1. Prior to May 25, 1961 the plaintiff had operated a business under the name Alexander Hamilton Supply and Hardware Store in premises owned by the defendant, located at 56-57 King Street in Christiansted, St. Croix.
2. On May 25, 1961 the plaintiff and the defendant executed a lease for a portion of the premises owned by the defendant, the provisions of which lease, pertinent to this suit, are as follows:
"1. Premises demised: Landlord for and in consideration of the rents to be paid and the covenants and agreements hereinafter contained to be performed by Tenant, hereby leases to Tenant and Tenant hereby hires from Landlord, subject to the terms hereof, the property of Landlord, the same being the ground floor and basement (cellar) of the premises known and described as No. 56-57 King Street including so much of the lot as extends from the southern boundary line thereof to the North (toward the sea) for a distance of approximately 195 feet from the beginning line of the property on King Street running to the fence dividing the premises herein demised from that demised to KING CHRISTIAN ENTERPRISES, INC. The demised premises thus formed would be a rectangle approximately 70 feet wide facing on the street by 195 feet in length excluding nevertheless the entire building, the second storey of which was formerly occupied by Mr. David Melville and on the lot on which it stands. The use of the yard by Tenant is subject to the use by the other tenants of the premises as a means of ingress and egress to and from the portions of the property rented to said tenants, and not hereby demised. The driveway approximately 11 feet 6 inches wide is not included in the demised premises and must at all times be kept open and free to traffic, the full length of the demised premises, but tenant is hereby granted an easement of use as a means of ingress and egress to the said passage way leading from King Street which said easement shall run concurrently with this lease. Also excepted from the demised premises are the following:
"(a) The garbage disposal which enclosure Landlord has erected of concrete blocks. It is agreed however, that in the event a different area is to be designated for garbage disposal, Tenant will be consulted as to its location and in that event, the present garbage disposal area will become a part of the demised premises.
"(b) The well which is within the rectangle hereinabove outlined together with the right reserved to Landlord to lay down and maintain pipelines connecting said well with the various portions of the premises. Tenant shall be entitled to share in the use of said well.
"(c) Reservation of use to the gallery leading to toilets and the portion over the cistern. Tenant may not enclose the portion of said gallery over the cistern nor shall he render said gallery inaccessible to the occupants and guests of the `Hamilton House' area.
"Landlord agrees to use her best efforts to see that any Tenants of the `Melville Building' do not park their cars in the yard, that the garbage area is maintained by all users in a clean and sanitary manner, and that the gallery referred to above is not littered with containers for beer, sodas or other beverages.
"2. Terms and Extensions: Tenant shall have and hold the said premises for a term of ten (10) years commencing at noon on the 1st day of June, 1961, and ending at noon on the 1st day of June, 1971. If Tenant shall keep and observe all the terms and conditions hereof, he shall upon notice in writing given to Landlord not less than six (6) months before the expiration of the term herein, be granted the right to renew this lease for the additional term of five (5) years.
"3. Rent: The rent to be paid for the premises shall be Two Hundred ($200.00) Dollars per month for the term herein demised. In the event that Tenant shall properly exercise his option for the additional term of five (5) years the rent for the extended term shall be Two Hundred Twenty Five ($225.00) Dollars per month. All rents herein provided for shall be paid in advance on the first day of each month, and receipt of the first month's rent is hereby acknowledged by Landlord.
"4. Use: Tenant may use and occupy the said premises in the conduct of the business now operated by him under the name and style of `Alexander Hamilton Supply and Hardware Store'. Tenant may also use the premises for any business purpose to which he may adapt the same provided, however that Tenant may not operate a nightclub, restaurant, bar or place of entertainment on the premises, and provided, further, that Tenant's use of the premises shall not obstruct or hinder the use of the remaining portions of the premises by the other tenants. The use made of the premises by Tenant shall not be such as to be hazardous or in violation of any federal or local law, ordinance, rule or restriction.
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"7. Destruction and Damage to the Premises: In the event of partial or total damage to the premises by fire, the elements or other casualty, all rent in advance shall be apportioned as of the date of such damage, and the rent thereafter accruing shall be equitably and proportionately suspended and until completion of repairs; and, in the event that the premises are not repaired or restored by Landlord to the same condition in which they were prior to such damage within a reasonable time thereafter, Tenant may terminate his lease forthwith by written notice to Landlord.
"8. Alterations and Improvements: Tenant shall have the right to alter or redecorate the property for his business purposes, but such redecoration shall be done at his sole expense. All alterations, additions or other improvements upon the leased premises made by Tenant (except such as may be removable without defacing or injuring the building or rest of the premises) shall become the property of Landlord and shall remain and be surrendered with the premises as a part thereof at the end of the term, without molestation, disturbance or injury. Tenant shall at his sole expense repair and maintain the floor of the demised premises. In the event that Tenant desires to alter the demised premises in any way he shall first submit his plans for such alteration to Landlord for her approval in advance of the commencement of the work. Tenant covenants and agrees to erect suitable sheds, the same to be erected within the first months of the term, for the storage of his merchandise particularly his gas cylinders and motor vehicles on such portions of the demised premises as shall be mutually agreeable to Tenant and Landlord. Tenant agrees that such sheds as he will build shall not extend further into the yard than the existing sheds. * * *"
3. Pursuant to the provision of paragraph 8 of the lease of May 25, 1961 the plaintiff erected a concrete warehouse on the rear or north portion of the lot described in the lease.
4. The plaintiff, who had previously been in possession of a part of the premises as a tenant of the defendant continued in possession after June 1, 1961 under the lease of May 25, 1961.
5. During the year 1964 each of the present parties brought an action against the other—the present defendant suing in the Municipal Court for forceable detention (Civil No. 265-1964), and the present plaintiff suing in the District Court for an injunction, declaratory relief and damages (Civil No. 146-1964). Both suits were dismissed with prejudice on May 26, 1966, in accordance with a stipulation entered into by the parties and filed in Civil No. 146-1964 to the effect that they would enter into and execute a new lease to supersede the lease then in existence, such lease to contain, inter alia, generally the same provisions as set forth in the lease of May 25, 1961, the new lease to be for a period of 10 years commencing June 1, 1966, at a rental of $350.00 per month with an option in the plaintiff to renew for an additional 10 years at $750.00 per month.
6. The new lease contemplated by the stipulation of the parties was never executed, drafts of a proposed lease being tendered by each party to the other but not accepted.
7. On November 15, 1966 the attorney for the defendant wrote to the plaintiff's attorney as follows:
"I have finally been able to contact my clients, Mr. & Mrs. Henderson and they have advised me that they do not intend to further pursue legal action against Mr. Edelman unless he should re-activate the case in the District Court. If Mr. Edelman does not do so Mr. & Mrs. Henderson will continue under the terms of the original lease."
8. Meanwhile and until June 6, 1967 the monthly rental of $200.00 provided for by the lease of May 25, 1961 was regularly paid by the plaintiff and accepted by the defendant.
9. On June 6, 1967 a fire completely destroyed the main building on the premises in which the plaintiff was the tenant of the ground floor and basement. No damage, however, resulted to the concrete warehouse in the rear and the plaintiff continued in possession of that building, using it as a warehouse and showroom for his business.
10. By letter from the defendant's attorney dated June 22, 1967 the plaintiff was notified that the defendant did not intend to restore or repair the premises at that time or in the foreseeable future and that she...
