COMMERCIAL LEASE AGREEMENT
 
     This Commercial Lease Agreement (“Lease”) is made and effective February 1, 2018 by and between Tullis Office               Park, LLC (Landlord) and Your Business Name (Tenant).

     Landlord is the owner of land and improvements commonly known and described as 5089 South through 5153                     South 1500 West, Riverdale, UT 84405 and legally described as follows: Tullis Office Park, Riverdale, Utah; a two               building complex consisting of buildings designated as Building A, and Building B.

     Landlord makes available for lease a portion of Building A designated as 5131 South 1500 West, Riverdale, Utah                 84405 (Suite address), containing approximately 900 square feet (the “Leased Premises”).

     Landlord desires to lease the Leased Premises to Tenant, and Tenant desires to lease the Leased Premises from                 Landlord for the term, at the rental and upon the covenants, conditions and provisions herein set forth.

     THEREFORE, in consideration of the mutual promises herein, contained and other good and valuable consideration, it         is agreed:

     1. Term.

     A. Landlord hereby leases the Leased Premises to Tenant, and Tenant hereby leases the same from Landlord, for the         Term beginning February 1, 2019 and ending January 31, 2020. Landlord shall use its best efforts to give Tenant                 possession as nearly as possible at the beginning of the Lease term. If Landlord is unable to timely provide the Leased       Premises, rent shall abate for the period of delay. Tenant shall make no other claim against Landlord for any such delay.

     B. Tenant may renew the Lease for one extended term of twelve (12) months or more [Renewal Term]. Tenant shall             exercise such renewal option, if at all; by giving written notice to Landlord not less than ninety (90) days prior to the               expiration of the Initial Term. The renewal term shall be at the rental set forth below and otherwise upon the same                 covenants, conditions and provisions as provided in this Lease.

     2. Rental.

     A. Tenant shall pay to Landlord during the Term the Rental of $XX,XXX.00 [Annual Rent] per year, payable in                       installments of $XXX.00 [Monthly Rental Amount] per month.  Each installment payment shall be due in advance on the       first day of each calendar month during the lease term to Landlord [Tullis Office Park, LLC]. Tenant shall remit each             installment payment to Landlord’s Agent either in person or otherwise delivered to:

     Charles Holzwarth
     5425 South 350 East #22
     Washington Terrace, UT 84405

     [Landlord’s Designated Payment Address], or at such other place designated by written notice from Landlord. The               rental payment amount for any partial calendar months included in the lease term shall be prorated on a daily basis. If         Tenant fails to remit to Landlord the Monthly Rental Amount in full by the 10th (Tenth) calendar day of each month [Late       Installment], a late fee of $50.00 shall be added to and due with remittance of the Late Installment.

     B. Provided that Tenant is not in default in the performance of this Lease, the rental for any renewal lease term, if                 created as permitted under this Lease, shall be: To Be Determined (TBD) [Annual Rent in Renewal Term] per year               payable in installments of TBD [Monthly Rental Amount] per month.

     3. Use

     Notwithstanding the forgoing, Tenant shall not use the Leased Premises for the purposes of storing, manufacturing or           selling any explosives, flammables or other inherently dangerous substance, chemical, thing or device.  Tenant shall             use and occupy the Leased Premises for Office Space.  The Leased Premises shall be used for no other purpose                 unless otherwise agreed to by and between Landlord and Tenant in this Lease.

     4. Common Area Expenses (Included).

     5. Sublease and Assignment.

     Tenant shall have the right without Landlord’s consent, to assign this Lease to a corporation with which Tenant may             merge or consolidate, to any subsidiary of Tenant, to any corporation under common control with Tenant, or to a                   purchaser of substantially all of Tenant’s assets. Except as set forth above, Tenant shall not sublease all or any part of         the Leased Premises, or assign this Lease in whole or in part without Landlord’s consent, such consent not to be                 unreasonably withheld or delayed.

     6. Repairs.

     During the Lease term, Tenant shall make, at Tenant’s expense, all necessary repairs to the Leased Premises. Repairs       shall include such items as routine repairs of floors, walls, ceilings, and other parts of the Leased Premises damaged or       worn through normal occupancy, except for major mechanical systems or the roof, subject to the obligations of the               parties otherwise set forth in this Lease.

