HomeMy WebLinkAbout2008 10-13 EDAP EDA MEETING
City of Brooklyn Center
October 13, 2008 AGENDA
1. Call to Order
—The EDA requests that attendees turn off cell phones and pagers during the meeting. A
copy of the full City Council packet, including EDA (Economic Development Authority),
is available to the public. The packet ring binder is located at the front of the Council
Chambers by the Secretary.
2. Roll Call
3. Approval of Agenda and Consent Agenda
—The following items are considered to be routine by the Economic Development
Authority (EDA) and will be enacted by one motion. There will be no separate
discussion of these items unless a Commissioner so requests, in which event the item will
be removed from the consent agenda and considered at the end of Commission
Consideration Items.
a. Approval of Minutes
1. July 14, 2008 Regular Session
S 4. Commission Consideration Items
a. Resolution Approving Lease Agreement with Brooklyn Hotel Partners, LLC for
the "D" Barn at the Earle Brown Heritage Center and Authorizing the EDA
Executive Director to Execute Said Agreement
•Requested Commission Action:
—Motion to adopt resolution.
5. Adjournment
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EDA Agenda Item No. 3a
MINUTES OF THE PROCEEDINGS OF THE
ECONOMIC DEVELOPMENT AUTHORITY
OF THE CITY OF BROOKLYN CENTER
1N THE COUNTY OF HENNEPIN AND THE
STATE OF MINNESOTA
REGULAR SESSION
JULY 14, 2008
CITY HALL COUNCIL CHAMBERS
L CALL TO ORDER
The Brooklyn Center Economic Development Authority (EDA) met in Regular Session called to
order by President Tim Willson at 8:20 p.m.
2. ROLL CALL
President Tim Willson and Commissioners Kay Lasman, Mary O' Connor, Dan Ryan, and 1Vlark
Yelich. Also present were Executive Director Curt Boganey, Public Works Director/City
Engineer Todd Blomstrom, Community Development Director Gary Eitel, City Attorney Mary
Tietjen, and Carol Hamer, TimeSaver Off Site Secretarial, Inc.
3. APPROVAL OF AGENDA AND CONSENT AGENDA
Commissioner R an moved and Commissioner Yelich seconded approval of the Agenda and
Y
Consent Agenda, and the following item was approved:
3a. APPROVAL OF MINUTES
1. June 23, 2008 Regular Session
Motion passed unanimously.
4. COMMISSION CONSIDERATION ITEMS
4a. RESOLUTION NO. 2008-09 ACCEPTING BID AWARD AND AWARDING
CONTRACT FOR SALVAGE
Mr, Eitel introduced the item and stated the purpose of the proposed resolution.
Commissioner Lasman moved and Commissioner Yelich seconded adoption of RESOLUTION
NO. 2008-09 Accepting Bid Award and Awarding Contract for Salvage.
The following correction to the July 8, 2008, memorandum on the proposed resolution was
noted:
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Budget Issues: The demolition cost of the former Brookdale Ford
property will be paid from proceeds from Tax Increment Financing District 3.
Motion passed unanimously.
4b. DESIGN APPROVAL FOR THE PEDESTRIAN CORRIDOR LINK
CONNECTING THE EMBASSY SUITES HOTEL TO THE EARLE BROWN
HERITAGE CENTER
Mr. Boganey introduced the item, discussed the history, and stated the purpose of the EDA's
design approval for the pedestrian corridor link connecting the Embassy Suites Hotel to the Earle
Brown Heritage Center.
Mr. Eitel provided a PowerPoint presenta.tion and answered questions of the EDA on the
ro osed desi n for the edestrian corridor link connectin the Embass Suites Hotel to the
P P g P g Y
Earle Brown Heritage Center.
Commissioner Yelich moved and Commissioner Ryan seconded to approve the design of a
glassed wall pedestrian corridor connecting the Embassy Suites Hotel to the Earle Brown
Heritage Center and authorize the necessary changes to the Pedestrian Link Corridor Exhibits A
B and Easement.
Commissioner O'Connor voted against the same. Motion passed.
5. ADJOURNMENT
Commissioner Lasman moved and Commissioner Ryan seconded adjournment of the Economic
Development Authority meeting at 8:37 p.m.
Motion passed unanimously.
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EDA Agenda Item No. 4a
City of Brooklyn Center
A Millennium Community
TO: Curt Boganey, City Manager
FROM: Jim Glasoe, Director of Community Activities,
Recreation and Services
DATE: October 3, 2008
SUBJECT: Resolution Approving Lease Agreement with Brooklyn Hotel Partners
LLC. for the D Barn at the Earle Brown Heritage Center, and Authorizing
the EDA Executive Director to Execute Said Agreement
Recommendation:
Staff is supportive of the lease and recommends its execution, as it provides a
complimentary amenity for the conference and events portion of our operation.
Background:
During negotiations for a revised development agreement for a hotel next to the Earle
Brown Heritage Center, the developer (Brooklyn Hotel Partners LLC.) approached the
City regarding the possibility of leasing the current "D" Barn space for a spa operation.
As the "D" Barn would be connected to the future hotel via an internal link, staff saw the
potential benefits for the EBHC operations and for the developer of having a spa
operation connected to each facility.
Staff has worked with the City Attorney's office and Brooklyn Hotel Partners LLC. to
develop a lease agreement for the "D" Barn space that is acceptable to both parties. The
basic parameters of the lease are as follows:
Lease commences December l, 2008.
Base rent of $18.00 per square foot. (based on an anticipated lease of 4,100 square
feet) The $18.00 per square foot rate includes Common Area Maintenance fee of
$3.00 per square foot and property taxes of $2.00 per square foot.
Lease Term to be ten (10) years with two five (5) year extensions.
nsumer Price
Index. no decreases if
Bi-annual rental increase based upon the Co
the
CPI reverses
Tenant res onsible for all utilities and interior maintenance.
P
Landlord responsible for all exterior building maintenance.
Rent abated for three (3) month "build out" period.
(If Certificate of Occupancy is approved prior to the end of the three month
period, rent will become due from that point forward.)
All building remodeling plans require City approval.
No "build out" costs will be absorbed by the landlord.
6301 Shingle Creek Parkway Recreation and Community Center Phone TDD Number
Brooklyn Center, MN 55430-2199 (763) 569-3400
City Hall TDD Number (763) 569-3300 FAX (763) 569-3434
FAX (763) 569-3494
www. cityo fbrooklyncenter.org
Budget Issues:
The current "D" Barn leases generate approximately $68,462 annually. The proposed
lease for Brooklyn Hotel Partners LLC. would generate $73,800 in the first year. As we
are not anticipating any financial participation in the build out costs, this represents a
7.3% increase over current lease rates.
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Commissioner introduced the following resolution and
moved its adoption:
EDA RESOLUTION NO.
RESOLUTION APPROVING LEASE AGREEMENT WITH BROOKLYN
HOTEL PARTNERS, LLC. FOR THE "D" BARN AT THE EARLE BROWN
HERITAGE CENTER AND AUTHORIZING THE EDA EXECUTIVE
DIRECTOR TO EXECUTE SAID AGREEMENT
WHEREAS, Brooklyn Hotel Partners LLC. has approached the City regarding
the possibility of leasing the current "D" Barn space at the Earle Brown Heritage Center for a spa
operation; and
WHEREAS, staff recognizes the potential benefits for the Earle Brown Heritage
Center operations and for Brooklyn Hotel Partners LLC. of having a spa operation connected to
each facility; and
WHEREAS, staff has prepared a lease agreement with Brooklyn Hotel Partners
LLC. for tenant space in the "D" Barn of the Earle Brown Heritage Center.
NOW, THEREFORE, BE IT RESOLVED by the Economic Development
Authority in and for the City of Brooklyn Center, Minnesota that:
1. The attached lease agreement with Brooklyn Hotel Partners LLC. for
tenant space in the "D" Barn of the Earle Brown heritage Center is hereby
approved.
2. The EDA Executive Director is hereby authorized to execute the
agreement.
October 13, 2008
Date President
The motion for the adoption of the foregoing resolution was duly seconded by Commissioner
and upon vote being taken thereon, the following voted in favor thereof:
and the following voted against the same:
whereupon said resolution was declared duly passed and adopted.
GEASE
THIS INDENTCJRE (the "Le�ise") �nacte �nd e��tered ltlt0 021 tf115 i� �ty c�f Novemb�:r,
2Q07, hy and between Ecot�odlic Uevefaj�tncnt Authority of� thti: City oi.' Broe�klyr� Cet�ter, �i ��ublic
f3ady cc�rpo�°ate �u��i politic ut�der 1VIi��nesota law, whi�se adciress is c/o General M��na�;er, F..��r1e
I3rown Herita�;e Cent.er, 61.5.5 Ea.rle 13rawn Urive, Broc�klyn Genter, MN _55430 (referrecl t� as
°L�indle�rd") and L�roc�klyn Hotel Partricrs, LLC, a limitecl lial�ility coitlpany uncjc:r Mint�e5ota law,
�vhose �ddress is c/t� Oliver C"t�m.pa��ies, 562�) Grar�d Averiiie, Suitc 2, Duluth, MN 55�5()?
{hcrtinaf�ei ref�rred to as "Tena�3t"},
W I']'N E>SS �'1 1:
ARTICLL> l— BASIC LEASE PRC}VISTONS
l.1 LANDLQKD: Qrooklyn Center �cono�nic Develc>p�nent nuthc�rity
fil SS Eai•lc Brown Drive
13rooklyn Ccnter, MN 554�0
1.2 TEN.ANT: Brooklyn Hotel Partners, l.,],,C
G/o Olivcr Cc»>ipanies, Ltd.
5629 Gr��nd Avenue, Suite 2
Dulutli, MN SSYO7
1.3 DEMISED PK�MISE5: Tl�e building known �ts "f3u.il.d.ing D", znore s�ecific�lly
ident.itied on Exhibit A attac}ied he.retcz, Gonsisti�ig of
a.nproximately 4,i00 squaee feet a.nd located within the
c�m��lex known as the Earle Brown Herita�;e C'enter
("Cent�r")
1.4 ORiGINAL'I'�;[�M: Ten (IOj ycars
I.5 1'E.EZM COMMENCEMENT
Dt�T�:
l .fi RENT' CC)MMENCEMENT
DnTE: Three months after `I'erm C:csn�iT�ence��tiex�.t Date c7r issu��nc:e
of Certificate of Occup��ncy, whichever is earlier
t.fi RENEWAL'1'ERMS: T�vo renewals of five years eacli, ��s more 5pecitica.11y set
t��rth �t Section 2.3 c7f this LeaSe.
