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KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
me /12 /2015 07:05
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NYSCEF
NYSCEF DOC. NO. 327 RECEIVED
Date¶fehVeanN NYSCEF: 03/13/2018
8/12/2016
DWgre?nedt4(Q'Agreement") dated as of October _, 2013 (the "Effective DatP}'%1%9n t S
("Subtenant"
Management Corp. ("Sublandlord"), and Cherry Hill Gourmet, Inc. ("Subtenant").
W I T N E S S E T H:
WHEREAS Sublandlord and Subtenant entered into a Sublease dated as of August 1, 2007 (the
"Sublease" Premises"
"Sublease") relating to certain premises (the "Original Sublease Premises") in a portion of the building (the
"Building") at 1901 Emmons Avenue, Brooklyn, New York;
WHEREAS Sublandlord and Subtenant entered into an Agreement dated as of July, 2011 (the "2d Floor
Sublease" Premises"
Office Sublease") relating to certain premises (the "2d Floor Office Premises") on the second floor of the
Amount"
Building; and Sublandlord has waived the $20,000 "Required Security Deposit payable pursuant to
Section 3.5 of the 2d Floor Office Sublease;
WHEREAS Sublandlord and Subtenant entered into an Agreement dated as of January, 2012 (the "2d
Sublease" Premises"
Floor Warehouse Sublease") relating to certain premises (the "2d Floor Warehouse Premises") on the second
floor of the Building; and
WHEREAS Subtenant desires to sublease from Sublandlord additional premises described on Exhibit A
hereto (the "2d Floor Expansion Premises"; the Original Sublease Premises, the 2d Floor Office Premises, the
Premises"
2d Floor Warehouse Premises, and the 2d Floor Expansion Premises, being called the "Aggregate Premises") in
a portion of the Building, on the terms and conditions contained herein;
NOW, THEREFORE, in consideration of the mutual covenants herein contained, Sublandlord and
Subtenant agree as follows:
1. Definitions
All capitalized terms that are used in this Agreement and are not defined shall have the same meaning as set
forth in the Sublease.
2. Sublease of 2d Floor Expansion Premises
2.1. 2d Floor Expansion Premises. Subject to Section 3.6 below, the Sublandlord hereby subleases the 2d
Floor Expansion Premises to the Subtenant, from and after the Effective Date, and until the earlier of
the date on which the term of this Agreement, or the term of the Sublease, expires or is terminated,
on the same terms and conditions as apply to the Original Sublease Premises pursuant to the
Sublease, subject however to the provisions of this Agreement. All of the provisions of the Sublease
Premises"
that apply to the Original Sublease Premises (called the "Sublease in the Sublease) shall
also apply to the 2d Floor Expansion Premises, subject however to the provisions of this Agreement.
Any default by the Subtenant under this Agreement shall also be a default by the Subtenant under
the Sublease, the 2d Floor Office Sublease, and the 2d Floor Warehouse Lease; and any default by
the Subtenant under the Sublease, the 2d Floor Office Sublease, or the 2d Floor Warehouse Lease,
shall also be a default by the Subtenant under this Agreement. In the event of any inconsistency
between any provision of this Agreement, and any provision of the Sublease, then the provisions of
this Agreement shall control.
1
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FILED:
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KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10/12/2017 07:05
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2.2. Provisions not Incorporated. In addition to the other provisions of the Sublease that are modified by
the other provisions of this Agreement, Section 15 (Overlandlord Consent) and Exhibit H
Agreement"
("Nondisturbance Agreement") of the Sublease shall not apply to the 2d Floor Expansion Premises.
