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HomeMy WebLinkAboutResolution - 2010-R0592 - Lease Agreement With Wilkerson Investment Company For 1611 10Th Street - 12/02/2010Resolution No. 2010-RO592 December 2, 2010 Item No. 5.18 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock is hereby authorized and directed to execute for and on behalf of the City of Lubbock, a Commercial Lease Agreement for real property located at 1611 10`" Street, by and between the City of Lubbock and Wilkerson Properties of Lubbock, Texas, and related documents, including but not limited to any amendment(s) in regard to the leasing of modular furniture for use at the leased premises. Said Commercial Lease Agreement is attached hereto and incorporated in this resolution as if fully set forth herein and shall be included in the minutes of the City Council. Passed by the City Council on ATTEST: Rebacca Garza, City Secret APPROVED AS TO CONTENT: December 2, 2010 A4�;e' TOM MARTIN, MAYOR Wesley D. 6krett, Director of Facilities Management APPROVED AS vw:ccdocs/RES.Lease Agreement -Wilkerson Properties November 23, 2010 Resolution No. 2010-RO592 TEXAS ASSOCIATION OF REALTORS® COMMERCIAL LEASE USE OF THIS FORM BY PERSONS WHO ARE NOT MEMBERS OF THE TEXAS ASSOCIATION OF REALTORS® IS NOT AUTHORIZED ®Texas Association of REALTORS®, Inc. 2010 No. Paragraph Description Pg,, No. Paragraph Description Pga. 1. Parties 2 22. Holdover 10 2. Leased Premises 2 23. Landlord's Lien & Security Interest 11 3. Term 2 24. Assignment and Subletting 11 A. Term 25. Relocation 11 B. Delay of Occupancy 26. Subordination 11 4. Rent and Expenses 3 27. Estoppel Certificates & Financial Info. 11 A. Base Monthly Rent 28. Casualty Loss 12 B. First Full Month's Rent 29. Condemnation 12 C. Prorated Rent 30. Attorney's Fees 12 D. Additional Rent 31. Representations 12 E. Place of Payment 32. Brokers 13 F. Method of Payment 33. Addenda 13 G. Late Charges 34. Notices 13 H. Returned Checks 35. Special Provisions 14 5. Security Deposit 4 36. Agreement of the Parties 14 6. Taxes 4 7. Utilities 4 ADDENDA & EXHIBITS (check all that apply) 8. Insurance 5 ❑ Exhibit "A" site Plan 9. 9.Legal Use and Hours 6 ❑ Exhibit Furniture Addendum 10. Compliance 6 E)Commercial Lease Addendum for Broker's Fee 11. 12. Signs Access By Landlord 7 7 ❑ (TAR -2102) Commercial Lease Addendum for Expense 13. Move -In Condition 7 Reimbursement (TAR -2103) 14. Move -Out Condition 7 ❑ Commercial Lease Addendum for Extension 15. Maintenance and Repairs 8 Option (TAR -2104) A. Cleaning B. Conditions Caused by a Party ❑ Commercial Lease Addendum for Percentage C. Repair & Maintenance Responsibility E]Commercial Rent (TAR -2106) Lease Addendum for Parking D. Repair Persons (TAR -2103) E. HVAC Service Contract ❑ Commercial Landlord's Rules and Regulations F. Common Areas (TAR -2108) G. Notice of Repairs EIH. Commercial Lease Guaranty (TAR -2109) Failure to Repair g E) Commercial Lease Addendum for Right of First 16. Alterations Refusal (TAR -2103) 17. Liens g 10 [DCommercial Lease Addendum for Optional 18. 19. Liability Indemnity 10 Space (TAR -2110) 20. Default 10 ❑ Commercial Lease Addendum for Construction 21. Abandonment, Interruption of Utilities, ❑ (TAR -2111) or (TAR-2112) Commercial Lease Addendum for Removal of Property &Lockout 10 Contingencies (TAR -2120) ❑ WCO]lnf ation About Brokerage Services (TAR -2101) 1-26-10 Initialed for Identification by Landlord and Tenant: Page 1 of 15 Wilkerson Properties P. O. Box 2525 Lubbock, TX 79408 Phone: 806-474-2207 Fax: 806-474-2216 Gordon Wilkerson 1611 10th Produced with ZipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 wwwv.z]pLouix.com �� TEXAS ASSOCIATION OF REALTORS® COMMERCIAL LEASE USE OF THIS FORM BY PERSONS WHO ARE NOT MEMBERS OF THE TEXAS ASSOCIATION OF REALTORS® IS NOT AUTHORIZED. ®Texas Association of REALTORS®, Inc. 2010 1. PARTIES: The parties to this lease are: Landlord: John G Wilkerson P O Box 2525 Lubbock TX 79408 ; and Tenant: City of Lubbock 1625 -13th Lubbock TX 79401 2. LEASED PREMISES: A. Landlord leases to Tenant the following described real property, known as the "leased premises," along with all its improvements (Check only one box) : ❑ (1) Multiple -Tenant Property: Suite or Unit Number containing approximately square feet of rentable area in (project name) at (address) in (city), (county), Texas, which is legally described on attached Exhibit or as follows: p (2) Single -Tenant Property: The real property at: 1611 -10th (address) in Lubbock (city), Lubbock (county), Texas, which is legally described on attached Exhibit A or as follows: Lots 1-5 of the Overton Addition to the City of Lubbock, Lubbock County, Texas B. If Paragraph 2A(1) applies: (1) "Property" means the building or complex in which the leased premises are located, inclusive of any common areas, drives, parking areas, and walks; and (2) the parties agree that the rentable area of the leased premises may not equal the actual or useable area within the leased premises and may include an allocation of common areas in the Property. The rentable area a will a will not be adjusted if re -measured. 3. TERM: A. Term: The term of this lease is 120 months and 0 days, commencing on: March 1 2011 (Commencement Date) and ending on February 28 2021 (Expiration Date). ,�—, I., ) LI, (TAR -2101) 1-26-10 Initialed for Identification by Landlord: , and Tenant: Page 2 of 15 Produced with ZipForm® by zlpLoglx 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLooix.coni 1611 10th 1611 -10th Commercial Lease concerning: Lubbock, B. Delavof Occupancy: If Tenant is unable to occupy the leased premises on the Commencement Date because of construction on the leased premises to be completed by Landlord that is not substantially complete or a prior tenant's holding over of the leased premises, Landlord will not be liable to Tenant for such delay and this lease will remain enforceable. In the event of such a delay, the Commencement Date will automatically be extended to the date Tenant is able to occupy the Property and the Expiration Date will also be extended by a like number of days, so that the length of this lease remains unchanged. If Tenant is unable to occupy the leased premises after the 90th day after the Commencement Date because of construction on the leased premises to be completed by Landlord that is not substantially complete or a prior tenant's holding over of the leased premises, Tenant may terminate this lease by giving written notice to Landlord before the leased premises become available to be occupied by Tenant and Landlord will refund to Tenant any amounts paid to Landlord by Tenant. This Paragraph 3B does not apply to any delay in occupancy caused by cleaning or repairs. C. Unless the parties agree otherwise, Tenant is responsible for obtaining a certificate of occupancy for the leased premises if required by a governmental body. 4. RENT AND EXPENSES: A. Base Monthly Rent: On or before the first day of each month during this lease, Tenant will pay Landlord base monthly rent as described on attached Exhibit or as follows. Dates Rate per rentable sc From To onthly Rate uare foot (optional) Annual Rate Base Monthly Rent $ B. Additional Rent: In addition to the base monthly rent, Tenant will pay Landlord all other amounts, as provided by the attached (Check all that apply.) : p (1) Commercial Lease Addendum for Expense Reimbursement (TAR -2103) ❑ (2) Commercial Lease Addendum for Percentage Rent (TAR -2106) ❑ (3) Commercial Lease Addendum for Parking (TAR -2107) n r41 All amounts payable under the applicable addenda are deemed to be "rent" for the purposes of this lease. C. First Full Month's Rent: The first full monthly rent is due on or before March 1. 2011 D. Prorated Rent: If the Commencement Date is on a day other than the first day of a month, Tenant will pay Landlord as prorated rent, an amount equal to the base monthly rent multiplied by the following fraction: the number of days from the Commencement Date to the first day of the following month divided by the number of days in the month in which this lease commences. The prorated rent is due on or before the Commencement Date. E. Place of Payment: Tenant will remit all amounts due Landlord under this lease to the following person at the place stated or to such other person or place as Landlord may later designate in writing: Name: John G Wi kerson Address:LUbbock, TZ Z-2408 (TAR -2101) 1-26-10 Initialed for Identification by Landlor� and Tenant: �, Page 3 of 15 Produced with ZlpForm® by zipLoglx 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLogix.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock F. Method of Payment: Tenant must pay all rent timely without demand, deduction, or offset, except a: permitted by law or this lease. If Tenant fails to timely pay any amounts due under this lease or if any check of Tenant is returned to Landlord by the institution on which it was drawn, Landlord after providinc written notice to Tenant may require Tenant to pay subsequent amounts that become due under thi: lease in certified funds. This paragraph does not limit Landlord from seeking other remedies under thi: lease for Tenant's failure to make timely payments with good funds. G. Lig Charges: If Landlord does not actually receive a rent payment at the designated place of paymen- within 5 days after the date it is due, Tenant will pay Landlord a late charge equal to 5% of the amourr due. In this paragraph, the mailbox is not the agent for receipt for Landlord. The late charge is a cos - associated with the collection of rent and Landlord's acceptance of a late charge does not waive Landlord's right to exercise remedies under Paragraph 20. H. Returned Checks: Tenant will pay $ for each check Tenant tenders to Landlorc which is returned by the institution on which it is drawn for any reason, plus any late charges unti Landlord receives payment. 5. SECURITY DEPOSIT: A. Upon execution of this lease, Tenant will pay $ to Landlord as a security deposit. B. Landlord may apply the security deposit to any amounts owed by Tenant under this lease. If Landlorc applies any part of the security deposit during any time this lease is in effect to amounts owed by Tenant, Tenant must, within 10 days after receipt of notice from Landlord, restore the security deposit tc the amount stated. C. Within 60 days after Tenant surrenders the leased premises and provides Landlord written notice o - Tenant's forwarding address, Landlord will refund the security deposit less any amounts applied towarc amounts owed by Tenant or other charges authorized by this lease. 6. TAXES: Unless otherwise agreed by the parties, Landlord will pay all real property ad valorem taxes assessed against the leased premises. 7. UTILITIES: A. The party designated below will pay for the following utility charges to the leased premises and anS connection charges for the utilities. (Check all that apply.) N/A Landlord Tenant (1) Water El El 1111 (2) Sewer ❑ ❑ ❑ (3) Electric El Ell (4) Gas ❑ ❑ ❑ (5) Telephone El El Ell (6) Internet ❑ ❑ ❑ (7) Cable El X (8) Trash ❑ ❑ ❑ x (110) All other utilities ❑ ❑ B. The party responsible for the charges under Paragraph 7A will pay the charges directly to the utility service provider. The responsible party may select the utility service provider except that if Tenant selects the provider, any access or alterations to the Property or leased premises necessary for the utilities may be made only with Landlord's prior consent, which Landlord will not unreasonably withhold If Landlord incurs any liability for utility or connection charg s for which Tenant is responsible to pay anc Landlord pays such amount, Tenant will immediatel on written notice from Landlord reimburse Landlord such amount. (TAR -2101) 1-26-10 Initialed for Identification by Landlord: and Tenant: Page 4 of 1: Produced with ZlpFornnV by zipLoglx 18070 Fifteen Mile Roa , Fraser, Michigan 481026 www.zipLooix.com 1611 IOU 1611 -10th Commercial Lease concerning: Lubbock C. Noting: Tenant should determine if all necessary utilities are available to the leased premises and are adequate for Tenant's intended use. D. After -Hours HVAC Charcies: "HVAC services" means heating, ventilating, and air conditioning of the leased premises. (Check one box only.) C3 (1) Landlord is obligated to provide the HVAC services to the leased premises only during the Property's operating hours specified under Paragraph 9C. d (2) Landlord will provide the HVAC services to the leased premises during the operating hours specified under Paragraph 9C for no additional charge and will, at Tenant's request, provide HVAC services to the leased premises during other hours for an additional charge of $ per hour. Tenant will pay Landlord the charges under this paragraph immediately upon receipt of Landlord's invoice. Hourly charges are charged on a half-hour basis. Any partial hour will be rounded up to the next half hour. Tenant will comply with Landlord's procedures to make a request to provide the additional HVAC services under this paragraph. ❑ (3) Tenant will pay for the HVAC services under this lease. & INSURANCE: A. During all times this lease is in effect, Tenant must, at Tenant's expense, maintain in full force and effect from an insurer authorized to operate in Texas: (1) public liability insurance naming Landlord as an additional insured with policy limits on an occurrence basis in a minimum amount of: (check only (a) or (b) below) ❑ (a) $1,000,000; or d (b) $2,000,000. If neither box is checked the minimum amount will be $1,000,000. (2) personal property damage insurance for the business operations being conducted in the leased premises and contents in the leased premises in an amount sufficient to replace such contents after a casualty loss; and D (3) business interruption insurance sufficient to pay 12 months of rent payments; B. Before the Commencement Date, Tenant must provide Landlord with a copy of insurance certificates evidencing the required coverage. If the insurance coverage is renewed or changes in any manner or degree at any time this lease is in effect, Tenant must, not later than 10 days after the renewal or change, provide Landlord a copy of an insurance certificate evidencing the renewal or change. C. If Tenant fails to maintain the required insurance in full force and effect at all times this lease is in effect, Landlord may: (1) purchase insurance that will provide Landlord the same coverage as the required insurance and Tenant must immediately reimburse Landlord for such expense; or (2) exercise Landlord's remedies under Paragraph 20. D. Unless the parties agree otherwise, Landlord will maintain in full force and effect insurance for: (1) fire and extended coverage in an amount to cover the reasonable replacement cost of the improvements of the Property; and (2) any public liability insurance in an amount that Landlord determines reasonable and appropriate. E. If there is an increase in Landlord's insurance premiums for the leased premises or Property or its contents that is caused by Tenant, Tenant's use of the leased premises, or any improvements made by or for Tenant, Tenant will, for each year this lease is in effect, pay Landlord the increase immediately after Landlord notifies Tenant of the increase. Any charge to Tenant under this Paragraph BE will be equal to the actual amount of the increase in Landlord's insurance premium. (TAR -2101) 1-26-10 Initialed for Identification by Landlord99--, and Tenant: —!�(- Page 5 of 15 Produced with ZlpFormO by zlpLoglx 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zioLouix.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock 9. USE AND HOURS: A. Tenant may use the leased premises for the following purpose and no other: offices for the city of Lubbock B. Unless otherwise specified in this lease, Tenant will operate and conduct its business in the leased premises during business hours that are typical of the industry in which Tenant represents it operates. C. The Property maintains operating hours of (specify hours, days of week, and if inclusive or exclusive of weekends and holidays): 8.00 a m o 5.00 p.m., Monday through Friday, exclusive of weekends and holidays 10. LEGAL COMPLIANCE: A. Tenant may not use or permit any part of the leased premises or the Property to be used for: (1) any activity which is a nuisance or is offensive, noisy, or dangerous; (2) any activity that interferes with any other tenant's normal business operations or Landlord's management of the Property; (3) any activity that violates any applicable law, regulation, zoning ordinance, restrictive covenant, governmental order, owners' association rules, tenants' association rules, Landlord's rules or regulations, or this lease; (4) any hazardous activity that would require any insurance premium on the Property or leased premises to increase or that would void any such insurance; (5) any activity that violates any applicable federal, state, or local law, including but not limited to those laws related to air quality, water quality, hazardous materials, wastewater, waste disposal, air emissions, or other environmental matters; (6) the permanent or temporary storage of any hazardous material; or (7) B. "Hazardous material" means any pollutant, toxic substance, hazardous waste, hazardous material, hazardous substance, solvent, or oil as defined by any federal, state, or local environmental law, regulation, ordinance, or rule existing as of the date of this lease or later enacted. C. Landlord does not represent or warrant that the leased premises or Property conform to applicable restrictions, zoning ordinances, setback lines, parking requirements, impervious ground cover ratio requirements, and other matters that may relate to Tenant's intended use. Tenant must satisfy itself that the leased premises may be used as Tenant intends by independently investigating all matters related to the use of the leased premises or Property. Tenant agrees that its not relying,Qn any warranty -pr. representation made -b Landlord. Landlord's agent. or any roker concerning the use of the leased premises or Property. 