1.7. BASF REN"I': Seventy-'T'hree'Ch.ous�.tid Ei�ht H�indred Dollars ($73,80(?.t)(1
per annttm}, payal�le in mor�tlZly installments of Six
Thousa��ci One Hunrlreci F'ifly Dollars ($(�,150.p0) ori or
l�efi�re fhe licst day of ezGh montl�, �ubject t� adjustment as
set foY�fh in Article 3 t�elow.
3?4G(>Ov5 C:AkI BR305-2
ART'ICLF Ti GRANT; "1'C;RM AND EXTFNS[ON OPTIUNS
2.1 D�MISLD PRFMISES. In ct�nsideration of the rents, cavenants and agreemelits
herei�i rese�ved and cont.ainf;cl on tl�e plrt of Tenant to be perft�rmed, Landlord does herehy IcasL t��
Tenal3t the builc.iing known as "Building D", lcfcated on thc parcel Of` IflTl(� St �)23S Eat"lE'. E3C()Wfl
Drive, F3z Center, Minne�ota, County of Hennepin, St<ztc ��f M.if�nesota le�ally describecl cm
Ex[�ibit A attacheci het (hereir�aftc;r r�;f'erred t� as the "Dcmiseci Pi As pai�t of the tease
of the De:mised Premises, L,<�ncfilord hereby leas�s to Ten�1t ali fixtures ancl eyuipment loc �ife(.1 1t1 QI'
on tlie Demised �'remises. T}iroughout tlie ter�n oi� this T.:ease, 'Tei�lrit shall h��ve: {a) the exclusivc�
right to use the Ieasel�t�ld imprc>ven�ents in the Demised Preinises; and (t>} the ncn�i-exclutiive right tc?
use d�e parkic�g lot.5 in cc�m�non with Laneilorci snd otllcr tenants of the; C'e►lter and their r�5{�ective
a�e��is, ein�Ioyees, ancl i��vitees. Tcnant's nc:�n-exclusive use of the paxkin� lots shall he sul�jec:t io
such reas<�l Iiizlitatit7ns as Landlc>rd niay fiom tiine to time ii��.pcise, as (ong as such lirtiit��tion�
do ne�t interte�•e in a��y material respect with 'I'en�.nt's 1 tc� c>bta.in aecess tc� the De�niseci
Preinises.
2.2 'l'ERM �;QMMENCGMENT. The teriri aE this Lease shall cornmence u�t�n
200 and tlie lease sh��ll expire an 201_, subject to
extension as provid�d in sc:ctio�l 2.3 below (the "Terrn Ext�iration Date"}, UtlIBSS S{)p11E:i" �eflllitl:ltt;Cl
as ��r in tliis C�ease.
2.3. EXTENSION O�'T10NS.
2.3.1 First Ext�nsic�n O�ition. La.t�dlorci hereby grants Tenant tl�e option {the
FIfSC LXt�IISIp[1 C)L7t10I1" t� extend the Terrx� of this Lease for �ve years (the "Fi��st Extended
'Tei'i1�") ot� and subject t� the terms of this Section 2.3. The l�i��st Extenci�:c3 Ter�Y�, if any,
�hall ecfmmeFiee on the clay following t}�e then-curreFlt Term Expiration Date, arid sl�all
conti��tae fc�t' a pea-iod of five years thereafter. Tenant's optic�n to extend the Term shall he
bolh: (a) upon conc�iti�f� (which may be waiveci by Landi<�rd in its sole discrekion) that no
Event of Default exists at t11e ti�ne of the givii�g by Te�iatit of its n<�t.ice of exercis� ��nc� (n}
upon fi�rtlier condition (��vhic� may be waived by Landl�rd in its sole discretion} tl�at nc? Event
of Default exists at the time of the ctjmmencement of the I�irst Extended Term. If Tenant
elects to exercise the Fii•st Extensicm O�ti�n, Tenant shall give Landlc�rd n�tice {a "First
�xtension Notice"j on c�r before the daie which is nic�e rnonths prior tc� th.e then-applicable
'Terfn F.,�Piratian Dat�. From and afrer comincncernent of the �i irst Exterided Term, al] of the
other t.erms, covenants and conditians of t.he I.ease sllall a�p1y, and references to the 'I'e�•m
shall l�e deemed to include the First Extended Term.
1.3.2 Secot.�d Extensit>n Ot�tio��. Lancilord her�:l�y �r.ants Tenant the o�tion
(the "Second Extensian (h�tion"} to extend the Term e�f this Lease for five years (the "Second
Extendecj Term"j on and sul�ject tc� the terms of this Sectic�n 2.3. 'Ttle Seco��d Ext.encted Term,
if any, stzall commenGe on the last day c�f t.he First Extencied Term, and 517�t�I COI1tI11LlP. fior a
}�eric�d of five years tl�ierea#ter. Tenant's option ro extend lhe Terni shall l�e botl�: {a) upon
conclition (which may l�e waived by Landlord in its sole di5cretion) that no Event c�f Dc�fault
exists at tl�e tin�e af the giving l�y Tez�ant: c�f its notice of exercise; and, (b) �ipon further
324b60vS CAft I�R305-2
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condition (which n�ay bc waived by Landlord i�i its sole discreti<�n) that no Event of I�efault
exists at tlze time c�f the coinmencenlent of the Second Extended Teri31. If Tei�ant elects tc�
exercise the Secontl Extensian Optian, Tenant shalt give Landlord nokice (a "Sei:anci
Extension Notice") ai1 c}r before the date which is nine n�c�nths prior to the then-applicable
Term �xpirati�n I7�te. Fron� ancl after commencement c�f th� Sec��nd Extencieci Term, a[I af
t.he c�ther teritls, covenants anc� canditions of the Lease shall a�?piy, and r.eferences to the 'I`ern�
slialt i�e d�emec� to include d�e Secc�nd Extended Terzn..
ARTICI.,E IlI RE;N`I�
3. t FZENT COMMENC'EMENT. Tenarit's obligation to pay r�nt will cc�namence on
the �:arlie�� c�f tliree montt�s aft.er the '1'erm Cotnmencc;ment Date or the date that a ccrtificate of
ocet�pancy is isst�et� for Tenant's occu}�ancy of t.he Demised Preti7ises (the "Rent
Conlmencement I)ate").
3.2. RENT. Follawing the Rent Cominencement and clurin�, the t�nn h.ereof 'l�ci�ant
agre.es to pay to L�IICJIQI'l� ��.t Eacle Brc�wri Heritage Center, 6 i 55 Ea� E3rown Dt•ivc, Broc�klyn
Ct.r�ter, Minnesc�ta .55430 or at such otl�er place 1s the Lancilord m�y frcxli titr7e to lime designate in
�vritin�, "t3ase rent" foi• the Dei�ziseci Premises as set fortli 1t Section 1.7 above. Such }�ayn�er7ts
shall be made ir� ac�vance on the first c�f' each month, with��ut deductian or set-c�ff: Cteilt for al�y
parl:ial r�it>nt7� sh.alt be �zro rat�,�cl.
3.3 AD1t1ST1VIEN'TS TO RENT. �n ever•y secontl annual anniversary of the
Comn�encenlenl Uate during the Original and any Extended Terrns of this Lease, the Base
Rent SPlatl Uoth l�e adjusted in tl�e following matmer:
(a) T1ie Cansumer Price Index for all urban consurners (E�ase year 1982-84
100} for the Unit�ed States, Midwest Urban Region, published l�y the l)nitect States
De��art�nent of Lal��r, Bure�u ot Labor Statistics ("Index"}, which is published most
imi�tediately ��receding such anniversary date ("Extension Index"), sl�ali l�e coin��aced
witt� the �r�dex pubiished mc�st immediately preceding the Cotnrneracemeiit Uate oi� ��rior
anniv�rsary, as appropriate ("Beginning Index").
{b} It'the Extez�ioi� I«dex has increased aver �he Beginning inciex, the Base
Rent payai�le dut�in� the succceding year shali i�e set by multiplying tt�e 13a5e Rent tc�r
tl�e expiring year by a f'raction, the num�rator of wllich is ti�e Extension Index and the
denominator of Evhich is t11e Be�inning Index.
(c) If the Extei�sint; Inc�ex has decreased I'rt?m the Begi�u�ing Ind�x, no
adjustinent slYall be made tc� Base Kent.
(d) If tl�e Index is c:hanged so that t�ie base year differs f'rc�m that used as of
the publicatian dat� most immediately preceding the date the expiring year cornrr��:�lced,
the Index shali be converted in accorda►tce wit.h the conversion f;�ctor pubtished by the
I_I,S. Departnlent of I_,ahor, Bureau of L,abor Statistics.
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(e} If the Index is disc�ntimied or revised ciui the Term of this Lease,
sucf� c�ther �;overnment index ar cornputation with which it i� re�laced Shall he uscd in
c:�rdet to ol�tait� s�3bstant.iaily the sa�ne result as would be obtained if lhe Irt�ex l���d nc�t
been diseontinueci c�r revised.
3.4 ADDITIONAL R:ENT. Any ather char�cs to be paitl by the Tenant pursuatzt to tt�e
prc>visic�ns of any other sect.ioi�s of this Lease shall l�e desi�lated as "adclition�al rent". For
convenience, Tena.nt may include payrn�;�t f��r such charg�:s and the "bas�; rent" in one rt�oi�thly
clleck, provic�e�l a1l "addit.ional rent" iten�s are shown separately from °base i•ent" therec�n. Such
"additior�at rent" shall noi For any reasc�n be consideri:d as "b�zse re.nt" as herei��al>ove definud.
Faihu of Tenlnt to pay "additiot�al r�:nt" shail give La.nd.lord the ri�;ht to dcclarc an e:vent of
detau.lt.