     7. Alterations and Improvements.

     Tenant, at Tenant’s expense, shall have the right following Landlord’s consent to remodel, redecorate, and make                   additions, improvements and replacements of and to all or any part of the Leased Premises from time to time as Tenant       may deem desirable, provided the same are made in a workmanlike manner and utilizing good quality materials. Tenant       shall have the right to place and install personal property, trade fixtures, equipment and other temporary installations in         and upon the Leased Premises, and fasten the same to the premises. All personal property, equipment, machinery,             trade fixtures and temporary installations, whether acquired by Tenant at the commencement of the Lease term or               placed or installed on the Leased Premises by Tenant thereafter, shall remain Tenant’s property free and clear of any           claim by Landlord. Tenant shall have the right to remove the same at any time during the term of this Lease provided           that all damage to the Leased Premises caused by such removal shall be repaired by Tenant at Tenant’s expense.

     8. Property Taxes.

     Landlord shall pay, prior to delinquency, all general real estate taxes and installments of special assessments coming           due during the Lease term on the Leased Premises, and all personal property taxes with respect to Landlord’s personal       property, if any, on the Leased Premises. Tenant shall be responsible for paying all personal property taxes with respect       to Tenant’s personal property at the Leased Premises.

     9. Insurance.

     A. If the Leased Premises or any other party of the Building is damaged by fire or other casualty resulting from any act         or negligence of Tenant or any of Tenant’s agents, employees or invitees, rent shall not be diminished or a bated while         such damages are under repair, and Tenant shall be responsible for the costs of repair not covered by insurance.

     B. Landlord shall maintain fire and extended coverage insurance on the Building and the Leased Premises in such               amounts as Landlord shall deem appropriate. Tenant shall be responsible, at its expense, for fire and extended                     coverage insurance on all of its personal property, including removable trade fixtures, located in the Leased Premises.

     C. Tenant and Landlord shall, each at its own expense, maintain a policy or policies of comprehensive general liability         insurance with respect to the respective activities of each in the Building with the premiums thereon fully paid on or               before due date, issued by and binding upon some insurance company approved by Landlord, such insurance to afford       minimum protection of not less than $1,000,000 combined single limit coverage of bodily injury, property damage or             combination thereof. Landlord shall be listed as an additional insured on Tenant’s policy or policies of comprehensive           general liability insurance, and Tenant shall provide Landlord with current Certificates of Insurance evidencing Tenant’s         compliance with this Paragraph. Tenant shall obtain the agreement of Tenant’s insurers to notify Landlord that a policy         is due to expire at least (10) days prior to such expiration. Landlord shall not be required to maintain insurance against         thefts within the Leased Premises or the Building.

     10. Utilities.

     Tenant shall pay all charges for gas, electricity, telephone and other services and utilities used by Tenant on the Leased       Premises during the term of this Lease unless otherwise expressly agreed in writing by Landlord. In the event that any         utility or service provided to the Leased Premises is not separately metered, Landlord shall pay the amount due and             separately invoice Tenant for Tenant’s pro rata share of the charges. Tenant shall pay such amounts within fifteen (15)         days of invoice. Tenant acknowledges that the Leased Premises are designed to provide standard office use electrical         facilities and standard office lighting. Tenant shall not use any equipment or devices that utilize excessive electrical               energy or which may, in Landlord’s reasonable opinion, overload the wiring or interfere with electrical services to other         tenants.

     Landlord shall pay all charges for water, sewer and waste removal [dumpster] services.  

     11. Signs.

     Following Landlord’s consent, Tenant shall have the right to place on the Leased Premises, at locations selected by             Tenant, any signs which are permitted by applicable zoning ordinances and private restrictions. Landlord may ref use           consent to any proposed signage that is in Landlord’s opinion too large, deceptive, unattractive or otherwise                         inconsistent with or inappropriate to the Leased Premises or use of any other tenant. Landlord shall assist and                     cooperate with Tenant in obtaining any necessary permission from governmental authorities or adjoining owners and           occupants for Tenant to place or construct the foregoing signs. Tenant shall repair all damage to the Leased Premises         resulting from the removal of signs installed by Tenant.

     12. Entry.

     Landlord or his Agent shall have the right to enter upon the Leased Premises at reasonable hours to inspect the same,         provided Landlord shall not thereby unreasonably interfere with Tenant’s business on the Leased Premises.

     13. Parking.

     During the Term or renewal term, if any, of this Lease, Tenant shall have the non-exclusive use in common with                     Landlord, other tenants of the Building, their guests and invitees, of the non-reserved common automobile parking               areas, driveways, and footways, subject to rules and regulations for the use thereof as prescribed from time to time by         Landlord. Landlord reserves the right to designate parking areas within the Building or in reasonable proximity thereto,         for Tenant and Tenant’s agents and employees.