11. SIGNS: A. Tenant may not post or paint any signs or place any decoration outside the leased premises or on the Property without Landlord's written consent. Landlord may remove any unauthorized sign or decorations, and Tenant will promptly reimburse Landlord for its cost to remove any unauthorized sign or decorations. B. Any authorized sign must comply with all laws, restrictions, zoning ordinances, and any governmental order relating to signs on the leased premises or Pr erty. Landlord may temporarily remove any authorized sign to complete repairs or alterations to the ased premises or the Property. (TAR -2101) 1-26-10 Initialed for Identification by Landlord- and Tenant:, Page 6 of 15 Produced with ZipForm® by zlpLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zjpLooix.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock C. By providing written notice to Tenant before this lease ends, Landlord may require Tenant, upon move -out and at Tenant's expense, to remove, without damage to the Property or leased premises, any or all signs that were placed on the Property or leased premises by or at the request of Tenant. Any signs that Landlord does not require Tenant to remove and that are fixtures, become the property of the Landlord and must be surrendered to Landlord at the time this lease ends. 12. ACCESS BY LANDLORD: A. During Tenant's normal business hours Landlord may enter the leased premises for any reasonable purpose, including but not limited to purposes for repairs, maintenance, alterations, and showing the leased premises to prospective tenants or purchasers. Landlord may access the leased premises after Tenant's normal business hours if: (1) entry is made with Tenant's permission; or (2) entry is necessary to complete emergency repairs. Landlord will not unreasonably interfere with Tenant's business operations when accessing the leased premises. B. During the last 180 days of this lease, Landlord may place a "For Lease" or similarly worded sign in the leased premises. 13. MOVE -IN CONDITION: Tenant has inspected the leased premises and accepts it in its present (as -is) condition unless expressly noted otherwise in this lease or in an addendum. Landlord ani any agent have made no express -pr implied warrantiesas-Lo the c n "ti nor ermi ed use of the leased oremises,Q Property. 14. MOVE -OUT CONDITION AND FORFEITURE OF TENANT'S PERSONAL PROPERTY: A. At the time this lease ends, Tenant will surrender the leased premises in the same condition as when received, except for normal wear and tear. Tenant will leave the leased premises in a clean condition free of all trash, debris, personal property, hazardous materials, and environmental contaminants. B. If Tenant leaves any personal property in the leased premises after Tenant surrenders possession of the leased premises, Landlord may: (1) require Tenant, at Tenant's expense, to remove the personal property by providing written notice to Tenant; or (2) retain such personal property as forfeited property to Landlord. C. "Surrender" means vacating the leased premises and returning all keys and access devices to Landlord. "Normal wear and tear" means deterioration that occurs without negligence, carelessness, accident, or abuse. D. By providing written notice to Tenant before this lease ends, Landlord may require Tenant, upon move -out and at Tenant's expense, to remove, without damage to the Property or leased premises, any or all fixtures that were placed on the Property or leased premises by or at the request of Tenant. Any fixtures that Landlord does not require Tenant to remove become the property of the Landlord and must be surrendered to Landlord at the time this lease ends. 15. MAINTENANCE AND REPAIRS: A. Cleaning: Tenant must keep the leased premises clean and sanitary and promptly dispose of all garbage in appropriate receptacles. ❑ Landlord 0 Tenant will provide, at its expense, janitorial services to the leased premises that are customary and ordinary for the property type. Tenant will maintain any grease trap on the Property which Tenant uses, including but not limited to periodic emptying and cleaning, as well as making any modification to the grease trap that may be necessary to comply with any applicable law. (TAR -2101) 1-26-10 Initialed for Identification by Landlord*,.and Tenant: Page 7 of 15 Produced with ZlpForm® by zipLoglx 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.z*nLoaix.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock, B. Repairs of Conditions Caused by a Party: Each party must promptly repair a condition in need of repair that is caused, either intentionally or negligently, by that party or that party's guests, patrons, invitees, contractors or permitted subtenants. C. Repair and Maintenance Responsibility: Except as otherwise provided by this Paragraph 15, the party designated below, at its expense, is responsible to maintain and repair the following specified items in the leased premises (if any). The specified items must be maintained in clean and good operable condition. If a governmental regulation or order requires a modification to any of the specified items, the party designated to maintain the item must complete and pay the expense of the modification. The specified items include and relate only to real property in the leased premises. Tenant is responsible for the repair and maintenance of its personal property. (Check all that apply.) N/A Landlord Tenant (1) Foundation, exterior walls, roof, and other structural components.... ❑ ❑ ❑ (2) Glass and windows..........................................................................❑ ❑ d (3) Fire protection equipment and fire sprinkler systems ........................❑ ❑ 0 (4) Exterior & overhead doors, including closure devices, molding, locks, and hardware........................................................................ ❑ ❑ d (5) Grounds maintenance, including landscaping and irrigation systems...........................................................................................❑ ❑ O (6) Interior doors, including closure devices, frames, molding, locks, andhardware..................................................................................❑ ❑ C] (7) Parking areas and walks..................................................................Cl ❑ d (8) Plumbing systems, drainage systems and sump pumps .................. ❑ ❑ @ (9) Electrical systems, mechanical systems ..........................................❑ ❑ a (10) Ballast and lamp replacement......................................................... ❑ ❑ d (11) Heating, Ventilation and Air Conditioning (HVAC) systems .............. ❑ Q ❑ (12) Signs and lighting: (a) Pylon..........................................................................................❑ ❑ d (b) Facia..........................................................................................❑ ❑ d (c) Monument..................................................................................❑ ❑ d (d) Door/Suite..................................................................................❑ ❑ d (e) Other: ............. ❑ ❑ ❑ (13) Extermination and pest control, excluding wood -destroying insects ❑ ❑ d (14) Fences and Gates...........................................................................❑ ❑ d (15) Storage yards and storage buildings .................................................❑ E)d (16) Wood -destroying insect treatment and repairs .................................