3.5 R�NT DELINQUENCIES. Should thc Tetiant for any rea4oti ti�l�atsoever, fai) to
��ay, ���herl the s��.n�e is due ancj ��ayable, any °base rent" anei/or "a.dditiona[ ret�t" anci shoulci sa.id rent
not be paid ��vithin ter� (10} days of due date, Tenant shall �ay a Iate; pen��3ty eyual to five p�;rcent
(S°�o) of total rents ciue. ln acldition, a13 u�lpaid rei�t�s shall bear interest fr<�m tl�e ciate d�ae to the date
��f payi�t�ient at thc r��te of two percent (2�'0) per annum in �xcess af the prii��e�rate as yuc>ted by t1S
B��Zk, N.A. to its best custoiiiers, ar the Lligl�est rate perct�itted lay la�v, tivhichever is less.
3.C� NET-NET LEASE. Tiiis is a net-net (ease; "Mase rent" slaali be net af all costs and
expenses of� �74��ning ancl opUrati��g the Demised Premises, including maint.enar�ce ancl in;;uranee,
exce��t as �rovided at Sections 6.1 ancl 9.2 of tllis Lease. Tenant shall be responsible ti�r all costs
and cx��enses of �>«mirx� ai�d o��erating the Derniseci Pr�nises, but excltzding rcal estate ttixes and
installn�ents of spccial ass�:ssm.ents and except as oth�cwise expressly provicled ��erein.
ARTICLE 1V —"I'AXES AND SPECIAC, AS5LSSMENTS
4.1. TAXES AND SPECIAL ASSESSMENTS. Provideci ��at Tetlant shail timely m�zke
all pay�nents c�f rent required hereui�clet L��nc�lord shall }�ay l�efoz�e cielinquei�t ai1 real est:ate taxes
and ii�stalicxaerlts af' special assessinents tivit}� respect to the Dcmised Pren�ises due a��d payable
during the terrn c>#`tllis Lease.
4.2. PETtSONAL PROPERTZ' TAX.ES. I'enant shall pay hefore delinque��cy all taxes,
ass�.ssmei�ts, license fees, a��d at�ter ctlarges that a►•e levie.ct and assessed against "I'e��a�it's
��ersonal prcyj�erty i�istalled or located in or on tlle Demisect Premises anci t:hat become payablG
during t.l�e term of tl�is Lease.
ARTICI.E V- USE UF PREMISES
5.1 TEN�NTS US�. Dui•ing the tenn of this Lease, the Demiseci Premises shall be
used solely [or t.he pur�ose af a salan anci spa.
5,2 COMPL;IANC"C WiTH LAVVS ANU KEGt1LATIONS.
3zac,r����-s cni� �3R3os-z
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(a) Tenant co>>enants and a;�ees that at all tirnes during ihc term hereof it will n�taintain
ancl c.onduct its business insofar as the sa�Y�e x•elates to fl�e c�c:cupai�cy of the De�nised Pre;mises in
such a inanner �ialcl under such re�ulations tlial are in strict c.c�mpli�u�ce with �ny and an applicable
gavernmental �ndlor c�u�isi-govel7ii�lental lavvs, niles, rebulalion5 a.nci urd��rs, as well as <�.ny and a.11
a}�plic;able prt}visions of insurance underwrit.ers at the llemisecl Frernises and the Declaratipn.
T`enant shall indenzirif'y Landlorci, Lancllt>rd's insurer, ancl the pro�erty of Lanc3lorcl against any a»d
�ill claiil�s or losses or a�tions c�r ca:uses of acti�n resulting [i�o��� Tei�ant's failure to cc�tn}�ly �vitl.� said
l,u��s, ��ules, i�i;gulations and ordecs and under•writing provisions.
(b) Tei�ant hereby agrecs to n�air�ta.in the prcmises anci opei its l�usiness in
accardanee �vit}.i the ADA (the Amezic�u�s With Disabilities Act (ADA), codified 1t 4� U.S. SS
12i�1 eT sec�.) F��ilure to cj� so sh�ll i�perate as an event of def�3ult and a breacl�i of thL I.eatie.
Amon�; other reyuirements that may a.��ply to the Demiscd Pr����ises, Title TIT of� tl�e �l:)A requir�s
�>wne��s and t.enar�ts of "public accommo�iatio�ls" t0 C�1710Vt; �7�2'CIGTS tll Ot(�E;t" tC) ��11<�w access by
disabled ��ersc�ns and to pr<.>vide auxiliary aids and servic�;s fcn� heariilg, vision ar s��e�eh iin}�aireci
persans. lletailed regulations can be found at 2$ D.R.F. Part 3G
5.3 A.FFIRMATIVE CUVENANTS OF TENANT. Without in ��ny way li��niting or
restrictii�g other u�venants of Tenant elsewhere in tf�is Lease contained, the Tenant afftrr��ative;ly
covc;ti��nts anci agrees as fo11c>ws:
(:z) Tenant sh�ill neither perrnit or suffer atid cat3duct, noise, odor ar otl�er nuisance ir�,
cm or about s��id Demiseci Premises to ill"iI70y Ul' C�1Shlfh 3Tiy �eC5C7115 UCCtI(�}`lll� �C�J�GCIlt �CGtiIiSGS OP
GO1T1ll10T1 t1t�aS;
(l�) Tenant shall kceJ� the Deniised Premises, ineludin�; all se:zvice and/or loadir�g arc;a5
for t.he Uemised Pretnise;;, free tiom �II litter, dirt and obstructions;
(c) Te��ailt shall an for an� accept deliveries only at such tin in the arc�as, arlc�
thrisu�l� ttle enlrat�ces desi�late� f��r such pucpose by Landlor
(c3) Tenant shall keep s�i.icj I�e�T�ised Pre�nis�s clean and in the sanitaly u�netition
z•equired by orclinance az�d regulations c�f any governmei�tal or quasi-govet unit havir�g
_jua�isdiction;
(c.) Tenank shall neitl�er pert��it noi• suk�er the Demised Prernises, c�r tlle wa115, cc.�ilings
or t7acit•s ll�ereot'tc� l}e endan.gereci hy overlc�ad.in�;
(t) Tenat�t shall praperly 1111111t�1[1 the HVAC systet�� in the Demised F'remises,
incIuding �r��uring an annual inspection therec�f and, at the ��ption of the I..ancilc�rcfi, subscribin�; t.o a
service selected by ttle Landlorc3 for suci� i7�aint.enance anci p�ying the fees tl�erefor;
{g) Tenant shall not use ar permit the Demised Pre�nises to be used for aiay nurpose �r
p��a'poses c3ther tha.n th��t set fo�•th in Sectior� .5.1 herec�f;
(h) Ten�urt �vill cani�•o3 its patrons to prevent dnuiken, �it�t•uly or obnc�xious behavior.
�za6<,n�s cat r�k3a5-2
5
ARTIC,LE Vi MAINTENANCF., AND REt AIRS
f3.1 LANDL(�RT?'S MAINTENANC AND RLPAII� OBLItJAT10NS. Subject to
Article X, Land.lor.d slaall operate, maintain and make a11 necessary repair� and replace.Enents to:
(a) t�ie structural �}�rtions c�f the Buildiitg, (b) t11e exterior walls of the Buildin�;, includin.� glass
�i�id �lazirtlg, (c) the raof, (cl) exterior wittdows, (e) side�valks, p��rking areas and lancjscaped Gireas
acijace«t ta the Demiseci Prei�lises, and (f) daml�e (ot��er th���� casu.alty cia.mage) c�usid by lhe:
ne�;ligcnce ar willful t171SC:0[1CIUC� O� L ancllord or its a�ents, ernployees cir contract�rs, in each
case, througliout tlle T�rrrz_ Tl�e repair at�d replacement Oh11�;�3�iO1lS of Landlord (ollo�ui.n�
damage tc� ar d�struction of'tl�e Demised Premises as a result of eondemnatic>i� or casualty are
governecl by Article X, not by this Section G.l.
Ei.2. TENANT'S MAINTENANCE AND REPAIR OBLIGA'I'IUNS. Subiect tc.�: (a)
reasonable wear and tear {but oi�ly to nn extent consistent �uith the Demised Pr�;rriises remaining
in gcic�d conciition and r�pair} {I�� G1Sllalty C��1113�� f()P WI11CI] It IS i10C l}le Y�S��Qi1ti1��►llty Of '7"encuit
to perforn� restoration or re�air in accc�rdance with this I.,ease; (c) dtunage (�ther than casualty
dama�e) causeci by the negliget�ce c}r deliberate u�iscon.duct of Lancllord or Lancjlc�rd's agents,
em��loyees or cantractors; (d) damage that is coverec� by the property anct casualty insur�nce
��olicy or policies on tlie Demised Premises requi� ta 6e maintained hy T.rtndlord under this
Le.ase (or e�ould Ue covered if Lailcilord were maintainit�g such ir�surance) (tc� the exte��t actually
c;in�c;re��, ta�ing ir�to i1CC011llt t�l� deductibles, po(icy limits and exclusions of� such ia�surance
pc�licies); (e) damage that is Lancilord's obligation uncier this Leasc to r•emedy or thrit results from
Laiicllorcl's failure ta i��lfill sueh obligations; and, (fl damage to the in#erior of the Derrrised
Premises resulting fi�om causes outsic�e tlle Derr�ised Premises othet• than Tenanf:'s <�cts c�r
omissior�s; Tenant shatl maintain, aiid tnake non-structural repairs to, the Demised 1'reinises �nd
keep the same irl gc�od canciition an<l repazr. Subjeci to the p;•ececling scntence, Tenant's
ol�ti,�ation shlil inclt�e�e the �bli�ation to mainlain and replir all nonstn.�cturaI walls; tloor
coverin�s; ccili«gs; t.he i��echatiical pluinbit�g, hcating, air a�iaditionii�g and/c�r coolin�;, ventilatin�;
a�xj elect7ical e�}ui��ment anci systems; partitic:>ns, �lllt� all oth�;r fiixtures, ��p�iianczs a:nd facilities
fianiished by Landlord or 'Tena.nt within the Demised Pren�ises, and shall als� in�lude the
oi�lig��tio�� to rc.p�ir all ciamabe caused by tl�e ncgligence or cieliberate miscoriduct of' Tenant, its
.jgents, e�z�j�loyees, invitees and licensees to tl�e Demised Fre�tlises, �vhatever the sccr�e of t.he
�vark of tiiainienance �r• repair rec{t�ired. Subject to Article X, nothing contain�.d in this Sectio�l
C).� S�le�.�� h�: t���fI1�C� t0 iI11�70Se 13�011 TE;Tlallt tI1C O��ib�t1011 ta perti�rin work or n�aii�tenance cir
repair to tlie e�;tent r�quireci by rc��son e�f' Landlord's neglige��ce, willfi�l tniseonduct c7r �vrongtul
acf.s or those of Landlord's agents, �,�z�ployees c>r contractors.
fi.3 SU[Z.RENDER OF PREMISES. At the ex�iration or teiniinatioi3 of this l�e�se,
Tet��tnt shall surrende�� the Demised Premise;s in the same conditi�n as exist�,�ti oi� the
c�tnrnencemet�t clatc of this Le�ise, ordinary we�u and tear exceple�i. ALI tixtures w}.lich have
beco�ne attachetl sh<ill be part of the Detnisecl Prernises, eacept trade tixtures. Further, within
ninety (90) days pi7or tc� tF�e ex�iration of the tei La��dlord shall durin� reasonable k�usiness
hc�urs, have the right to fihc�w the De�xiisect Preinises to third parties for tl�e ��uipose5 of a�,ain
leasing sa►z1e.
