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R-01-07-12-11C1 - 7/12/2001 RESOLUTION NO. R-01-07-12-11C1 WHEREAS, due to space requirements, the City of Round Rock needs to relocate the Planning and Community Development Department to a temporary location until the new municipal office complex facilities are completed, and WHEREAS, the City Council wishes to enter into a Commercial Sublease Agreement with Classic Special Management, Ltd. for the sublease of approximately 5, 581 square feet of office space for the Planning and Community Development Department, Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, That the Mayor is hereby authorized and directed to execute on behalf of the City a Commercial Sublease Agreement with Classic Special Management, Ltd. for the sublease of approximately 5, 581 square feet of office space for the Planning and Community Development Department . The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended, and the Act . RESOLVED this 12th day of Ju , RO A. STLUKA, J Mayor AT ST: City of Round Rock, Texas AAAAA J E LAND, City Secretary 0:\WPDOCS\RESOLUTI\R10712C1.WPD/sc DATE: July 6, 2001 SUBJECT: City Council Meeting—July 12, 2001 ITEM: 11.C.1. Consider a resolution authorizing the Mayor to execute a Commercial Sublease Agreement with Classic Special Management, Ltd. to lease approximately 5,581 square feet of office space for the Planning and Community Development Department. Resource: Joe Vining, Planning Director History: Space requirements for Human Resources Department (resulting from Civil Services Requirements) and other departments in city hall has resulted in the need to move the Planning and Community Development Department to a temporary location until the new municipal office complex facilities are completed. Space has been located on the second floor of Crystal Park Plaza located at 101 East Old Settlers Boulevard. This space is currently finished out and ready for immediate occupancy. It also contains modular furniture in the open office portions of the space. Funding: General Fund Cost: $12.20 per square foot per year triple net (operating cost estimated @ $7.50 per square foot per year) Outside Resources: Classic Special Management, Ltd. Impact: Cost of rental space until municipal office complex facilities are completed. Benefit: Provides necessary space to accommodate current city needs. Public Comment: None Sponsor: N/A COPY- COMMERCIAL SUBLEASE AGREEMENT This Commercial Sublease Agreement is made and entered into by and between Sublessor CLASSIC SPECIAL MANAGEMENT,LTD., a Texas limited partnership, acting by and through CLASSIC SPECIAL LLC, a Texas limited liability company, its General Partner (hereinafter referred to as"Sublessor Classic")and Sublessee CITY OF ROUND ROCK,TEXAS,a municipal corporation (hereinafter referred to as "Sublessee City"). Date: J 0 L �� , 2001 Sublessor: CLASSIC SPECIAL MANAGEMENT, LTD., a Texas limited partnership, acting by and through CLASSIC SPECIAL LLC, a Texas limited liability company, its General Partner Sublessor's Address: 2301 North Interstate Highway 35 Round Rock, Texas 78664 Sublessee: CITY OF ROUND ROCK, TEXAS, a municipal corporation Sublessee's Address: 221 East Main Street Round Rock, Texas 78664 Subleased Premises: 5,581 square feet net rentable area located in Suite 200 ofthe building known as Crystal Park Plaza located at 101 East Old Settlers Boulevard in Round Rock, Williamson County,Texas, as shown on Exhibit "A" attached hereto and made a part hereof (hereinafter referred to as "Office Complex"), along with accompanying unassigned spaces in the appurtenant parking facilities. The Office Complex has a total rentable area of 58,647 square feet. "Net Rentable Area, "as used herein, shall refer to (i) in the case of a single tenancy floor,all floor area measured from the inside surface of the outer glass line of the building to the inside surface of the opposite outer glass line excluding only the areas ("service areas") used for building stairs, fire towers, elevator shafts, flues, vents, stacks, pipe shafts and vertical ducts (which service areas shall be measured from the midpoint of walls enclosing such service areas), but including any such service areas which are for the specific use of the particular tenant such as special stairs or elevators, plus an allocation of the square footage of the building's elevator machine rooms, mechanical and electrical rooms, and public lobbies, and(ii) in the case of a floor to be occupied by more than one tenant,all floor O:\wdox\CORA\gnl\pingdo\opm\00007006_WPD/jkg 1 areas within the inside surface of the outer glass walls enclosing the premises and measured to the mid-point of the walls separating areas leased by or held for lease to other tenants or from areas devoted to corridors, elevator foyers, restrooms, mechanical rooms, janitor closets, vending areas and other similar facilities for the use of all tenants on the particular floor(hereinafter sometimes called"common areas'), but including a proportionate part of the common areas located on such floor based upon the ration which the tenant's net rentable area (excluding common areas) on such floor bears to the aggregate net rentable area(excluding common areas)on such floor or other reasonable bases determined by Sublessor Classic, plus an allocation of the square footage of the building's elevator machine rooms, mechanical and electrical rooms, and public lobbies. No deductions from net rentable area shall be made for columns or projections necessary to the building. The net rentable area in the premises has been calculated on the basis of the foregoing definition and is hereby stipulated for all purposes hereof to be 5,581 square feet, whether the same should be more or less as a result of minor variations resulting from actual construction and completion of the premises for occupancy so long as such work is done in accordance with the terms and provisions hereof. Sublease Commencement Date(Initial Term): July 13, 2001 Sublease Termination Date (Initial Term): July 12, 2003 Sublease Initial Term: Two (2)years Extension Options: 1. First Extension Option. Sublessor Classic grants to Sublessee City an option(hereinafter referred to as "First Extension Option") to extend the Sublease Initial Term for an additional period of time, commencing on the Sublease Termination Date and expiring on the date(the "First Extension Expiration Date")that falls on the earliest occurrence of the following: (a) the expiration of one year from the end of the Sublease Termination Date, (b) the availability for occupancy of newly-constructed facilities at the Municipal Office Complex, or (c) the expiration or earlier termination of the Base Lease or of Sublessor Classic's possession of the Sublease Premises. Sublessee City's rights under this option terminate if(a) the Base Lease,this Sublease,or Sublessor Classic's or Sublessee City's right to possession of the premises is terminated,or(b)Sublessee City fails 2 to timely exercise the option, or (c) default exists at the time Sublessee City seeks to exercise the First Extension Option. Sublessor Classic and Sublessee City agree to the following: a. The option to extend for an additional sublease term must be exercised by Sublessee City's written notice delivered to Sublessor Classic at least ninety (90) days prior to the Sublease Termination Date (Initial Term). b. During any extended sublease term,the sublease will continue with the same terms as written herein. 2. Second Extension Option. Sublessor Classic grants to Sublessee City a second option (hereinafter referred to as "Second Extension Option") to extend the sublease term to provide for a month-to- month tenancy by Sublessee City beginning on the First Extension Expiration Date. Sublessee City's rights under this option terminate if(a)the Base Lease,this Sublease or Sublessee City's or Sublessor Classic's right to possession of the premises is terminated, or (b) Sublessee City fails to timely exercise the Second Extension Option, or(c) default exists at the time Sublessee City seeks to exercise the Second Extension Option, or (d) Sublessee City fails to timely exercise the First Extension Option. Sublessor Classic and Sublessee City agree to the following: a. The option to extend for the second additional sublease term must be exercised by Sublessee City's written notice delivered to Sublessor Classic at least ninety(90) days prior to the First Extension Expiration Date. b. During the second additional sublease term,the sublease will continue with the same terms as written herein. C. If Sublessee City timely exercises the second extension option, then Sublessee City agrees to.provide written notice delivered to Sublessor Classic at least sixty(60)days prior to terminating the month-to-month tenancy. In all cases,within the second extension option,Sublessee City will be obligated on a month-to-month tenancy basis for sixty (60) days following delivery of written notice to terminate. 3 Base Sublease Rent: Monthly Base Sublease Rent $5,674.00 Annualized Base Sublease Rent $68,088.20 Based upon $12.20 per square foot x 5,581 square feet subleased Additional Sublease Rent: "Additional Sublease Rent," as used herein, shall mean the Additional Rent that Sublessor Classic is obligated to pay on the subleased premises pursuant to Article 2 of the Base Lease. Article 2 of the Base Lease states that Sublessor Classic is obligated to pay "Lessee's Pro Rata Share of Real Estate Taxes and Operating Expenses"as Additional Rent. The percentage that Lessor Opus has initially used to calculate Lessee Classic's Pro Rata Share of Real Estate Taxes and Operating Expenses is 15.1%. For purposes of this Sublease, the percentage that Sublessor Classic has initially used to calculate Sublessee City's Pro Rata Share of Real Estate Taxes and Operating Expenses for the subleased premises is 9.5%. Permitted Sublease Uses: City offices open to the public [currently the City of Round Rock Planning Department] Base Lease (Office Lease): Date: November 13, 1997 Lessor: Opus South Corporation, a Florida corporation, d/b/a CRYSTAL PARK PARTNERS, a Texas general partnership ("Lessor Opus") Lessee: CLASSIC SPECIAL MANAGEMENT, LTD., a Texas limited partnership (The Base Lease was executed on November 13, 1997,by CRYSTAL PARK PARTNERS as Lessor and CLASSIC AUTOMOTIVE,INC.,as Lessee. On April 2, 1999, CLASSIC AUTOMOTIVE, INC., a Texas corporation, merged with AIMG, INC., a Texas corporation. By instrument dated February 20, 2001, to be effective January 31, 2001, AIMG, INC., transferred, assigned and set over all of its right, title and interest as Lessee in and to the Base Lease to CLASSIC SPECIAL MANAGEMENT, LTD.) Premises: 8,857 rentable square feet on the top floor of the Office Complex located at 101 Old Settlers Boulevard in Round Rock, Williamson County, Texas, as described therein. 4 ARTICLE I Leasing of Premises. Subject to and upon the terms and conditions herein set forth, and each in consideration of the duties, covenants and obligations of the other hereunder, Sublessor Classic hereby subleases to Sublessee City and Sublessee City hereby subleases from Sublessor Classic the premises. Sublessor Classic represents and warrants that the premises are a part of the premises leased by Sublessor Classic under the Base Lease. ARTICLE II Performance Representations by Sublessee City. Sublessee City hereby covenants and agrees to do the following: 1. Sublease the Subleased Premises for the Sublease Initial Term, on the terms and conditions enumerated herein, beginning on the Sublease Commencement Date (Initial Term) and ending on the Sublease Termination Date (Initial Term) unless such term is properly extended hereunder. 