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HomeMy WebLinkAbout0220.095TO: FROM: City of Palo Alto City Manager's Summary Report HONORABLE CITY COUNCIL CITY MANAGER DEPARTMENT: FINANCE AGENDA DATE: MAYS, 1995 CMR:1l0:95 SUBJECT: BFJlU1sr TI:MPORARY RELOCATION OF SENIOR CEl'fTER STAFF AND PROGRAMS TO 353 UNlVERSITf AVENUE, 415 BRYANT STREET, AA'D 4SO BRYANT STREET AND APPROVAL OF BUDGET AMENDMENT ORDINANCE This report requests C<>WJcil approval of. IS-mooth lease at 353 Univenlty Avenue and a Budget Amendment Oromance for $232,650 of addi60nal fumfl!lg {Altachlnenl AJ for the temporary relocation of!he Senioc Coordinating Council staff and programs. JlEffiMMENIM,TION SIaff recommends the Council approve and autbodze !he Mayor \0 execute a IS-month Ieasc of l51 umv=lty A,enue .... "th Amir Amidbozour (Al!achment B) and in<:rease the Capltal Improvement Program (ClP) Project #18508 budget for the relocation of the Senior C<XJrdinating Council (SCC) staff aDd programs by 5232,650. fnnotll8 will also enable the implementation ofaleeO center al425 Bryant Sire;!(. (See accompanying CMR:234:95, also in !his pad,et) PO •. ICY IMPLiCATIONS The temp<l<arJ lease and addi60nal funding request represent a continuation of the City's support for the Senior Cen!er, as .. en as commitrnelll \0 the e>"1<lblislunent of. teen" center in !he downtown. hg. I 0( I 8 -' -;--."1 _ ;.~~'" ,,---.--~ o EXECUTIVE SUMMARY In March 1993 (CMR:202:93). Cooncil appr<Wed 5300,000 10 1.ernponIriIy relocate the sec staff and programs into approximately 9.200 square feet or space fOr 15 months, 10 &flow fOr the structural upgrade of the Senior Center at 450 Br)'ant Street. Staffhas located thre< sites !hal w1il moot !he majori<j< of the temporary relocation needs of the sec staff and programs. In additioo. staff has iden!ificd an opportunity fOr joint ase of 425 Bryant fOr seniors and ieenS (8,575 sq.!l). To lI£COOIPlish the relocation, it will be necessary 10 lease an addiUonal 1,200 ,10 1~'iOO square feet of oflke space 10 meet the sec requirements. In order 10 comp!<1e the relocation portion of the project and remodel 425 Bryant Street fOr ajoint use by the Seniors and teens, staff is requesting an additional $232,650. USC" I -IMPACT S!3lT is """""",encfmg that the General Fund Budget Stabilizatiot! Reserve be <>sed 10 in=ase the existing ClP by $232,650, from 5300,000 10 5532,650 fOr the completion of the relocation of!he Senior Center staff and programs. including the remodel of 425 Bryant Street for joint use by the seci<n md leeDs. ENlJRQNMENIAL ASSEssMENT The lease at JSJ University and the uses proposed fOr 425 Bryant and 450 Bryant are categorIcally exempt under Class I • (Existi..,g Fecility) requirements of the CalifOrnia environmental Quality Act (CEQA). PREPARED BY: William W. Fellman. Manager Real?roperty DEPARTMENT HEAD APPROVAL: -~~-' -,:/~(~"i-~~-=''-'-~''~:",,\_- 0rrulyH - Director of F CllY MANAGER APPROVAL: ce: Kathy Qwin Amir Amidbozoor John Carlson OIlt:ll''''S O:neFlemi g ityManager ~.,. .. ~ , ,-. "",,,101' " . -. City of Palo Alto City Manager's Report -------.-----------.. ----- SUBJECT, TEMPORARY RELOCATION OF SENlOR CENTER STAFF AND PROGRAMS TO 353 UNIVERSITY AVENUE, 415 BRYANT STREE'r, AND 454 BRYANT STREET AND APPROVAL OF BUDGET A.l\fENDMENT ORDINANCE RECOMMENDATIONS: This report requests Council approval ofll5-montl> lease at 353 University Avenue and 5232,650 cf addltioool funding for til<: temporary relocation of the Senier Cooofmating Council Staff and programs, BACKGRo! [ND III Man:h 1993 (CMR:202:93), s'.affinformed C<xmcillhat the structural upgrade ofti-.. Senior Cenler BuildIng at 450 Bryant Street would require the ,elocation of the SeIDor Coordinating Council (sec) staff and their programs for approximately IS months. Currently, 3S sec staff provide services and programs 10 an estimated 6,000 seniors. FOI'1U!lati:ly, \be sInlCtural upgrade "ill not require relocation of an sec staff and programs, as me La Comida bot lunch program and COOIpuler cenler, located in the Senloc Center, will remain in their curren/location dliring the construction. DISCI1SSJON SJw'C' RcqpiremeBts The main CO!>Xm of the sec during the structural upgrade is loss of clients. sec bas kJ!d stafflhat it is impo=tive Ihat staff and pro~ now housed at the Senior Center, be located as em Iogelhe< as JlOSSlb!e and that it is critical 10 tile senior programs that the nexus with La OJnrlda bo! lunch program be maintained. Sinc. the La Comida program will remain at the Center, staff endeavored !O find approximately 9,200 square lee! of c>ffice IIIld program space IS close 10 tbe Senior Cenrer as possible. The specific space requirements !I/'O detailed in Exlubi! I. fin<rmg appropriate IVall.ble space for the re1ocation has been difficult. No! ooIy were !he pro . .muty 2l>d size requirements restrictive, but staff found owners thot have PoaeJaU ,---- " .~-; , "-j' '\ \, - space available but are unwilling 10 leas: roc less than I three-year lenn. Typical office coofigmatioos wit.'lln an available lease" space were also, on average, larger lllan Ihe existing typical sec oflk<:s. Staff found Chat since Ihe relocation budget was crealed in ) 993 (CMR:202:93). the average per square foot rental had risen from $2.50 10 52.65 per S<{uare foot. Staff did find • few sites Chat met the office teeds 0( sec, and one in palti<:ular that wm be very convenient roc the sec .:lienl.!e. PROPOS.U. roB RElOCATION So.aff is recommendIng the following three silOS to meet the majority of the Senklr Oonler requirem ... ..ts: Site Square footage Space Use 353 University Avenue 5,700 Office &: boardroom/classroom 425 R-yanl Street 2,175 Oftk. and 1'1.0 classrooms 450 Bryan! Street 700 One classroom Tol&! ~,S7S lSJ t tniywitY Ayenue 353 University Avenue is a 5,700 squ .... foe(, lOrmer savings and loan buMlIIg on the noc\hc:&st;:()[Iler of University Av~ue and f1o<en<:e Stttt!. The site is visible fuJm 450 Bry:mI, and cbis ground floor Iocatioo will prO\'ide easy accessibility roc the seniors. A site plan sbows that there is space roc 25 of the sec staff, 8 volunt= Iocslions, buardroomfclassroom, craft saks are., the exam room, staff Ioonge and mail room (see inlerior site plan marked Exhibi(2). The landlord. Mr. Amidhozour, has offexed 10 lease cbis space 10 !he City roc • minimum 15 months at S I ,90 per square foot tripie net 10 0Iher words, the base renl is $ L90 per square foot and the lenanl pays an other expenses. The restrooms do nO! meel Americans with Disability Act (ADA) requirements, and the ",ide open bank area will reQuire that the space be divided inlo several smaller, modular offices. The landlord bas offered to do the work.t City expense, The City's share of the !AXeS and assessment roc the