�aa<,�,o��s ca►i eK:�os-z
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,�.It'1'IC:"LE VII UTILITIES
7.1 CHARGES. Tenant s�zall pay f��r all utility services inctudirtg gas, electricity,
doniestic wa#.er, sc�ver, telecommunicatic�ns and all other utility seivices furnishc;�ci t11e Tcnarlt fc�r
use in the Deu�ised Prei�tiises ar to op�;rate any of "Tenant's signs.
7.2 SLiPPLY O�' I.JTlLITY SERVI�'ES. Inlndlord shall nat be li��b]e in �►ny �vay to
Teti4n�t ti�r ar�y failure nr defect in the supply ar character vf electricity, water, scwer, or gas
fur by r•eason of' any cha.t�ge, requiretnent, act, neglect �r otnissic>n o(' the public utility
setving the Demiseci Pre;rnises c�r f��r any reasan not attrihut�;c3 to La.ndloE•d.
7.3 INTERRUPTIC)N 4R DISC"UN"I'iNUnNCE n� LANDLORD'S SLRVICE.
'1'�nant agrees tha.t Lanc!]ord shall not be liable far failure tn sup(�(y any service when I.,andlt�rd uses
r�i�;onable c�iligence to supply the sa�ne, it be.irig uncicrstood t.l�at L,��.�u�lord rescrves the righi tc�
teni��orarily discontinue sucl� services, �r any of them, at ;�uch times as ntay be tiecessary by 3`eason
of accidenk, ui��zvailability af enlployees, failure oi'supply, repairs, alterations or iir��rc�ven�e►�#�, or
by reas��n t�f fire, sh flood, loekouts, ric�ts, aets of God c�r any ofhcr l�appeninb E�eyond the
reasona�le conti�c>1 of Landlor��. When Landlord causes services to be rendered l�y independent
thirc3 ��arties, Landlord sh�ll have no liak�ility for the �erform�.nce thereof or liability therefor.
7.4 GARBAC,E AND REFtJSE C`OLL,LCTION. A.11 g�zrbage and re#iisc shall he kept
in cc>i�tainc��s �:i.nd shall be placed outside of the Deinisecl Pr�mises prepared fi�r ��roce:�sing andlc>r
cotlectiun. Tenant shall contract far garba�e and refuse collcetion at Tenant's cost.
ARTICLE VIII ALTF.,RATIONS
4.1 ALTERATIONS. Tenant may, firom time to tirr�e during the tertl�, make, at its o�vn
cc�st anci expense, ��ny alterations e>r cha.nbes in the interior of the Demised Preniises in good ��nd
wor manner ii� COtll�)I13110E with all applicable requirements af law, providcd Teriant
f'ollo«�s tl�e �zotice proceclure and ol�tains I.,andlord's consent where required, all in accordanue �vitf�
this Artii;le. Landlord agrees to cooperate �vit.ti Ten��nt #t�r the purpose of sectfring necessary
i�ern�its for any c;han�es, alteration5, or additions permitted under t11is section without expense tc.�
the Lan.dlorci. llpon cozt3plelicm c�f such alteratiotts, Tenant sha11 ��resent to Landlc�rd a copy af the
ei�dc3rseit�e:nt to Tenai�t s fiie and exteTidcd cov�rage inSw'�a�.�ce palicy whic,l� enclorsem�;��t sliall
incoc said alterations into the policy. A[l co�;t,s c}f any such w��rk shall be paid l�ro�rtptly by
T'et�ar�t so as ta prcvenl the assertion of any ltens for labor or �n1t�,�►ials. Tenant agrees to ac.�vise
L��dic�rc� iti ��vriErn� c�f tl�e date upan tivl�ich such �lterations will commence in order tc� pcn��iit
Laridlorci to post �iotice of nc�n-responsibility.
8.2 N07`ICE TO LANDLORD. Prior to the initiaticm of any alterations, Tel]1Ilt 5I1�I�
�ive L.���idtord writt.en t�otice thereof and specify the work lc� be performeci in re.asot��ble detail arld
if�clude the n.ames �f ttte cr>ntractc�rs and tnatcrialmen to be utitized. Af�er recci�t of' said n<�tice,
Lai7dlord sl��ll have a reasc>nable period c�f'ti.m�; ciuring which it shall mal:e a dete��mit�ation, in its
sole ciiscrciion, as to wllether or not the proposed work ��vould create a structural oc dcsign c}�ar7ge ��t
the De�Y�ised Freniises. Ten��nt shall provide Landlord upon request with any i:�7riher iiz{c>nr�z�livn
reasanably necess�ry faz� such dc;ten��i�iafion by Landlorcl, �inci Tenant shall «c�t com�l�ence w�rk or
i J246(i�v5 CAH 8R30�-2
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ac:cept materi�ls prior to rcec�ving written notice �f L,ai�cilor�l's c�eterrninalion. If Landlori:l
�leter�i�ines th��t tlle ro osed r�vork would create a skructural ar desi�z change, then the sarr�e must
T�
be �i�tiproved in ��vriting by Landlord prior to the u�Fnt��encement of a�yj� work or the detivcry af any
in��tc:.rials therefor.
ART'IC~LG la INSURANCE, RELEASE, INUEMIvIFICATION
9.1 TENANT'S INSURANGE.
(a) Liabi(itv Insurance. Tenant sha11, d�iring the tertT� of tlxis Lease, keep it� fult
force anci effect �t policy of comprehensive general liability xnsurance with a li�nit <�f liability
caverage of not less than $1,0()0,000.(?0 per occurrence and an "umbrella" general liability
insurance policy with a limit. of liability coverage t�f not less tha�z $3,0(.)0,()00.()(l. The pc>licy
sl�ail naine Landlord as aaditic�na.l insured and shall contail� elauses that losses shall be payal�le
nc�twithstanding any act c�r negligenc:.� of the i�tsured wl�icl� ini�ht othen�vi5e result itl fbrfeitu.re c}f
said insur�u �nd that the insur�r �vill not car�ce! or change t.l�e insuran.ce withc�ut first givi��� thc;
Lancilord t}iirty (30) d.a.ys �>t•ior tivritten notic�. The insurance shall be witl� an ins�irance compariy
ap��rovecl ta do l�usiness in Minnesota and reasonably acce�tablc tc� �;<�ndlord. Tenant shall d�.liver
a eopy of the p«licy or a eertiticate of insuranee to L1nc11ord prior to laking pc�ssessiun ot� the
Demiseci Premises, �ncl a renewal certif cate at least thilty (30} days piior ta tl�e expir<ition of at�y
��czlicv tei'm.
(b) Fei•sonal I'ronertv Iz�surance. Tenant agrees to carry, at its expense, irasurance
a�?ainst fire, vandalism, anci malicious n�isctlief insuring Tenant's tr��de fixtures, furnishings,
equipmer�t i311(� all oti�er items of personal pr��perty of Tenant located an c�r witt�in che
Premises in an ainouirt not less than onc hundred percent {10010) of the full insurable value of
all sl�cl� property com�iineci.
9,2 LANDLC7RD'S INSURANCE. I.andlc�rd shall, during tl�e term of this Lease,
keep in force anci effect a policy of propercy dama�e insurance o�� ai�d for ttie Detliisecl
Prei�iises to cov�;r the same against lass or C�i�I11c��G occasi��ned by fire, vancialisn�, ancl
inalicii�us mischief, and such other hazards as may be occasionecl by Landlorci's ownersl�i� of
the Dernised Premises, witli coverage c�f nc>t less than one l�undred �3ercenl t1U0%} oi'the tl�ll
iz�s��rable value c�f the Demisccl k'rerni��s. To t.he extent tl�e insurance maintained by Lanclf«rd
I
in a•' to be maintain�ct b Teilant
�cc,orc�aiace wtth this Sc.c.t�on 9.2 overlaps tivith tlie ;t suran�e y
I pt�rsuant to Sectic�n 9.1(bj, abave, 'Fenaijt's insurance shall be primaty.
