) days after receipt of Landlord's invoice. Tenant shall
promptly notify Landlord of the need for performance of any repair work required to be
performed by Landlord pursuant to the preceding sentence. Landlord's repair and
maintenance obligations shall be carried out in a manner consistent with other
comparable facilities in the area in which the Building is located. Landlord shall also
cause snow and ice to be removed from the sidewalks and parking areas servicing the
Building, and shall maintain lawns and shrubbery existing at the Property to be
maintained, in each case in a manner consistent with comparable facilities in the area
where the Building is located. Landlord shall not be liable for, and there shall be no
abatement of Rent with respect to, any injury to or interference with Tenant's business
arising from any repairs, maintenance, alteration or improvement in or to any portion of
the. Property, including, without limitation, the Premises, or in or to the fixtures,
appurtenances and equipment therein.
, Liens. Tenant shall keep the Premises and the Property free from any liens arising
out of any work performed or material furnished to or for the Premises by or for Tenant.
If Tenant shall not, within thirty (30) days following notice of the imposition of any such
lien, cause same to be released of record by payment or posting of a bond satisfactory to
Landlord, Landlord, in addition to all other remedies provided under this Lease and by
law, shall have the right (but not the obligation) to cause the lien to be released by such
means as Landlord shall deem proper, including, without limitation, payment of the claim
giving rise to such lien. All such sums reasonably paid by Landlord and all expenses
incurred by it in connection therewith shall be considered additional rent and shall be
payable by Tenant within ten (10) days after receipt of written demand.
Subordination. Tenant agrees that this Lease shall be subject and subordinate at all
times to (a) all ground leases or underlying leases that may now exist or hereafter be
executed affecting the Property or any portion thereof, (b) the lien of any mortgage, deed
of trust or other security instrument that may now exist or hereafter be executed in any
amount for which the Property or any portion thereof, any ground leases or underlying
leases, or Landlord's interest or estate therein is specified as security, and (c) all
modifications, renewals, supplements, consolidations and replacements thereof If any
ground lease or underlying lease terminates for any reason or any mortgage, deed of trust
or other security instrument is foreclosed or a conveyance in lieu of foreclosure is made
for any reason, Tenant, notwithstanding any subordination, shall attom to and become the
tenant of the successor in interest to Landlord at the option of such successor in interest.
The provisions of this Section shall be self operative and no further instrument shall be
required to effect the provisions of this Section. Tenant covenants and agrees to execute
and deliver, within ten (10) days after demand by Landlord and in the form requested by
Landlord, any additional documents evidencing the priority or subordination of this Lease
with respect to any such ground leases, underlying leases, mortgages, deeds of trust, or
other security instruments.
Inability to Perform. If, by reason of acts of God, governmental restrictions,
strikes, labor disturbances, shortages of materials or supplies or any other cause or event
beyond Landlord's reasonable control (collectively, "Force Majeure Events"), Landlord is
unable to furnish or is delayed in furnishing any utility or service required to be furnished
by Landlord under the provisions of this Lease, or is unable to perform or make or is
delayed in performing or making any installations, decorations, repairs, alterations,
additions or improvements required to be performed or made under this Lease, no such
inability or delay shall impose any liability upon Landlord or its agents or provide Tenant
with any right to offset, deduction or abatement of rent by reason of inconvenience or
annoyance to Tenant or by reason of injury to or interruption of Tenant's business, or
otherwise.
14. Destruction.
14.1 Repair. Subject to the provisions of Sections 14.3 and 14.4 below,
if any portion of the Building is damaged by fire, earthquake, flood or other casualty (the
"Damaged Property") to the extent that such damage renders a portion of the Premises
untenantable by Tenant and the damage may, in Landlord's reasonable opinion, be
repaired within nine (9) months after the date of damage (under a normal construction
schedule not requiring the payment of overtime or premium), Landlord shall proceed
immediately to make such repairs in accordance with Section 14.4. Landlord's opinion
shall be delivered to Tenant within thirty (30) days after the date of the event causing
such damage. Landlord shall consider and include as part of its evaluation, the period of
time necessary to obtain the required approvals of any secured lender and insurer and
governmental entities, to order and obtain materials, and to engage contractors.
14.2 Tenant's Right to Terminate. If such damage causes all or any
material portion of the Premises to be untenantable by Tenant and, in Landlord's
reasonable opinion, such damage cannot be repaired within nine (9) months after the
date of the event causing such damage (under a normal construction schedule not
requiring the payment of overtime or premium) or, if commenced, such repairs are not
completed within nine (9) months after the date of the event causing such damage,
Tenant may terminate this Lease by delivery of written notice to Landlord within, as
applicable, (i) thirty (30) days after the date on which Landlord's opinion is delivered to
Tenant or (ii) nine (9) months after the date of the event causing such damage if by such
date the repairs are not substantially completed. Upon termination, Rent shall be
apportioned as of the date of the damage and, provided Tenant is not in default, all
prepaid Rent shall be repaid to Tenant.
14.3 Landlord's Righht to Terminate. If (i) the uninsured portion of any
damage to or destruction of the Property equals or exceeds ten percent (10%) of the
replacement cost of the Building; or (ii) the Term will expire within one (1) year from
the date of any material damage to or destruction of the Premises and Tenant fails to
extend the term in accordance with any right expressly granted in this Lease within thirty
(30) days after the date of the event causing such damage; or (iii) if the Premises or any
other portion of the Property is damaged by fire, earthquake, flood or other casualty and
such damage cannot, in Landlord's reasonable opinion, be repaired within nine (9)
months after the date of the event causing such damage (under a normal construction
schedule not requiring the payment of overtime or premium); or (iv) if any lender
holding a mortgage or deed of trust encumbering the Building requires that insurance
proceeds be applied toward the repayment of debt; or (v) if any material, uninsured loss
shall occur, Landlord may terminate this Lease by delivery of written notice to Tenant
within forty-five (45) days after the date of the event causing such damage. Upon
termination, Rent shall be apportioned as of the date of the damage and, provided
Tenant is not in default, all prepaid Rent shall be repaid to Tenant.
14.4 Extent of Repair Obligations. If this Lease is not terminated,
Landlord's repair obligation shall extend to the structure of the Building and all
improvements (except those constructed or installed by Tenant, if any) in the Premises
at the date possession of the Premises was delivered to Tenant, and Tenant shall repair
all other portions of the Premises (including, without limitation, Alterations and Tenant
Owned Property). All such repairs shall be performed in a good and workmanlike
manner, with due diligence, and shall restore the items repaired to substantially the same
usefulness and construction as existed immediately before the damage. All work by
Tenant shall be performed in accordance with the requirements of Section 10.2 above.
Notwithstanding anything to the contrary in this Lease, Landlord shall not be obligated
to expend on such repairs more than the amount of insurance proceeds actually received
by Landlord on account of the damage; provided, however, that Landlord shall complete
all such repairs if Tenant pays to Landlord in advance the difference between the cost of
such repairs and the amount of insurance proceeds received by Landlord on account of
the damage. In the event of any termination of this Lease, the proceeds from any
insurance paid by reason of damage to or destruction of the Property or any portion
thereof, or any other element, component or property insured by Landlord, shall belong
to and be paid to Landlord.
14.5 Adjustment of Rent. If a casualty renders all or part of the
Premises untenantable, Rent shall proportionately abate commencing on the date of the
casualty and ending when the Premises are delivered to Tenant with Landlord's
restoration obligation substantially complete. The extent of the abatement shall be
based upon the portion of the Premises rendered untenantable, inaccessible or unfit for
use in a reasonable business manner for the purposes stated in this Lease.
14.6 Mutual Waiver of Subro ag_tion. Notwithstanding anything to the
contrary in this Lease, Landlord and Tenant mutually waive their respective rights of
recovery against each other and each other's officers, directors, constituent partners,
agents and employees, and Tenant waives such rights against each lessor under any
ground or underlying lease and each lender under any mortgage or deed of trust or other
lien encumbering the Property or any portion thereof or interest therein, to the extent any
loss is or would be covered by fire, extended coverage, and other property insurance
policies required to be carried under this Lease or otherwise carried by the waiving
party, and the rights of the insurance carriers of such policy or policies to be subrogated
to the rights of the insured under the applicable policy. Each party shall cause its
insurance policy to be endorsed. to evidence compliance with such waiver.
15. Insurance.
15.1 Insurance on Tenant's Proper . Tenant shall procure at its cost
and expense and keep in effect during the Term insurance coverage for all risks of
physical loss or damage insuring the full replacement value of Alterations, Tenant's
trade fixtures, furnishings, equipment, plate glass, signs and all other items of personal
property of Tenant.
15.2 Tenant's Liability Insurance. Tenant shall procure at its cost and
expense and maintain throughout the Term comprehensive commercial general liability
insurance applicable to the Premises with a minimum combined single limit of liability
of Two Million Dollars ($2,000,000), statutory worker's compensation insurance, and
employer's liability insurance with a Five Hundred Thousand Dollar ($500,000)
minimum limit covering all of Tenant's employees. Such liability insurance shall
include, without limitation, products and completed operations liability insurance, fire
and legal liability insurance, contractual liability insurance applicable to all of Tenant's
indemnity obligations under this Lease, and such other coverage as Landlord may
reasonably require from time to time.
15.3 Form of Policies. Tenant's insurance shall be issued by companies
authorized to do business in the State in which the Building is located. Tenant shall
have the right to provide insurance coverage pursuant to blanket policies obtained by
Tenant if the blanket policies expressly afford coverage required by this Article 15. All
insurance policies required to be carried by Tenant under this Lease (except for worker's
compensation insurance) shall (i) name Landlord, and any other parties designated by
Landlord as additional insureds, (ii) as to liability coverages, be written on an
"occurrence" basis, (iii) provide that Landlord shall receive thirty (30) days' notice from
the insurer before any cancellation or change in coverage, and (iv) contain a provision
that no act or omission of Tenant shall affect or limit the obligation of the insurer to pay
the amount of any loss sustained. Each such policy shall contain a provision that such
policy and the coverage evidenced thereby shall be primary and non-contributing with
respect to any policies carried by Landlord. Tenant shall deliver reasonably satisfactory
evidence of such insurance to Landlord on or before the Commencement Date, and
thereafter at least thirty (30) days before the expiration dates of expiring policies. At
Landlord's request, Tenant shall deliver to Landlord copies of such policies.
Notwithstanding the foregoing, if any such insurance expires without having been
renewed by Tenant, Landlord shall have the option in addition to Landlord's other
remedies to procure such insurance for the account of Tenant immediately and without
notice to Tenant, and the cost thereof shall be paid to Landlord as Additional Rent. The
limits of the insurance required under this Lease shall not limit the liability of Tenant.
15.4 Compliance with Insurance Requirements. Tenant shall not do
anything, or suffer or permit anything to be done, in or about the Premises that shall
invalidate or be in conflict with the provisions of any fire or other insurance policies
covering the Building. Tenant, at Tenant's expense, shall comply with, and shall cause
all occupants of the Premises to comply with, all applicable customary rules, orders,
regulations or requirements of any board of fire underwriters or other similar body.
15.5 Landlord's Insurance. Landlord will purchase and maintain a
standard policy of "all risk" insurance with customary exclusions covering the Building
for the full replacement cost of the Building. Landlord will purchase and maintain broad
form commercial general liability insurance with a minimum combined single limit of
liability of at least Two Million Dollars ($2,000,000), written by companies authorized
to do business in the State in which the Building is located All costs of insurance
carried by Landlord and referred to in this Section or otherwise will constitute Operating
Expenses.
15.6 Assumption of Risk. Landlord shall not be liable for any damage
or damages of any nature whatsoever to persons or property caused by explosion, fire,
theft or breakage, vandalism, falling plaster, by sprinkler, drainage or plumbing systems,
or air conditioning equipment, by the interruption of any public utility or service, by
steam, gas, electricity, water, rain or other substances leaking, issuing or flowing into
any part of the Premises, by natural occurrence, acts of the public enemy, riot, strike,
insurrection, war, court order, requisition or order of governmental body or authority, or
by anything done or omitted to be done by any tenant, occupant or person in the
Building, it being agreed that Tenant shall be responsible for obtaining appropriate
insurance to protect its interests.
16. Eminent Domain.
16.1 Effect of Taking. If all of the Premises is condemned or taken in
any permanent manner before or during the Term for any public or quasi-public use, or
any permanent transfer of the Premises is made in avoidance of an exercise of the power
of eminent domain (each of which events shall be referred to as a "taking"), this Lease
shall automatically terminate as of the date of the vesting of title as a result of such
taking. If a part of the Premises is so taken, this Lease shall automatically terminate as
to the portion of the Premises so taken as of the date of the vesting of title as a result of
such taking. If such portion of the Property is taken as to render the Building incapable
of economically feasible operation, this Lease may be terminated by Landlord, as of the
date of the vesting of title as a result of such taking, by written notice to Tenant given
within sixty (60) days following notice to Landlord of the date on which said vesting
will occur. If this Lease is not terminated as a result of any taking, Landlord shall
restore the Building to an architecturally whole unit; provided, however, that Landlord
shall not be obligated to expend on such restoration more than the amount of
condemnation proceeds actually received by Landlord.
16.2 Award. Landlord shall be entitled to the entire award for any
taking, including, without limitation, any award made for the value of the leasehold
estate created by this Lease. No award for any partial or entire taking shall be
apportioned, and Tenant hereby assigns to Landlord any award that may be made in any
taking, together with any and all rights of Tenant now or hereafter arising in or to such
award or any part thereof; provided, however, that nothing contained herein shall be
deemed to give Landlord any interest in or to require Tenant to assign to Landlord any
separate award made to Tenant for its relocation expenses, the taking of personal
property and fixtures belonging to Tenant, the unamortized value of improvements made
or paid for by Tenant or the interruption of or damage to Tenant's business.
16.3 Adjustment of Rent. In the event of a partial taking that does not
result in a termination of this Lease as to the entire Premises, Base Rent and Additional
Rent shall be equitably adjusted in relation to the portions of the Premises and Building
taken or rendered untenantable by such taking.
