BASE RENT, ADDITIONAL RENT AND SECURITY DEPOSIT. (a) Tenant shall pay to Landlord "Base Rent" in advance, without demand, deduction or set off (except as expressly stated otherwise in Section 20 of this Lease) equal to the following amounts for the following periods of time: Period Monthly Base RentPer Square Foot of Building Monthly Base Rent *Tenant’s obligation to pay Base Rent for the Premises shall be abated for the initial three (3) months of the Term of the Lease (the “Base Rent Abatement Period ”). However, only Base Rent shall be abated during the Base Rent Abatement Period, and Tenant shall remain responsible for Tenant’s Proportionate Share of Operating Expenses and all other sums due under the Lease during the Base Rent Abatement Period. The first monthly installment (after the expiration of any periods for which no Base Rent is due), plus the other monthly charges set forth in Section 2(b), shall be due on the date hereof; thereafter, monthly installments of Base Rent shall be due on the first day of each calendar month following the Commencement Date. If the Term begins on a day other than the first day of a month or ends on a day other than the last day of a month, the Base Rent and additional rent for such partial month shall be prorated. (b) Tenant shall pay, as additional rent (including for any period during which no Base Rent is due under Section 2(a) above), its Proportionate Share of the following items: (1) Taxes (defined below) and the cost of any tax consultant employed to assist Landlord in determining the fair tax valuation of the Building and Land; and (2) the cost of any insurance maintained by Landlord, and (3) a management fee not to exceed 3% of gross rents from the Premises (collectively, "Operating Expenses"). On the same day that Base Rent is due, Tenant shall pay to Landlord an amount equal to 1/12 of Landlord's estimate of Tenant's Proportionate Share of annual Operating Expenses. The initial monthly payments are based upon Landlord's estimate of the Operating Expenses for the year in question, and shall be increased or decreased annually to reflect the projected actual Operating Expenses for that year. Within 90 days after each calendar year or as soon thereafter as is reasonably practicable, Landlord shall deliver to Tenant a statement setting forth the actual Operating Expenses for such year. Within ninety (90) days after Tenant’s receipt of such annual statement (“Review Period”), Tenant may elect to inspect, at reasonable times, in a reasonable manner and with at least thirty (30) days prior written notice to Landlord, such of Landlord’s books of account and records as pertain to and contain information concerning such costs and expenses in order to verify the amounts thereof; and if Tenant does not so elect to review Landlord’s books during such ninety (90) day period, Tenant will be deemed to have approved Landlord’s calculation of Operating Expenses as for the calendar year covered by the statement. If Tenant's total payments in respect of Operating Expenses for any year are less than Tenant's Proportionate Share of Operating Expenses for that year, Tenant shall pay the difference to Landlord within ten days after Landlord's request therefor; if such payments are more than Tenant's Proportionate Share of Operating Expenses, Landlord shall retain such excess and credit it against Tenant's future monthly payments, except that any credit remaining at the expiration or earlier termination of this Lease shall be paid to Tenant within thirty (30) days after such expiration or termination. If Tenant determines during the Review Period that Operating Expenses for the year in question are less than reported in the annual statement by more than five percent (5%), Landlord shall reimburse Tenant’s expenses incurred as a result of Tenant’s inspection not to exceed $2,000. The amounts of the initial monthly Base Rent and Tenant's Proportionate Share of Operating Expenses (and the part thereof attributable to Taxes) are as follows: Base Rent (Section 2(a)) $35,232.40 Estimated Operating Expenses (Taxes and insurance only) (Section 2(b)) $8,556.44 Total initial monthly payment $43,788.84 (c) If any payment required of Tenant under this Lease is not paid within five (5) days after due, Landlord may charge Tenant a fee equal to 5% of the delinquent payment to reimburse Landlord for its cost and inconvenience incurred as a consequence of Tenant's delinquency. Notwithstanding the forgoing, Tenant shall be entitled to one written notice with a ten (10) day opportunity to cure a delinquent payment within any consecutive twelve month period before Tenant is obligated to pay the late charge set forth in this paragraph. (d) All payments and reimbursements required to be made by Tenant under this Lease shall constitute "rent" (herein so called).
Appears in 1 contract
Samples: Lease Agreement (Luminex Corp)
BASE RENT, ADDITIONAL RENT AND SECURITY DEPOSIT. (a) Tenant shall pay to Landlord "Base Rent" BASE RENT", in advance, without demand, deduction or set off (except as expressly stated otherwise in Section 20 of this Lease) setoff, equal to the following amounts for the following periods of time: Period Monthly Base RentPer Square Foot TIME PERIOD MONTHLY BASE RENT Months 1 through 72 $1.06 per square foot of Building Monthly Base Rent *Tenant’s obligation to pay Base Rent for the Premises shall be abated for the initial three (3) months of the Term of the Lease (the “Base Rent Abatement Period ”). However, only Base Rent shall be abated during the Base Rent Abatement Period, and Tenant shall remain responsible for Tenant’s Proportionate Share of Operating Expenses and all other sums due under the Lease during the Base Rent Abatement Period. The first monthly installment (after the expiration of any periods for which no Base Rent is due)installment, plus the other monthly charges set forth in Section 2(b2.(b), shall be due on the date hereof; thereafter, monthly installments of Base Rent shall be due on the first day of each calendar month following the Commencement Date. If the Term begins on a day other than the first day of a month or ends on a day other than the last day of a month, the Base Rent and additional rent for such partial month shall be prorated.