�).3 {'ROTECTIC)N FRUNI SUBR()GATION. Anything in this Lease to tlie co��traty
not���ithsianciing, neitl7er Landlor<l ni�r Tenant shall be liable to the othei• for any busincss
intc;i��u��tion or �iny lizss or dama�e to ��ro�erty or injury to ar cleatl� af per�cros c�ccurring o�z tlye
Derr�isecj Premises or tlle adjoir�ing of praperties, mall areas, sidewalks, streets or a(leys, or in any
�nanner gro�uing c�ut of or connected wifh Tenant's usc; and occup tltJUYt Of tl7f; D�I111S�C� PI'elT13Sf;5, �r
t.he can�iitian tllerec>f or of lnall areas, siclewalks, stre�;ts t�r alleys adjoii�in�;, caused by the
negligence or atl�c;r fault of Landlorci or rCenant. or of their i•cs�cct.ive a�;ents, ��nployccs, Sli�tC:ll�lt]tS,
lice�zsees ar assignees to the extent that such business interru�tion or loss or clatna�;e to pr����erty �r
injury te� or cieatl� of person is covered by or inde�lmified by procer;ds ��e:ceiveci frc»�� insuranec
32=16C�Ov5 CAH SIL3�5-2
i
can�icd by c�ther party (regardless ot whether such insurance is payable to or prc�t.ec�.s i.,ancllcrrd c�r
Teaant or bath) or fc�r vvhich such party is othet��vise rein�bursed; and Landl�rd and Ten�i�t each
hereby respectiv�.ly waive all rights of recovely against the other, its agents, ernplt>yecs, sul�te»ants;
licetisees a�1d assi� f�r any s�ieh loss c�r �a�nage to prt>perty or injury tc� or de1tll af persons tc�
tl?e extent ttie sair�e is u�vered or inclemtlified by proceuds receiveci from any such ins��rance, ar tbr
��hic}� reirnburse�nent is athcrwisc receiveti. Landlord's and "t'etzant's ruspective policies of
in.surailce sllall each contain a w�iver ot subrogation pr«visic�n incarporating tl�e �b�ve c�ve►�ant
an.d proviclii�g that the iiisurai�ce shall nc�t be invalidated by the irisur•ctl's ��ritten waiver �rior t<� a
loss of aily or �I] rig}zt ot'recc�very �gainst any parry for any insured lass. It is expressly understo�ti
thzt Landl«rci shall not he liabl�: to Tenant for <�ny damages incurred by the l��tter as a result of'the
aha��e ana fc>regvi.ng events; save and exc�,�t as to any sueh daistages cau:;ed hy ttle �vil�fi�t c�r
���antc�n cc7�}duct of Landlc�rd, its agents or einployees, prc�vided sueh d�u7a��g�s are tiot recc�verable
liy Teizai�t pu� to the insurancc; policies required to be provided by Tenant under this t.,ease i.3r
othen�rise.
9.4 RELEASE. Each part_y heretc� ("Releasing Party") he.�reby releases t.h�; s>ther
("Released Part.y") frazn any liability whi�h the Released Party �vauld, but f��r tlais paragraph, have
had to the Releasing Party arising �ut «f or in connection with any accident or c�ccurrenc.e or
ct�,�ualty:
(a) which is c>r would be covered by a fire and extcnded covera�e �zolrcy (�vich
vaildalis�tl and malicious rrlischief endorseme«t attached) or by a 5prink.ler lealc<i�e
or water da.ma�e; policy in tt�e state in �vhich th� Demised Preinises is loc�ket3
r c?f «t�ether ur nc�t sudi coverage is bein� can by the. IZeleasii��; I'�
and
(b} t.o the extent of recovery undc;r any other casuaity or �roperty damage ins«rance
being carriec� by the reteasing P1rty at tt�e time of such accident or accurrenee or
c3sualty, which accident or occuri oz� casualty may have resultec� in �vl�ole or in
part fi�c�i�� tl�e act c>f neglect of the Released Party, its officers, agenks or emp]<�yees,
provided, tio��ever, the relezse hereinabove set fort}� shali be;ec�rne iiloperative and
null �u1d void if tlle f�ele�sing 1'arty contraeis fi�r the insura.nce eequiced to be earriecl
u�icie:r tl�e. tei7ns c�f'tllis Lease widl an in5uranc;e eoa whieh:
(1) Takes the posit.ic�n tl�at the existet�c:e of' such release vitiates ar woulci
�iciversely affect any ��olicy so insurin� the Releatiin.� Pat in a substantiai
n�anner ancl n.c�tice thereof is given to t1�e Released Party at tl�e ti�ne
coveraga is bound, or
(2) Requires the paymc:nt of a higher ptemium by reason of the existea»:e ��I'
such rcl�;ase, u.nless in the latter case the I�ele�sed P�u wit}�in ten (1 C)) days
after F�utice thereof before covei is bound trom the Rcleasin�; Pat°ty ��ays
such incre�se in }�rcr��i�tnl.
9..5 INDEMNIrICA1'1()N. Fxcept for cIairns arisin� out c�l the willful or negligent ac;t
of' Landlorcl or its agents, Tenant shall inctemn.ify and dctend I.,andic�rcl ai;ainst .ill claims, expciises
324G1i(�v5 C'�H C3R305-2
9
and liabilities incurred including reasonahlc attorneys' fees, in connection witl� loss c�f life, ��ersonal
injur��, and/<�r damage to ��ro��erty ari:5ii�� out of any occurrence ui, upon or at the U�inised
Fremises, or the occupancy or use thereof by Teiiant, or occasiortied whc�lly or in 4�:ii�t by ai�y act �r
oi��issic>n af�Tenant, its a� employer;s, cc�ntcaetors, sut�lessces, eor�eessior�aires or licei�sees.
ARTiCL� X- DFSTRUCTION AND RLS'1'ORATION
10.1 RESTORAI'lUN OPTIQN 1F MORE THAN 3(}% DAMf1GED. If tlle Dernised
Prerni5es shall be damageci to the extent of tl�irty perce��t (3�%) or iaZ�re of the cost of r•epl ace�nent
thei•eof or dartiaged by any uninsured casuatty, Land[ard shall liave thc c�ption to rebuilci or tc�
teriY�i�late k1�is L�;ase by exereise c�f notiee to '1'enant givei� ncft tnore year fi the date ot� sucl�
d��mage.
l U.2 RESTORATIC�N C7�'TION !F LESS TI-�AN 30% UAMAGED.
(a) (f the demiseci T'remises shall be datnaged #o the extent of le�s th��n thirty
percent (3()%) c�f the cost of replaccment by lirc or c�ther c�isu�ilty cove�'c.d by
Landlord's policy of tire coverage ins�n during the term of tl�is Lease the
base rent hereir� sl�all al�ate as of the c�ate of the occurrence in accc�rdanc:e
with the provisions ��f Section 02(h), arld the Lsa��dlc�rci shall restori fhc
Demised Pren�ises. lf such an ev�.=nt <�ccurs ciuria�g the last one (1 year o f
this Lease or extetision th�reof; th.en Landlurd shali i►ave the optic�n to
rehuild ar tei�tzinate this Le,�se to be exercisecl by notice to ten.ant given not
more tha.n six (6) months froin the date of such damage.
(b) lz� tl�e ev�:nt of such partial destructic�n or d�ima�e �1�llereby Tct�ant shall he
cfeprived of occupancy and use for only a portic�n of the Deinised I'remisc,,
then "base sha.11 be equitably appo.i-tioned according tc� the area of the
I7einisui Premiscs wl�ich is unusZhle by Tenant {�cmz t}te date of occurrence,
until suc.h ti�7ie ��s the Deinised Premises are repaired or restored a5 provided
hcreit�.
10.3 TO"I'AL DESTRtJC�I'ION. In the event of total destructiot� of the D�.nnised
Premi;;es, rI'enant's rent shall complete�y abate fiom the date �fi such destruction. If Lancilorci elects
ti� rebuild as af��re.said, Tenai�t's rent sl�t�ll completcly abate from ti�e date of such dcstructicii} until
farty #ivc (45) days after lhe ci;�te ��hen Lancilord notifies tei�ant that thc s1�e11 ot the De�nised
Premise.s is ready for conrmencenlcnt of Teizant's work, or upon the day when Te�la��t opens ti�r
biEsi��ess, whichever event sl�all first c3ccur.
1�.4 ADDITTONAL kiAZARDS. Tei�ant. covenants anci a��ees fh it VVIII tlnt C�O Ol' �?GCtTllt
��i7ything to be cione in �r upon the Demiseci Premises u1• l�r in anytllitag oi• kcep ar�ythin�; therein
c�olicies or increase lhe r�.ite of insurance,
which shalt c:ause the eancellation ofTenants insuran e
on it�e I3emised Premises a.bave the standarci rate on said premises and builciing. 'I'enant fi�t
agrees tl�at u� the event it sh�ll do anything to so incre��e the insurance rate, Tena«t shall J�rornpdy
pay to Ltjt�dlard oi� detn�ind any such increase resultii�g therefr�m, wluch sl7all be due �ind ��ayable
S
vaila�le for Tenant
as additional rent hereunder. At Tenant s requcsl, Landlc�rd shall mak� a
:1246(i0vi CAFI EiR305-2
]Q
I
inspcction during regular t��isiness hours, all cic�cuments pertaini��g to Landlord's calcul�itic�j� c�f
Tena«t's "actcliti�nal rc;nt" required under this section. Sai.cl "�uiciitional rent" slZall he c3t.i�: and
payable �ts billed by Llndlorcl.
10.5 NOTIGE. 'I'enant s}�all �ive immediate written nc,tice to Landlorc� of any datnage
causec� to the Dei�t�ised :Pre7lii;:es by fire or other easullty; or of any c:aneeliation or re:ciuetic>n ot
Tenai�t's insuranc;e c.overage requirecf pursuant to Niis Lease.
I0.6 ABATEMLNT. Teriant a�,�rees that during any periczd c�f rc,eonslruction or repair of
the Demise,c� Pretni5es. it �vill contii�ue the operation ol�its l�usiness within t.t�e t7�n�ised Premises ta
tl�e extent I�ra.cticable. If'Landtc�rd is requ.ired to repair anci rehuifd, then ciuring tl�e �eriod from tl�e
c�ccun�eitce of t]ie ca�ualty until Landlc�rds repairs iilt'. L'Ul1'1�1��tCC� the �)�iSC Pl:llt sei tc�rt.�l he�
shall lze rctiuce�i t.c� such extent �is may be tiiir anci reasonable iinder thc circ;urnstances; hou�ever,
th�re sl�all be no abatement of the otllcr charges prc�vided for l�crcin.