16.4 TWggL4ry Taking. If all or any portion of the Premises is taken
for a limited period of time before or during the Term, this Lease shall remain in full
force and effect; provided, however, that Rent shall abate during such limited period in
proportion to the portion of the Premises taken by such taking. Landlord shall be
entitled. to receive the entire award made in connection with any such temporary taking.
Any temporary taking of all or a portion of the Premises which continues for twelve (12).
months shall be deemed a permanent taking of the Premises or such portion.
17. Assignment; Subleasing.
17.1 Consent Requiired. Neither Tenant nor any sublessee or assignee of
Tenant, directly or indirectly, voluntarily or by operation of law, shall sell, assign,
encumber, pledge or otherwise transfer or hypothecate all or any part of the Premises or
Tenant's leasehold estate hereunder (each such act is referred to as an "Assignment"), or
sublet the Premises or any portion thereof or permit the Premises to be occupied by
anyone other than Tenant (each such act is referred to as a "Sublease"), without
Landlord's prior written consent in each instance. If such proposed Sublease is to an
entity controlled by Tenant, Landlord's consent will not be unreasonably withheld. Any
Assignment or Sublease that is not in compliance with this Article 17 shall be void and,
at the option of Landlord, shall constitute a material default by Tenant under this Lease.
The acceptance of Rent by Landlord from a proposed assignee, sublessee or occupant of
the Premises shall not constitute consent to such Assignment or Sublease by Landlord.
Fifty percent (50%) of the Excess Assignment Consideration which is attributable to this
Lease in connection with any Assignment, and fifty percent (50%) of the Excess
Sublease Consideration, shall be payable to Landlord as Additional Rent. The right to
such amounts is expressly reserved from the grant of Tenant's leasehold estate for the
benefit of Landlord. Tenant shall use reasonable, diligent efforts to collect all such
amounts. Landlord shall have the right from time to time, upon reasonable advance
notice, to review Tenant's records relating to any such amounts payable to or received by
Tenant.
17.2 Notice. Any request by Tenant for Landlord's consent to a specific
Assignment or Sublease shall include (a) the name of the proposed assignee, sublessee
or occupant, (b) the nature of the proposed assignee's sublessee's or occupant's business
to be carried on in the Premises, (c) a copy of the proposed Assignment or Sublease, and
(d) such financial information (in the event of an Assignment) and such other
information as Landlord may reasonably request concerning the proposed assignee,
sublessee or occupant or its business. Landlord shall respond in writing, stating the
reasons for any disapproval, within fifteen (15) business days after receipt of all
information reasonably necessary to evaluate the proposed Assignment or Sublease.
17.3 No Release. No consent by Landlord to any Assignment or
Sublease by Tenant, and no specification in this Lease of a right of Tenant's to make any
Assignment or Sublease, shall relieve Tenant of any obligation to be performed by
Tenant under this Lease, whether arising before or after (a) the Assignment or Sublease
or (b) any extension of the Term (pursuant to exercise of an option granted in this
Lease). The consent by Landlord to any Assignment or Sublease shall not relieve
Tenant or any successor of Tenant from the obligation to obtain Landlord's express
written consent to any other Assignment or Sublease.
17.4 Cost of Processigg Request. Tenant shall pay to Landlord the
reasonable amount of Landlord's cost of processing every proposed Assignment or
Sublease, including without limitation reasonable legal review fees and expenses,
together with the reasonable amount of all direct and indirect expenses incurred by
Landlord arising from any assignee, occupant or sublessee taking occupancy (including,
without limitation, freight elevator operation for moving of fiunishings and trade
fixtures, security service, janitorial and cleaning service, and rubbish removal service).
17.5 Corporate or Partnership Transfers. Any sale or other transfer,
including without limitation by consolidation, merger or reorganization, of a majority of
the voting stock of Tenant or any beneficial interest therein, if Tenant is a corporation,
or any sale or other transfer of a majority of the general partnership or membership
interests in Tenant or any beneficial interest therein, if Tenant is a partnership or limited
liability company, shall be an Assignment for purposes of this Lease. The provisions of
this Section 17.5 shall not apply at any time the stock of Tenant is traded on a national
exchange.
17.6 Assumption of Obligations. Each assignee or other transferee of
Tenant's interest under this Lease, other than Landlord, shall assume all obligations of
Tenant under this Lease and shall be and remain liable jointly and severally with Tenant
for the payment of Base Rent and Additional Rent, and for the performance of all the
terms, covenants, conditions and agreements contained in this Lease which are to be
performed by Tenant. Each sublessee of all or any portion of the Premises shall agree in
writing for the benefit of Landlord (a) to comply with and agree to the provisions of this
Lease, and (b) that such sublease (and all further subleases of any portion of the
Premises) shall terminate upon any termination of this Lease, regardless of whether or
not such termination is voluntary. No Assignment or Sublease shall be valid or effective
unless the assignee or sublessee or Tenant shall deliver to Landlord a fully-executed
counterpart of the Assignment or Sublease and an instrument that contains a covenant of
assumption by the assignee or agreement of the sublessee, reasonably satisfactory in
substance and form to Landlord, consistent with the requirements of this Section 17.6.
The failure or refusal of the assignee to execute such instrument of assumption or of the
sublessee to execute the agreement described above shall not release or discharge the
assignee or sublessee from its obligations that would have been contained in such
instrument or agreement, all of which obligations shall run automatically to such
assignee or sublessee.
17.7 Limitation. Notwithstanding anything contained in this Lease, no
proposed Assignment or Sublease shall provide for a rental or other payment for the
leasing, use, occupancy or utilization of all or any portion of the Premises based, in whole
or in part, on the income or profits derived by any person from the property so leased,
used, occupied or utilized other than an amount based on a fixed percentage or
percentages of gross receipts or sales. No proposed Assignment of this Lease or Sublease
of the Premises shall, in the sole opinion of Landlord, (a) cause a violation of the
Employee Retirement Income Security Act of 1974 or the regulations promulgated
thereunder, as amended from time to time, by such proposed assignee or subtenant, by
Landlord, or by any person which, directly or indirectly, controls, is controlled by, or is
under common control with, Landlord or any person who controls Landlord or (b) result
in Landlord, or any person which, directly or indirectly, controls Landlord, receiving
"unrelated business taxable income" as defined in the Internal Revenue Code, as
amended.
18. Utilities and Services.
18.1 Utilities. Tenant shall contract directly with the applicable utility
provider to arrange for the provision of water, sewer, gas, electric and other utilities
required by Tenant. Tenant shall promptly pay directly to such utility provider all costs of
utilities consumed at the Premises.
18.2 Certain Services. Tenant shall contract separately for the
provision, at Tenant's sole cost, of janitorial service and trash removal and Landlord will
have no obligation to provide any such services to the Premises. Tenant shall maintain, at
Tenant's sole cost, a written service contract for maintenance of HVAC facilities
servicing the Premises with a reputable service vendor approved by Landlord.
19. Default.
19.1 Events of Default. Except as otherwise provided in this Lease, the
failure to perform or honor any covenant, condition or other obligation of Tenant or the
failure of any representation made by Tenant under this Lease shall constitute a default by
Tenant upon expiration of the applicable grace period, if any. Tenant shall have a period
of five (5) days from the date of written notice from Landlord within which to cure any
default in the payment of Rent. Except as otherwise provided in Article 20, Tenant shall
have a period of thirty (30) days from the date of written notice from Landlord within
which to cure any other default under this Lease; provided, however, that with respect to
any default (other than a default which can be cured by the payment of money) that
cannot reasonably be cured within thirty (30) days, the default shall not be deemed to be
uncured if Tenant commences to cure within thirty (30) days from Landlord's notice,
continues to prosecute diligently the curing of such default and actually cures such default
within sixty (60) days after Landlord's notice. Notwithstanding anything contained in this
Section 19. 1, Landlord shall not be obligated to provide Tenant with notice of
substantially similar defaults more than two (2) times in any twelve (12) month period.
19.2 Remedies. Upon the occurrence of a default by Tenant that is not
cured by Tenant within the applicable grace periods specified in Section 19. 1, Landlord
shall have all of the following rights and remedies in addition to all other rights and
remedies available to Landlord at law or in equity:
19.2.1 The right to terminate Tenant's right to possession of the Premises
and to recover (i) all Rent which shall have accrued and remain unpaid through the date
of termination; plus (ii) the amount by which the unpaid Rent for the balance of the Term,
discounted to present value at the Prime Rate then in effect, shall exceed the then fair
rental value of the Premises for the balance of the Term, similarly discounted, plus (iii)
any other amount necessary to compensate Landlord for all the damages caused by
Tenant's failure to perform its obligations under this Lease (including, without limitation,
reasonable attorneys' and accountants' fees, costs of alterations of the Premises, interest
costs and brokers' fees incurred upon any reletting of the Premises).
19.2.2 The right to continue the Lease in effect after Tenant's breach and
abandonment and recover Rent as it becomes due. Acts of maintenance or preservation,
efforts to relet the Premises or the appointment of a receiver upon Landlord's initiative to
protect its interest under this Lease shall not of themselves constitute a termination of
Tenant's right to possession.
19.2.3 The right and power to enter the Premises and remove therefrom
all persons and property, to store such property in a public warehouse or elsewhere at the
cost of and for the account of Tenant, and to sell such property and apply the proceeds
therefrom pursuant to applicable law. In such event, Landlord may from time to time
sublet the Premises or any part thereof for such term or terms (which may extend beyond
the Term) and at such rent and such other terms as Landlord in its sole discretion may
deem advisable, with the right to make alterations and repairs to the Premises. Upon each
such subletting, rents received from such subletting shall be applied by Landlord, first, to
payment of any costs of such subletting (including, without limitation, reasonable
attorneys' and accountants' fees, costs of alterations of the Premises, interest costs, and
brokers' fees) and of any such alterations and repairs; second, to payment of Base Rent
and Additional Rent due and unpaid hereunder; and the residue, if any, shall be held by
Landlord and applied in payment of future Base Rent and Additional Rent as they become
due. If any rental or other charges due under such sublease shall not be promptly paid to
Landlord by the sublessee, or if such rentals received from such subletting during any
month are less than Base Rent and Additional Rent to be paid during that month by
Tenant, Tenant shall pay any such deficiency to Landlord the costs of such subletting
(including, without limitation, attorneys' and accountants' fees, costs of alterations of the
Premises, interest costs and brokers' fees), and any other amounts due Landlord under this
Section 19.2. Such deficiency shall be calculated and paid monthly. For all purposes set
forth in this Section 19.2.3, Landlord is irrevocably appointed attorney-in-fact for Tenant,
with power of substitution. No taking possession of the Premises by Landlord shall be
construed as an election on its part to terminate this Lease unless a written notice of such
intention is given to Tenant. Landlord's subletting the Premises without termination shall
not constitute a waiver of Landlord's right to elect to terminate this Lease for such
previous breach.
19.2.4 The right to have a receiver appointed for Tenant, upon application
by Landlord, to take possession of the Premises, to apply any rental collected from the
Premises and to exercise all other rights and remedies granted to Landlord pursuant to
this Article.
19.2.5 The right to specific performance of any or all of Tenant's
obligations under, and to damages for delay in or failure of such performance.
19.3 Remedies Cumulative. The exercise of any remedy provided by
law or the provisions of this Lease shall not exclude any other remedies unless they are
expressly excluded by this Lease. Tenant hereby waives any right of redemption or relief
from forfeiture following termination of; or exercise of any remedy by Landlord with
respect to, this Lease.
19.4 Events of Default by Landlord. The failure by Landlord to observe
or perform any of the covenants, conditions, or provisions of this Lease to be observed or
performed by Landlord, where such failure shall continue for a period of thirty (30) days
after written notice thereof by Tenant to Landlord, shall be deemed to be a default by
Landlord under this Lease; provided, however, that if the nature of Landlord's default is
such that more than thirty (30) days are reasonably required for its cure, then Landlord
shall not be deemed to be in default if Landlord commences such cure within said thirty
(30) day period and thereafter diligently prosecutes such cure to completion, provided that
the default shall actually be cured within ninety (90) days after notice.
19.5 Limitation of Landlord's Liability. None of Landlord's covenants,
undertakings or agreements under this Lease is made or intended as personal covenants,
undertakings or agreements by any of Landlord's shareholders, directors, officers, trustees
or constituent partners. All liability for damage or breach or nonperformance by Landlord
shall be collectible only out of Landlord's interest from time to time in the Property, and
no personal liability is assumed by nor at any time may be asserted against Landlord or
any of Landlord's shareholders, directors, officers, trustees or constituent partners.
19.6 Transfer of Landlord's Interest. Upon the sale or other conveyance
or transfer of Landlord's interest in the Property, the transferor shall be relieved of all
covenants and obligations of Landlord arising under this Lease from and after the closing
of such We, conveyance or transfer.
Insolyenc?or Bankruptcy. The occurrence of any of the following shall, at
Landlord's option, constitute a breach of this Lease by Tenant: (i) the appointment of a
receiver to take possession of all or substantially all of the assets of Tenant or the
Premises, (ii) an assignment by Tenant for the benefit of creditors, (iii) any action taken
or suffered by Tenant under any insolvency, bankruptcy, reorganization, moratorium or
other debtor relief act or statute, whether now existing or hereafter amended or enacted,
(iv) the filing of any voluntary petition in bankruptcy by Tenant, or the filing of any
involuntary petition by Tenant's creditors, which involuntary petition remains
undischarged for a period of thirty (30) days, (v) the attachment, execution or other
judicial seizure of all or substantially all of Tenant's assets or the Premises, if such
attachment or other seizure remains undismissed or undischarged for a period of ten (10)
days after the levy thereof, (vi) the admission of Tenant in writing of its inability to pay
its debts as they become due, (vii) the filing by Tenant of any answer admitting or failing
timely to contest a material allegation of a petition filed against Tenant in any proceeding
seeking reorganization, arrangement, composition, readjustment, liquidation or
dissolution of Tenant or similar relief; (viii) if within thirty (30) days after the
commencement of any proceeding against Tenant seeking any reorganization,
arrangement, composition, readjustment, liquidation, dissolution or similar relief under
any present or future statute, law or regulation, such proceeding shall not have been
dismissed, or (ix) the occurrence of any of the foregoing on the part of any Guarantor.