term of the lease is estimated \0 be $20,500. The lease is attached roc Council review and approval. Staff rstitn.otes that the r~t, renovation and other expenses ... sodated wilh the lease of353 University ",ill be approximately S334,255, i!Ic!;;d'mg taxes. rq.'oll '.','." ,- 425 !kyan! Street Slaff originally plann:d 10 usc the 425 Bryant site as the location for the sec inf<Jrm3lion resoorces staffmember, Office spau fOe the Coorcfmator and Assistant Coordinator fOe Adull f.clucation and Recreation, and two of the classrooms. This sile is aorectJy across Bryant Street from the Senicc C""ter and ",11 be • natural location fOe an infonnation r~ person 10 direct the senion and fOe the coooIination of the programs. Late last year, this site was propose<! as the possible Ioca!ioo fOe • do ... nlown teen cenler. For the last sevoral mootJo.s, sec and the teens have been woding ",ilb !taJ'i"on lplan fOe this sire 10 be used as • combined teen and Senior Cenler location. The semon would use !he sile Monday through Friday from 8:00 a.m. 10 5:00 p.m. After the structural upgrade of the Senior Center. 425 &ylIIlI. would b.: solely used by the teens. The teens would have nse of the reception ~ !he two cllSSlOOfllS, I separate stonge area. a counseling ...... and a coffeeIbar (see interior sire plan, E><hibit 3). AJtllough the leeDs had hoped fOe I wide open spau that would ..now fOe dances and other large group fuoctioos, !he building was originally designed as an office building; and any substantial increase in !he number of ,,"upants would require major structural work. including l selsmic re".n-.fit, ()verbead sprinklers and complete renovation of the restrooms. lb. open design would also no( be comp<.tible with the Senior Center Iempornty space needs. Regardless of the use, the majority of the cost will be used 10 meet the State of California Tide 24 and 1M American with Disabilities Act requirements. The IIlChltect for !he Senior Center has estimated Il'.e cost 10 remodel 425 Bryant for I senior!teen center would be .pproximately $85,000. An additional $3,000 was budgeted for janitorial servi<:es, and $2,210 for moving expenses. fSO II[yan! Street There are lII'!UalIy two bw1<fmgs at !he 450 Bryant Street Senior Cenrer: the buUamg 10 be structurally re:rolitteil and • one-slOI)' buMlIlg that formedy boosed • woodworking and minor 'Wliance repair shop. sec is in !he process of turning this (adli!)' ink> its fifth dassroom. Last year tlte sec r.q~ Communi!)' Development Block Gnml (CDBG) funds fOe ooov"",ioo 0( this space 10 • !iltl! classroom. The CDBG request was denied, but sec was able 10 raise !he funds and the arcbilectural plans are currently going through the penni! process. Staff asked sec iithis spau could be nsed for the re1ocatioo o(!he existing 700-square-fOOt classroom unlI1 the structirraI upgrade was completed fustead 0( immediately =atingan additional classroom. sec was willi.g 10 elirninare the creation of a fifth classroom if the reloc.tion funds ($25,000) that were scheduled \0 be used \0 renl I 700- square·fOOt classroom wou}j be used instead for sec improvements 00 the first floor of the Center that were not part oflhe structural upgrade. The improvements include removal of • wan !O expand Ibe craft .a1e area and wod: aroond !he receptioo desk that would make it hleSatl '," more functional. Staff estimated lila! iI would COS! al1east $25,000 10 find replacement space !'or !he 700-square-foot clIISilrOOm. The $25,000 is included in !he request fur lIddltiooal . relocation J\;iids: Otbcr OfflCe Space RpWlirements The temporary office spa<:e at 353 University Avenue and 425 &y."t Street provide space fer 25 oflhe 35 sec s!$!I. Staff estimaies \hat !he remaining' stoff memben Wlli nM from. 1,000 to I,SOO additional square feet and that !he rent, moving expenses and any improvements for Ibis additional ... "" wO'Jld be about S83, 185. Staff proposes "J return 10 CounciI .. lith. lease fur the addition.! space. AI.TERNATIVES On~ other site met the requirem<.'1Its oflbe temporary relocation. It would h.". cost ,bout !he same, but would be f.nher away and • second-floor location. The space had sevcrallarge offices, ""as within two blocks vf Ibe <:eI1ter alid met the minimum Arnerkans .. ilb Disahilities Act standard>. The main problem was !he existing offices were 100 big for one, and 100 small 10< two, sec staff members. In order 10 acconuoodate !he sec spa<: e requirement, additional space would have had I<> be leased or the space would have had 10 be r=>ofigured with new offices. The rent was $2.65 per square 1001 (fun service). The rent and !he =nJ'iguration would have cost aboot $300,000, but 1IJc sec'. clien .. would have a more difficult time getting 10 the location, and the space is farther from the La C<JIDida program, computer center and classrooms. IlSCAL lMPACT The approved l'.udget 10 temporarily reloc.ale the sec staff and programs is $300,000, which inciodes $25,000 10< the e!o1im~ted ""';! to retrofit 425 &yan! StreeIIOr Sew", Center classroom use. Due \0."" proposed combined use of 425 &yant by seniors and \cens, lb. additional necesS>!)' re!>Ovations 10 353 University, staff estimates tbat Ibe temporary relocation of the sec staff..oo programs to be about S532,65(}. The breakdown ..00 costs associ~d will> the tempc<ary relocation at each location are estimated as follo,,-s: ....... u >, ~ ~ .. -, : ,- "" i lSl University .25 S<yant 450 B<yant AdditiooAl $poe<: YOW N~ ItonI $18~.950 S ),000 $25,000 $60,000 5210,950 RenovaIl09 $143,000 S85,000 -520,115 248,175 Moving $8.305 $2,2\0 -S),OIO 1),525 Total $334,2SS 590,210 525,000 S83,ns 5532,650 A tcquest 10< Community Development Block Grant (COOO) Ihnds for $275,000, for the 1eDlp<lnly relocation cost, ,,~ denied by the CDOO Citizens Advisory Committee. Staff and the Citizen's Advisooy Committee recomrru:rided de.nial of!he request, due 10 the high downtown renla! rat<: and Ibe difficulty in ascertaining Ill. required link 10 low income beneficiaries. SIaff i< requesting th.t the General Fund &.>dget Stabilizatioo Reserve be used 10 increase !he project budget by 5232,650 ro $532,650. EN}JRQNMENTAL ASSESSMENT The lease at 3H university and the Use5 proposed for 425 Bryant and 450 Bryant are ~egoricalJy exempt under Class J-{Existing Facility) requirements of the Qlifumi. Enviroomenlal Quality Act (CEQA). ~TEPS FOLI.O"lNG APPROVAl. If the C""".clI approves the staff recoII'.lnendation, the rollowing steps will be taken 10 romp~ the relocation ofth. sec staff and programs: I) the landlord "'ill COOlIl1eIlU !he b",1d~ of 353 University; 2) the remodel of the 425 Bryan! Strectloc.tion will be puI 00110 bid; and 3) staff wrll negotiate and reluni !o Council with • lease for the rem.aining 1,500 square feet of office space. sec staff and programs should be relocated in temporary space by the and of ADgusll995. Pac·7all .... ,\ttAQlMFJ'!l1¥'EXHIRIDi . A1t&chment Ie Budg", Amendmenl Ord'tnalYA! . Att&dunenl B: f'roposed IS-month lease with Ami! AmldboWUl' for Ih~ lease of 35) Uulvecsit)' Avenue E"hibit I Exhibit :< Exhibit l EYluOit 4 Specilic Lase RequiremcnlS ~S3 Uulversit)l Site Pla:l 42S BQut Site Plan Lot.tioa PIon . -:.. ATIAClIIUIl A ORDINJINCE NO_ OiIDlNA.