     14. Damage and Destruction.

     Subject to Section 9 A. above, if the Leased Premises or any part thereof or any appurtenance thereto is so damaged         by fire, casualty or structural defects that the same cannot be used for Tenant’s purposes, then Tenant shall have the           right within ninety (90) days following damage to elect by notice to Landlord to terminate this Lease as of the date of             such damage. In the event of minor damage to any part of the Leased Premises, and if such damage does not render         the Leased Premises unusable for Tenant’s purposes, Landlord shall promptly repair such damage at the cost of the             Landlord. In making the repairs called for in this paragraph, Landlord shall not be liable for any delays resulting from             strikes, governmental restrictions, inability to obtain necessary materials or labor or other matters which are beyond the       reasonable control of Landlord. Tenant shall be relieved from paying rent and other charges during any portion of the           Lease term that the Leased Premises are inoperable or unfit for occupancy, or use, in whole or in part, for Tenant’s               purposes. Rentals and other charges paid in advance for any such periods shall be credited on the next ensuing                   payments, if any, but if no further payments are to be made, any such advance payments shall be refunded to Tenant.         The provisions of this paragraph extend not only to the matters aforesaid, but also to any occurrence which is beyond           Tenant’s reasonable control and which renders the Leased Premises, or any appurtenance thereto, inoperable or unfit         for occupancy or use, in whole or in part, for Tenant’s purposes.

     15. Default.

     If default shall at any time be made by Tenant in the payment of rent when due to Landlord as herein provided, and if           said default shall continue for fifteen (15) days after written notice thereof shall have been given to Tenant by Landlord,         or if default shall be made in any of the other covenants or conditions to be kept, observed and performed by Tenant,           and such default shall continue for thirty (30) days after notice thereof in writing to Tenant by Landlord without correction       thereof then having been commenced and thereafter diligently prosecuted, Landlord may declare the term of this Lease       ended and terminated by giving Tenant written notice of such intention, and if possession of the Leased Premises is not       surrendered, Landlord may reenter said premises. Landlord shall have, in addition to the remedy above provided, any         other right or remedy available to Landlord on account of any Tenant default, either in law or equity. Landlord shall use         reasonable efforts to mitigate its damages.

     16. Quiet Possession.

     Landlord covenants and warrants that upon performance by Tenant of its obligations hereunder, Landlord will keep and       maintain Tenant in exclusive, quiet, peaceable and undisturbed and uninterrupted possession of the Leased Premises         during the term of this Lease.

     17. Condemnation.

     If any legally, constituted authority condemns the Building or such part thereof which shall make the Leased Premises         unsuitable for leasing, this Lease shall cease when the public authority takes possession, and Landlord and Ten ant             shall account for rental as of that date. Such termination shall be without prejudice to the rights of either party to recover       compensation from the condemning authority for any loss or damage caused by the condemnation. Neither party shall         have any rights in or to any award made to the other by the condemning authority.

     18. Subordination.

     Tenant accepts this Lease subject and subordinate to any mortgage, deed of trust or other lien presently existing or             hereafter arising upon the Leased Premises, or upon the Building and to any renewals, refinancing and extensions               thereof, but Tenant agrees that any such mortgagee shall have the right at any time to subordinate such mortgage,              deed of trust or other lien to this Lease on such terms and subject to such conditions as such mortgagee may deem            appropriate in its discretion. Landlord is hereby irrevocably vested with full power and authority to subordinate this Lease      to any mortgage, deed of trust or other lien now existing or hereafter placed upon the Leased Premises of the Building,        and Tenant agrees upon demand to execute such further instruments subordinating this Lease or attorning to the holder      of any such liens as Landlord may request. In the event that Tenant should fail to execute any instrument of                          subordination herein require d to be executed by Tenant promptly as requested, Tenant hereby irrevocably constitutes          Landlord as its attorney-in-fact to execute such instrument in Tenant’s name, place and stead, it being agreed that such        power is one coupled with an interest. Tenant agrees that it will from time to time upon request by Landlord execute and      deliver to such persons as Landlord shall request a statement in recordable form certifying that this Lease is unmodified      and in full force and effect (or if there have been modifications, that the same is in full force and effect as so modified),          stating the dates to which rent and other charges payable under this Lease have been paid, stating that Landlord is not        in default hereunder (or if Tenant alleges a default stating the nature of such alleged default) and further stating such            other matters as Landlord shall reasonably require.