2. Pay the Base Sublease Rent per month to Sublessor Classic at its offices in Round Rock, Texas, or elsewhere within the United States as Sublessor Classic may from time to time designate in writing,payable in advance in equal monthly installments on the first day of each full calendar month,in legal tender for the payment of public and private debts,without set-off or deduction and without demand,the sum of Five Thousand Six Hundred Seventy-four and No/100 Dollars ($5,674.00). All payments of Base Sublease Rent and other amounts becoming due and payable from Sublessee City to Sublessor Classic under and in connection with this Sublease may be made by delivering to Sublessor Classic, at the then applicable address provided for herein, Sublessee City's check in the amount of such payment, on or before the due date thereof under the terms of this Sublease; provided that is such check shall not be paid and honored upon presentation thereof duly endorsed and in due course,the delivery of such check shall not constitute payment by Sublessee City hereunder, and that acceptance of any such check by Sublessor Classic shall be subject to payment thereof upon presentation in due course. 3. Pay the Additional Sublease Rent per month to Sublessor Classic at its offices in Round Rock, Texas, or elsewhere as Sublessor Classic may from time to time designate in writing,payable in advance in monthly installments on the first day of each full calendar month during the term, in legal tender for the payment of debts. 4. Pay the difference between the estimated Additional Sublease Rent and the actual Additional Sublease Rent within thirty(30) days of receiving proper written notice of the amount due from Sublessor Classic, such payment to be made at its offices in 5 Round Rock,Texas,or elsewhere within the United States as Sublessor Classic may from time to time designate in writing, in legal tender for the payment of debts. 5. Obey all laws,rules,regulations,and terms of the Base Lease not in conflict herewith as they apply to the subleased premises. 6. Vacate the subleased premises upon termination of this Sublease, and surrender all keys to the premises in accordance with provisions herein. 7. Maintain general liability insurance for the subleased premises and the conduct of Sublessee City's business,with Sublessor Classic and Lessor Opus and Lessor Opus' Managing Agent named as additional insureds, in the amounts indicated on the Certificate of Coverage attached hereto as Exhibit`B." 8. Maintain appropriate insurance on Sublessee City's personal property located within the subleased premises. 9. Upon proper written request, deliver certificates of insurance to Sublessor Classic. 10. Indemnify, defend, and hold Sublessor Classic and Lessor Opus harmless from any loss or claim arising out of Sublessee City's use of the subleased premises or resulting from Sublessee City's failure to comply with applicable provisions of the Base Lease. Prohibition Representations by Sublessee City. Sublessee City hereby covenants and agrees not to do the following: 1. Use the subleased premises for purposes other than the Permitted Sublease Use. 2. Create a nuisance. 3. Interfere with other tenants' normal business operations, nor interfere with Lessor Opus' management of the building. 4. Permit any waste. 5. Use the subleased premises in a way that is extrahazardous, that would increase insurance premiums, or that would void insurance on the building. 6. Change Lessor Opus' lock system, except as permitted herein. 6 7. Alter the subleased premises, except as provided herein for statutorily-mandated alterations, without Sublessor Classic's consent, which consent shall not be unreasonably withheld. 8. Allow a lien to be placed on the subleased premises. 9. Assign this Sublease or sublet any portion of the subleased premises without Sublessor Classic's and Lessor Opus' written consent, which consent may be withheld in Lessor Opus' sole discretion. ARTICLE III Performance Representations by Sublessor Classic. Sublessor Classic hereby covenants and agrees to do the following: 1. Sublease the subleased premises to Sublessee City for the term(s)contained herein, and under the terms and conditions contained herein. 2. Comply fully with Lessee Classic's obligations under the Base Lease. 3. Enforce Lessor Opus' obligations under the Base Lease. 4. Make available at all times to the subleased premises all services and rights provided for under the Base Lease. 5. Allow Sublessee City to utilize the off-sublease-premises Equipment Room,shown as being between Office 220 and Open Office 226 on floorplan included herewith as Exhibit "C," for Sublessee City's telephone and networking requirements. Sublessee City acknowledges that such equipment room may be reasonably accessed, but shall not be used for office space. ARTICLE IV Default by Sublessee City_. 1. Default by Sublessee City shall be defined as (a) failing to timely pay the Base Sublease Rent and the Additional Sublease Rent, or (b) abandoning or vacating a substantial portion of the subleased premises, or (c) failing to begin a reasonable attempt to comply,within ten(10)days of receiving written notice from Sublessor Classic,with any substantive provision of the Base Lease or this Sublease other than the defaults set forth in (a) and (b) of this paragraph 1 of Article IV. 7 2. Sublessor Classic's remedies for Sublessee City's default are to (a) enter and take possession of the subleased premises, after which Sublessor Classic may relet the subleased premises on behalf of Sublessee City and receive the Base Sublease Rent and the Additional Sublease Rent directly by reason of the reletting, and Sublessee City agrees to reimburse Sublessor Classic for actual expenditures reasonably made in order to relet; or(b) enter the subleased premises and perform Sublessee City's obligations; or (c) terminate this Sublease by proper written notice and sue for damages. Default by Sublessor Classic. 3. Default by Sublessor Classic shall be defined as (a) Sublessor Classic failing to comply with any applicable provisions of the Base Lease which constitute default; or (b) Sublessor Classic failing to comply with any substantive provision of this Sublease within thirty(30) days of receiving proper written notice. 4. Sublessor Classic hereby acknowledges that it has the legal obligation to send Sublessee City,within three(3)business days of receipt of same,any and all notices regarding actual or alleged default which it receives from Lessor Opus; and hereby agrees to send same. 5. If Sublessor Classic fails to perform any of its obligations under the Base Lease, Sublessee City may elect to perform those obligations,advance funds required,and then be reimbursed by Sublessor Classic on demand for any amounts so advanced, including attorney's fees,plus interest on those amounts from the dates of payment at the highest legal rate. 6. Sublessee City's remedies for Sublessor Classic's default include provisions under this Article IV and suit for damages. ARTICLE V Sublease Subordinate to Base Lease. The parties hereto acknowledge that this Sublease is subordinate to the Base Lease in all applicable provisions. Sublessee City further acknowledges that it has received a copy of the Base Lease. ARTICLE VI Excusable Delay. "Excusable Delay, "as used herein,shall mean and include all delays in a party's performance of its obligations hereunder (other than its obligations to pay money), including the impossibility of such performance,which shall result from or be caused by any legal proceedings or other litigation threatened,instituted against or defended by such party,in good faith, and not merely for purposes of delay; acts of God, acts of the public enemy, wars, blockades, 8 epidemics, earthquakes, storms, floods, explosions, strikes, labor disputes, work stoppages, riots, insurrections, breakage or accident to machines or lines of pipe or mains, lawful acts of any governmental agency or authority restricting or curtailing the erection of the building,other causes beyond the reasonable control of such party, including but not limited to equipment failures (including without limitation failures of freight elevators), inability of Lessor Opus to procure and obtain needed building materials whether as a result(directly or indirectly)of any lawful order,law or decree of any governmental authority or agency or otherwise,and any other cause,whether of the kind herein referred to or otherwise;provided,that as to any and all such causes of Excusable Delay the party subjected thereto(i)within ten(10)days after such party has knowledge thereof shall give the other party notice of the existence thereof and of the length of the delay anticipated therefrom, and (ii) within ten (10) days after the cause of delay has ceased to exist, shall give the other party notice of the actual Excusable Delay which resulted from such cause; and provided further, such party shall pursue with reasonable diligence the avoidance or removal of such delay. The inability or refusal of a party to settle any labor dispute shall not be deemed to qualify or limit the foregoing or the effect of Excusable Delay and no such failure or refusal shall constitute delay by such party for which such party shall be responsible hereunder. Force Majeure. All of the obligations of Sublessor Classic,and of Sublessee City under this Sublease are subject to delay or suspension resulting from Excusable Delay. The parties hereto shall exercise reasonable diligence to avoid or minimize any such delay or suspension. ARTICLE VII Keys. Sublessor Classic will provide Sublessee City with keys to the premises which are supplied to Sublessor Classic by Lessor Opus. Additional keys may be obtained at Sublessee City's cost and expense and with Sublessor Classic's and Lessor Opus'prior consent. No additional locks shall be allowed in the premises without Sublessor Classic's consent; and Sublessee City shall not make any duplicate keys without Sublessor Classic's and Lessor Opus' prior consent. Only with express prior written consent of Sublessor Classic and Lessor Opus, Sublessee City may,at its sole cost and expense,change locks within its own premises area,provided that Sublessee City furnishes a complete set of keys to all such locks to Sublessor Classic and Lessor Opus,and provided that such change of locks in no way impairs access to the premises. Upon termination of this Sublease, Sublessee City shall surrender to Sublessor Classic all keys to the premises, or to Lessor Opus if Lessor Opus or Sublessor Classic so directs. ARTICLE VIII Parking. Sublessor Classic hereby agrees to make available to Sublessee City, and Sublessee City hereby agrees to take during the term(s), accompanying parking spaces on an unassigned basis on appurtenant parking facilities. 9 ARTICLE IX Use. Sublessee City will use the premises only for office purposes which are consistent with standard rules of the building and such reasonable rules and regulations imposed from time to time with respect to the space leased by Sublessor Classic in the building. Any use of the premises which will affect the appearance of the building, exceed structural loads of floors or walls, affect the mechanical, plumbing or electrical systems of the building, affect ventilation in other areas of the building, or interfere with other tenants of the building must have Lessor Opus' and Sublessor Classic's prior written approval. Access. Sublessee City and its employees shall have access to the premises at all times. Sublessee City's invitees and customers and the general public shall have access to the premises during normal business hours and, at Sublessee City's election, after business hours if they shall comply with such security procedures as Lessor Opus and Sublessor Classic shall reasonably promulgate from time to time. ARTICLE X Sublessee Ci_ty s Obligations. Sublessee City covenants and agrees that it will not injure the building or the premises but will take the same care thereof which a reasonably prudent person would take of his/her own property, and upon termination of this sublease, Sublessee City will surrender and deliver up the premises to Sublessor Classic in similar condition in which the premises existed on the commencement date of this sublease;subject,however,and except for ordinary wear and tear and damage arising from fire or other casualty. Sublessee City agrees, at its cost and expense,to repair or replace any part of the premises damaged as a proximate result of negligent or wrongful acts or omissions of Sublessee City or Sublessee City's agents,employees,representatives, invitees, licensees or visitors and to repair damage to the building proximately caused by the negligence or wrongdoing of Sublessee City or its agents,employees or representatives acting within the scope of their agency,employment or representation;provided,however,that is Sublessee City should fail or refuse to make such repairs or replacements with reasonable promptness after written notice from Sublessor Classic (having due regard to the nature of the required repairs or replacements and the effect of delay in making same on the appearance of the building or danger of injury to or interferences with other tenants and occupants of the building), then Sublessor Classic or Base Lessee Crystal Park Partners/Opus may, at each of its option but without any obligation to do so, enter the premises and make such repairs or replacements on the premises, should they be required, and Sublessee City shall repay the cost thereof upon demand. ARTICLE XI Alterations by Sublessee City. Sublessee City shall not make any alterations in or additions to the building or premises without Sublessor Classic and Base Lessor Opus' prior written consent to and approval thereof. 