~ OF THE COIJbICIL OF THE CITY OF PAl.c> l>LTO AMENDING TV~ BUDGET FOR THE FISCAL YEAR 1994-95 1'0 PROVIDE AN ~ITJONAL APPROPRIATION FOR O.PITAL IMPROVEMENT PROJECT NO. 18509. ·Pf..1ELIC BU!LOINGS: STRtk..-nJRAi, IMPRO",,~· lIr.'HEREAS. pursuant t.o the prov].s~ons of sec-tion 12 of Article III of ~he Charter of the City of Palo Alto~ the Council on June 20. 19~C did adopt a bud.et for fi5cal year 1994-95; and WHEREAS, council approved $300.~D~ in f~~ing for the temporary relocation of Senior Center staff and programs in the 1994-95 Capital Improve.ment Program (eIP, for -Public Buildings Structura.l Impro·.rements· to allow for a seismic upgrade -of the $I:o--nior center; ar..-.d WHEREAS. Council has expressed support for the establishment of a teen center; and 'WHEREAS. etaff has identified tbree sites that viII accommodate botll Senior Cent-er staff and programs as well as provide apace for a teen canterl and WKERF.J.S.. it is estima.ted t.hat. $232.650. in additior .. al coats are needed to provide space for Senior Center staff and for remodeling costs to allow joint use of a site by seniors and teens; NOW, ~AEF~FOP~ .. tbe Council ~f the City of Palo Alto does ORDAIN as follow,,, SECTION 1. 4 The sum of Two Hundred Thirty Two Tnousand Six Hundred Fifty Dollars ($232,650} is hereby awrop::-iated to C!P Project Number 185-08 ... ".Public Buildings: Structural Ialpl:'ovement.s.· This funding increases Project 18S08 1 s appropria~icn from Six Hundred Seventy Five Thousand Dollars {$675.0'0'0) to Nine Hundred Seven Thousand Six Hundt'ed Fifty Dollars ($907.65,0). SE:CTTCN 2. The scope .of the ·Public Buildings:: Structural Improvements· project {lSSOS} is hereby expanded to include leasing and remodeling expenses ~hich includes the teen center. aECfIOf{ 3. This trar!sactioo. will red'...lCe the Budget Stabl1i~ati~ ~eserve from $12,05',,411 to $11~824,7el. SECTIQN .~ As specified in Section 2.28.0S0(a) of the Palo Alto Municipal Code, a t.wo-t.hirds vct.e of the City cO'.mcil is req~ired t~ adopt this ordinance. SECTION S. The Council of the City of Palo Alto hereby finds tnat th~ enactment of this ordinance is not a project under the California En"ironmen,ta) Qual ity Act and., therefore., PO envir~.mental impact aS3esement is necessary. S6CJ'IOB fi. MUnicipal Code, adoption_ As provided in Section 2.04.375 of the Palo Alto this ordinance shall become effective upon urrROOOCEO »;0 PASSED, AYES, NOES, ABSTElfU OI'lS, ATTEST, APPROVED, City Clerk Mayor APPROVED AS ro FOruoi, Sr~ Aset. City Attcrney Ci ty Manager Director of Fin~~~ AITACHMENT 8 OYrIC. SPACK LBAS~ SBTimEN AllXIt AKrDEOZom< AND CXTY 011' PALO ALTO ~t.icle 1 DeUni tions 1 Article ~ Tern> Article 3 Demise-d Prem.ises 3 Article " Uses and Liml~ationB ArUcle 5 Rent Article 6 5ecuzity lleposi t Article 7 Taxes and Aeaessments 5 Azticle e Alterations and rmpro~emp.nt8 6 Art:1cle 9 Maintenaoce and Repairs 7 Art:icle 10 ~ilities and ~rvices Article 11 rnSl.lrance Article 12 Inde"",ity 8 Art-icle 13 Waiver Article H Q\li e t Ell j O'l'1Ilen t Article lS ~signrnent and SUblease 10 Article 17 Surrender and Abandonment 10 Arlicle 18 Condemnation 11 Article 19 Damage and Destruction 11 Article 20 C~liance with La~ Article 21 Oefault and Re~edie5 13 Article 22 Entry by Landlord A..-ttcle 23 Notices If .A:rtl-cle U TE:nant .. s Certificate IS Article 25 Subcrdinat ioa 15 Article 26 Miscellaneous Provisions 15 Exhibit 'A' -Premises Fl~r Plan QUICI 6,1&, LI,\SI This Office Space Lease.. dated 1995, is entered into by and bet~~en Amir ~~idbczour and the City of palo Alto. UCi'I'AL' WHEREAS, the City of Palo Alto re~jres temporarf space to house the prog~ams and staff of the Senior Coordinating Councii of the Palo Alto Area; a.nd ~~. Amir A~dhozour r4s cffered to lease space wbich the City~s staff has determined maets some o~ the needs of the senior COOrdinating Council; and WRER!.AS, the -coun.o:il of the City of Palo Altc-has deter&ined that the execution of the lease will best serve the temporary space re~Jirements of the Senior Coordinating C~~il; NOW. ~~PORZ, in COD$ideration of conditions. covenants and other p:rovisiOlU!! of this parties-agree: the terms~ lease, the Artlcl. 1 -DefinItions The ~rds and phrases as used in this ~ase shall hav~ the follO\lfing meanings., unless the context: clearly indicates ot.herwi se : -Business Day-means any calendar day except Saturday. Sunday. and any ~ber day observed as a holiday by tne City of Palo A]t~ pursuan·t to PAMC section 2" .:DS .1.0,0 ~ -Improvement-means any aMition., alteration, betterment. construction Oir improvement to the Premises or the Building, or any part ther~of. -Landlcrd" means Amir Amidhoiour, as an individual. -Law" ordinance, policy. or means any judicial decision. statute, constitution, resolution.. regulation, n:le~ adrllinistrative order r other req'J.irements of any federal r state.. county-or 1 .,;:. municipal or etber go~ernmental agency or authority having jurIsdiction ~r the parties ..or the Building or-Premises, or bothJ in effect either at the time of execution ¢f this Lease or at any . ,time durin.g the tel.-m of the Lease, including. 'Without limitation .... . any regulation or order of a quasi-official entity or body. -Lease-means this Lease. ·PA~· means the Palv Alto ~icipal Code. ·Per&on-means an individual, a eorporation# a partnership, 0 join,t venture, and other form of 'bi ... sic.ess a.s socia.t ion . -Pre~ises means the area ~~thin the lease. -Provision-means any terml agreement, covenar.t, condition, clause, -qualification, re9triction~ reservation,. or other stipulation in the Lease that -defines cr ot.her.lise controls, e.tablishes ... or limits t:.he performance req.lired or permitted by either-party. ~l Provisions, whether covenants or conditione, shall be deetned to be bot.h CClVena:1t& and conditions. -Tax" 1l'1I~-ans-any assessment. ~ lice.nse .. charge, fee, il!tpOsitio!l or le_vy impoe.ed by any government.al body. tlOI'enem.t! means the ~t)~ of Palo .J...J.to ... a KTUnicipal corporati<Xl of the sta,te of California. -Tenant Improvements· means any Improvements exist.ing on t.he PremIses at: t.he Commenceme!1,t Date and any other Improvements lrihich may be constructed on tbe Premises by Tenant or by Landlord for the benefit of Tenant. -Tenant Property-means all of Tenant'"s personal property. iDCluding~ without limitat.ioo, furnishings" \:ra~ fixtures... and eq>.Jipment. Article 2 -Ter.a 2.1 This Lease shall be binding on the date of its approval by the council of the City of Palo Alto as first. above set for~h {-Effective Date~J. The term of this Lease shall consist of a. basic -teI18. 