Exhibit 10.28

INDUSTRIAL BUILDING LEASE

BETWEEN

560 ARAPEEN LLC, SEVENTH AVENUE LLC, FIRST AVENUE LLC

ALASKA LIMITED LIABILITY COMPANIES

(“LANDLORD”)

AND

AMEDICA CORP., A DELAWARE CORPORATION (“TENANT”)

DATE OF LEASE February 20, 2006

1

TABLE OF CONTENTS

2

3

INDUSTRIAL BUILDING LEASE AGREEMENT

This Industrial Building Lease Agreement (“Lease”), made and entered into on this 20^th day of February, 2006, between 560 Arapeen LLC, Seventh Avenue LLC, First Avenue LLC, also known as 560 Arapeen Co-Tenancy (“Landlord”) and Amedica Corp., a Delaware corporation (“Tenant”).

WITNESSETH:

1. Definitions. The following are definitions of some of the defined terms used in this Lease. The definitions of other defined terms are found throughout this Lease.

The Base Rent due for the first month rent is payable during the Lease Term (hereinafter defined) shall be paid by Tenant to Landlord contemporaneously with Tenant’s execution hereof.

2

3

Tenant:

Amedica Corp.

Ashok Khandkar, President

615 Arapeen Drive, Suite 320

Salt Lake City, Utah 84108

Landlord:

CB Richard Ellis

2755 E. Cottonwood Parkway, Suite 100

Salt Lake City, UT 84121

Attn: Property Manager

with a copy to:

Stuart C. Bond

3201 C Street, Suite 200

Anchorage, Alaska 99503

Payments of Rent only shall be made payable to the order of.

560 Arapeen LLC

at the address of the Property Manager, or such other name and address as Landlord shall, from time to time, designate.

4

2. Lease Grant. Subject to and upon the terms herein set forth, Landlord leases to Tenant and Tenant leases from Landlord the Premises together with the right, in common with other tenants and users of the Building, to use the Common Areas.

3. Adjustment of Commencement Date/Possession.

5

4. Use.

The Premises shall be used for the Permitted Use and for no other purpose unless permitted by the University of Utah. The Ground Lease limits the Permitted Uses to the following: laboratories, offices and prototype production facilities or the research related assembly of high technology equipment of components; retail uses incidental to and in support of the above; such as cafeterias, restaurants, shops, and such service facilities as banking and postal services, conducted primarily for the convenience of employees; support and maintenance shops for the above; and parking, parking structures, and driveways incidental to building use. Tenant agrees not to use or permit the use of the Premises for any purpose which is illegal, dangerous to life, limb or property or which, in Landlord’s sole judgment, creates a nuisance or which would increase the cost of insurance coverage with respect to the Building. Tenant will conduct its business and control its agents, servants, employees, customers, licensees, and invitees in such a manner as not to interfere with, annoy or disturb other tenants or Landlord in the management of the Building and the Property. Tenant will maintain the Premises in a clean and healthful condition, and comply with all laws, ordinances, orders, rules and regulations of any governmental entity with reference to the use, condition, configuration or occupancy of the Premises. Tenant, within ten (10) days after the receipt thereof, shall provide Landlord with copies of any notices it receives with respect to a violation or alleged violation of any such laws, ordinances, orders, rules and regulations. Tenant, at its expense, will comply with the rules and regulations of the Building attached hereto as Exhibit B and such other rules and regulations adopted and altered by Landlord from time-to-time and will cause all of its agents, employees, invitees and visitors to do so. All such changes to rules and regulations will be reasonable and shall be sent by Landlord to Tenant in writing.

5. Base Rent.

CB Richard Ellis

2755 E. Cottonwood Parkway, Suite 100

Salt Lake City, UT 84121

Attn: Property Manager

6

6. Security Deposit. The Security Deposit shall be held by Landlord without liability for interest and as security for the performance by Tenant of Tenant’s covenants and obligations under this Lease including but not limited to those set forth in Section 10 hereof, it being expressly understood that the Security Deposit shall not be considered an advance payment of Rent or a measure of Tenant’s liability for damages in case of default by Tenant. Landlord shall have no fiduciary responsibilities or trust obligations whatsoever with regard to the Security Deposit and shall not assume the duties of a trustee for the Security Deposit. Landlord may, from time-to-time, without prejudice to any other remedy and without waiving such default, use the Security Deposit to the extent necessary to cure or attempt to cure, in whole or in part, any default of Tenant hereunder. Following any such application of the Security Deposit, Tenant shall pay to Landlord on demand the amount so applied in order to restore the Security Deposit to its original amount. if Tenant is not in default at the termination of this Lease, the balance of the Security Deposit remaining after any such application shall be returned by Landlord to Tenant within sixty (60) days thereafter. If Landlord transfers its interest in the Premises during the term of this Lease, Landlord may assign the Security Deposit to the transferee and thereafter shall have no further liability for the return of such Security Deposit. Tenant agrees to look solely to such transferee or assignee or successor thereof for the return of the Security Deposit. Landlord and its successors and assigns shall not be bound by any actual or attempted assignment or encumbrance of the Security Deposit by Tenant. Landlord shall not be required to keep the Security Deposit separate from its other accounts.

7

7. Services to be Furnished by Landlord.

8

8. Leasehold Improvements/Tenant’s Property. All fixtures, equipment, improvements and appurtenances attached to, or built into, the Premises at the commencement of or during the Lease Term, whether or not by, or at the expense of, Tenant (“Leasehold Improvements”), shall be and remain a part of the Premises; shall be the property of Landlord; and shall not be removed by Tenant except as expressly provided herein. The parties anticipate Tenant will have a number of fixtures and equipment items to install which will remain the property of Tenant and must be removed at the termination of the Lease, with the Premises to be restored by Tenant to their original condition, normal wear and tear excepted. Tenant shall provide a list of the equipment and fixtures which will remain Tenant’s property, and the parties will mutually agree on installation process which shall be reasonably satisfactory to Landlord. All unattached and moveable partitions, trade fixtures, moveable equipment or furniture located in the Premises and acquired by or for the account of Tenant, without expense to Landlord, which can be removed without structural damage to the Building or Premises, and all personally brought into the Premises by Tenant (“Tenant’s Property”) shall be owned and insured by Tenant. Landlord may, nonetheless, at any time prior to, or within one (1) month after, the expiration or earlier termination of this Lease or Tenant’s right to possession, require Tenant to remove any Leasehold improvements performed by or for the benefit of Tenant and all electronic, phone and data cabling as are designated by Landlord (the “Required Removables”) at Tenant’s sole cost. In the event that Landlord so elects, Tenant shall remove such Required Removables within ten (10) days after notice from Landlord, provided that in no event shall Tenant be required to remove such Required Removables prior to the expiration or earlier termination of this Lease or Tenant’s right to possession. In addition to Tenant’s obligation to remove the Required Removables, Tenant shall repair any damage caused by such removal and perform such other work as is reasonably necessary to restore the Premises to a “move in” condition. If Tenant fails to remove any specified Required Removables or to perform any required repairs and restoration within the time period specified above, Landlord, at Tenant’s sole cost and expense, may remove the Required Removables (and repair any damage occasioned thereby) and dispose thereof or deliver the Required Removables to any other place of business of Tenant, or warehouse the same, and Tenant shall pay the cost of such removal, repair, delivery, or warehousing of the Required Removables within five (5) days after demand from Landlord.

