THIRDAMENDMENT TO COMMERCIAL LEASE AGREEMENT
Exhibit 10.1
THIRD AMENDMENT TO COMMERCIAL LEASE AGREEMENT
This Third Amendment to the Commercial Lease Agreement (the "Third Amendment") is made this 10th day of October, 2016, (the "Effective Date") by and between Chino Valley Properties, LLC (the "Landlord") and C3C3 Group, LLC (the "Tenant"), collectively (the “Parties”).
WITNESSETH:
WHEREAS, Landlord and Tenant heretofore entered into a Commercial Lease Agreement (the "Lease") executed and effective as of August 6, 2015 for the lease on the premises commonly known as 2144 & 2148 N. Road 1 East Chino Valley, AZ 83462; and
WHEREAS, The Landlord has invested capital into the property for expansion of the facilities for use by the Tenant, including by not limited to an expansion of utilities and an expansion of operational space; and
WHEREAS, The parties hereto desire to change the rental rate of the monthly rental payment and the size of the operating premises to reflect the expanded facilities; and
WHEREAS, all defined terms used in the Lease shall have the same meaning herein as therein.
NOW, THEREFORE, in consideration of the mutual covenants herein contained, and for good and valuable consideration, the sufficiency and receipt of which is acknowledged, the Parties agree to the following amendment to the language of the Lease:
1. | 2.01 Premises: The Premises shall be amended as per the Premises Description attached as an updated “Amended Exhibit C” to the original Lease Agreement. |
2. | 5.01 Base Rent: The Base Rent shall be amended as per the Rental Schedule attached as an updated “Amended Exhibit B” to the original Lease Agreement. |
Your signature below will indicate that you agree to the terms and conditions as set forth herein dated October 10, 2016:
Chino Valley Properties, LLC. | C3C3 Group, LLC. | |||
By: | /s/ Bryan McLaren | By: | /s/ Christopher Carra | |
Name: | Bryan McLaren | Name: | Christopher Carra | |
Title: | CEO | Title: | President | |
Alan Abrams, Individually. | ||||
By: | /s/ Alan Abrams | |||
Name: | Alan Abrams | |||
Title: | Personal Guarantor |
AMENDED EXHIBIT B: Rental Payment Schedule
Year | Commencement | Months | Monthly Payment | Annual Rental Rate | Base Rental Rate | Rentable Area | ||||||||||||||||||||
1 | 1-Aug-15 | 01 | Waived | Waived | Waived | Waived | ||||||||||||||||||||
1 | 1-Sep-15 | 02-06 | $ | 30,000.00 | $ | 360,000.00 | $ | 24.00 | 15,000 | |||||||||||||||||
1 | 1-Feb-16 | 07-12 | $ | 40,000.00 | $ | 480,000.00 | $ | 32.00 | 15,000 | |||||||||||||||||
2 | 15-Aug-16 | 13-15 | $ | 42,000.00 | $ | 504,000.00 | $ | 33.60 | 15,000 | |||||||||||||||||
2 | 15-Nov-16 | 16-24 | $ | 55,000.00 | $ | 660,000.00 | $ | 26.40 | 25,000 | |||||||||||||||||
3 | 15-Aug-17 | 25-36 | $ | 57,750.00 | $ | 693,000.00 | $ | 27.72 | 25,000 | |||||||||||||||||
4 | 15-Aug-18 | 37-48 | $ | 60,637.50 | $ | 727,650.00 | $ | 29.11 | 25,000 | |||||||||||||||||
5 | 15-Aug-19 | 49-60 | $ | 63,669.38 | $ | 764,032.50 | $ | 30.56 | 25,000 | |||||||||||||||||
6 | 15-Aug-20 | 61-72 | $ | 66,852.84 | $ | 802,234.13 | $ | 32.09 | 25,000 | |||||||||||||||||
7 | 15-Aug-21 | 73-84 | $ | 70,195.49 | $ | 842,345.83 | $ | 33.69 | 25,000 | |||||||||||||||||
8 | 15-Aug-22 | 85-96 | $ | 73,705.26 | $ | 884,463.12 | $ | 35.38 | 25,000 | |||||||||||||||||
9 | 15-Aug-23 | 97-108 | $ | 77,390.52 | $ | 928,686.28 | $ | 37.15 | 25,000 | |||||||||||||||||
10 | 15-Aug-24 | 109-120 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
11 | 15-Aug-25 | 121-132 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
12 | 15-Aug-26 | 133-144 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
13 | 15-Aug-27 | 145-156 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
14 | 15-Aug-28 | 157-168 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
15 | 15-Aug-29 | 169-180 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
16 | 15-Aug-30 | 181-192 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
17 | 15-Aug-31 | 193-204 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
18 | 15-Aug-32 | 205-216 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
19 | 15-Aug-33 | 217-228 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 | |||||||||||||||||
20 | 15-Aug-34 | 229-240 | $ | 81,260.05 | $ | 975,120.59 | $ | 39.00 | 25,000 |
*Annual Rental Rate escalates at 5% per annum through year 10
AMENDED EXHIBIT C: PROPERTY SITE AND LEGAL DESCRIPTION
Parcel ID: | 306-14-008-M | |
Property Address: | 2144 & 2148 N. Road 1 East Chino Valley, AZ 83462 | |
Building and Premises: | Chino Valley Cultivation Site; approximately 10,000 square feet of completed Greenhouse, 10,000 square feet of completed Hoop House and approximately 5,000 square feet of existing office & garage space existing within the currently fenced in area. Approximately 11 acres. | |
Legal Description: | An irregular portion of the SE4 the SE parcel corner lying approximately 686'N and 50'W from the SE corner of said section 19 |