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3. USE OF PREMISES. <br /> The Premises shall be used as office space and as a theater facility for the purpose <br /> of staging live theatrical productions for the general public, classes, and workshops open to the <br /> public. <br /> Lessee shall produce and perform no less than fifty(50) live theatrical <br /> performances during each twelve (12)month period of this lease. The Lessee shall meet all <br /> conditions of this lease and of any other leases or agreements between Lessee and the City. Before <br /> July 1 of each year for the year ending June 30,the Lessee shall provide to City a report outlining <br /> the activities of the theater in sufficient detail to verify that the conditions of this section and the <br /> terms of this lease are being met. <br /> Lessee shall not use or permit the Premises to be used in whole or in part for any <br /> purpose other than as hereinabove set forth at any time during the term of this lease except with the <br /> prior written consent of the City, nor for any purpose in violation of any present or future laws, <br /> ordinances, general rules, or regulations at any time applicable thereto of any public or <br /> governmental authority, including the City of San Leandro. Lessee shall at all times faithfully obey <br /> and comply with all laws,rules,and regulations applicable thereto adopted by federal, State, local, <br /> or other governmental bodies or departments or officers thereof. Lessees' props and scenery may <br /> not at any time be stored in hallways,may not block exit doors, or be placed in such a manner <br /> that would violate Fire Code and/or Building Code regulations. <br /> 4. SEATING FOR PERSONS WITH DISABILITIES. <br /> Lessee shall, at its own cost and expense,provide and maintain seating within the <br /> Premises that is available to the p ersons with disabilities. <br /> 5. RENTAL FEE AND UTILITY FEE. <br /> Lessee shall pay as rental for the Premises an annual sum of one dollar($1.00), <br /> payable in advance. <br /> Lessee shall pay as consideration for utility charges an annual sum of six hundred <br /> dollars ($600),payable on or before July 1 each year for the year beginning July 1. <br /> The rental fee and the utility fee payments may be combined. <br /> 6. ADMISSION RATES. <br /> All rates or prices charged by Lessee for admission to theatrical performances, <br /> classes and workshops on the Premises shall be reasonable and customary. <br /> 7. CONDITION AND MAINTENANCE OF PREMISES AND IMPROVEMENTS. <br /> Page 2of11 <br />