9. Signage. Landlord shall provide and install, at Tenant’s cost, all letters or numerals on the interior entrance to the Premises; all such letters and numerals shall be in the standard graphics for the Building and no others shall be used or permitted on the Premises without Landlord’s prior written consent. In addition, Landlord will list Tenant’s name in the Building’s nonexclusive directory, if any. No signage shall be permitted on the exterior of the Building.

10. Repairs and Alterations by Tenant.

9

10

11. Use of Electrical Services by Tenant.

11

12. Entry by Landlord.

Tenant shall permit Landlord or its agents or representatives to enter into and upon any part of the Premises to inspect the same, or to show the Premises to prospective purchasers, mortgagees, tenants (during the last (12) twelve months of the Lease Term or earlier in connection with a potential relocation) or insurers, or to clean or make repairs, alterations, or additions thereto, including any work that Landlord deems necessary for the safety, protection or preservation of the Building or any occupants thereof, or to facilitate repairs, alterations or additions to the Building or any other tenant’s premises. Except for any entry by Landlord in an emergency situation or to provide normal cleaning and janitorial service, Landlord shall provide Tenant with reasonable prior notice of any entry into the Premises, which notice may be given verbally. Landlord shall have the right to temporarily close the Premises or the Building to perform repairs, alterations or additions in the Premises or the Building, provided that Landlord shall use reasonable efforts to perform all such work on weekends and after Normal Business Hours, Entry by Landlord hereunder shall not constitute a constructive eviction or entitle Tenant to any abatement or reduction of Rent by reason thereof.

13. Assignment and Subletting.

12

13

14. Mechanic’s Liens. Tenant will not permit any mechanic’s liens or other liens to be placed upon the Premises, the Building, or the Property and nothing in this Lease shall be deemed or construed in any way as constituting the consent or request of Landlord, express or implied, by inference or otherwise, to any person for the performance of any labor or the furnishing of any materials to the Premises, the Building, or the Property or any part thereof, nor as giving Tenant any right, power, or authority to contract for or permit the rendering of any services or the furnishing of any materials that would give rise to any mechanic’s or other liens against the Premises, the Building, or the Property. In the event any such lien is attached to the Premises, the Building, or the Property, then, in addition to any other right or remedy of Landlord, Landlord may, but shall not be obligated to, discharge the same. Any amount paid by Landlord for any of the aforesaid purposes including, but not limited to, reasonable attorneys’ fees, shall be paid by Tenant to Landlord promptly on demand as Additional Rent. Tenant shall within ten (10) days of receiving such notice of lien or claim (a) have such lien or claim released or (b) deliver to Landlord a bond in form, content, amount and issued by surety, satisfactory to Landlord, indemnifying, protecting, defending and holding harmless the Indemnities against all costs and liabilities resulting from such lien or claim and the foreclosure or attempted foreclosure thereof. Tenant’s failure to comply with the provisions of the foregoing sentence shall be deemed an Event of Default under Section 22. hereof entitling Landlord to exercise all of its remedies therefor without the requirement of any additional notice or cure period.

14

15. Insurance.

15

16

16. Indemnity. To the extent not expressly prohibited by law, neither Landlord nor Building Manager nor any of their respective officers, directors, employees, members, managers, or agents shall be liable to Tenant, or to Tenant’s agents, servants, employees, customers, licensees. or invitees for any injury to person or damage to property caused by any act, omission, or neglect of Tenant, its agents, servants, employees, Customers, invitees, licensees or by any other person entering the Building or upon the Property under the invitation of Tenant or arising out of the use of the Property, Building or Premises by Tenant and the conduct of its business or out of a default by Tenant in the performance of its obligations hereunder. Tenant hereby indemnifies and holds Landlord and Building Manager and their respective officers, directors, employees, members, managers and agents (“Indemnitees”), harmless from all liability and claims for any property damage, or bodily injury or death of, or personal injury to, a person in or on the Premises, or at any other place, including the Property or the Building and this indemnity shall be enforceable to the full extent whether or not such liability and claims are the result of the sole, joint or concurrent acts, negligent or intentional, or otherwise, of Tenant, or its employees, agents, servants, customers, invitees or licensees. Landlord hereby indemnifies and holds Tenant harmless from all liability and claims for any property damage, or bodily injury or death of, or personal injury to, a person in or on the Premises, or at any other place, including the Property or the Building caused by the negligence or willful conduct of Landlord. Notwithstanding the terms of this Lease to the contrary, the terms of this Section shall survive the expiration or earlier termination of this Lease.

17. Damages from Certain Causes. To the extent not expressly prohibited by law, Landlord shall not be liable to Tenant or Tenant’s employees, contractors, agents, invitees or customers, for any injury to person or damage to property sustained by Tenant or any such party or any other person claiming through Tenant resulting from any accident or occurrence in the Premises or any other portion of the Building caused by the Premises or any other portion of the Building becoming out of repair or by defect in or failure of equipment, pipes, or wiring, or by broken glass, or by the backing up of drains, or by gas, water, steam, electricity, or oil leaking,

17

escaping or flowing into the Premises (except where due to Landlord’s negligent failure to make repairs required to be made pursuant to other provisions of this Lease, after the expiration of a reasonable time after written notice to Landlord of the need for such repairs), nor shall Landlord be liable to Tenant for any loss or damage that may be occasioned by or through the acts or omissions of other tenants of the Building or of any other persons whomsoever, including. but not limited to riot, strike, insurrection, war, court order, requisition, order of any governmental body or authority, acts of God, fire or theft.

18. Casualty Damage. If the Premises or any part thereof shall be damaged by fire or other casualty, Tenant shall give prompt written notice thereof to Landlord. In case the Building shall be so damaged that substantial alteration or reconstruction of the Building shall, in Landlord’s reasonable opinion, be required and Landlord’s mortgagee requires that the insurance proceeds payable as a result of a casualty be applied to the payment of the mortgage debt or in the event of any material uninsured loss to the Building, Landlord may, at its option, terminate this Lease by notifying Tenant in writing of such termination within ninety (90) days after the date of such casualty. If Landlord does not thus elect to terminate this Lease, Landlord shall commence and proceed with reasonable diligence to restore the Building, and the improvements located within the Premises, if any, for which Landlord had financial responsibility pursuant to the Work Letter Agreement attached hereto as Exhibit D (except that Landlord shall not be responsible for delays not within the control of Landlord) to substantially the same condition in which it was immediately prior to the happening of the casualty. Notwithstanding the foregoing, Landlord’s obligation to restore the Building, and the improvements located within the Premises, if any, for which Landlord had financial responsibility pursuant to the Work Letter Agreement, shall not require Landlord to expend for such repair and restoration work more than the insurance proceeds actually received by the Landlord as a result of the casualty and Landlord’s obligation to restore shall be further limited so that Landlord shall not be required to expend for the repair and restoration of the improvements located within the Premises, if any, for which Landlord had financial responsibility pursuant to the Work Letter Agreement, more than the dollar amount of the Allowance, if any, described in the Work Letter Agreement. When the repairs described in the preceding two sentences have been completed by Landlord, Tenant shall complete the restoration of all improvements, including furniture, fixtures and equipment, which are necessary to permit Tenant’s reoccupancy of the Premises. Except as set forth above, all cost and expense of reconstructing the Premises shall be borne by Tenant, and Tenant shall present Landlord with evidence satisfactory to Landlord of Tenant’s ability to pay such costs prior to Landlord’s commencement of repair and restoration of the Premises. Landlord shall not be liable for any inconvenience or annoyance to Tenant or injury to the business of Tenant resulting in any way from such damage or the repair thereof, except that, subject to the provisions of the next sentence, Landlord shall allow Tenant a fair diminution of Rent during the time and to the extent the Premises are unfit for occupancy. If the Premises or any other portion of the Property is damaged by fire or other casualty resulting from the fault or negligence of Tenant or any of Tenant’s agents, employees, or invitees, the rent hereunder shall not be diminished during the repair of such damage and Tenant shall be liable to Landlord for the cost of the repair and restoration of the Property caused thereby to the extent such cost and expense is not covered by insurance proceeds.