2.3. Use of 2d Floor Expansion Premises. Subtenant agrees to use the 2d Floor Expansion Premises only
place"
for an "eating or drinking as defined in the New York City Zoning Resolution, and, subject to
the Sublease, for such other legal uses that are related to and compatible with the Subtenant's current
permitted uses in the Aggregate Premises, and that are also compatible with other current uses at
1901 Emmons Avenue.
3. Rent
3.1. Rent. From and after January 1, 2014, the Subtenant shall pay Base Rent, in each Lease Year, with
respect to the 2d Floor Expansion Premises at the Sublease Base Rental Rate (as defined below) for
the applicable Lease Year. The parties hereto agree that the rentable square footage of the 2d Floor
Expansion Premises, and the Sublease Premises Rentable Area for the 2d Floor Expansion Premises,
is 3,000 rentable square feet. The Base Rent for each Lease Year is payable in equal monthly
installments on the first day of the firstmonth of such Lease Year and on the first day of each month
thereafter.
Rate"
3.2. Sublease Base Rental Rate. The "Sublease Base Rental with respect to the 2d Floor
Expansion Premises shall be as follows:
Lease Year Sublease Base Rental Rate (with respect to the
2d Floor Expansion Premises)
Partial Lease Year from the Effective Date to $0 per month
December 31, 2013
Partial Lease Year from January 1, 2014 to July $5,500 per month
31, 2014
Subsequent Lease Years (or portion thereof) Commencing August 1, 2014, the Sublease Base
Rent"
during the term of this Agreement Rental Rate (also called the "Base Rent") for
each Lease Year commencing after July 31, 2014
shall be the sum of 1) the Sublease Base Rental
Rate for the prior Lease Year (or partial Lease
Year expressed on an annual basis), plus 2) 3%
of the Sublease Base Rental Rate for the prior
2
4072-009 Doc. ¹72
FILED:
FILED: KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10 /12 /2017 07:05
05 :19 PM INDEX
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Lease Year, provided that the Sublease Base
Rental Rate during the Extension Term with
respect to the 2d Floor Expansion Premises shall
be determined in the same manner as the
Sublease Base Rental Rate during the Extension
Term is determined pursuant to the Sublease
with respect to the Original Sublease Premises.
For example, the Sublease Rental Rate with
respect to the 2d Floor Expansion Premises
during the Lease Year commencing August 1,
2014 shall be $5,665 permonth.
3
4072-009Doc. ¹72
FILED:
FILED : KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10/12/2017 07:05
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3.3. No Free Rent Period. The Subtenant shall not be entitled to any rights (whether pursuant to the
second sentence of Section 3.1 of the Sublease or otherwise) with respect to either the 2d Floor
Expansion Premises or the Base Rent that is payable with respect thereto; and therefore the
Subtenant shall not be entitled to any free rent period.
3.4. Garbage. The Sublandlord exercises its right, pursuant to Paragraph 25 of Exhibit G ("Rules and
Regulations"
Regulations") of the Sublease, to designate the area specified in Exhibit B of this Agreement as the
location where the Subtenant shall store its garbage from the Aggregate Premises until the time that
it iscollected, at the Subtenant's expense, by the garbage disposal service engaged by the Subtenant.
The Subtenant acknowledges that the area specified in Exhibit C of this Agreement is the location
where the Sublandlord and its subtenants, licensees and occupants, other than the Subtenant, may
store any garbage until itis collected by the applicable garbage disposal service.
3.5. Security Deposit. The Required Security Deposit Amount with respect to the 2d Floor Expansion
Premises is $0.
3.6. Option to Extend. Section 16.9 of the Sublease shall apply to the 2d Floor Expansion Premises. The
Rate"
"Extension Term Fair Market Rental (with respect to the 2d Floor Expansion Premises) shall
be calculated in the same manner as is provided in Section 16.9 of the Sublease, provided that (1)
"Sublease,"
whenever Section 16.9 of the Sublease refers to the this shall be deemed a reference to
this Agreement, and (2) whenever Section 16.9 of the Sublease refers to the "Sublease Premises",
this shall be deemed to be a reference to the 2d Floor Expansion Premises, and (3) the "Extension
Rate"
Term Fair Market Rental (with respect to the 2d Floor Expansion Premises) shall be the fair
market rental rate of the 2d Floor Expansion Premises for the Extension Term. The annual Base
Rent for any given Lease Year during the Extension Term shall be paid in equal monthly
installments on the first day of each month during such Lease Year.