10 Statutorily-Mandated Alterations. All parties hereto acknowledge and agree that Sublessee City,as a municipality,might now or in the future be required to make alterations to come into compliance with dictates of i.e.Americans with Disabilities Act requirements. In such instance, Sublessee City shall be required to notify Sublessor Classic and Lessor Opus in writing of such alteration, its design, plans and specifications and of the hours during which work would be performed on making such alterations. Sublessee City shall be required to obtain the prior written consent and approval of Sublessor Classic and Lessor Opus for alterations, and same shall be made according to the terms of the Base Lease. Sublessor Classic's Rights Upon Termination of Sublease. All of Sublessee City's improvements,fixtures and equipment of every description(unless such improvements,fixtures and equipment are removable without damage to the premises), any alterations or additions to the premises including those made with written consent, and any other article incorporated in or permanently affixed to the floor, wall or ceiling of the premises, shall become the property of Sublessor Classic and shall be and remain upon and be surrendered with the premises as a part thereof at the termination of this sublease,Sublessee City hereby waiving all rights to any payment or compensation therefor. In the event Sublessor Classic requests that Sublessee City remove any of Sublessee City's removable fixtures, equipment or property located in or about the premises or the building at the termination of this sublease, Sublessee City shall promptly remove same at its sole risk, cost and expense, and upon Sublessee City's failure to remove same, Sublessor Classic may remove same at Sublessee City's expense. ARTICLE XII Sublessee City's Compliance With Laws. Sublessee City will at its own cost and expense comply with all laws, ordinances, orders, rules and regulations (state, federal, municipal or promulgated by other agencies or bodies having jurisdiction thereof) relating to the use, condition or occupancy of the premises;will install, remove or alter such of Sublessee's fixtures, equipment and facilities in the premises as may be necessary so to comply; will not engage in any activity which would cause Lessor Opus or Sublessor Classic's fire and extended coverage insurance to be canceled or the rate therefor to be increased over the rate which would have been charged had such activity not been engaged in by Sublessee City (or in such event, at Sublessee City's option, Sublessee City will pay the amount of any such increase). ARTICLE XIII No Arbitration. In the event of any dispute regarding any terms or performance of the terms of this sublease, it is agreed by and between all parties that such dispute shall not be subject to arbitration. ARTICLE XIV Non-Appropriation. This sublease is a commitment of Sublessee City's current revenues only. It is understood and agreed by all parties that Sublessee City shall have the right to terminate 11 this sublease at the end of any City fiscal year if the governing body of City does not appropriate funds sufficient to make payments as determined by City's budget for the fiscal year in question. City may effect such termination by giving other parties hereto written notice of termination at the end of its then current fiscal year. ARTICLE XV Severability Clause. If any term, covenant, condition or provision of this sublease, or the application thereof to any person or circumstance,shall ever be held to be invalid or unenforceable, then in each such event the remainder of this sublease or the application of such term, covenant, condition or provision to any other person or any other circumstance (other than such as to which it shall have been invalid or unenforceable) shall not be thereby affected, and each term,covenant, condition and provision hereof shall remain valid and enforceable to the fullest extent permitted by law. ARTICLE XVI Notices. Any notice or communication to parties required or permitted to be given under this sublease shall be effectively given only if in writing and shall be considered received three(3)days after depositing such notice in the U.S.registered or certified mails,postage prepaid,return receipt requested, or by commercial overnight courier service, addressed as follows: (a) If addressed to Sublessee City: City of Round Rock, Texas 221 East Main Street Round Rock, TX 78664 Attention: City Manager With a copy to: City Attorney Stephan L. Sheets 309 East Main Street Round Rock, TX 78664 (b) If addressed to Sublessor Classic: Classic Special Management, Ltd. 2301 North Interstate Highway 35 Round Rock, TX 78664 12 With a copy to: McNery &Voelker,P.C. 101 East Old Settlers Boulevard, Suite 200B Round Rock, Texas 78664 Attention: Dan McNery (c) If addressed to Lessor Opus: Opus South Corporation 15455 North Dallas Parkway, Suite 450 Addison, Texas 75001 Attention: Senior Vice President With a copy to: Opus South Corporation 4200 West Cypress Street, Suite 444 Tampa, Florida 33607 Attention: Neil J. Rauenhorst With a copy to: Opus Corporation 10350 Bren Road West Minnetonka, Minnesota 55343 Attention: Legal Department With a copy to: Andrews & Barth, P.C. 8235 Douglas Avenue, Suite 1120 Dallas, Texas 75225 Attention: Stanley K. Barth provided,however, that any party shall have the right to change the address to which notices shall thereafter be sent by giving notice to the other parties as aforesaid,but not more than two addresses shall be in effect at any given time for Sublessor Classic and Sublessee City hereunder. ARTICLE XVII Attorneys' Fees. In the event of litigation between Sublessor Classic and Sublessee City wherein one or both parties is seeking to enforce any right or remedy hereunder,the prevailing party 13 shall be entitled to recover its reasonable attorneys' fees incurred in connection with such litigation from the other party. ARTICLE XVIII Broker Association. The parties hereto represent that they have dealt directly only with RAY GILL and DON QUICK AND ASSOCIATES,as brokers,in connection with this sublease and that insofar as Sublessee City and Sublessor Classic know, no other brokers negotiated or participated in negotiation of this sublease or submitted or showed the subleased premises or are entitled to any commission in connection therewith. Sublessor Classic accepts full responsibility for the timely and ongoing discharge of the agreed-upon commissions to the referenced brokers,and hereby indemnifies and holds harmless Sublessee City and Lessor Opus for all related claims thereto. ARTICLE XIX Applicable Law. This sublease shall be governed by and construed in accordance with the laws of the state of Texas, and venue shall lie in Williamson County, Texas. ARTICLE XX Miscellaneous Provisions. The parties hereto agree as follows: (a) Binding Effect. The covenants and agreements herein contained shall inure to and be binding upon Sublessor Classic,its heirs,devisees,legal representatives,successors and assigns,and Sublessee City, its successors and assigns; provided such reference to assigns is not intended to imply or grant any right on the part of either party to assign this sublease. (b) Incorporation of Exhibits. All exhibits, schedules and attachments referred to in this sublease are hereby incorporated by reference for all purposes as fully as if set forth at length herein. This sublease constitutes the entire agreement of the parties with respect to the subject mater hereof, and all prior correspondence, memoranda, agreements or understandings (written or oral) with respect hereto are merged into and superseded by this sublease. This sublease is executed and delivered effective as of the date and year first above written. SUBLESSOR CLASSIC SPECIAL MANAGEMENT, LTD. By: CLASSIC 50 LLC By: CHARLES R. 7'ce President 14 SUBLESSEE CITY OF ROUND ROCK, TEXAS B4TR. A*S�TLAUKA, JR., ayor ATTEST: i4 J LAND, City Secretary 15 } t OFFICE = ; OFFICE OFFICE OFFICE f 214 215 216 219 1 , t 0 H'.Y.t H W.1 H W.1 1 tl I A,11 I' .W.t 3 OFFICE lJ 212 MCE I' OFFICE H'W i 213` CORRIDOR 210 HW.� OFFICE'-• - - - - - - -- -- - - _ - 21 OFFICE 1. los � .1 ij EV � r' RECEPTTON I �"xw. COFHEI� 200 � 11' CWNFEFF"CE 20r r G1 TOPS Rook ,i x;t_x tot LJ — -- - - L�- - - - -- r CORRIDOR 208 OFFICE {: 205 CI'-�; OFFICE 71 I. - 202 �- Hw-' A t A I 5-`0' 7•-0 � ® t x/x_xc .I, OFFICE OFFICE 204 1- y%"� 203 t EXHIBIT "All Certificate of Coverage This is to certify that contracts of coverage listed below have been issued to the member and are in effect at this time_ Notwithstanding any requirements,terms or conditions of any contracts or other documents with respect to which this certificate may be issued or may pertain, the coverage afforded by the contracts described herein is subject to all the terms,exclusions and additions of such contracts. Coverage is continuous until canceled. Contract#: 3127 Member: City of Round Rock Company Texas Municipal League Mr.Hassan Farhat Affording Intergovernmental Risk Pool 221 E.Main Street Coverage: P.O.Box 149194 Round Rock,Texas 78664 Austin,Texas 78714-9194 (512)491-2300 or(800)537-6655 Fax(512)491-2404 'G1 NE;RAL LIABILITY t. . Limits of Liability ; $ 1,000,000 Each Occurrence Sudden Events Involving Pollution $ 1,000,000 Each Occurrence Annual Aggregate : $ 2,000,000 Effective Date : 10/01/00 Deductible Per Occurrence $ 2,500 Anniversary Date : 10/01/01 01WROOREEWW'1;zUOIF Y':" Limits of Liability : $ Each Occurrence Annual Aggregate : $ Effective Date Deductible Per Occurrence : $ Anniversary Date -ERROR -�i ,ND ONUSSTONS":L;IABILITY Limits of Liability $ Each Wrongful Act Annual Aggregate : $ Effective Date Deductible Each Wrongful Act $ An niversary Date DESCRIPTION fiE: Lease of premises at 101 East Old Settlers Boulevard, Suite 200. Cancellation: Should any of the above described coverages be canceled before the anniversary date thereof,the issuing company will endeavor to mail 30 days written notice to the certificate holder, but failure to mail such notice shall impose no obligation or liability of any kind upon the company. Date lssued: 7/11/01 Authorized Representative: Texas Municipal League Intergovernmental Rist:Pool Certificate Holder: Classic Special Management,LTD 2301 North Interstate Highway 35 Round Rock,Texas 78664 EXHIBIT x�cn_ 06/26i98 JUL-11-2001 10:33 B" 95X P.02 " INDEMNIFICATIONFOR:PREM 4ES is-ASFI2-TQ THE': D MEIBER; This endorsement forms a part of the Declarations to which attached, effective on the inception date of the coverage unless otherwise stated herein,and clarifies such coverage as is afforded by the provisions of the coverage shown below: ® GENERAL LIABILITY ❑ AIRPORT OWNERS AND OPERATORS GENERAL LIABILITY Entity Name :City of Round Rock Entity ID :3127 Effective Date :7/13/01 It is agreed that the Fund Member is provided coverage for the liability assumed under the lease agreement between the person or organization designated below and the Fund Member for that part of the premises designated below. Such coverage shall not apply to: (1) Any occurrence which takes place after the Fund Member ceases to be a tenant in such premises. (2) Any structural alterations, new construction or demolition operations performed by or on behalf of the person or organization designated below. Name Classic Special Management,LTD Address 230I North Interstate Highway 35 City, State,Zip : Round Rock,Texas 78664 Designated Premises 101 East Old Settlers Boulevard, Suite 200 TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL E1,206 EXHIBIT M09/98 -If "B" JUL-11-2001 10=33 95i P.03 Certificate of Coverage P. This is to certify that contracts of coverage listed below have been issued to the member and are in effect at this time. Notwithstanding any requirements,terms or conditions of any contracts or other documentsto which this certificate may be issued or may pertain, the coverage afforded by the contracts described herein is subject to all the terms,exclusions and additions of such contracts.Coverage is continuous until canceled. Contract#: 3127 Member: City of Round Rock Company Texas Municipal LeagueMbj;;:il. z r Mr,Hassan Farhar Affording Intergovernmental Risk Pool 221 East Main Street Coverage: P.O.lox 149194 . Round Rock,Texas 78664 Austin,Texas 787749194 (512)491-2300 or(800)537-6655 fi Fax(512)491-2404 Limits of Liability S 1,000,000 Each Occurrence 3 Sudden Events Involving Pollution $ 1,000,000 Each Occurrences Annual Aggregate $ 2,000,000 Effective Date : 10/1/00 Deductible Per Occurrence S 2,500 Anniv Date 10/1/01 11,''' r '. t : ►•, } Limits of Liability S Each Occurrence Annual Aggregate S Effective Date Deductible Per Occurrence $ Annivers Date M7.