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EXHIBIT 10.6
AMENDMENT NO. 5
TO
OFFICE BUILDING TRIPLE NET LEASE
THIS AMENDMENT NO. 5 TO OFFICE BUILDING TRIPLE NET LEASE is made and
entered into this 23rd day of August, 2000, to be effective, however, as of
October 1, 2000, by and between JUBILATION ENTERPRISES, L.L.C., a Washington
limited liability company, as Lessor, and TELECT, INC., a Washington
corporation, as Lessee.
In recognition of the projected completion of a new building on the
Premises known as the Phase V Expansion consisting of approximately 43,000
square feet and the occupancy by Lessee of the Phase V Expansion building on or
about October 1, 2000, together with an adjustment of the current Monthly Rental
to better reflect fair market rent, the parties hereto do hereby amend,
effective as of October 1, 2000, that certain Office Building Triple Net Lease
between Lessor's assignors, Bill B. Williams, Jr., and Judith A. Williams,
husband and wife, and Lessee, bearing the effective date of February 28, 1990,
as previously amended by that certain Amendment No. 1 to Office Building Triple
Net Lease dated January 20, 1993, that certain Amendment No. 2 to Office
Building Triple Net Lease dated July 13, 1993, that certain Amendment No. 3 to
Office Building Triple Net Lease dated June 13, 1994, and that certain Amendment
No. 4 to Office Building Triple Net Lease dated October 10, 1997, as follows:
1. Section 3 thereof is hereby amended in its entirety to read as follows:
3. Term. The term of this lease shall be for a period of one
hundred eighty (180) consecutive months commencing October 1, 1997;
provided, however, that the term of this lease may be extended as
provided in Section 19 hereof. The phrase "lease term" as used in this
lease, shall be the term of this lease and any extension thereof
pursuant to said Section 19. Notwithstanding the foregoing, at any time
after September 30, 2002, and from time to time thereafter, Lessee may
upon giving not less than twelve (12) months prior written notice
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to Lessor reduce the number of square feet of the Premises occupied by
Lessee all within the sole discretion of Lessee. The notice shall
specify the amount of the square foot reduction, the location thereof
within the Premises and the effective date such reduction is to take
place. Lessee shall upon the effective date vacate the portion of the
Premises described in the notice in accordance with the terms of this
Lease and the Monthly Rent shall thereupon be proportionately reduced.
The parties shall forthwith execute an amendment to the Lease
describing such changes.
2. Section 4 thereof is hereby amended in its entirety to read as follows:
"4. Monthly Rental. Lessee shall, during the lease term, pay
to Lessor at 25425 E. Mission Avenue, P.O. Box 629, Liberty Lake,
Washington 99019, or such other place as Lessor shall designate in
writing from time to time, without setoff or deduction for any reason
whatsoever, a monthly rental in the amount of One Hundred Fifty-Six
Thousand Nine Hundred Fifty-Four and No/100 Dollars ($156,954.00). The
monthly rental shall be prorated for partial months falling within the
lease term, and shall be payable in advance on or before the first day
of each calendar month during the lease term. If any rent payment is
not received by Lessor within five (5) days after the due date (or on
the next business day if the fifth day is not a business date), then
Lessee shall pay as additional rent the sum of five percent (5%) of the
delinquent payment for each month or portion thereof that the payment
remains overdue. Notwithstanding anything else herein to the contrary,
the monthly rental shall be increased, but not decreased, for the sixty
(60) month period beginning October 1, 2002 and ending September 30,
2007, and for the sixty (60) month period beginning October 1, 2007 and
ending September 30, 2012, by such amount as lessor and lessee shall
mutually agree upon in writing. If the parties hereto cannot agree on
the amount of such increase for any such period prior to thirty (30)
days before the commencement thereof, then the same is to be submitted
to arbitration in accordance with Section 29."
As herein amended, the parties hereto do hereby reaffirm and ratify all
of the terms and provisions of said Office Building Triple Net Lease, as
previously amended, and affirm further that all of the terms and conditions of
the Office Building Triple Net Lease shall apply to the Phase V Expansion
Building.
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IN WITNESS WHEREOF, the parties hereto have executed this Amendment No.
5 to Office Building Triple Net Lease on the date and year first above written,
to be effective, however, as of October 1, 2000.
LESSOR: JUBILATION ENTERPRISES, L.L.C.
By ______________________________________
BILL B. WILLIAMS, JR., Member
By ______________________________________
JUDITH A. WILLIAMS, Member
LESSEE: TELECT, INC.
By ______________________________________
Its _________________________________
STATE OF WASHINGTON )
: ss.
County of Spokane )
I certify that I know or have satisfactory evidence that BILL B.
WILLIAMS, JR., is the person who appeared before me, and said person
acknowledged that he signed this instrument, on oath stated that he was
authorized to execute the instrument and acknowledged it as a member of
JUBILATION ENTERPRISES, L.L.C. to be the free and voluntary act of such party
for the uses and purposes mentioned in the instrument.
Dated: ________________, 2000.
_________________________________________
Print Name: _____________________________
Notary Public in and for the State of
Washington, residing at Spokane
My commission expires: __________________
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STATE OF WASHINGTON )
: ss.
County of Spokane )
I certify that I know or have satisfactory evidence that JUDITH A.
WILLIAMS is the person who appeared before me, and said person acknowledged that
she signed this instrument, on oath stated that she was authorized to execute
the instrument and acknowledged it as a member of JUBILATION ENTERPRISES, L.L.C.
to be the free and voluntary act of such party for the uses and purposes
mentioned in the instrument.
Dated: ____________________, 2000.
_________________________________________
Print Name: _____________________________
Notary Public in and for the State of
Washington, residing at Spokane
My commission expires: __________________
STATE OF WASHINGTON )
: ss.
County of Spokane )
I certify that I know or have satisfactory evidence that
____________________________ is the person who appeared before me, and said
person acknowledged that he signed this instrument, on oath stated that he was
authorized to execute the instrument and acknowledged it as the
__________________ of TELECT, INC., to be the free and voluntary act of such
party for the uses and purposes mentioned in the instrument.
Dated: _________________, 2000.
_________________________________________
Print Name: _____________________________
Notary Public in and for the State of
Washington, residing at Spokane
My commission expires: __________________
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