Upon the occurrence of any such event or at any time thereafter, Landlord may elect to
exercise any of its remedies under Article 19 above or any other remedy available at law
or in equity. In no event shall this Lease be assigned or assignable by operation of law or
by voluntary or involuntary bankruptcy proceedings or otherwise, and in no event shall
this Lease or any rights or privileges under this Lease be an asset of Tenant under any
bankruptcy, insolvency or reorganization proceedings. If, upon the occurrence of any of
the events enumerated above, under applicable law Tenant or the trustee in bankruptcy
has the right to affirm this Lease and continue to perform the obligations of Tenant under
this Lease, Tenant or such trustee, in such time period as may be permitted by the
bankruptcy court having jurisdiction, shall cure all defaults of Tenant outstanding under
this Lease as of the date of the affirmance of this Lease and provide to Landlord such
adequate assurances as may be necessary to ensure Landlord of the continued
performance of Tenant's obligations under this Lease. Notwithstanding the provisions of
Section 19. 1, there shall be no cure periods for any breach or default under this Article 20
except as expressly provided in this Article 20.
21. Fees and Exnenses; Indemnity: Payment.
21.1 Landlord's Right to RemWy Defaults. If Tenant shall default in the
performance of any of its obligations under this Lease after notice and expiration of the
applicable cure period, Landlord, at any time thereafter and without additional notice,
may remedy such default for Tenant's account and at Tenant's expense, without waiving
any other rights or remedies of Landlord with respect to such default. Notwithstanding
the foregoing, Landlord shall have the right to cure any failure by Tenant to perform any
of its obligations under this Lease without notice to Tenant if such failure results in an
immediate threat to life or safety of any person, or impairs the Building or its efficient
operation. Notwithstanding anything contained in this Lease, Landlord shall not be liable
for, and there shall be no abatement of Rent with respect to, any injury to or interference
with Tenant's business arising from the exercise by Landlord of its rights under this
Section 21.1.
21.2 Indemnity. Tenant shall indemnify, defend and hold Landlord
harmless from and against any and all claims, losses, costs, liabilities, damages and
expenses including, without limitation, penalties, fines and reasonable attorneys' fees, to
the extent incurred in connection with or arising from (a) any default by Tenant in the
performance of its obligations under this Lease, or the failure of any representation made
by Tenant in this Lease, (b) the use or occupancy or manner of use or occupancy of the
Premises by Tenant or any person occupying the Premises, (c) any occurrence on the
Premises from any cause whatsoever, except to the extent caused by the gross negligence
or willful misconduct of Landlord.
21.3 Interest on Past Due Obligations. Unless otherwise specifically
provided herein, any amount due from Tenant to Landlord under this Lease which is not
paid within ten (10) days after written notice from Landlord shall bear interest from the
due date until paid at the Lease Interest Rate.
Access to Premises. Landlord reserves for itself and its agents, employees and
independent contractors the right to enter the Premises upon at least twenty-four (24)
hours notice to inspect the Premises, to supply any service to be provided by Landlord to
Tenant, to show the Premises to prospective purchasers, mortgagees, beneficiaries or
tenants, to post notices of nonresponsibility, to determine whether Tenant is complying
with its obligations under this Lease, and to alter, improve or repair the Premises or any
other portion of the Building. Landlord's right to enter the Premises shall include the
right to grant access to the Premises to governmental or utility employees. Landlord may
erect, use and maintain scaffolding, pipes, conduits and other necessary structures in and
through the Premises or any other portion of the Building where reasonably required by
the character of the work to be performed in making repairs or improvements, provided
that the entrance to the Premises shall not be blocked thereby, and that there is no
unreasonable interference with the business of Tenant. In the event of an emergency,
Landlord shall have the right to enter the Premises at any time without notice. Tenant
waives any claim for damages for any injury or inconvenience to or interference with
Tenant's business, any loss of occupancy or quiet enjoyment of the Premises, any right to
abatement of Rent, or any other loss occasioned by Landlord's exercise of any of its rights
under this Article 22. Any entry to the Premises or portions thereof obtained by Landlord
in accordance with this Article 22 shall not be construed or deemed to be a forcible or
unlawful entry into, or a detainer of, the Premises, or an eviction, actual or constructive,
of Tenant from the Premises or any portion thereof. Landlord shall perform any work
pursuant to this Article 22 in a manner designed to cause as little interference with
Tenant's use of the Premises as is reasonably practical; provided, however, that Landlord
shall not be obligated to perform work during other than normal business hours. To the
extent reasonably practicable, any entry shall occur during normal business hours.
Notices. Except as otherwise expressly provided in this Lease, any payment
required to be made and any bills, statements, notices, demands, requests or other
communications given or required to be given under this Lease shall be effective only if
rendered or given in writing, sent by personal delivery or registered or certified mail,
return receipt requested, or by overnight courier service, addressed (a) to Tenant at
Tenant's Address, (b) to Landlord at Landlord's Address, or (c) to such other. address as
either Landlord or Tenant may designate as its new address for such purpose by notice
given to the other in accordance with the provisions of this Article 23. Any such bill,
statement, notice, demand, request or other communication shall be deemed to have been
rendered or given on the date of receipt or refusal to accept delivery.
No Waiver. Neither this Lease nor any term or provision of this Lease may be
waived, and no breach thereof shall be waived, except by a written instrument signed by
the party against which the enforcement of the waiver is sought. No failure by Landlord
to insist upon the strict performance of any obligation of Tenant under this Lease or to
exercise any right, power or remedy consequent upon a breach thereof, no acceptance of
full or partial Base Rent or Additional Rent during the continuance of any such breach, no
course of conduct between Landlord and Tenant, and no acceptance of the keys or to
possession of the Premises before the termination of the Term by Landlord or any
employee of Landlord shall constitute a waiver of any such breach or a waiver or
modification of any term, covenant or condition of this Lease or operate as a surrender of
this Lease. No waiver of any breach shall affect or alter this Lease, but each and every
term, covenant and condition of this Lease shall continue in full force and effect with
respect to any other then-existing or subsequent breach thereof. No payment by Tenant or
receipt by Landlord of a lesser amount than the aggregate of all Base Rent and Additional
Rent then due under this Lease shall be deemed to be other than on account of the first
items of such Base Rent and Additional Rent then accruing or becoming due, unless
Landlord elects otherwise. No endorsement or statement on any check and no letter
accompanying any check or other payment of Base Rent or Additional Rent in any such
lesser amount and no acceptance by Landlord of any such check or other payment shall
constitute an accord and satisfaction. Landlord may accept such check or payment
without prejudice to Landlord's right to recover the balance of such Base Rent or
Additional Rent or to pursue any other legal remedy.
Tenant's Certificates. Tenant, at any time and from time to time, within ten (10)
days after written request, shall execute, acknowledge and deliver to Landlord, addressed
(at Landlord's request) to Landlord and any prospective purchaser, ground or underlying
lessor or mortgagee or beneficiary of any part of the Property, an estoppel certificate in
form and substance reasonably designated by Landlord. Tenant shall cause Guarantor to
join in any such estoppel certificate for the purpose of certifying that Guarantor's
guaranty remains in full force and effect. It is intended that any such certificate may be
relied upon by Landlord and any prospective purchaser, ground or underlying lessor or
mortgagee or beneficiary of all or any part of the Property.
Termt's Taxes. In addition to all other sums to be paid by Tenant under this Lease,
Tenant shall pay, before delinquency, any and all taxes levied or assessed during the
Term, whether or not now customary or within the contemplation of the parties, (a) upon,
measured by or reasonably attributable to Tenant's improvements, equipment, furniture,
fixtures and other personal property located in the Premises, including without limitation
Alterations, (b) upon or measured by Base Rent or Additional Rent, or both, payable
under this Lease, including without limitation any gross income tax or excise tax levied
by any governmental body having jurisdiction with respect to the receipt of such rental;
(c) upon or with respect to the possession, leasing, operation, management, maintenance,
alteration, repair, use or occupancy by Tenant of the Premises or any portion thereof, or
(d) upon this transaction or any document to which Tenant is a party creating or
transferring an interest or an estate in the Premises. Tenant shall reimburse Landlord
upon demand for any and all such taxes paid or payable by Landlord (other than state and
federal personal or corporate income taxes measured by the net income of Landlord from
all sources). Notwithstanding anything to the contrary in this Section 26, Tenant shall
have the right to contest any taxes payable by Tenant under this Section provided that
Tenant, at its sole cost and expense, diligently undertakes and pursues any such contest in
appropriate proceedings, indemnifies Landlord against and holds Landlord harmless from
all loss or damages that Landlord shall suffer by reason of such contest, and does not
permit any lien to be placed on the Building or any part thereof or interest therein.
27. Miscellaneous.
27.1 Financial Statements. Upon Landlord's written request made from
time to time, but in no event more often than once each calendar year, Tenant shall
promptly furnish Landlord with certified financial statements reflecting Tenant's then-
current financial condition, in such form and detail as Landlord may reasonably request;
provided, however, that so long as, the stock of Tenant is traded on a national exchange,
Tenant may furnish an annual report instead of financial statements.
27.2 References. All personal pronouns used in this Lease, whether
used in the masculine, feminine or neuter gender, shall include all other genders; the
singular shall include the plural, and vice versa. The use herein of the word "including"
or "include" when following any general statement, term or matter shall not be construed
to limit such statement, term or matter to the specific items or matters set forth
immediately following such word or to similar items or matters, whether or not non-
limiting language (such as "without limitation", or "but not limited to," or words of
similar import) is used with reference thereto. All references to "mortgage" and
"mortgagee" shall include deeds of trust and beneficiaries under deeds of trust,
respectively. All Exhibits and Riders referenced and attached to this Lease are
incorporated in this Lease by this reference. The captions preceding the Sections and
Articles of this Lease have been inserted solely as a matter of convenience, and such
captions in no way define or limit the scope or intent of any provision of this Lease.
27.3 S, c_msors and Assigns. The terms, covenants and conditions
contained in this Lease shall bind and inure to the benefit of Landlord and Tenant and,
except as otherwise provided herein, their respective personal representatives and
successors and assigns; provided, however, that upon the sale, assignment or transfer by
Landlord (or by any subsequent Landlord) of its interest in the Building as owner or
lessee, including, without limitation, any transfer upon or in lieu of foreclosure or by
operation of law, Landlord (or subsequent Landlord) shall be relieved from all subsequent
obligations or liabilities under this Lease, and all obligations subsequent to such sale,
assignment or transfer (but not any obligations or liabilities that have accrued prior to the
date of such sale, assignment or transfer) shall be binding upon the grantee, assignee or
other transferee of such interest. Any such grantee, assignee or transferee, by accepting
such interest, shall be deemed to have assumed such subsequent obligations and
liabilities.
27.4 Sev ili . If any provision of this Lease or the application
thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the
remainder of this Lease, or the application of such provision to persons or circumstances
other than those as to which it is invalid or unenforceable, shall not be affected thereby,
and each provision of this Lease shall remain in effect and shall be enforceable to the full
extent permitted by law.
27.5 Construction. This Lease. shall be governed by and construed in
accordance with the laws of the State in which the Building is located, without regard for
such State's choice of law requirements.
27.6 Integration. The terms of this Lease (including, without limitation,
the Exhibits and Riders to this Lease) are intended by the parties as a final expression of
their agreement with respect to such tenors as are included in this Lease and may not be
contradicted by evidence of any prior or contemporaneous agreement, arrangement,
understanding or negotiation (whether oral or written). The parties further intend that this
Lease constitutes the complete and exclusive statement of its teens, and no extrinsic
evidence whatsoever may be introduced in any judicial proceeding involving this Lease.
Neither Landlord nor Landlord's agents have made any representations or warranties with
respect to the Premises, the Building, the Property or this Lease except as expressly set
forth herein. The language in all parts of this Lease shall in all cases be construed as a
whole and in accordance with its fair meaning and not construed for or against any party
by reason of such party having drafted such language.
27.7 Surrender. Upon the expiration or sooner termination of the Term,
Tenant will quietly and peacefully surrender to Landlord the Premises in the condition in
which they are required to be kept as provided in this Lease, ordinary wear and tear
excepted.
27.8 Quiet EnigM nt. Upon Tenant paying the Base Rent and
Additional Rent and performing all of Tenant's obligations under this Lease, Tenant may
peacefully and quietly enjoy the Premises during the Term as against all persons or
entities claiming by or through Landlord; subject, however, to the provisions of this Lease
and to any mortgages or deeds of trust or ground or underlying leases referred to in
Article 12.
27.9 Holding Over. If Tenant shall hold over after the expiration of the
Term, Tenant shall pay monthly Base Rent equal to two hundred percent (200%) of the
Base Rent payable during the final full month of the Lease Year (exclusive of abatements,
if any), in which such termination occurs together with an amount reasonably estimated
by Landlord for the monthly Additional Rent payable under this Lease, and shall
otherwise be on the terms and conditions herein specified so far as applicable (but
expressly excluding all renewal or extension rights). No holding over by Tenant after the
Term shall operate to extend the Term. In the event of any holding over without
Landlord's prior written consent, Tenant shall indemnify Landlord against all claims for
damages by any other tenant to whom Landlord may have leased all or any part of the
Premises commencing upon or after the expiration of the Term. Any holding over with
Landlord's written consent shall be construed as a tenancy at sufferance or from month to
month, at Landlord's option. Any holding over without Landlord's written consent shall
entitle Landlord to reenter the Premises as provided in Article 19, and to enforce all other
rights and remedies provided by law or this Lease.
27.10 Time of Essence. Time is of the essence of each and every
provision of this Lease.
27.11 Broker's Commissions. Each party represents and warrants to
the other that it has not entered into any agreement or incurred or created any obligation
which might require the other party to pay any broker's commission, finder`s fee or other
commission or fee relating to the leasing of the Premises, other than the Broker. Each
party shall indemnify, defend and hold harmless the other and the other's constituent
partners and their respective officers, directors, shareholders, agents and employees from
and against all claims for any such commissions or fees made by anyone claiming by or
through the indemnifying party.
