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Facility Lease Agreement

 

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Title:

Facility Lease Agreement

Entities:

Madison Gas & Electric Co; MGE Energy, Inc.

Date:

2005

Size:

Preview shows 22KB of 133KB total

Price:

$55

ID:

#1350225

 

 

► Leasing ► Leases ► Facility Lease Agreements
► Utilities ► Electric Utilities

 

 

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FACILITY LEASE AGREEMENT

between

MGE POWER WEST CAMPUS, LLC

as Lessor

and

MADISON GAS AND ELECTRIC COMPANY

as Lessee





Dated as of November __, 2003



West Campus Cogeneration Project
Madison, Wisconsin





TABLE OF CONTENTS

PAGE

ARTICLE 1  DEFINITIONS; RULES OF INTERPRETATION

ARTICLE 2  CONSTRUCTION OF THE LEASED FACILITY

2.1  Construction of the Leased Facility.

2.2  Failure to Achieve Commercial Operation by the Required Commercial Operation Date.

2.3  Lessors Failure.

2.4  Lessees Failure; Force Majeure.

2.5  Termination of the Facility Lease

2.6  Payment of Purchase Price

2.7  Lease of Leased Facility

2.8  Purchase Option

ARTICLE 3  TESTING PROCEDURES; PERFORMANCE LEVELS

3.1  Testing Procedures

3.2  Commercial Operation Test

3.3  Test Fuel and Test Power Procedures

3.4  Minimum Performance Levels

3.5  Guaranteed Performance Levels

3.6  Facility Appraisal.

ARTICLE 4  NATURE OF TRANSACTION

4.1  Nature of Transaction

4.2  UCC INAPPLICABLE

4.3  Security Interest

ARTICLE 5  RENT

5.1  Rent Payments.

5.2  Place and Manner of Payment.

5.3  Net Lease.

ARTICLE 6  REPRESENTATIONS AND WARRANTIES

6.1  Representations and Warranties of the Parties

6.2  Special Lessor Representations

6.3  DISCLAIMER OF WARRANTIES

6.4  Assignment of Warranties

6.5  Claims Against Third Parties Relating to the Leased Facility

ARTICLE 7  USE AND MAINTENANCE OF LEASED FACILITY

7.1  Use and Possession of Leased Facility

7.2  Maintenance of Leased Facility

7.3  Removal of Components.

ARTICLE 8  IMPROVEMENTS

8.1  Improvements.

8.2  Title

8.3  End of Term Improvements.

ARTICLE 9  SPECIAL LESSOR COVENANTS

9.1  Change in Business

9.2  Ownership of Assets

9.3  No Subsidiaries

9.4  Other Indebtedness

9.5  Amendments to Constituent Documents

9.6  Maintenance of Accounts; Maintenance of Records; Commingling of Funds; Arms-Length Transactions.

9.7  Independent Director

ARTICLE 10  INSPECTION AND RIGHT TO ENTER

10.1  Inspection.

10.2  Right to Enter.

ARTICLE 11  RISK OF LOSS; INSURANCE

11.1  Construction Term.

11.2  Lease Term.

11.3  Insurance.

ARTICLE 12  END OF TERM OPTIONS AND TERMINATION

12.1  Election Notice.

12.2  Renewal.

12.3  End of Term Purchase of Leased Facility

12.4  Termination

12.5  Purchase Limitation

ARTICLE 13  RETURN OF LEASED FACILITY

13.1  Return of Leased Facility.

13.2  Condition of Leased Facility Upon Return

ARTICLE 14  EVENTS OF DEFAULT

14.1  Payment Default

14.2  Misrepresentation

14.3  Covenant Defaults

14.4  Judgment Default

14.5  Bankruptcy

14.6  Lack of Authorizations

ARTICLE 15  REMEDIES

15.1  Construction Term Remedies.

15.2  Lease Term Remedies.

15.3  Limitation on Liability

15.4  No Delay or Omission to be Construed as Waiver

ARTICLE 16  LIENS

ARTICLE 17  INDEMNIFICATION

17.1  General Indemnity

17.2  Tax Indemnity

17.3  Survival

ARTICLE 18  COMPLIANCE AUDIT/DISPUTE RESOLUTION

18.1  Compliance Audit.

18.2  General Provisions

18.3  Negotiation

18.4  Binding Arbitration.

18.5  Timing; Discovery; Awards, Fees and Expenses.

18.6  Deadlines

18.7  Binding Upon Parties

18.8  Continued Performance

18.9  Survival

ARTICLE 19  CONFIDENTIALITY OF INFORMATION

19.1  Non-Disclosure Obligations

19.2  Return of Material

19.3  Law

ARTICLE 20  SUBORDINATION

20.1  Subordination.

20.2  Additional Cure Period.

20.3  Limitations.

ARTICLE 21  ESTOPPEL CERTIFICATES; FINANCIAL STATEMENTS

21.1  Estoppel Certificates.

21.2  Financial Statements.

ARTICLE 22  MISCELLANEOUS

22.1  Applicable Law

22.2  Waiver of Jury Trial

22.3  Quiet Enjoyment

22.4  Notices

22.5  Counterparts

22.6  Severability

22.7  Transfer Restrictions.

22.8  Third-Party Beneficiaries

22.9  Entire Agreement

22.10  Headings and Table of Contents

22.11  Schedules, Annexes and Exhibits

22.12  No Joint Venture

22.13  Amendments and Waivers

22.14  Survival

22.15  Limitation on Liability

22.16  Further Assurances







Schedule 1.1

Definitions

Schedule 2.2

Delay Damages

Schedule 3.2

Commercial Operation Test

Schedule 3.3


 

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