You are on page 1of 19

PROPOSAL POSAL RICOH CANADA

OXFORD AIRPORT BUSINESS PARK CALGARY, ALBERTA

03. RESPONSE SECTION 1 BUILDING PARAMETERS 3 Owner 3 Building 4 Premises 4 Parking 5 SECTION 2 ECONOMIC TERMS 5 Commencement Date 5 Lease Term 6 Rental Rate 6 Rent Abatement 6 Escalation 7 Real Estate Taxes & Operating Taxes 7 Other Occupancy Costs 8 Tenant Improvements 8 Preliminary Plan 9 Space Plans 9 SECTION 3 OPTION 10 Lease Termination 10 Right of First Refusal 10 Renewal Option 11 SECTION 4 OTHER PROVISIONS 11 Persons with Disability Compliance 11 Audit Rights 12 Brokerage Commission 12 Building Access 12 Competing Use Provision 12 Hazardous Materials 13 HVAC 13 Janitorial Services 13 Security 14 Signage 14 Occupancy 14 Relocation 15 Restoration 15 Subletting / Assignments 15 Contingency 16 11. SCHEDULES Schedule I Master Site Plan Schedule II Building Plan Schedule III Photos Schedule IV Elevations Schedule V Floor Plans 19. APPENDIX Appendix I Oxford Properties Group Appendix II Location, Access and Amenities 17 18 19 20 21 25 26

TABLE OF CONTENTS

01. EXECUTIVE SUMMARY

Our team has given substantial thought to the objectives of Ricoh. Oxford Airport Business Park is situated at the gateway to the Calgary International Airport and offers Ricoh the benefit of increased capacity, a competitive cost structure, and a strategic location. Oxford offers the expertise required to realize every aspect of this project, from site design and construction to property management. With our proven track record in real estate development and a significant presence in the Calgary real estate market, Ricoh can benefit from collaborating with an experienced, trusted partner. We aim to meet Ricohs objectives in the following ways: 1. A  ccommodate growth and provide flexibility.Oxford Airport Business Park is designed to provide flexibility to support Ricohs current and future needs. As a master planned, flagship business park with 4 million square feet of office, hotel, amenity retail, and premier industrial space, Oxford Airport Business Park will accommodate growth and is an ideal location for Ricoh. 2. C  reate a competitive cost structure. Our proposal is based on a competitive base rent derived from our assumptions regarding Ricohs building requirements. We will work with Ricoh to refine the specifications that best address business needs. 3. D  eliver a state-of-the-art facility. Oxfords experienced development team is currently completing 13 projects with a total of 5 million square feet and $4.6 billion in development projects, including new build projects in Canada, the US, and the UK. Ricoh can expect a seamless development process from start to finish. Key business advantages at Oxford Airport Business Park: Prominently located at the gateway of the Calgary International Airport in the Stoney Industrial sector with direct access to Deerfoot Trail Sustainable, efficient design features Flexible and modern design facilitating tenant growth

EXECUTIVE SUMMARY

Oxford Properties Group is pleased to submit a lease proposal to Ricoh Canada Inc. (Ricoh) for Building E at Oxford Airport Business Park (OABP). Oxford is proposing a brand new facility to meet Ricohs request for office and warehouse premises for their Calgary facility.

The Landlords satisfaction regarding the credit worthiness of Ricoh; Mutually agreed formal and binding lease documentation being negotiated and entered into between the parties; and Oxford Senior Management approvals.

Oxford proposes a lease arrangement between OREC (Calgary) Holdings Inc. and Ricoh Canada Inc. The following will form the basis of the business terms of the lease. The proposed terms outlined below are for discussion purposes only and are not binding on either the Landlord or Tenant in any manner. Ricohs requirements as outlined in the RFP have been repeated below each header in bold italics.

Oxford authorizes Ricoh to communicate this proposal to its officers, directors, employees, and legal, real estate and financial advisors on the understanding that Ricoh will inform such representatives of the confidential nature of such information and obtain their commitment to maintain its confidentiality. Thank you for the opportunity to present the Oxford Airport Business Park as an office and warehouse solution for Ricoh. We encourage you to visit www.oxfordairportbusinesspark.com to view photos, video, and details on the site. We look forward to potentially acquiring your tenancy in Oxford Airport Business Park.

LANDLORD
OREC (Calgary) Holdings Inc. (the Landlord) See Appendix III for additional information on Oxford Properties Group.

TENANT
Ricoh Canada Inc. (the Tenant)

SECTION 1 BUILDING PARAMETERS

01

OWNER
Please confirm name of property owner. Oxford Airport Business Park, including the subject building, is owned and managed by Oxford Properties Group. Oxford is wholly owned by OMERS (Ontario Municipal Employees Retirement System). OMERS is one of Canadas largest pension funds managing $55 billion in net investments on behalf of its 430,000 members. OMERS manages a diversified global portfolio of stocks and bonds as well as real estate, infrastructure and private equity investments. With a mandate to maximize value while prudently managing risk, Oxford invests in and manages real estate investments on behalf of OMERS. Oxfords strategy of owning, actively managing and developing properties located in well-understood markets with long term stability has created one of Canadas largest and highest quality portfolios of real estate assets. The real estate portfolio consists of over 100 properties totaling nearly 48 million square feet, over 15,000 residential units and 3,500 hotels rooms located primarily across Canada, Western Europe, and select US markets. As the wholly owned real estate group of OMERS, Oxford is well capitalized and has the necessary resources to complete all projects. No development funding is required. OMERS Administration Corporation, as the administrator of the OMERS pension plans and trustee of the pension funds, manages nearly $80 billion of capital. OMERS has a strong balance sheet and AAA credit rating with a commitment to private market investments and a direct active management approach.