(b) Tenant shall pay, as additional rent (including for any period during which no Base Rent is due under Section 2(a) above), its Proportionate Share of all costs incurred in operating, managing, and maintaining the Premises, the Land and the Building and the facilities and services provided for the common use of Tenant and any other tenants of the Building (collectively, "OPERATING EXPENSES"), including the following items: (1) Taxes (defined below) and the cost of any tax consultant employed to assist Landlord in determining the fair tax valuation of the Building and Land; and (2) the cost of any insurance maintained by Landlord, and all utilities used in the Building which are not billed separately to a tenant for above building standard utility consumption; (3) a the cost of insurance; (4) the cost of repairs, replacement, management fee not fees and expenses, landscape maintenance and replacement, security service (if provided), trash service (if provided); (5) the cost of dues, assessments, and other charges applicable to exceed 3% the Land payable to any property or community owner association under restrictive covenants or deed restrictions to which the Land is subject; (6) maintenance of gross rents from the Premises Building's fire sprinkler systems; and (collectively7) alterations, "additions, and improvements made by Landlord to comply with Law (defined below) or in order to reduce Operating Expenses"). On the same day that Base Rent is due, Tenant shall pay to Landlord an amount equal to 1/12 of Landlord's estimate of Tenant's Proportionate Share of annual Operating Expenses. The initial monthly payments are based upon Landlord's estimate of the Operating Expenses for the year in question, and shall be increased or decreased annually to reflect the projected actual Operating Expenses for that year. Within 90 days after each calendar year or as soon thereafter as is reasonably practicable, Landlord shall deliver to Tenant a statement setting forth the actual Operating Expenses for such year. Within ninety (90) days after Tenant’s receipt of such annual statement (“Review Period”), Tenant may elect to inspect, at reasonable times, in a reasonable manner and with at least thirty (30) days prior written notice to Landlord, such of Landlord’s books of account and records as pertain to and contain information concerning such costs and expenses in order to verify the amounts thereof; and if Tenant does not so elect to review Landlord’s books during such ninety (90) day period, Tenant will be deemed to have approved Landlord’s calculation of Operating Expenses as for the calendar year covered by the statement. If Tenant's total payments in respect of Operating Expenses for any year are less than Tenant's Proportionate Share of Operating Expenses for that year, Tenant shall pay the difference to Landlord within ten 30 days after Landlord's request therefor; if such payments are more than Tenant's Proportionate Share of Operating Expenses, Landlord shall retain such excess and credit it against Tenant's future monthly payments, except that any credit remaining at the expiration or earlier termination of this Lease shall be paid to Tenant within thirty (30) days after such expiration or termination. If Tenant determines during the Review Period that Operating Expenses shall not include the following: (A) any costs for interest, amortization, or other payments on loans to Landlord; (B) commissions or other expenses incurred in leasing or procuring tenants; (C) legal expenses other than those incurred for the year in question are less than reported direct benefit of the tenants of the Building; (D) allowances, concessions, and other costs of renovating or otherwise improving space for occupants of the Building or vacant space in the annual statement Building; (E) federal income taxes imposed on or measured by more than five percent the income of Landlord from the operation of the Building; (5%)F) rents under ground leases; (G) costs incurred in selling, syndicating, financing, mortgaging, or hypothecating any of Landlord's interests in the Building; and (H) costs of capital improvements except for those provided in (7) above and except that Landlord may include in Operating Expenses only such portion of capital improvement costs as is necessary to amortize such improvements over their useful life. There shall reimburse Tenant’s expenses incurred as a result be no duplication of Tenant’s inspection not to exceed $2,000costs for reimbursements in calculating Operating Expenses. The amounts of the initial monthly Base Rent and Tenant's Proportionate Share of Operating Expenses (and the part thereof attributable to Taxes) are as follows: Base Rent (Section 2(a)) $35,232.40 Estimated 2.(a)).................................................$38,185.44 Operating Expenses (Expenses, excluding Taxes and insurance only) (Section 2(b)2(b)).........................$3,362.24 Taxes (Sections 2.(b) $8,556.44 and 3.(a))...........................................$4,803.20 Total initial monthly payment $43,788.84payment.............................................$46,350.88
(c) If any payment required of Tenant under this Lease is not paid within five fifteen (515) days after due, Landlord may charge Tenant a fee equal to 5% of the delinquent payment to reimburse Landlord for its cost and inconvenience incurred as a consequence of Tenant's delinquency. Notwithstanding the forgoing; provided, however, that if Tenant is late more than three (3) times in any given 12 month period, then subsequent to any such third late payment any failure to pay rent or any other sum when due shall be entitled subject to one written notice with a ten the foregoing late fee immediately (10) i.e., without the 15-day opportunity to cure a delinquent payment within any consecutive twelve month period before Tenant is obligated to pay the late charge set forth in this paragraphgrace period).
