City Council
Regular MeetingDanbury, CT · September 9, 2025
Minutes
~AD HOC REPORT~
Lease Renewal: 34 Backus Ave. (Red Lobster)
Tuesday, September 9, 2025
Chair Chianese called the meeting to order at 7:10p.m. on Tuesday, September 9, 2025. Present were Committee
Members Cheryl Wallace-Smith and Elmer Palma. From the City were Michael Safranek, Airport Administer;
Kim Nolan, Outside Counsel; and Farley Santos, Community and Economic Advisor, Mayor’s Office. Ex Officio
Member present were Ryan Hawley and Peter Buzaid.
Chair Chianese noted that the existing lease was signed on January 27, 2023 with General Mills; he read positive
recommendations from the Planning Commission the Aviation Commission.
Mr. Safranek provided an overview of the property including areas outside of the fenced in airport that are
considered airport property including Olive Garden and the westside firehouse. He confirmed that the FAA
approved leasing these properties due to the significant impact it has on the City’s tax and lease revenue. He
identified one update to the lease which requires an inspection of the properties to make sure it is being properly
maintained.
Mr. Nolan confirmed that the lease is a 5-year term with a 5-year extension, the rent starts at $165,000 annually
with a slight increase every year. He noted that this has changed from a land lease, to a triple-net property lease,
As-Is. There is a right of first refusal with an option to terminate with a 90-Day notice by the tenant. Chair
Chianese asked about ownership; Mr. Nolan confirmed that the City will own the building at the end of this
renewal. Chair Chianse asked for the definition of a triple-net lease for attendees; Mr. Nolan explained that the
term means that the tenant pays for everything.
Mr. Safranek confirmed that the FAA has reviewed the lease and supports it. Mr. Santos spoke on the longevity
of the relationship with Red Lobster and identified the 5-year lease as a good timeframe to allow the City the
opportunity to review the best use of the property; he spoke on the benefits of the lease.
Mr. Peter Buzaid asked about capital improvements and incumbrances; Mr. Nolan confirmed that the tenant is
responsible for all repairs and there are no incumbrances that he is aware of. Member Palma asked about the
early termination clause; Mr. Nolan confirmed it can happen at any time with a 90-Day notice. Member Palma
asked for confirmation that the City can immediately pursue other tenants or uses if the 90-Day notice is given;
Mr. Nolan confirmed, and spoke on building contents which Red Lobster would keep. Mr. Safranek explained
that the building was built at no cost to the City and the building itself is the City’s collateral. Member Wallace-
Smith asked about the rent amounts; Mr. Santos confirmed they were negotiated and based on the previous
agreement and current value. Members Palma and Wallace-Smith discussed the topic of leans, and it was
reiterated that the tenants rent the property so a lean would not be used in this case.
A motion was made by Committee member Wallace-Smith, seconded by Committee member Palma, to
recommend that the City Council adopt the Red Lobster lease beginning 8.1.2025 to 9.1.2030, with a 1 (time)
5-year renewal, subject to the terms and conditions as indicated in the lease agreement. Motion carried
unanimously.
A motion was made by Committee member Wallace-Smith, seconded by Committee member Palma, to
adjourn. Motion carried unanimously.
The meeting adjourned at 7:33 p.m.
Respectfully submitted, Ben Chianese, Chair, Cheryl Wallace-Smith, Elmer Palma
Agenda
CITY OF DANBURY
155 DEER HILL AVENUE
DANBURY, CONNECTICUT 06810
www.danbury-ct.gov
ELISA ETCHETO PHONE: 203-797-4514
LEGISLATIVE ASSISTANT FAX: 203-796-1529
e.etcheto@danbury-ct.gov
MEETING NOTICE
Who: City Council – Ad Hoc Committee
When: 7 P.M. – Tuesday, Sept. 9, 2025
Where: 3C, 3rd Floor
City Hall, 155 Deer Hill Avenue
Purpose: Lease Renewal – Red Lobster Restaurant (34 Backus Avenue)
*Agenda Item on file in the Legislative Assistant’s Office and on the City website (August 5,
2025).
Committee Members, Department Representatives & Petitioners:
Ben Chianese, Chair
Cheryl Wallace-Smith, Council
Elmer Palma, Council
Corporation Counsel
Michael Safranek, Airport Administrator
Mayor’s Office
Posted: Town Clerk Information Board City Website Calendar
2. COMMUNICATION - Appointment to Other Post Employment Board (OPEB) - Gray
A motion was made by Councilwoman Gartner, seconded by Councilman Tomchik, to receive the
communication and approve the reappointment of Andrea J. Gray to serve on the City of Danbury Other Post
Employment Benefit Board for a term that will expire on July 1, 2030. The motion carried unanimously.
Councilman Fox noted that he is not against the appointment of this individual, however, he questioned why
individuals who are not residents of Danbury are being appointed.
Mayor Alves spoke in support of the reappointment due to the individual’s extensive knowledge and experience.
3. ORDINANCE & REPORT - Public Hearing - Ordinances Sec. 2-203 thru 2-207 & 2-211 - Changes to
Purchasing Threshold
*CONSENTED - as received.
4. COMMUNICATION - Lease Renewal - 36 Mountainville Road (Happy Trails)
A motion was made by Councilman Duane Perkins, seconded by Councilwoman Gartner, to receive the
communication and move that this item be sent to an Ad Hoc Committee consisting of Corporation Counsel
and the Mayor's Office. So ordered.
The Mayor appointed Councilman Hawley in the chair, along with Councilmen Duane Perkins and Palma.
5. COMMUNICATION - Lease Renewal - Red Lobster Restaurants, LLC (34 Backus Avenue)
A motion was made by Councilman Rotello, seconded by Councilman Chianese, to receive the
communication and move that this item be sent to an Ad Hoc Committee consisting of Corporation Counsel,
Planning, Airport Administrator, and the Mayor's Office. So ordered.
The Mayor appointed Councilman Chianese in the chair, along with Councilwoman Wallace-Smith and
Councilman Palma
6. COMMUNICATION - Emergency Management Services Agreement Renewal - 2025
A motion was made by Councilman Tomchik, to send this to an Ad Hoc consisting of Corporation
Counsel, the Emergency Management Director, Fire Chief, Police Chief, Finance, and the Mayor's Office.
So ordered.
The Mayor appointed Councilman P. Buzaid in the chair, along with Councilmen Rickert and Fox.
7. COMMUNICATION - Amendment (Correction) to Ord. Sec. 32-75: Payments to surviving spouse,
surviving children, dependents
A motion was made by Councilwoman LaPine, seconded by Councilwoman Gartner, to receive the
communication and send this to a public hearing. So ordered.
LEASE AGREEMENT
[Danbury, CT]
THIS LEASE AGREEMENT (this “Lease”) is made and entered into by and between CITY OF
DANBURY (“Landlord”), and RED LOBSTER RESTAURANTS LLC, a Delaware limited liability
company (“Tenant”).
ARTICLE I – DEFINITIONS AND EXHIBITS
1.1 Definitions.
Addresses for Notices and/or Payments: The addresses for sending notices and/or payments to
Landlord and/or Tenant, until changed by a notice given pursuant hereto, as more particularly provided in
Section 15.3:
If to Landlord: City of Danbury c/o
Danbury Aviation Commission
Wibling Road, Danbury, Connecticut 06813
Telephone No.: (____) ____-______
With a copy to:
Corporation Counsel
City of Danbury
155 Deer Hill Avenue
Danbury, CT 06810
Telephone No.: (203) 707-4518
If to Tenant: Red Lobster Restaurants LLC
Attn: Division General Counsel, Development Law Dept.
450 South Orange Avenue, Suite 800
Orlando, FL 32801
Telephone No.: (407) 734-9000
With a copy to:
Michael C. Wilde, Esq.
BAKER & HOSTETLER LLP
200 South Orange Avenue, Suite 2300
Orlando, FL 32801
Telephone No.: (407) 649-4000
Annual Rent: The respective annual amount set forth in the schedule below for each Lease Year
of the Term.
Initial Term:
Lease Years Annual Rent Monthly Installment
1 $165,000.00 $13,750.00
2 $167,000.00 $13,916.67
3 $169,000.00 $14,083.33
4 $171,000.00 $14,250.00
5 $173,000.00 $14,416.67
Renewal Term:
Lease Years Annual Rent Monthly Installment
6 $175,000.00 $14,583.33
7 $177,000.00 $14,750.00
8 $179,000.00 $14,916.67
9 $181,000.00 $15,083.33
10 $183,000.00 $15,250.00
Additional Rent: Other than the Annual Rent, any other amounts owed to Landlord by Tenant as
specifically set forth in this Lease. This term is used for the convenience of the parties and is not intended
to identify a classification for accounting or tax purposes.
Building: The building constructed upon the land owned by Landlord described in Exhibit A
having an address of 34 Backus Avenue Danbury, CT 06810.
