|
electrical systems serving the Premises, and the cumulative cost thereof during the Term of this lease does not exceed $25,000.
<br />Notwithstanding anything to the contrary contained herein, no addition, alteration, change, installation or improvement shall be made
<br />which will weaken the structural strength, lessen the value of, interfere or make inoperable any portion of the Premises or change
<br />the architectural appearance of the Premises.
<br />(b) Consent. Any Alterations or Utility Installations that Tenant shall desire to make and which require the
<br />consent of the Landlord shall be presented to Landlord in written form with proposed detailed plans. All consents given by Landlord,
<br />whether by virtue of Paragraph 7.3(aj or by subsequent specific consent, shall be deemed conditioned upon: (i) Tenant's acquiring
<br />all applicable permits required by governmental authorities, (ii) the furnishing of copies of such permits together with a copy of the
<br />plans and specifications for the Alteration or Utility Installation to Landlord prior to commencement of the work thereon, and (iii) the
<br />compliance by Tenant with all conditions of said permits in a prompt and expeditious manner. Any Alterations or Utility Installations
<br />by Tenant during the Term of this Lease shall be done in a good and workmanlike manner, with good and sufficient materials, and
<br />in compliance with all Applicable Law. Tenant shall promptly upon completion thereof furnish Landlord with as -built plans and
<br />specifications therefor. Landlord hlay (but without obligation to do so) condition its consent to any requested Alteration or Utility
<br />Installation upon Tenant's providing Landlord with a lien and completion bond in an amount equal to one and one-half times the
<br />estimated cost of such Alteration or Utility Installation and/or upon Tenant's posting an additional Security Deposit with Landlord
<br />under Paragraph 34 hereof.
<br />(c) Indemnification. 'tenant shall pay, when due, all claims for labor or materials furnished or alleged to have
<br />been furnished to or for Tenant at or for use on the Premises, which claims are or may be secured by any mechanics' or
<br />materialmen's lien against the Premises or any interest therein. Tenant shall give Landlord not less than ten (10) days' notice prior
<br />to the commencement of any work in, on or about the Premises, and Landlord shall have the right to post notices of
<br />non -responsibility in or on the Premises as provided by law. If Tenant shall, in good faith, contest the validity of any such lien, claim
<br />or demand, then Tenant shall, at its sole expense defend and protect itself, Landlord and the Premises against the same and shall
<br />pay and satisfy any such adverse jccdgment that may be rendered thereon before the enforcement thereof against the Landlord or
<br />the Premises. If Landlord shall require, Tenant shall furnish to Landlord a surety bond satisfactory to Landlord in an amount equal
<br />to one and one-half times the amount of such contested lien claim or demand, indemnifying Landlord against liability for the same,
<br />as required by law for the holding of the Premises free from the effect of such lien or claim. In addition, Landlord may require Tenant
<br />to pay Landlord's attorneys' fees and costs in participating in such action if Landlord shall decide It Is to its best interest to do so.
<br />7.4 Ownership; Removal; Surrender; and Restoration.
<br />(a) Ownership. Subject to Landlord's right to require their removal or become the owner thereof as hereinafter
<br />provided in this Paragraph 7.4, all Alterations and Utility Installations made to the Premises by Tenant shall be the property of and
<br />owned by Tenant, but considered a part of the Premises. Landlord may, at any time and at its option, elect in writing to Tenant to
<br />be the owner of all or any specified part of the Tenant Owned Alterations and Utility Installations. Unless otherwise instructed per
<br />Paragraph 7.4(b) hereof, all Tenant Owned Alterations and Utility Installations shall, at the expiration or earlier termination of this
<br />Lease., become the property of Landlord and remain upon and be surrendered by Tenant with the Premises.
<br />(b) Removal. Unless otherwise expressly agreed in writing, Landlord may require that any or all Tenant Owned
<br />Alterations or Utility Installations be removed by the expiration or earlier termination of this Lease, notwithstanding their installation
<br />may have been consented to by Landlord. Landlord may require the removal at any time of all or any part of any Tenant Owned
<br />Alterations or Utility Installations made without the required consent of Landlord.