2-.2 Unless sooner terminated pursuant t.o the P-rcvisions of this Lease Or unless the Lease is extended as set. forth herein, , . ~; ,-",.> ~ -"-~-- the basic term shall be for a fifteen month period commencing on May 15, 19~5 and ending on August 1.1 1996._ 3.1 Th~ demised premises and all appurtenances thereto COIlsist of the" first floor (·Premises') of a tWO-3tOry building structure {-Building') located at 353 VbiversityAven~e in the city of Palo Alto.. COun·ty of Santa Clara, State of California {~sessor's Parcel ~r 120-15-45); ~he Premises Floor Plan is attached he~eto as BY~ibit -A-. The toeal area of the Premises is warranted t.o b'!" not less t.han 5,. 700 Sq'.lare feet. 3.;a Landlord sha.ll deliver the Premises to 'I'ena.."1t in its !'las is' existi.ng condition on l'oay 15, 1995. 3.3' Landlord represents and warrants,. and 'renant, in reliance thereon enters into t.his Lease on condition that the electrical I plumbingr lishting,. air conditioning,. and heating and ~her BVAC system components are in compliance ~th applicable La~ and shall be fully operating within the Premises on May 15~ 1995 . and continuously t.hereaft.er during the term of this Lease, t.hat t.he Pro:i.ect is folly sprinJtlered arod conta.ins a sufficient quantity of fire ala~s and/or smoke detectcrs l ~!~t the Premises contains no asbest.os or asbestos-containing lnaterials which would pose a threat -':),f harm. or injury to any person, that thet"e ~re no ~n bazardous or toxic materials located in,. en· or about the Premises to the best of Landlordrs knowledge~ 3.4 Landlord further represenfs that there are no 00- site parking facilities that are dedicated to Tenant. l_~ Tenant shall keep the Premises and the Suilding in whi.ch the Premises are situated .. free frO{! any liens arisin<g ou·t of ~y work performed .. C\aterials furnished, or obligations incurred by Tenant ~ Article , ~ Uses and L~t.tionB 4.1 Landlord hereby leases to Tenant. ar~ Tenant hires frOm Landlord, the Premises for general office space purposes, and for-no ocher purpose. 'I'he use of such Premises shall include the following nonexclusive rights: use of the restroom facilities, the rigbt"of ingress and egress. thE right to 0Dn3truCt. ins~all. use and maintain any Tenant Improvements and Tenant Property. and the -, . .. . ~ . f. use of the sidewalks and driveways and the areas directly beneath ·:)r above such sidewalks and driveways adjacent to the .Building. 4.2 Tenant aball r~t commit, ¢r suffer to be co~,itted, any waste upon the Fremises, or any nuisance~ or other act or thing ~hich ~y disturb tbe q~iet enjo~~nt of any other tenant in the Building, or allow the sale by auction upon the Premises, or allo~ the Premises to be "Used for auy improper.,. immoral # unlawful or objectionable purposes .. or place any loac!e upon the floor,. walls or ceilings which eadanger the. Building structu.re.. cr place any harmful liquids in tbe drainage system of the Building. No waste materials or refuGe shall be dumped upon or ~~itted to remain upOn any part of the Premises outside t.he Building~ No materia.ls ... supplies .. equi~-nt,. finished products or semi-finished products, r~w materials or articles of any nature shall be stored upon or be peirmitted to remain on. any portion of the Premises outside of the Building. Article S -RIIIlt. S.l Du.ring t.be fifteen {IS} month tenr. of -the leas>:!" ... Tenant sball pay as ren.t on a monthly' basis in advance t.he surn. of ten thousand eig!l-t hundred and thirty dolla.rs ($lQ .. 830). S.2 ()n or before the fifteent.h day of each successive calendar month of the basic term ... com.'nencing on May 15,. 1.9:515 .. Tenant aba.Ii pay rent to Landlord as set forth herein. Such rer..t shall be payable in lawful money of -the United States to tbe address set forth in Article 23 ~r to such ~rson or at such place as Landlord may designate from ti!'r.e to time in "Writing~ Article 6 -Saeurity Deposit 5~ 1 Prior t.o May 15, 1995 ... Tenan·t shall depo-sit · ... ith Landlord a seC'...lrity deposit in the a:nou.nt of Ten Thousand Eight Hu..'1.dred and Thirty Dollars ($10. B.30, ~ upon pay~,ent of such deposit .. Landlord shall provide to Tenallt's real property manager ooe set of keys to Sullding, and Tenant, at its cost and e~nsel shaj} be entitled to duplicate xeY5. 6.2 ~ll or any portion of the principal sum shall be available unconditionally to Landlord for correcting ~1y nefault or breach -of this Lease incurred by Landlo·rd as a resu} t of the failure by Tenan·t l its successors or assigns, to faitbfully perform all of the terms, covenants, an-.j conditions of this lease. - .-,' 6.3 The security deposit shall be rebated, reassigned, rel~aeed, or endorsed to Tenant or order, as applicable~ at ~be end of the Lease term, provided T~nant has fully and faitbfully performed each and every te:-in~ .covena::J.t .. and condition of this Lease. 7~1 T~nant snaIl pay one half of the real property taxes and assessments which accc~e and become applIcable to the Fre~isee d·tlring the term of this Lease. Landlord will bill Tenant. within thirty 30 days of receipt of taxbill for Tenan~ applic3ble portion. A copy of the t~xbi!l shall accompany Landlord billing. 7.2 Tenant shall pay. prior to deli~~ency. all taxes assessed ~gainst and levied upon Tenant Property situated within t.he Premls.ee ~ When possible. Tenan.t shall cs.u.se its Tenant Property to be assessed and billed .separately from the real property of Landlord. If any Tenant Property is assessed with Landlord's real property, Tenant shall pay to Landlord the taxes al1oc~bl.e to Tenan.t Property within t.€::l (lO) Business Days after receipt by Tenant ¢f a written statement setting forth the taxes attributable -to Tena."lt Property.. Tenant shall pay for all ooeiness licens.eli and taxes in-curred in the operation. of Tenant's business on t.he Premises. Tenant shall also pay a..'y City of Palo Alto tax ~r assessment levied or assessed against tenants in the City of Palo Alto. 7.3 'lenan·t shall be the o'elller during the teZ1R of any Tenant IlJ1provemente installed at Tenant ra expense,. and any such Tenant I~rove-ments shall be entirely assessed to Tenan·t for property tax purposes. _ If any such Tenant Improvements are assessed with Landlord's real prc~erty taxes, Tenant shall pay t.o Landlord t.be t.axes allocable to Tenant Impr-ovemellts .within ten llO} Busi:r>-ess Days aflter receipt by Ten.ant of a written statement setting forth the taxes attributable to Tenant Improvements. -Tenant -shall be entit12d ... upon request,. to receiv~ from Landlord: a written determination of the method of allocation of Landlord's taxes t.? Tenant Improye!nent.s~ Tenant. shall not. remove from the Premises any Tenant Improvements, unless Lar~lord requests such removal# and such re~al shall be-~r~rtaken at Tenant's cost and expense. 