Claims: Related claims, demands, causes of action, judgments, liens, losses, liabilities and costs
(including reasonable attorneys’ fees and court costs).
Commencement Date: The Effective Date as herein defined.
Consent: As used herein, consent of Lessor shall include approval of the Danbury Aviation
Commission.
Effective Date: The date of the full and unconditional execution and delivery of this Lease, both
parties having signed and dated this Lease in the appropriate locations below (before, if and as necessary,
witnesses) and initialed any and all hand-written changes and approval of this Lease by Landlord’s City
Council.
Hazardous Materials: Any hazardous, toxic, radioactive or pollutant substance identified as such
by applicable law, that are now or hereafter regulated, controlled or prohibited by, any Laws, including,
without limitation, (a) asbestos-containing materials, polychlorinated biphenyls, urea formaldehyde,
gasoline and petroleum, (b) any regulated quantity of a “hazardous waste” as defined by the Resource
Conservation and Recovery Act of 1976, as amended from time to time, and the regulations promulgated
thereunder, (c) any regulated quantity of a “hazardous substance” as defined by the Comprehensive
Environmental Response, Compensation and Liability Act of 1980, as amended by the Superfund
Amendments and Reauthorization Act of 1986, and as otherwise amended from time to time, and the
regulations promulgated thereunder, and (d) the Clean Air Act, 42 U.S.C. Section 7401, et seq., as amended.
Initial Use: A “Red Lobster” restaurant.
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Law(s): All present and future laws, statutes, codes, ordinances, orders, rules and regulations of
all federal, state, local and municipal governments, agencies and authorities having jurisdiction over the
Premises.
Lease Year: Each successive twelve (12) full, calendar month period beginning on the
Commencement Date, except that (a) the first Lease Year shall also include any partial calendar month at
the beginning of the Primary Term if the Commencement Date is not the first day of a calendar month and
(b) the last Lease Year of the Term may be a shorter period if this Lease is terminated early.
Net Book Value: The net book value of Tenant’s Improvements as of a particular date during the
Term, which shall be equal to the then-remaining unamortized cost basis of Tenant’s Improvements,
excluding the cost basis of Tenant’s removable furniture, fixtures and equipment, calculated in accordance
with generally accepted accounting principles.
Premises: The land and all improvements now or hereafter located thereon (including, without
limitation the Building), located in the City of Danbury, State of Connecticut being more particularly
described/depicted on Exhibit A.
Primary Term: The period beginning on the Commencement Date and ending on the last day of
the fifth (5th) Lease Year.
Renewal Term: One (1) period of five (5) Lease Years.
Rent: The Annual Rent and Additional Rent.
Taxes: The ad valorem real property taxes and general assessments imposed by a governmental
entity having taxing jurisdiction over the Premises that become due during the Term against the Premises,
including the land and any improvements located or to be located thereon, which may be lawfully assessed
either in the name of Landlord, the fee owner (if other than Landlord) or Tenant. “Taxes” shall also include
any special assessments levied after the Effective Date, whether as “tax increment financing” or otherwise,
for public improvements and betterments that do not exist as of the Effective Date, which improvements
and betterments are needed for the general benefit of the public and not as a result of a specific development
or re-development project. “Taxes” shall not include income, franchise, corporate, estate, inheritance,
transfer, succession, profits or revenue taxes. The amount of “Taxes” will be calculated using the full
benefit of all discounts, credits and/or abatements that are made available by the taxing authority.
Tenant’s Improvements: The Building and any other alterations or improvements constructed by
or behalf of Tenant at or on the Premises.
Term: The Primary Term, together with any exercised Renewal Term.
1.2 Exhibits. The following Exhibits are attached to, and form a part of, this Lease:
A – Premises
B – Memorandum of Lease
C – Non-Disturbance and Attornment Agreement
ARTICLE II – DEMISE AND USE OF PREMISES, EASEMENTS AND TERM
2.1 Demise of Premises. Landlord leases the Premises to Tenant for the Term. Together with the
Premises, Tenant is granted and shall have the use and enjoyment of, during the Term, all the easements
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and appurtenances, including but not limited to easements and appurtenant interests in adjoining and
adjacent land, highways, roads, streets and lanes, whether public or private, reasonably required for the
installation, maintenance, operation and service of sewer, water, gas, power, other utility lines and for
driveways and approaches to and from abutting highways, for the use and benefit of the Premises.
2.2 Renewal Term. So long as Tenant is not then in default under this Lease past the applicable notice
and cure period, Tenant shall have the right and option to extend the Primary Term for the Renewal Term.
Tenant may exercise such right by giving written notice thereof (a “Renewal Notice”) to Landlord at least
one hundred eighty (180) days prior to the expiration of the then current Term. Annual Rent for the Renewal
Term shall be as set forth above.
2.3 Use of the Premises. The Premises may be used for the Initial Use or for any other lawful use.
2.5 Tenant’s Termination Option. Tenant is hereby expressly granted the right and option to
terminate this Lease at any time during the Term (the “Termination Option”) by delivering written notice
of early termination to Landlord (the “Termination Notice”) with the effective date of such early
termination being the date set forth in the Termination Notice, which shall be no earlier than ninety (90)
days after the date of the Termination Notice (the “Early Termination Date”). Upon the Early
Termination Date, Tenant shall surrender possession of the Premises to Landlord in broom clean condition,
and all further rights and obligations of Tenant and Landlord under this Lease shall terminate as of the Early
Termination Date.
ARTICLE III – RENT
3.1 Annual Rent. Tenant shall pay Annual Rent to Landlord, at the address set forth in Section 1.1
(or at such other address as may subsequently be designated by Landlord, in writing, at least thirty (30)
days in advance), in equal monthly installments, prorated for any partial calendar month(s), on the first day
of each calendar month throughout the Term (from and after the Commencement Date); unless the
Commencement Date shall be the first day of a calendar month, the first payment shall be due on the first
day of the calendar month following the Commencement Date and include a pro-rated payment for the
partial month in which the Commencement Date occurred. Annual Rent shall be paid, in advance, without
notice or demand and, except as otherwise expressly permitted in this Lease, without set-off or deduction,
in accordance with the schedule set forth in Section 1.1.
3.2 Delivery of Form W-9. Landlord agrees to deliver a duly executed and completed Form W-9 or
its equivalent (the “Form”) to Tenant at least thirty (30) days prior to the Commencement Date. Landlord
acknowledges that Tenant will be unable to process and make any Rent payments unless and until it has
received the Form from Landlord and, accordingly, Tenant shall not be deemed to be in default under this
Lease, nor responsible for any late fees or interest charges, if its initial Rent payment(s) are delayed due to
Landlord’s failure to timely deliver the Form to Tenant; provided, however, Tenant shall promptly pay to
Landlord any Rent delayed as a consequence thereof upon its receipt of the Form from Landlord.
ARTICLE IV – TAXES
4.1 Taxes. Tenant shall timely pay all of the Taxes imposed upon the Premises that become due during
the Term. Such amounts for the years in which this Lease commences and terminates shall be prorated
between Landlord and Tenant as of such dates. Tenant shall also pay prior to delinquency any and all
personal property taxes levied against Tenant’s furniture, trade fixtures, equipment and other personal
property at the Premises during the Term (from and after the Commencement Date) directly to the
appropriate taxing authority and any form of sales tax or similar direct tax on rent (i.e., a “true rent tax”).
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If Taxes are payable to the taxing authority in installments, then Tenant shall have the right to pay the same,
whether directly to the taxing authority or to Landlord, over the longest available installment period, and
Tenant shall not be obligated to pay any such installments due outside of the Term.
4.2. Contest. Tenant shall have the right, at Tenants’ sole cost, to appeal the assessment or otherwise
contest the validity or amount of any Taxes in accordance with and as permitted by Connecticut General
Statutes §§12-117a and 12-119.
ARTICLE V – MEMORANDUM OF LEASE
5.1 Memorandum of Lease; Recordation. Landlord and Tenant agree that this Lease shall not be
recorded. A memorandum of this Lease substantially in the form of Exhibit B (the “Memorandum of
Lease”) shall be duly executed by both Landlord and Tenant concurrently with their execution of this Lease,
and may be recorded by either party in the applicable public records.
ARTICLE VI – MAINTENANCE OBLIGATIONS AND INSPECTIONS
6.1 Tenant’s Maintenance, Repairs and Replacement Obligations. Tenant accepts the Premises in
“as is” condition. Tenant further acknowledges and agrees that Tenant currently occupies the Premises and
a Red Lobster restaurant has been operating at the Premises since the construction of the Building and
improvements. Landlord makes no warranty or representation as to the condition of the Premises. During
the Term Tenant shall, at its sole cost and expense, be responsible for all maintenance, repairs and
replacements of and to the Premises, both structural and non-structural. All maintenance, repairs and
replacements shall be performed in a good and workmanlike manner.