RESPONSE

The proposal outlined below is made subject to the following legal conditions:

Ricoh Canada Inc. Lease Proposal at Oxford Airport Business Park

02

BUILDING
Oxford Building E 1845 104th Avenue NE Calgary, Alberta The Landlord is pleased to propose a portion of Building E, located at 1845 104th Avenue NE, Calgary, Alberta, as suitable premises within Oxford Airport Business Park. Please see Schedules I and II enclosed herein outlining the location and layout of Building E within the development. Oxford Airport Business Park is a master planned, mixed-use business park encompassing approximately 250 acres in northeast Calgary. Prominently located in the Stoney Industrial sector, Oxford Airport Business Park is situated at 19th Street NE between Airport Trail to the south and Country Hills Blvd to the north, and offers outstanding access to Airport Trail, Deerfoot Trail (Hwy II) and Stoney Trail. Approximately 4 million square feet of future premier industrial, office, retail, and hotel development is planned within the park and construction will be of the highest quality, featuring environmentally efficient design along with modern, functional features and appealing aesthetics. At 290,356 total square feet Building E is a brand new, recently completed facility that incorporates modern aesthetics and a flexible operations design, featuring dock and grade loading, 32 clear ceiling heights, ESFR sprinklers, T5HO lighting, abundant employee/customer parking and a dedicated trailer storage area. Typical column grid within Building E is 55 x 40 with 55 depth at staging bay as per base building specifications.

04

PARKING
Please specify: (i) the number of parking spaces that would be available to Tenant; (ii) if these spaces are reserved or part of a common lot; and (iii) any fees and increases associated with these parking spaces. Tenants requirement for 48 parking spaces must be included in the Lease and Landlords proposal must identify where Tenants 48 parking spaces will be on a site plan. The Landlord shall grant the Tenant exclusive use of approximately 40 passenger parking stalls, at no additional cost to the Tenant, as outlined in Schedule II enclosed herein. The Tenant acknowledges that the Landlord shall not police such stalls and any signage must have the Landlords prior approval and will be at the Tenants sole cost and expense. The use of the remainder of the parking facilities at the building is provided on a non-exclusive, first-come-first-served basis in common with other tenants, and those doing business with the Tenant and other tenants, of the development.

SECTION 2 ECONOMIC TERMS

05

COMMENCEMENT DATE
January 1, 2015, with 120 days advance access required for furniture installation and IT wiring. The Landlord proposes the lease to commence on September 1, 2014.  Prior to the commencement date the Landlord will permit access to and give nonexclusive possession of the warehouse portion of the premises to the Tenant for the purpose of allowing the Tenant to complete the Tenants work, provided the Tenant has executed and delivered the lease, all separately metered utilities are registered in the name of the Tenant, and the Tenant has delivered to the Landlord a certificate of insurance indicating that a policy of the Tenants insurance for the premises is in full force and effect. The Tenant shall be permitted exclusive possession of the entire premises on September 1, 2014. The Tenant will not be responsible for annual rent and operating costs & taxes during the non-exclusive early occupancy period; however the Tenant shall be responsible for the cost of insurance, utilities, and other costs and expenses incurred as a result of the Tenant having possession during this period, and the Tenant shall be subject to all other provisions of the lease which shall apply during this period. CRITICAL DATES: Without limiting the generality of the foregoing, in order to achieve the target dates as outlined herein, on or before April 30, 2014 the Tenant shall: 1) Execute the lease in the form agreed to by the Landlord; 2)  Provide all space plans, approvals and information required by the Landlord in respect of the Landlords scope of work; and 3)  Advise the Landlord of any and all changes or modifications the Tenant proposes in respect of the Landlords scope of work, if any.

03

PREMISES
Approximately 60,000 rentable square feet (RSF) of space. Please provide the following information: 1) State total rentable area of subject premises To accommodate the Tenants requirement the Landlord is pleased to propose approximately 63,918 square feet of leasable area located in Building E as outlined in Schedule II enclosed herein. At the time of this proposal additional bays are currently available adjacent to the proposed premises in increments of approximately 15,878 square feet.

06 07

LEASE TERM
Five (5) years The term of the lease shall be for a period of five (5) years at a rate payable as outlined in the Rental Rate section below.

09

ESCALATION
Please specify the proposed escalation, if any. As noted in the Rental Rate section above, the Landlord proposes a rent escalation at the beginning of year 4 of the term that is equivalent to an increase in net rent of approximately 2% per annum in years 1-3.

RENTAL RATE
Please specify the proposed rental rate and indicate whether the rate is net or gross. Throughout the term the Tenant shall pay to the Landlord annual rent on a net basis as follows: YEARS Years 1-3 Years 4-5 RATE PSF $7.95 PSF $8.45 PSF