<br />(c) Surrender/Restoration. Tenant shall surrender the Premises by the end of the last day of the Lease Term
<br />or any earlier termination date, with all of the improvements, parts and surfaces thereof clean and free of debris and in good
<br />operating order, condition and state of repair, ordinary wear and tear excepted. "Ordinary wear and tear" shall not include any
<br />damage or deterioration that would have been prevented by good maintenance practice or by Tenant performing all of its obligations
<br />under this Lease. Except as otherwise agreed or specified in writing by Landlord, the Premises, as surrendered, shall include the
<br />Utility Installations. The obligation of Tenant shall include the repair of any damage occasioned by the installation, maintenance or
<br />removal of Tenant's Trade Fixtures, furnishings, equipment, and Alterations and/or Utility Installations, as well as the removal of
<br />any storage tank and the removal, replacement, or remediation of any contaminated soil, material or ground water, all as may then
<br />be required by Applicable Law and/or good practice. Tenant's Trade Fixtures shall remain the property of Tenant and shall be
<br />removed by Tenant subject to its obligation to repair and restore the Premises per this Lease. Nothing contained in this Paragraph
<br />cl shall be deemed to limit Tenant's repair and maintenance obligations pursuant to this Lease.
<br />B. Insurance; Indemnity
<br />8.1 Liability Insurance - Tenant. Tenant shall obtain and keep in force during the Term of this Lease a Commercial
<br />General Liability policy of insurance protecting Tenant and Landlord, Landlord's Lenderls), if any, and AMB Institutional Realty
<br />Advisors, Inc. (each as an additional insured) against claims for bodily injury, personal injury and property damage based upon,
<br />involving or arising out of the ownership, use, occupancy or maintenance of the Premises and all areas appurtenant thereto. Such
<br />insurance shall be on an occurrence basis providing single limit coverage in an amount not less than $2,000,OOOper occurrence
<br />with an "Additional Insured -Managers or Landlords of Premises" Endorsement and contain the "Amendment of the Pollution
<br />Exclusion" for damage caused by heat, smoke or fumes from a hostile fire. The policy shall not contain any intra-insured exclusions
<br />as between insured persons or organizations, but shall include coverage for liability assumed under this Lease as an "insured
<br />contract" for the performance of Tenant's indemnity obligations under this Lease. The limits of said insurance required by this Lease
<br />or as carried by Tenant shall not, however, limit the liability of Tenant nor relieve Tenant of any obligation hereunder. All insurance
<br />to be carried by Tenant shall be primary to and not contributory with any similar insurance carried by Landlord, whose insurance
<br />shall be considered excess insurance only. So long as Tenant is the City of San Leandro, Tenant may satisfy its insurance
<br />requirements tinder this Lease through a program of self insurance, provided that the coverage afforded Landlord thereunder is not
<br />diminished.
<br />8.2 Liability Insurance - Landlord. In addition to, and not in lieu of, the insurance maintained by Tenant pursuant to
<br />Paragraph 8.1 above, Landlord shall obtain and keep in force during the Term of this Lease, as an item of Common Area Expenses,
<br />such policies of Commercial General Liability insurance protecting Landlord, Landlord's Lender(s), if any, and AMB Institutional Realty
<br />Advisors, Inc. against claims for bodily injury, personal injury and property damage based upon, involving or arising out of the owner-
<br />ship, use, occupancy or maintenance of the Project and all areas appurtenant thereto, in such form and amounts and including such
<br />coverages as Landlord deems appropriate. Tenant shall not be named as an additional insured under such policies.
<br />8.3 Property Insurance -Building, Improvements and Rental Value.
<br />(a) Building and Improvements. Landlord shall obtain and keep in force during the Term of this Lease, as an
<br />item of Operating Expenses, a policy or policies in the name of Landlord, with loss payable to Landlord and to the holders of any
<br />mortgages, deeds of trust or ground leases on the Premises ("Landers "), Insuring loss or damage to the Building, including all
<br />improvements, fixtures, furnishings and equipment. However, Tenant Owned Alterations and Utility Installations shall be insured
<br />by Tenant under Paragraph 8.4 rather than by Landlord. The amount of such insurance shall be equal to the full replacement cost
<br />of the Building, including all improvements, fixtures, furnishings and equipment as the same shall exist from time to time, or the
<br />amount required by Lenders. At Landlord's option, such policy or policies shall insure against all risks of direct physical loss or
<br />17LG.1%CrtLVMR. RVl e I Page 5
<br />es/oe/h
<br />
|