AR'I'[CLE XI -EMINENT DUMAIN
i 1.1 PARTIAL QR TUTAL CONDEMNATK)N. lf the wt�ole or any r�art oi` k�le
L�en�iseti Prerr�is�s c>r tl�e structure encc�nz����.ssinb sa�7ze sl�all be taken by any public �iut.hority i�ntier
th� pc�wer f7f e�zlincnt dalnain, tl�e Tenat�t �hall have no clai�n to, nUr shall 'I'ei��nt he entitleci to, any
pc�rtian of �ny a���arcl, ft�r cia.n�ages �r atherwise. In the evezlt only a portic�n of the Dernised
Premises are takc.n, the Lease sha11 tern�i�late as to the �art takei�, anci the rent and other charges
herein shalT he acljusted far the rc,�nainder of the Demiscd Premises so that ll�e Tenant. shtzll
be requircd to pay f<}� the balance of. lhe t.erm that portion of the rent reservecl which the value of the
part c�f the Detniseci Premises reinainin�; a1�er condemnation b�,ars to tl�e value c>f the Demised
T�r�n�ise5 irnmediately prior to tl�e date of condemnation. 'i"he rental and ofhcr char�;es shall t�e
appartic�neci as 1fi�resaid by a�;reelnent between tl�e parties or by af•bitration or [e�al proceedit�gs,
but }�er�ding sucl� cietermination t.he Tenant shall pay al the tiijze and in the manner above provic�ect
tlze rer�tal l�erein res�,�ved anci a.11 other charges herein required to be paid l�y the Tenant, withaut
decitECtion, anci upon such det.em�inatic3��, the Tenant shall he entitled to credit for any excc:�s rent�:ils
paicl. If; Ilawever, l�y reasc�n af rhe condemiiation there is not suxticient space 1e11 irt lhe De.-�nisecl
PreFnises fc�r the T'enant to reasonably co��duct busir�ess; then, ij� such event, the Lease shall
tet7ninate. Altl�.ough all dama�;es in the evcnt of cc�naemnation belong t� Lanc!]ord �vhe;thc:r
awarded as compensation fic�r dirnii�uti�n in value c�f the le�aseholci or ta the fee <�f the Det�iised
Premises, t�otliing herein sha11 bc. conslr«ec� tc� prevei�t Tena��t t� claitai anci rece?ve,r frotn the
cc.�nd.emning autli�rity such cc�mpensati�n as may iie sepa�'ately awarded �r rucovcrt•able hy Tenant
in Tena.nt's own ri�l�t #br its Ieaschold interest.
ARTICLE Xll ASSIGNMF,NT AND SIJBL�"TT1NG
12.1 CONSENT REQLJIREll. Tenant may nc�t assi�m this Lease andlor sublet the
Demi�ed Premises, or any part thereof without in eauh insta�ice obtainin�; the priur writte.tl consent
of the La��.dIord, «hich consei�t sh��Il not be ulu•easonably withhelc3. L,andLord hereby acknowled�es
and consents tt� a a�llate� assi�r�ment of Tenant's ii�terest herc:in to The P��udential Insur�nce
Cc�mpany of Af��erica and/ar its assi��s ("Tenant's Lencler"}. In the event of a foreclosure by
Te3iant's Lender upozz 'I'enant's interest herein and cure c�f ��ny def��ultti exi�t.in� hereunder,
3246GOv5 CAti BR.105-2
ll
Landlord shali recc?�nize; Tenant's Lender or �thc,�r pui-cl�aser in f��reclosure as tt�e Tenat�t
11ere�ulcier, subject to other t�rn�s anti conditions hereof. The canscnt Y�y Landlarcl to a�ly
�ssi�,nment c�r Sublet.tii�g may not constilLite a �vaiver of the necessi�y for such conscnt to any
sulis�quecit assignrnent c�r subletting. This prohibilion against �zssigning or subletting shall be
canstrued to include a prohil�ition a.gainst auy assignmcnt or subletting by c�}zeratian ai' la�v. lf� this
Lease i�e assigned, or if the D�mise�3 ['remises or any �art thereof be underlet or �ccupic;cl by
anybociy other than Tenat�t, Landlc�rd may collect rent from the assi�mee, under or occupant,
and apply tlle net ai��ount collecteci to the rent hereiri reserved, l�ut nc} such assigiunei�t,
under-].etting, occupancy c�r collection shall be cieemecl a waiver of this covenant, or the riceeY�tancc
of the assignee, u��cier-tenairt or occu�ancy as 'l 'f:TllIlt or a release of �C'enant ti the further
perfc�imanc,e by "i�enant of covenants on the p�u of Tenant herein cc�i�tained. Notwithstandin� any
assi�,�n�nent or su�lease, Tenat�t s}�all re�nain fuily liable c�n tlus Le�ise a.i�d shall not be reicased fi•c�m
perforining any ot�the terms, covenants, and couditians of this Le<tse. Tenant sh�i11 pay to Landlord
ai1_y reasonable costs and expenses (including le�,al fees incui by Lancllord in cotineclic�n with
such assi�nment c�r sul�letting.
ARTTC;LC XII TENANT'S DE��AU1,T
I3.1 CVENTS Ol� D�F�1[_TLT. Tlle following cvents sl�all be c�eeined to be events of
def'ault t�y Tenant i�nder this Lcase;:
(a) Tentznt shalI fail to p��y when due any i»stallix�ent c�f'rent, or otl�cr charges �rc>vicled
Eierein, or any portian thcreof anci the same shall remain unpaid ���r a����it�d of three
{3) days after the satne has becc>me due; or
(b) Tenailt s1i�I1 tor reasons otl�er t�11n those specitically per�nitted in this Lease, cease
to conduct ils normal business operations in tl�e Ueniisc;d Premises or shall v<tcake or
aband�n the Detnised Premises. Tenant will be deemed to have vacated, closed or
abancioned t��e D�.�miseci I'remises if it f��ils to conduct its business on the Derr�isecl
['remises clurin�; regular working hours ti.�r a period or �nc7re than ten (1 U)
cot�secutive busit�ess days; or
(c} 'l�enat�t sl�atl do c}r permit to he done an}�thing ��vhich creates a lien u�ion the
Dcmisu� Pr�mises; atld ciaes rlot cause said lien as to Landlorcl's interest in the
property to be relcased �vithin tet� (14} days after written i�atice from Landlord; or
(d) Any representatiori or warranty 111�1(jf: lIl WCltill� t0 Lancllord in this Lease or in
cc>nnection �vith the n�aking of tEiis Lease, by Tenant or ��ny guarazi.tor, shall ��rove a.t
any lin�e to hlve bectt ineorrect in any mzterial respcct whc:n t�nacIe or become�;
incc�rrect; or
(e) Tenant ar airy �7a��a�ltor shall �nake �ui assi�,nment fi�r the beni:fit c�f creditors, tor a
petitio.n in bankruptcy, be ��djudicated insolvent or h�nkrupt or adrrait in writi�lg the
inabilify to pay debts as tl�ey �l�ature, petition or apply to any tribunal f'oc• the
a��poinhnent of a receiver, trustee or similar ofticer for Tc;nant or a.ny gt�arai�ior or a
substantial part c1f the assets ofi Ten�.ult or any guar��ntor, or shall comrnence 2ny
324fifi0v� CAH RR3(?S-2
IZ
proceeding under a.ny banlcruptcy, reorgactization, arrangetuent, readjustment of
del�#, dissolution or Itquidation law or statut.e �ny jurisdiction, �vhethLr nt��v <>r
liereafter in e#{'ect; or if there shall hzve beeri tilcd any st�ch petition or applicatic�r�,
or any such proceeding sl�all havc been u���mencui ag<�inst 'I'enant or any
guar�uztor, which reri�ains unc�ismisseci for a ��eriod of thirty (3t?) days ar mc�rc; c.>r
'T'ena.nt or �uly �;uarantor by any act or omissiott shall indicate their corYSent to,
approval of c�r acquiescenee ir� �ny such petitic�t�, applicati�li or proe�eding, ar tlle
appc�it�tment of a rr;c;eiver e�f or ai�y ti or similar ofiicer fc�r Teriant c�r any
�;uarant�r or any su[�stantial part of any of the prt�pei#ies af'I'enant or at�y guarantor,
or shall s��ffer ar�y s«ch receivetship or tnisteeship tc> continue un�iischarged for a
period aE'tl�irty (3Q} days or mor�, c�r any judbm�ent, writ, watt aait or attac.hrnent or
execution or similar process sh.all Ue issued or levicd against a substantial p;irt of the
pre�perty af Tena��t or any guarantor an�l such jud�nent, �vrit, or sifnilar �rocess
sllall not be. relc;asc:<1, vacated or fuliy honcleci tivikllii� thirty (30) days atter its issue c>r
le�ry; or
(f) Te��ant shall have failed to comply �vith any other prc�visions �f this Leasc arld shall
nc:�t cure any t�ilure within thirty (30) days, or such tol��;er period of time as m�y be
rezsotiahly required to cure sach default, af�er Landlore�, by �vritten notice, has
infornled Tenant of su�}� noncotnpliance.
13.2 LANDL,ORD'S R.EMEDIES. Upon the uccurrence af any of the above-letterecl
evetits of ciefault, Landlbrci shall �.ive `I'enant and Tenant's L�tader �vritten nc�tiee of Q�e dc�f��ult, anci
Tenant aald/ar Tenant's Le�ider sh111 have khirty (30) ciays �r sueh c�tl�er perioci as provicled �mder
seetie�n 13.1 ��l�ove to eure such det�iult. If thc default ts nc�t cure�i within the ap��lieable euri; peric�ei,
Landlorci may elect to either (1) tet7ninate tElis Lease; or (2) terniinate Tet�ant's ri�ht tc� passession
�nly withc�ut tei this Lease, hcreinafter referreci to as re-entiy; (3) 4�t�F•sue any ot}�er retnetly
available at la�a� ot in equity. Landlar� sIiall have all rc�nedies provideci in the Lease and uncier
govertiin� law. All of t�ie renleciies given to Landlord in this Lease or by law shall be cumul�tive,
and the exeri;ise of one ri�l�t. or i by landlorcl shall not impair its right to excrcise any ot}�er
riglii or remedy,
ir1 t}3c event of tlection u»c�er (2) ��bove to te►minate Tenant's r�ght to possessiotl only,
Lart�dlc�rd may at Landlord's optioti, proceed to demand p�ssession by nc�tice and proceeding unc��:r
tl�e Unlawful Detainer L,aw c�f Minnes�ta 3nd take and hold possession thereaf �uithout suc}�
proceedia� or ei�lry into possession tern�inating this Lease or releasing Tenaz�t in wh�le or ii� p�rt
frum Tenant's obli�ation to pa� the rent hereun.der for the full tet Upon re-entry Lan�llord rt�ay
remove all persona] prc�perty from the Demised Premises as�d such �roperty may be rei�noved and
stc�red in a public �varehouse or �isewhe,�re at the cast of �nd fot' ttle account oFTenant, �.ill with.out
se�rvice of notice ur resort t.o [egal proi;ess and without being deerneti guilty o:F trc:sl�a.5s, or becotning
liable for any ]c�ss or dan�age which may be occasionul thereby. tJpon an.ci after entry into
possession withc�ut termit�ation of tl�e Lease, Landlord shall use reasanable effi�rts to relet the
premises, oz• any part thereof' for the account of Tenant, to ar�y c?ther �erson, tirm or ccfr�or��lion, for
such i•cnt aild other eharges for s«ch time �nd upon such tenns as L��ndlord, in La�ldlord`s sole
subjeciive discreti��n shall determinc, but Lancilc}rc.i shall not be reqt�ired tc} acce��t any pot�nti<�l
tenant offered by Tenant oa tc� obscive any insiructic>n given by 'I'enant about suc(� relettin�.