❑ ❑ d (17) Cranes and related systems............................................................0 ❑ d ( El Q 19) ❑ d (20) All other items and systems.............................................................. ❑ d D. Repair Persons: Repairs must be completed by trained, qualified, and insured repair persons. E. HVAC Service Contract: If Tenant maintains the HVAC system under Paragraph 15C(11), Tenant ❑ is Q is not required to maintain, at its expense, a regularly scheduled maintenance and service contract for the HVAC system. The maintenance and service contract must be purchased from a HVAC maintenance company that regularly provides such contracts to similar properties. If Tenant fails to maintain a required HVAC maintenance and service contract in effect at all times during this lease, Landlord may do so and Tenant will reimburse Landlord for the expense of such maintenance and service contract or Landlord may exercise Landlord's remedies under Paragraph 20. (TAR -2101) 1-26-10 Initialed for Identification by LandlorFid, , and Tenant: � Page 8 of 15 Produced with ZipForm® by zlpLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLoglx.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock. F. Common Areas: Landlord will maintain any common areas in the Property in a manner as Landlord determines to be in the best interest of the Property. Landlord will maintain any elevator and signs in the common area. Landlord may change the size, dimension, and location of any common areas, provided that such change does not materially impair Tenant's use and access to the leased premises. Tenant has the non-exclusive license to use the common areas in compliance with Landlord's rules and regulations. Tenant may not solicit any business in the common areas or interfere with any other person's right to use the common areas. This paragraph does not apply if Paragraph 2A(2) applies. G. Notice of Repairs: Tenant must promptly notify Landlord of any item that is in need of repair and that is Landlord's responsibility to repair. All requests for repairs to Landlord must be in writing. H. Failure to Repair: Landlord must make a repair for which Landlord is responsible within a reasonable period of time after Tenant provides Landlord written notice of the needed repair. If Tenant fails to repair or maintain an item for which Tenant is responsible within 10 days after Landlord provides Tenant written notice of the needed repair or maintenance, Landlord may: (1) repair or maintain the item, without liability for any damage or loss to Tenant, and Tenant must immediately reimburse Landlord for the cost to repair or maintain; or (2) exercise Landlord's remedies under Paragraph 20. 16. ALTERATIONS: A. Tenant may not alter (including making any penetrations to the roof, exterior walls or foundation), improve, or add to the Property or the leased premises without Landlord's written consent. Landlord will not unreasonably withhold consent for the Tenant to make reasonable non-structural alterations, modifications, or improvements to the leased premises. B. Tenant may not alter any locks or any security devices on the Property or the leased premises without Landlord's consent. If Landlord authorizes the changing, addition, or rekeying of any locks or other security devices, Tenant must immediately deliver the new keys and access devices to Landlord. C. If a governmental order requires alteration or modification to the leased premises, the party obligated to maintain and repair the item to be modified or altered as designated in Paragraph 15 will, at its expense, modify or alter the item in compliance with the order and in compliance with Paragraphs 16A and 17. D. Any alterations, improvements, fixtures or additions to the Property or leased premises installed by either party during the term of this lease will become Landlord's property and must be surrendered to Landlord at the time this lease ends, except for those fixtures Landlord requires Tenant to remove under Paragraph 11 or 14 or if the parties agree otherwise in writing. 17. LIENS: Tenant may not do anything that will cause the title of the Property or leased premises to be encumbered in any way. If Tenant causes a lien to be filed against the Property or leased premises, Tenant will within 20 days after receipt of Landlord's demand: (1) pay the lien and have the lien released of record; or (2) take action to discharge the lien. Tenant will provide Landlord a copy of any release Tenant obtains pursuant to this paragraph. 18. LIABILITY: To the extent permitted by law, Landlord is NOT responsible to Tenant or Tenant's employees A. an act. omission, or neglect ot: I enant: I enant's agent: i enanysqums midi It s CIIIt.11wyGGJ. I CI1W IL J patrons: Tenant's invitees or any other tenant on the Property B. fid. flood. water leaks, ice. snow• _ML winds, explosion, smoke, rio strike, interruption of utilities, theft. burglary, robbery, assault, vandalism, other persons, environmental contaminants, or other occurrences or casualty losses. (TAR -2101) 1-26-10 Initialed for Identification by Landlord: and Tenant: G Page 9 of 15 Produced with ZipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48028 www zloLoeix.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock 19. INDEMNITY: Each party will indemnify and hold the otherpartv harmless from_gnro ert damage. personal injury, ui actions, liabilities, damages, cost of repairs or service to the leased premises or Pro or _@ny other loss caused, negligently or otherwise. _�y that arty _Qt that party's employees, patrons, guests, or invitees. 20. DEFAULT: A. If Landlord fails to comply with this lease within 30 days after Tenant notifies Landlord of Landlord's failure to comply, Landlord will be in default and Tenant may seek any remedy provided by law. If, however, Landlord's non-compliance reasonably requires more than 30 days to cure, Landlord will not be in default if the cure is commenced within the 30 -day period and is diligently pursued. B. If Landlord does not actually receive at the place designated for payment any rent due under this lease within 5 days after it is due, Tenant will be in default. If Tenant fails to comply with this lease for any other reason within 10 days after Landlord notifies Tenant of its failure to comply, Tenant will be in default. C. If Tenant is in default, Landlord may, with at least 3 days written notice to Tenant: (i) terminate this lease, or (ii) terminate Tenant's right to occupy the leased premises without terminating this lease and may accelerate all rents which are payable during the remainder of this lease or any renewal period. Landlord will attempt to mitigate any damage or loss caused by Tenant's breach by using commercially reasonable means. If Tenant is in default, Tenant will be liable for: (1) any lost rent; (2) Landlord's cost of reletting the leased premises, including brokerage fees, advertising fees, and other fees necessary to relet the leased premises; (3) repairs to the leased premises for use beyond normal wear and tear; (4) all Landlord's costs associated with eviction of Tenant, such as attorney's fees, court costs, and prejudgment interest; (5) all Landlord's costs associated with collection of rent such as collection fees, late charges, and returned check charges; (6) cost of removing any of Tenant's equipment or fixtures left on the leased premises or Property; (7) cost to remove any trash, debris, personal property, hazardous materials, or environmental contaminants left by Tenant or Tenant's employees, patrons, guests, or invitees in the leased premises or Property; (8) cost to replace any unreturned keys or access devices to the leased premises, parking areas, or Property; (9) any other recovery to which Landlord may be entitled under this lease or under law. 21. ABANDONMENT, INTERRUPTION OF UTILITIES, REMOVAL OF PROPERTY, AND LOCKOUT: Chapter 93 of the Texas Property Code governs the rights and obligations of the parties with regard to: (a) abandonment of the leased premises; (b) interruption of utilities; (c) removal of Tenant's property; and (d) "lock -out" of Tenant. 22. HOLDOVER: If Tenant fails to vacate the leased premises at the time this lease ends, Tenant will become a tenant -at -will and must vacate the leased premises immediately upon receipt of demand from Landlord. No holding over by Tenant, with or without the consent of Landlord, will extend this lease. Tenant will indemnify Landlord and any prospective tenants for any and all damages caused by the holdover. Rent for any holdover period will be 150% of the base monthly rent plus any additional rent calculated on a daily basis and will be immediately due and payable daily without notice or demand. (TAR -2101) 1-26-10 Initialed for Identification by Landlor . and Tenant: Ll� Page 10 of 15 Produced with ZlpForrn0 by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 yAmy-ApLogix.corn 1611 10th 1611 -10th Commercial Lease concerning: Lubbock LANDLORDS23. r - seeuFe Tenant's- - undeF this leaseT Teinant �LL_Illi:Jui_S�lil.li l�.i•� •��i-1Z1.1111'iLL1171T1��J,�.l�� n��,lli lil7ll-_111i�J•i1111R�171L:1f:17Cllil!11:11J- '� that is in - 71ZaI:1e1=1•:ILZ1llslTiliJlithe PFJ:1:111' 24. ASSIGNMENT AND SUBLETTING: Landlord may assign this lease to any subsequent owner of the Property. Tenant may not assign this lease or sublet any part of the leased premises without Landlord's written consent. An assignment of this lease or subletting of the leased premises without Landlord's written consent is voidable by Landlord. If Tenant assigns this lease or sublets any part of the leased premises, Tenant will remain liable for all of Tenant's obligations under this lease regardless if the assignment or sublease is made with or without the consent of Landlord. 