7.4 Nothing in this Article shall be construed to prohibit ~enant from cOntesting any such levy or assessment. and~ if Tenant should so contest~ Tenant· s obligation to pay such t.ax or .. -~ . ""':: --. -, .. " ~--: ... > assessment !Ohall during the pel'iod of contest ~ temporarily s1..i.s~nded. Article 8 .. Alteration-s and Xaprovem:ents S.l Tenant shall not make, or s1.lffer to be made, any alteration or addition to the Premises, or ar.y part thereof, Yit~~t th~ written eonsent of Landlord first had and obtained. Ar:.y Tenant requested alterations and additions will be made at Tenants cost, and any addition to-.. or alterations of. t.he Premises, except Tenan·t Property .. sball become the property of Landlord at the expir~tion or sooner termination of the Lease. $.2 Ter...a.nt shall retain title to all Tenant Property placed in" on or about the Project. All partitioniL~, drapery :u;d carpeting installations made by Tenant, together with all personal property that has become an integral part of the Building, shall be and become the property of Landlord upon ~ne expiration or sooner termination of the Lease, and such personal property shall not be dee~_ Tenant Property .. eY.:cept as may be now 01:" hereafter agreed to by the parties. Tenant agrees that it will r~t proceed to make such alteratior.a or additions,. having obta.1:ned consent from Landlord to do so..-wbich Landlord agrees to not unreasonably withhold .. un-til two (2) days from tbe receipt cf such consent .. in Clrder :that Landlord may P'J'st appropriate: notices co avoid any liability to contractors or material suppliers for payment of­ Tenant Improvewents. Tenan,t. will at all times permit s'UCh notices to be posted and to remain posted u..TJ.·til the completiOiJ. of -lIt'Ork. a~) Landlord shall construct such Improvements r~~ested by tenant. and Tenant agrees to pay for toe costs of such Imprcvereents .. which s~~ll not exceed one hundred and forty~three thousand dollars {S143 .. 000),. promptly upon Tenant~s approval of the completion of such I'I[u:-pvements as set forth herein. The Improvemen·ts requested by Tenant herein shall in-clude: fa) Remodel of restrooms to provide ac~ess to persons ~th disabilities in compliance with the requirements of the Americans ~tb Disabilities Act of 1990. (b) Installacion of workstations for up to thirty-five (lSi st:.aff~ {c) Const~tioa of a minimum 480 sq. ft. conference room. IxL~dlord Agrees to install~ at Tenant's cost and e~nse. any other Improvements requested by Tenant and approved by L~idlord, which approval shall ~ be unreasooably withheld. - 8.4. Upon the completion of construction of 'i'enant Improvements4 Landlord and Tenant shall conduct a final inspectico for the purposes of generating a punchlist of all remaining I:nprovemen,ts to be completed prior to Tenant's taking full possession. 'Of t.he Premises. Any such punchlist items shall be completed not later than nO} days after the date of final inspect i en. Art.icle , -Maintenanoe .and Repair. '.1 Tenant shall. at its sole coet and exPense, kee? a~ ~aintain the interior of the Premises ,in ~ and sanitary order, condition and repair 4 subject to reasonable wear and tear. Tenant expressly waives all right.s to make ~epairs at the expense of L~lord as provided for by law in effect on the Effective Date or any amendment thereof or any law hereafter passed during the term .of thia Lease. 9.2 Tenant agrees to maintain and provide janitorial services t.o the interior of the Pr.;:mises. Landlord agrees to lhaintain and repair t.he exterior valls of the Building, the air .conditioning and the roof L~ other Proje~t stru~tural features~ pro··Tiding that Tenan,t installs no additional air conditioning or other equipment Oil the rClOf that damages the roof or roof &trl.l'Cture. All costs incurred by L·andlo~d hereu."lder shall be deemed part of the operating expenses incllldible ill tbe rent charged hereunder to T~nant. Article 10 -Utilities and Service. 10.1 Tenant shall pay for all water~ gas, heat~ light~ refuse, and power. Tenant shall provide janitorial supplies ar~ light bulbs for general lighting purposes. Article 11 -Insurauce 11.1 Tenant shall not use, or permit the Premises 6 or any part ther~of~ to be used for any purpose ~her than that set forth in Article -4. No use shall be made or perad tted to be made of the Premises, nor acts done~ which ~ill cause a ca~ellation of any insurance policy ccveri:c.g the Bu.ilding .. or any part thereof~ nor ~hall Tenant keep ~r use or permit to be kept or used .. in or 7 . , -. ,. > ; about the Premises" any article .... hich Jr.:!ly be prohibited by the standard form of fire insurance policies. Landlord ackuowledge~ that T.enaot. shall self-insure for ,a.,ny required amounts of liability insurance at its sole cost and expense or it shall provide evidence of insurance coverage by its ~embership in a pooling program. 11.2 Landlord agrees to purchase and keep in force fire I extended coverage# and -all risk-insurance, covering the Project in amounts not to exceed the act:l.!al insurable value of the Project. as determined by insurance company appraieers. Landlord est imates that the actual" insurable value of the Building is not less than $26S00.~OO. ~~ord shall submit to Tenant proof of such coverage in writing on or before the Effective Date. 11.1 Tenant sllall .. at its sole cos'c and expen£e .. obtain and keep in force during the term of this Lease a policy of comprehensive general liability insuran~e utilizing an Insurance Services Office st3ndard form ~th broad form general liability endorsament (GLO~;04} z or equiva.lent. in an amount of not less than one mi Ilion dolla~s per OCC\lrrence of bodily injury" and property damage combined or in a greater ~t as rea~lably determined by Landlord z and shall ins~re Tenant with Landlord as an additiorral insured against liabjlity arising out of the use~ occupancyz or mainten~~ of the Premises, or Tenant. at its ~ion. shall self­ insure for t.he required amo"w"""l,ts or by providing proof of coverage of City'"s participation in a pooling progra..tIi with applicable ooverage~ Compli.ance with t.he above requirement shall not, however .. lil!lit the liability of Tenant. hereu-nder~ Arti~l. 12 -Xndecnity 12.1. Tena..""lt. .... -ill hold Landlord exempt. and hanrLless from. any damage .or injury to any person. or to the personal property of any person .. arising from the use of the Premises by Tenant. or fr~ the failure of Tenant to keep the Premises in good condition and repair" as herein provided, except. as S\Jch damage or injury may arise frOQ the cegliger~e or"~11ful act of "Landlord or except as any such liability" loss or damage may be allocated between the part f.es ar.d any et.her party under applicable principles of .comparative negligence. 