KOTTINGER GARDENS PHASE 1 GROUND LEASE - MAR 2016

ensure reasonably normal, healthy plant growth. Maintenance shall include replacement of plantings. when necessary, and all ordinary and usual care, including, but not limited to, irrigation, fertilization, pest and disease control, weeding, rotation of plantings and the removal of trimmings. rubbish, debris, and other solid waste. Lessee shall, at no expense to the Lessor, install, maintain. repair, and replace, where necessary, such irrigation systems as are required to provide adequate irrigation in compliance with water conservation practices. (c) If, in the reasonable judgment of the City Engineer, Lessee has failed to maintain properly any landscaping as required by this Lease, the Lessor may perform such maintenance, at its option. after thirty (30) days' prior written notice to Lessee of such failure to maintain. In such event, the Lessor's performance of such maintenance shall be at the Lessee's sole expense and Lessee, upon demand by the Lessor, shall pay to the Lessor all reasonable expenses incurred by the Lessor in the performance of such maintenance. (d) If any maintenance, repair. or replacement of landscaping needs immediate correction as a result of a public safety or health hazard, as reasonably determined by the City Engineer, and such maintenance is not performed, or cannot be performed, by Lessee within twenty-four(24) hours of receipt of such notice thereof, the Lessor may perform or cause to be performed such maintenance at Lessee's expense. and Lessee, upon demand by the Lessor, shall pay to the Lessor all reasonable expenses incurred by the Lessor in the performance of such maintenance. Section 7.3 Alterations to Leased Premises. Lessee may make any additions, alterations or changes (sometimes collectively referred to herein as "Alterations") in or to the Improvements subject, however, to the following conditions: (a) No Alterations shall be made that would tend to impair the structural soundness of the Improvements; (b) No Alterations shall be undertaken that are prohibited by, or would cause the Leased Premises, the Improvements, Lessee, or Lessor to be in breach or violation of any Legal Requirements: (c) No Alterations shall be undertaken until Lessee shall have procured. to the extent the same may be required from time to time, all permits and authorizations of all applicable Governmental Authorities. all require consents of any Lender, and the consent of Lessor. Lessor shall join in the application for such permits or authorizations whenever such action is necessary or helpful and is requested by Lessee, and shall use Lessor's reasonable efforts to obtain such permits or authorization; and (d) Any Alterations shall be performed in good and workerlike manner and in compliance with all applicable Legal Requirements and all applicable Insurance Requirements. (e) Any and all Alterations are consistent with the use of the Leased Premises as authorized under this Lease. (f) Any Alteration that will exceed the sum of Two Hundred Fifty Thousand Dollars ($250,000) in cost (increasing annually by the amount of the Consumer Price Index- 22 191A52\1656915.8 OAK 44834-9609-1684 v11