27.12 No M ffZcr. The voluntary or other surrender or termination of
this Lease by Tenant, or a mutual cancellation hereof shall not work a merger, but, at
Landlord's sole option, shall either terminate all existing subleases or subtenancies or
shall operate as an assignment to Landlord of all such subleases or subtenancies.
27.13 Survival . All of Tenant's and Landlord's covenants and
obligations contained in this Lease which by their nature might not be fully performed or
capable of performance before the expiration or earlier termination of this Lease shall
survive such expiration or earlier termination. No provision of this Lease providing for
termination in certain events shall be construed as a limitation or restriction of Landlord's
or Tenant's rights and remedies at law or in equity available upon a breach by the other
party of this Lease.
27.14 Amendments. No amendments or modifications of this Lease or
any agreements in connection therewith shall be valid unless in writing duly executed by
both Landlord and Tenant. No amendment to this Lease shall be binding on any
mortgagee or beneficiary of Landlord (or purchaser at any foreclosure sale) unless such
mortgagee or beneficiary shall have consented in writing to such amendment.
27.15 WAIVER OF JURY TRIAL. LANDLORD AND TENANT
KNOWINGLY, INTENTIONALLY AND VOLUNTARILY WAIVE TRIAL BY JURY
IN ANY ACTION OR PROCEEDING BROUGHT BY EITHER PARTY AGAINST
THE OTHER IN ANY MATTER ARISING OUT OF THIS LEASE, THE
RELATIONSHIP OF LANDLORD AND TENANT, TENANT'S USE OR
OCCUPANCY OF THE PREMISES. OR ANY CLAIM OF INJURY OR DAMAGE.
27.16
27.17 DELIVERY FOR EXAMINATION. DELIVERY OF THE
LEASE TO TENANT SHALL NOT BIND LANDLORD IN ANY MANNER, AND NO
LEASE OR OBLIGATIONS OF LANDLORD SHALL ARISE UNTIL THIS
INSTRUMENT IS SIGNED BY BOTH LANDLORD AND TENANT AND DELIVERY
IS MADE TO EACH.
SEE RIDER ATTACHED TO AND MADE A PART OF THIS LEASE.
IN WITNESS WHEREOF, Landlord and Tenant have each caused their duly
authorized representatives to execute this Lease on their behalf as of the date first above
written.
McBRIDE PROPERTIES
By: KEYSTONE PROPERTY TRUST, its general partner
By:
Name: igtophon J. quft
?n#
Title: §g (o Vft
CONTAINERBRIGHT, INC.
By: C Z4=e?? A1. PENNSYLVANIA REMEDIES-CONFESSION OF JUDGMENT.
(A) WHEN THIS LEASE OR TENANT'S RIGHT OF POSSESSION SHALL
BE TERMINATED BY COVENANT OR CONDITION BROKEN, OR FOR ANY
OTHER REASON, EITHER DURING THE TERM OF THIS LEASE, AND ALSO
WHEN AND AS SOON AS SUCH TERM SHALL HAVE EXPIRED OR BEEN
TERMINATED, TENANT HEREBY IRREVOCABLY AUTHORIZES AND
EMPOWERS ANY ATTORNEY OF ANY COURT OF RECORD AS ATTORNEY
FOR TENANT AND ANY PERSONS CLAIMING THROUGH OR UNDER TENANT
TO CONFESS JUDGMENT IN EJECTMENT AGAINST TENANT AND ALL
PERSONS CLAIMING THROUGH OR UNDER TENANT FOR THE RECOVERY BY
LANDLORD OF POSSESSION OF THE PREMISES, FOR WHICH THIS LEASE
SHALL BE SUFFICIENT WARRANT, WHEREUPON, IF LANDLORD SO DESIRES,
A WRIT OF EXECUTION OR OF POSSESSION MAY ISSUE FORTHWITH,
WITHOUT ANY PRIOR WRIT OR PROCEEDINGS WHATSOEVER, AND
PROVIDED THAT IF FOR ANY REASON AFTER SUCH ACTION SHALL HAVE
BEEN COMMENCED THE SAME SHALL BE DETERMINED, CANCELED OR
SUSPENDED AND POSSESSION OF THE PREMISES HEREBY DEMISED
REMAIN IN OR BE RESTORED TO TENANT OR ANY PERSON CLAIMING
THROUGH OR UNDER TENANT, LANDLORD SHALL HAVE THE RIGHT, UPON
ANY SUBSEQUENT DEFAULT OR DEFAULTS, OR UPON ANY SUBSEQUENT
TERMINATION OR EXPIRATION OF THIS LEASE OR ANY RENEWAL OR
EXTENSION HEREOF, OR OF TENANT'S RIGHT OF POSSESSION, AS
HEREINBEFORE SET FORTH, TO CONFESS JUDGMENT IN EJECTMENT AS
HEREINBEFORE SET FORTH ONE OR MORE ADDITIONAL TIMES TO
RECOVER POSSESSION OF THE SAID PREMISES.
(B) IN ANY ACTION OF OR FOR EJECTMENT, IF LANDLORD SHALL
FIRST CAUSE TO BE FILED IN SUCH ACTION AN AFFIDAVIT MADE BY IT OR
SOMEONE ACTING FOR IT SETTING FORTH THE FACTS NECESSARY TO
AUTHORIZE THE ENTRY OF JUDGMENT, SUCH AFFIDAVIT SHALL BE
CONCLUSIVE EVIDENCE OF SUCH FACTS; AND IF A TRUE COPY OF THIS
LEASE (AND OF THE TRUTH OF THE COPY SUCH AFFIDAVIT SHALL BE
SUFFICIENT EVIDENCE) BE FILED IN SUCH ACTION, IT SHALL NOT BE
NECESSARY TO FILE THE ORIGINAL AS A WARRANT OF ATTORNEY, ANY
RULE OF COURT, CUSTOM OR PRACTICE TO THE CONTRARY
NOTWITHSTANDING. TENANT RELEASES TO LANDLORD, AND TO ANY AND
ALL ATTORNEYS WHO MAY APPEAR FOR TENANT, ALL PROCEDURAL
ERRORS IN ANY PROCEEDINGS TAKEN BY LANDLORD, WHETHER BY
VIRTUE OF THE WARRANTS OF ATTORNEY CONTAINED IN THIS LEASE OR
NOT, AND ALL LIABILITY THEREFOR.
2. Lender Protections. Tenant agrees to simultaneously give to any party
holding a mortgage encumbering the Building, by registered or certified mail, a copy of
any notice of default served upon Landlord provided Tenant has been notified in writing
of the names and addresses of such mortgagee(s). Tenant further agrees that if Landlord
shall have failed to cure such default within the time provided for in this Lease, then the
mortgagee(s) shall have an additional thirty (30) days within which to cure such default or
if such default cannot be cured within such time, then such additional time as may be
necessary if within such thirty (30) days any mortgagee(s) has commenced and is
diligently pursuing the remedies necessary to cure such default (including but not limited
to commencement of foreclosure proceedings, if necessary to effect such cure), in which
event Tenant shall not have the right to pursue any claim against Landlord or such
mortgagee, including but not limited to any claim of actual or constructive eviction, so
long as such remedies are being diligently pursued.
IN WITNESS WHEREOF, Landlord and Tenant have each caused their duly
authorized representatives to execute this Rider on their behalf as of the date first above
written.
McBRIDE PROPERTIES
By: Keystone Property T its general partner
By: Q?N Ste h n J. butte
Senior Vice President
CONTAMERBRIGHT, INC.
WAIVER OF PRIOR HEARING CERTIFICATION
The undersigned acknowledges that, subject only to the default notices and cure periods
expressly provided for in the above Lease, the above Lease authorizes and empowers
Landlord, without the undersigned receiving My 11ior notice or any prior hearing in any
court, to cause the entry of judgments against the undersigned for possession of the leased
premises and immediately thereafter, without the undersioW receiving my Rdor notice
or any prior hearing in anv court , to exercise post judgment enforcement and execution
remedies to remove the undersigned from the leased premises by law enforcement
officers).
The undersigned acknowledges that it has agreed to waive its rights to a prior notice and
hearing under the Constitution of the United States, the Constitution of the
Commonwealth of Pennsylvania and all other applicable state and federal laws, in
connection with Landlord's ability to cause the entry of judgments against the
undersigned and immediately thereafter exercise Landlord's post judgment enforcement
execution remedies The undersigned has discussed the legal impact of this waiver with its
independent counsel, and the undersigned acknowledges that it has freely waived such
rights.
CONTAINERBRIGHT, INC.
By;
r----
Name: StAS?JN • 7irrvd c E
Title: 4,6f. QED
Dated: April ,L, 2003
EXHIBIT A
WORK LETTER
Landlord and Tenant agree as follows:
1. Designation of Tenant's Construction Representative.
Tenant shall designate a Construction Representative. Tenant's Construction
Representative: (a) shall be available to meet and consult with Landlord on a continuing
basis at the Premises as Tenant's representative concerning the matters which are the
subject of this Work Letter; and (b) shall have the power legally to bind Tenant under
this Work Letter in giving direction to Landlord, in giving approval of design documents
and work, and in making requests and approval for changes.
2. Landlord's Work.
(a) All work (including all materials, supplies, components, labor and
services therefor) required to cause the improvements contemplated by the Scope of
Work to be completed is called the "Landlord's Work".
(b) Landlord shall supervise, oversee, schedule and coordinate the
performance of the Landlord's Work. Landlord may (i) make substitutions of material or
components of equivalent grade and quality. when and if any specified material or
component shall not be readily or reasonably available, and (ii) make changes to the work
necessitated by conditions met in the course of construction. Landlord shall cause
Landlord's Work to be performed in a good and workmanlike manner in accordance with
all applicable laws. All materials and equipment furnished in the performance of
Landlord's Work shall be of good quality.
Landlord.
(c) Landlord's Work shall be performed by a contractor selected by
3. Substantial Completion.
(a) With respect to Landlord's Work, the term "Substantial
Completion" or "Substantially Complete" shall mean that state of completion of
Landlord's Work which will allow Tenant to use the Premises for its intended purposes
without material interference to or impairment of Tenant's business activities by reason of
any item of work remaining to be done to effect full completion of Landlord's Work; and
in addition reasonable means of access to the Premises shall have been installed and shall
be available to Tenant.
(b) The term "Substantial Completion Date" shall mean the date on
which the Landlord's Work is Substantially Complete.
4. Tenant Delays.
Each of the following shall constitute a Tenant Delay (collectively, "Tenant
Delays"):
(a) Any failure by Tenant to furnish any required notice, plan,
drawing, information, approval or consent within any respective required time period as
set forth in this Work Letter or elsewhere in the Lease.
(b) Any changes to space plans or construction plans requested by
Tenant, or any changes to the Landlord's Work itself requested by Tenant.
(c) Delays caused by the performance of any work or activity in the
Premises by Tenant or any of its employees, agents, or contractors.
5. Tenant's Construction Representative's Access Inspection, and Approval.
(a) Landlord and Tenant with their respective consultants shall make
periodic joint inspections of the Premises from time to time during construction at
reasonable times on business days, and each time shall jointly approve a written statement
or assessment of the status of construction, the tasks remaining to be completed and
ultimately the date of Substantial Completion.
(b) As to all Landlord's Work performed by or on behalf of Landlord
prior to the Substantial Completion Date and not objected to by Tenant, it shall be
conclusively deemed on the Substantial Completion Date that such work was
satisfactorily performed in accordance with and meets the requirements of this Lease. As
to any item of Landlord's Work remaining to be completed after the Substantial
Completion Date ("Punchlist Items"), Landlord shall supervise the completion of such
item within sixty (60) days after the Substantial Completion Date (except for items which
cannot reasonably be completed within such sixty (60) day period, which items shall be
completed as promptly as practicable using diligent efforts thereafter).
6. Payment of Cost of Landlord's Work.
(a) All costs of performing the Landlord's Work shall be paid by
Landlord; provided, all additional costs of performing the Landlord's Work arising from
any Tenant Delay shall be paid by Tenant within ten (10) days of request by Landlord.
(b) Notwithstanding anything contained in this Work Letter or the
Lease, Tenant shall reimburse Landlord, within ten (10) days after delivery of Landlord's
invoice, for all fees and expenses paid by Landlord to acquire additional EDUs for the
Property.
EXHIBIT B
SCOPE OF WORK
CONTAINER BRIGHT
Tenant Fist-Out
2410 Gettysburg Road
33,600 Sq. Ft.
March 14, 2003
UE NERAL REQUIREMENTS:
1. Provide Architectural, Mechanical and Electrical drawings and Pennsylvania
Department of Labor & Industry approval for Lower Allen Township building
permit. Obtain permits for construction. Extra EDU's to be paid by tenant.
2. Provide project management and supervision necessary to coordinate all phases of
construction to ensure completion of project within forty-five (45) calendar days
of receipt of signed contract with no changes to scope or plans.
3. Furnish standard Certificate of Insurance prior to starting on site work.
4. Provide on-going clean up and removal of trash and debris.
5. Provide job site communications.
6. Provide temporary electric. Utility bills paid by owner.
7. Provide final cleaning in preparation for tenant occupancy to include: scrub
warehouse floor, clean and seal VCT, clean and polish mirrors, clean plumbing
fixtures.
8. Project closeout
A. Develop preliminary punch list and correct items prior to walk through.
B. Conduct walkthrough with tenant and develop punchlist. Punchlist
items to be completed prior to final payment.
C. Secure occupancy permits and turnover to landlord and tenant.
D. Develop As-Built drawings covering architectural, mechanical and
electrical work and submit to landlord and tenant.
E. Collect operation and maintenance manuals and warranties and turn over
to landlord tenant.
F. Provide one-year warranty from date of final walkdbrough on materials and
workmanship.
DEMOLITION
1. Saw cut and remove concrete slab at plumbing connection for tunnel wash at
NorthEast corner of building.