3246hQv5 CAl! RR305-2
13
Lan�ilc3rd �nay make rep�irs or reciecot�ate lhe pretzzises to the extent deezneci by tl�e I..ancllord
nece;ssaiy c�r co�nmcrcially reasonablL. Notwitlistanding any act.icm of possessian c��• re-entry into
the Demisecl }'rcmises l�y the L,andiorc� �is ��er�nitted in this Article, or tennination of tl�is L,ease �s
pe�7nitCed under this Seetion, it is sti�ulatecl ancl a}�'eed tliat tet�t�nt shall remair� lia�sle to L,��.ndlc�rd
t�n� c�am.a�,es for l�reach ��f this I,ease and of'Cenznt's covenants hereunder in an amoitnt equal t�� the
total of the t��tlowing:
(a) A}l tixec] base ret�t iiClC�if1011�1 x•ent, Cornrnarz Facitity c}�argcs, 1ate: c��ar�es,
aciditioi�ai rent ��lyable for taxes and e�t.her4vise, and <�ny atici all oth�;r ch��r�es
payable by Tenant hereunder or under other agreenzents with the Landlocd due for
tlle period ��rie>r to the ciafe of tertnination uf this Lease c�r re-ez�iry but un��aid,
to�etl�er witl� aclditi��tt��l late char�es fi�om due date until pa�d; 1'Lt)S
(l�j All costs and expenses iricurre;c� by Lanciiard in co�tiiectioc� with re-e��try ar�.d
repossession ot' the Demised Prc;cnises, the re�air, ret�ovatic�n., remadeling, or
redecor�ition thereofi to ti�e state required by this Lease up�n ternlin�tioil c�r as may
be nccessary fc�z• ��nd any broke� coinmis�ian�, attorneys' fees, �nd other
charges inc;urrc;d in connection therewith <�c in connection �i�ith relettiti� the
Dcriiised Premises, includit�� attorneys' fees, expended in the collcctiorl c�f' �n
Rerzts; I'LUS
(c} A SUITl equal t.o the presei�t valuc of all Rents which wa��iei l�ave been payable
h�:reut�.ci.er �fter th�; date of ternlinatian or re-cntiy f�r t}te halance c:�f t.he terrn o#�
t.he I,eas� had the T.ease i�ot been tei7nit�ated ar re-eti made, tagether `vith
interest thereon at the p•ate of two percen.t (2%) per annurn irl excess iyf khe pri�n�
rate as quated by US Bank, N.A., to its best �ustorizers, c�r the highest rate
pe��n�;itteci by la��, whiclievc;r is less fi•�rn due date ur�til paici, PROVI�)LD "I�}
in tlie even#. tl�e Dcmised :Pretnises are reLet (�vhich relettit�g shall in nc� everit
relieve or release Teaiant of or froir� liability f�}r damages het'euneier) foc al( any
part of' the l�alance af tt�c; origiil��1 tei7n I�ereof then, for each month durin� such
reletting for �vhich Lancilord receives net avails c�f such relettin�;, Ten�z��t shalf k}e
entitleci to a credit against its liability to Lancllorcl t��r such manth in an amount
equ.al to such net avails, and PROVIDEI) E='URT�I�R that, in licu of c�amages as
waive siach
v' his Scc:tion Landlorcl ma
set forth iu the f���c,�,. itl� ��io �stons ot t y
faregoing }�rovisians and elect, by written ��atice to 'T'enant within niriety 90} days
:�ted darna c,s for such
after tern�ination or te-eFttr tc> receive f'orttl�vrth as Iiquid
Y
k�reach, i�i additic�n to th�: amounts specitied ab�ve, a su.m equal lc� fifteen percent
(15%) of�f}�e Ren.ts whieh �v��uid havc b�en ciue and pa_yable fc�r t.he porti�n of t}ze
I balance of the tc;rm of the Lcase from the d�jte of early termi►lation or re-entry
through tiie final lease year.
14.3 COSTS, EXPENSES ANU A'1"'I'URNEYS FEES. i��one party is rec�uired tc� seek
le�al cc}un.sel t«r collection or tc.> co�lin�.ence liti�ation or arhitration in order to crlficzree the
covei�ants and agreements in this Lease, the ��arty prevailing it� such cc�llection, litigatian or
arbif:raiion shall have the right t�� reimbursen�ent from the other ��arty of all reasot�ahle costs,
ex��enses ai�d attarney`s fces.
:3246�i0t�5 ('AN k3R10>-2
14
AR'I }�V--ESTC�PPEL C`ERT[FICATF., ATTORNNIENT ANU SUL30Rll1NA"I`!ON
15.1 LSTC>PPEI� C;ERTIFIC�'I'E. Within te.n (10) d��ys atter the request by Lancilord,
ten�nt shall deliver to Laudlorci a�vrit.t.en and acknowledged statement certii�ying tYiat i.,a�fcilarcl
l�ias cozn�leted u�nstructic�n of the Demised Premises, that tenant has acce��tecl possessitzti of the
De�i�ised Pr4�Y�ises, tl�at tliis Lease is t�nmodifieci and in fizll force and effc;ct (or il there h<<ve
l>een rr�c�diiic�itic�ns, tl��t the s�.me is ii� fu.11 torce ancl efi�ect as moditied aild statii3g the
modifieations), the con�i��encetnerit d��t.e anet terinination date of the I.,eas�:, that Landlc�rd is not in
default «ncier the Lease (oi-, if there is a clefault, stating s��ecit7cally the dcfault) anci the claEes to
which the "base rcnt" a��d other chargcs h�ive been paid in advanee, if any, it bein�; int�:ncie.ci that
any such statemen.t cielivered pc�rsuant to tliis Article may he celied upott by any prospective
pu��ehaser ar mcrrtgabee c�f't1�e iee of the Derniscd Pre�.nis�s.
15.2 �TTORNMEN'i'. Upon request of Landlord, Tenai�t shall in the event atiy
proceedings are brt�u�lit for the f��recl�sure of or in the event af exercise of' the power of sale
u��der any mo�•tga.ge rnade by I.;andlord covering �l�e DemisecJ Premiscs, altorn to tlie purchaser
upon any such foreclosure or sale and recc��nire such purcl�aser as Lancilord under tl�is Lease.
1 S,3 ATTORNEY-IN-�AC.".T. 'I"cnant, u}��>n. request of any party in interest, shall execute
proni��tly such instrum���ts or certificafes to cariy out the int.ent of sections 16.1, l fi.2, an<l lfi.3
above. Tenant het•eby ii7evoc<�bly appaints I.,andlord as attc�rney-in-fact fi�r Te�iant with full
power and atathority #c�r the fimited �urpose of excci�tin� a1�d delivc;ring in the name of Tenant
s�lc11 inslrutnents or certiticates.
15.4 St1BORDINATI(�N. Upon requesC of lanc3tard, "i�enar�t shall, iil �vriting,
subt�rdinate its i°ights he� to any �n•ound leases or to the lien af any i��ortgagc oi• inortgage�,
reasc�na.t�ly acceptable to Tenant, i>r the lie�i resulting (rom. any other tnetllocl c�i' financin}; cfr
refinanci��g, no��� or I�ereafter in t��rce lgainst the land ancUor buiiclings of �vhicl� the Demiseci
Preii�ises are a part or against any huildings hea placec.i u��or� lhe land of which tlte Dei7iisec�
Premise� are parts, aiad to all aclvances made or hereafter to be macie up<>n thc security th�.�
}�rovicied Tcnant is grarated non-disturbat�ce rights.
t S.5 RLC4RDATION. This Lease sllzll not be rec�rded withaut tl�c }�rior cc�nser�t t�f
La.nctlord. Ul�oi� the request of Landlord, Tenant shall ex�cute a short forrri c,f this Lease tvhicl�
n�ay l�e recorci.ed it3 Laculldre:l's svle discretion.
I S.fi NO'TICE TO 1vIORTG�GEE. After receivin� written nc�tice from atiy persc�n,
fi�7�� or other entity that it holils a moctgage (�.�r}lich ternl sh; include a cleed of trust) which
inclucles as ��art of the l��artgaged property the Demised Pre�nises, Tenant sla�ll so lt�ng as such
mortgage is outsta.nc�ici�; be ret�uired to give to such holder t+ duplicatc nc�ti4e of any notice
rcquired tc� be bivcn to Lanc�lard by this Lease. It is fu.rther a�reed that such lioldei• shall hf3v.e the
same o�3�ottunity to cure any default, aiid thc same time wit(iin which ta efCect such curiii�, �s is
avoidable to Landlord; a.nd if necessary tu cure such a default, suclt holder shall have access tc�
the Dettlisec� T'remises.
32q6tiflv5 CA}[ C33:31)5-2
15
AR1 �YVI LANDLORD DEFA[JLT
f 6. I DE.FAULT NU'I'ICC TU LANDLORD. Sh�ulcl Landlorci defau]t ii} the
perfin of any ofi the covenants on the plrt of the Land(ord to be kept or �erformed and such
default shail continue for tl�irty (3U) days after written notice to L ancilord fr«rn "['e�lant s��ecifyir�g
such def��ult, or should any warrarzty r�r represenfation macle by Lancilorcl be untrue an.d remain
unt�•ue afte.r thirty (30} days after writlen notice firom Teriant specifyin�, such untruth, thcn arlcl
<�niy in suc}� event, shall terrrtiinatian of this Lease be ettceted or aclioi� taken or r�:m�dy pursued_
lf the def<�ttlt c�r untruth is oi'such character so as to i-er�uire more thatl tllit�ty (3(?) days to rcri�ecly,
the Lancil�rci sl�all l�ave a re�sc.�nable }�eriod in which tc> remeciy tlie saiYle, provicjed Lanci.lc�rd is
pr�>ceeding diligently. Tei�ant waives it5 righ.t t�� make repairs at Lancilord's cxpensG.