19. Condemnation. If the whole or any substantial part of the Premises or if the Building or any portion thereof which would leave the remainder of the Building unsuitable for use as an

18

industrial building comparable to its use on the Commencement Date, or if the land on which the Building is located or any material portion thereof, shall be taken or condemned for any public or quasi-public use under governmental law, ordinance or regulation, or by right of eminent domain, or by private purchase in lieu thereof, then Landlord may, at its option, terminate this Lease and the rent shall be abated during the unexpired portion of this Lease, effective when the physical taking of said Premises or said portion of the Building or land shall occur. In the event this Lease is not terminated, the rent for any portion of the Premises so taken or condemned shall be abated during the unexpired term of this Lease effective when the physical taking of said portion of the Premises shall occur. All compensation awarded for any such taking or condemnation, or sale proceeds in lieu thereof, shall be the property of Landlord, and Tenant shall have no claim thereto, the same being hereby expressly waived by Tenant, except for any portions of such award or proceeds which are specifically allocated by the condemning or purchasing party for the taking of or damage to trade fixtures of Tenant, which Tenant specifically reserves to itself.

20. Hazardous Substances.

19

20

21. Americans with Disabilities Act. Tenant agrees to comply with all requirements of the Americans with Disabilities Act (Public Law (July 26, 1990) (“ADA”)) applicable to the Premises and such other current acts or other subsequent acts, (whether federal or state) addressing like issues as are enacted or amended. Landlord agrees to comply with all requirements of the ADA applicable to other portions of the Building. Tenant agrees to indemnify and hold Landlord harmless from any and all expenses, liabilities, costs or damages suffered by Landlord as a result of additional obligations which may be imposed on the Building or the Property under of such acts as a result of Tenant’s operations and/or occupancy. Tenant acknowledges that it will be wholly responsible for any provision of the Lease which may be construed as authorizing a violation of the ADA. Any such provision shall be interpreted in a manner which permits compliance with the ADA and is hereby amended to permit such compliance.

22. Events of Default.

21

23. Remedies.

22

Landlord shall not be required to serve Tenant with any notices or demands as a prerequisite to its exercise of any of its rights or remedies under this Lease, other than those notices and demands specifically required under this Lease.

23

24

25

26

24. No Waiver.

No failure of Landlord to declare any default immediately upon its occurrence, or delay in taking any action in connection with an event of default. shall constitute a waiver of such default, nor shall it constitute an estoppel against Landlord, but Landlord shall have the right to declare the default at any time and take such action as is lawful or authorized under this Lease. Failure by Landlord to enforce its rights with respect to any one default shall not constitute a waiver of its rights with respect to any subsequent default.

25. Peaceful Enjoyment.

Tenant shall, and may peacefully have, hold, and enjoy the Premises, subject to the other terms hereof, provided that Tenant pays the Rent and other sums herein recited to be paid by Tenant and timely performs all of Tenant’s covenants and agreements herein contained. This covenant and any and all other covenants of Landlord shall be binding upon Landlord and its successors only with respect to breaches occurring during its or their respective periods of ownership of the Landlord’s interest hereunder.

26. Substitution. Intentionally Omitted.

27. Holding Over.

In the event of holding over by Tenant after expiration or other termination of this Lease or in the event Tenant continues to occupy the Premises after the termination of Tenant’s right of possession pursuant to Section 23.A(3) hereof, occupancy of the Premises subsequent to such termination or expiration shall be that of a tenancy at sufferance and in no event for month-to-month or year-to-year. Tenant shall, throughout the entire holdover period, be subject to all the terms and provisions of this Lease and shall pay for its use and occupancy an amount (on a per month basis without reduction for any partial months during any such holdover) equal to one hunched twenty-five percent (125%) of (a) the greater of then current market rate, or (b) the Base Rent and Additional Rent which would have been applicable had the Lease Term continued through the period of such holding over by Tenant. No holding over by Tenant or payments of money by Tenant to Landlord after the expiration of the Lease Term shall be construed to extend the Lease Term or prevent Landlord from recovery of immediate possession of the Premises by summary proceedings or otherwise unless Landlord has sent written notice to Tenant that Landlord has elected to extend the Lease Term. In addition to the obligation to pay the amounts set forth above during any such holdover period, Tenant shall also be liable to Landlord for all

27

damages, including, without limitation, any consequential damages, which Landlord may suffer by reason of any holding over by Tenant and Tenant shall also indemnify Landlord against any and all claims made by any other tenant or prospective tenant against Landlord for delay by Landlord in delivering possession of the Premises to such other tenant or prospective tenant.

28. Subordination to Mortgage/Estoppel Certificate.

Tenant accepts this Lease subject and subordinate to any mortgage, deed of trust or other lien presently existing or hereafter arising upon the Premises, or upon the Building and/or the Property and to any renewals, modifications, refinancings and extensions thereof but Tenant agrees that any such mortgagee shall have the right at any time to subordinate such mortgage, deed of trust or other lien to this Lease on such terms and subject to such conditions as such mortgagee may deem appropriate in its discretion. The provisions of the foregoing sentence shall be self-operative and no further instrument of subordination shall be required. However, Landlord is hereby irrevocably vested with full power and authority to subordinate this Lease to any mortgage, deed of trust or other lien now existing or hereafter placed upon the Premises, or the Building and/or the Property and Tenant agrees within ten (10) days after demand to execute such further instruments subordinating this Lease or attorning to the holder of any such liens as Landlord may request. The terms of this Lease are subject to approval by the Landlord’s existing lender(s) and any lender(s) who, at the time of the execution of this Lease, have committed or are considering committing to Landlord to make a loan secured by all or any portion of the Property, and such approval is a condition precedent to Landlord’s obligations hereunder. In the event that Tenant should fail to execute any subordination or other agreement required by this Section promptly as requested, Tenant hereby irrevocably constitutes Landlord as its attorney-in-fact to execute such instrument in Tenant’s name, place and stead, it being agreed that such power is one coupled with an interest in Landlord and is accordingly irrevocable. Tenant agrees that it will from time-to-time upon request by Landlord execute and deliver to such persons as Landlord shall request a statement in recordable form certifying that this Lease is unmodified and in full force and effect (or if there have been modifications, that the same is in full force and effect as so modified), stating the dates to which rent and other charges payable under this Lease have been paid, stating that Landlord is not in default hereunder (or if Tenant alleges a default stating the nature of such alleged default) and further stating such other matters as Landlord shall reasonably require. Tenant agrees periodically to furnish within ten (10) days after so requested by Landlord, ground lessor or the holder of any deed of trust, mortgage or security agreement covering the Building, the Property, or any interest of Landlord therein, a certificate signed by Tenant certifying (a) that this Lease is in full force and effect and unmodified (or if there have been modifications, that the same is in full force and effect as modified and stating the modifications), (b) as to the Commencement Date and the date through which Base Rent and Tenant’s Additional Rent have been paid, (c) that Tenant has accepted possession of the Premises and that any improvements required by the terms of this Lease to be made by Landlord have been completed to the satisfaction of Tenant, (d) that except as stated in the certificate no rent has been paid more than thirty (30) days in advance of its due date, (e) that the address for notices to be sent to Tenant is as set forth in this Lease (or has been changed by notice duly given and is as set forth in the certificate), (f) that except as stated in the certificate, Tenant, as of the date of such certificate, has no charge, lien, or claim of offset against rent due or to become due, (g) that except as stated in the certificate, Landlord is not then in default under this Lease, (h) as to the amount of the Approximate Rentable Area of the Premises then occupied by Tenant, (i)

28

that there are no renewal or extension options, purchase options, rights of first refusal or the like in favor of Tenant except as set forth in this Lease, 0) the amount and nature of accounts payable to Landlord under terms of this Lease, and (k) as to such other matters as may be requested by Landlord or ground lessor or the holder of any such deed of trust, mortgage or security agreement. Any such certificate may be relied upon by any ground lessor, prospective purchaser, secured party, mortgagee or any beneficiary under any mortgage, deed of trust on the Building or the Property or any part thereof or interest of Landlord therein.