3.7. Lease Year. Each "Lease Year", for the purposes of this Agreement with respect to the 2d Floor
1"
Ex ansion Premises, shall be the period beginning on August and ending on the following July
31'
31 during the term of this Agreement as it may be extended, provided that the first Lease Year shall
be the partial lease year from the Effective Date to July 31, 2014, and further provided that no Lease
Year shall extend after the date of the expiration, termination, or cancellation of this Agreement.
3.8. Electricity. . The Subtenant shall connect the electrical outlets in the 2d Floor Expansion Premises to
the meter that the Subtenant has installed in the Original Sublease Premises, so that the Subtenant is
billed directly by the applicable electrical utility (and Sublandlord is not liable) for all electrical
usage in the 2d Floor Expansion Premises (including, without limitation, the electrical usage of all
components, to the extent serving the 2d Floor Expansion Premises, of the Building's heating,
ventilating and air-conditioning systems); provided that any alterations by the Subtenant are subject
to the requirements of the Sublease relating to alterations; and further provided that the Subtenant
4
4072-009 Doc. ¹72
FILED:
FILED : KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10/12/2017 07:05
05:19 PM INDEX
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NO. 510844/2016
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must give prior written notice to the Sublandlord of both (1) the Subtenant's plans and specifications
for such connection and any wiring that the Subtenant intends to install or use in the 2d Floor
Expansion Premises and (2) the effective date (not less than 30 days after the date on which the
Sublandlord receives such notice) on which such electrical outlets in the 2d Floor Expansion
Premises will be connected to the Subtenant's meter. The Sublandlord shall have no obligation to
provide any electricity with respect to the 2d Floor Expansion Premises or any equipment, fixtures,
or systems located in or serving the 2d Floor Expansion Premises. Sublandlord shall not be liable to
Subtenant for any failure, defect or interruption of electric service for any reason. Subtenant's use of
electricity in the 2d Floor Expansion Premises shall not at any time exceed the capacity of the
electrical system within or serving the 2d Floor Expansion Premises, and Subtenant shall not
overload any component of such system. Subtenant shall, at Subtenant's expense, furnish and install
all lighting tubes, lamps, bulbs and ballasts required in the 2d Floor Expansion Premises.
Sublandlord shall select (and may from time to time change) the utility or other supplier providing
electricity to the 2d Floor Expansion Premises and the other portions of the Building. Subtenant
shall comply with all rules, regulations and other requirements of the utility or other supplier.
Subtenant shall, at Subtenant's expense, diligently arrange to obtain electricity, with respect to the 2d
Floor Expansion Premises, from the utility or other supplier providing electricity to the Building by
means of the existing Building electrical system to the extent itis available, suitable and safe for
such purpose, as reasonably determined by Sublandlord. Notwithstanding anything to the contrary in
(" Utilities"
this Agreement, in the event of any conflict between Article 9 ("Electricity and other Utilities") and
(" Electricity"
Exhibit E ("Method of Charging for Electricity") of the Sublease, on the one hand, and this Section
("Electricity"
3.8 ("Electricity"), then this Section 3.8 shall control.
4. Miscellaneous
4.1. Overlandlord. Subtenant agrees promptly t provide any financial or other information requested by
O andlord.Sulb e Elle«
St4 its /+Art (Le CE fitT'r- Ott '/
] i4$
&(l
(p O L ttrit9 6 to~ F3 ! 4<~Y. f=o'll'.
4.2. Date When Legally Binding. . this Âgreeme t chait ot n tn on t e Sublandord unless an
th'
until: (1) each party to this Agreement has executed one or more paper counterparts of th
Agreement and has physically delivered at least one such counterpart to the other party hereto, and 4 P
(2) the Sublandlord has received all amounts that are payable to it on or before the date of this
Agreement.
5
4072-009 Doc. ¹ 72
FILED:
FILED : KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10/12/2017 07:05
05: 19 PM INDEX
INDEX NO.