12.2 Landlord covenants and agrees to protect, defend. i~jemnify and hold r~rmle5s Tenant.. its council members r officers. employees.. and agents.. fro.'1t and against any and all claims. -demands ... liabilit)~. losses,. .costs.. expenses. per..alti.es,. suits .. judgments or damages .. including-attorneys I fees .. arising O\J,t of or B resulting at any time from any injury or de~th to person or carnage to property as a result of the willful or negligent act or omission of Landlord. its partoers. employees s or agents s or exce~ as any euch liilhl1ity,. loss 0:-eamage iM.y be allocated between the parties and any other party under applicabl.e principles of comparative negligeDCe~ or which results fr~ their noocompliance yith any Law respecting t.he condition~ ese, occupation, or safety -of the Proje<:t~ -or any part thereof s or ,..,hleh arises from Landlord's failure t.o do an)lthing required ur~er the Lease or for doing anything which Landlord is required DOt to 00 uIY.!er the Lease. The indemnity shall extend to all claims s demand8, or liens made or filed by reason-of any constructioc, renovation or remodeling by Landlord at any -time during !the term of tbis Lease or arising thereafter. ATticle 13 ... Waive%' 13.1 Tenant, as a material part of tbe consideration to be rendered to Landlord,. hereby ....a.ives all cl~imB against Landlord for camages to Tenant Property in, upon or about the premiees CII_n-d for i~juries to perso:~ in, upon or about Premises~ from any cause arising at-any time,. except: such damage 0::-injury as tna)-arise from the negligence or villful act of Landlord. 13.2 The waiver by LarA-lord cf any breach of any Provision herein contained shall ~ be oeemed to be a waive~ of ~uch Pro~i5ion or any eubsequen~ breach of the same or any ~her Provision herein coc.tained. The subsequent acceptance of rent hereunder by Landlord shall not be dee~ed to be a waiver of any preceding breach ~~ Tenant of any Pro ...... ision of this Lease~ other tb~~ the failure of Tenant to pay t~~ particular rent so accepted,. regardless of Landlord's.knowledge of su~h preceding breach at the time of acceptance of such rent. Ar~lcle 14 -Quiet Enjoyment 14.1 Tenant shall have ~t~ right to peaceably hold, use and enjoy the Premises to the extent Tenant pays rent,. observes all Provisions of this Lease~ and is not. in default of t.his Lease during the te~ of this Lease. Articla 15 -RuleB and 2egulatlon. IS. 1 fenant:. will not place or perrldt to be plaC'ed in, upon or abou~ the Premises any unusual or ex~raordinary signs~ ar~ will not conduct,. or permit: to be conducted, any sale by auction on , - -', - 9 , ~-. --.- -, t.he Pre'r.dses~ It ie hereby mutoCil1y covena.'P).t.~ and agreed that Landlord has reserved the exclusive right to the exterior sidewalls an:d roof of the Premis-cs~ and that Tenant will oot place., or perT-it: to be placed,. upon the extericlr sidewalls. or· roof,. any sig:c.s.,. advertisements or notices .. witbcut the 'Written consen~ of Landlord first had a.nd obtained. Any sign so placed on the PreMises, 'shall ~ so placed upon the understanding and. agreerrlent that Tenant ..,ill ~emo~ the sa~e at the termination of,the tenancy . herein created a.nd repair atJ.y damage or injury to the P.remises caused thereby; and if DOt so removed by Tenant. then at Tenant's expense~ 16.1 Tenant shall not assign, mortgage" or h~hecate tbis Lease. Tenant may and landlord agrees to permit tenant to, sublease the premisea to the Senier Coordinatir~ council of the Palo Alto Area. Tenant shall ~ sublet the Premises~ or any part ~hereofl or any rigbt or privilege appurtenant tbereto~ or suffe~ _any other person {the ag~nts, employees..-and o,fficers of Tenant and Senior Coordinan.ting Council excepted} to occupy or use the Premises, ~r any portion thereof, without the written c~~sent of Landlord first had and obt:ained.. which consent shall not be unreasonably withheld. A consent to ¢ne assigTh~ent..-subletting, oqcupation or use by any otber person" shall not be deemed t.o be a c.....~sent to any subsequent assigr.rnent,. subletting, o::cupation or use by anot:.b.er person. Any su-cb assignmen~ or sublett.ing wit-bout such consent shall be void., and shall., at the option of Landlord. 'ter.lU.oate t.his Lease. This Lease shall DC.>t. nor shall any interest therein, be assignable, as to the interest of Tenant, by operation of law .. without -the written consent -of Lan.::Uord. Article 11 -SUrrender a.nd. AbandonmeDt 17.1 No act or conduct of Landlord. ~hether consisting of acceptance of the keys to the Premises. or other act shall be deeif~d to be or constitu·te an ac-cept.ance or surre:nder of the Premises by Te':lant prio-r to the expiration of the term hereof and such acce~ance by Landlord of BUrrer~er by Tenant shall only flow from and must be eviden~ed by written acknowledgment of acceptance of surrender. 17.2 The surrer~er of this Lease by Tenant, voluntarily or otheIVise~ shall not ~ork a merger but shall operate as an assignment to LandloLQ of any and all existing subleases. or La.ndlord rnay. at itS' opt:ior: .... terminate any or all of such subleases 10 by ~ifyiDg the sublessees of its election so to do within five 45) days after such surrender. 17.3 Tenant shall ~ vacate cr abandon the Pre~ises at any, time a.lri~ the term. If Tenant shall abandon.-vz.cate or surrender ~he Premises~ or be disposseseed by precess of law. or ~herwiBe. any Tenant Property and left On the Premiaes for ~re than thirty {l~} days shall be deemed to be abandoned, .. t the option of Landlord..