�^'bC�:��.. 110 A ! • ��f".. ...�J: .1' ►•-'./ fq. l e�A Limits of Liability S Each Wrongful Act Annual Aggregate : S Effective Date -' Deductible Each Wron 1 Act S Anniversary Date Re:Lease of premises at 101 East Old Settlers Boulevard,Suite 200. - Cancellation: Should any of the above described coverages be canceled before the anniversary date thereo4 the issuing company will endeavor to mail 30 days written notice to the certificate holder, but failure to mail such notice shall impose no obligation or liability of any ldnd upon the company. F. Date Issued: 7/12/01 Authorized Representative: v 1 - Texas Municipal League Intergovernmental Risk Pool vC- Certificate Holder. ' Opus South Corporation - 15455 North Dallas Parkway,Suite 450 Addison,Texas 75001 t s�+ "M11% YSS EXHIBIT X302 06nogs JUL-12-2001 12:28 "B" 95% P.03 r "r�: 1 This endorsement forms a part of the Declarations to which attached, effective on the inception date of the coverage unless,othewisc stated Herein,and clarifies 3 such coverage as is afforded by the provisions of the coverage shown below ' r ® GENERALE vt � AYRPORT OWNERS AND OPERATORS xa . % r�` { + z°s GEPt�EYtAL LIABILITX h •`5„ Entity Name :City of Round Rock � - , > Entity ID :3127 Effective Date :71I3/01 p It is agreed that the Fend Member is provided cov=ja e,for the liability asswned under the.lease ;� xw F agreement between the person ar organization designated below kand the Fund Member for'that s apart of the pt^uusesdesignated below Such coverage s1aIl not apply x- p� pp�,Y.� (I) ���f 1•Ioeen�rr�enpe�e�winch talm �laoe tlu�ninclMiember - � 3 H f. ka4 sIICh p1�JiilJVJ �- T'T "TFl 3'L Yr' R[ ? 's" ! �•w? i' txC` S"f:r ay -' Y ��-d.`� ;., - "£s�`' "'^ C 1 .4 : .(2) Any structural alterations,new construction or demolition operations performed by or on behalf of the person or organization designated below. a s•E til,f r3 Nance 7 Opus South Corporation �� ; Address 15455 North Dallas Par_kway,Suite 450 �tY�sP Addias 75001- Y ,< T k 45 t Designated Premises s, r; 101 East Old Settlers Boulevard,Suite 200 .t3, ivs {., + g�`'�r`x fora�r r' r -tom ��:�� s• � �-�,�-' +��:� '�s,�"y�r r .,r� � #�� � ; { ^z 4 .`pry.. MF'. TE3CAS MU1dICIPAL LEAGUE 'I'�� AL RISK`P�S��L "A $1206 * : I 2109 ' 3 EXHIBIT d = • JUL-12-2001 12:28 "B" 95i ___.P.04 � ' Certificate of Coverage _ This is to certify that contracts of coverage listed below have been issued to the member and are in effect at this time. Notwithstanding any requirements,terms or conditions of any contracts or other documents with'res grrt to which this certificate may be issued or may pertain, the coverage afforded by the contracts described hereiu hs subject to all the terms,exclusions and additions of such contracts.Coverage is continuous until canceled. Contract#: 3127 Member: City of Round Rock Company Temas Municipal Teague Mr.Hassan Farhar Affording Intergoveimaental Risk pool , 221 East Main Street Coverage: P.O.Box 149194 d Round hoed:,Texas 78664 Austin,Texas ,7$714-9194 (512)491-2300 or(800)537-6655 Fax(512)491-1'2404 . y `'£ iiYY �t.:4' lit . , o "'r• f 4• F Limits of Lzabihty 4S 1,000,000 Each Occt�ence � 4 _ �Fg " Sudden Events ys�x Gt fit j 'c x7°v Ex: G t..Da xd 1 7`�wfx ix� 5 ' i"-. .=,€s^n •rr+ r-,s#x Involving Pollution x $ -15000,000 Each Occiurencel - �� W. Annual Aggregate S '2,000,000 Effective Date :10%II00 . . . Deductible Per Occiurence $ 2,500 Anniversary Datef : 10/1101 Limits of Liability . $ Each Occurrence } Annual Aggregate S Effective Date Deductible Per Occurrence S �y �y�laAy�rmi Date <•l ` `• .,..1 ,wiG'®1�1: M Y Limits of Liability : $ Each Wrongful Act Annual Aggregate $ Effective Date Deductible Each Wrongbil Act $ y Anniversary Date ;j1 4f i,` 1�►'' ' }'• Re:Lease of premises at 101 East Old Settlers Boulevard,Suite 200. Cancellation: Should any of the above described coverages be canceled before the anniversary date theroo& the issuing company will endeavor to mail 30 days written notice to the certificate holder,but'i+ailure to mail such notice shall <,F impose no obligation or liability of any land upon the company. Date Issued: 7112101 Authorized Representative: Texas Municipal Teague Intergovernmental Risk pool Certificate Holder r :. Opus South Management Cozporation 3* R 4200 West G�rptess Street;Suite 444 , x Tampa,Florida 33607 t� SS," a s2 R i EXHIBIT X102 _ 0612693 fiBn JL1L-12-2001 12:27 95% P.02 Q!, This endorsement forms a part of the Declarations to which attached, effective on the inception date of the coverage unless othtrwise stated herein,and clarifies ', such coverage as is afforded by the provisions of the coverage shown below r 9; c ® . GENERAL LIABILITY y i 4 Q AYRPORT O r�VNERS AND OPERATORS e CxFNERALL)<,4BII.ITY , �r � }r Entity Name :City of Round Rock Entity ID :3127 Effective Date :7/13/01 Itis agreed that the ltund Member is provided coverage for the liability assumed under.the lease agreement between the person or organization designated below;and the Fnnd.Member far that `� "_ v of the premises d gnated ow uch ` esi bel Scoveiage shall.30 #f (1) Any occurrence which takes place aflcr a Fhncl c ar eta n R m such premises. - (2) Any stnichiral alterations,new"construction ordemolitiort operations performed by or on behalf of the person or organization designated below ^;, F .- Name" Opus South ManagernentCorporation1 00 Address 4200 West Cypress Street,Suite 444 ` Criy,State,Zip : Tampa,Florida 33607 3 Designated premises *' 101 East Old Settlers Boulevard,Suite 200 IT otz F TEXAS MUNICIPAL LEAGUE INTF.RGOy �V18VTAL RISK FOOL = ` EL206 EXHIBIT 12109/98 JUL-12-2001 12:25 95x P.05 1 8 „ e'. ✓,.}4 I OFFICE = i OP2F1[SCE OFFICE OFFICE OFFICE OFFICE 214 2l6 219 223 224 I . Printer, HW.1 HW.1 Hw,t HW.1 nW.t Hw 1 ' r'wv 1 CORRIDOR i W A/1 '. 218 4•-3, 8-3" 8,-3„ il! w.1 I, , .W.1 W.1 u II Z f;1 ] --� - 0 212 '— i W // e LCE OFFICE print=r 4FFI217 220 OPEN OFFICE HW.1 0 RID0 228 E COROR 0 }G' 0" � 1 210 HW. I Q OFFICE LU m ro � , \ I 1f0R%/COPY r. ROY sfrn�l OFFICE r - 227 209 I r RECEPTION.` 'H'�'.o Hw.t 200 CONFOJYCE CO2/ Ili 207 I1 � ; I CONSENT TO SUBLEASE THIS CONSENT TO SUBLEASE (the"Agreement")is dated to be effective as of the day of July, 2001 (the "Effective Date") by and between Opus South Corporation, a Florida corporation,d/b/a Crystal Park Partners ("Landlord"), Classic Special Management, Ltd.,a Texas limited partnership ("Tenant") and The City of Round Rock, Texas, a municipal corporation ("Sublessee"). WHEREAS, Classic Automotive, Inc., a Texas corporation ("Classic"), Tenant's predecessor-in-interest, entered into a lease agreement dated November 13, 1997 (the"Lease"), with Crystal Park Partners, a Texas general partnership ("CPP"), predecessor-in-interest to Landlord,for the lease of certain premises (the"Premises")located in the office building known as Crystal Park Plaza, located at 101 Old Settlers Boulevard in Round Rock, Williamson County, Texas; and WHEREAS, Tenant has succeeded to all right, title and interest in the Lease held by Classic; and Landlord has succeeded to all right, title and interest in the Lease held by CPP; and WHEREAS, Tenant has requested Landlord's consent respecting a proposed sublease of the Premises (the "Sublease") to Sublessee, a copy of which Sublease is attached hereto as Exhibit "A"; and WHEREAS, Landlord and Tenant desire to set forth herein their agreement respecting the Landlord's consent to the Sublease as provided herein. NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties do hereby covenant and agree as follows: 1. Landlord has reviewed the Sublease and hereby grants its consent to the Sublease and to the occupancy of the Premises by Sublessee for the use stated in the Sublease, subject to the terms and conditions of the Lease and this Agreement, and conditioned upon the assumption by Sublessee of all obligations of Tenant under the Lease. Except as herein expressly provided, such consent shall not be deemed to constitute a modification of or amendment to any provision of the Lease or a release of Tenant from any of Tenant's obligations thereunder. Any amendment to the Sublease by and between Tenant and Sublessee which has not been approved in writing by Landlord shall be deemed to be invalid and not in full force and effect. Tenant shall remain fully liable to Landlord for all obligations existing or arising under the Lease. Sublessee has executed this Agreement to acknowledge its consent to the foregoing and the provisions hereof. 2. Notwithstanding anything contained in the Lease or Sublease to the contrary, Landlord, Tenant and Sublessee agree as follows: (a) Sublessee shall not have the right to further sublet, transfer or assign the Sublease or its rights thereunder without Landlord's prior written consent, which may be withheld in Landlord's sole discretion. (b) Landlord agrees to provide notice to Sublessee, at the address contained in the Sublease, of the occurrence of any Event of Default under the Lease, and Landlord and Tenant agree that Sublessee may elect to cure any such default on Tenant's behalf; provided that nothing herein shall (i)expand any notice or cure periods under the Lease, (ii) limit Landlord's rights or remedies under the Lease, or (iii) amend the Lease except as expressly CONSENT TO SUBLEASE—Page 1 C:\WINDOWS\Temporary Internet Files\OLK92C3\ClassicSubleaseConsentl.doc provided in this subsection (b). 3. This Agreement may be executed in counterparts which, when attached to each other shall constitute the complete agreement of the parties. 4. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date. LANDLORD: OPUS SOUTH CORPORATION, a Florida corporation, d/b/a CRYSTAL PARK PARTNERS By: Name: Title: TENANT: CLASSIC SPECIAL MANAGEMENT, LTD. By: Classic Special LLC By: CHARLES R. KING, Vice President SUBLESSEE: CITY OF ROUND ROCK, TEXAS By: ROBERT A. STLUKA, JR., Mayor ATTEST: JOANNE LAND, City Secretary CONSENT TO SUBLEASE—Page 2 CAWINDOWS\Temporary Internet Files\OLK92C3\ClassicSubleaseConsentl.doc CONSENT TO SUBLEASE coo PY THIS CONSENT TO SUBLEASE (the"Agreement")is dated to be effective as of the day of July, 2001 (the "Effective Date") by and between Opus South Corporation, a Florida corporation, d/b/a Crystal Park Partners("Landlord"), Classic Special Management, Ltd., a Texas limited partnership ("Tenant") and The City of Round Rock, Texas, a municipal corporation ("Sublessee"). WHEREAS, Classic Automotive, Inc., a Texas corporation ("Classic"), Tenant's predecessor-in-interest, entered into a lease agreement dated November 13, 1997 (the "Lease"), with Crystal Park Partners, a Texas general partnership ("CPP"), predecessor-in-interest to Landlord, for the lease of certain premises(the"Premises")located in the office building known as Crystal Park Plaza, located at 101 Old Settlers Boulevard in Round Rock, Williamson County, Texas; and WHEREAS, Tenant has succeeded to all right, title and interest in the Lease held by Classic; and Landlord has succeeded to all right, title and interest in the Lease held by CPP; and WHEREAS, Tenant has requested Landlord's consent respecting a proposed sublease of the Premises (the "Sublease") to Sublessee, a copy of which Sublease is attached hereto as Exhibit "A"; and WHEREAS, Landlord and Tenant desire to set forth herein their agreement respecting the Landlord's consent to the Sublease as provided herein. NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties do hereby covenant and agree as follows: 1. Landlord has reviewed the Sublease and hereby grants its consent to the Sublease and to the occupancy of the Premises by Sublessee for the use stated in the Sublease, subject to the terms and conditions of the Lease and this Agreement, and conditioned upon the assumption by Sublessee of all obligations of Tenant under the Lease. Except as herein expressly provided, such consent shall not be deemed to constitute a modification of or amendment to any provision of the Lease or a release of Tenant from any of Tenant's obligations thereunder. Any amendment to the Sublease by and between Tenant and Sublessee which has not been approved in writing by Landlord shall be deemed to be invalid and not in full force and effect. Tenant shall remain fully liable to Landlord for all obligations existing or arising under the Lease. Sublessee has executed this Agreement to acknowledge its consent to the foregoing and the provisions hereof. 2. Notwithstanding anything contained in the Lease or Sublease to the contrary, Landlord, Tenant and Sublessee agree as follows: (a) Sublessee shall not have the right to further sublet, transfer or assign the Sublease or its rights thereunder without Landlord's prior written consent, which may be withheld in Landlord's sole discretion. (b) Landlord agrees to provide notice to Sublessee,at the address contained in the Sublease, of the occurrence of any Event of Default under the Lease, and Landlord and Tenant agree that Sublessee may elect to cure any such default on Tenant's behalf; provided that nothing herein shall (i)expand any notice or cure periods under the Lease, (ii) limit Landlord's rights or remedies under the Lease, or (iii) amend the Lease except as expressly CONSENT TO SUBLEASE— Page 1 C:\WINDOWS\Temporary Internet Files\OLK92C3\ClassicSubleaseConsent1.doc provided in this subsection (b). 3. This Agreement may be executed in counterparts which, when attached to each other shall constitute the complete agreement of the parties. 4. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date. LANDLORD: OPUS SOUTH CORPORATION, a Florida corporation, d/b/a CRYSTAL PARK PARTNERS By: Name: Title: TENANT: CLASSIC SPECIAL MANAGEMENT, LTD. By: Classic Sp ial L By: CHARLES R. KIN ice President SUBLESSEE: CITY OF ROUND ROCK, TEXAS By: I'l 6;b,11 RO A.4STLUKA, JR., ayor ATTEST: aa6'—ya-'d,� JOANNE LAND, City Secretary CONSENT TO SUBLEASE—Page 2 CAWINDOWS\Temporary Internet Files\OLK92C3\ClassicSubleaseConsentl.doc EXHIBIT "A" SUBLEASE COMMERCIAL SUBLEASE AGREEMENT This Commercial Sublease Agreement is made and entered into by and between Sublessor CLASSIC SPECIAL MANAGEMENT, LTD., a Texas limited partnership, acting by and through CLASSIC SPECIAL LLC, a Texas limited liability company, its General Partner (hereinafter referred to as"Sublessor Classic")and Sublessee CITY OF ROUND ROCK,TEXAS, a municipal corporation (hereinafter referred to as"Sublessee City"). Date: , 2001 Sublessor: CLASSIC SPECIAL MANAGEMENT, LTD., a Texas limited partnership, acting by and through CLASSIC SPECIAL LLC, a Texas limited liability company, its General Partner Sublessor's Address: 2301 North Interstate Highway 35 Round Rock, Texas 78664 Sublessee: CITY OF ROUND ROCK, TEXAS, a municipal corporation Sublessee's Address: 221 East Main Street Round Rock, Texas 78664 Subleased Premises: 5,581 square feet net rentable area located in Suite 200 of the building known as Crystal Park Plaza located at 101 East Old Settlers Boulevard in Round Rock, Williamson County, Texas, as shown on Exhibit "A" attached hereto and made a part hereof (hereinafter referred to as "Office Complex"), along with accompanying unassigned spaces in the appurtenant parking facilities. The Office Complex has a total rentable area of 58,647 square feet. Net Rentable Area, " as used herein, shall refer to (i) in the case of a single tenancy floor,all floor area measured from the inside surface of the outer glass line of the building to the inside surface of the opposite outer glass line excluding only the areas ("service areas") used for building stairs, fire towers, elevator shafts, flues, vents, stacks, pipe shafts and vertical ducts (which service areas shall be measured from the midpoint of walls enclosing such service areas), but including any such service areas which are for the specific use of the particular tenant such as special stairs or elevators, plus an allocation of the square footage of the building's elevator machine rooms, mechanical and electrical rooms, and public lobbies, and (ii) in the case of a floor to be occupied by more than one tenant,all floor O:\wdox\CORA\gnl\pingdpt\opus\00007006 WPD/jkg 1 areas within the inside surface of the outer glass walls enclosing the premises and measured to the mid-point of the walls separating areas leased by or held for lease to other tenants or from areas devoted to corridors, elevator foyers, restrooms, mechanical rooms, janitor closets, vending areas and other similar facilities for the use of all tenants on the particular floor(hereinafter sometimes called"common areas"), but including a proportionate part of the common areas located on such floor based upon the ration which the tenant's net rentable area (excluding common areas) on such floor bears to the aggregate net rentable area(excluding common areas)on such floor or other reasonable bases determined by Sublessor Classic, plus an allocation of the square footage of the building's elevator machine rooms, mechanical and electrical rooms, and public lobbies. No deductions from net rentable area shall be made for columns or projections necessary to the building. The net rentable area in the ' premises has been calculated on the basis of the foregoing definition and is hereby stipulated for all purposes hereof to be 5,581 square feet, whether the same should be more or less as a result of minor variations resulting from actual construction and completion of the premises for occupancy so long as such work is done in accordance with the terms and provisions hereof. Sublease Commencement Date (Initial Term): July 13, 2001 Sublease Termination Date (Initial Term): July 12, 2003 Sublease Initial Term: Two (2) years Extension Options: 1. First Extension Option. Sublessor Classic grants to Sublessee City an option(hereinafter referred to as "First Extension Option") to extend the Sublease Initial Term for an additional period of time, commencing on the Sublease Termination Date and expiring on the date (the "First Extension Expiration Date")that falls on the earliest occurrence of the following: (a) the expiration of one year from the end of the Sublease Termination Date, (b) the availability for occupancy of newly-constructed facilities at the Municipal Office Complex, or (c) the expiration or earlier termination of the Base Lease or of Sublessor Classic's possession of the Sublease Premises. Sublessee City's rights under this option terminate if(a) the Base Lease, this Sublease,or Sublessor Classic's or Sublessee City's right to possession of the premises is terminated,or(b)Sublessee City fails 2 to timely exercise the option, or (c) default exists at the time Sublessee City seeks to exercise the First Extension Option. Sublessor Classic and Sublessee City agree to the following: a. The option to extend for an additional sublease term must be exercised by Sublessee City's written notice delivered to Sublessor Classic at least ninety (90) days prior to the Sublease Termination Date (Initial Term). b. During any extended sublease term,the sublease will continue with the same terms as written herein. 2. Second Extension Option. Sublessor Classic grants to Sublessee City a second option (hereinafter referred to as "Second Extension Option") to extend the sublease term to provide for a month-to-' month tenancy by Sublessee City beginning on the First Extension Expiration Date. Sublessee City's rights under this option terminate if(a)the Base Lease, this Sublease or Sublessee City's or Sublessor Classic's right to possession of the premises is terminated, or (b) Sublessee City fails to timely exercise the Second Extension Option, or(c) default exists at the time Sublessee City seeks to exercise the Second Extension Option, or (d) Sublessee City fails to timely exercise the First Extension Option. Sublessor Classic and Sublessee City agree to the following: a. The option to extend for the second additional sublease term must be exercised by Sublessee City's written notice delivered to Sublessor Classic at least ninety (90) days prior to the First Extension Expiration Date. b. During the second additional sublease term,the sublease will continue with the same terms as written herein. C. If Sublessee City timely exercises the second extension option, then Sublessee City agrees to provide written notice delivered to Sublessor Classic at least sixty(60)days prior to terminating the month-to-month tenancy. In all cases,within the second extension option,Sublessee City will be obligated on a month-to-month tenancy basis for sixty (60) days following delivery of written notice to terminate. 3 Base Sublease Rent: Monthly Base Sublease Rent $5,674.00 Annualized Base Sublease Rent $68,088.20 Based upon $12.20 per square foot x 5,581 square feet subleased Additional Sublease Rent: "Additional Sublease Rent, " as used herein, shall mean the Additional Rent that Sublessor Classic is obligated to pay on the subleased premises pursuant to Article 2 of the Base Lease. Article 2 of the Base Lease states that Sublessor Classic is obligated to pay "Lessee's Pro Rata Share of Real Estate Taxes and Operating Expenses"as Additional Rent. The percentage that Lessor Opus has initially used to calculate Lessee Classic's Pro Rata Share of Real Estate Taxes and Operating Expenses is 15.1%. For purposes of this Sublease, the percentage that Sublessor Classic has initially used to calculate Sublessee City's Pro Rata Share of Real Estate Taxes and Operating Expenses for the subleased premises is 9.5%. Permitted Sublease Uses: City offices open to the public [currently the City of Round Rock Planning Department] Base Lease (Office Lease): Date: November 13, 1997 Lessor: Opus South Corporation, a Florida corporation, d/b/a CRYSTAL PARK PARTNERS, a Texas general partnership ("Lessor Opus") Lessee: CLASSIC SPECIAL MANAGEMENT, LTD., a Texas limited partnership (The Base Lease was executed on November 13, 1997,by CRYSTAL PARK PARTNERS as Lessor and CLASSIC AUTOMOTIVE,INC.,as Lessee. On April 2, 1999, CLASSIC AUTOMOTIVE, INC., a Texas corporation, merged with AIMG, INC., a Texas corporation. By instrument dated February 20, 2001, to be effective January 31, 2001, AIMG, INC., transferred, assigned and set over all of its right, title and interest as Lessee in and to the Base Lease to CLASSIC SPECIAL MANAGEMENT, LTD.) Premises: 8,857 rentable square feet on the top floor of the Office Complex located at 101 Old Settlers Boulevard in Round Rock, Williamson County, Texas, as described therein. 