NO. 510844/2016
5108 4 4/2016
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NYSCEF
NYSCEF DOC.
DOC. NO.
NO. 327
140 RECEIVED
RECEIVED NYSCEF:
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IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of the day and year
first above written.
Sublandlord Subtenant
Lundy's Management Corp. Cherry Hill Gourmet, Inc.
a New York corporation a New York corporati n
r
3
"
By: By:
Name: Steve Papbas Nami 4)avid Isaev
Title: President Title: President
Address for Notices: Address for Notices:
c/o Mr. Steve Pappas c/o David Isaev
5th 86th
540 Atlantic Avenue, Floor 2278-2284 Street
Brooklyn, New York 11217 Brooklyn, New York 11214
with a copy to: with a copy to:
O'
Meister Seelig & Fein LLP Cozen O'Connor
45th 19th
140 E. street, Floor 277 Park Avenue
New York, New York 10017 New York, New York 10172
Attn: Brook Boyd, Esq. Attn: Howard B. Hornstein, Esq.
Guarantor
The undersigned hereby confirms that (1) the Guaranty made as of August 1, 2007 by David Isaev to the
Sublandlord with respect to the Sublease (the "Guaranty") is in full force and effect, and (2) the Guaranty is
hereby made applicable to the obligations of the Subtenant under this Agreement, and therefore all obligations
Obligations"
of the Subten pursuant to this Agreement are included within the meaning of the "Guaranteed
as defined e Guaranty.
inf
r
avid I ev
6
4072-009 Doc. ¹72
FILED:
FILED : KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10 /12 /2017 07:05
05 :19 PM INDEX
INDEX NO.
NO. 510844/2016
510844/2016
PM|
NYSCEF
NYSCEF DOC.
DOC. NO.
NO. 327
140 RECEIVED
RECEIVED NYSCEF:
NYSCEF: 03/13/2018
10/12/2017
STATE OF NEW YORK )
: ss.:
COUNTY OF ~i.e )
~
On the ej_ day of ( h I~ i, , in the year 2013, before me, the undersigned, personally
appeared STEVE PAPPAS, personally known to me or proved to me on the basis of satisfactory evidence to be the
individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the
individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.
Si nature and Offic of YESENIA GUTIERREZ
NOTARY PUBLIC STATE OF NEW YORK
In iv ual taking a owled ment
KINGS COUNTY
LIC. #01GU6125935
COMM. EXP. 04/25/20tS . -' ''>
/ '.')>,,
STATE OF NEW YORK )
: ss.:
COUNTY OF )
On the _ day of , in the year 2013, before me, the undersigned, personally
appeared DAVID ISAEV, personally known to me or proved to me on the basis of satisfactory evidence to be the
individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the
individual(s), or the person upon behalf of which the individual(s) acted, executed the instrument.
Signature and Office of
Individual taking acknowledgment
7
4072-009Doc. ¹72
FILED:
FILED : KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10 /12 /2017 07:05
05 :19 PM INDEX
INDEX NO.
NO. 510844/2016
5108 4 4 /2016
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NYSCEF DOC.
DOC. NO.
NO. 327
140 RECEIVED
RECEIVED NYSCEF:
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Exhibit A
Description of 2d Floor Expansion Premises
The 2d Floor Expansion Premises are indicated by diagonal lines (or other highlighting) on the floor plan that is
attached to this Exhibit B.
1
4072-009Doc. ¹72
INDEX
INDEX NO. .r". ~
510844/2016
FILED:
IFILED:
NYSCEF'
KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10/1 2/zuAA 07:05
us:.L ,‰ Fhm
PM ,m,
NO. 510 8016
NYSCEF
NYSCEF DOC.
DOC. NO.
NO. 327
140 RECEIVED
IVED NYSCEF:
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10 2017
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FILED:
FILED : KINGS
KINGS COUNTY
COUNTY CLERK
CLERK 03/13/2018
10/12/2017 07:05
05:19 PM INDEX