-except. such 'i'enan·t Property as may be mort.gaged to Landlord. Article 18 • COCdemnatioD 18.1 If auy part of -the Project shall be taken for any public or quasi-public use, under any Lay ox by rigbt of emi~ent domain or private purchase in lieu thereof, this L-ea..oe ehal1 terminate as of the .date title shall vest in the condemnor or purchaser. L~~l~rd shall have the ~iOD to te~Jnate this Lease as of the date wbeo title to su-cb part so taken vests in the condemnor or pu.ichaser~ If all of the Project. ... or such part thereof, be taken so t.hat t.here does not remain a subst.antial portion of ~be Premises BU6ce~ible for occupation hereunder~ this Lease shall thereupon terminate~ Artic1e 15 -C..age and OestructiOQ 19.1 In t.he event of a partial destruction of the Premises during the ~erm of this Lease from any ca~se. exce~ for inciden.tal damage and destru.ct:ion -caused from vandalism and accidents to the Premises which Tenant is res~$ible for bereunder6 Landlord shall forthwith repair the same. provided such repairs can be C\a.e.e within sixty (60) days under applicable t,aw~ but such partial dest.:iuct~on shall in no way annul or void thie Leaee... except. that: Tenant shall be entitled t.o a proportionate deduction of rent while such repairs are being made (provided the fire or other destructions t.o the Premises snaIl not. bave been caused by the; fault or neglect of Tenant}, such proportiooate deduction to be 'based upon the extent to which the making of such -repairs ahall interiere with the business carried on by Tenan,t in the Premises. 19.2 If such repairs ca~ be made in sixty {60J days,. Landlord .alay. at its option .. make the same within an addit ional t.hirt.y (0) days .. and tbis Lease scall continue in full force 3.00 effect and the rent shall be proportionately reduced aa provided in Section 19.1. In the event that Landlord does no< so elect to make 11 . -. -. such repairs which cannot be :nade in sixty (60) days... or such repairs caru-.IOt be made under Law" t.his Lease may be terminat.ed at the option of either party.. Notwithstanding the foregoing. in t.he eyen~ that the Building in which the Premises may be situated be destro~d to the extent of noe less than thirty three and one third .Percent 03-1/3t} of the repla.cement cost thereof.. Landlord may elect to t~rminate this Lease. ~hether the Fremises be injured or not,. A total des:tr.JCtion of the Building in which the Premises are situated shall terminate this Lease.. In the event. of any dispute between Landlord and Tenant relative to the provisions of this section 19 .. 2 .. they shall each select an arbitrat.c,r .. the two arbitrators so selected shall select a third 3.rbitrator .. and the t~.ree arbitrators so selected shall bear and determine the controversy and their decision thereon shall be fir~l and binding upOn ~h Landlord and Tenant~ who shall bear the cost of such arbitration equally between them. The parties shall select their respective arbitrators 'Within ten (lO} days of t-he written req<l.est by either party and ~he third shall be selected within five (S) days t.hereafter. Failure of the selaction of an arbitrator as herein provided shall entitle either -party to petition a court of competent jurisdiction to make the appointment of an arbitrator whose ~ecislon shall be final. 19.): The provisions of any Law which If'.ay be in effect at the time o·f the ~urreIK'e of any such datr.age or destru-::tion.,-under which a lease is automatically t~rmir.ated or a ten~~t is given the. -right to term.inate a lease. upon the occurrence. of ar.y suoeh damage or destruction ... -are hereby expres:lly -..raived by Tenan,t .. but only with respect to a partial destruction of the Premises. Tenant reserves the right to terminate the Lease in the event of the substantial destruction of the Premises. 20.1 Tena..'"2t shall .. at its sole cost a.nd expense" comply with the require~nts of applicable Law .... hich may be neW" in force .. er which may hereafter be in force pertaining to the Tenant's use of the Premises~ and should faithfully observe in the use of the Premises applicable LaW' now in force or as may hereafter be in force. The judgment. of any court of competent jurisdiction,. or the written admission ¢f Tenant in any action or proceeding against Tenant but only if Landlor~ is a party thereto 6 that Tenant haa violated any such Law in t.r.e use of the premises.,-shall create a rebuttable presumption of t.hat fact as bet .. een Landlord and Tenan.t. Artiele 21 -Default and R~edi.s 21.1 Should Tenant breach t.his Lease or abandon tbe Pre~ises before the end of the term .. or if Tenant's right. to possession of the ~emises is terminated by Landlord because of a breach by Tenant ~f this Lease~ the Lease shall, at the option of Landlord, terminate except. as provided herein and upon su-cb termination Landlord may recover from Tenant all damages suffered bY-Landlord or a.s a re.eult of Tenant f s failure to perform its obligations hereunder# including: but not restricted to (i) the worth ~t the time of the award of the unpaid r90t earned at the time of termination of this Lease including interest at seven per cent (7l1, [ill the worth at time of t~ award by wh!~h the unpaid ren·t wOuld have been earned after termination utlti1 the award exce"eds t.he amount of sllch rental 105s that 'Tenant proves could ba ... ·e been reaso.."'1ably avoided including interest at se·....-en per cen·t ~1'}; riii) the ~rth at the time of the a~~rd by which the unpaid rent for -the balance of the term aft.~r the time of the award exceeds such rental loss that. Tenant proves could t.e !:easonably avoided; liv) ar..y other amount reasonable and necessary to ~ngate Landlord for all tbe detriment proximately caused ~y . Tenant Ps failure to-perform. its obligations under this Lease. Efforts by La.ndlord to mitigate the damages .caused by Tenan·t I s breach of this Lease shall not waive Lar~lord's right to recover damages -..;nder this Sect.ion 21.1. 21.2 In the event Ter~t breaches this Lease or abandons -the Premises # the Lease shall coctinue in effec.c so 1009 as Landlord does not teIlRinate Tenan·t, P s right to possession of the Premises and Landlord may enforce all of its rigbts and remedies otherwise gi-w"eo by Law and this Lease and without limiting the ge~erality of the foregoing collec~ tbe rent as it falls due. For the purposes .of this Section 22.2# the following shall not oonst.itu-te te'"L"l!.ina.tion of Te.na..'Tlt· 6 right to possessiOO-: (il a.ct.s of maintenance or preservation or efforts to re-let the Premises; or Ui) the appointment: of i! receiver upon+ irdtiati·.re of Landlord to proeect Landlord's interest under this Lease. 21.3 The remedies herein provided are n~ exclusive ar~ Landlord and Tenant shall have any and all other remedies provided herein or ~i La~. 21.. Should Landlord bring suit for ~he possession of t.he Premises .. for the recovery ot any surOl due hereunder .. or because of tbe breach o·f any other covenant herein, c·r should Tenant or Landlord brIng any action for any relief. declaratory or ~he~ise 13 '. arIsing out of this Le.age, the non-prevailir.g party in any such suit shall pay court ocsts and a rea$Onably-attorn~y's fee. which shall be deemed to ha""e accrued on the commencement of such action and shall be entorceable whether or not such action is pr'oii"ecuted to judgment. 