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EXHIBIT 10.30
FIRST AMENDMENT TO AND EXTENSION OF OFFICE LEASE
This First Amendment to and Extension of Office Lease ("Amendment") is
dated for reference purposes as of October 1, 1995. This Amendment amends that
certain Office Lease ("Lease") dated as of December 1989 between RAYMOND
BUSINESS CENTER, a California limited partnership, as Landlord, and Falcon
Holding Group, L.P., as successor in interest to Falcon Holding Group, Inc., a
California corporation, as Tenant, with reference to the following facts:
RECITALS
A. The initial term of the Lease expired on September 30, 1995.
Although Tenant did not exercise its option to renew the Lease, both Landlord
and Tenant wish to extend the term of the Lease at an agreed upon rental.
B. During the initial term of the Lease, Tenant leased certain
storage space from Landlord, and used additional parking, pursuant to an
unsigned written agreement evidenced by a draft lease amendment and a memorandum
dated April 26, 1994, from Jim Ashjian to Scott Teague. The parties wish to
defer the $13,860.00 additional rent called for in such unsigned amendment and
to provide for the rental of such storage space during the extended lease term.
C. Landlord and Tenant wish to make certain other modifications to
the Lease as set forth below.
AGREEMENT
Now, therefore, in consideration of the mutual promises, covenants, and
conditions herein contained, the Parties hereto agree that the Lease is amended
as follows:
1. Definitions. The capitalized definitions used herein shall have
the same meaning as contained in the Lease unless expressly stated herein to the
contrary.
2. Extended Term. Article II of the Lease shall be deleted in its
entirety and replaced with the following:
"Landlord leases to Tenant, and Tenant leases and accepts from
Landlord, the PREMISES for an additional term of ten (10) years and no months,
commencing on October 1, 1995, and ending on September 30, 2005 (the "Extended
Term"). The RENT COMMENCEMENT DATE will be October 1, 1995. Tenant shall have
the option to extend the term of this Lease after the expiration of the Extended
Term for one (1) additional five year period, to commence upon the expiration of
the Extended Term, upon nine (9) months' prior written notice of its intention
to exercise such option. At the commencement of such additional
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term, if any, the Basic Monthly Rent shall equal the greater of the last Basic
Monthly Rent for the month immediately preceding the commencement of the
additional term, or ninety-five percent (95%) of the FAIR MARKET RENTAL RATE as
defined in Section 22.11."
3. Rent. Section 3.02 of the Lease shall be deleted and replaced
with the following:
"3.02 RENTS. Tenant shall pay to Landlord the following RENTS
for the PREMISES.
A. BASIC RENT. The Basic Monthly Rent for the PREMISES
for the first five (5) years of the Extended Term shall be twenty-eight Thousand
Six Hundred fifty-six Dollars ($28,656.00), due and payable on the first day of
each calendar month. The Basic Monthly Rent for the period commencing October 1,
2000 and ending September 30, 2005 shall be equal to (I) ninety-five percent
(95%) of the "face" or "stated" rental rate (including any escalation thereof if
escalation's are contained in such "Comparable Deals," as that term is defined
below), at which tenants, as of the commencement of such period are leasing
non-sub-lease, non-encumbered, non-equity space comparable in size, location and
quality to the Premises for a term of five (5) years, which comparable space is
located in first-class office buildings in Pasadena, California, comparable in
age, location, services and amenities (the "Comparable Deals").
B. VARIABLE RENT. Tenant's PERCENTAGE SHARE is 53%.
An amount equal to 53% of all OPERATING COSTS incurred by Landlord in connection
with its ownership, maintenance, and operation of the BUILDING computed on a
periodic basis, as set forth in Article 3.03 B, shall be due and payable in
equal monthly installments on the first day of each calendar month. With respect
to parking fees incurred by Landlord in connection with engaging a parking
service to operate the outside parking facilities for the PROJECT, Tenant's
PERCENTAGE SHARE is 50%. An amount equal to 50% of such parking expenses shall
be computed on a periodic basis, as set forth in Article 3.03 B, shall be due
and payable in equal monthly installments on the first day of each calendar
month.
C. ADDITIONAL RENT. Any other amount which Tenant
becomes obligated to pay to Landlord pursuant to the terms and conditions of
this LEASE, which amount shall be due and payable within five (5) business days
of receipt by Tenant of a NOTICE from Landlord enclosing an invoice for such
amount."
4. Computation of Rents. Subsection A of Section 3.03 of the Lease
shall be deleted. The first sentence of Subsection B of Section 3.03 of the
Lease shall be deleted and replaced with the following:
"Throughout the Extended Term, Tenant shall pay its PERCENTAGE
SHARE of 53% of all annual OPERATING COSTS in excess of the average OPERATING
COSTS for the calendar years 1991-1995, excluding therefrom, the water proofing
expenses incurred in 1995 in the amount of $11,269.00 and the parking fees
incurred in 1995 in the amount of $25,223.00 in
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connection with engaging a parking service to operate the outside parking
facility located in the PROJECT."