25. RELOCATION: d A. By providing Tenant with not less than 90 days advanced written notice, Landlord may require Tenant to relocate to another location in the Property, provided that the other location is equal in size or larger than the leased premises then occupied by Tenant and contains similar leasehold improvements. Landlord will pay Tenant's reasonable out-of-pocket moving expenses for moving to the other location. "Moving expenses" means reasonable expenses payable to professional movers, utility companies for connection and disconnection fees, wiring companies for connecting and disconnecting Tenant's office equipment required by the relocation, and printing companies for reprinting Tenant's stationary and business cards. A relocation of Tenant will not change or affect any other provision of this lease that is then in effect, including rent and reimbursement amounts, except that the description of the suite or unit number will automatically be amended. 0 B. Landlord may not require Tenant to relocate to another location in the Property without Tenant's prior consent. 26. SUBORDINATION: A. This lease and Tenant's leasehold interest are and will be subject, subordinate, and inferior to: (1) any lien, encumbrance, or ground lease now or hereafter placed on the leased premises or the Property that Landlord authorizes; (2) all advances made under any such lien, encumbrance, or ground lease; (3) the interest payable on any such lien or encumbrance; (4) any and all renewals and extensions of any such lien, encumbrance, or ground lease; (5) any restrictive covenant affecting the leased premises or the Property; and (6) the rights of any owners' association affecting the leased premises or Property. B. Tenant must, on demand, execute a subordination, attornment, and non -disturbance agreement that Landlord may request that Tenant execute, provided that such agreement is made on the condition that this lease and Tenant's rights under this lease are recognized by the lien -holder. 27. ESTOPPEL CERTIFICATES & FINANCIAL INFORMATION: A. Within 10 days after receipt of a written request from Landlord, Tenant will execute and deliver to Landlord an estoppel certificate that identifies the terms and conditions of this lease. B. Within 30 days after receipt of a written request from Landlord, Tenant will provide to Landlord Tenant's current financial information (balance sheet and income statement). Landlord may request the financial information no more frequently than once every 12 months. (TAR -2101) 1-26-10 Initialed for Identification by Landlord:;&Jand Tenant: Page 11 of 15 Produced with ZlpForm® by zipLogix 18070 Fifteen Mlle Road, Fraser, Michigan 48026 www.zipLoalx.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock, 28. CASUALTY LOSS: A. Tenant must immediately notify Landlord of any casualty loss in the leased premises. Within 20 days after receipt of Tenant's notice of a casualty loss, Landlord will notify Tenant if the leased premises are less than or more than 50% unusable, on a per square foot basis, and if Landlord can substantially restore the leased premises within 120 days after Tenant notifies Landlord of the casualty loss. B. If the leased premises are less than 50% unusable and Landlord can substantially restore the leased premises within 120 days after Tenant notifies Landlord of the casualty, Landlord will restore the leased premises to substantially the same condition as before the casualty. If Landlord fails to substantially restore within the time required, Tenant may terminate this lease. C. If the leased premises are more than 50% unusable and Landlord can substantially restore the leased premises within 120 days after Tenant notifies Landlord of the casualty, Landlord may: (1) terminate this lease; or (2) restore the leased premises to substantially the same condition as before the casualty. If Landlord chooses to restore and does not substantially restore the leased premises within the time required, Tenant may terminate this lease. D. If Landlord notifies Tenant that Landlord cannot substantially restore the leased premises within 120 days after Tenant notifies Landlord of the casualty loss, Landlord may: (1) choose not to restore and terminate this lease; or (2) choose to restore, notify Tenant of the estimated time to restore, and give Tenant the option to terminate this lease by notifying Landlord within 10 days. E. If this lease does not terminate because of a casualty loss, rent will be reduced from the date Tenant notifies Landlord of the casualty loss to the date the leased premises are substantially restored by an amount proportionate to the extent the leased premises are unusable. 29. CONDEMNATION: If after a condemnation or purchase in lieu of condemnation the leased premises are totally unusable for the purposes stated in this lease, this lease will terminate. If after a condemnation or purchase in lieu of condemnation the leased premises or Property are partially unusable for the purposes of this lease, this lease will continue and rent will be reduced in an amount proportionate to the extent the leased premises are unusable. Any condemnation award or proceeds in lieu of condemnation are the property of Landlord and Tenant has no claim to such proceeds or award. Tenant may seek compensation from the condemning authority for its moving expenses and damages to Tenant's personal property. 30. ATTORNEY'S FEES: Any person who is a prevailing party in any legal proceeding brought under or related to the transaction described in this lease is entitled to recover prejudgment interest, reasonable attorney's fees, and all other costs of litigation from the nonprevailing party. 31. REPRESENTATIONS: A. Tenant's statements in this lease and any application for rental are material representations relied upon by Landlord. Each party signing this lease represents that he or she is of legal age to enter into a binding contract and is authorized to sign the lease. If Tenant makes any misrepresentation in this lease or in any application for rental, Tenant is in default. Landlord is not aware of any material defect on the Property that would an ordinary person or any environmental hazard on or affecting the health or safety of an ordinary person, except: affect the health and safety of Property that would affect the (TAR -2101) 1-26-10 initialed for Identification by Landlord: and Tenant:_ Produced with ZlpFormO by ApLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipLogix.com Page 12 of 15 1611 10th 1611 -10th Commercial Lease concerning: Lubbock C. Each party and each signatory to this lease represents that: (1) it is not a person named as a Specially Designated National and Blocked Person as defined in Presidential Executive Order 13224; (2) it is not acting, directly or indirectly, for or on behalf of a Specially Designated and Blocked Person; and (3) is not arranging or facilitating this lease or any transaction related to this lease for a Specially Designated and Blocked Person. Any party or any signatory to this lease who is a Specially Designated and Blocked person will indemnify and hold harmless any other person who relies on this representation and who suffers any claim, damage, loss, liability or expense as a result of this representation. 