ARTICL,E XVIi MISCEI.,I,ANEC}US I'RC)VISI{�NS
17.1 HOLllrI�IG C�VER. In t1�e event that Tenat�t shall cc»Ztinue tc� c�ccu��y the detnised
Premises after the �xpiration of tlle terni of this t,ease ��r written extension of the term herec�i'
without enkering inf.o a new Lcase c�r �vritten extension of fhe term ��erea(� saicl tenai�cy shall be
const�lied ko he a"tenancy from month to month" upon al( of t.h.e other teims �nd conditiotjs
herein cont.ainccl exc.ept where samc are not_ applicable, a«cl exceE�t that the rental during such
holdover �eric�d shall be the then current "base re:nY' plus thirtiy ��ercent (30°.'0) the�•eof and a31
"additional rent" shall contin«e to be paid. Nothing contained it� this Leas�: shall grant Tenant
any z'i�ht to ht�ld over.
17.2 WAIVER. Failiire on the part of the Lancilord ta camplain of 2ny action or non-
actian on the pai�t of Tenant, no matter how long the safne may cantituic, ancl nc� rr�a�ter what
other aetion c>r yic���-�iction by Tcnant that L��ndlord has alreacly corn��lained of sh��ll never be
deetned t« be a w°aiver by Landlorci of any of his ri�hts hereunder. Furth.er, it is co��eE�anteti and
agz�eed that no waiver at any tiXlie of any of the provisic�ns herec>f �y Lai�dlord., shalt be coristrued
��s a waiver of any c�f the �ther provisions hereof and that a waivcr �t ariy time ��f �3ny of the
provisians hcreol shall not be construed as a waiver at any subsequent time of fhe same
ix�ovisions. The uoi�sent or �pproval <.�f the Landlorri ti� oi af any action by 'I�enant reqiiiririg
Latldlorcl's consent or ap��rc�v�l shall ��ot be decmed te� waive or render urinecess��r_v Larticilord's
carisent. c>r approval to or of any subscc�uenl similar act by Te�lant.
]�10 pay►nent by Tenant, or accept.ance by I_,andlc3rd, of a lesser atnount than shall be due
from Tenant to La►�dlord, even after d�:manci by Landlc�rd fur renl pursua►�t to Tenant's rei�t
def�ult sl��all be treateti ott�erwise tlzan a plyrnent on ac;count. The acceptanc;e; by Landlord ��f a
ch�ck ti�r a Iesser amoun.t witl� an e;nd�>rsement or statement therecm, oi 1�1�on ar�y letter
��ccompanying suc11 cheel., that said lesser amount is p�yment ir7 Fiill sh�all be given na effect; anci
L,��ndlard »>ay accept such cl�eck without prejudice to any further rights or rcr�iecties �vhicl�
L�indl�rd may hati�e a�ainst TeF�ant. Further, tailut af thc Landlorcl tio bill timely f��r taxes or
ott�er aciditianal rent as heretofore required sh.a11 ��ot be deemed a waivcr af T�.riant's liahility te�
�ay sa.me.
3zaf>c,c���s cn►+ �r.3o�-z
16
17.3 C`C)VENANT OF QLfIET ENJt�YMENT. Tenant, subject to the terms ai?c.l
provisions of this Lease, on pay�nent of't.he rent and observing, keeping �.nd perfarming all ofi tl�e
tetms and ��rovisions of ihis Lease c7n its part t.o be observed, kept ancl perfc>rmed, shall lawfully,
peace�bly and quietly have, ho(d occupy and enjoy the T.�emisea Premises <iuring the tet hereof
�vithout hii�drance or objeciion hy any persuns lawfully claimii�g under Landlord.
17.4 EN7'1KC AGREEMFNT. This Lease is cxecuted irt� identical cour�ter�arts, eaLh
of which, when bearing originat initials of tt�e pa� on each p�i�;e ancj at eacll change in the text
her�:c�f as well as ariginal sigtaatures a.t fhe eud of eaci� cIocui��ent, shall coilstitute an original for
all pua�poses. Ali previous agreetrtents, wheiher oral or wr�itteii, are supersedecl hy and m�:rgecl
into this Le��se. Subseqtrent chari�e sh��tl not be t�inding utilesti reciuced tc� writiiig anci signecl l�y
tl�e parties heretc�.
17.5 INVAL;IDA'I'lON OF PA2TICYULAR PROVISIONS_ lf �ny ciause, teri�� or
provision ��f tl�is Lease, or the application thereof to any person ar circumstance sha11 to any
exl:ent, t�e invalid c>r unenfc�rce�able, the remainder of this fe�se, or the a���lic�tion of�such t.f;i�t� or
��rc�visiat� to ���rsc�ns csr circur�istanees otller tl�an thos�; as to �vhich it is held iF�valid or
unenforceable, sl�all not be affected thereby, and each teri7i an<.� provision of tl�is I,easc st1�11 bc
valid aiaci be enfc�rc;ed to tlie fullest c�tent pen�litted by law. if is the intention of the �.�arties
]ie�•eto that in lieu of e�ic}�_ c,lau,�e, tef _or provisic>n of this L,ease that is ille�a] invalic.l or
uneriforceable, there t�e adc4ec� as part ai' this Lease a clause, ten�� ar provisic»� sirnillr to �uch
ille;gal invalicl or unenfarGCable clat�s�:, term or provision as inay be �3ossible and would he legai
valid and enforceat�le.
17.6 PROVISIONS B[NDING, E"I'C. Except as herein otherwise expressly providcd,
the terins hereof shall l�e bia�din�; upo11 �nd shall inure to the bet�etit of the heirs, succ�ssors,
assi�ns and legally appointed represenl�tive, respectively, of the Landlord and the "Cenant. Eacl�
terrn a�ld e��ch ��rovisian of t}lis Les�.4e t� be performec;l by Te3iant shall be cor�stn�ed to be; both a
coveilani r�nd a condit.ion.
17.7 GOVERNING L�1W. The laws c�f the State of Minnesota sh�itl govern the
irttet validity, pei-forn�ance atid enfi�rcement ot this Lease.
17.$ NOTICES, Atzy nc�tice wluch is uiader this Lease s�iall he cleemed
"�;iven" upon hand deliveiy or three (3) cl�lys after prepaid posting in the U. S. Mail wl7icl�e;ver
sl�afl iirst occur. Naticc s�7a11 be addressed to thc addresses listed below or to a.ny othe�• address as
shall be dcsignated by �vritten notice:
If to Landlora: Broaklyn Ccnter EDA
c/� General Manager
Earle E3rciwn Heritabe Center
fi 155 Ea,��le F3rown Drive
Brooklyii Center, MN 55430
If t�� Te�ant: Broc�klyn �f,iotel Fartners, LLC
c/a Oliver Compauies
324t>60.-5 CAH Bk305-2
17
562�) Gr��nd Aveni�e, Suite 2
Duluth, MN SSHU?
ff to Tenant's Let�cler: Prucleixtial insurance Campany of Arnerica
THE PRi.IDENTIAI.; TNStJIZ�NC,�: C(JMPANY OF �MER1C'A
F'rudential Asset Resourccs
22U0 Rass Avenue, Suite 4900E
(ctfi.�r- 2I15/�t�; 2100 K��.c,s �tv�raz:ie, Satite 2500)
l�al.las, Texas 752U1
Attention: Legal Department
Refet Loart No. 70b 1075'1S
Whc:re in fhis L��se a ccrtain i�umber of days frotn datu of r3otice ta a givei� action is
speeif3ecl, unless #1�e specific prc�visioa c�tl�ct�wise states, the days sha(1 be cc>u.nted as foll�ws: The
tirst calencla.z day sh�ll be exclucied a��d the last clay shs�ll be inetuded, unless the 1�.�;t day is a
Satui Sutiday, or legal ht�liday, in which event the periocl sliall be extenc3eci tc� inc3ucte the next
c�a_y which is not a Saturday, Stt��day or legal holiday.
17.9 I�ATE O� LE�iSE. AlI referenc�s to the "d�ite of this Lease" or "ciate hereof� shall be
deemed to he that date c�n which all parties hereta have executetl this Lease:.
17.10 HEADINGS: The he�kdin�;, section numbers and article nwl�bers appearin�; in this
Lease are not intended in any tnanner to deiine, limit or describe the seope o#� any such section or
article ai�.d are solely inse��ted for re:ady reference purposes.
17.11 PRUNQI.JNS. As utilized in this Lease, ti�e "sin,�ular" }�ron�uns shaf] inclucJe th�: it
plur�:il", and the "m�isculine" sl�all inclucie thC "fenlinine" �cid the "neuter", and vice versa, unless a
contr��.ry ir�tcnt specifically a.ppears.
[re�nainder of pa�;e left blanlc intentionaliy]
i l?�l6Qvi CAIi E3R305-2
18
IN WiTNESS WI-IEREOF, tt�e �arties heret.o have affixed their si�natures the ciay and year
fitst above written.
LANDLORDc Eccjnomic llevelopment �uthority of� the City c�f Broc�klyrl Center
BY:
I'TS President
BY:
iTS Executive Directc�r
TENANT: Brc,c�klyn Hote1 Partrt�ers, LLC.
�f�
BY: .�'7�`��..� ���'�r.��""
ITS: C G�f1�� /l7i�rlJ�"l
3"?4Fibt)�5 CAH BR305-2
19
EXHIBiT A
DEMISED PRI:MISES
That }�1rt of the fallowing c]escribed real �.�roperty:
Tract F, Registerect L1nd Survey No. 1594, Hennepin Cc}unty, Minnesc�ta
ilpon wllich is situated thc structure known as "Builciing D," as dcpicted c�n ih�; Site plari belc�w:
r
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x-:,
A
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