4 ARTICLE I Leasing of Premises. Subject to and upon the terms and conditions herein set forth, and each in consideration of the duties, covenants and obligations of the other hereunder, Sublessor Classic hereby subleases to Sublessee City and Sublessee City hereby subleases from Sublessor Classic the premises. Sublessor Classic represents and warrants that the premises are a part of the premises leased by Sublessor Classic under the Base Lease. ARTICLE II Performance Representations by Sublessee City. Sublessee City hereby covenants and agrees to do the following: 1. Sublease the Subleased Premises for the Sublease Initial Term, on the terms and conditions enumerated herein, beginning on the Sublease Commencement Date (Initial Term) and ending on the Sublease Termination Date (Initial Term) unless such term is properly extended hereunder. 2. Pay the Base Sublease Rent per month to Sublessor Classic at its offices in Round Rock, Texas, or elsewhere within the United States as Sublessor Classic may from time to time designate in writing,payable in advance in equal monthly installments on the first day of each full calendar month,in legal tender for the payment of public and private debts,without set-off or deduction and without demand,the sum of Five Thousand Six Hundred Seventy-four and No/100 Dollars ($5,674.00). All payments of Base Sublease Rent and other amounts becoming due and payable from Sublessee City to Sublessor Classic under and in connection with this Sublease may be made by delivering to Sublessor Classic, at the then applicable address provided for herein, Sublessee City's check in the amount of such payment, on or before the due date thereof under the terms of this Sublease; provided that is such check shall not be paid and honored upon presentation thereof duly endorsed and in due course,the delivery of such check shall not constitute payment by Sublessee City hereunder, and that acceptance of any such check by Sublessor Classic shall be subject to payment thereof upon presentation in due course. 3. Pay the Additional Sublease Rent per month to Sublessor Classic at its offices in Round Rock, Texas, or elsewhere as Sublessor Classic may from time to time designate in writing, payable in advance in monthly installments on the first day of each full calendar month during the term, in legal tender for the payment of debts. 4. Pay the difference between the estimated Additional Sublease Rent and the actual Additional Sublease Rent within thirty (30)days of receiving proper written notice of the amount due from Sublessor Classic, such payment to be made at its offices in 5 Round Rock,Texas,or elsewhere within the United States as Sublessor Classic may from time to time designate in writing, in legal tender for the payment of debts. 5. Obey all laws,rules,regulations,and terms of the Base Lease not in conflict herewith as they apply to the subleased premises. 6. Vacate the subleased premises upon termination of this Sublease, and surrender all keys to the premises in accordance with provisions herein. 7. Maintain general liability insurance for the subleased premises and the conduct of Sublessee City's business,with Sublessor Classic and Lessor Opus and Lessor Opus' Managing Agent named as additional insureds, in the amounts indicated on the Certificate of Coverage attached hereto as Exhibit`B." 8. Maintain appropriate insurance on Sublessee City's personal property located within' the subleased premises. 9. Upon proper written request, deliver certificates of insurance to Sublessor Classic. 10. Indemnify, defend, and hold Sublessor Classic and Lessor Opus harmless from any loss or claim arising out of Sublessee City's use of the subleased premises or resulting from Sublessee City's failure to comply with applicable provisions of the Base Lease. Prohibition Representations by Sublessee City. Sublessee City hereby covenants and agrees not to do the following: 1. Use the subleased premises for purposes other than the Permitted Sublease Use. 2. Create a nuisance. 3. Interfere with other tenants' normal business operations, nor interfere with Lessor Opus' management of the building. 4. Permit any waste. 5. Use the subleased premises in a way that is extrahazardous, that would increase insurance premiums, or that would void insurance on the building. 6. Change Lessor Opus' lock system, except as permitted herein. 6 7. Alter the subleased premises, except as provided herein for statutorily-mandated alterations, without Sublessor Classic's consent, which consent shall not be unreasonably withheld. 8. Allow a lien to be placed on the subleased premises. 9. Assign this Sublease or sublet any portion of the subleased premises without Sublessor Classic's and Lessor Opus' written consent, which consent may be withheld in Lessor Opus' sole discretion. ARTICLE III Performance Representations by Sublessor Classic. Sublessor Classic hereby covenants and agrees to do the following: 1. Sublease the subleased premises to Sublessee City for the term(s)contained herein, and under the terms and conditions contained herein. 2. Comply fully with Lessee Classic's obligations under the Base Lease. 3. Enforce Lessor Opus' obligations under the Base Lease. 4. Make available at all times to the subleased premises all services and rights provided for under the Base Lease. 5. Allow Sublessee City to utilize the off-sublease-premises Equipment Room,shown as being between Office 220 and Open Office 226 on floorplan included herewith as Exhibit "C," for Sublessee City's telephone and networking requirements. Sublessee City acknowledges that such equipment room may be reasonably accessed, but shall not be used for office space. ARTICLE IV Default by Sublessee City. 1. Default by Sublessee City shall be defined as (a) failing to timely pay the Base Sublease Rent and the Additional Sublease Rent, or (b) abandoning or vacating a substantial portion of the subleased premises, or (c) failing to begin a reasonable attempt to comply, within ten (10) days of receiving written notice from Sublessor Classic,with any substantive provision of the Base Lease or this Sublease other than the defaults set forth in (a) and (b) of this paragraph 1 of Article IV. 7 2. Sublessor Classic's remedies for Sublessee City's default are to (a) enter and take possession of the subleased premises, after which Sublessor Classic may relet the subleased premises on behalf of Sublessee City and receive the Base Sublease Rent and the Additional Sublease Rent directly by reason of the reletting, and Sublessee City agrees to reimburse Sublessor Classic for actual expenditures reasonably made in order to relet; or (b) enter the subleased premises and perform Sublessee City's obligations; or (c) terminate this Sublease by proper written notice and sue for damages. Default by Sublessor Classic. 3. Default by Sublessor Classic shall be defined as (a) Sublessor Classic failing to comply with any applicable provisions of the Base Lease which constitute default; or (b) Sublessor Classic failing to comply with any substantive provision of this Sublease within thirty(30) days of receiving proper written notice. 4. Sublessor Classic hereby acknowledges that it has the legal obligation to send Sublessee City,within three(3)business days of receipt of same,any and all notices regarding actual or alleged default which it receives from Lessor Opus; and hereby agrees to send same. 5. If Sublessor Classic fails to perform any of its obligations under the Base Lease, Sublessee City may elect to perform those obligations,advance funds required,and then be reimbursed by Sublessor Classic on demand for any amounts so advanced, including attorney's fees,plus interest on those amounts from the dates of payment at the highest legal rate. 6. Sublessee City's remedies for Sublessor Classic's default include provisions under this Article IV and suit for damages. ARTICLE V Sublease Subordinate to Base Lease. The parties hereto acknowledge that this Sublease is subordinate to the Base Lease in all applicable provisions. Sublessee City further acknowledges that it has received a copy of the Base Lease. ARTICLE VI Excusable Delay. "Excusable Delay, "as used herein, shall mean and include all delays in a party's performance of its obligations hereunder (other than its obligations to pay money), including the impossibility of such performance, which shall result from or be caused by any legal proceedings or other litigation threatened,instituted against or defended by such party,in good faith, and not merely for purposes of delay; acts of God, acts of the public enemy, wars, blockades, 8 epidemics, earthquakes, storms, floods, explosions, strikes, labor disputes, work stoppages, riots, insurrections, breakage or accident to machines or lines of pipe or mains, lawful acts of any governmental agency or authority restricting or curtailing the erection of the building, other causes beyond the reasonable control of such party, including but not limited to equipment failures (including without limitation failures of freight elevators), inability of Lessor Opus to procure and obtain needed building materials whether as a result(directly or indirectly)of any lawful order,law or decree of any governmental authority or agency or otherwise,and any other cause,whether of the kind herein referred to or otherwise;provided,that as to any and all such causes of Excusable Delay the party subjected thereto(i)within ten(10)days after such party has knowledge thereof shall give the other party notice of the existence thereof and of the length of the delay anticipated therefrom, and (ii) within ten (10) days after the cause of delay has ceased to exist, shall give the other party notice of the actual Excusable Delay which resulted from such cause; and provided further, such party shall pursue with reasonable diligence the avoidance or removal of such delay. The inability or refusal of a party to settle any labor dispute shall not be deemed to qualify or limit the foregoing or the effect of Excusable Delay and no such failure or refusal shall constitute delay by such party for which such party shall be responsible hereunder. Force Maieure. All of the obligations of Sublessor Classic,and of Sublessee City under this Sublease are subject to delay or suspension resulting from Excusable Delay. The parties hereto shall exercise reasonable diligence to avoid or minimize any such delay or suspension. ARTICLE VII Keys. Sublessor Classic will provide Sublessee City with keys to the premises which are supplied to Sublessor Classic by Lessor Opus. Additional keys may be obtained at Sublessee City's cost and expense and with Sublessor Classic's and Lessor Opus'prior consent. No additional locks shall be allowed in the premises without Sublessor Classic's consent; and Sublessee City shall not make any duplicate keys without Sublessor Classic's and Lessor Opus' prior consent. Only with express prior written consent of Sublessor Classic and Lessor Opus, Sublessee City may,at its sole cost and expense,change locks within its own premises area,provided that Sublessee City furnishes a complete set of keys to all such locks to Sublessor Classic and Lessor Opus,and provided that such change of locks in no way impairs access to the premises. Upon termination of this Sublease, Sublessee City shall surrender to Sublessor Classic all keys to the premises, or to Lessor Opus if Lessor Opus or Sublessor Classic so directs. ARTICLE VIII Parking. Sublessor Classic hereby agrees to make available to Sublessee City, and Sublessee City hereby agrees to take during the term(s), accompanying parking spaces on an unassigned basis on appurtenant parking facilities. 