2. Remove existing ceiling tile.
1. Replace concrete floor at tunnel wash plumbing connection.
CARPENTRY
1. Provide wall blocking for cabinets and counters.
2. Provide 61n. ft. of base cabinet and countertop at fax/copy.
3. Provide 41n. ft. of base cabinet and countertop at break room.
DOOR FRAMES AND HARDMARE
1. Provide one (1) hollow metal knock down frame.
2. Provide one (1) wood door.
3. Re-key existing locks.
4. Relocate one (1) door and frame.
1. 1/2" finished drywall on 3 5/8" metal studs per plan.
2. Provide 2 x 4 acoustical ceiling per plan.
FLOORING
1. Provide Armstrong Standard Excelon VCT w/vinyl base in break room.
2. Provide carpet in offices.
1. Provide two (2) coats of flat latex on drywall in offices and two (2) coats of
semi-gloss enamel on new doorframes.
FIRE F TIN iISBRS
1. Provide one (1) surface mounted fire extinguisher in break room.
1. Provide sprinkler system for office area.
2. Provide new sprinkler system in warehouse capable of protecting Class IV
product up to 18' in rack.
1. Provide one (1) stainless steel sink with connections to existing plumbing in
wall.
2. Provide 4" diameter connection to sewer in northeast quadrant of building.
3. Provide 1" valved water connection for tunnel wash in northeast quadrant of
building.
4. Provide 3/a" supply line and one (1) water heater capable of providing 1.65
gpm at 120 degrees F continuous in northeast quadrant of building.
1. Provide heating and air-conditioning for office area utilizing existing unit.
2. Repair gas unit heater.
3. Provide natural gas line to tunnel wash machine and water pre-heater capable
of providing 960,000 BTU's per hour for the tunnel wash, the water pre-
heater and the existing unit heaters simultaneously.
1. Provide lighting and receptacles in office area.
2. Provide 250 AMP, 208 volt, 3 phase circuit for tunnel wash machine in the
northeast quadrant of the building.
GUARANTY OF LEASE
GUARANTY made as of the R*O' day ofi°/L . 2003, by SUSAN A.
TANDLE, an individual, having an office at 535 South Middlesex Road, Carlisle,
Pennsylvania 17013 (the "Guarantor").
A. On even date herewith, McBride Properties (the "Landlord") has entered into a
certain lease agreement (the "Lease") with ContainerBright, Inc. (the "Tenant") for certain
premises located at 2410 Gettysburg Road, Camp Hill, Pennsylvania, all as more
particularly described in the Lease.
B. Guarantor desires that Landlord enter into the Lease with Tenant but Landlord
would not have entered into the Lease with Tenant unless Guarantor had agreed to
guaranty the obligations of Tenant under the Lease, all. as more fully set forth below.
NOW, THEREFORE, in consideration of Landlord entering into the Lease with
Tenant, one dollar in hand paid to Guarantor, and other good and valuable consideration,
the receipt and sufficiency of all of which are hereby acknowledged, and intending to be
legally bound, Guarantor covenants to and agrees with Landlord as follows:
1. Guarantor guarantees the full and faithful and punctual payment by Tenant of
all rent, additional rent and other sums due under the Lease during the first twenty-six
(26) months of the term of the Lease. Such 26-month period is referred to in this
Guaranty as the "Term of this Cruarantv'j. Guarantor hereby becomes surety to Landlord
for and with respect to all such obligations of Tenant during the Term of this Guaranty. If
Tenant or its successors or assigns shall default (beyond any applicable cure periods set
forth in the Lease) in the payment of any of the moneys which under the terms of the
Lease Tenant is obligated to pay during the Term of this Guaranty, then Guarantor,
without requiring any notice, except as otherwise provided in the Lease, of non-payment,
or proof of notice or demand whereby to charge Guarantor therefor (all of which are
hereby waived), will assume such obligation and will well and truly and at the time
specified in said Lease pay to Landlord or any other person selected by Landlord all such
moneys including minimum rent, operating expenses, taxes, additional rent, and other
payments and charges set forth in the Lease, regardless of how denoted, and any arrears
thereof that may at any time be due to the Landlord and which accrue during the Term of
this Guaranty, and all damages, if any, for which Tenant, its successors or assigns, shall
be liable in consequence of its default in such payment, together with all costs, reasonable
attorney's fees and other expenses incurred by Landlord in enforcing the payment of the
sums due under the Lease. Notwithstanding anything contained in this Guaranty,
Guarantor's liability under this Guaranty shall not exceed (i) $16,000 on account of
defaults by Tenant under the Lease occurring during the first fourteen (14) months of the
Term of this Guaranty and (ii) $8,000 on account of defaults by Tenant under the Lease
occurring during the remainder of the Term of this Guaranty.
2. This is an absolute and unconditional guaranty of payment and is a surety
agreement. The liability of Guarantor under this Guaranty is primary and, at the option of
Landlord, may be enforced directly against Guarantor before or after proceeding against
Tenant without Landlord first asserting, prosecuting or exhausting any remedy against
Tenant, its successors or assigns, or Guarantor may be joined in any action or proceeding
commenced by Landlord against Tenant in connection with and based upon the Lease and
recovery may be sought against Guarantor in such action or proceeding.
3. This Guaranty shall remain and continue in full force and effect as to any
assignee of Tenant's interest in the Lease and any sublease of all or part of the premises
demised under the Lease.
4. The validity of this Guaranty and the obligations of Guarantor hereunder shall
in no way be terminated, affected or impaired by reason of, and Guarantor waives and
agrees not to assert as a defense to any claim hereunder, any of the following: (a) any
action which Landlord may take or fail to take against Tenant, or (b) any waiver of, or
failure to enforce or delay in enforcing, any of the rights or remedies reserved to Landlord
in the Lease, or otherwise, or (c) any changes, modifications or amendments that may be
made in any of the terms, conditions, covenants or warranties of the Lease, any and all of
which may be done without notice to Guarantor, or (d) any termination of the Lease prior
to its stated expiration date.
5. Guarantor confirms that Guarantor is the holder of an equity in Tenant and an
officer of Tenant, and will benefit from making this Guaranty on behalf of Tenant.
6. Neither Guarantor's obligation to make payment in accordance with the terms
of this Guaranty nor any remedy for the enforcement thereof shall be impaired, modified,
changed, released or limited in any manner whatsoever by any impairment, modification,
change, release or limitation of the liability of the Tenant or its estate in bankruptcy for
the enforcement thereof resulting from the operation of any present or future provision of
the federal bankruptcy statutes or other statute or from the decision of any court.
7. All of Landlord's rights and remedies under the Lease and under this guaranty
are intended to be distinct, separate and cumulative and no such right and remedy therein
or herein mentioned is intended to be in exclusion of or a waiver of any of the others. No
termination of the Lease or taking or recovering of the premises demised thereby shall
deprive Landlord of any of its rights and remedies against Guarantor under this Guaranty.
This Guaranty shall apply to Tenant's obligations pursuant to any amendment,
modification and supplement of or to the Lease as well as to Tenant's payment
obligations thereunder during the Term of this Guaranty in accordance with the original
provisions thereof.
8. None of the obligations of Guarantor hereunder shall be affected in any
manner by any impairment, modification, limitation, reduction or release of the
obligations of Tenant under the Lease resulting from or relating to any provisions of or
proceedings under the Federal Bankruptcy Code or any other federal or state law relating
to bankruptcy, insolvency reorganization or arrangement or the decision of any federal,
state or local court or the unenforceability of any provision of the Lease. In the event
Tenant shall become insolvent or shall be adjudicated a bankrupt or shall file a petition
for reorganization, arrangement or similar relief under the Federal Bankruptcy Code, or if
Tenant shall seek a judicial readjustment of the rights of its creditors under any present or
future federal, state or local law, or if a receiver of all or part of its property is appointed
by any federal, state or local court, and in any such proceeding the Lease shall be
terminated or rejected or the obligations of Tenant thereunder shall be modified,
suspended or otherwise affected, then Guarantor shall upon demand of Landlord perform
all obligations and pay all sums which Tenant would have been obligated to perform and
to pay but for such proceedings.
9. The Guarantor hereby waives notice of acceptance of this Guaranty.
10. This Guaranty and the obligations of Guarantor hereunder shall be binding
upon Guarantor, its personal representatives, heirs, successors and assigns and shall inure
to the benefit of and be enforceable by Landlord, its successors, assigns and mortgagees:
No assignment of this Guaranty by Guarantor shall release Guarantor from any liability
hereunder.
11. This Guaranty shall be governed by the laws of the State of Pennsylvania,
without regard for choice of law principles. For the purposes of any legal action or
proceeding brought against Guarantor under this Guaranty, Guarantor irrevocably submits
to the jurisdiction and venue of any state or Federal court located in the State of
Pennsylvania. Guarantor acknowledges that venue in any such court shall be appropriate
in any action brought under this Guaranty, and Guarantor irrevocably waives any
objection that it might now or hereafter be entitled to make with respect to venue of any
action arising out of or relating to this Guarantor which is brought in any such court, and
Guarantor irrevocably waives any right to claim that any such action in any such court has
been brought in an incorrect forum.
12. The terms of this Guaranty constitute a final expression of Guarantor's and
Landlord's agreement with respect to the terms hereof and may not be contradicted by
evidence of any prior or contemporaneous agreement, arrangement, understanding or
negotiation (whether oral or written). Guarantor and Landlord further intend that this
Guaranty constitutes the complete and exclusive statement of its terms, and no extrinsic
evidence whatsoever may be introduced in any judicial proceedings involving this
Guaranty.
13. GUARANTOR HEREBY WAIVES TRIAL BY JURY OF ANY AND ALL
ISSUES ARISING IN ANY ACTIONS OR PROCEEDINGS BETWEEN THE
PARTIES UPON, UNDER OR CONNECTED WITH THIS GUARANTY OR ANY OF
ITS PROVISIONS, DIRECTLY OR INDIRECTLY, OR ANY AND ALL
NEGOTIATIONS IN CONNECTION THEREWITH.
IN WITNESS WHEREOF, Guarantor has caused this Guaranty to be duly
executed, as a sealed instrument, the day and year first above written.
By.'O M,A, (Seal)
Susan C. Tandle
Via FedEx
August 19, 2003
Ms. Susan A. Tandle, President
ContainerBright, Inc.
535 South Middlesex Road
Carlisle, PA 17013
RE: CONTAINERBRIGHT, INC. AT 2410 GETTYSBURG ROAD, CAMP HILL, PA
Dear Ms. Tandle:
P R 0 P E R T Y T R U S T
This letter shall serve as confirmation of your Rent Commencement date. The Township of Lower Allen
issued a certificate of occupancy on June 13, 2003, at which time the space was deemed Substantially
Complete. Therefore, in accordance with Section 3.1 of the Lease, the Rent Commencement date shall be
August 13, 2003, or 2 months after space is delivered. Your prorated rents for August (19 of 31 days) are
as follows:
Base Rent $ 5,457.29
Insurance 113.39
Operating Expenses 322.39
Real Estate Taxes: 666.23
TOTAL DUE: $ 6,559.29
Total Received 10.696.00
Credit $ 4,136.71
Please pay your September rent in the amount of $6,559.29 so we can offset the $4,136.71 overpayment
made for August.
As stated in my letter dated April 2, rental payments are due and payable on the first of the month and
should be made payable and mailed to McBride Properties, c/o Keystone Property Trust, 200 Four Falls
Corporate Center, Suite 208, West Conshohocken, PA 19428, Tax ID #22-2448207.
Please feel free to contact me at 484-530-1802 if you have any questions or I can be of further assistance.
Sincerely,
(? ?
Lorraine Daly
Lease Administrato
/lbd
c: Erin Mahoney
Louis Cristinziani
Elaine Mottilla
KEY9ONE
200 Four Falls Corporate Center Phone: 484 530.1800
West Conshohocken, PA 19428 Fax : 484 530.0130
Web : www.keystoneprop&ty.com
t
Containerbright at 2404 Gettysburg Road
Commencement Confirmation: 6/12103
Monthly Rent Days
BRI $ 8,904.00 31
Pro Rated
$ 185 113.39
$ 526 322.39
$ 1,087 666.23
OPEX $ 1,798 1,102.00
Commence Concession Due
12 $ 3,446.71 $ 5,457.29
19
$ 1,102
$ Due for Aug. $ 6,559.29
$ Pd for Aug. $ 10,696.00
CREDIT $ 4,136.71
. P
KEY ONE
PRO P E R T Y T R U S T
April 21, 2003
Ms. Susan a. Tandle
President
ContainerBright, Inc.
535 South Middlesex Road
Carlisle, PA 17013
RE: CONTAINERBRIGHT, INC. AT 2410 GETTYSBURG ROAD, CAMP HILL, PA
Dear Ms. Tandle;
Enclosed please find a fully executed Industrial Lease for the above referenced property. Upon
substantial completion of construction, a Rent Commencement Letter will be forwarded to confirm the
payment start date. Rental payments are due and payable on the first of the month and should be made
payable and mailed to:
McBride Properties
c/o Keystone Property Trust
200 Four Falls Corporate Center, Suite 208
West Conshohocken, PA 19428
Tax ID #22-2448207
Please feel free to call me at 484530-1802 if you require additional information or if I can be of further
assistance.
On behalf of Keystone Property Trust, welcome to 2410 Gettysburg Road. We hope you enjoy your
tenancy and look forward to a successful relationship.
line ,
Daly
Lease Administrator
Enclosure
c: Patrick McBride
Elaine Mottilla
200 Four Falls Corporate Center Phone: 484 530.1800
West Conshohocken, PA 19428 Fax : 484 530.0130
Web : www.keystoneproperty.com
VS/IU/03 15:11 FAX 484 530 0132 Keystone Property 10001
r_
Via Fed&
August 19, 2003
Ms. Susan A. Tandle, President
ContainerBright, Inc.