6.2 Utility Services. Tenant shall timely pay all charges for water, sewer, electricity, telephone, gas
and other utilities supplied to the Premises for use by Tenant and for the regular removal of trash from the
Premises. Landlord shall neither take nor permit any action which would interrupt any utilities to the
Premises. The interruption of any utility caused by Landlord’s negligent or willful actions, or by those over
whom Landlord has control, including, without limitation, Landlord’s agents, contractors and employees,
shall, in addition to other remedies available to Tenant under this Lease, cause an abatement of all Rent due
until such time as the interrupted utility is restored, and if such interruption is not cured by Landlord within
twenty-four (24) hours after it occurs, then Tenant may, at its option, take such steps as are reasonably
necessary to cure such interruption itself (including renting portable generators) and be entitled to deduct
the actual, documented amounts expended for said purposes, plus Interest, from any amounts due to
Landlord, including Rent, until Tenant is fully reimbursed.
6.3 Landlord’s Right of Inspection. Except in the event of an emergency, Landlord and/or its
property manager may enter the Premises on weekdays between 9:00 a.m. and 11:00 a.m. and between 2:00
p.m. and 5:00 p.m. during the Primary Term or any Renewal Term, so long as such entry is scheduled at
least twenty-four (24) hours in advance with Tenant’s general manager at the Premises, does not
unreasonably interfere with Tenant’s business activities thereat and does not occur more than two (2) times
in any twelve (12) month period. Notwithstanding the preceding sentence, Landlord and/or its property
manager may enter the Premises at any time in the event of an emergency (but shall make reasonable efforts,
under the circumstances, to notify Tenant’s general manager thereof and/or to allow for a representative of
Tenant to be present during such entry). Landlord shall not display “For Rent” or other similar signs or
notices on or in the immediate vicinity of the Premises or referring specifically to the Premises.
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ARTICLE VII – TENANT’S ALTERATIONS
7.1 Tenant’s Alterations. Subject to all applicable Laws, Tenant, at Tenant’s sole cost, may make
alterations to the Building and/or any other improvements (including signage) on the Premises. Tenant, at
Tenant’s sole cost, shall obtain any and all necessary permits, licenses and/or governmental approvals
before commencing any alterations. For any Major Alterations (as defined below), Tenant shall obtain the
prior Consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed. Tenant shall
include with any request for Consent to Major Alterations a copy of the plans and specifications for said
Major Alterations. “Major Alterations” shall mean alterations or modifications to the exterior of the
Building the cost of which shall exceed Twenty-Five Thousand and No/100 Dollars ($25,000.00). If
Landlord does not provide written objections within ten (10) business days following receipt of Tenant's
plans for such Major Alterations, Consent shall be deemed to have been given.
ARTICLE VIII – INSURANCE AND INDEMNIFICATIONS
8.1 Tenant’s Insurance Requirements.
A. Tenant’s Liability Insurance. Throughout the Term, Tenant shall maintain commercial
general liability insurance, including contractual liability coverage, in an amount not less than Two
Million and No/100 Dollars ($2,000,000.00) for injuries or death to persons, and in an amount not
less than Five Hundred Thousand and No/100 Dollars ($500,000.00) for damage to property,
occurring on the Premises. Tenant’s liability insurance policy shall include liquor liability coverage
if Tenant sells alcoholic beverages at the Premises. Tenant shall name Landlord as an additional
insured under Tenant’s liability insurance policy and, upon written request, Tenant shall also name
Landlord’s third-party property manager and/or Landlord’s mortgagee, if any, as additional
insureds under Tenant’s liability insurance policy. In the event of any injury, death or property
damage occurring on the Premises, Tenant’s liability insurance policy shall respond first regardless
of any similar coverage maintained by Landlord thereon.
B. Tenant’s Property Insurance. During the Term, Tenant shall maintain “all-risk” fire and
extended coverage property insurance (a/k/a special extended coverage) for the full replacement
cost of the Building. All payments from Tenant’s property insurance policy shall be made to
Tenant. Landlord shall promptly sign and deliver any commercially reasonable documents that are
necessary in connection with the settlement of any claim with Tenant’s insurance company.
8.4 General Requirements. All policies required to be maintained hereunder shall be written by
insurance companies authorized to do business in the state in which the Premises are located and having a
minimum rating of A-/VIII by the most current A.M. Best Company’s Key Rating Guide, or its equivalent
if no longer published. Liability policies shall be written on a “per occurrence” basis.
8.5 Master Policies. It is agreed that the insurance coverages required herein may be maintained as
part of master or umbrella policies of insurance covering other property of Tenant.
8.6 Certificates. Each party shall, within thirty (30) days after the date of its receipt of a written
request, provide a certificate of insurance to the other reflecting the coverages required of it hereunder;
provided, however, neither party shall be required to provide such a certificate more than once every twelve
(12) months.
8.7 Waiver of Subrogation. Landlord and Tenant each releases the other and the other’s officers,
members, partners, owners, directors, agents (including, without limitation, any managing agent,
management company and property manager) and employees (individually and collectively, the “Released
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Parties”), from any and all liability for loss or damage to the releasing party’s respective property, which
loss or damage is covered by insurance (or self-insurance). The foregoing waiver shall apply regardless of
the cause, including, but not limited to, Claims caused by any of the Released Parties. If either party
maintains a deductible or self-insured retention, it is intended that the foregoing release include the amount
of any such deductible or self-insured retention carried by the releasing party. Landlord and Tenant shall
each cause its respective property insurance carrier to waive all rights of recovery against the Released
Parties with respect to any such loss or damage.
8.8 Indemnifications. Except as set forth in Section 8.7, Tenant agrees to indemnify, defend (with
counsel reasonably acceptable to Landlord) and hold Landlord harmless from and against any and all
Claims resulting from or otherwise associated with any injuries to persons or damage to property to the
extent caused by the negligent or willful acts or omissions of Tenant or of its employees or agents occurring
during the Term. Except as set forth in Section 8.7, Landlord agrees to indemnify, defend (with counsel
reasonably acceptable to Tenant) and hold Tenant harmless from and against any and all Claims resulting
from or otherwise associated with any injuries to persons or damage to property to the extent caused by the
negligent or willful acts or omissions of Landlord or of its employees or agents occurring during the Term.
The indemnifications set forth in this Section 8.8 shall survive the expiration or any earlier termination of
this Lease for a period of two (2) years from the expiration date or earlier termination date. Notwithstanding
anything in this Lease to the contrary, such indemnifications shall not extend to any Claims relating to
Hazardous Materials, which Claims shall instead be governed by the provisions of Section 8.9.
8.9 Hazardous Materials.
A. Compliance. Tenant covenants and agrees that Tenant shall, at all times during the Term
and at its sole cost, comply with all Laws regarding the use of Hazardous Substances in connection
with the conduct of Tenant’s business at the Premises by Tenant and its agents, employees and
contractors. Landlord covenants and agrees that Landlord shall, at all times during the Term and
at its sole cost, comply with all Laws regarding the use of Hazardous Substances in connection with
the conduct of activities by Landlord and its agents, employees and contractors.
B. Indemnities Relating to Hazardous Materials. Tenant shall indemnify, defend (with
counsel reasonably acceptable to Landlord) and hold Landlord harmless from and against any and
all Claims arising out of a breach by Tenant of its obligations set forth in Section 8.9A. Landlord
shall indemnify, defend (with counsel reasonably acceptable to Tenant) and hold Tenant harmless
from and against any and all Claims (i) arising out of a breach by Landlord of its obligations set
forth in Section 8.9A or (ii) regarding any Hazardous Materials existing on the Premises prior to
the Commencement Date, except to the extent, if any, that the same were introduced (or worsened)
by Tenant (or by Tenant’s agents, employees or contractors); provided, however, the mere
discovery by Tenant of existing Hazardous Materials at or near the Premises shall not be deemed
to be an introduction (or worsening) by Tenant (or by Tenant’s agents, employees or contractors),
and Tenant shall have no liability or obligation therefor. For purposes of this Section 8.9B,
“Claims” shall include, without limitation, reasonable expenses relating to investigation, reporting,
monitoring and remediation as required by the appropriate governmental authority. The
indemnifications set forth in this Section 8.9B shall survive the expiration or any earlier termination
of this Lease.
C. Notification. Each party agrees that should it receive notice of (i) any violation of any
Laws related to Hazardous Materials at or near the Premises or (ii) the escape or release of any
Hazardous Materials in, on, under or near the Premises, such party shall promptly notify the other
thereof in writing.
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D. Use of Hazardous Materials. Neither party shall itself, or knowingly permit its agents,
employees or contractors to, use, generate, manufacture, produce, store, release or dispose of any
Hazardous Materials in, on, under or near the Premises. However, the foregoing is not intended to
prohibit either party from using customary cleaning and/or pest control chemicals so long as such
chemicals are used in accordance with their manufacturer’s specifications and all applicable Laws.