9 ARTICLE IX Use. Sublessee City will use the premises only for office purposes which are consistent with standard rules of the building and such reasonable rules and regulations imposed from time to time with respect to the space leased by Sublessor Classic in the building. Any use of the premises which will affect the appearance of the building, exceed structural loads of floors or walls, affect the mechanical, plumbing or electrical systems of the building, affect ventilation in other areas of the building' or interfere with other tenants of the building must have Lessor Opus' and Sublessor Classic's prior written approval. Access. Sublessee City and its employees shall have access to the premises at all times. Sublessee City's invitees and customers and the general public shall have access to the premises during normal business hours and, at Sublessee City's election, after business hours if they shall comply with such security procedures as Lessor Opus and Sublessor Classic shall reasonably promulgate from time to time. ARTICLE X Sublessee City's Obligations. Sublessee City covenants and agrees that it will not injure the building or the premises but will take the same care thereof which a reasonably prudent person would take of his/her own property, and upon termination of this sublease, Sublessee City will surrender and deliver up the premises to Sublessor Classic in similar condition in which the premises existed on the commencement date of this sublease;subject,however,and except for ordinary wear and tear and damage arising from fire or other casualty. Sublessee City agrees, at its cost and expense,to repair or replace any part of the premises damaged as a proximate result of negligent or wrongful acts or omissions of Sublessee City or Sublessee City's agents,employees,representatives, invitees, licensees or visitors and to repair damage to the building proximately caused by the negligence or wrongdoing of Sublessee City or its agents,employees or representatives acting within the scope of their agency, employment or representation;provided,however,that is Sublessee City should fail or refuse to make such repairs or replacements with reasonable promptness after written notice from Sublessor Classic (having due regard to the nature of the required repairs or replacements and the effect of delay in making same on the appearance of the building or danger of injury to or interferences with other tenants and occupants of the building), then Sublessor Classic or Base Lessee Crystal Park Partners/Opus may, at each of its option but without any obligation to do so, enter the premises and make such repairs or replacements on the premises, should they be required, and Sublessee City shall repay the cost thereof upon demand. ARTICLE XI Alterations by Sublessee City. Sublessee City shall not make any alterations in or additions to the building or premises without Sublessor Classic and Base Lessor Opus' prior written consent to and approval thereof. 10 Statutorily-Mandated Alterations. All parties hereto acknowledge and agree that Sublessee City,as a municipality,might now or in the future be required to make alterations to come into compliance with dictates of i.e.Americans with Disabilities Act requirements. In such instance, Sublessee City shall be required to notify Sublessor Classic and Lessor Opus in writing of such alteration, its design, plans and specifications and of the hours during which work would be performed on making such alterations. Sublessee City shall be required to obtain the prior written consent and approval of Sublessor Classic and Lessor Opus for alterations,and same shall be made according to the terms of the Base Lease. Sublessor Classic's Rights Upon Termination of Sublease. All of Sublessee City's improvements,fixtures and equipment of every description(unless such improvements,fixtures and equipment are removable without damage to the premises), any alterations or additions to the premises including those made with written consent, and any other article incorporated in or permanently affixed to the floor, wall or ceiling of the premises, shall become the property of Sublessor Classic and shall be and remain upon and be surrendered with the premises as a part thereof at the termination of this sublease, Sublessee City hereby waiving all rights to any payment or compensation therefor. In the event Sublessor Classic requests that Sublessee City remove any of Sublessee City's removable fixtures, equipment or property located in or about the premises or the building at the termination of this sublease, Sublessee City shall promptly remove same at its sole risk, cost and expense, and upon Sublessee City's failure to remove same, Sublessor Classic may remove same at Sublessee City's expense. ARTICLE XII Sublessee City's Compliance With Laws. Sublessee City will at its own cost and expense comply with all laws, ordinances, orders, rules and regulations (state, federal, municipal or promulgated by other agencies or bodies having jurisdiction thereof)relating to the use,condition or occupancy of the premises;will install, remove or alter such of Sublessee's fixtures, equipment and facilities in the premises as may be necessary so to comply; will not engage in any activity which would cause Lessor Opus or Sublessor Classic's fire and extended coverage insurance to be canceled or the rate therefor to be increased over the rate which would have been charged had such activity not been engaged in by Sublessee City (or in such event, at Sublessee City's option, Sublessee City will pay the amount of any such increase). ARTICLE XIII No Arbitration. In the event of any dispute regarding any terms orperformance of the terms of this sublease, it is agreed by and between all parties that such dispute shall not be subject to arbitration. ARTICLE XIV 0 Non-Appropriation. This sublease is a commitment of Sublessee City's current revenues only. It is understood and agreed by all parties that Sublessee City shall have the right to terminate 11 this sublease at the end of any City fiscal year if the governing body of City does not appropriate funds sufficient to make payments as determined by City's budget for the fiscal year in question. City may effect such termination by giving other parties hereto written notice of termination at the end of its then current fiscal year. ARTICLE XV Severability Clause. If any term, covenant, condition or provision of this sublease,or the application thereof to any person or circumstance,shall ever be held to be invalid or unenforceable, then in each such event the remainder of this sublease or the application of such term, covenant, condition or provision to any other person or any other circumstance (other than such as to which it shall have been invalid or unenforceable) shall not be thereby affected, and each term, covenant, condition and provision hereof shall remain valid and enforceable to the fullest extent permitted by law. ARTICLE XVI Notices. Any notice or communication to parties required or permitted to be given under this sublease shall be effectively given only if in writing and shall be considered received three(3)days after depositing such notice in the U.S.registered or certified mails,postage prepaid,return receipt requested, or by commercial overnight courier service, addressed as follows: (a) If addressed to Sublessee City: City of Round Rock, Texas 221 East Main Street Round Rock, TX 78664 Attention: City Manager With a copy to: City Attorney Stephan L. Sheets 309 East Main Street Round Rock, TX 78664 (b) If addressed to Sublessor Classic: Classic Special Management, Ltd. 2301 North Interstate Highway 35 Round Rock, TX 78664 12 With a copy to: McNery &Voelker, P.C. 101 East Old Settlers Boulevard, Suite 200B Round Rock, Texas 78664 Attention: Dan McNery (c) If addressed to Lessor Opus: Opus South Corporation 15455 North Dallas Parkway, Suite 450 Addison, Texas 75001 Attention: Senior Vice President With a copy to: Opus South Corporation 4200 West Cypress Street, Suite 444 Tampa, Florida 33607 Attention: Neil J. Rauenhorst With a copy to: Opus Corporation 10350 Bren Road West Minnetonka, Minnesota 55343 Attention: Legal Department With a copy to: Andrews & Barth, P.C. 8235 Douglas Avenue, Suite 1120 Dallas, Texas 75225 Attention: Stanley K. Barth provided, however, that any party shall have the right to change the address to which notices shall thereafter be sent by giving notice to the other parties as aforesaid,but not more than two addresses shall be in effect at any given time for Sublessor Classic and Sublessee City hereunder. ARTICLE XVII Attorneys' Fees. In the event of litigation between Sublessor Classic and Sublessee City wherein one or both parties is seeking to enforce any right or remedy hereunder,the prevailing party 13 shall be entitled to recover its reasonable attorneys' fees incurred in connection with such litigation from the other party. ARTICLE XVIII Broker Association. The parties hereto represent that they have dealt directly only with RAY GILL and DON QUICK AND ASSOCIATES,as brokers,in connection with this sublease and that insofar as Sublessee City and Sublessor Classic know, no other brokers negotiated or participated in negotiation of this sublease or submitted or showed the subleased premises or are entitled to any commission in connection therewith. Sublessor Classic accepts full responsibility for the timely and ongoing discharge of the agreed-upon commissions to the referenced brokers,and hereby indemnifies and holds harmless Sublessee City and Lessor Opus for all related claims thereto. ARTICLE XIX Applicable Law. This sublease shall be governed by and construed in accordance with the laws of the state of Texas, and venue shall lie in Williamson County, Texas. ARTICLE XX Miscellaneous Provisions. The parties hereto agree as follows: (a) Binding Effect. The covenants and agreements herein contained shall inure to and be binding upon Sublessor Classic,its heirs,devisees,legal representatives,successors and assigns,and Sublessee City, its successors and assigns; provided such reference to assigns is not intended to imply or grant any right on the part of either party to assign this sublease. (b) Incorporation of Exhibits. All exhibits, schedules and attachments referred to in this sublease are hereby incorporated by reference for all purposes as fully as if set forth at length herein. This sublease constitutes the entire agreement of the parties with respect to the subject mater hereof, and all prior correspondence, memoranda, agreements or understandings (written or oral) with respect hereto are merged into and superseded by this sublease. This sublease is executed and delivered effective as of the date and year first above written. SUBLESSOR CLASSIC SPECIAL MANAGEMENT, LTD. By: CLASSIC SPECIAL LLC By: CHARLES R. KING, Vice President 14 SUBLESSEE CITY OF ROUND ROCK, TEXAS By: ROBERT A. STLUKA, JR., Mayor ATTEST: JOANNE LAND, City Secretary 15 e, a , OFFICE = ; OFFICE : OFFICE OFFICE 214 Z]s 216 219 1p"-03" t Ai Certificate of Coverage This is to certify that contracts of coverage listed below have been issued to the member and are in effect at this time. Notwithstanding any requirements,terms or conditions of any contracts or other documents with respect to which this certificate may be issued or may pertain, the coverage afforded by the contracts described herein is subject to all the terms,exclusions and additions of such contracts, Coverage is continuous until canceled. Contract#: 3127 Member: City of Round Rock Company Texas Municipal League Mr.Hassan Farhat Affording Intergovernmental Risk Pool 221 E.Main Street Coverage: P.O.Box 149194 Round!tock,Texas 78664 Austin,Texas 78714-9194 (512)491-2300 or(800)537-6655 Fax(512)491-2404 -GA-NE-;RAL LIABILITY Limits of Liability : $ 1,000,000 Each Occurrence Sudden Events Involving Pollution S 1,000,000 Each Occurrence Annual Aggregate : $ 2,000,000 Effective Date : 10/01/00 Deductible Per Occurrence $ 2,500 Anniversary Date : 10/01/01 Limits of Liability $ Each Occurrence Annual Aggregate $ Effective Date Deductible Per Occurrence $ Anniversary Date .I RRORS-:AND OMISS'1ONS;I,IAl3ILITY ' Limits of Liability $ Each Wrongful Act Annual Aggregate : $ Effective Date Deductible Each Wrongful Act : $ Anniversary Date DESCRIPTION' RE: Lease of premises at 101 East Old Settlers Boulevard, Suite 200. Cancellation: Should any of the above described coverages be canceled before the anniversary date thereof, the issuing company will endeavor to mail 30 days written notice to the certificate holder, but failure to mail such notice sliall impose no obligation or liability of any kind upon the company. Date Issued: 7/11/01 Authorized Representative: Texas Municipal League Intergovernmental Rist:Pool Certificate Holder: Classic Special Management,LTD 2301 North Interstate Highway 35 Round Rock,Texas 78664 EXHIBIT x�cn_ 0626i98 JUU-11-2001 10:33 B" 95% P.02 Il�TDE lFICATIONFOR PREMk3ES>LEi4S�I� Q"IHfi: D MEMBER; This endorsement forms a part of the Declarations to which attached, effective