5. Lease of Storage Space. Subject to Landlord's right of recapture
as set forth herein, Landlord leases to Tenant, and Tenant leases and accepts
from Landlord, the Storage Space described in Exhibit A and consisting of
approximately 4700 RENTABLE SQUARE FEET in the BUILDING and PROJECT ("Storage
Space").
6. Rent for Storage Space. In addition to the Basic Monthly Rent
and Variable Rent set forth above, Tenant shall pay to Landlord monthly during
the Extended Term $.50 per RENTABLE SQUARE FOOT, or $2,350.00 per month based
upon the assumption that the Storage Space contains 4,700 RENTABLE SQUARE FEET.
Tenant acknowledges that Landlord has agreed to rent such Storage Space computed
on the basis of $.50 per RENTABLE SQUARE FOOT based on the assumption that
Tenant will provide certain TENANT IMPROVEMENTS to the Storage Space as provided
in paragraph 7 below.
7. Conversion of Storage Space to Office Space. Should Tenant,
prior to the expiration of the Extended Term, elect to convert all or a portion
of the Storage Space from storage space to office space, Landlord will pay the
fair market Tenant Improvement costs associated with such conversion consistent
with similar commercial lease space in the same area of Pasadena. The quality of
the TENANT IMPROVEMENTS for the Storage Space shall be substantially consistent
with the quality of the TENANT IMPROVEMENTS for the PREMISES. In the event
Tenant fails to convert at least 2,200 square feet of the Storage Space to
office space during the first two (2) years of the Extended Term, Tenant shall
pay to Landlord at the end of such two (2) year period an amount calculated by
multiplying $13,860.00 by a fraction, the denominator of which shall be 2,200
and the numerator of which shall be (2200-X) where X equals the amount of space
so converted (the "Non-Conversion Penalty"). For example, if Tenant converts
1,500 square feet of space, the Non-Conversion Penalty payable to Landlord would
be $4,410.00 computed as follows:
(2,200-1,500)
$13,860.00 x ------------- = $4,410.00
2,200
In the event Landlord exercises its right to recapture space
as provided below, and the remaining Storage Space is less than 2,200 square
feet, then the formula set forth above shall be modified accordingly such that
the Non-Conversion Penalty shall be calculated by multiplying $13,860.00 by a
fraction, the denominator of which shall be Y and the numerator of which shall
be (Y-X), where X equals the amount of space converted and Y equals the number
of square feet remaining in the Storage Space.
If Tenant converts any portion of the Storage Space to office
space, the rental for such converted space shall be increased to $1.95 per
square foot as of the date construction is substantially completed and Tenant
has occupied such space for use as office space.
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8. Right of Recapture. Landlord shall have the right, at any time
upon sixty (60) days' notice, to recapture up to 2,500 square feet of the
Storage Space, or, upon seventy-five (75) days' notice, to recapture up to a
total of 3,000 square feet of the Storage Space. If Landlord exercises such
right of recapture, the Storage Space shall be reconfigured in such a manner as
to insure that Tenant has reasonable access to the Storage Space.
9. Parking. Paragraph 21.01, TENANT'S PARKING, is amended to read
as follows:
"Tenant shall have the right use the BUILDING's parking
facility for reserved or assigned underground parking for up to forty (40)
automobiles (30 single and 10 tandem spaces) at the rate of $1,385.00 per month
(the "Parking Fee"). In addition to the foregoing, Tenant shall have the right
to use the surface lot adjacent to the BUILDING for the parking of up to
twenty-eight (28) automobiles in designated parking spaces only. Tenant's right
to use the parking facility shall be in conjunction with the other tenants of
the BUILDING. Tenant agrees to be bound by the rules and regulations governing
the parking facility, subject to availability and to the rules and regulations
governing visitors parking from time to time adopted by Landlord.
10. Operating Costs. The following sentence shall be added
immediately after Article XXII Paragraph B 11:
"12. In no event shall OPERATING EXPENSES include parking fees
incurred in connection with engaging a parking service to operate the outside
parking facility located in the PROJECT."
11. Lease. Except as expressly modified herein, the terms and
conditions of the Lease shall remain in full force and effect.
TENANT LANDLORD
FALCON HOLDING GROUP, L.P., RAYMOND BUSINESS CENTER,
a California Limited Partnership a California Limited Partnership
By: ____________________________ By: 220 N. Lake, Inc.,
its General Partner its General Partner
By: ____________________________ By:_____________________________
______________, its_________ ______________, its__________
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