ARTICLE IX – CASUALTY AND CONDEMNATION
9.1 Damage to or Destruction of the Tenant’s Improvements.
A. If the Building should be damaged or totally destroyed by fire or other casualty at any time
during the Term, then Tenant shall promptly deliver written notice thereof to Landlord.
B. If the Building should be non-materially damaged in Tenant’s reasonable determination
by fire or other casualty at any time during the Term, then Tenant (in addition to promptly
delivering the notice described in Section 9.1A) shall (i) at all times continue to pay all Rent due
under this Lease, (ii) be obligated, at Tenant’s sole cost, to promptly restore the Building to their
prior condition, and (iii) be entitled to any and all insurance proceeds received or receivable under
Tenant’s policies as a result of such casualty.
C. If the Building should be materially damaged in Tenant’s reasonable determination or
totally destroyed by fire or other casualty at any time during Term, then Tenant (in addition to
promptly delivering the notice described in Section 9.1A) shall, within sixty (60) days after the date
of such casualty, deliver written notice to Landlord of Tenant’s election to either (i) restore the
Building to their prior condition, or (ii) not restore the Building and discontinue operations at the
Premises, and terminate this Lease upon written notice to Landlord, and upon such termination
Tenant shall surrender possession of the Premises to Landlord, and all further rights and obligations
of Tenant and Landlord under this Lease shall terminate as of date of termination set forth in
Tenant’s notice. If Tenant elects to restore the Building, then Tenant shall, at Tenant’s sole cost,
proceed with all reasonable diligence to rebuild and repair the Building to substantially the
condition in which they existed prior to such casualty and be entitled to any and all insurance
proceeds received or receivable under Tenant’s policies as a result of such casualty. If Tenant
elects not to restore the Building and discontinue operations at the Premises and/or terminate the
Lease as provided above, then Tenant shall, at Tenant’s sole cost, raze any remaining portion of
the Building, remove all debris from the Premises and install a parking surface thereon.
9.2 Condemnation.
A. Total Taking. If all or a material portion (in Tenant’s reasonable determination) of the
Premises shall be (i) acquired by the right of condemnation for any public or quasi-public use or
purpose or (ii) sold to a condemning authority under threat of condemnation or in lieu thereof (in
either event, a “Total Taking”), then the Term shall cease and terminate as of the date of title
vesting in the condemning authority pursuant to such Total Taking and all Rent due under this
Lease shall be paid up to such date by Tenant (such termination to be otherwise in accordance with
the provisions of Section 14.1). In the event of such termination, any Rent due for the last partial
calendar month of Tenant’s possession of the Premises shall be prorated, and any Rent paid in
advance shall be promptly refunded to Tenant. In the event of any pending or threatened
condemnation of less than all of the Premises, Tenant shall, prior to the date of title vesting in the
condemning authority but not less than sixty (60) days nor more than ninety (90) days after the date
of Tenant’s receipt of written notice of such pending or threatened condemnation from Landlord,
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notify Landlord, in writing, if Tenant has elected to terminate this Lease for any Total Taking-
related loss of a material portion of the Premises.
B. Partial Taking. If only a portion of the Premises shall be (i) acquired by the right of
condemnation for any public or quasi-public use or purpose or (ii) sold to a condemning authority
under threat of condemnation or in lieu thereof and Tenant determines, in Tenant’s reasonable
business judgment, that the remaining balance(s) thereof will permit Tenant to continue to
successfully operate its business at the Premises (with specifically, among other required attributes,
adequate access to and sufficient parking for Tenant’s use of the Premises – i.e., that the portion so
taken was not “material” – in either event, a “Partial Taking”), which determination shall be
presumed if Tenant fails to deliver the termination notice described in Section 9.2A to Landlord
within the period described therein, then Tenant, at Tenant’s sole cost (subject to reimbursement
from any condemnation award to which Tenant is entitled as provided herein), shall promptly
proceed with reasonable diligence to restore the Premises to a condition reasonably comparable to
the Premises’ condition at the time of such condemnation, less the portion of the Premises lost in
such Partial Taking (if any), and this Lease shall continue in full force and effect but with a
reduction of Rent (effective as of the date of title vesting in the condemning authority pursuant to
such Partial Taking) to equitably reflect the diminished utility or value of the Premises (but only if
such utility or value is diminished, in Tenant’s reasonable determination).
C. Temporary Taking. If, at any time during the Term, Tenant’s possessory rights,
occupancy rights or leasehold interest in and to all or any portion of the Premises shall be taken on
a temporary basis (i.e., for a projected period of ninety (90) or fewer days) for any public or quasi-
public use or purpose (a “Temporary Taking”) and Tenant determines, in Tenant’s reasonable
business judgment, that the remaining balance thereof (if any) will not permit Tenant to
successfully operate its business at the Premises (with specifically, among other required attributes,
adequate access to and sufficient parking for Tenant’s Permitted Use of the Premises) during the
period of such Temporary Taking, then: (i) Tenant shall not be required to operate its business at
the Premises during the period of such Temporary Taking and, if Tenant ceases to operate because
of such Temporary Taking, then all Rent due under this Lease during such period of non-operation
shall be abated; (ii) if such Temporary Taking causing Tenant’s non-operation continues for a
period in excess of ninety (90) days, then, at Tenant’s option, such Temporary Taking shall be
deemed either a Partial Taking or a Total Taking for purposes of this Section 9.2; and (iii) if such
Temporary Taking does not cause Tenant’s non-operation but continues for a period in excess of
ninety (90) days, then such Temporary Taking shall be deemed a Partial Taking for purposes of
this Section 9.2.
D. Condemnation Notice and Award. A party who receives a condemning authority’s
notice of intention to pursue a Total Taking, Partial Taking or Temporary Taking (in any event, a
“Taking”) shall promptly deliver a copy of such notice to the other party. If any Taking occurs (or
is threatened), Landlord and Tenant agree to cooperate in good faith with each other in applying
for any award and in prosecuting any claim related to such Taking. In that regard, Landlord and
Tenant further agree that the aggregate net award pertaining to the Premises (the “Award”) shall
be made payable to both Landlord and Tenant and be paid and distributed as follows:
(i) In the event of a Temporary Taking of all or a portion of the Premises, the entire
Award shall be paid to Tenant (but if such Temporary Taking extends beyond the
expiration of the Term, then the portion relating to the period of time after the date of
expiration shall be paid to Landlord);
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(ii) In the event of a Partial Taking, Tenant shall receive a sum from the Award equal
to the Net Book Value of the portion of Tenant’s Improvements taken as of the date
immediately prior to the date of such Partial Taking and Landlord shall receive a sum from
the Award equal to the value of the fee simple title to the land area of the portion of the
Premises taken (exclusive of the Net Book Value of the portion of Tenant’s Improvements
taken) as of the date immediately prior to the date of such Partial Taking;
(iii) In the event of a Total Taking, Tenant shall receive a sum from the Award equal
to the Net Book Value of Tenant’s Improvements as of the date of such Total Taking plus
the value of Tenant’s Leasehold Estate (as defined below) and Landlord shall receive a
sum from the Award equal to the value of the fee simple title to the land area of the Premises
(exclusive of the Net Book Value of Tenant’s Improvements) as of the date immediately
prior to the date of such Total Taking;
(iv) In the event of either a Partial Taking or a Total Taking, Tenant shall be entitled to
receive any portion of the Award allocated to the cost of relocating Tenant’s removable
furniture, fixtures and equipment and for Tenant’s loss of business, regardless of whether
this Lease is terminated; and
(v) In the event of either a Partial Taking or a Total Taking, Landlord shall be entitled
to receive the balance of the Award remaining after giving effect to the foregoing
provisions of this Section 9.3D.
(vi) the value of the Landlord’s fee simple title and the value of the Tenant’s Leasehold
Estate shall be determined by taking the average value as determined by Connecticut
licensed real estate appraisers, one chosen and paid for by Landlord and one chosen and
paid for by Tenant.
Any Taking-related termination of this Lease shall not affect the rights of the parties to receive their
respective portions of the Award.
“Tenant’s Leasehold Estate” means the rights and interests granted to Tenant under this Lease.
Any Taking-related termination of this Lease shall not affect the rights of the parties to receive their
respective portions of the Award.
ARTICLE X – REPRESENTATIONS AND WARRANTIES
10.1 Representations and Warranties of Landlord. Landlord makes the following representations
and warranties to Tenant:
A. Landlord has the full right, power and authority to enter into and perform Landlord’s
obligations pursuant to this Lease and to lease the Premises to Tenant and grant the easements,
rights and/or licenses set forth in this Lease in the manner contemplated herein without the consent,
approval or joinder of any other person or entity.
B. Landlord owns the land described in Exhibit A.
C. No person or entity other than Tenant has a right to possession of all or any part of the
Premises.