29. Notice.

Any notice required or permitted to be given under this Lease or by law shall be deemed to have been given if it is written and delivered in person or mailed by Express or Certified mail, postage prepaid, or sent by a nationally recognized overnight delivery service to the party who is to receive such notice at the address specified in Section 1.Y. of this Lease. When so mailed, the notice shall be deemed to be effective upon receipt or refusal to accept delivery. The address specified in Section 1.Y, of this Lease may be changed from time to time by giving written notice thereof to the other party.

30. Intentionally Omitted.

31. Surrender of Premises.

Upon the termination, whether by lapse of time or otherwise, or upon any termination of Tenant’s right to possession without termination of the Lease, Tenant will at once surrender possession and vacate the Premises, together with all Leasehold improvements (except those Leasehold Improvements Tenant is required to remove pursuant to Section 8 hereof), to Landlord in good condition and repair, ordinary wear and tear excepted; conditions existing because of Tenant’s failure to perform maintenance, repairs or replacements as required of Tenant under this Lease shall not be deemed “reasonable wear and tear.” Tenant shall surrender to Landlord all keys to the Premises and make known to Landlord the explanation of all combination locks which Tenant is permitted to leave on the Premises. Subject to the Landlord’s rights under Section 23 hereof, if Tenant fails to remove any of Tenant’s Property within one (1) day after the termination of this Lease, or Tenant’s right to possession hereunder, Landlord, at Tenant’s sole cost and expenses, shall be entitled to remove and/or store such Tenant’s Property and Landlord shall be in no event be responsible for the value, preservation or safekeeping thereof. Tenant shall pay Landlord, upon demand, any and all reasonable expenses caused by such removal and all storage charges against such property so long as the same shall be in possession of Landlord or under the control of Landlord. In addition, if Tenant fails to remove any Tenant’s Property from the Premises or storage, as the case may be, within ten (10) days after written notice from Landlord, Landlord, at its option, may deem all or any part of such Tenant’s Property to have been abandoned by Tenant and title thereof shall immediately pass to Landlord under this Lease as by a bill of sale.

32. Rights Reserved to Landlord.

Landlord reserves the following rights, exercisable without notice, except as provided herein, and without liability to Tenant for damage or injury to property, person or business and

29

without affecting an eviction or disturbance of Tenant’s use or possession or giving rise to any claim for setoff or abatement of rent or affecting any of Tenant’s obligations under this Lease: (1) upon thirty (30) days prior notice to change the name or street address of the Building; (2) to install and maintain signs on the exterior and interior of the Building: (3) to designate and approve window coverings to present a uniform exterior appearance; (4) to make any decorations, alterations, additions, improvements to the Building or Property, or any part thereof (including, with prior notice, the Premises) which Landlord shall desire, or deem necessary for the safety, protection, preservation or improvement of the Building or Property, or as Landlord may be required to do by law; (5) to have access to the Premises at reasonable hours to perform its duties and obligations and to exercise its rights under this Lease; (6) to retain at all times and to use in appropriate instances, pass keys to all locks within and to the Premises; (7) to reasonably approve the weight, size, or location of heavy equipment. or articles within the Premises; (8) to close or restrict access to the Building at all times other than Normal Business Hours subject to Tenant’s right to admittance at all times under such regulations as Landlord may prescribe from time to time, or to close (temporarily or permanently) any of the entrances to the Building; provided Landlord shall have the right to restrict or prohibit access to the Building or the Premises at any time Landlord determines it is necessary to do so to minimize the risk of injuries or death to persons or damage to property; (9) to change the arrangement and/or location of entrances of passageways, doors and doorways, corridors, elevators, stairs, toilets and public parts of the Building or Property; (10) to regulate access to telephone, electrical and other utility closets in the Building and to require use of designated contractors for any work involving access to the same; (11) if Tenant has vacated the Premises during the last six (6) months of the Lease Term, to perform additions, alterations and improvements to the Premises in connection with a reletting or anticipated reletting thereof without being responsible or liable for the value or preservation of any then existing improvements to the Premises; and (12) to grant to anyone the exclusive right to conduct any business or undertaking in the Building provided Landlord’s exercise of its rights under this clause 12, shall not be deemed to prohibit Tenant from the operation of its business in the Premises and shall not constitute a constructive eviction.

33. Miscellaneous,

30

be. Whenever a period of time is herein prescribed for the taking of any action by Landlord or Tenant (other than the payment of Rent and all other such sums of money as shall become due hereunder), such party shall not be liable or responsible for, there shall be excluded from the computation of such period of time, any delays due to events of Force Majeure.

31

34. Entire Agreement.

This Lease, including the following Exhibits:

Exhibit A - Outline and Location of Premises

Exhibit B - Rules and Regulations

Exhibit C - Payment of Operating Expenses

Exhibit D - Work Letter

Exhibit E - Additional Provisions

constitutes the entire agreement between the parties hereto with respect to the subject matter of this Lease and supersedes all prior agreements and understandings between the parties related to the Premises, including all lease proposals, letters of intent and similar documents. Tenant expressly acknowledges and agrees that Landlord has not made and is not making, and Tenant, in executing and delivering this Lease, is not relying upon, any warranties, representations, promises or statements, except to the extent that the same are expressly set forth in this Lease. All understandings and agreements heretofore had between the parties are merged in this Lease which alone fully and completely expresses the agreement of the parties, neither party relying upon any statement or representation not embodied in this Lease. This Lease may be modified only be a written agreement signed by Landlord and Tenant. Landlord and Tenant expressly agree that there are and shall be no implied warranties of merchantibility, habitability, suitability, fitness for a particular purpose or of any other kind arising out of this Lease, all of which are hereby waived by Tenant, and that there are no warranties which extend beyond those expressly set forth in this Lease.