535 South Middlesex Road
Carlisle, PA 17013
RE: CONTAWLRBRTGHT, INC. AT 2410 GETTYSBURG ROAD, CAMP HILL, PA
Dear Ms. Tandle:
d
This letter shall serve as confirmation of your Rent Commencement date. The Township of Lower Allen
issued a certificate of occupancy on June 13, 2003, at which time the space was deemed Substantially
Complete. Therefore, in accordance with Section 3.1 of the Lease, the Rent Commencement date shall be
August 13, 2003, or 2 months after space is delivered. Your prorated rents for August (19 of 31 days) are
as follows:
Base Rent $ 5,457.29
Insurance 113.39
Operating Expenses 322.39
Real Estate Taxes: 666.23
TOTAL DUE: $ 6,559.29
Total Received 10.696.00
Credit $ 4,136.71
Please pay your September rent in the amount of $6,559.29 so we can offset the $4,136.71 overpayment
made for August.
As stated in my letter dated April 2, rental payments are due and payable on the first of the month and
should be made payable and mailed to McBride Properties, c/o Keystone Property Trust, 200 Four Falls
Corporate Center, Suite 208, West Conshohocken, PA 19428, Tax ID #22-2448207.
Please feel free to contact me at 484-530-1802 if you have any questions or I can be of further assistance.
Sincerely,
Lorraine Daly
Lease Administrato
/lbd
c: Erin Mahoney
Louis Cristinziani
Blaine Mottilla
200 Four Falls Corporate Center Phone: 484 530.1800
West Conshohocken, PA 19428 Fax : 484 530.0130
Web : ww-w.kevsloneproperty.com
KEY ONE
P R 0 P E R T Y T R U S T
" xti, bIf B
BILL OF SALE AND ASSIGNMENT OF LEASES, CONTRACTS AND PERMI'T'S
This instrument is executed and delivered as of the 4th day of August, 2004, in accordance with
the transaction contemplated by that certain Agreement and Plan of Complete Liquidation and
Dissolution (the "Plan of Liquidation"), dated as of the 4th day of August, 2004, by and among
McBRIDE PROPERTIES, a New Jersey general partnership ("Grantor') and KEYSTONE
OPERATING PARTNERSHIP, L.P., a Delaware limited partnership ("Grantee") covering the
real property described in Exhibit A and on Exhibit B attached hereto, and all irn rovements
thereto (the "Real Propert
1. Transfer of Personalty. For good and valuable consideration, the Grantor hereby
assigns, transfers, sets over and conveys to the Grantee an undivided ninety nine percent (99%)
interest in the following located on the Real Property described in Exhibit A and all (100%) of
the following located on the Real Property described in Exhibit B (collectively, the "Personal
Property").
(a) Tangible Personalty. All fixtures, furniture, equipment, and other tangible
personal property, if any, owned by Grantor presently located on the Real Proper, but
excluding any items of personal property owned by tenants, free from all liens, security interests
and encumbrances.
(b) Intangible Personals . All of Grantor's right, title and interest, if any, in and to all
of the following items, to the extent assignable and, except as provided herein, free from all
liens, security interests and encumbrances: (i) licenses, and permits relating to the operation of
the Real Property, (ii) the right to use the name of the Real Property (if any) in connection with
the Real Property, (iii) if still in effect, covenants, representations, indemnifications, guaranties
and warranties received by Grantor from any Grantor, contractor, manufacturer or other person
in connection with the acquisition, construction or operation of the Real Property, including,
without limitation, all of the foregoing items described in any agreement or contract for the
acquisition of the Real Property by Grantor ("Grantor Guaranties") and (iv) if any of the Grantor
Guaranties are unassignable, the beneficial interest of Grantor in such Grantor Guaranties, to the
extent the assignment of such beneficial interest does not void such Grantor Guaranties. If any
of the Grantor Guaranties are unassignable, Grantor agrees, at Grantor' sole cost and expense, to
use commercially reasonable efforts to enforce such Grantor- Guaranties. The Intangible
Personal Property does not include any tradenames and trademarks of Grantor or any affiliate of
Grantor.
2. Assignment of Leases and Contracts. For good and valuable consideration,
Grantor hereby assigns, transfers, sets over and conveys to the Grantee, and the Grantee hereby
accepts such assignment of, an undivided ninety nine percent (99%) interest in the following
located on the Real Property described in Exhibit A and all (100%) of the following located on
the Real Property described in Exhibit B (collectively the "Assigned Property"):
(a) Leases. All of Grantor's right, title and interest, as landlord, in and to all executed
]cases and all amendments thereto (the "Leases") covering all or a portion of the Real Property
and all cash and non-cash security deposits, and the Grantee hereby assumes all of Grantor'
5099541.2 0,1285409
obligations relating to all cash and non-cash security deposits conveyed hereby. In the event
Grantor does not transfer any letters of credit, Grantor hereby agrees to apply such letters of
credit on behalf of the Grantee in accordance with the applicable Lease. Grantor shall transfer
such letters of credit as soon as reasonably practicable after the Closing. Grantor will indemnify,
defend and hold the Grantee harmless from and against all demands and claims made by tenants
arising out of any letters of credit or other security deposits not transferred to the Grantee and
will reimburse the Grantee for any reasonable expenses (including all reasonable attorneys' fees)
incurred or that may be incurred by the Grantee as a result of any such claims or demands by
tenants.
(b) Service Contracts. All of Grantor's right, title and interest in and to all executed
service contracts and all amendments thereto (the "Service Contracts') covering all or a portion
of the Real Property.
3. Assumption. The Grantee hereby assumes the obligations of Grantor under the
Leases and Service Contracts and shall defend, indemnify and hold harmless Grantor from and
against any liability, damages, causes of action, expenses, and attorneys' fees incurred by
Grantor by reason of the failure of the Grantee to fulfill, perform, discharge, and observe its
obligations with respect to the Leases or the Service Contracts.
4. Plan of Liquidation Applies. The terms and conditions of the Plan of Liquidation
with respect to the property conveyed hereunder (including, without limitation, the limitations of
liability provided in the Plan of Liquidation) are hereby incorporated herein by this reference as
if herein set out in full and shall inure to the benefit of and shall be binding upon the Grantee and
Grantor and their respective successors and assigns.
5. Disclaimer-. Except as set forth in the Plan of Liquidation, which provisions are
hereby incorporated by this reference as if herein set out in full, the Personal Property and
Assigned Property are conveyed by Grantor and accepted by the Grantee, AS IS, WHERE IS,
AND WITHOUT ANY REPRESENTATIONS OR WARRANTIES OF WHATSOEVER
NATURE, EXPRESS OR IMPLIED, IT BEING THE INTENTION OF GRANTOR AND THE
GRANTEE EXPRESSLY TO NEGATE AND EXCLUDE ALL WARRANTIES, INCLUDING
WITHOUT LIMITA'T'ION, THE IMPLIED WARRANTIES OF MERCHANTABILITY AND
FITNESS FOR ANY PARTICULAR PURPOSE, WARRANTIES CREATED BY ANY
AFFIRMATION OF FACT OR PROMISE OR BY ANY DESCRIPTION OF THE PROPERTY
CONVEYED HEREUNDER, AND ALL OTHER REPRESENTATIONS AND WARRANTIES
WHATSOEVER CONTAINED IN OR CREATED BY THE UNIFORM COMMERCIAL
CODE OF THE STATE OR STATES WHERE THE REAL PROPERTY IS LOCATED.
[signatures on following page]
50!19-541.2 0428409 2
IN WITNESS WHEREOF, the undersigned have caused this Bill of Sale and Assignment
of Leases, Contracts and Permits to be executed as of the date written above.
GRANTEE:
KEYSTONE OPERATING PARTNERSHIP,
L.P., a Delaware limited partnership
By: Keystone Property Trust, a Maryland
real estate investment trust, its sole
general partner
By:
Name: Edward S. Nekritz
Title: Managing Director
GRANTOR:
MCBRIDE PROPERTIES, a New Jersey general
partnership
By: Keystone Property Trust, a Maryland
real estate investment trust, its managing
general partner
By. x. 3
Name: Edward S. Nekritz
Title: Managing Director
5049541.2 04285409
EXHIBIT B
2400, 2404, 2410 GI? fTYSI3URG ROAD
PREMISES "A"
ALL THAT CERTAIN tract or parcel of land situate in the Township of Lower Allen
Township, County of Cumberland, Commonwealth of Pennsylvania, as shown on
ALTAIACSM Land Title Survey for 2400, 2404 and 2410 Gettysburg Road, Camp Hill,
PA 17011, prepared by Hartman and Associates, Engineers and Surveyors, dated
12/10/97, last revised 3/24/98, more particularly bounded and described as follows, to
wit:
BEGINNING at a point on the northern legal right-of-way line of Gettysburg Road S.R.
2014 at the dividing line between Premises "A" herein described and Premises "B";
thence along the northern legal right-of-way line of Gettysburg Road S.R. 2014 South 80
degrees 36 minutes 17 seconds West a distance of 247.45' feet to a point at the dividing
line between Premises "A and Premises "C"; thence along the dividing line between
Premises "A" and Premises "C" North 15 degrees 31 minutes 30 seconds West a distance
of 2.58.71' feet to a point at the dividing line between Premises "A", "B", and "C"; thence
along the dividing line between Premises "A" and Premises "C" North 75 degrees 08
minutes 30 seconds East a distance of 249.33' feet to a point; thence continuing along the
same South 14 degrees 51 minutes 30 seconds East a distance of 282.25' to a point on the
northern legal right-of-way line of Gettysburg Road S.R. 2014, said point being the place
of BEGINNING.
CONTAINING: 67,011.92 S.T. or 1.5384 Acres
PREMISES "B"
ALL THAT CERTAIN tract or parcel of land situate in the Township of Lower Allen,
County of Cumberland, Commonwealth of Pennsylvania, as shown on the ALTA/ACSM
Land Title Survey for 2400, 2404 and 2410 Gettysburg Road, Camp Hill, PA 17011,
prepared by Hartman and Associates, Engineers and Surveyors, dated 12/10/97, last
revised 3/24/98, more particularly bounded and described as follows, to wit:
BEGINNING at a point on the northern legal right-of-way line of Gettysburg Road S.R.
2014 at the dividing line between the herein described tract and lands now or late of The
Municipal Authority of the Borough of Lemoyne; thence along the northern legal right-
of-way line of Gettysburg Road S.R. 2014 South 56 degrees 14 minutes 00 seconds West
a distance of 55.38' feet to a point; thence continuing along the same South 67 degrees 20
minutes 00 seconds West a distance of 71.23' feet to a point; thence continuing along the
same South 76 degrees 47 minutes 00 seconds West a distance of 100.41' feet to a point;
5049541.2 04285409
thence continuing along the same South 79 degrees 1.7 minutes 11 seconds West a
distance of 167.0.5' feet to a point at the dividing line between Premises "A" and Premises
"B" herein described; thence along the dividing line between Premises "A" and Premises
"B" North 14 degrees 51 minutes 30 seconds West a distance of 282.2.5' feet to a point;
thence continuing along the same South 75 clegrees 08 minutes 30 seconds West a
distance of 249.33' feet to a point at the dividing line between Premises "A", "B", and
"C"; thence along the dividing line between Premises "B", Premises "C", lands reputed to
be now or fate of Summit Corporation and lands now or late of AMP Incorporated
respectively North 15 degrees 31 minutes 30 seconds West a distance of 647.69' feet to a
point; thence along the dividing line between Premises "B" herein described and said
lands of AMP Incorporated North 40 degrees 11 minutes 00 seconds East a distance of
160.60' feet to a point on the southern line of lands of Consolidated Rail Corporation
(formerly Penn Central Railroad); thence along said lands of Consolidated Rail
Corporation North 74 degrees 41 minutes 00 seconds East a distance of 485.54' feet to a
point at the dividing line between Premises "B" herein described and lands now or late of
Eastern Consolidated and Distribution Services, Inc.; thence along the dividing tine
between Premises "B" and said lands of Eastern Consolidated and Distribution Services,
Inc., South 41 degrees 15 minutes 00 seconds West a distance of 117.13' feet to a point;
thence continuing along the same South 12 degrees 59 minutes 00 seconds East a
distance of 164.11' feet to a point; thence continuing along the same and along lands now
or late of Joseph J. Spera and Alex Grass South 14 degrees 06 minutes 00 seconds East a
distance of 249.70' feet to a point; thence continuing along the dividing line between
Premises "B" and said lands of Joseph J. Spera and Alex Grass South 14 degrees 22
minutes 59 seconds East a distance of 183.15' feet to a point at lands now or late of
Salvatore 1. and Phyllis R. Accardi; thence along the dividing line between Premises "B"
and said lands of Accardi South 43 degrees 57 minutes 00 seconds East a distance of
353.36' feet to a point; thence continuing along the same South 09 degrees 58 minutes 00
seconds East a distance of 31.32' feet to a point on the northern legal right-of-way line of
Gettysburg Road S.R. 2014; thence along the northern legal right-of-way line of
Gettysburg Road S.R. 2014 South 56 degrees 14 minutes 00 seconds West a distance of
19.97' feet to a point at lands now or late of The Municipal Authority of the Borough of
Lemoyne; thence along the dividing line between Premises "B" herein described and said
lands of The Municipal Authority of the Borough of Lemoyne the following (12) twelve
courses:
1) North 51 degrees 37 minutes 40 seconds West a distance of 22.82' feet to a point.
2) North 42 degrees 08 minutes 40 seconds West a distance of 388.08' feet to a
point.
3) South 47 degrees 51 minutes 20 seconds West a distance of 10.00' feet to a point.
4) South 35 degrees 05 minutes 09 seconds East a distance of 30.31' feet to a point.
5) South 47 degrees 51 minutes 20 seconds West a distance of 16.28' feet to a point.
5049541.2 04285409
6) South 42 degrees 08 minutes 40 seconds East a distance of 115.00' feet to a point.
7) North 47 degrees 51 minutes 20 seconds East a distance of 2.04' feet to a point.
8) South 35 degrees 05 minutes 09 seconds East a distance of 97.94' feet to a point.
9) South 47 degrees 51 minutes 20 seconds West a distance of 60.00' feet to a point.
10) South 42 degrees 08 minutes 40 seconds East a distance of 75.00' feet to a point.
11) North 47 degrees 51 minutes 20 seconds East a distance of 90.00' feet to a point.
12) South 42 degrees 08 minutes 40 seconds East a distance of 91.28' feet to a
point on the northern legal right-of-way line of Gettysburg Road S.R. 2041
said point being the place of BEGINNING.