     19. SECURITY DEPOSIT.

     A Security Deposit, of $1,000.00, shall be held by Landlord without liability for interest and as security for the                         performance by Tenant of Tenant’s covenants and obligations under this Lease, it being expressly understood that the         Security Deposit shall not be considered an advance payment of rental or a measure of Landlord’s damages in case of       default by Tenant. Unless otherwise provided by mandatory non-waivable law or regulation, Landlord may commingle           the Security Deposit with Landlord’s other funds. Landlord may, from time to time, without prejudice to any other                   remedy, use the Security Deposit to the extent necessary to make good any arrearages of rent or to satisfy any other           covenant or obligation of Tenant hereunder. Following any such application of the Security Deposit, Tenant shall pay to         Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. If Tenant is           not in default at the termination of this Lease, the balance of the Security Deposit remaining after any such application         shall be returned by Landlord to Tenant. If Landlord transfers its interest in the Premises during the term of this Lease,         Landlord may assign the Security Deposit to the transferee and thereafter shall have no further liability for the return of         such Security Deposit. 

     20. Notice.

     Any notice required or permitted under this Lease shall be deemed sufficiently given or served if sent by United States         certified mail, return receipt requested, addressed as follows:

     If to Landlord to:
     Tullis Office Park, LLC
     2298 Stone Crest Way.
     St. George, UT 84790

     If to Tenant to:
     Your Business Name                     
     Your Business Street Address
     City, State, ZIP Code

     Landlord and Tenant shall each have the right from time to time to change the place notice is to be given under this             paragraph by written notice thereof to the other party.

     21. Brokers.

     Tenant represents that Tenant was not shown the Premises by any real estate broker or agent and that Tenant has not         otherwise engaged in, any activity which could form the basis for a claim for real estate commission, brokerage fee,             finder’s fee or other similar charge, in connection with this Lease.

     22. Waiver.

     No waiver of any default of Landlord or Tenant hereunder shall be implied from any omission to take any action on               account of such default if such default persists or is repeated, and no express waiver shall affect any default other than       the default specified in the express waiver and that only for the time and to the extent therein stated. One or more                 waivers by Landlord or Tenant shall not be construed as a waiver of a subsequent breach of the same covenant, term         or condition.

     23. Memorandum of Lease.

     The parties hereto contemplate that this Lease should not and shall not be filed for record, but in lieu thereof, at the             request of either party, Landlord and Tenant shall execute a Memorandum of Lease to be recorded for the purpose of           giving record notice of the appropriate provisions of this Lease.

     24. Headings.

     The headings used in this Lease are for convenience of the parties only and shall not be considered in interpreting the         meaning of any provision of this Lease.

     25. Successors.

     The provisions of this Lease shall extend to and be binding upon Landlord and Tenant and their respective legal                   representatives, successors and assigns.

     26. Consent.

     Landlord shall not unreasonably withhold or delay its consent with respect to any matter for which Landlord’s consent is       required or desirable under this Lease.

     27. Performance.

     If there is a default with respect to any of Landlord’s covenants, warranties or representations under this Lease, and if         the default continues more than fifteen (15) days after notice in writing from Tenant to Landlord specifying the default,           Tenant may, at its option and without affecting any other remedy hereunder, cure such default and deduct the cost               thereof from the next accruing installment or installments of rent payable hereunder until Tenant shall have been fully           reimbursed for such expenditures, together with interest thereon at a rate equal to the lesser of twelve percent (12%)           per annum or the then highest lawful rate. If this Lease terminates prior to Tenant’s receiving full reimbursement,                   Landlord shall pay the un-reimbursed balance plus accrued interest to Tenant on demand.

     28. Compliance with Law.

     Tenant shall comply with all laws, orders, ordinances and other public requirements now or hereafter pertaining to                 Tenant’s use of the Leased Premises. Landlord shall comply with all laws, orders, ordinances and other public                       requirements now or hereafter affecting the Leased Premises.

     29. Final Agreement.

     This Agreement terminates and supersedes all prior understandings or agreements on the subject matter hereof. This         Agreement may be modified only by a further writing that is duly executed by both parties.

     30. Governing Law.

     This Agreement shall be governed, construed and interpreted by, through and under the Laws of the State of Utah.

     IN WITNESS WHEREOF, the parties have executed this Lease as of the day and year first above written.
 

 

 

     _________________________________________________________________________
     (Landlord Signature)    Charles H. Holzwarth, Property Manager, Tullis Office Park, LLC
                                          Representing:
                                          Bruce Rees, Owner, Tullis Office Park, LLC

 

 
 

     __________________________________________________________________________
     (Tenant Signature)   Your Name, Your Title, Your Business Name