10

REAL ESTATE TAXES & OPERATING EXPENSES


Please provide the following real estate tax and operating expense information: 1)  If on a gross rental rate basis, indicate proposed base year and estimated tax and operating components and per square foot costs that comprise that base year. Not applicable. 2)  If on a net rental rate basis, indicate the estimated 2015 real estate taxes and operating expenses over the net rate. An operating cost budget has yet to be established for the 2015 calendar year. The 2014 budget for operating costs & taxes for Building E is $2.45 per square foot and is subject to annual adjustment. The Tenant acknowledges that this is a bona fide estimate and is not intended to be binding on the Landlord. General Maintenance & Common Area $0.40 Utilities $0.13 Insurance $0.06 Building Administration $0.45 Property Taxes $1.38 Management $0.03 Total Estimate $2.45 PSF The Tenant also shall be responsible for repairing, replacing, and maintaining the premises and the Tenant shall be responsible and directly billed for the cost of electricity and other utilities used in the premises. 3)  Please provide a history of real estate taxes and operating expenses for the past three (3) years. As Building E is a new development at Oxford Airport Business Park, no historical date regarding real estate tax and operating expenses is available at this time. 4)  Controllable expenses shall be capped at increases of 3% over the prior year. Please address. No cap on controllable expenses available at this time. However, the Landlord endeavors to employ rigorous tendering processes in the selection of any specific maintenance contractors and to also take a cost-effective, sustainable approach using industry best practices with respect to the operation and overall maintenance of the building and the development order to ensure that the interests of the Landlord and Tenant continually remain aligned.

Note: The rental rates as proposed are based only on the tenant improvements as outlined in the Tenants RFP dated January 29, 2014. The Landlord shall provide additional improvements as may be requested by the Tenant provided the cost of the additional improvements shall be fully amortized over the term of the lease and the annual rent shall be adjusted accordingly. Tenant requires that rent be due on or about the 10th of each month. Please address. Acceptable.

08

RENT ABATEMENT
Please specify the rent abatement provided and indicate whether the rate abatement is net or gross. The Tenant shall be permitted two (2) months free of gross rent from September 1, 2014 through to October 31, 2014. During this period Tenant will not be responsible for annual rent or its proportionate share of operating costs & taxes; however the Tenant shall be responsible for the cost of insurance, utilities, and other costs and expenses incurred as a result of the Tenant having possession during the free rent period, and shall be subject to all other provisions of the lease which shall apply during that period. Payment of annual rent and operating costs & taxes shall commence on November 1, 2014.

11

OTHER OCCUPANCY COSTS


1)  In the event that utilities used in the Premises are not included in the above noted Operating Expenses, please state the method of measurement, who is responsible for utility costs and who are the utility costs paid to. Water is the only utility common to all tenants within the building. The Landlord shall install a water check-meter within the Tenants premises and, upon receipt of invoice from the Landlords service provider, the Landlord shall charge the Tenant for their proportionate use. All other utilities shall be separately metered to the premises and the Tenant shall contract with their preferred service providers and shall be billed directly. 2)  Please detail all other Tenant occupancy costs that are not included in the above noted Real Estate Taxes & Operating Expenses. This should include, without limitation, janitorial expense, HVAC maintenance, utilities for HVAC systems and premises security systems. Janitorial expenses, individualized Tenant security systems, and maintenance of all base building and Tenant-specific warehouse HVAC systems and equipment all to be at Tenants sole cost and expense and contracted directly with Tenants preferred service providers. Maintenance of the roof-top HVAC units specific to the main office area within the premises to be the Landlords responsibility and included in operating costs. 3) P  lease detail energy saving systems and features of the building. In accordance with Oxfords Sustainable Intelligence platform the design and construction of Building E incorporates energy saving techniques and environmentally friendly construction procedures, including the following: T5HO high bay lighting fixtures with motion sensors (energy efficient fluorescent lighting that reduces power consumption and provides a direct bottom line savings to the Tenant); Clerestory windows along the rear wall for natural light; Increased thermal insulation (R-20 roof; minimum of R-18 in the building envelope); Development employs a low water landscape approach by selecting species native to the Calgary region that are drought tolerant. Irrigation is provided to trees and shrubs and not to turf areas; and Use of recycled and low-emitting materials.

proposes Building Standard finish materials as an alternate to the specified materials, Landlord must provide sufficient supporting specifications to satisfy Ricoh of the equivalence of such alternate materials. If existing finishes meet the functional and qualitative specifications, Landlord may propose re-use of such existing conditions. Such turnkey build-out to be completed by September 1, 2014. The rental rates as proposed herein are turn-key rates and include all costs associated with the complete design and construction of the tenant-specific improvements as outlined in the Tenants RFP dated January 29, 2014. Completion of the aforementioned tenant-specific construction shall be completed by the Landlord on or before September 1, 2014, subject to the Landlords critical dates provision as outlined above. In terms of any cost saving alternatives to the Tenants requested specifications, the Landlord proposes the following information for the Tenants consideration: AREA Main Office Main Office Main Office Warehouse Warehouse Washrooms Shop Area SCOPE Reduce HVAC to 2 zones (remove 1 RTU) to allow for 8 tons of cooling Alternate interior door spec to paint grade solid core wood Alternate flooring to combination of carpet tile & VCT (both with rubber base) and ceramic tile in vestibule Delete Big Ass Fans and utilize existing base building circulating fans Delete A/C and ceramic floor + wall tile, add electric baseboard heat and VCT with rubber base Delete 6-ton RTU, add exhaust fans and electric baseboard heat

Total potential cost savings from reduction in scope of work = $0.10 PSF.

13

PRELIMINARY PLAN
Tenant will require Landlord to provide one preliminary plan, based on the specifications in Exhibit A. Please provide with your response. Agreed and enclosed herein as Schedule V.

12

14

SPACE PLANS
Tenant will require Landlord to provide or pay for one (1) original space plan and two (2) revisions. Please address. Agreed.