32

35. LIMITATION OF LIABILITY.

EXCEPT TO THE EXTENT SPECIFICALLY ADDRESSED HEREIN, TENANT SHALL NOT HAVE THE RIGHT TO AN ABATEMENT OF RENT OR TO TERMINATE THIS LEASE AS A RESULT OF LANDLORD’S DEFAULT AS TO ANY COVENANT OR AGREEMENT CONTAINED IN THIS LEASE OR AS A RESULT OF THE BREACH OF ANY PROMISE OR INDUCEMENT IN CONNECTION HEREWITH, WHETHER IN THIS LEASE OR ELSEWHERE AND TENANT HEREBY WAIVES SUCH REMEDIES OF ABATEMENT OF RENT AND TERMINATION. TENANT HEREBY AGREES THAT TENANT’S REMEDIES FOR DEFAULT HEREUNDER OR IN ANY WAY ARISING IN CONNECTION WITH THIS LEASE INCLUDING ANY BREACH OF ANY PROMISE OR INDUCEMENT OR WARRANTY, EXPRESSED OR IMPLIED, SHALL BE LIMITED TO SUIT FOR DIRECT AND PROXIMATE DAMAGES PROVIDED THAT TENANT HAS GIVEN THE NOTICES AS HEREINAFTER REQUIRED. NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED IN THIS LEASE, THE LIABILITY OF LANDLORD TO TENANT FOR ANY DEFAULT BY LANDLORD UNDER THIS LEASE SHALL BE LIMITED TO THE INTEREST OF LANDLORD IN THE BUILDING AND THE PROPERTY AND TENANT AGREES TO LOOK SOLELY TO LANDLORD’S INTEREST IN THE BUILDING AND THE PROPERTY FOR THE RECOVERY OF ANY JUDGMENT AGAINST THE LANDLORD, IT BEING INTENDED THAT LANDLORD SHALL NOT BE PERSONALLY LIABLE FOR ANY JUDGMENT OR DEFICIENCY. TENANT HEREBY COVENANTS THAT. PRIOR TO THE FILING OF ANY SUIT FOR DIRECT AND PROXIMATE DAMAGES, IT SHALL GIVE LANDLORD AND ALL MORTGAGEES WHOM TENANT HAS BEEN NOTIFIED HOLD MORTGAGES OR DEED OF TRUST LIENS ON THE PROPERTY, BUILDING OR PREMISES (“LANDLORD MORTGAGEES”) NOTICE AND REASONABLE TIME TO CURE ANY ALLEGED DEFAULT BY LANDLORD.

IN WITNESS WHEREOF, Landlord and Tenant have executed this Lease in multiple original counterparts as of the day and year first above written,

33

Exhibit A-Outline and Location of Premises

This Exhibit is attached to and made a part of the Lease dated February 21, 2006 by and between 560 Arapeen LLC, First Avenue LLC, and Seventh Avenue LLC (“Landlord”) and Amedica Corp., a(n) Utah corporation (“Tenant”) for space in the Building located at 560 Arapeen, Salt Lake City, Utah.

EXHIBIT B -Rules and Regulation

The following rules and regulations shall apply, where applicable. to the Premises, the Building, the parking garage associated therewith (if any), the Property and the appurtenances thereto:

2

On or before occupancy of the Premises, Tenant shall develop an evacuation plan for the Building and the area to be used in the event dangerous substances from Tenant’s operations are escaping from the Premises or present a danger to the safety of persons in the Building or area around the Building.

SPECIAL FIREFIGHTING INSTRUCTIONS: If possible, remove liquid nitrogen and any other containers of dangerous substances from fire area or cool with water. Do not direct water spray at a container vent. Self contained breathing apparatus may be required for rescue workers. Evacuate the Building and area as provided in the evacuation plan.

3

UNUSUAL FIRE AND EXPLOSION HAZARDS: Liquid nitrogen when spilled is expected to vaporize rapidly and may form an oxygen deficient vapor cloud. Tenant must take all precautions to protect other users of the Building and area from liquid nitrogen and other dangerous substances in the event of a fire. Pressure in storage containers of dangerous substances may build up due to heat and may rupture if pressure relief devices fail to function.

Because contact with cold liquid may cause frostbite, dangerous substances may cause injury, and visibility may be obscured in its vapor cloud, Tenant must evacuate all people from affected area. Tenant should increase ventilation to release area and monitor oxygen levels. Appropriate protective equipment should be used for all persons in the area and Tenant should call the appropriate emergency personnel.

STORAGE: No liquid nitrogen or other dangerous substances may be stored in a confined space must be store in safe containers and areas. All storage containers must be marked with clear instructions as to contents.

HANDLING: All dangerous substances must be handled with care and in accordance with industry customs, including at least two (2) people being used when moving containers of dangerous substances. All exposed pipes or vessels which contain liquid nitrogen must be marked and should be insulated unless expressly consented to by Landlord in writing, to prevent injuries from the cold metal caused when flesh sticks to the metal and is torn when one attempts to withdraw from such metal. Some metals, such as carbon steel, may become brittle and fracture at low temperatures.

A suitable hand truck or other safe device must be used for any movement of containers of liquid nitrogen or other dangerous substances. All containers shall be handled and stored in an upright position with all applicable precautions, unless customary safety standards require a different storage position.

Use of piping and equipment must be adequately designed to withstand pressures to be encountered form dangerous substances. Protective apparatus should be used in any line or piping to prevent reverse flow and such lines or piping shall be equipped with pressure relief devices. Only transfer lines designed for cryogenic liquids shall be used for liquid nitrogen. Unless otherwise agreed to by Landlord or required by applicable law, all vents shall be piped to the exterior of the Building.

EMERGENCY SUPPLIES: if any liquid nitrogen is used in the Premises, self contained breathing apparatus (SCBA) or positive pressure airline with mask and escape pack are to be available and clearly marked for use by Building personnel in all areas where dangerous substances are stored or used, along with loose fitting thermal insulated or leather gloves, full face shield and safety glasses.

LOW OXYGEN ALARM: if any liquid nitrogen is used in the Premises, Tenant shall provide the property manager with monthly reports showing the alarm has been tested and is functioning satisfactorily.

4

EXHIBIT C-Payment of Triple Net Costs

(USE FOR NET DEALS)

This Exhibit is attached to and made a part of the Lease dated February 20, 2006 by and between 560 Arapeen LLC, First Avenue LLC, and Seventh Avenue LLC (“Landlord”) and Amedica Corp. (“Tenant”) for space in the Building located at 560 Arapeen, Salt Lake City, Utah.

A. Triple Net Costs. During each calendar year, or portion thereof, falling within the Lease Term, Tenant shall pay to Landlord as Additional Rent hereunder Tenant’s Pro Rata Share of Triple Net Costs (as defined below) directly attributable to the Premises for the applicable calendar year.

B. Operating Expenses. in addition to the Triple Net Costs, Tenant shall also pay Landlord as Additional Rent, Tenant’s Pro Rata Share of increases in operating expenses for the Building (“Operating Expenses”) over the Base Year of 2006 (as defined below). These provisions shall apply to Tenant only and may not be relied upon by other tenants or third parties.

C. Payments for Triple Net Costs and Operating Expenses. Prior to January 1 of each calendar year during the Lease Term, or as soon thereafter as practical, Landlord shall make a good faith estimate of Triple Net Costs and Operating Expenses for the applicable full or partial calendar year and Tenant’s Pro Rata Share thereof. On or before the first day of each month during such calendar year, Tenant shall pay Landlord, as Additional Rent, a monthly installment equal to one-twelfth of Tenant’s Pro Rata Share of Landlord’s estimate of Triple Net Costs and Operating Expenses. Landlord shall have the right from time to time during any such calendar year to revise the estimates of Triple Net Costs and/or Operating Expenses for such year and provide Tenant with a revised statement therefor (provided, however, Landlord agrees that Landlord shall not issue a revised statement more than twice in any calendar year), and thereafter the amount Tenant shall pay each month shall be based upon such revised estimate. If Landlord does not provide Tenant with an estimate of the Triple Net Costs and Operating Expenses by January 1 of any calendar year, Tenant shall continue to pay a monthly installment based on the previous year’s estimate until such time as Landlord provides Tenant with an estimate of Triple Net Costs and Operating Expenses for the current year. Upon receipt of such current year’s estimate, an adjustment shall be made for any month during the current year with respect to which Tenant paid monthly installments of Additional Base Rent based on the previous years estimate. Tenant shall pay Landlord for any underpayment upon demand. Any overpayment in excess of the equivalent of one (1) month’s Base Rent shall, at Landlord’s option, be refunded to Tenant or credited against the installment(s) of Additional Rent next coming due under the Lease. Any overpayment in an amount equal to or less than the equivalent of one (1) month’s Base Rent shall, at Landlord’s option, be refunded to Tenant or credited against the installment of Additional Rent due for the month immediately following the furnishing of such estimate. Any amount paid by Tenant based on any estimate shall be subject to adjustment pursuant to Paragraph D below, when actual Triple Net Costs and/or Operating Expenses are determined for such calendar year.