CONTAINING 469,000.79 S.F. or 10.7668 Acres
PREMISES "C"
ALL THAT CERTAIN tract or parcel of land situate in the Township of Lower Allen,
County of Cumberland, Commonwealth of Pennsylvania, as shown on the ALTA/ACSM
Land Title Survey for 2400, 2404 and 2410 Gettysburg Road, Camp Hill, PA 17011,
prepared by Hartman and Associates, Engineers and Surveyors, dated 12/10/97, last
revised 3/24/98, more particularly bounded and described as follows, to wit:
1EGINNING at a point on the northern legal right-of-way line of Gettysburg Road S.R.
2014 at the dividing line between Premises "C" herein described and Premises "A";
thence along the legal right-of-way line of Gettysburg Road S.R. 2014 South 80 degrees
36 minutes 17 seconds West a distance of 116.85' feet to a point; thence continuing along
the same South 81 degrees 37 minutes 45 seconds West a distance of 1.46.24' feet to a
point at the dividing line between the herein described tract and and now or late of AMP
Incorporated; thence along the dividing line between the herein described tract and said
lands of AMP Incorporated North 15 degrees 19 minutes 00 seconds West a distance of
521.69' feet to a point; thence continuing along the dividing line between the herein
described tract, lands of AMP Incorporated and also lands reputed to be now or late of
Summit Corporation North 75 degrees 00 minutes 00 seconds East a distance of 259.40'
feet to a point at the dividing line between the herein described tract, Premises "B" and
said lands reputed to be Summit Corporation; thence along the dividing line between the
herein described tract, Premises "B" and also Premises "A" South 15 degrees 31 minutes
30 seconds East a distance of 550.00' feet to a point on the northern legal right-of-way
line of Gettysburg Road S. R. 2014, said point being the place of BEGINNING.
CONTAINING 139,667.13 S.F. or 3.2063 Acres
5049541.2 0428;409
c
C
C,l
VIA OVERNIGHT PRIORITY MAIL
July 14, 2006
Ms. Susan Tandle
Containerbright, Inc.
2410 Gettysburg Road
Camp Hill, PA 17011
NOTICE AND DEMAND
The Tenant, Containerbright, Inc., is in default under that certain Lease Agreement, dated
April 11, 2003 (the "Lease"), concerning the premises at the address commonly known as
2410 Gettysburg Road, Camp Hill, PA (the "Premises").
The Tenant's defaults consist of the following items:
Failure to Pay Rent and Other Charges as shown below and abandonment of the lease
premises. The total amount due from Tenant to the Landlord under the Lease as of the date
hereof is $28,799.89. This sum consists of the following items:
Month Amount
1. Late Fees: Late Charges per 5.2 of the lease $ 1,371.42
2. Base Rent and other MAY, June 2006 and 2005 Common Area Maint. $27,428.77
charges: Reconciliation
TOTAL AGGREGATE AMOUNT OWED $28,799.89
DEMAND IS HEREBY MADE upon the Tenant to pay the Total Aggregate Amount
Owed.
The Tenant is further notified that unless all monetary defaults stated above are cured within
five (5 days after the date of service of this Notice and Demand, the Landlord hereby elects
to terminate the Tenant's right of possession in and to the Premises without terminating the
Tenant's liability and obligations under the Lease, and Tenant's right of possession in and to
the Leased Premises is hereby terminated as of and upon the expiration of said five (5) day
period.
Page 2
July 14, 2006
Containberbright Default Letter
Unless the Total Aggregate Amount Owed is paid within five (5) days demand is hereby
made upon the Tenant to surrender possession of the Premises immediately upon the
expiration of said five (5) day period.
ONLY FULL PAYMENT OF THE TOTAL AGGREGATE AMOUNT OWED WILL
WAIVE THE LANDLORD'S RIGHT TO TERMINATE THE TENANT'S RIGHT OF
OBLIGATIONS UNDER THE LEASE AND UNDER THIS NOTICE AND DEMAND,
UNLESS THE LANDLORD EXPRESSLY AGREES, IN WRITING, TO CONTINUE
THE TENANT'S RIGHTS OF POSSESSION IN EXCHANGE FOR RECEIVING
PARTIAL PAYMENT.
Name: Sally A. Hutchinson
Title: Authorized Representative
Copy to: Matthew Eshelman
Gates, Halbruner and Hatch, P.C
1013 Mumma Road, Suite 100
Lemoyne, PA 17043
S c h n a d e r
A T T O R N E Y S AT LAW
1600 MARKET STREET SUITE 3600
PHILADELPHIA, PA 19103-7286
215.751.2000 PAX 215.751.2205 schnader.com
Michael J. Barre
Direct Dial 215-751-2529
Direct Fax 215-972-7669
E-mail: mbarrie@schnader.com
VIA CERTIFIED MAIL.
RETURN RECEIPT REQUESTED
Susan Tandle, President
ContainerBright, Inc.
2410 Gettysburg Road
Camp Hill, PA 17011
July 31, 2006
Re: Leased Premises: 2410 Gettysburg Road
Camp Hill, Pennsylvania
Landlord: Prologis Six Rivers Limited Partnership, with respect to its
Cimmaron Business, a Delaware services limited partnership
Tenant: ContainerBright, Inc.
Dear Ms. Tandle:
We represent your landlord ("Landlord") under that certain Agreement of Lease
dated as of April 11, 2003 ("Lease") and by and between Landlord and ContainerBright, Inc.
("Tenant") for the leased premises referenced above ("Premises").
NOTICE OF CONTINUED DEFAULT IS HEREBY GIVEN under the Lease for
Tenant's failure to pay certain amounts due as of July 14, 2006 in the aggregate amount of
$28,799.89 (the "Arrearage"), as more specifically set forth in Landlord's Notice and Demand of
July 14, 2006 (true and correct copy of which is enclosed for your reference).
In light of your failure to cure the Arrearage, please take further NOTICE that,
pursuant to Section 19.2.2 of the Lease, the Lease shall remain in effect and Tenant shall
continue to be responsible for all obligations due to Landlord thereunder. Landlord hereby
reserves its rights to exercise any and all of the other remedies available to Landlord under the
Lease, as well as any other remedies available to Landlord at law or in equity to collect not only
the Arrearage, but all other amounts due and/or becoming due under the Lease as well as
reasonably attorneys' fees and costs.
NOTICE is further given that, in light of the security and physical risks to the
Premises, caused by Tenant having unilaterally abandoned same, Landlord has exercised its right
to enter to inspect, secure, protect and preserve the Premises pursuant to the terms and conditions
of the Lease. Specifically, Landlord intends to inspect the Premises for damage and perform
emergency repairs, if required, with respect to, inter alia, water systems, electrical lines, alarm
systems and the HVAC system. To further secure, protect and preserve the Premises, Landlord
Schnader Harrison Segal & Lewis LLP PHDATA13832161
NEW YORK PEN NSYLYANIA CALIFORNIA WASHINGTON, DC NEW JERSEY DELAWARE
S c h n a d e r
ATTORNEYS AT LAW
Ms. Susan Tandle, President
July 31, 2006
Page 2
has or intends to change the locks and/or secure access to the Premises. Should you require
access to the Premises, please notify the undersigned in writing, either by email, facsimile or
regular mail, and instructions for access will be provided to you.
While under no obligation to do so under the Lease, Landlord is also attempting
to mitigate the Tenant's damages that it has suffered, continues to suffer, and will suffer in the
future as a result of Tenant's defaults.
Nothing herein, nor any action taken by a Landlord in furtherance hereof, shall be
construed as an act constituting acceptance by Landlord of your abandonment of the Premises so
as to constitute surrender of the Premises or a termination of the Lease. To the contrary,
Landlord continues to hold you responsible for performance of all of your obligations under the
Lease, in accordance with paragraph 19.2.2 of the Lease.
Should you have any questions regarding this notice, please have your counsel
contact the undersigned at the above-listed address and telephone number.
Very truly yours,
ichael J. Barrie
For SCHNADER HARRISON SEGAL & LEWIS LLP
Enclosure
cc: Barry E. Bressler, Esquire
Matthew Eshelman, Esquire (via facsimile)
P14DATA 13932161
Schnader Harrison Segal & Lewis «r
t 1 `1
VERIFICATION
I, Sally Hutchinson, subject to the penalties of 18 Pa.C.S. § 4904, hereby verify
that:
(a) I am employed as Regional Property Manager of an affiliate of ProLogis
Six Rivers Limited Partnership, plaintiff in the above-captioned action and, as such, am
authorized by the plaintiff to issue this verification on its behalf;
(b) The facts set forth in the foregoing Complaint in Confession of Judgment
in Ejectment are true and correct to the best of my knowledge, information, and belief; and
(c) The Exhibits attached to the Complaint in Confession of Judgment in
Ejectment are true and correct copies of the originals.
??L 11 1
Sally H chinson
7
PHDATA 13924152
J
-sj
,7j
-+3
BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP, a Delaware limited
partnership,
4900 Ritter Road, Suite 150
Mechanicsburg, PA 17055
Plaintiff,
V.
CONTAINERBRIGHT, INC., a
Pennsylvania corporation,
2410 Gettysburg Road
Camp Hill, PA 17011
Defendant.
COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
CIVIL ACTION - Law
NO. 016 _ 4.2rt3
PRAECIPE ENTRY OF JUDGMENT
TO THE PROTHONOTARY:
Clu ? cc-T"
Please enter judgment against Defendant ContainerBright, Inc. in favor of Plaintiff
ProLogis Six Rivers Limited Partnership.
Dated: October 24, 2006
Barr) ?ressler, Esquire
(Pa. Att'y No. 09868)
Michael J. Barrie, Esquire
(Pa. Att'y No. 85625)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2000
Attorneys for the Plaintiff, ProLogis Six Rivers
Limited Partnership
PHDATA 14009631
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BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED ) COURT OF COMMON PLEAS
PARTNERSHIP, a Delaware limited ) OF CUMBERLAND COUNTY,
partnership, ) PENNSYLVANIA
4900 Ritter Road, Suite 150 )
Mechanicsburg, PA 17055 )
CIVIL ACTION - Law
viii. Plaintiff, j NO .O( [u `?
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CONTAINERBRIGHT, INC., a )
Pennsylvania corporation, )
2410 Gettysburg Road )
Camp Hill, PA 17011 )
Defendant. )
AFFIDAVIT CERTIFYING ADDRESSES
COMMONWEALTH OF PENNSYLVANIA
COUNTY OF DAUPHIN
ss.
I, Sally Hutchinson, being duly sworn in accordance with the law, hereby depose
and say:
(a) I am employed as Regional Property Manager of an affiliate of ProLogis
Six Rivers Limited Partnership, the plaintiff in the above-captioned action and, as such, am
authorized by the plaintiff to issue this affidavit on its behalf.
PHDATA 13924152
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BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED ) COURT OF COMMON PLEAS
PARTNERSHIP, a Delaware limited ) OF CUMBERLAND COUNTY,
partnership, ) PENNSYLVANIA
4900 Ritter Road, Suite 150 )
Mechanicsburg, PA 17055 )
CIVIL ACTION - Law
Plaintiff, )
NO. b(, L
X.
)
CONTAINERBRIGHT, INC., a )
Pennsylvania corporation, )
2410 Gettysburg Road )
Camp Hill, PA 17011 )
Defendant. )
AFFIDAVIT OF FACT THAT INSTRUMENT CONTAINING
WARRANT OF ATTORNEY WAS NOT PART
OF CONSUMER-CREDIT TRANSACTION
COMMONWEALTH OF PENNSYLVANIA
COUNTY OF DAUPHIN
ss.
I, Sally Hutchinson, being duly sworn in accordance with the law, hereby depose
and say:
PHDATA 1392415_2
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(a) I am employed as Regional Property Manager of an affiliate of ProLogis
Six Rivers Limited Partnership, the plaintiff in the above-captioned action and, as such, am
authorized by the plaintiff to issue this affidavit on its behalf.
(b) Based upon my personal knowledge (or upon my information and belief),
I hereby confirm that the lease executed by the defendant (containing the warrant of attorney
pursuant to which judgment for ejectment is being confessed herein) did not arise as part of a
consumer-credit transaction.
Sally Hu chinson
Sworn to and subscribed
before me thiso-&"day
of October, 2006.
M.
Notary Public
My Commission Expires: a a p O 9
COMMONWEALTH OF PENNSYLVANIA
Notarial Seal
Beth M. Yorlets, Notary Public
Upper Allen Twp., Cumberland County
My Commission Expires Feb. 23, 2008
Member, Pennsylvania Associadon of Notaries
2
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BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP, a Delaware limited
partnership,
4900 Ritter Road, Suite 150
Mechanicsburg, PA 17055
Plaintiff,
lx.
CONTAINERBRIGHT, INC., a
Pennsylvania corporation,
2410 Gettysburg Road
Camp Hill, PA 17011
Defendant.
CIVIL ACTION - Law
COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. ?- ?2•`3
01 L '. ?
AFFIDAVIT OF COMMERCIAL TRANSACTION
AND OF THE FACT THAT THE LEASE DOES NOT
CREATE A RETAIL INSTALLMENT SALE OR ACCOUNT
COMMONWEALTH OF PENNSYLVANIA
COUNTY OF DAUPHIN
ss.
I, Sally Hutchinson, being duly sworn in accordance with the law, hereby depose
and say:
PHDATA 13924152
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(a) I am employed as Regional Property Manager of an affiliate of ProLogis
Six Rivers Limited Partnership, the plaintiff in the above-captioned action and, as such, am
authorized by the plaintiff to issue this affidavit on its behalf.
(b) Based upon my personal knowledge (or upon my information and belief),
I hereby confirm that (i) the lease upon which the judgment for ejectment is confessed in this
matter arises out of a commercial transaction and not a personal transaction, and (ii) the lease
does not constitute a retail-installment-sales contract or account.
CA
Sally Flchinson
Sworn to and subscribed
before me thisao-ilday
of October, 2006.