TENANT IMPROVEMENTS
Tenant requests a turn key build out based on the attached Exhibit A and not a construction allowance. Landlords construction pricing should include any demolition costs, remodeling taxes, construction management fees, all architectural, mechanical & electrical drawings required, and any costs to comply with any provisions of the applicable disabled persons legislation. If Landlord

SECTION 3 OPTIONS

15

No rights of first refusal available at this time. However, should the Tenant happen to require any future expansion premises, the fully developed business park will eventually encompass approximately 3.3 million square feet of leasable industrial space and the Landlord would be happy to collaborate with the Tenant to accommodate the Tenants needs within the park in terms of any potential future expansion requirements.

LEASE TERMINATION
Tenant will require the option to cancel the lease at any time after the end of the 3rd lease year. Please specify the notice period and the termination penalty required by Landlord. Subject to the following terms and conditions, the Tenant shall have the right to terminate the lease effective only on the 3rd year anniversary of the commencement date, provided: a)  The Required Conditions (as defined in the lease) are met until the termination date; b)  The Tenant gives notice to the Landlord exercising its right to terminate the lease at least twelve (12) months prior to the termination date; c)  The Tenant has provided the Landlord with a termination fee equal to the sum of: I)  The unamortized costs of any leasehold improvements constructed by the Landlord on behalf of the Tenant or the amount of any unamortized tenant improvement allowance with respect to the lease, by the date of delivery of its notice of termination at least twelve (12) months prior to the termination date; II)  Any unearned real estate commissions with respect to the lease, by the date of delivery of its notice of termination at least twelve (12) months prior to the termination date; and III)  Twenty Four (24) months gross rent, by the date of delivery of its notice of termination at least twelve (12) months prior to the termination date.

17

RENEWAL OPTION
One (1) 3-year term with rental rate not to exceed the lesser of 95% of Market or the rate being quoted in the building. The base year for the renewal term shall also be adjusted to be the calendar year in which the renewal commences. A refurbishment allowance equal to $3.00/SF is required upon each renewal. The base rent in the renewal term shall not be subject to any minimum amount such as the rent in the last year of the Term. So long as the Required Conditions (as defined in the lease) have been met both on the date of exercise and on expiration of the term, the Tenant shall have the option to extend the term for one (1) additional term of three (3) years upon giving the Landlord not more than eighteen (18) months and not less than twelve (12) months notice prior to the expiration of the term. The extension will be on the Landlords then current standard form of lease provided that: a)  There shall be no further option to extend the term beyond the one option; b)  Annual rent payable during the extension term shall be the then current Market Rent (as defined in the lease); and c)  There shall be no landlords work, leasehold improvement allowance, or other subsidy or incentive of any nature whatsoever. The Landlord is receptive to the concept of a refurbishment allowance upon renewal, the amount of which is to be negotiated prior to renewal.

d)  The Tenant has removed all leasehold improvements with respect to the premises and has fully restored the premises to the Landlords base building standard prior to the termination date; and e)  The Tenant has executed within ten (10) days of receipt any documentation required by the Landlord to evidence such termination. All obligations of the Tenant under the lease arising or accruing on or prior to the termination date shall survive the early expiration of the lease.

SECTION 4 OTHER PROVISIONS

18

PERSONS WITH DISABILITY COMPLIANCE


Tenant requires a clause in the Lease Agreement stating the building, site improvements, and all tenant improvements comply with all applicable persons with disability legislation in place. Any improvements needed to satisfy compliance shall be at Landlords sole cost and expense and not increase costs for Tenant during Tenants occupancy over the lease term. Landlord shall be in compliance with all persons with disability legislation in relation to the building and premises as at the commencement of the early occupancy period and any leasehold improvements constructed by the Landlord shall be also completed in compliance with such applicable laws.

16

RIGHT OF FIRST REFUSAL


Tenant requests a Right of First Refusal on any contiguous space that becomes available during their Lease Term. Please address.

10

11

19

AUDIT RIGHTS
Tenant shall be entitled to audit the building operating expenses and management of same at any time during the term of the lease. Should such audit reveal a variance of more than 3%, then Landlord shall pay for the cost of the audit. No audit rights available at this time.

23

HAZARDOUS MATERIALS
Ricoh requires that the Landlord represents and warrants that to its knowledge, there are no hazardous substances/toxic contaminants located in, on, or under the building, the property, or the premises and there has been no violation thereon of any law governing hazardous materials. If hazardous materials are discovered at some later date throughout the lease term on or about the building or premises, which were not caused by Ricoh, the Landlord will be liable for all costs and expenses associated with regulatory requirements to eliminate such problems, etc. Indicate if any prior asbestos, PCB or environment conditions or hazards have existed. To the best of the Landlords knowledge and belief, without investigation as at the date hereof, the building does not contain any toxic or hazardous substances in amounts, forms or proximities that are in contravention of any applicable laws. The Landlord will comply with any applicable laws regarding containment or remediation. All other environmental matters as further outlined in the lease.

20

BROKERAGE COMMISSION
In the event a lease is consummated at the Building, the Landlord shall pay Avison Young a market commission to be mutually agreed upon under a separate agreement. The Landlord agrees to pay real estate fees for commissions earned by Avison Young Real Estate Alberta Inc., pending the Tenants execution of the formal lease document relating to the premises outlined above.