D. To Landlord’s knowledge, there are no current or future plans to modify any road which
would affect the Premises. Landlord has not received a notice of any condemnation proceeding
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affecting any portion of Premises, and to Landlord’s knowledge, no such condemnation proceeding
has been proposed.
E. Landlord is not now involved in any pending, or aware of any threatened, proceeding, claim
or controversy which affects or may affect the Premises or Landlord’s ability to perform its
obligations under this Lease.
F. No provision of this Lease violates any agreement, order or decree to which Landlord is a
party or by which Landlord is bound. To Landlord’s knowledge, no provision of this Lease violates
any Law to which Landlord is subject or by which Landlord is bound.
10.2 Representations and Warranties of Tenant. Tenant makes the following representations and
warranties to Landlord:
A. Tenant has the full right, power and authority to enter into and perform Tenant’s obligations
pursuant to this Lease without the consent, approval or joinder of any other person or entity.
B. Tenant is not now involved in any pending, or aware of any threatened, proceeding, claim
or controversy which affects or may affect Tenant’s ability to perform its obligations under this
Lease.
C. No provision of this Lease violates any agreement, order or decree to which Tenant is a
party or by which Tenant is bound. To Tenant’s knowledge, no provision of this Lease violates
any Law to which Tenant is subject or by which Tenant is bound.
ARTICLE XI – ASSIGNMENT, SUBLETTING AND OTHER TRANSFERS
11.1 Assignment or Subletting by Tenant.
A. Tenant shall have the right to assign or sublet the whole or any part of the Premises with
Landlord’s consent, not to be unreasonably withheld, conditioned or delayed.. Notwithstanding
anything herein to the contrary, Tenant may assign this Lease or sublease part or all of the Premises
without Landlord's consent to: (i) any entity, person, member, corporation, limited liability
company, or partnership that (directly or indirectly) controls, is controlled by, or is under common
control with, Tenant; or (ii) any entity, person, member, corporation, limited liability company, or
partnership resulting from the merger, sale of stock or consolidation with Tenant; or (iii) to any
entity, person, member, corporation, limited liability company, or partnership that acquires all or
substantially all of Tenant's assets located in the Premises.
B. Landlord agrees to give an estoppel letter to any assignee or sublessee within fifteen (15)
days after the date of its receipt of a written request therefor from such assignee or sublessee, the
form of which shall be reasonably acceptable to such assignee or sublessee and Landlord. In
addition, Landlord agrees to give a recognition/non-disturbance agreement to any sublessee within
fifteen (15) days after the date of its receipt of a written request therefor from such sublessee, the
form of which shall be reasonably acceptable to such assignee or sublessee and Landlord.
C. No assignment or subletting shall be deemed to constitute a novation or in any way release
Tenant from further performance of its obligations under this Lease, and Tenant shall continue to
be liable under this Lease for the balance of the Term with the same force and effect as if no such
assignment or subletting had been made; provided, however, Landlord shall be deemed to have
released Tenant from all liabilities and obligations under this Lease that accrue from and after the
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effective date of such assignment (but not subletting) if Landlord is provided with satisfactory
evidence in its sole but reasonable discretion that Tenant’s assignee (or such assignee’s Lease
guarantor, if any) has a net worth as of the effective date of such assignment of at least Ten Million
and No/100 Dollars ($10,000,000.00).
11.2 Transfers of Landlord’s Interest; Limitation of Liability. Landlord may sell, transfer or assign
Landlord’s interest in and to the Premises or this Lease at any time and, in such event, shall be relieved of
Landlord’s liabilities and obligations under this Lease to the extent such obligations accrue after the
effective date of such sale, transfer or assignment; provided, however, such purchaser, transferee or
assignee agrees, in writing, to assume all of Landlord’s unaccrued liabilities and obligations hereunder and
to perform such unaccrued liabilities and obligations to the full extent required. Notwithstanding anything
in this Lease to the contrary, no such sale, transfer or assignment shall operate to relieve Landlord of any
liabilities and obligations under this Lease that accrue prior to the effective date of such sale, transfer or
assignment, nor shall Landlord be relieved of any liabilities and obligations under this Lease if and to the
extent Landlord retains ownership of any other property that was made subject to any easements, rights,
licenses or restrictions by this Lease. Tenant understands and acknowledges that there shall be no personal
liability of Landlord with respect to any breach or default by Landlord of any provision of this Lease and
agrees, in the event of any of such breach or default, to look solely to the equity of Landlord in and to the
Premises (including any revenues or rental income generated thereby) for the satisfaction of Tenant’s
remedies.
11.3 Subordination, Non-Disturbance and Attornment. Landlord may freely mortgage its interest in
the Premises from time to time and at any time; provided, however, that any such mortgage is expressly
made subject to the provisions of this Lease (at no cost to Tenant) and that the holder(s) thereof agree(s) to
be bound by the provisions hereof. In the event of a mortgage, such subordination, non-disturbance and
attornment agreement shall be in writing, in a form substantially similar to that of Exhibit C (with the
addition of an appropriate, commercially reasonable subordination provision), or in such other form as may
be reasonably acceptable to Tenant, Landlord and such holder(s).
11.4 Estoppel Certificates. Within fifteen (15) days after the date of its receipt of a written request
therefor, either Landlord or Tenant shall execute, acknowledge and deliver to the other, any current or
prospective lender to either party or any prospective purchaser from or investor in either party, a
commercially reasonable form of written statement certifying, to the party’s actual knowledge and to the
extent true and accurate: (a) that this Lease is unmodified and in full force and effect (or if there have been
any modifications, that this Lease is in full force and effect as modified, and describing such modifications);
(b) that all Rent payable under this Lease has been paid through the date thereof (or describing the date to
which Rent has been paid and the amounts thereof); (c) that no notice of a default has been sent to the party
requesting such certification which has not been cured (or if such a notice has been sent, describing what
default exists); (d) the Commencement Date, the scheduled expiration of the Term and which Renewal
Terms have been exercised, if any; (e) such other factually accurate matters pertaining to the provisions or
subject matter of this Lease as may be reasonably requested. Provided, however, in no event shall either
party be obligated to deliver more than two (2) such statements within any twelve (12) month period during
the Term.
ARTICLE XII – DEFAULT AND REMEDIES
12.1 Defaults by Tenant.
A. Cure Periods. If Tenant fails to pay any Rent within five (5) days after the due date and
Tenant fails to cure such non-payment of Rent within ten (10) days after the date of written notice
thereof from Landlord. Provided however, Landlord shall not be required to provide more than
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two (2) written notices in any calendar year. If Tenant fails to perform any covenant or agreement
set forth in this Lease (other than non-payment of Rent), then Tenant shall not be deemed to be in
default unless Tenant fails to cure such alleged breach within thirty (30) days after the date of
written notice thereof from Landlord, plus such additional time as may reasonably be required to
cure the same if such default cannot reasonably be cured within such 30-day period (provided
Tenant’s curative action is commenced within such 30-day period and thereafter diligently
prosecuted).
B. Remedies. If, upon expiration of the applicable period of time, the default is not cured, or
if the default is non-monetary and is such that it is unable to reasonably be cured within thirty (30)
days and Tenant has not started to cure such default within such 30-day period (and thereafter
diligently prosecuted such curative action), then, Landlord may proceed with any and all its
equitable and legal remedies, including, but not limited to, an action for money damages and an
action to obtain possession.
12.2 Defaults by Landlord. If Landlord fails to perform any covenant or agreement set forth in this
Lease, then Landlord shall have thirty (30) days following the date of its receipt of written notice thereof
from Tenant to commence the cure of such alleged failure (i.e., default), plus such additional time as may
reasonably be needed to complete the cure of the same. If, upon the expiration of such 30-day period such
default is not cured, or if such default cannot reasonably be cured within such 30-day period and Landlord
has not commenced the cure of such default within such 30-day period (and thereafter diligently prosecuted
such curative action to completion), then Tenant may without waiving any other rights or remedies that
Tenant may have at law or in equity, cure such default itself on behalf of Landlord and the actual,
documented costs thereof shall be due and payable to Tenant from Landlord upon demand by Tenant, and/or
pursue any remedies that may be available to it at law or in equity, including, without limitation, injunctive
relief or specific performance.
12.3 Damages; Mitigation. Notwithstanding anything in this Lease to the contrary, in no event shall
Tenant or Landlord be responsible for or be liable to the other party for any consequential, punitive or
special damages. In the event of an uncured default, the non-defaulting party shall in each event use
reasonable efforts to mitigate its damages.
ARTICLE XIII – INTEREST
13.1 Interest. Any sums not paid when due from one party to the other shall bear interest from the date
due until the date repaid in full at a rate per annum (“Interest”) equal to the lesser of (a) the highest lawful
rate or (b) the then applicable “Prime Rate” (as quoted in The Wall Street Journal, or a successor publication
if The Wall Street Journal is no longer published) plus one percent (1%); provided, however, in no event
shall such rate exceed twelve percent (12%) per annum.