D. Reconciliation of Estimates for Triple Net Costs and Operating Expenses. As soon as is practical following the end calendar year during the Lease Term, Landlord shall furnish to Tenant statements of Landlord’s actual Triple Net Costs and Operating Expenses for the previous

calendar year. If for any calendar year the Additional Rent collected for the prior year, as a result of Landlord’s estimates of Triple Net Costs and Operating Expenses, is in excess of Tenant’s actual Pro Rata Share of Triple Net Costs or Operating Expenses for such prior year, then Landlord shall refund to Tenant any overpayment (or at Landlord’s option apply such amount against Additional Base Rent due or to become due hereunder). Likewise, Tenant shall pay to Landlord, on demand, any underpayment with respect to the prior year whether or not the Lease has terminated prior to receipt by Tenant of a statement for such underpayment, it being understood that this clause shall survive the expiration of the Lease.

E. Description of Triple Net. Triple Net Costs shall mean all direct Taxes, insurance, utilities, and ground lease rent which Landlord incurs, pays or becomes obligated to pay in each calendar year in connection with the Building and the Project. Initial estimates for the Triple Net Costs for 2006 are:

F. Operating Expenses. In addition to the Triple Net Costs, Tenant shall pay as Additional Rent Tenant’s pro-rata share of the increases over a base year of 2006 in the following expenses (“Operating Expenses”), provided however that such share of the Operating Expenses shall not increase by more than five percent (5%) per calendar year:

2

Building. Major repair items shall be amortized over a reasonably determined estimated useful life of such repair items or the largest period permitted by law or generally accepted accounting principles, whichever is less, but in no event shall the amortization period exceed five (5) years.

G. Exclusions to Operating Expenses. Operating Expenses shall not include repairs and general maintenance paid from proceeds of insurance or by a tenant or other third parties, and alterations attributable solely to individual tenants of the Property. Further, Operating Expenses shall not include the cost of capital improvements such as to replace the roof and HVAC systems not used solely for the Premises (except as above set forth), depreciation, interest (except as

3

provided above with respect to the amortization of capital improvements), lease commissions, and principal payments on mortgage and other non-operating debts of Landlord. Capital improvements are more specifically defined as:

H. Percentage of Building Occupied. If the Building and the other buildings Landlord operates in conjunction therewith are not at least ninety-five percent (95%) occupied, in the aggregate, during any calendar of the Lease term or if Landlord is not supplying services to at least ninety-five percent (95%) of the Approximate Rentable Area of the Building and such other buildings at any time during any calendar year of the Lease Term, actual Triple Net Costs and Operating Expenses for purposes hereof shall, be determined as if the Building and such other buildings had been ninety-five percent (95%) occupied and Landlord had been supplying services to ninety-five percent (95%) of the Approximate Rentable Area of the Building and such other buildings during such year. If Tenant pays for its Pro Rata Share of Operating Expenses based on increases over a “Base Year” and Operating Expenses for any calendar year during the Lease Term are determined as provided in the foregoing sentence, Operating Expenses for such Base Year shall also be determined as if the Building and such other buildings had been ninety-five percent (95%) occupied and Landlord had been supplying services to ninety-five percent (95%) of the Approximate Rentable Area of the Building and such other buildings. Any necessary extrapolation of Triple Net Costs or Operating Expenses that are affected by changes in the occupancy of the Building (including, at Landlord’s option, Taxes) to the cost that would have been incurred if the Building had been ninety-five percent (95%) occupied and Landlord had been supplying services to ninety-five percent (95%) of the Approximate Rentable Area of the Building. In addition, Tenant’s Pro Rata Share of Operating Expenses is determined based upon increase over of Base Year and Operating Expenses for the Base Year.

I. “Taxes”, which for purposes hereof, shall mean (a) all real estate taxes and assessments on the Property, the Building or the Premises, and taxes and assessments levied in substitution or supplementation in whole or in part of such taxes, (b) all personal property taxes for the Building’s personal property, including license expenses, (c) all taxes imposed on services of Landlord’s agents and employees, (d) all sales, use or other tax, excluding state and/or federal income tax now or hereafter imposed by any governmental authority upon Rent received by Landlord, (e) all other taxes, fees or assessments now or hereafter levied by any governmental authority on the Property, the Building or its contents or on the operation and use thereof (except as relate to specific tenants), and (f) all costs and fees incurred in connection with seeking

4

reductions in or refunds in Taxes including, without limitation, any costs incurred by Landlord to challenge the tax valuation of the Building or Property, but excluding income taxes. Estimates of real estate taxes and assessments for any calendar year during the Lease Term shall be determined based on Landlord’s good faith estimate of the real estate taxes and assessments. Taxes and assessments hereunder are those accrued with respect: to such calendar year, as opposed to the real estate taxes and assessments paid or payable for such calendar year.

IN WITNESS WFIEREOF, Landlord and Tenant have executed this exhibit as of the day and year first above written.

5

EXHIBIT D-Work Letter

Plans and Contractor. Tenant, following the full and final execution and delivery of this Lease and payment of all prepaid Rent and security deposits required hereunder, shall have the right to perform alterations and improvements in the Premises (the “Initial Alterations”). The Initial Alterations may, at Tenant’s option, be divided into phases. The provisions of this Exhibit shall be repeated for each phase of the initial Alterations. Tenant shall be responsible for preparation of the final plans for the entire Initial Alterations and after completion shall deliver the final plans to Landlord, for Landlord’s approval. Any plans to install a liquid nitrogen tank shall provide for the tank to be screened from view of the public and partially buried and shall be subject to the approval of the ground lessor, the University of Utah. The final plans shall also provide for installation of a low oxygen detection alarm system in the Premises. Landlord shall notify Tenant in writing whether it approves of the working drawings within five (5) business days after its receipt thereof. If Landlord disapproves of such working drawings, then Landlord shall notify Tenant thereof specifying in reasonable detail the reasons for such disapproval, in which case Tenant shall, within five (5) business days after such notice, revise such working drawings in accordance with Landlord’s reasonable objections and resubmit the revised working drawings to Landlord for its review and approval. This process shall be repeated until the working drawings have been finally approved by Landlord and Tenant. If Landlord fails to notify Tenant that it disapproves of the initial working drawings within five (5) after the submission thereof, then Landlord shall be deemed to have approved the working drawings in question.

Notwithstanding the foregoing. Tenant and its contractors shall not have the right to perform any of the Initial Alterations or any phase of the Initial Alterations in the Premises unless and until: (1) Tenant has complied with all of the terms and conditions of Section 10 of this Lease, including, without limitation, approval by Landlord of the final plans for the Initial Alterations and of the contractors to be retained by Tenant to perform such Initial Alterations; (2) Tenant has provided Landlord with a lien waiver from the architect for payment of the cost to prepare the final plans; (3) Tenant has deposited the amount of the construction contract for the entire initial Alterations (or only the amount for a designated phase of the Initial Alterations if Tenant has given Landlord notice that phases will be used) in an escrow account with the Talon Group as escrow agent, which account shall be interest bearing if requested by Tenant; and (4) contractor has executed a standard written AIA contract providing for posting a performance bond of $1,000,000 (or if phases are used then 120% of the contract price for the phase) and a retainage of five percent (5%) of the cost to construct the Initial Alterations (or the designated phase). The escrow agent shall make payments to the contractor upon receipt of pay requests from Tenant and approved in writing by both Tenant and Landlord’s construction managers or the project architect.