21

24

HVAC
Landlord to provide all new HVAC systems to the Shop, Driver Washrooms and office areas. The general warehouse to have sufficient heaters provided as part of the Landlords Work to maintain 20 degrees Celsius all winter long. Office/washroom HVAC provided by Carrier 3-ton RTUs, model 48TCEA04A2M1-0B0A0 (or equivalent). Warehouse heating provided by gas fired unit heaters placed under joists individually controlled by digital programmable thermostats. Reznor UDAP 400 (or equivalent) suspended gas-fired overhead unit heaters throughout warehouse to maintain 22 degrees Celsius with outdoor design of -33 degrees Celsius. Calcana model SR175 or SR150 (or equivalent) infrared radiant gas heaters along entire dock area, approx. 10 out from wall, designed to maintain an interior temperature of 20 degrees Celsius. Full details regarding HVAC equipment specifications available upon request. All utility costs associated with the operation of the HVAC equipment within the premises, both during business and non-business hours, shall be the responsibility of the Tenant.

BUILDING ACCESS
Tenant will have 24 hours per day, seven days per week, 52 weeks per year access to the premises, the building and the parking facilities, without the requirement of prior notice to the buildings management. Agreed, subject to the Tenants compliance with all applicable by-laws, regulations, and laws of any competent authorities.

22

COMPETING USE PROVISION


Landlord shall agree not to lease or sell or permit the use of any portion of the Building, or any other property located within a one (1) mile radius of the Building owned by Landlord or any entity controlled by or under common control with Landlord, by an industry competitor of Tenant, including, without limitation, Canon, Xerox Corporation, Hewlett-Packard, Sharp, Konica Minolta, Kyocera Mita, Oce, or any similarly situated business entity engaged primarily in the manufacture, sale and/or distribution of products or services competitive with those of Tenant. Throughout the Tenants initial lease term the Landlord agrees not to lease any portion of Building E, located at 1845 104 Avenue NE, Calgary, Alberta, to Canon, Xerox Corporation, Hewlett-Packard, Sharp, Konica Minolta, Kyocera Mita, or Oce.

25

JANITORIAL SERVICES
In the event that janitorial services are included in Real Estate Taxes & Operating Expenses please provide a copy of the buildings current janitorial specifications for review. Janitorial services to the premises to be contracted directly between the Tenant and the Tenants preferred service provider.

12

13

26

b)  The Tenant first provides the Landlord with written notice of any intention to vacate all or any substantial part of the premises.

SECURITY
Define the overall security program for the building, project and parking areas, and specify whether the building has a card access system to which the Tenant can add readers. Security services to the building and development provided by Garda Protection Services. After hours (5p.m. - 8a.m.) mobile patrols conducted three times daily during winter months (September - March) and two times daily for all other months (April August). Mobile patrols consist of ensuring all building access points are fully secured, observance of potential physical damage to the buildings, and monitoring the operation within all base building electrical and mechanical rooms. No card access system in place at this time.

29

RELOCATION
Landlord will not have the Right to Relocate the Tenant at any time during the lease without Tenants consent. Agreed.

27

30

RESTORATION
Tenant shall not be required to remove any leasehold improvements or wiring from the Premises at the end of the lease, nor perform any restoration of the Premises. Please detail any such removal or restoration that is required under law. Except as hereinafter provided, immediately prior to the expiration of the term, or immediately following the termination thereof, the Tenant shall remove all leasehold improvements (except for the leasehold improvements installed in the premises by the Landlord in relation to the main office space in the premises only), trade fixtures, personal property and any signs, restore the premises to the then current base building standard of the development (except in relation to the leasehold improvements installed in the premises by the Landlord in relation to the main office space in the premises only) and repair any damage to the building or the premises occasioned by such installation, removal and restoration, all as defined and further outlined in the lease.

SIGNAGE
Please provide the signage opportunities available to Tenant. So long as the Required Conditions (as defined in the lease) have been met and continue to be met at all relevant times and subject to the terms of the lease, the Tenant shall have the right to erect one (1) sign on the front exterior faade of the building. Such signage will be installed by the Tenant, at the Tenants expense, in accordance with the Landlords signage policy for tenants of the building as established and amended from time to time, including, without limiting the generality of the foregoing, design, color, style and graphics, all subject to the Landlords approval and building standards for such signage. All exterior signage must conform to all applicable laws, by-laws, regulations and ordinances. Any interior signage visible from the exterior of the premises must conform with the requirements set out in this paragraph. Letter sizes and sign length shall be proportionate to frontage of the premises. Maximum allowable letter size will be 40 when upper and lowercase letters are used and 36 when all uppercase letters are used. When logos are incorporated into Tenants signage, they must not exceed an overall average height of 40. Full details regarding the Landlords signage criteria available upon request.

31

SUBLETTING / ASSIGNMENTS
Ricoh reserves the right, without the Landlords consent, to sublet or assign the premises, in whole or in part, to Ricohs affiliates and subsidiaries, or to any entity owned or controlled by Ricoh as the parent corporation. Ricoh also requires the right to sublet or assign leases to other tenants, subject to the Landlords consent, which shall not be unreasonably withheld. Landlord shall notify Ricoh of its decision in writing not later than ten (10) days after Ricohs request. For approved subleases or assignments, Ricoh may either (i) retain all profits from any such subleases, provided that Ricoh shall remain liable for monthly rent and other payments to Landlord required under the lease agreement, or (ii) be fully released from all obligations and liability under the lease by the Landlord in the event that Ricoh assigns the lease to an entity of equal or greater creditworthiness at the time of assignment. The Tenant shall be permitted to assign the lease or sublet the premises to a third party with the Landlords prior written consent, as further outlined in the Landlords lease, and provided that the Tenant will pay to the Landlord any money or other consideration payable by the transferee to the Tenant in excess of the annual rent and operating costs