21.5 Bither {a) the appointment of a receiver to take possession of all or substantially all of the assets of Tenant, or (b) a general assignment ~. Tenant for the benefit of creditors, or ec} any act.Ion taken or suffered by Tenant under any insolvency or bank~cy act shall constit~te a breach of thi~ Lease by Te~~nt. OPOO the happening of any su~h event this Lease shall terminate at the ~ion of Landlord to the e~ent permitted by Law, thirty {30J days after written ~ice of termiLation from Landlord to Tenant. ArUch 22 -Entry by Landlord 22.1 Tenant shall permit Landlord and its agents to enter into and upon the Premises at all reasonable tirues for t~e purpose .of inspecting the same or s'howing t.he Pre'llises to a proa-pe.ct:ive purchaser" or for the -purpose of maintaining the Building in -which t.he Premises are situated, or for the purpose of making repairs, alterations or additions to any o<her portion of . the Building, includir..g the erection and Jf:aintenance of such sca.ffolding, -ea.'1Opies,. fences and props as may ~ required, or for the purpose of placing upon the property in ~hich the Premises a~e located any usual or ordinary -Fer S~le· signs, witr~t any rebate of rent and without any liability to Tenant for any loss of occupation or ~iet enjoyment of the premises thereby occasioned, and shall permit Landlord and its agents, at any tirre within ninety (gO) days prior to the expiration of this Lease" to pla~e upon Premises any usual or o:rdinary -To Let-or ·To Lease" signs and exhibit the Premises to prospective tenants at rea~able hours. Landlord shall give Tenant reasonable prior &~ice of Landlord's ~sire to en~er upon the Premises~ AEticle 23 -Notice. 23.1 All ~ir.es ~hich mayor are req~ired to be given by either party ~o the ~her may be given in writing and shall be deemed to have been fully given .... hen either d,o;livered personally .or deposited in the u.s. mail, ~~stage prepaid~ or otherwise to the following address or any other address as subsequently no<iced in writing by eitner par'ty as follows! -. , . Tc> Landlord: To Tenant: Rahi~ and Amir Anddhozour c/o Medallion Rug Gallery 323 university Avenue Palo Alto, ~ ,e301 ~ity of Palo Alto Real Property ~,ager P.O. Box 10250 Palo Alto, CA 94303 Article 2' -Tanant t • CertifIcate 24.1 Tenant sball l without charge~ ~t any time within ten {lCl} days after receipe by Tenant from Landlo·rd of writt.en request t.herefcr, deliver a duly exeC"..1ted and acknowledged certificate to Landlord or any oCher Person designated by Landlord l certifying: (i) this Lease is unmodified and in full force and effect .. or if there has been any modification,. that t.i'.e =ame is in . full force and effect as modified~ and stating any such modificatloc; (i1) whether or not there is then existing any cla.im. of Landlord's_ default hereunder and ... if so .. specifying the nature t.hereof; and _~iii) the dates to which the rent and ~her charges payable hereunder by Tenant have been paid. Article 25 -Subo"diAatioa 25.1 ~nant agrees that this Lease ~ay, at the option of Landlord, be subject and subordinate to any 'II'\Ortgage .. deed of trust or ~ber instrument of security which has been or shall be placed on the Project of which the Premises form a part., and this subordination is hereby effective withou,t any further act of Tenant.. Tenant. shall, at any time hereinafter, on detna.!'..d .... execute . any instruments, releases, or other ~umen,ts that may be required by any mort.gagee ... mortg3:gor .. or -t.n:stcr or beneficiary u,nder any deed of tr~st for the purpose of subjecting ~~ subordinating this Lease to the li.en .of any su-ch mortgage, deed of trust or other instru~~nt of security. and the failure of Tenant: t~ execute any such instruments, releases or doc.J.ments" shall constitute a default hereur..der ~ 15 -. 26.1 The invalidity or unenfcrceabiJity of any Provision ~f thie Lease ahall hot affect the validity or enforceability of the remainder of this Lease. 26.3 The Provisions of this Lease shall. subject to the Rrovisions on assi~~nt~ apply to and bind the heirs~ su~cessors# executors" administrators and assigns of all of the parties hereto, and all ~f ~he parties hereto shall be jointly ar~ severally liable hereu."lde-r • 26.3 Time is of the essence of this Lease and eacb and all of its provisions. 26 . .( The marginal captions.. hea~ings or title to the Se~ticns of this Lease are not a part of this Lease and shall have no eff~ct upon the construction or interpretation of any part thereof,. 2~.S This instrument contains all of the Provisions made . between -the parties hereto and may not be modified orally or in any ocher manner than by an agreemen,t in writing sig'ned by all of t.he parties hereto or their respective successors in interest. 26.6 The ~~ersigned parties hereby warrant that they ar~ duly aut.oor.iz.ed and empo'Wered. to execute this Lease. 26.1 Tenant. shall 1Y.....t be liable to any real estate broker or any ethel'" agent retained by Landlord to pr-ocure the execution of this Lease for any brokerage fee or any oth~r fee~ and La~lord agrees to be severally liable for the payment of any such applicable fee. 26.8 If the time in which any act is to ~ performed falls on a Saturday, S10day or a City holiday, the time for pel:formance shall be ext.ended to the following Business Day. 26.9 All Ext.ibits ~ ~r hereafter referenced herein are b)-such reference incorporated in t.his Lease and :nade a part. hereof. 16 IN WITNESS WHEREOF. the parties have executed this Lease in Palo Alto~ California on the date first above stated. ·LANDLORDIt 'TENANT' AMIR AMIDHOZOOR ern OF PAY) ALTO Mayor ATTEST: Ci~y Clerk APPROVED AS TO FORo'! City Attorney APPROVED Ci t Y Manager Dire.ctcr of Public Works Director of Finar~e Real Property Manager 17 EXHlBIT ONE SENIOR CE1<lER Sl' ACE REQUIREMENTS the opproximaIe square footaBe fur "'"''' cateS"'Y of the offices and prcgratn51<> be reloolted is as ~ . Group Are;t R~uired Socia! Worker S<rvi<:a 344 square feet I'articipilnt Ser\ices 464 Center Directoc, Admin. Serv. Supr. Trans, Housins Svs. 584 Health Services 200 Vol_Programs 344 CoordinaIlng Cooncil Development J64 Flr.z.n<e 244 Administration 532 Senior Home RepaiI 244 E>q>eric_ Co!j>. 244 Copyfl'IIXIM.uRm. ISO Staff Lounge 1 ilO Roee¢"" Area ~ ratal Office Sp8u N=Is 4,394 square feet Oass Room A 100 Class Room B 400 Class Room C 272 Class Rocml&ard Room 48() Healtb Exam. Rm. 12S Oaf!. Sales Are;t ~ Total Progmn Space Needs 2,351 square feet Resttooms, Storage ""'= I< HallVi"YS 2,430 ;quare teet g I: .. ,.. - ;; p :2 .., , -. - -- <~ f -, ; ~ .. "., ';. "," ~ . -' ~. "~,,~, ,.--':-". l ,-;. · ": . Exhibit 3 . I ~ "'====1 1 ~==i ,] '. • lQC;:ltico <X T etl'IJ)Ofllry leased f SCt11ti~ 353 u".ivl;r&ily A.ve. <425 Slyanl St, 451;) s.,Bl'lt St, /;." > . \ . \ \ . """'1 ....... ;: .': ,-'~'-I· . . • >