SECOND AMENDMENT TO LEASE AGREEMENT
(900 Enchanted Way, Simi Valley, CA 93065)
THIS SECOND AMENDMENT TO LEASE AGREEMENT (this "Second Amendment") dated for reference as of May 13, 2020, is entered into by and between HILLSIDE ASSOCIATES II, LLC, a California limited liability company, as Lessor, and AEROVIRONMENT, INC., a Delaware corporation, as Lessee, with reference to the following:
A.Lessor and Lessee have entered into that certain AIR Commercial Real Estate Association Standard Industrial/Commercial Lease - Net, dated April 21, 2008, as addended, and as amended by that certain First Amendment to Lease Agreement, dated December 1, 2013 (the "First Amendment"), for the premises commonly known as 900 Enchanted Way, Simi Valley, CA 93065, more particularly described therein (collectively, the "Lease"). Each initially capitalized term not defined in this Second Amendment shall have the meaning ascribed to such term in the Lease. Each sectional reference below shall mean and refer to the corresponding section of the Lease.
B.Lessor and Lessee desire and intend to amend the Lease on the terms and conditions set forth hereinbelow.
NOW, THEREFORE, in consideration of the terms and provisions contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Lessor and· Lessee hereby amend the Lease as follows:
1.TERM. The term of the Lease is hereby extended for a period of five (5) years, commencing on June 1, 2020 and terminating on May 31, 2025 (the "Termination Date"), subject to Lessee's one-time only right to terminate the Lease prior to the Termination Date as such right is provided and conditioned in Paragraph 2 below.
2.LESSEE'S RIGHT TO TERMINATE LEASE EARLY. Notwithstanding the terms of Paragraph 1 above, Lessee shall have the right to terminate ("Termination") the Lease for any reason or for no reason upon one hundred twenty (120) days prior written notice to Lessor of Termination, provided in no event shall this Lease be terminated by Lessee earlier than May 31, 2023 and provided further Lessee shall satisfy in addition each of the following conditions (each, a "Condition," and, collectively, the "Conditions"):
(a)Lessee shall not be in uncured breach or default of any of its obligations under the Lease on the date of Lessee's delivery to Lessor of Lessee's notice of Termination or at any time thereafter;
(b)Lessee shall pay to Lessor, at the time of, and together with, its delivery to Lessor of the notice of Termination, good funds in the amount of a total of twelve (12) months of Base Rent at the rate applicable under Paragraph 3 below for Base Rent on the date Lessee returns to Lessor all keys for the Premises and Lessee has satisfied all Conditions in addition; and
(c)Lessor's identification of the amount to be paid by Lessee to Lessor, and Lessee's payment of such amount in full to Lessor, for the repair and/or restoration of the Premises as required under the Lease, as amended.
All other conditions under the Lease applicable to Lessee's termination and/or vacation of the Premises shall remain in full force and effect and shall be satisfied by Lessee.