28

OCCUPANCY
Tenant shall be permitted to cease operations and vacate Premises at any time provided all rents shall continue to be paid as required in the lease. The Tenant shall not abandon the premises provided however that the Tenant shall not be obligated to continuously operate its business from the whole or any portion of the premises, provided: a)  The Tenant is not in default of its obligations set forth in the lease beyond any applicable notice and cure period, including without limitation, the obligation to pay all rent when due; and

14

15

Provided the Tenant is not in default under the terms of the lease, the Tenant shall not require the Landlords consent, but the Tenant shall provide the Landlord thirty (30) days prior written notice of the assignment or sublease, for any assignment of the lease or sublease of the whole of the premises to: a)  Any corporation which is an affiliate (within the meaning of the Canada Business Corporations Act) of the Tenant (the Affiliate) but only so long as such company remains an Affiliate. In the event the Affiliate ceases to be an affiliate, an assignment or sublease shall be deemed to have occurred for which the consent of Landlord is required; or b)  A corporation formed as a result of a merger or amalgamation (within the meaning of the Canada Business Corporations Act) of the Tenant with another corporation or corporations, provided the resulting entity has the same or greater financial capacity as that of the Tenant on the commencement date of the lease.

FO

TR

IL

EE

FREEPORT BLVD. NE

32

16 ST. NE

170,265 SF

296,085 SF

377,275 SF

CONTINGENCY
The submission of this request for proposal does not constitute an offer to lease. A lease shall not be binding and in effect until the lease document has been executed by both parties. Tenant shall have no liabilities for any expenses incurred in anticipation of the lease or in replying to this request unless they have been specifically authorized in writing by us. Tenant reserves the right to reject any proposal it receives. This request for proposal contains the specifications generally required by Tenant, which are subject to change and modifications. Agreed, provided the Tenant acknowledges that any changes and modifications to the specifications outlined in the Tenants RFP dated January 29, 2014 have the potential to alter the structure of the business terms contained in the Landlords original proposal.
PROPOSED BUILDING
289,750 SF

104 AVE. NE

D1
96,285 SF

15 ST. NE

394,930

100 AVE. NE

141,233 SF

B1

AIRPORT TRAIL NE

NORTH

SCALE
1:4000

LEGEND
Existing Buildings Existing Site Work Proposed Buildings Proposed Site Work

OXFORD BUSINESS PARK MASTER PLAN | GEC ARCHITECTURE | JANUARY 28, 2014

16

19 ST. NE

17

SCHEDULES

and taxes payable by the Tenant to the Landlord, and the Tenant shall at all time remain fully liable for all obligations under the lease.

SCHEDULE I MASTER SITE PLAN

Building Plan Building E


Sean Day, Director, Leasing | 403.206.6449

SCHEDULE II BUILDING PLAN BUILDING E

sday@oxfordproperties.com

SCHEDULE III PHOTOS BUILDING E

RICOH CANADA

AVAILABLE 238,901 SF

195 55 80 60

LEASED
20

63,918 +/- SF

18

290 356 SF
19

SCHEDULE IV ELEVATIONS BUILDING E

SCHEDULE V CONCEPTUAL FLOOR PLANS OFFICE

20

19

27, 5080 - 12 Calgary, AB Telephone: 4 Fax: 403-2 Mobile: 403 Email: kens@ch www.chesap

Bay 30, 2550 Calgary, AB Telephone: 40 Fax: 403-2

DISCLAIMER: THIS DRAWING IS PROTEC AND SHOULD NOT BE REPR OR FOR ANY PURPOSE PERMISSION OF CHESAPEA CONTRACTOR SHALL VERI FOR ALL DIMENSIONS AN AND/OR OMISSIONS TO C DESI

Company Rep Initials

Client Initials

Date

FEBRUARY 1
Drawn

HH
Drawing Title

OFFICE S FLOOR P
Project

RICO
Client

CALGA ALBER

S:\AUTOCAD\WORKING DRAWINGS\- ER\ER RICOH\ER RICOH CURRENT.dwg, 2/13/2014 10:33:28 AM, 1:1

ID1

14

20

21

SCHEDULE V CONTINUED CONCEPTUAL FLOOR PLANS SHOP

SCHEDULE V CONTINUED CONCEPTUAL FLOOR PLANS WASHROOMS

D
BUILDING PERMIT
27, 5080 - 12a Street SE Calgary, AB T2G 5K9 Telephone: 403-271-8333 Fax: 403-233-8222 Mobile: 403-888-4696 Email: kens@chesapeakeud.ca www.chesapeakeud.ca
27, 5080 - 12a Street SE Calgary, AB T2G 5K9 Telephone: 403-271-8333 Fax: 403-233-8222 Mobile: 403-888-4696 Email: kens@chesapeakeud.ca www.chesapeakeud.ca

Bay 30, 2550-112 Ave S.E. Calgary, AB, T2C 2K2 Telephone: 403-444-3590 Fax: 403-203-0089
DISCLAIMER: THIS DRAWING IS PROTECTED BY COPYRIGHT LAW AND SHOULD NOT BE REPRODUCED IN ANY MANNER OR FOR ANY PURPOSE EXCEPT BY WRITTEN PERMISSION OF CHESAPEAKE UNCOMMON DESIGN. CONTRACTOR SHALL VERIFY AND BE RESPONSIBLE FOR ALL DIMENSIONS AND REPORT ANY ERRORS AND/OR OMISSIONS TO CHESAPEAKE UNCOMMON DESIGN.