32. BROKERS: A. The brokers to this lease are: Principal Broker License No. Cooperating Broker License No. Agent Agent Address Address Phone ax Phone Fax E -Mail License No. E -Mail License No. Principal Broker: (Check only one box) Cooperating Broker represents Tenant. ❑ represents Landlord only. ❑ representsTenant only. ❑ is an intermediary between Landlord and Tenant. B. Fees: ❑ (1) Principal Broker's fee will be paid according to: (Check only one box). ❑ (a) a separate written commission agreement between Principal Broker and: ❑ Landlord ❑ Tenant. ❑ (b) the attached Addendum for Broker's Fee. ❑ (2) Cooperating Broker's fee will be paid according to: (Check only one box). ❑ (a) a separate written commission agreement between Cooperating Broker and: ❑ Principal Broker ❑ Landlord ❑ Tenant. ❑ (b) the attached Addendum for Broker's Fee. 33. ADDENDA: Incorporated into this lease are the addenda, exhibits and other information marked in the Addenda and Exhibit section of the Table of Contents. If Landlord's Rules and Regulations are made part of this lease, Tenant agrees to comply with the Rules and Regulations as Landlord may, at its discretion, amend from time to time. 34. NOTICES: All notices under this lease must be in writing and are effective when hand -delivered, sent by mail, or sent by facsimile transmission to: Landlord at: John Wilkerson Address: P O sox 2525 Lubbock TX 79408 Phone: (806) 474-2207 Fax: and a copy to: Address: Phone: I Fax: Q Landlord also consents to receive notices by a -mai at: crwilk wilkersonproperties . com (TAR -2101) 1-26-10 Initialed for Identification by Landlord: and Tenant: Page 13 of 15 Produced with ZipFonn® by zipLoglx 18070 Fifteen Mile Ro , Fraser, Michigan 48026 www.z]pLoaox.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock, Tenant at the leased premises, and a copy to: Wes Everett Director of Facilities Management Address: P 0 Box 2000 Lubbock, TX 79408 Phone: (806) 775-2275 Fax: ❑ Tenant also consents to receive notices by e-mail at: 35. SPECIAL PROVISIONS: Landlord agrees to attempt to procure used modular furniture generally consistent with the plan shown attached and labeled Furniture Exhibit. The cost shall not exceed $1,500.00 per unit installed. Since there are a 30 modular offices needed, the total cost shall not exceed $45,000.00. Tenant shall pay to Landlord a monthly amount equal to $510.97. If furniture can be found at a lesser cost, then the monthly amount shall be reduced to the amount needed to amortize the total purchase price over ten years at 6.5% interest. Said additional rental amount shall be confirmed with a lease addendum after the furniture has been installed. In no case shall tenant be required to pay any more that $510.97 per month. Also, Tenant shall have the right to accept or reject any furniture that Landlord is able to find. If no acceptable furniture can be found, then Tenant shall not be liable for any additional costs for furniture. Both parties agree that used furniture may not match the Furniture Exhibit exactly. 36. AGREEMENT OF PARTIES: A. Entire Aareement:This lease contains the entire agreement between Landlord and Tenant and may not be changed except by written agreement. B. Binding Effect: This lease is binding upon and inures to the benefit of the parties and their respective heirs, executors, administrators, successors, and permitted assigns. C. Joint and Several: All Tenants are jointly and severally liable for all provisions of this lease. Any act or notice to, or refund to, or signature of, any one or more of the Tenants regarding any term of this lease, its renewal, or its termination is binding on all Tenants. D. Controlling Law: The laws of the State of Texas govern the interpretation, performance, and enforcement of this lease. E. Severable Clauses: If any clause in this lease is found invalid or unenforceable by a court of law, the remainder of this lease will not be affected and all other provisions of this lease will remain valid and enforceable. F. Waiver. Landlord's delay, waiver, or non -enforcement of acceleration, contractual or statutory lien, rental due date, or any other right will not be deemed a waiver of any other or subsequent breach by Tenant or any other term in this lease. G. Quiet Enjoyment: Provided that Tenant is not in default of this lease, Landlord covenants that Tenant will enjoy possession and use of the leased premises ree from material interference. (TAR -2101) 1-26-10 Initialed for Identification by Landlord, and Tenant: Page 14 of 15 Produced with ZipFonn® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.z*pLoaix.com 1611 10th 1611 -10th Commercial Lease concerning: Lubbock, H. Force Majeure: If Landlord's performance of a term in this lease is delayed by strike, lock -out, shortage of material, governmental restriction, riot, flood, or any cause outside Landlord's control, the time for Landlord's performance will be abated until after the delay. I. Time: Time is of the essence. The parties require strict compliance with the times for performance. Brokers are not qualified to render legal advice, property inspections, surveys, engineering studies, environmental assessments, tax advice, or compliance inspections. The parties should seek experts to render such services. READ THIS LEASE CAREFULLY. If you do not understand the effect of this Lease, consult your attorney BEFORE signing. Landlord: John Wilkerson Tenant: City of Lubbock By: By, By (signature): By (signature): Printed e: �( Printed Name: Tom Martin Title: Title: Mayor By: By: By (signature): Printed Name: Title: (TAR -2101) 1-26-10 By (signature): Printed Name: Title: ATTEST: Approved as to Form Re ecca Garza, City e . (�/� //V_�_ Chad Weaver, Assistant City Attorney Approved as to Content Mark earwood Assistant City Manager Page 15 of 15 Produced with ZipForm® by zipLoglx 18070 Fifteen Mite Road, Fraser, Michigan 48028 www.zioLogix.com 1611 10th Resolution No. 2010-R05 92 No Text a a O O LL 6 I u N N O E of 0 Y N N O N x � N r H i J 0 u f O � 7 U � J 0 CP 0 N Y O m Id MCO p N � '0 in ONN 't O1 v C31 �^ C 0 Cp a N fn __ O to p.to -6 60 00 Ecc Y E O O w 0 C C' p C j O X O mt C, ULIZ CL LL. tnJ C± Z 0) W H It W IL O Ix CL Expense Reimbursement Addendum concerning 1611 -10th, Lubbock, Notice: The applicable projected expenses at the time which the above -referenced lease commences are shown in the table below. The total area of the Property presently used by Landlord for calculating expense reimbursements is 23430 rentable square feet (including any add on factor for common areas). Projected Expenses $ Monthly Rate 1 $ Annual Rate 0.10 / rsf / month 11.18 / rsf / year D. Reconciliation: Within a reasonable time after the end of each calendar year, Landlord will notify Tenant of the actual costs of the applicable expenses (those that Tenant is to pay under this addendum) for the previous year. If the actual costs of the applicable expenses exceed the amounts paid or owed by Tenant for the previous year, Tenant must pay the deficient amount to Landlord within 30 days after Landlord notifies Tenant of the deficient amount. If the actual costs of the applicable expenses are less than the amounts paid by Tenant for the previous year, Landlord will refund the excess to Tenant or will credit the excess to Tenant's next rent payment. Tenant may audit or examine those items in Landlord's records that relate to Tenant's obligations under this addendum. Landlord will promptly refund to Tenant any overpayment revealed by an audit or examination. If the audit or examination reveals an error of more than 5% over the amounts Landlord collected in a calendar year from Tenant under this addendum, Landlord will pay the reasonable cost of the audit or examination. Landlord may not seek a deficiency from Tenant under this paragraph if Landlord fails to timely provide the required notice. E. Special Provisions: By: By (signature): Printed Name: Title: (TAR -2103) 1-26-10 Tenant: Citv of Lubbock By: By (signature): Printed Name: mom Martin Title: Mayor By (signature): Printed Name: Title: Page 2of2 Produced with Z pForm® by zipLogix 18070 Fifteen We Road, Fraser, Michigan 48026 www.zipLoo X.com 1611 10th Resolution No. 2010-RO592 �;** TEXAS ASSOCIATION OF REALTORS® COMMERCIAL LEASE ADDENDUM FOR EXPENSE REIMBURSEMENT USE OF THIS FORM BY PERSONS WHO ARE NOT MEMBERS OF THE TEXAS ASSOCIATION OF REALTORS® IS NOT AUTHORIZED ®Texas Association of REALTORS®, Inc. 2010 ADDENDUM TO THE COMMERCIAL LEASE BETWEEN THE UNDERSIGNED PARTIES CONCERNING THE LEASED PREMISES AT 1611 -10th Lubbock. In addition to rent stated in the lease, Tenant will pay Landlord the additional rent described in this addendum. Tenant will pay the additional rent each month at the time the base -monthly rent in the lease is due. A. Definitions: (1) "Tenant's pro rata share" is 100.000 %. (2) "CAM" means all of Landlord's expenses reasonably incurred to maintain, repair, operate, manage, and secure the Property (for example, security, lighting, painting, cleaning, decorations, utilities, trash removal, pest control, promotional expenses, and other expenses reasonably related the Property's operations); CAM does not include capital expenditures, interest, depreciation, tenant improvements, insurance, taxes, or brokers' leasing fees Notwithstanding the foregoing, CAM does include the amortized costs incurred by Landlord in making capital improvements or other modifications to the Property to the extent such improvements or modifications reduce CAM overall. These costs will be