on the inception date of the coverage unless otherwise stated herein, and clarifies such coverage as is afforded by the provisions of the covers-e shown below: ® GENERAL LIABILITY ❑ AIRPORT OWNERS AND OPERATORS GENERAL LIABILITY Entity Name :City of Round Rock Entity ID :3127 Effective Date :7/13/01 It is agreed that the Fund Member is provided coverage for the liability assumed under the lease agreement between the person or organization designated below and the Fund ;Member for that part of the premises designated below. Such coverage shall not apply to: (1) Any occurrence which takes place after the Fund Member ceases to be a tenant in such premises. (2) Any structural alterations, new construction or demolition operations performed by or on behalf of the person or organization designated below. Name Classic Special Management,LTD Address 2301 North Interstate Highway 35 City, State,Zip : Round Rock,Texas 75664 Designated Premises 101 East Old Settlers Boulevard, Suite 200 TEXAS MUNICIPAL LEAGUE INTERGOVERNMENTAL RISK POOL E1,206 EXHIBIT 12/09/98 JUL-11-2001 10:33 95% P.03 a Certificate of Coverage This is to certify that contracts of coverage listed below have been issued to the member and are in effect at this time. Notwithstanding any requirements,terms or conditions of any contracts or other documents with.respect to which this certificate may be issued or may pertain, the coverage afforded by the contracts described herein is subject to all the terns,exclusions and additions of such contracts. Coverage is continuous until canceled. Contract#: 3127 d Member: City of Round Rock Company Texas Municipal League U Mr.Hassan Farhar Affording Intergovernmental Risk Po01 221 East Main Street Coverage: P.O.Box 149194 x Round Rock,Texas 78664 Austin,Texas 78714-9194 (512)491-2300 or(800)537-6655 Fax(512)491-2404 '= a M�U� .�Vt •>i✓0'f l =..�LW1 f ,` .I(aC'aiY^MM� J •� � �'JOY� C„ !�•Slt.. 4, f ''y C•F Limits of Liabili : $ 1,000,000 Each Occurrence r '� ty � x Sudden Events Involving Pollution : $ 1,000,000 Each Occurrence Annual Aggregate : $ 2,000,000 Effective Date : 10/l/00 ' Deductible Per Occurrence : $ 2,500 Anniv Date : 10/1/01 &k Limits of Liability $ Each Occurrence ` Annual Aggregate $ Effective Date G>: Deductible Per Occurrence $ Annivers Date ' F !.. IQ ' r.. �.r. „9if 1! mak`;`. r �• .� [' Limits of Liability $ Each Wrongful Act4Y A Annual Aggregate $ Effective Date Deductible Each Wrongful Act : S Anniversary Date ' fall Re:Lease of premises at 101 East Old Settlers Boulevard,Suite 200. Cancellation: Should any of the above described coverages be canceled before the anniversary date thereof,the issuing = company will endeavor to mail 30 days written notice to the certificate holder, but failure to mail such notice shall impose no obligation or liability of any kind upon the company. Date Issued: 7/12/01 Authorized Representative: Texas Municipal League Intergovernmental Risk Pool Certificate Holder-. Opus South Corporation4�� 15455 North Dallas Parkway,Suite 450 xr•_t. ' Z Addison,Texas 75001 t r EXHIBIT X102 06!36198 JUL-12-2001 12:28 'r$r' 95% P.03 - i 11 ty ; t r �.. , FM r'. This endorsement forms a part of the Declarations to which attached, efl'ecteve on the inception date of the coverage unless otlieivvise stated herein;"and clarifies >x' such coverage as is afforded by the provisions of the coverage shown below ' Sr, ;r g ❑ AMPORT OWNS) SAND OPERATORS G-ElI IRA7 LIABII.IT3t '4 ���-� E � -_� � { � �:�+•'� YC3.,:..t "t �. � ilk Entity Name :City of Round Bockx �5 f , Entity ID :3127 - Effective Date :7/13/01 Itis agreed that the Fhhnd Member ispr coverage:for the liability assumed under the lease s.; x agreement beta+een:the person or organizattan de: ted below and the Fund ember,for that ' ses;designated below Such Co stpna: }� n part of the pecan gn crage not apP1Y g to z � (1 � occnrience which taioes law 7�an 1ltember f +ter s VIII SlICh pIP�ISC$ s« nlrn, xi rt - r t 'r -G.F.s..l2 - . x ��.._:# An�3truCttlral alteratl0 ' �} P, ( ) y ns,new construction or demolition operations"performed by or on behalf of the person or organtzaron designated below, " K q Name Opus South Corporation =4 . Address .15455 North Dallas Parkway,'Surte 4So r, tY,-State,Zip Addison,Teuas 75001 Designated Premises - Y, 101 East Old Settlers Boulevard,Suite 200 f :z t :v. '"4is3�}-e..2+ I . 3 a s'"tA v-`•FA ,K k `"a'` ' -4j+. yin' ` "_' N 04 yr „ �x t wet �+a a "•as yam:.• �'" r'..x>.yr y � *�TI:3CAS MUNICIPAL LEAGUE TNTERGO`� �NAAL RISKPbOL , , � f i t - a -R EXHIBIT 1=9 s . JU-12-2001 12:28 "B" 957. P.04 Certificate of Coverage This is to certify that contracts of coverage listed below have been issued to the me iber`and are in effectat this time. Notwithstanding any requirements,terms or conditions of any contracts or other documents with-respect to which this certificate may be issued or may pertain, the coverage afforded by the contracts described herein is subject to all the terms,exclusions and additions of such contracts.Coverage is continuous until canceled. Contract#: 3127 Member: City of Round Roel Company Texas Municipal l.esgue :f a Mr.Hassan Farhat Affording Iatergovernnaental Risk P061 x' 221 East Main Street Coverage: P.O B01`149194 Round Rock,Texas 78664 Austin,Texas .7$714-9194 -' F (512)491-2300.or(800)5374655- Fax(512)491-2404 �N v Limits of Llablhty ..1,000,000 Each Occturence r ! Sadden BveatsAl r r r4.x 'Fm. w t6i a ''""r "sxs'�--im, �. i•.• Involving Pollution $ -1,000,000 Each Occurrence Annual Aggrega • S 2,000,000 Effective Date , 10/1100 Ti Deductible Per Oceuzrence S 2,500 Anniver Date 10/1/01 s Limits of Liability $ Each Occurrence 7 Annual Aggregate S Effective Date Deductible Per Oecusence S Anni Date 1; Limits of Liability S Each Wrongful Act Annual Aggregate $ Effective Date • i. Deductible�Each WrongfulAct $ Atmiversary Date WA-WA 2! v- -.•'�a`.'T : '!i ):.,y�{•.Y :i: :. •..a�.dIS1C-•` '�yqt.` •. {!Ff�115 7,� ' r• •'L• - Re:Lease of premises at 101 East Old Settlers Boulevard,Suite 200. Cancellation: Should any of the above described coverages be canceled before the anniversary date thercoZ the issuing company will endeavor to mail 30 days written notice to the certificate holder but'failure to mail such notice."I impose no obligation or liability of any land upon the company. s :. Date Issued: 7112/01 Authorized Representative: �X Texas Municipal League Intergovernmental Risk pool Certificate Holder Opus South Management Corporation 4200 West Cypress Strut,Suite 444a j 1 T Flonda 33607 �>- arnpa;- EXHIBIT X102 ;d 002093 "B"JL1L-12-2001 12:27 95X P.02 z _ This endorsement forms a part of the Declarations to which attached, effective on the inception date of tho coverage unless otherwise stated herein,and clarifies - such coverage as is afforded by the provisions of the coverage shown b616w• ® GFtvxn AT 1,SA$ IW x � D AMPORT O _W1VT.ItB AND`OPER 7COR5 � GSENERAL LL�cB1LIT Y %- r47 f '�r Entity Name :City of Round Entity ID :3127 Effective Date :7/13/01 h is agreed that the Fund Member is provided coverage for the lability assumed under the lease 'F areemcnt between the person or organ12at1on designated below and the Fond Member farthat fay w � S - part of the p ean1-ses designated below Such coverage shall not 1 to •` u y4 c` it g 4 e& _ i4.xh Fa a3 '7� r �'� _ {1) Any occurrence�irhlch fakes place niter the Fhnd e e e a �� ' In such preMINS (2) Any structural alterations,nevi"'o� nstructton or;dcmolitlon operations performed by or on behalf of the person or organization designated below xs F - Opus South Name ManagetnentCoiporation k Address -° : . 4200 West Cypress Street,Suite 444 _ � rs CI State zi tY. p Tampa,Florida 33607 .* Designated premises , 101 East Old Settlers Boulevard,Suite 200 y nz xx xn � t fh X 4 +'`' `S�, �r u-cs=r � t3 *a`t' >+s firL-#.v� iz TEXAS MUNICIPAL LEAGUE INMRLGUVEIEtNMENTAL'R! ISK POOL FL-106 EXHIBIT 12109/9e JUL-12-2001 12.25 95i ;_ P.05 - - - I - - -- - - --=', orin - g,..--OFFICE 215 0 `sOFFICE OFFICE223 224HW.1 HW.t T CORRIDOR i A/1 < I 218 4'-3" W.1 8-3" 8'-3" ch OFFICE - W a 212 o f 1.0 CE OFFICE C CC -A il ^':Hier 217 Z20 L L OPEN OFFICE H1t r I d O OFFICE 213 CORRIDOR O 228 30'-0" 210 HW. OFFICE OL TOR n, 0 VMWi R 01t OFFICE I —L=� r ' - 227 209 ' ?ART:-, ;CN � HnRECEPTION w 1 200 CO CONFERE 207 2o'-o . _ 7 CONSENT TO SUBLEASE THIS CONSENT TO SUBLEASE (the "Agreement") is dated to be effective as of the day of July, 2001 (the "Effective Date") by and between Opus South Corporation, a Florida corporation,d/b/a Crystal Park Partners("Landlord"), Classic Special Management, Ltd.,a Texas limited partnership ("Tenant") and The City of Round Rock, Texas, a municipal corporation ("Sublessee"). WHEREAS, Classic Automotive, Inc., a Texas corporation ("Classic"), Tenant's predecessor-in-interest, entered into a lease agreement dated November 13, 1997 (the "Lease"), with Crystal Park Partners, a Texas general partnership ("CPP"), predecessor-in-interest to Landlord, for the lease of certain premises(the"Premises")located in the office building known as Crystal Park Plaza, located at 101 Old Settlers Boulevard in Round Rock, Williamson County, Texas; and WHEREAS, Tenant has succeeded to all right, title and interest in the Lease held by Classic; and Landlord has succeeded to all right, title and interest in the Lease held by CPP; and WHEREAS, Tenant has requested Landlord's consent respecting a proposed sublease of the Premises (the "Sublease") to Sublessee, a`copy of which Sublease is attached hereto as Exhibit "A"; and WHEREAS, Landlord and Tenant desire to set forth herein their agreement respecting the Landlord's consent to the Sublease as provided herein. NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties do hereby covenant and agree as follows: 1. Landlord has reviewed the Sublease and hereby grants its consent to the Sublease and to the occupancy of the Premises by Sublessee for the use stated in the Sublease, subject to the terms and conditions of the Lease and this Agreement, and conditioned upon the assumption by Sublessee of all obligations of Tenant under the Lease. Except as herein expressly provided, such consent shall not be deemed to constitute a modification of or amendment to any provision of the Lease or a release of Tenant from any of Tenant's obligations thereunder. Any amendment to the Sublease by and between Tenant and Sublessee which has not been approved in writing by Landlord shall be deemed to be invalid and not in full force and effect. Tenant shall remain fully liable to Landlord for all obligations existing or arising under the Lease. Sublessee has executed this Agreement to acknowledge its consent to the foregoing and the provisions hereof. 2. Notwithstanding anything contained in the Lease or Sublease to the contrary, Landlord, Tenant and Sublessee agree as follows: (a) Sublessee shall not have the right to further sublet, transfer or assign the Sublease or its rights thereunder without Landlord's prior written consent, which may be withheld in Landlord's sole discretion. (b) Landlord agrees to provide notice to Sublessee, at the address contained in the Sublease, of the occurrence of any Event of Default under the Lease, and Landlord and Tenant agree that Sublessee may elect to cure any such default on Tenant's behalf; provided that nothing herein shall(i)expand any notice or cure periods under the Lease, (ii) limit Landlord's rights or remedies under the Lease, or (iii) amend the Lease except as expressly CONSENT TO SUBLEASE—Page 1 CAWINDOWS\Temporary Internet FileslOLK92C3\ClassicSubleaseConsentl.doc provided in this subsection (b). 3. This Agreement may be executed in counterparts which, when attached to each other shall constitute the complete agreement of the parties. 4. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date. LANDLORD: OPUS SOUTH CORPORATION, a Florida corporation, d/b/a CRYSTAL PARK PARTNERS By: Name: Title: TENANT: CLASSIC SPECIAL MANAGEMENT, LTD. By: Classic Special LLC By: CHARLES R. KING, Vice President SUBLESSEE: CITY OF ROUND ROCK, TEXAS By: ROBERT A. STLUKA, JR., Mayor ATTEST: JOANNE LAND, City Secretary CONSENT TO SUBLEASE—Page 2 C_\WINDOWS\Temporary Internet Files\OLK92C3\ClassicSubleaseConsentl.doc