Bay 30, 2550-112 Ave S.E. Calgary, AB, T2C 2K2 Telephone: 403-444-3590 Fax: 403-203-0089
DISCLAIMER: THIS DRAWING IS PROTECTED BY COPYRIGHT LAW AND SHOULD NOT BE REPRODUCED IN ANY MANNER OR FOR ANY PURPOSE EXCEPT BY WRITTEN PERMISSION OF CHESAPEAKE UNCOMMON DESIGN. CONTRACTOR SHALL VERIFY AND BE RESPONSIBLE FOR ALL DIMENSIONS AND REPORT ANY ERRORS AND/OR OMISSIONS TO CHESAPEAKE UNCOMMON DESIGN.

Company Rep Initials

Company Rep Initials

Client Initials

Drawing Title

Project

14-08 ER- RICOH

SHOP & BATHROOM FLOOR PLAN

Project

RICOH
CALGARY ALBERTA
Client

RICOH
CALGARY ALBERTA
Client

S:\AUTOCAD\WORKING DRAWINGS\- ER\ER RICOH\ER RICOH CURRENT.dwg, 2/13/2014 10:33:28 AM, 1:1

S:\AUTOCAD\WORKING DRAWINGS\- ER\ER RICOH\ER RICOH CURRENT.dwg, 2/13/2014 10:33:28 AM, 1:1

ID1.2

14-08

ID1.2

14-08

22

23

14-08 ER- RICOH

20

CALGARY

20

Client Initials

Date

FEBRUARY 12, 2014


Drawn Checked

Date

FEBRUARY 12, 2014


Drawn Checked

HH
Drawing Title

HH

SHOP & BATHROOM FLOOR PLAN

CALGARY

BUILDING PERMIT

Ownership / Management Team One of North Americas largest commercial real estate investment firms, Oxford Properties Group owns and manages a portfolio of prime income producing and development properties across Canada and holds interests in real estate assets abroad. Oxford is the global real estate platform for Ontario Municipal Employees Retirement System (OMERS), a Canadian pension fund with approximately $55 billion of assets. Oxford employs over 1,700 professionals with extensive public and private market experience in property real estate and investment management. Oxford owns and manages 9 million square feet of single and multi-tenant industrial buildings, with plans to double this through acquisition and development. Our portfolio features newly constructed buildings with close proximity to major transportation infrastructure, and are engineered with cutting edge technology to meet logistics, loading, production and warehousing needs of tenants today and into the future. Oxfords Operational Excellence Oxford has established an enviable and trusting business relationship with customers as a direct result of the companys commitment to delivering the highest quality of development, asset, and property management services. As one of the largest commercial property managers in Canada, Oxford recognizes that it has an important role to play in the fight against climate change. Oxfords Sustainable Intelligence program was developed to reduce greenhouse gas emissions, conserve energy, minimize waste, and lower water consumption. Oxford leads the way as the first real estate owner in Canada to calculate its greenhouse gas inventory and to set a corporate reduction target. Oxford is committed to being an industry leader in adopting the principles of sustainability and in putting them into measurable action in our properties. Oxfords 310.MAXX service delivery platform is a telephone and web-enabled customer response system for handling building service requests and delivering business services. This platform was an industry first and it continues to outperform industry benchmarks for user satisfaction.

20

19

18

17

16

In broader areas of service delivery such as cleaning and maintenance, Oxford employs innovative central coordination through its National Programs group. This group provides a procurement and quality management layer which leverages Oxfords scale to achieve optimal pricing, specifications, and quality control. Oxfords Development Expertise

Oxfords experienced development team is currently completing 13 projects with a total of 5 million square feet and $4.6 billion in development costs, including new build projects in Canada, the US, and the UK. Operations/Leasing Team: Jeff Miller, Vice President, National Industrial Alistair Pickering, Director, National Industrial Sean Day, Director, Industrial
Bay 30, 2550-112 Ave S.E. Calgary, AB, T2C 2K2 Telephone: 403-444-3590 Fax: 403-203-0089
DISCLAIMER: THIS DRAWING IS PROTECTED BY COPYRIGHT LAW AND SHOULD NOT BE REPRODUCED IN ANY MANNER OR FOR ANY PURPOSE EXCEPT BY WRITTEN PERMISSION OF CHESAPEAKE UNCOMMON DESIGN. CONTRACTOR SHALL VERIFY AND BE RESPONSIBLE FOR ALL DIMENSIONS AND REPORT ANY ERRORS AND/OR OMISSIONS TO CHESAPEAKE UNCOMMON DESIGN.

27, 5080 - 12a Street SE Calgary, AB T2G 5K9 Telephone: 403-271-8333 Fax: 403-233-8222 Mobile: 403-888-4696 Email: kens@chesapeakeud.ca www.chesapeakeud.ca

Company Rep Initials

Client Initials

Date

A
DN

Development Team:

FEBRUARY 12, 2014


Drawn Checked

HH
Drawing Title

20

19

18

17

16

Project

CALGARY ALBERTA
Client

ID1.3
24

14-08

14-08 ER- RICOH

Rob Wheler, Vice President, Development OVERALL FLOOR PLAN David McFarland, Vice President, Construction RICOH Mark Oord, Director, Construction

CALGARY

BUILDING PERMIT

Oxfords dedicated internal development and construction team of 25 professionals leads and coordinates all aspects of real estate development including financial feasibility, selection of consultants, design, planning approvals, budgeting, and construction. Oxford calls upon its strong relationships with top-tier consulting firms to assemble teams tailored to the particular needs of each project.