ARTICLE XIV – END OF TERM
14.1 Surrender of Premises. Upon the expiration or earlier termination of this Lease, Tenant shall
peacefully and quietly surrender possession of the Premises to Landlord, in broom clean condition, free and
clear of any occupants, subtenants, licensees or concessionaires in good condition and state of repair,
reasonable wear and tear and loss by casualty excepted. Notwithstanding the preceding sentence, however,
Tenant shall, at any time prior to the date of such expiration, have the right, but not the obligation, to enter
upon and remove from the Premises any of its furniture, fixtures and equipment, including, but not limited
to, signs, personal property and inventory items, subject to an obligation to repair any non-cosmetic damage
caused thereby, which repair obligation shall survive such expiration or earlier termination. In connection
with such surrender of possession, Tenant shall also have the right, at Tenant’s sole cost, to make changes
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in the appearance of the Building so as to alter its appearance from that of Tenant’s typical trade dress.
Such changes may include: (a) removing exterior signage or other decorative elements of a similar nature
from the Building; and (b) subject to Landlord’s prior written consent (which consent shall not be
unreasonably withheld, conditioned or delayed), repainting all or part of the Building so as to change its
color(s) from Tenant’s typical scheme to a neutral color scheme; and (c) subject to Landlord’s prior written
consent (which consent shall not be unreasonably withheld, conditioned or delayed), changing the slope
and/or appearance of the Building’s fascia.
14.2 Holding Over by Tenant. Unless otherwise agreed to in writing, if Tenant or any assignee,
sublessee or licensee of Tenant fails to fully vacate the Premises upon the expiration or earlier termination
of this Lease, then such failure shall constitute and be construed as a tenancy from month-to-month at one
hundred twenty-five (125%) of the amount of the Annual Rent due in the last month of the expired or earlier
terminated portion of the Term (prorated and paid on a monthly basis), subject to all of the other provisions
of this Lease (including, but not limited to, the obligation to pay Additional Rent to Landlord). Either
Landlord or Tenant shall have the right and option to terminate such month-to-month tenancy upon thirty
(30) days’ written notice to the other. The foregoing is not intended to grant to Tenant any right to remain
in possession of the Premises beyond the expiration or earlier termination of this Lease.
ARTICLE XV – MISCELLANEOUS PROVISIONS
15.1 Title to Tenant’s Improvements. Title to the Building and Tenant’s Improvements at the
Premises and to all of Tenant’s furniture, fixtures and equipment used in connection with its business
operation at the Premises shall be vested in and remain in Tenant throughout the Term. Upon the expiration
or earlier termination of this Lease, title to the Building and Tenant’s Improvements at the Premises shall
automatically pass to and become vested in Landlord; subject, however, to Tenant’s right to remove the
property and/or make the alterations described in Section 14.1. At all times, Tenant shall retain title to all
of Tenant’s furniture, fixtures and equipment at the Premises.
15.2 Brokerage Commissions. Landlord represents and warrants that Landlord has not engaged or
employed any real estate broker, agent or other intermediary in connection with the transaction evidenced
by this Lease. Tenant represents and warrants that Tenant has not engaged or employed any real estate
broker, agent or other intermediary in connection with the transaction evidenced by this Lease. Landlord
and Tenant shall and do hereby mutually indemnify, defend (with counsel reasonably acceptable to the
other) and hold each other harmless from and against any and all Claims in the event any broker, agent or
other intermediary alleges that is owed a commission, fee or other payment by reason of the indemnitor’s
dealings, negotiations or communications in connection with this Lease or the demise of the Premises. The
mutual indemnification set forth in the preceding sentence shall survive the expiration or any earlier
termination of this Lease.
15.3 Notices and Payments. All notices, demands, requests, consents and other communications
required to be given under this Lease shall be in writing and shall be deemed to have been
delivered/received, upon receipt or refusal, after being sent by (a) hand delivery by a reputable courier
service, (b) United States certified mail, postage prepaid, return receipt requested, or (c) a nationally-
recognized overnight delivery service. For purposes of this Section 15.3, rejection or other refusal to accept
or inability to deliver because of a changed address of which no notice was given shall be deemed to be
receipt of such rejected or misaddressed notice, demand, request, consent or other communication. Any
notice given by counsel to either Landlord or Tenant on behalf of Landlord or Tenant, as applicable, shall
be deemed to have been given by Landlord or Tenant, as applicable, for all purposes of this Lease.
15.4 Force Majeure. The time for performance by Landlord or Tenant of any term, provision or
covenant of this Lease (except for Tenant’s obligation to pay Rent) shall be deemed extended by the period
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of time lost due to delays resulting from acts of God, casualties, strikes, lockouts, unavailability of building
materials, civil riots, acts of terrorism, floods, hurricanes, windstorms, material or labor restrictions by
governmental authority, enforcement of governmental regulations or requirements, present or future
governmental restrictions, regulation, control, inaction and/or delays, and any other cause not within the
control of Landlord or Tenant (except financial inability), as the case may be. The party claiming an
extension based upon such a “force majeure” event shall advise the other party, in writing, of the
circumstances supporting such claim within fifteen (15) days after the date(s) of such event (otherwise such
additional time claim shall be deemed to have been waived).
15.5 Governing Law and Venue. This Lease shall be governed by and construed in accordance with
the Laws of the state in which the Premises are located, without giving effect to any conflict of law
principles thereof. In the event any legal action is brought by one party against the other to enforce any
term, provision or covenant hereof, venue for such action shall be proper in a court of competent jurisdiction
in the county (or other political subdivision) in which the Premises are located.
15.6 Waiver of Trial by Jury. TO THE EXTENT PERMITTED BY APPLICABLE LAW,
LANDLORD AND TENANT EACH HEREBY WAIVE TRIAL BY JURY IN ANY ACTION,
PROCEEDING OR COUNTERCLAIM BROUGHT BY EITHER OF THEM AGAINST THE OTHER
ON ANY MATTERS WHATSOEVER ARISING OUT OF OR IN ANY WAY CONNECTED WITH
THIS LEASE, THE RELATIONSHIP OF LANDLORD AND TENANT, TENANT’S USE OR
OCCUPANCY OF THE PREMISES AND/OR ANY CLAIM OF INJURY OR DAMAGE. The foregoing
waiver of trial by jury was voluntarily and intentionally made by both Landlord and Tenant.
15.7 Attorneys’ Fees and Court Costs. In the event a legal action is brought by one party against the
other to enforce any term, provision or covenant of this Lease, the prevailing party in such action as
determined by the court of competent jurisdiction shall be entitled to recover the reasonable costs of such
action, including, without limitation, court costs and reasonable attorneys’ fees, from the non-prevailing
party.
15.8 Entire Agreement. This Lease sets forth the entire agreement of Landlord and Tenant with respect
to the subject matter hereof and cannot be altered, amended or modified except by a written instrument duly
executed by both parties.
15.9 Binding Authority. Subject to the provisions of Sections 11.1 and 11.2, this Lease shall be binding
upon and inure to the benefit (or detriment, as applicable) of Landlord and Tenant and their respective heirs,
legal representatives, successors and permitted assigns. Whenever reference to the parties hereto is made
in this Lease, such references shall be deemed to include the heirs, legal representatives, successors and
permitted assigns of said party the same as if in each case expressed. For purposes of this Lease, the term
“person” means any individual, corporation, partnership, firm, trust, joint venture, business association,
syndicate, government or governmental organization or any other entity.
15.10 Business Days; Close of Business. If the date for performance of any act, obligation or delivery
of any notice under this Lease shall fall on a day other than a business day, then the date for such
performance or delivery of such notice shall be postponed until the next business day. For purposes of this
Lease, any references to “business days” shall be deemed to be references to normal working business days
(i.e., Monday through Friday of each calendar week, exclusive of federal or state holidays or such other
dates upon which nationally-chartered banks of the United States of America are not open for business) and
the “close of business” shall be deemed to be 6:00 p.m., local time, in the county (or other political
subdivision) in which the Premises are located.
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15.11 No Waiver. No provision of this Lease shall be deemed waived by Landlord or Tenant, nor shall
the failure of either party to insist on the strict performance thereof be deemed such a waiver, unless the
same is expressly waived in a writing signed by Landlord or Tenant, as the case may be. No waiver by
Landlord or Tenant of any breach of any provision of this Lease shall be deemed a waiver of any subsequent
breach of the same or of any other provision hereof. Unless otherwise expressly provided in this Lease,
any failure of either Landlord or Tenant to exercise any option, right, power or remedy granted or otherwise
provided herein to such party shall not be deemed to be nor be construed as a relinquishment of such option,
right, power or remedy.
15.12 Rules of Construction. This Lease has been examined, reviewed, negotiated and revised by
counsel for each party, and no implication may be drawn against either party by virtue of the preparation
and drafting hereof.