M-jw"
Notary Public
My Commission Expires: a a 3?a OC?3
COMMONWEALTH OF PENNSYLV
Notarial Seal
Bern M. Yorlets, Notary Public
Upper Allen Twp., Cumberland County
My Commission Expires Feb. 23, 2008
Ma ,ber, Pennsylvania Ass;oclatlon of Notaries
2
PHDATA 13924152
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BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP, a Delaware limited
partnership,
4900 Ritter Road, Suite 150
Mechanicsburg, PA 17055
Plaintiff,
xt.
CONTAINERBRIGHT, INC., a
Pennsylvania corporation,
2410 Gettysburg Road
Camp Hill, PA 17011
Defendant.
COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
CIVIL ACTION - Law
NO. -6L - /- -2121 3
el . Cj
AFFIDAVIT OF NON-MILITARY SERVICE
COMMONWEALTH OF PENNSYLVANIA
COUNTY OF LEHIGH
ss.
I, Sally Hutchinson, being duly sworn in accordance with the law, hereby depose
and say:
PHDATA 13924152
.46
(a) I am employed as Regional Property Manager of an affiliate of ProLogis
Six Rivers Limited Partnership, the plaintiff in the above-captioned action and, as such, am
authorized by the plaintiff to issue this affidavit on its behalf.
(b) Based upon my personal knowledge (or upon my information and belief),
I hereby aver that the defendants is not in the military service of the United States, or of any state
or territory thereof, as defined by the Soldiers and Sailors Civil Relief Act of 1940, as amended.
Sally Hut inson
Sworn to and subsc bed
before me this may
of October, 2006.
Notary Public
My Commission Expires:
P_ a3-ao°'b
CO ONWEALTH OF PENNSYLVANIA
Notarial Seal
Beth M. Yorlets, Notary Public
Upper Allen IWp., Cumberland County
My Commission Expires Feb. 23, 2008
Member, Pennsylvania ftsociatlon of Notaries
2
PHDATA 13924152
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BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP, a Delaware limited
partnership,
4900 Ritter Road, Suite 150
Mechanicsburg, PA 17055
Plaintiff,
xii.
CONTAINERBRIGHT, INC., a
Pennsylvania corporation,
2410 Gettysburg Road
Camp Hill, PA 17011
Defendant.
COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY,
PENNSYLVANIA
NO. .904. - 4.;Z Z3
CIVIL ACTION - Law
CERTIFICATE OF SERVICE
I certify that I have caused a true and complete copy of the complaint in
confession of judgment filed herein, and of all the papers filed in connection therewith to be
served via first-class mail, postage pre-paid, upon the defendant addressed as follows:
ContainerBright, Inc.
2410 Gettysburg Road
Camp Hill, PA 17011
with a copy to:
Matthew J. Eshelman, Esq.
Gates Halbruner & Hatch, P.C.
PHDATA 13924153
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10 13 Mumma Road, Suite 100
Lemoyne, PA 17043
Respectfully submitted,
y . Bressler, Esquire
tt'y No. 09868)
Michael J. Barrie, Esquire
(Pa. Att'y No. 85625)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2192
Attorneys for the Plaintiff
Dated: October 24, 2006
4
PHDATA 13924153
"n.
BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED ) COURT OF COMMON PLEAS
PARTNERSHIP, a Delaware limited ) OF CUMBERLAND COUNTY,
partnership, ) PENNSYLVANIA
4900 Ritter Road, Suite 150 )
Mechanicsburg, PA 17055 )
CIVIL ACTION - Law
Plaintiff, )
NO. 6L -4..Z.?3 ?lvL
V. )
CONTAINERBRIGHT, INC., a )
Pennsylvania corporation, )
2410 Gettysburg Road )
Camp Hill, PA 17011 )
Defendant. )
NOTICE UNDER RULE 2958.1
OF JUDGMENT AND EXECUTION THEREON
NOTICE OF DEFENDANT'S RIGHTS
TO: ContainerBright, Inc.
2410 Gettysburg Road
Camp Hill, PA 17011
A judgment for possession of real property has been entered against you and in favor of
the Plaintiff without any prior notice or hearing based on a confession of judgment contained in a
written agreement or other paper allegedly signed by you. The sheriff may remove you from the
property at anytime after thirty (30) days after the date on which this notice is served on you.
You may have legal rights to defeat the judgment or to prevent your being removed from
the property. YOU MUST FILE A PETITION SEEKING RELIEF FROM THE JUDGMENT
WITHIN THIRTY (30) DAYS AFTER THE DATE ON WHICH THIS NOTICE IS SERVED
ON YOU OR YOU MAY LOSE YOUR RIGHTS. IN ADDITION, A DEBTOR WHO HAS
BEEN INCORRECTLY IDENTIFIED AND HAD A CONFESSION OF JUDGMENT
PHDATA 14009611
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ENTERED AGAINST HIM OR HER MAY PETITION THE COURT FOR COSTS AND
REASONABLE ATTORNEY'S FEES AS DETERMINED BY THE COURT.
YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE. IF YOU DO
NOT HAVE A LAWYER, GO TO OR TELEPHONE THE OFFICE SET FORTH BELOW.
THIS OFFICE CAN PROVIDE YOU WITH INFORMATION ABOUT HIRING A LAWYER.
IF YOU CANNOT AFFORD TO HIRE A LAWYER, THIS OFFICE MAY BE ABLE
TO PROVIDE YOU WITH INFORMATION ABOUT AGENCIES THAT MAY OFFER
LEGAL SERVICES TO ELIGIBLE PERSONS AT A REDUCED FEE OR NO FEE.
CUMBERLAND COUNTY BAR ASSOCIATION
32 SOUTH BEDFORD STREET
CARLISLE, PA 17013
1-800-990-9108
717-249-3166
hael J. Barrie, Esquire
(Pa. Att'y No. 85625)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2000
Attorneys for the Plaintiff
Dated: October 24, 2006
2
PHDATA 14009611
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BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED ) COURT OF COMMON PLEAS
PARTNERSHIP, a Delaware limited ) OF CUMBERLAND COUNTY,
partnership, ) PENNSYLVANIA
4900 Ritter Road, Suite 150 )
Mechanicsburg, PA 17055 )
CIVIL ACTION - Law
Plaintiff,
NO. OL - G;z
V. )
CONTAINERBRIGHT, INC., a )
Pennsylvania corporation, )
2410 Gettysburg Road )
Camp Hill, PA 17011 )
Defendant. )
NOTICE
TO: ContainerBright, Inc.
2410 Gettysburg Road
Camp Hill, PA 17011
Pursuant to Rule 236 of the Supreme Court of Pennsylvania, you are hereby notified that
a Judgment has been entered against you in the above proceeding as indicated below.
Judgment by Default
Money Judgment
Judgment in Replevin
X Judgment for Possession
Judgment on Award of Arbitration
Judgment on Verdict
Judgment on Court Findings
PHDATA 14009851
If you have any questions concerning this notice, please call:
Attorney Michael J Barrie Esquire
at this telephone number: (215) 751-2529
PHDATA 14009851
BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED ) COURT OF COMMON PLEAS
PARTNERSHIP, ) OF CUMBERLAND COUNTY,
PENNSYLVANIA
Plaintiff, )
CIVIL ACTION - Law
V. )
NO. 06-6223 CIVIL TERM
CONTAINERBRIGHT, INC. )
Defendant. )
PRAECIPE FOR WRIT OF POSSESSION
To the Prothonotary:
Kindly issue writ of possession upon the judgment in ejectment entered by confession in
the above-captioned civil action for possession of the premises located at 2410 Gettysburg Road,
Camp Hill, Pennsylvania.
CERTIFICATION
I certify that:
(1) This praecipe is based upon a judgment entered by confession, and
(2) Notice pursuant to Rule 2973.2 has been served at least thirty days prior to the filing
of this praecipe as evidenced by a certificate of service of record.
PHDATA 14099931
Dated: December 8 2006
arry E. Bressler, Esquire
(Pa. Att'y No. 09868)
Michael J. Barrie, Esquire
(Pa. Att'y No. 85625)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2192
Attorneys for the Plaintiff
2
PHDATA 14099931
BARRY E. BRESSLER, ESQ. (Pa. Att'y I.D. No. 09868)
MICHAEL J. BARRIE, ESQ. (Pa. Att'y I.D. No 85625)
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 Market Street, Suite 3600
Philadelphia, PA 19103
(215) 751-2000 (telephone)
(215) 751-2205 (facsimile)
Attorneys for ProLogis Six Rivers Limited Partnership
PROLOGIS SIX RIVERS LIMITED ) COURT OF COMMON PLEAS
PARTNERSHIP, ) OF CUMBERLAND COUNTY,
PENNSYLVANIA
Plaintiff, )
CIVIL ACTION - Law
V. )
NO. 06-6223 CIVIL TERM
CONTAINERBRIGHT, INC. )
Defendant. )
CERTIFICATE OF SERVICE
I certify that on December 8, 2006, I caused a true and complete copy of the
foregoing Praecipe for Writ of Possession to be served via first-class mail, postage pre-paid,
upon the defendant addressed as follows:
ContainerBright, Inc.
2410 Gettysburg Road
Camp Hill, PA 17011
with a copy to:
Matthew J. Eshelman, Esq.
Gates Halbruner & Hatch, P.C.
1013 Mumma Road, Suite 100
Lemoyne, PA 17043
PHDATA 14099931
Dated: December 8, 2006
y E. Bressler, Esquire
(Pa. Att'y No. 09868)
Michael J. Barrie, Esquire
(Pa. Att'y No. 85625)
1600 Market Street, Suite 3600
Philadelphia PA 19103
(215) 751-2192
Attorneys for the Plaintiff
4
PHDATA 14099931
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WRIT OF POSSESSION (Ejectment Proceedings PRCP3160-3165 etc
IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP
VS. No. 06-6223 Civil Term
CONTAINERBRIGHT, INC.
Costs
Attorney's $ 34.50
Plaintiff s $
Prothonotary $ 1.00
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND:
To the Sheriff of Cumberland County, Pennsylvania
(1) To satisfy the judgment for possession in the above matter you are directed to deliver
possession of the following described property to: (Plaintiff (s))
PROLOGIS SIX RIVERS LIMITED PARTNERSHIP
being: (Premises as follows):
2410 GETTYSBURG ROAD, CAMP HILL, PA
(2) To satisfy the costs against the defendant (s) you are directed to levy upon any
property of the defendant (s) and sell his/her (or their) interest therein.
0A # 4a 9
C s R. Long onota ,
Common Net Court of berland County, PA
Date DECEMBER 11, 2006
(Seal)
THE COPY FROM RECORD
%T ?whcrR?" , ^T.,,? ose<myh
S9 Of PA
I -day ?tI1810?L3C1?
A.
2of2
No 06-6223 Civil Term
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
PROLOGIS SIX RIVERS LIMITED PARTNERSHIP
VS.
CONTAINERBIRGHT, INC.
WRIT OF POSSESSION
P.R.C.P. 3160-3165 ETC.
Costs
Att'y $ 34.50
Plff (s) $
Prothy $ 1.00
Sheriff $
Plaintiff (s) attorney name and address:
BARRY E. BRESSLER, ESQUIRE
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 MARKET STREET, SUITE 3600
PHILADELPHIA, PA 19103
215-751-2000
I.D.# 09868
Attorney for Plaintiff (s)
Where papers may be served
By virtue of this writ, on the day of I caused the within
named , to have possession of the premises described with the
appurtenances, and
Sworn and subscribed to before me this
Day of
Prothonotary
So Answers,
Sheriff
By
Deputy
of - 4WZA3
R. Thomas Kline, Sheriff, who being duly sworn according to law, states this
Writ is returned Expired.
Sheriff's Costs: Advance Costs: 150.00
Sheriff's Costs 55.08
Docketing 18.00 94.92
Poundage 1.08
Advertising
Law.Library
Prothonotary 1.00 Refunded to Atty on 08/13/08
Mileage 15.00
Misc.
Surcharge 20.00
Levy
Post Pone Sale
Certified Mail
Postage
Garnishee /
TOTAL 55.08 ? $ jQ d$ So Answers;
l1
1Z. T ine, r
By
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R'- -21J20 7
2of2
No 06-6223 Civil Term
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
PROLOGIS SIX RIVERS LIMITED PARTNERSHIP
vs.
CONTAINERBIRGHT, INC.
WRIT OF POSSESSION
P.&C.P.3160-3165 ETC.
Costs
Attorney for Plaintiff (s)
Where papers may be served
By virtue of this writ, on the day of . I caused the within
named , to have possession of the premises described with the
appurtenances, and
Att'y $ 34.50
Plff (s) $
Prothy $ 1.00
Sheriff $
Plaintiff (s) attorney name and address:
BARRY E. BRESSLER, ESQUIRE
SCHNADER HARRISON SEGAL & LEWIS LLP
1600 MARKET STREET, SUITE 3600
PHILADELPHIA, PA 19103
215-751-2000
I.D.# 09868
Sworn and subscribed to before me this
Day of ,
Prothonotary
So Answers,
Sheriff
By
Deputy
1 of 2
WRIT OF POSSESSION (Ejectment Proceedings PRCP3160-3165 etc.)
IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA
PROLOGIS SIX RIVERS LIMITED
PARTNERSHIP
VS. No. 06-6223 Civil Term
CONTAINERBRIGHT, INC.
Costs
Attorney's $ 34.50
Plaintiff's $
Prothonotary $ 1.00
COMMONWEALTH OF PENNSYLVANIA:
COUNTY OF CUMBERLAND:
To the Sheriff of Cumberland County, Pennsylvania
(1) To satisfy the judgment for possession in the above matter you are directed to deliver
possession of the following described property to: (Plaintiff (s))
PROLOGIS SIX RIVERS LIMITED PARTNERSHIP
being: (Premises as follows):
2410 GETTYSBURG ROAD, CAMP HILL, PA
(2) To satisfy the costs against the defendant (s) you are directed to levy upon any
property of the defendant (s) and sell his/her (or their) interest therein.
C R. LongKjhonotaW,
Common Pleas Court of COnberland County, PA
Date DECEMBER 11, 2006
(Seal)