25

APPENDIX

SCHEDULE V CONTINUED CONCEPTUAL FLOOR PLANS OVERALL PREMISES

APPENDIX I OXFORD PROPERTIES GROUP

LEGEND
Regional Pathway Proposed Regional Pathway

APPENDIX II LOCATION, ACCESS AND AMENITIES

RANGE RD 293

2
QUEEN ELIZABETH II HIGHWAY

L NE

Oxford Airport Business Park is a master planned flagship business park adjacent to Calgary International Airport that will be comprised of 4 million square feet of office, hotel, amenity retail, and premier industrial space. The site is strategically located at the gateway 201 to the airport between Country Hills Boulevard, Airport Trail and Deerfoot Trail. SITES OF INTEREST Oxford Airport Business Park is located in the Stoney Industrial sector with convenient access to major arterial highways and rail networks. HOTELS APPROXIMATE TRAVEL DISTANCES: Calgary International Airport 500 m Deerfoot Trail (Hwy 2) 1.5 km Country Hills Blvd. 3.1 km Stoney Trail 5.9 km 16th Avenue (Hwy 1) 10.6 km Downtown 15.0 km
1. 2. 3. 4. 5. Homewood Suites by Hilton Hampton Inn Best Western Acclaim Hotel Courtyard Marriott
MTIS TRAIL NE

144 AVE NE

144 AVE NE
36 ST NE

201
BLVD N

201

STONEY TRAIL NE

STONEY TRAIL NE

201
MTIS TRAIL NE

S PARK

201

HARVEST H ILL S

OXFORD AIRPORT BUSINESS PARK


2 1 4 2
COUNTRY HILLS BLVD NE
14 ST N

CALGARY, ALBERTA

COUNTRY HILLS BLVD NE

FUTURE HOTELS 1. 2. 3. 4. 5. 6. Wyndham Hotels & Resorts Intercontinental Holiday Inn Wingate by Wyndham Ramada Comfort Inn
4
H TRY LV S B ILL D

2
COUNTRY HILLS BLVD NE

3 6
15 ST NE

4
MTIS TRAIL NE

BARLOW TRAIL NE

STONEY TRAIL NE

STONEY TRAIL NE

B LV DN

LEGEND LEGEND

NE

HAR VE ST

Regional Pathway

CO

HI

UN

LS

5 4 3
RA

2 2 2 1

RETAIL 1. 2. 3. 4. Deerfoot Outlet Mall Calgary Airport Retail Harvest Hills Crossing Country Hills Town Centre
14 ST

DE

ER

FO OT T

NW

BL VD

COFFEE & CONVENIENCE 1. 2. 3. 4. A&W Tim Hortons Wendys Starbucks

Mc K

G NI

IGHT BLVD NE

5. Ramada RETAIL McKNIGHT BLVD NE 6. Comfort Inn 1. Deerfoot Outlet Mall RETAIL 2. Calgary Airport Retail 3. Hills Crossing 1. Harvest Deerfoot Outlet Mall 4. Hills Town Centre 2. Country Calgary Airport Retail 3. Harvest Hills Crossing RESTAURANTS 4. Country Hills Town Centre 1. RESTAURANTS 2. Moxies 3. Palace North 1. Raj Cactus Club 4. 2. Original MoxiesJoe's Restaurant 5. Restaurant 3. Pacinis Raj Palace North
68 ST NE STONEY TRAIL NE

HT

NORTH

MTIS TRAIL NE

68 ST NE

36 ST NE

Proposed Regional Pathway Regional Pathway 96 Regional AVE NE Proposed Pathway


60 ST NE

IL

68 ST NE

96 AVE NE

96 AVE NE

AIRPORT TRAIL TUNNEL

96 AVE NE

60 ST NE

BED

DIN

GTO N

TRA

IL N

SITES OF INTEREST SITES OF INTEREST


80 AVE NE

2
CALGARY INTERNATIONAL AIRPORT
McCALL WAY NE

80 AVE NE

HOTELS

4 1. Homewood Suites by Hilton HOTELS 2. Hampton Inn 3. WesternSuites by Hilton 1. Best Homewood 4. Hotel 2. Acclaim Hampton Inn 5. Courtyard Marriott 3. Best Western 4. Acclaim Hotel FUTURE HOTELS 5. Courtyard Marriott 1. Wyndham Hotels & Resorts FUTURE HOTELS 2. Intercontinental 3. Inn Hotels & Resorts 1. Holiday Wyndham 4. Wingate by Wyndham 2. Intercontinental 5. 3. Ramada Holiday Inn 6. Inn 4. Comfort Wingate by Wyndham
68 ST NE

RESTAURANTS

NW

36 ST NE

CE

201

1. 2. 3. 4. 5.

Cactus Club Moxies Raj Palace North Original Joe's Restaurant Pacinis Restaurant

NT

84 ST NE

2
2
64 AVE NE

64 AVE NW

RE N ST W

1
F DEER

4 3

64 AVE NE
68 ST NE

FITNESS
4 ST NW

64 AVE NE

1. GoodLife Fitness 2. Cardel Place 3. Curves

2 2
McKNIGHT BLVD NE

5 2
McKNIGHT BLVD NE McKNIGHT BLVD NE

YT STONE RAIL NE

McKNIGHT BLVD NE

RA TT OO

IL

1 1

CENTRE ST NW

BARLOW TRAIL NE

4 ST NW

32 AVE NE

32 AVE NE

32 AVE NE

14 ST NW

36 ST NE

68 ST NE

10 ST NW

52 ST NE

2 1

16 AVE NE

TRANS-CANADA HWY

16 AVE NE

TRANS-CANADA HWY

16 AVE NE

Cactus Club 32 AVE NE

NORTH

52 ST NE

26

4. Original Joe's Restaurant FITNESS 5. Pacinis Restaurant

201

27