amortized over the useful life of the improvement or modification on a straight-line basis; however, in no event will the charge for such amortization included in CAM exceed the actual reduction in CAM achieved by the improvements and modifications. (3) "Insurance" means Landlord's costs to insure the leased premises and the Property including but not limited to insurance for casualty loss, general liability, and reasonable rent loss. (4) "Taxes" means the real property ad valorem taxes assessed against the leased premises and Property inclusive of all general and special assessments and surcharges. (5) "Structural" means all of Landlord's expenses reasonably incurred to maintain, repair, and replace the roof, foundation, exterior walls, load bearing walls and other structural components of the Property. B. Method: The additional rent will be calculated under the following method: Note: "CAM" does not include taxes and insurance costs. ❑ (1) Base -year expenses: Each month Tenant will pay Tenant's pro rata share of the projected monthly expenses for the Property that exceed the amount of the monthly base -year expenses for the calendar year for: ❑ taxes; ❑ insurance; ❑ CAM; ❑ structural; and ❑ ❑ (2) Expense -stop: Each month Tenant will pay Tenant's pro rata share of the projected monthly expenses for the Property that exceed $ per square foot per year for: ❑ taxes; ❑ insurance; El CAM; ❑ structural; and ❑ (3) Net: Each month Tenant will pay Tenant's pro rata share of the projected monthly expenses for the Property for: Q taxes; W insurance; ❑ CAM; ❑ structural; and ❑ C. Pro*ected Monthly Expenses: On or about December 31 of each calendar year, Landlord will project the applicable monthly expenses (those that Tenant is to pay under this addendum) for the following calendar year and will notify Tenant of the projected expenses. The rojected expenses are based on Landlord's estimates of such expenses. The actual expenses may vary. / (TAR -2103)1-26-10 Initialed for Identification by Landlord, and Tenant: Page 1 of 2 Wilkerson Properties P. O. Box 2525 Lubbock, TX 79408 J Phone: 806-474-2207 Fax: 806474-2216 Gordon Wilkerson 1611 10th Produced with ZlpForm® by zipLoglx 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zioLoaox.com TEXAS ASSOCIATION OF REALTORS® COMMERCIAL LEASE ADDENDUM FOR EXTENSION OF TERM USE OF THIS FORM BY PERSONS WHO ARE NOT MEMBERS OF THE TEXAS ASSOCIATION OF REALTORS® IS NOT AUTHORIZED ®Texas Association of REALTORSO, Inc. 2010 ADDENDUM TO THE COMMERCIAL LEASE BETWEEN THE UNDERSIGNED PARTIES CONCERNING THE LEASED PREMISES AT 1611 -10th, Lubbock, A. At Tenant's option, Tenant may extend the term of above -referenced lease for two additional term(s) of 60 months each. The first additional term commences upon the expiration of the term stated in the lease and any subsequent additional term commences upon the expiration of the then applicable extended term. B. Tenant may exercise Tenant's option(s) to extend under Paragraph A only by providing written notice to Landlord at least 180 days before the end of the then current term of the lease. C. Tenant may not exercise Tenant's option(s) to extend under Paragraph A if the lease is terminated before Tenant exercises its option to extend or Tenant is in breach of the lease at the time Tenant exercises its option to extend. D. During the additional term(s), all provisions of the lease will continue as in effect immediately before the extension(s) commences except the base monthly rent during the additional term(s) will be: (Check (1), (2) or (3) only.) 0 (1) Dates Rate per rentable sc From To $ Monthly Rate uare foot (optional) $ Annual Rate Base Monthly Rent $ 03/01/2021 2 2 202 / rsf / month / rsf / ear 12 000 00 03/01/2026 031 / rsf/ month / rsf/ ear 14 000 00 / rsf / m nth / rsf ear / rsf / month / rsf / ear / rsf / month / rsf /vear ❑ (2) adjusted to reflect increases in the Consumer Price Index for "All Urban Consumers, U.S. City Average, All Items", issued by the Bureau of Labor Statistics of the U.S. Department of Labor. The adjustment will be determined by multiplying the base monthly rent for the last month of the lease by the following fraction: (i) the numerator will be the published index number for January in the year the additional term commences; and (ii) the denominator will be the published index number for January in the year in which the original lease term commences. ❑ (3) the prevailing rental rate on the 45th day before the additional term commences for premises of comparable size, quality, condition, improvements, utility, location, and length of term for tenant's of similar credit standing as Tenant. E. If Paragraph D(3) applies and the parties do not agree on the amountf the prevailing rental rate for the additional term before the 30th day before the additional term co fences, each party will employ a state -certified appraiser and deliver the appraiser's w itten opini n�Y,.nd he prevailing rental rate to the other (TAR -2104) 1-26-10 Initialed for Identification by Landlord Tenant: Page 1 of 2 Wilkerson Properties P. 0. Box 2525 Lubbock, TX 79408 Phone: 806-474-2207 Fax: 806-474-2216 Gordon Wilkerson 1611 10th Produced with ZipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zipJ oa'x.com 1611 -10th Addendum for Extension Option concerning Lubbock, party not later than the 15th day before the additional term commences. If the appraisers' opinions do not vary by more than 10%, the prevailing rental rate will be the average of the two opinions. If the appraisers' opinions vary by more than 10%, the appraisers will jointly select a third appraiser whose fees will be shared equally by the parties. If a third appraiser is engaged, the prevailing rental rate will be the average of the two opinions that are closest in amount. If either party fails to employ or timely deliver an appraiser's opinion as required by this paragraph, the opinion rendered by the appraiser employed by the other party will determine the prevailing rental rate. F. Special Provisions: By: By (signature)* Printed Name: Title: (TAR -2104) 1-26-10 Tenant: City of Lubbock By: By (signature): <1 /� Printed Name: TKm Martin Title: Mayor By: By (signature): Printed Name: Title: Produced with ZipForm® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www zipLQgiX,Cnm_ Page 2 of 2 1611 10th Resolution No. 2010-RO592 �#4 TEXAS ASSOCIATION OF REALTORS® COMMERCIAL LEASEHOLD CONSTRUCTION ADDENDUM (Landlord to Complete Construction) USE OF THIS FORM BY PERSONS WHO ARE NOT MEMBERS OF THE TEXAS ASSOCIATION OF REALTORS® IS NOT AUTHORIZED. ®Texas Association of REALTORS®, Inc. 2010 ADDENDUM TO THE COMMERCIAL LEASE BETWEEN THE UNDERSIGNED PARTIES CONCERNING THE LEASED PREMISES AT 1611 -10th Lubbock A. On or before March 1, 2011 , Landlord will substantially complete the improvements to the leased premises as described below. (1) Landlord will complete the following improvements: Work detailed on attached plans dated 10/22/2010 (2) On or before , Tenant will specify in a separate written notice to Landlord the improvements that Tenant desires Landlord to complete. If Landlord objects to any desired improvement, Tenant will promptly amend Tenant's notice to comply with Landlord's objections. Landlord will not unreasonably object to Tenant's desired improvements. B. On or before , Landlord will notify Tenant of the total cost to complete the improvements described in Paragraph A, including but not limited to costs of construction, permits, and plans. The total cost to complete the improvements may not exceed (maximum cost). Landlord will pay of the cost to complete the improvements and Tenant will pay the remainder. If the total cost to complete the improvements exceeds the maximum cost, the lease will terminate and have no further effect unless a party notifies the other party within days after Landlord notifies Tenant of the cost to complete the improvements that it will pay the excess. C. Unless otherwise agreed by the parties in writing, any amount required to be paid by Tenant under this addendum must be paid by Tenant to Landlord before construction of the improvements commences. D. All construction required by this addendum will be performed by trained and qualified persons in a good workman -like manner and will comply with applicable building codes, I cal ordinances, governmental regulations, and statutes (e.g., ADA, Architectural Barriers). Landlord will btain any required certificate of occupancy. (TAR -2111) 1-26-10 Initialed for Identification by Landlord: and Tenant: Page 1 of 2 Wilkerson Properties P. O. Box 2525 Lubbock, TX 79408 Phone: 806474-2207 Fax: 806-474-2216 Gordon Wilkerson 1611 10th Produced with ZipForm® by zipLogix 