Tenant shall be responsible for all elements of the design of Tenant’s plans (including, without limitation, compliance with law, functionality of design, the structural integrity of the design, the configuration of the Premises and the placement of Tenant’s furniture, appliances and equipment), and Landlord’s approval of Tenant’s plans shall in no event relieve Tenant of the responsibility for such design. Landlord’s approval of the contractor to perform the Initial Alterations (or any phase of the initial Alterations) shall not be unreasonably withheld. The parties agree that Landlord’s approval of the general contractor to perform the Initial Alterations shall not be considered to be unreasonably withheld if any such general contractor (i) does not

have trade references reasonably acceptable to Landlord, (ii) does not maintain insurance as required pursuant to the terms of this Lease, (iii) does not have the ability to be bonded for the work in an amount of no less than $1,000,000.00, (iv) does not provide current financial statements reasonably acceptable to Landlord, or (v) is not licensed as a contractor in the state/municipality in which the Premises is located. Tenant acknowledges the foregoing is not intended to be an exclusive list of the reasons why Landlord may reasonably withhold its consent to a general contractor.

Construction Allowance. Provided Tenant is not in default, Landlord agrees to contribute the sum of up to $10.00 per rentable square foot in the Premises as shown in the jointly approved final plans, which is currently estimated at One Hundred Seventy-Four Thousand, Five Hundred Forty Dollars ($174,540.00) (“Construction Allowance”) toward the cost of performing the Initial Alterations in preparation of Tenant’s occupancy of the Premises, plus one-half (1/2) the cost of each new demising wall being constructed in the Premises included in the Initial Alterations. For purposes of this Lease, a demising wall is a wall that separates the Premises from other tenants and the other areas of the Building. The Construction Allowance shall be payable to Tenant as a single payment following: (1) completion of the Initial Alterations (or the portion in the designated phase) including punchlist items as described below; (2) issuance of a final (not temporary) certificate of occupancy for the Premises (or the scope of work for the phase) by the applicable governmental agency(ies): (3) the certification of Tenant and its architect that the Initial Alterations (or for the work in the designated phase) have been installed in a good and workmanlike manner in accordance with the approved plans, and in accordance with applicable laws, codes and ordinances; (4) full and final contractor’s, subcontractor’s and material supplier’s waivers of liens which shall cover all Initial Alterations (or all work in the designated phase) and all other statements and forms required for compliance with the mechanics’ lien laws of the State of Utah; (5) general contractor and architect’s completion affidavits; (6)_plans and specifications for the initial Alterations, together with a certificate from an AIA architect that such plans and specifications comply in all material respects with all laws affecting the Building, Property and Premises; (7) Tenant furnishing Landlord with an accurate architectural “as-built” plan of the Initial Alterations as constructed, which plan shall be incorporated into this Exhibit D by this reference for all purposes, and (8) copies of all construction contracts for the Initial Alterations, together with copies of all change orders, if any; together with all such invoices, contracts, or other supporting data as Landlord or Landlord’s Mortgagee may reasonably require. The Construction Allowance shall be disbursed in the amount reflected on the receipted bills meeting the requirements above. Upon making payment of the Construction Allowance, Landlord and Tenant shall also jointly notify the escrow agent that all remaining funds in the escrow account may be returned to Tenant.

Notwithstanding anything herein to the contrary, Landlord shall not be obligated to disburse any portion of the Construction Allowance during the continuance of an uncured default under the Lease, and Landlord’s obligation to disburse shall only resume when and if such default is cured.

Change Orders. Tenant may initiate changes in the final plans. Each such change must receive the prior written approval of Landlord, such approval not to be unreasonably withheld or delayed; however, if such requested change would adversely affect (in the reasonable discretion of Landlord) (1)the Building’s structure or the Building’s systems (including the Building’s restrooms or mechanical rooms), (2) the exterior appearance of the Building, or (3) the

2

appearance of the Building’s common areas or elevator lobby areas (if any), Landlord may withhold its consent in its reasonable discretion. Landlord may also request changes to Tenant for the final plans during the construction period for Tenant to approve, which approval shall not unreasonably be withheld, provided that such change orders shall not materially delay the occupancy date and shall not increase the cost of the initial Alterations. If Tenant disapproves a change requested by Landlord because of cost. Landlord shall have the option to require the change order to be made if Landlord provides funds for the change order.

Punchlist. When Tenant considers the initial Alterations to be substantially completed (or the portion in a designated phase), Tenant will notify Landlord and within three (3) business days thereafter, Landlord’s representative and Tenant’s representative shall conduct a walk-through of the Premises and identify any necessary touch-up work, repairs and minor completion items that are reasonably necessary for final completion of the Work. Neither Landlord’s representative nor Tenant’s representative shall unreasonably withhold his or her agreement on punchlist items. Tenant shall use reasonable efforts to cause the contractor performing the Work to complete all punchlist items within ten (10) days after agreement thereon; however, Tenant shall not be obligated to engage overtime labor in order to complete such items. As used herein “Substantial Completion,” “Substantially Completed,” and any derivations thereof means the Initial Alterations in the Premises have been performed in substantial accordance with the final plans, as reasonably determined by Tenant (other than any details of construction, mechanical adjustment or other similar matter, the noncompletion of which does not materially interfere with Tenant’s use or occupancy of the Premises).

Construction Management. Tenant shall pay Landlord $5000.00 toward the construction management fee of Landlord’s construction manager.

In no event shall the Construction Allowance be used for the purchase of equipment, furniture or other items of personal property of Tenant. in the event Tenant does not use the entire Construction Allowance, any unused amount remaining after June 15, 2006, shall no longer be required to be applied to the initial Alterations, it being understood that ‘Tenant shall not be entitled to any credit, abatement or other concession in connection therewith. Tenant shall be responsible for ail applicable state sales or use taxes, if any, payable to connection with the Initial Alterations and/or Construction Allowance.

No Work by Landlord. Tenant agrees to accept the Premises in its “as-is” condition and configuration, it being agreed that Landlord shall not be required to perform any work or, except as provided above with respect to the Construction Allowance, incur any costs in connection with the construction or demolition of any improvements in the Premises.

This Exhibit shall not be deemed applicable to any additional space added to the original Premises at any time or from time to time, whether by any options under the Lease or otherwise, or to any portion of the original Premises or any additions to the Premises in the event of a renewal or extension of the original Term of this Lease, whether by any options under the Lease or otherwise, unless expressly so provided in the Lease or any amendment or supplement to the Lease.

3

Landlord’s and Tenant’s representatives for coordination of construction and approval of change orders will be as follows, provided that either party may change its representative upon written notice to the other:

IN WITNESS WHEREOF, Landlord and Tenant have entered into this Exhibit D as of the day and year first above written.

4

ATTACHMENT #1

FINAL PLANS

EXHIBIT E

ADDITIONAL PROVISIONS

This exhibit is attached to and made a part of the Lease dated February 20, 2006 by and between 560 Arapeen LLC, First Avenue LLC, and Seventh Avenue LLC (“Landlord”) and Amedica Corp., a Delaware corporation (“Tenant”) for space in the Building located at 560 Arapeen, Salt Lake City, Utah.