15.13 Headings and Titles. The headings and titles used in this Lease have been inserted for purposes
of reference and convenience only and shall not be deemed to amplify, limit, define or otherwise affect the
express provisions hereof.
15.14 Invalidity. If any provision, or any portion thereof, of this Lease, or application thereof to any
person or circumstance, shall be held invalid or unenforceable to any extent, the remainder of this Lease,
or the application of such provision to persons or circumstances other than those as to which it is held
invalid or unenforceable, shall not be affected thereby and each such remaining provision of this Lease
shall be valid and enforceable to the fullest extent permitted by law.
15.15 Counterparts; Execution. This Lease may be executed in any number of counterparts with the
same force and effect as if all required hand-written signatures of the parties were contained in a single
original document. Hand-written signatures transmitted by facsimile or e-mail, through scanned and
electronically transmitted .pdf, .jpg or .tif files, shall have the same effect as the delivery of original
signatures and shall be binding upon and enforceable against the parties hereto as if such facsimile or e-
mailed documents were an original executed counterpart. If the parties exchange electronic signature
versions of this Lease (or any subsequent amendment hereto), then the parties shall promptly thereafter
exchange counterparts of this Lease (or such amendment) with original signatures. If drafts of this Lease or
other communications between the parties were sent by e-mail or other electronic methods, then the following
additional provisions shall also apply: (a) any typewritten signature included with any e-mail or any document
attached to any e-mail is not an electronic signature within the meaning of the Electronic Signatures in Global
and National Commerce Act or any other law of similar import, including, without limitation, the Uniform
Electronic Transactions Act (the “UETA”), as the same may be enacted in any state; and (b) any transmission
of this Lease is not intended as an “electronic signature” to a “record” of such transaction (as those terms are
defined in the UETA); instead, it is both Landlord’s and Tenant’s intention that a record of such transaction
shall be created only by hand-written signatures on an original document.
15.16 Relationship of Parties. It is understood and agreed that no party hereto shall be construed or held
to be a partner, joint venturer or associate of the other in the conduct of the other’s business, nor shall either
party be liable for any debts incurred by the other; but it is understood and agreed that the relationship is
and at all times shall remain that of landlord and tenant.
15.17 Landlord’s Duty of Reasonable Cooperation. Landlord agrees to cooperate in a reasonable and
timely manner with Tenant in connection with the obtaining and/or renewal of all permits and licenses
which Tenant may need in order to open and operate its intended business at the Premises throughout the
Term; provided, however, there shall be no unreimbursed out-of-pocket cost related thereto to Landlord.
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15.18 Quiet Enjoyment. So long as Tenant is not in default under this Lease beyond the applicable
notice and cure period, Landlord covenants and agrees that Tenant shall peaceably and quietly hold and
enjoy the Premises throughout the Term, without any hindrance, molestation or ejection.
15.19 Gender. Words of any gender used in this Lease shall be construed to include the other gender,
and words in the singular shall include the plural and vice versa, unless the context otherwise requires.
15.20 Exhibits. The Exhibits attached to this Lease are hereby incorporated by reference in their entirety
with the same force and effect as if they were set forth in the body of this Lease.
15.21 Offer and Acceptance. One party’s execution and delivery of this Lease to the other shall be
deemed an offer extended to such other party which shall automatically expire fifteen (15) business days
thereafter unless accepted (by such other party’s execution and delivery of this fully-executed Lease to such
offering party), rejected or revoked prior thereto. This Lease shall become binding upon the parties hereto
only upon the full and unconditional execution and timely delivery hereof as aforesaid.
15.22 Compliance with Laws. Tenant shall, at all times and at Tenant’s own cost, comply with and
observe all Laws applicable to Tenant’s development, use, occupancy and, if applicable, subsequent
alteration of the Premises.
15.23 Mechanic’s and Materialmen’s Liens. Each party agrees to hold the other harmless from and
against any and all losses, costs or damages due to any lien being filed against the Premises on account of
any non-payment for or dispute with respect to any labor or materials furnished in connection with the
construction referred to herein or any other construction upon the Premises and such party shall not allow
any judgment to lie against the Premises. The party causing (or otherwise permitting) such a lien to be filed
shall either have the lien removed within thirty (30) days after receipt of written notice of the filing of the
lien or bond off the lien should such party desire to contest it. If Tenant shall fail to remove or bond off
such lien within such 30-day period, then Landlord may, in addition to any other potentially available
remedy of Landlord under this Lease, have the right and option to remove or discharge such lien and, upon
Landlord’s demand, Tenant shall promptly reimburse to Landlord all reasonable costs incurred by Landlord
in connection therewith (and the foregoing reimbursement obligation shall survive the expiration or any
earlier termination of this Lease); provided, however, that if Tenant has begun the process of removing or
bonding off such lien within such 30-day period and is diligently pursuing such removal or bonding off,
then Landlord shall not have the right set forth herein.
ARTICLE XVI –RIGHT OF FIRST REFUSAL
16.1 Tenant’s Right of First Refusal. If, at any time during the Term, Landlord either (a) receives an
acceptable offer from an unaffiliated third party to purchase all or part of Landlord’s interest in the Premises
or (b) makes an offer to sell all or part of Landlord’s interest in the Premises, then Landlord shall give
Tenant thirty (30) days’ prior written notice of such proposed sale setting forth the name and address of the
proposed purchaser, the amount of the purchase price and all other terms and conditions of such offer along
with copies of all relevant documents. Tenant shall then have the right and option to purchase Landlord’s
interest in the Premises by giving written notice of its commitment to do so, at the same purchase price and
upon the same terms and conditions as such proposed sale, to Landlord within such 30-day post-notice
period. If Tenant does not timely exercise such right and option, then Tenant shall be deemed to have
waived such right and option with respect to such proposed sale (only) and Landlord may close such sale
with the proposed purchaser, but if for any reason Landlord shall not close such sale to such proposed
purchaser upon substantially the same terms and conditions as those proposed in Landlord’s initial written
notice to Tenant within one hundred eighty (180) days after the date of Landlord’s delivery of such notice
to Tenant, then Landlord shall not thereafter sell (or offer or agree to sell) all or part of Landlord’s interest
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in the Premises without again complying with the foregoing provisions of this Section 16.1 (and any sale
of all or part of Landlord’s interest in the Premises closed other than in strict compliance herewith shall be
absolutely null and void and of no effect as to Tenant, and Tenant shall be entitled to purchase such interest
in the Premises from such purchaser upon the same terms and conditions and at the same purchase price as
such purchaser purchased such interest in the Premises from Landlord). The right of first refusal set forth
in this Section 16.1 may be recorded as part of the Memorandum of Lease.
ARTICLE XVII –RESERVATION OF RIGHTS
(i) Notwithstanding any other term or provisions in this lease, Landlord reserves the right to
take any action it deems necessary to protect the aerial approaches, clear zones, transition and turning zones
of the Danbury Municipal Airport against obstruction to aircraft, together with the right to prevent Tenant
from erecting or allowing any structural growth on the Premises which in the reasonable opinion of the
Landlord would limit the usefulness of the Danbury Municipal Airport or otherwise constitutes a hazard to
aircraft; and
(ii) Landlord reserves the right to develop or improve the Danbury Municipal Airport or any
part thereof, or adjacent thereto, within its sole discretion, regardless of the desires or opinions of Tenant
and without interference or hinderance by Tenant, provided the same does not interfere with access, ingress,
egress to and from parking on or visibility of the Premises; and
(iii) This Lease shall be subordinate to the provisions of any existing or future agreements
entered into between Landlord and the United States Federal Aviation Administration to obtain federal aid
for the improvements of or operation and maintenance of the Danbury Municipal Airport.
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IN WITNESS WHEREOF, both Landlord and Tenant have signed and dated this Lease in the
appropriate locations below to be effective as of the Effective Date.
WITNESSES: LANDLORD:
CITY OF DANBURY
By:
Name:
Name: Title:
Date:
Federal EIN: ___-__________
Name:
TENANT:
RED LOBSTER RESTAURANTS LLC, a Delaware
limited liability company
By:
Name:
Title:
Name:
Date:
Federal EIN: ___-__________
Name:
4916-7674-5808.1
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4916-7674-5808.3
EXHIBIT A
PREMISES
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EXHIBIT B
MEMORANDUM OF LEASE
MEMORANDUM LEASE AGREEMENT
THIS MEMORANDUM OF LEASE AGREEMENT (this “Memorandum”) is made and
entered into by and between _____________________________, a __________________________
(“Landlord”), and RED LOBSTER RESTAURANTS LLC, a Delaware limited liability company
(“Tenant”).