18070 Fifteen Mite Road, Fraser, Michigan 48026 www.z]pLoglx.com Leasehold Construction Addendum concerning 1611 -10th Lubbock E. Tenant may, at reasonable times during construction, inspect the construction of the improvements. Tenant may object to any deficiencies in the completion of the improvements by providing specific written notice to Landlord and Landlord will promptly cure the deficiencies. Upon completion of the improvements, Tenant will acknowledge in writing (e.g., TAR No. 2113) that the improvements have been completed and that Tenant accepts the leased premises for the purposes of the lease. F. Paragraph 3B of the lease governs any delay in the commencement of the lease or occupancy by Tenant caused by the construction of the improvements. G. Special Provisions: By: By (signature): Printed Name: Title: (TAR -2111) 1-26-10 Tenant: City of Lubbock By: By (signature): Printed Name: Tom Martin Title: Mayor By: By (signature): Printed Name: Title: Page 2 of 2 Produced with ZipFonn® by zipLogix 18070 Fifteen Mile Road, Fraser, Michigan 48026 www.zlpLooix.com 1611 10th A 0 Z C> 2 N W w W IL O w IL 0 O � ■O U 0 0 0 0 0 0 42. M 0 0 C 0 0 0 A 0 Z C> 2 N W w W IL O w IL 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 N �aaaaaaaaaaaaaaaaaaaaaa N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N aaaaaaaaaaaaaaaaaaaaaa W N V d N O UU N� U N w KKO-� O fJ.1 S 6Ej d Y W 2 U Yom= �czwdc$�rc2Src'6'z�'rcrc�irc 088�88�g8g8g8g8g8� M 2Z� U U U U N U UM rn o ram U am O 2 VD < r < O < < p < < °� O: < < Nrl < < <N < < O1 6 < f001R < < V < < CNV < A 0 Z C> 2 N W w W IL O w IL k � I A3 -n- m Vdlll " ", "1%ql � Q k k�/ 2 0 E ;/ 0 CA \ 0 §k -E§)- §!«§§t . §\.))j !% [ N Q 3 I M� � £ � :. 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DRYWALL IN RM. 119. O DEMO EXIST. RR PARTITIONS & HANDICAP GRAB BARS. 39 DEMO EXIST. TOILET LOCATIONS, CAP & PATCH DRAIN & WATER SUPPLY. ODEMO COUNTERTOP & SINKS ONLY. (LEAVE ALL o SUPPORTING MILLWORK) 41 REVERSE SWING OF DOOR & FRAM (SE FLOOR RR PLAN). RELOGTE & REVERSE SWING OF DOOR & FRAM 42 (SEE FLOOR RR PLAN). 43 CUT OPENING LARGER AS SHOWN. (SEE FLOOR RR PLAN FOR NEW HEADER INFO.). 44 DEMO FAUCET IN RM'e. 119 & 212. 0 io RR 2ND FLOOR .DEMO PLAN SCALE: 1/4' - 1'-0- NOT FOR REGULATORY APPROVAL, PERMITTING, OR CONSTRUCTION. JEFFREY TIPPIT, ARCHITECT Commercial & Industrial City of Lubbock — Remodel Date: 10/22/2010 Rev: Notes: Area: Development, Manogement & Brokerage A 5 . Phone: (806 474-2223 1611 loth Street Drown by: JWF, JMS 501 E. 66th Street Fax: (806; 474-2216 Lubbock, Texos 79401 Checked by: WilkersPROPERTIES INC. Lubbock, Texas 79404 \ W 5 W N K �/� t rA Fes' Q iii S O V 1 W_{ C N h00 IL I I N I n I I m I b ® ! I I N C 5 1 I - I - I I I I N Y 1 I I I I I I I I I I f I Iy i I Iy Y N [� � I © I VI I � � ed I q N N� I I I O u I N I � Ir a F Ch I ~ I Y v n of I $ VI x p `o U I G I N I U P J I I u O I � I - g dd I I I z -gvv�Y o �oo,ol- I a h < I r O E e— �[ uo $ o E o w I c a oLaoo I I UO a1�IAJ I + N I b I I 8 i o K I 0. --------.--- ------------------------------------ ------------------------------- o � q N 2�k ■ /{« cIT c0 W N tl jos JOU � yp�� r 'K t;F S S ii y 44, a b n p Y n ^ I '� '0'1 .0.9 L.. o I � m O lf�p I. L � O �--• � Z p O N i n � � .0-.L N N N � o a � m 0 O O U d L E o 1 I s p a � n I o N o a J r O_ � Y U J n n - u a 0 m` t LL Nl'!/ Z v rna a o x l[rD -- v E o Y W o W u° a _ von.1�NJ F .0-,9 O o z a Q 0 r U rz W W W CL O w a DOOR SCHEDULE- Industrial Commercial Manage Development, Management k Brokerage Phone: 806)) 474-2223 Fax: (806) 474-2216 501 E. 66th Street Lubbock, Texas 79404 City Lubbock — Remodel Date: 10/22/2010 Rev: Notes: Area: Wilkerson of 1611 tOth Street Drawn by: JWT, JMS A 11 Lubbock, Texas 79401 Checked by: PROPERTIES INC. FIRBT FLOOR PROJECT NAME: 1811 IOTH —REMODEL MATERIAL DOOR NO. WIDTH HEIGHT FRAME DOOR FINISH HINGES HARDWARE SWING NOTES 1ppA __ -- DOUBLE ADJ. CLOSURE TO ADA REPAIR LOCKING MECHANISM, ADD NEW POWER ASSISTED OPENER 1008 DOUBLE ADJ. CLOSURE TO ADA. ADD NEW POWER ASSISTED OPENER TO WORK W/ DOOR 100A 102A RIGHT 1028 _— -- REUSE AS 109A -_ -- _- RIGHT DEMO 102C -- -- —_ NO DOOR -- _- -- RIGHT DEMO 103A REUSABLE LEFT DEMO/FILL—IN 1038 RIGHT FLP HANDLE 8 LOCK TO OPERATE ON THE OPPOSITE SIDE OF THE DOOR 104 -- -- -- -- -- -- -- RIGHT 105 -- -- -- -- -- -- -- LEFT 106 LEFT 107 RIGHT I OBA FORMER tOBB RIGHT REUSE AS 108A CHANGE TO LEPER LOCK CHANGEtOBB RIGHT DEMO/FILL—IN 109A FORMER 102B CHANCE TO LEVER LOCK h PLATE OVER HOLE RIGHT 1098 _— -- —_ DEMO -- -- -_ RIGHT DEMO/FILL—IN 110 -- -- -- FORMER 1168 -- —_ RIGHT 111 -- —_ —_ -- -- -- CHANGE TO LEVER PASSAGE h PLATE OVER HOLE RIGHT 113A TIGHTEN LEVER HARDWARE LEFT 1138 B .—a. 8 =0' NEW NEW OHD -- -- DOOR OPENER OHD INSULATED PANELS 114 CHANGE 70 LEVER PASSAGE RIGHT 115A RIGHT 1158 REUSE AS 118A RIGHT DEMO/FILL—IN 116A LEFT 1168 REUSE AS 110 RIGHT DEMO/FILL—IN 117 -- -_ RIGHTRIGHT R 118A FORMER 1158 -- -_ CHANCE TO LEVER LOCK RIGHT 1188 REUSE AS 1338 LEFT DEMO/FlLL—IN 119 CHANGE TO LEVER LOCK LEFT UNDER CUT DOOR 120 -- -- -- -- _— -- CHANGE TO PUSH/PULL BLANK ON LATCH RIGHT ADJ. CLOSURE TO ADA WALLADD WNSTOP IN NEW LOCATION. REMOVE k PATCH FLR. STOP 121 LEFT ADJ. CLOSURE TO ADA SPECS., ADO WALL STOP IN NEW LOCATION 122 -- -- -- -- -- -- CHANCE TO LEVER LOCK DOUBLE 12M TIGHTEN LEVER HARDWARE RIGHT ADJ. CLOSURE TO ADA SPECS. 1246 DEMO LEFT DEMO/FILL—IN 125 FORMER 2048 DEMO SWIPE RIGHT N1J. CLOSURE 10 ADA SPECS., NEW WALL STOP 126 CHANGE TO PUSH/PULL BLANK ON LATCH LEFT ADJ. CLOSURE TO ADA SPECS., UNDER CUT DOOR, DEMO FLOOR STOP, ADD WALL STOP 127 FORMER 133C _ REPLACE RIGHT 12B DEMO RIGHT DEMO 129 LEFT 130 -- -- -- __ -- —_ CHANGE TO LEVER LOCK RIGHT 131 CHANCE TO LEVER LOCK LEFT 132A DEMO -- -- BLANKS IN DOOR HINGES AND LATCH R 1328 DEMO LEFT DEMO/FILL—IN 132C DEMO BLANKS IN DOOR HINGES AND LATCH RIGM 1338 FORMER 118E CHANCE TO LEVER LOCK LEFT 133C REUSE AS 127RIGHT DEMO/Fl 1; � , I�iS011 Olt V0 C0�5T Commercial & Industrial Development, Management & Brokerage Phone: 806 474-2223 Fax: �806; 474-2216 501 E. 66th Street Lubbock, Texas 79404 City Lubbock — Remodel Date: 10/22/2010 Rev: Notes: Area: Wilkerson of 1611 10th Street Drown by: JWT, JMS IA121 Lubbock, Texas 79401 Checked by: PROPERTIES INC. DooR ec.e - sEtoNe a.00le PROJECT NA►ff: 1691 lO1H — REMODEI. MATERIAL DOOR NO. WIDTH HEIGHT FRAME DOOR FINISH HINGES HARDWARE SWING NOTES 201 CHANGE TO LEVER LOCK LEFT 202 RIGHT 203A REUSE AS 2038 LEFT REUSE WALL STOP 2038 FORMER 203A DEMO SWIPE LEFT RELOCATE WALL STOP 204A RIGHT 2048 -- -- -- REUSE AS 125 -- -- -- RIGHT DEMO/FILL—IN 205 -- -- -- -- -- -- RIGHT NEW WALL STOP 206 -- -- -- DEMO _— -- LEFT DEMO 207 CHANGE TO LEVER LOCK RIGHT NEW WALL STOP 208 -- -- -- -- -- CHANGE TO LEVER LOCK LEFT NEW WALL STOP 209A DEMO LEFT DEMO 2098 -- -- -- DEMO -- -- RIGHT DEMO 210 -- —_ -- —_ -- -- CHANGE TO LEVER LOCK LEFT NEW WALL STOP 277A RIGHT PATCH WALL, NEW WALL STOP 2178 -- -- -- REUSE AS 2248 -- -- -- LEFT 212 — -- -- -- -- -- CHANGE TO LEVER LOCK LEFT P13 CLEAN PUSH/PULL PLATES, RELOCATE WALL STOP ADJ. CLOSURE TO ADA SPECS. 214 CLEAN PUSH/PULL PLATES. DEMO de PATCH EXIST. FLOOR STOP. ALKI NEW WALL STOP, ADJ. CLOSURE 215 -- -- -- -- -- -- CHANGE TO LEVER LOCK LEFT UNDER CUT DOOR 216 RM,M 217 LEFT 218 LEFT 219 RIGHT 220 DOUBLE ADD FLOOR STOP FOR RIGHT LEAF 221 -- -- -- -- -- -- CHANGE TO LEVER LOCK RIGHT 222 -- -- -- 223 22M 2248 -- -- -- FORMER 2118 -- -- -- 225A -- -- -- REUSE AS 225C -- -- -- j4LE DEMO/FILL—IN 2258 -- -- -- DEMO -- -- -- DEMO/FILL—IN 225C -- -- -- FORMER 225A -- -- -- NEW WALL STOP 226 227 -- _— -- DEMO 226 CHANGE TO LEVER LOCK LEFT TIGHTEN EXIST. WALL STOP 229 230 ST-1B RK.7R NEW WALL STOP ST-2C RIGHT NOTES: 1. REFINISH ANY DOORS W/ SCRATCHES THAT CAN BE REPAIRED. 2. REUSE GOOD CONDITION HARDWARE AS NEEDED. 3. '—= INDICATES 'AS —IS' CONDITION. � 4. WHEN REUSING DOORS, LEAVE HARDWARE AS —IS UNLESS OTHERWISE NOTED. m m Wilkerson m m Wilkerson ►i ►i r Q 2� - ■ � - $! $ § a �§ § m• ■ § � J §! B. | wQ §� w•_ §�� 7 � |� �� ■| �§ i �a� �� �. �■& �. r Q � V Z N W W IL O w IL 6 N O 2 W cr N a m a u 0 z u r o a. � m Y3 m m IN m m m ■ m m m m m ■ ■ m m m m ■ 9R m ■ ■ m ■ m m m m m m m to m m ® m m m ■ m ■ m m m m em ■ m ■ m ■ m m ■ m� m m m. m x j_ ■ m m m m ■ m + d m :� 4 IT1OTA CO ■ m ■ m ■ m m �Ort VOS FIRST FLOOR SF'RWLER PLAN NOT FOR REGULATORY APPROVAL, PERMITTING, OR CONSTRUCTION. JEFFREY TIPPn, ARCHITECT #21e99 SCALE: 3/32- V—O- Commercial &Industrial City of Lubbock —Remodel Dote: 10/22/2010 Rev: Notes: Area: Development, Management & Brokerage A 21 Wilkerson, Phone: 806 474-2223 1611 10th Street Drawn by: JWT, S Fox: �806) 474-2216 Lubbock, Texas 79401 Checked by: 501 E. 66th Street PROPERTIES INC. Lubbock, Texas 79404 �� ` ',t..� .y� 1