The following are additional provisions to the Lease:

1. Termination of Tenant’s Existing Lease. Landlord and Tenant shall share equally the rental costs (rental costs shall include Triple Net rental amounts plus amounts due for building operating expenses, net of receipts attributable to subletting Tenant’s existing premises to a third party) associated with Tenant’s termination of approximately 3,378 rentable square feet located on the first floor of 615 Arapeen Drive, Salt Lake City, Utah. Landlord’s obligation shall commence on April 15, 2006, and continue through the earlier to occur of. the expiration of Tenant’s obligations under the existing lease, or in the even Tenant’s existing Landlord releases Tenant from its obligation. Both Tenant and Landlord will work diligently to cause the existing premises to be sublet to a third party if possible.

2. Rent Abatement. Landlord shall provide three (3) months of free base rent on the Premises commencing upon the Commencement Date. In addition, Tenant’s Base Rent for one half of the square footage in the Premises shall be abated through September 30, 2006. During the abatement period, Tenant shall be responsible for its share of Triple Net Costs and Operating Expenses applicable to the entire Premises.

3. Early Termination. Tenant may terminate the Lease at any time after thirty-six months of paying full rent upon six (6) months notice and upon payment at the time of notice of all unamortized tenant improvements and leasing commissions using a sixty (60) month amortization period together with interest at the rate of seven percent (7%) on such amount from the date of this Lease.

4. Right of First Refusal Tenant shall have a one (1) time only option regarding any vacant space on the first floor of the Building that is or becomes available during the Lease Term, subject however to the prior rights of existing tenants. Upon any such space becoming available, Landlord shall give Tenant notice of the space availability and Tenant shall have ten (10) days to exercise the option to immediately begin leasing the additional space at the same rental rates as apply to Tenant’s existing Premises. Landlord shall provide a tenant improvement allowance as follows:

Once additional space has been offered to Tenant one time, Landlord shall have no further obligation to offer other vacant space to Tenant.

5. Renewal Option. (a) So long as Tenant is not in default at the expiration of the term of this Lease, Tenant shall be granted one (1) renewal option for a three (3) year period. If Tenant elects to exercise this option, Tenant shall give Landlord one-hundred eighty (180) days written notice, with the base rental increasing to fair market rental rates then in effect. The base rent shall not be less than in effect at the end of the initial term of this Lease.

(b) The term “fair market rental rate” as used in the Lease shall mean the annual amount per square foot, projected during the option term, that a willing, institutional, non-equity renewal tenant (excluding sublease and assignment transactions) would pay, and a willing, institutional landlord of a comparable quality office building located in the Salt Lake City, Utah area, and in particular the University of Utah Research Park, would accept, in an arm’s length transaction (what Landlord is accepting in then current transactions for the Building may be used for purposes of projecting rent for the option term), for space of comparable size, quality and floor height as the Premises, taking into account the age, quality and layout of the existing improvements in the Premises, and taking into account items that professional real estate brokers or professional real estate appraisers customarily consider, including, but not limited to, rental rates, space availability, tenant size, tenant improvement allowances, parking charges and any other lease considerations, if any, then being charged or granted by Landlord or the lessors of such similar office buildings. The fair market rental rate will be an effective rate, not specifically including, but accounting for, the appropriate economic considerations described above.

(c) In the event where a determination of fair market rental rate is required under the Lease, Landlord shall provide written notice of Landlord’s determination of the fair market rental rate not later than thirty (30) days after the last day upon which Tenant may timely exercise the right giving rise to the necessity for such fair market rental rate determination. Tenant shall have ten (10) business days (“Tenant’s Review Period”) after receipt of Landlord’s notice of the fair market rental rate within which to accept such fair market rental rate or to reasonably object thereto in writing. Failure of Tenant to so object to the fair market rental rate submitted by Landlord in writing within Tenant’s Review Period shall conclusively be deemed Tenant’s approval and acceptance thereof. If within Tenant’s Review Period Tenant reasonably objects to or is deemed to have disapproved the fair market rental rate submitted by Landlord, Landlord and Tenant will meet together with their respective legal counsel to present and discuss their individual determinations of the fair market rental rate for the Premises under the parameters set forth in Paragraph (b) above and shall diligently and in good faith attempt to negotiate a rental rate on the basis of such individual determinations. Such meeting shall occur no later than ten (10) business days after the expiration of Tenant’s Review Period. The parties shall each provide the other with such supporting information and documentation as they deem appropriate. At such meeting if Landlord and Tenant are unable to agree upon the fair market rental rate, they shall each submit to the other their respective best and final offer as to the fair market rental rate. If Landlord and Tenant fail to reach agreement on such fair market rental rate within five (5) business days following such a meeting (“Outside Agreement Date”), Tenant’s renewal option will be deemed null and void unless Tenant demands appraisal, in which event each party’s determination shall be submitted to appraisal in accordance with the provisions of Section (d) below.

2

(2) The two (2) appraisers so appointed shall within fifteen (15) days of the date of the appointment of the last appointed appraiser agree upon and appoint a third appraiser who shall be qualified under the same criteria set forth hereinabove for qualification of the initial two (2) appraisers.

(3) The three (3) appraisers shall within thirty (30) days of the appointment of the third appraiser reach a decision as to whether the parties shall use Landlord’s or Tenant’s submitted best and final fair market rental rate, and shall notify Landlord and Tenant thereof. During such thirty (30) day period, Landlord and Tenant may submit to the appraisers such information and documentation to support their respective positions as they shall deem reasonably relevant and Landlord and Tenant may each appear before the appraisers jointly to question and respond to questions from the appraisers.

(4) The decision of the majority of the three (3) appraisers shall be binding upon Landlord and Tenant and neither party shall have the right to reject the decision or to undo the exercise of the applicable Option. If either Landlord or “Tenant fails to appoint an appraiser within the time period specified in Section c(l) hereinabove, the appraiser appointed by one of them shall within thirty (30) days following the date on which the party falling to appoint an appraiser could have last appointed such appraiser reach a decision based upon the same procedures as set forth above (i.e., by selecting either Landlord’s or Tenant’s submitted best and final fair market rental rate), and shall notify Landlord and Tenant thereof, and such appraiser’s decision shall be binding upon Landlord and Tenant and neither party shall have the right to reject the decision or to undo the exercise of the applicable Option.

(5) If the two (2) appraisers fail to agree upon and appoint a third appraiser, both appraisers shall be dismissed and the matter to be decided shall be forthwith submitted to arbitration under the provisions of the American Arbitration Association based upon the same procedures as set forth above (i.e., by selecting either Landlord’s or Tenant’s submitted best and final fair market rental rate).

(6) The cost of each party’s appraiser shall be the responsibility of the party selecting such appraiser, and the cost of the third appraiser (or arbitration, if necessary) shall be shared equally by Landlord and Tenant.

3

(7) If the process described hereinabove has not resulted in a selection of either Landlord’s or Tenant’s submitted best and final fair market rental rate by the commencement of the applicable lease tern, then the fair market rental rate estimated by Landlord will be used until the appraiser(s) reach a decision, with an appropriate rental credit and other adjustments for any overpayments of Monthly Basic Rent or other amounts if the appraisers select Tenant’s submitted best and final estimate of the fair market rental rate. The panics shall enter into an amendment to this Lease confirming the terms of the decision.

IN WITNISS WHEREOF, Landlord and Tenant have executed this Lease as of the day and year first written above.

4