R E C I T A L S:
WHEREAS, pursuant to that certain “Lease Agreement” dated to be effective as of
_________________, 20__ (the “Lease”), by and between Landlord and Tenant, Landlord leased to Tenant,
and Tenant leased from Landlord, the Premises (as defined in the Lease) being more particularly described
on Exhibit A attached hereto, together with any buildings and other improvements constructed or to be
constructed thereon and the use of all rights, privileges, easements, licenses and appurtenances belonging
or in any way pertaining thereto (collectively, the “Premises”);
WHEREAS, Landlord and Tenant desire to disclose to the general public their respective interests
in and to the Lease, the Premises, and certain obligations under the Lease by recording this Memorandum
in the official public records of _________ County, _______________.
A G R E E M E N T S:
NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth in the
Lease, Landlord and Tenant hereby covenant and agree as follows:
1. The “Term” of the Lease will commence on the Commencement Date (as defined in the
Lease) and, unless sooner terminated, will expire on the last day of the fifth (5th) Lease Year (as defined in
the Lease) after the Commencement Date.
2. Tenant has the right and option to renew and extend the Term one (1) period of five (5)
Lease Years.
3. This Memorandum is not intended to alter or supersede the Lease, and in the event of any
conflict between the provisions of this Memorandum and those of the Lease, the provisions of the Lease
shall control.
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IN WITNESS WHEREOF, both Landlord and Tenant have signed this Memorandum in the
appropriate locations below to be effective as of the effective date of the Lease.
WITNESSES: LANDLORD:
_________________________________________,
a _______________________________________,
Name:
By:
Name:
Title:
Name: Date:
TENANT:
_________________________________________,
a _______________________________________,
Name:
By:
Name:
Title:
Date:
Name:
[ACKNOWLEDGMENTS FOLLOW ON NEXT PAGE]
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ACKNOWLEDGMENTS
STATE OF __________________ §
§
COUNTY OF ________________ §
This instrument was executed and acknowledged before me on this ____ day of _____________, 20__, by
_____________________________________, ______________________________ of
______________________________________, a ____________________________, on behalf of said
__________________________. The individual whose name is subscribed to this instrument is personally
known to me.
NOTARY PUBLIC, STATE OF
My Commission Expires:
_______________________
STATE OF FLORIDA§
§
COUNTY OF ORANGE §
This instrument was executed and acknowledged before me on this ____ day of _____________, 20__, by
_____________________________________, ______________________________ of
______________________________________, a ____________________________, on behalf of said
__________________________. The individual whose name is subscribed to this instrument is personally
known to me.
NOTARY PUBLIC, STATE OF FLORIDA
My Commission Expires:
________________________
LANDLORD’S ADDRESS: TENANT’S ADDRESS:
________________________________ ________________________________
________________________________ c/o: Red Lobster Seafood Co.
________________________________ Attn: Legal Department
________________________________ 450 South Orange Avenue, Suite 800
________________________________ Orlando, FL 32801
AFTER RECORDING, RETURN TO TENANT
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EXHIBIT C
NON-DISTURBANCE AND ATTORNMENT AGREEMENT [FORM]
NON-DISTURBANCE AND ATTORNMENT AGREEMENT
THIS NON-DISTURBANCE AND ATTORNMENT AGREEMENT (this “Agreement”) is
made and entered into by and between ________________________________, a
________________________________ (“Tenant”), ________________________________, a
______________________________ (“Mortgagee”), and ______________________________, a
______________________________ (“Landlord”).
R E C I T A L S:
WHEREAS, pursuant to that certain “Lease Agreement” dated to be effective as of
________________, 20__ (the “Lease”), by and between Landlord and Tenant, Landlord leased to Tenant,
and Tenant leased from Landlord, ___________________________ in the State of _______________,
being more particularly described on Exhibit A attached hereto, together with any buildings and other
improvements constructed or to be constructed thereon and the use of all rights, privileges, easements,
licenses and appurtenances belonging or in any way pertaining thereto (collectively, the “Premises”);
WHEREAS, Mortgagee is the holder of a lien and encumbrance on the Premises as security for
the obligation of Landlord pursuant to a document entitled ____________________, recorded at
____________________________________ in the Official Public Records of _____________ County,
_______________ (the “Mortgage”); and
WHEREAS, the parties desire to acknowledge Tenant’s leasehold interest in and to the Premises,
and its rights under the Lease, so long as Tenant is not in default under the Lease.
A G R E E M E N T S:
NOW, THEREFORE, in consideration of the mutual covenants set forth in this Agreement,
Tenant, Mortgagee and Landlord hereby agree as follows:
1. Non-Disturbance. Mortgagee recognizes and agrees to honor all of Tenant’s rights under
the Lease and all of Landlord’s obligations under the Lease, including, without limitation, the use and
distribution of insurance and condemnation proceeds. So long as Tenant is not in default past the applicable
cure period in the performance of any of the terms of the Lease, Tenant’s possession of the Premises and
Tenant’s rights and privileges under the Lease, including any renewal options, shall not be disturbed,
diminished or interfered with by Mortgagee, Mortgagee shall continue to honor Landlord’s obligations
under the Lease and Tenant shall not be made a party defendant to any foreclosure proceeding.
2. Attornment. In the event Mortgagee succeeds to Landlord’s interest under the Lease
through foreclosure of the Mortgage, a deed in lieu of foreclosure or other means, Tenant shall be bound to
Mortgagee under all of the terms of the Lease for the balance of the term thereof with the same force and
effect as if Mortgagee were the landlord named in the Lease, and Tenant shall attorn to Mortgagee as its
landlord, such attornment to be effective and self-operative, without the execution of any further
instruments, immediately upon Mortgagee succeeding to Landlord’s interest under the Lease. Mortgagee
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agrees that Tenant shall be under no obligation to pay any Rent (as defined in the Lease) to Mortgagee until
Mortgagee has succeeded to Landlord’s interest under the Lease and has notified Tenant thereof in writing.
The respective rights and obligations of Tenant and Mortgagee upon such attornment shall, for the balance
of the term of the Lease, be the same as now set forth in the Lease, it being the intention of the parties for
this purpose to incorporate the Lease into this Agreement by reference with the same force and effect as if
set forth at length herein.
3. Landlord’s Obligations. In the event the Mortgage is foreclosed for any reason and
Mortgagee succeeds to Landlord’s interest under the Lease, Mortgagee shall be bound to Tenant under all
of the terms of the Lease, and Tenant shall, from and after such event, have the same remedies against
Mortgagee for the breach of any provision of the Lease that Tenant might have had under the Lease against
Landlord. In no event shall Mortgagee be liable for any act or omission of Landlord, or be subject to any
offsets or defenses which Tenant might have against Landlord, which occurred prior to the date on which
Mortgagee received a copy of a notice from Tenant of Landlord’s default under the Lease.
4. Binding Effect. The rights and obligations of Tenant and Mortgagee shall bind and inure
to the benefit of their respective successors and assigns.
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IN WITNESS WHEREOF, Tenant, Mortgagee and Landlord have signed this Agreement in the
appropriate locations below to be effective as of the latest of the dates of their respective signatures below.
WITNESSES: TENANT:
______________________________________,
a _____________________________________,
Name: By:
Name:
Title:
Name: Date:
MORTGAGEE:
,
a ,
By:
Name: Name:
Title:
Date:
Name:
LANDLORD:
_____________________________________,
a ____________________________________,
By:
Name: Name:
Title:
Date:
Name:
[ACKNOWLEDGMENTS FOLLOW ON NEXT PAGE]
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ACKNOWLEDGMENTS
STATE OF FLORIDA §
§
COUNTY OF ORANGE §
This instrument was acknowledged before me on this ____ day of __________________, 20__, by
____________________________________, ______________________________ of
__________________________________________, a ______________________________, on behalf of
said ______________________. The individual whose name is subscribed to this instrument is personally
known to me.
NOTARY PUBLIC, STATE OF FLORIDA
My Commission Expires:
_______________________
STATE OF __________________ §
§
COUNTY OF ________________ §
This instrument was acknowledged before me on this ____ day of __________________, 20__, by
____________________________________, ______________________________ of
__________________________________________, a ______________________________, on behalf of
said ______________________. The individual whose name is subscribed to this instrument is personally
known to me.
NOTARY PUBLIC, STATE OF ______________
My Commission Expires:
_______________________
STATE OF __________________ §
§
COUNTY OF ________________ §
This instrument was acknowledged before me on this ____ day of __________________, 20__, by
____________________________________, ______________________________ of
__________________________________________, a ______________________________, on behalf of
said ______________________. The individual whose name is subscribed to this instrument is personally
known to me.
NOTARY PUBLIC, STATE OF ______________
My Commission Expires:
_______________________
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LANDLORD’S ADDRESS: TENANT’S ADDRESS:
_______________________________ ________________________________
_______________________________ c/o Red Lobster Seafood Co.
_______________________________ Attn: Legal Department
_______________________________ 450 South Orange Avenue, Suite 800
________________________________ Orlando, FL 32801
MORTGAGEE’S ADDRESS:
________________________________
________________________________
________________________________
________________________________
________________________________
AFTER RECORDING, RETURN TO TENANT
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