(d) All payments and reimbursements required to be made by Tenant under this Lease shall constitute "rentRENT" (herein so called).
(e) Landlord shall keep good and accurate books and records in accordance with sound accounting principles consistently applied concerning the Operating Expenses, and Tenant shall have the right, upon 10 days notice, to inspect and copy such books and records. In any event, Landlord shall credit Tenant in the same manner as overpayments of Operating Expenses per subparagraph (b) above all Operating Expenses shown by such inspection to have been overpaid by Tenant, as mutually determined by Landlord and Tenant in good faith, and, similarly, Tenant shall promptly pay Landlord all Operating Expenses shown by such inspection to have been underpaid by Tenant, as mutually determined by Landlord and Tenant in good faith. Tenant shall not have the right to conduct any such inspection more frequently than once annually or for periods prior to the immediately preceding lease year. Landlord shall reimburse Tenant for the audit expense if any overpayment is found to be 10% or greater.
Appears in 1 contract
BASE RENT, ADDITIONAL RENT AND SECURITY DEPOSIT. (a) Beginning on the Effective Date, Tenant shall pay to Landlord "Base Rent" ", monthly in advance, without demand, deduction or set off (except as expressly stated otherwise in Section 20 of this Lease) off, equal to the following amounts for the following periods of time: Tune Period Monthly Base RentPer Square Foot of Building Monthly Base Rent *Tenant’s obligation to pay Base Rent for the Premises shall be abated for the initial three (3) months of the Term of the Lease (the “Base Rent Abatement Period ”). However, only Base Rent shall be abated during the Base Rent Abatement Period, and Tenant shall remain responsible for Tenant’s Proportionate Share of Operating Expenses and all other sums due under the Lease during the Base Rent Abatement Period. The first monthly installment (after the expiration of any periods for which no Base Rent is due)installment, plus the other monthly charges set forth in Section 2(b), shall be due on the date hereofEffective Date; thereafter, monthly installments of Base Rent shall be due on the first day of each calendar month following the Commencement Effective Date. If the Term begins on a day other than the first day of a month or ends on a day other than the last day of a month, the Base Rent and additional rent for such partial month shall be prorated.
(b) It is the intention of Landlord and Tenant that, except as provided herein to the contrary, the Base Rent shall be absolutely net to Landlord; that all costs, expenses, and obligations of every kind relating to Tenant's use, occupancy, and possession of the Premises, which may arise or become due during the Term shall be paid by Tenant. Except for the Pass-Through Expenses (defined below), Tenant shall paypay directly to the provider of any goods and services, as additional rent all costs incurred in owning, operating, managing, repairing and maintaining the Premises (including for any period during which no Base Rent is due under Section 2(a) abovecollectively, “Operating Expenses”), its Proportionate Share of including, without limitation, the following items: (1) the cost of repairs, replacement, management fees and expenses, landscape maintenance and replacement, janitorial services, trash service (if provided), security service (if provided); (2) the cost of dues, assessments, and other charges applicable to the Premises payable to any property or community owner association under restrictive covenants or deed restrictions to which the Land is subject; (3) maintenance of fire sprinkler and other Building systems; (4) the cost of utilities; and (5) alterations, additions, and improvements (except as provided on Exhibit "B" attached hereto. It being acknowledged that Tenant (not Landlord) shall be responsible for providing each of the foregoing services. Tenant shall pay to Landlord, as additional rent (i) all Taxes (defined below) and ), including the cost of any tax consultant employed to assist Landlord in determining the fair tax valuation of the Building and LandPremises (provided that Landlord shall provide Tenant with at least thirty (30) days prior written notice before hiring any such consultant); and (2ii) the cost of any insurance maintained by Landlord, Landlord on the Premises; and (3iii) a management monthly administrative fee not to exceed 3% of gross rents from the Premises $200.00 for costs incurred by Landlord in administrating such pass-through expenses (collectively, "Operating “Pass-Through Expenses"”). On the same day that Base Rent is due, Tenant shall pay to Landlord an amount equal to 1/12 of Landlord's estimate of Tenant's Proportionate Share of annual Operating Pass-Through Expenses. The initial monthly payments are based upon Landlord's estimate of the Operating Pass-Through Expenses for the year in question, and shall be increased or decreased annually to reflect the projected actual Operating Pass-Through Expenses for that year. Within 90 days after each calendar year or as soon thereafter as is reasonably practicable, Landlord shall deliver to Tenant a statement setting forth the actual Operating Pass-Through Expenses for such year. Within ninety (90) days after Tenant’s receipt of such annual statement (“Review Period”), Tenant may elect to inspect, at reasonable times, in a reasonable manner and with at least thirty (30) days prior written notice to Landlord, such of Landlord’s books of account and records as pertain to and contain information concerning such costs and expenses in order to verify the amounts thereof; and if Tenant does not so elect to review Landlord’s books during such ninety (90) day period, Tenant will be deemed to have approved Landlord’s calculation of Operating Expenses as for the calendar year covered by the statement. If Tenant's total payments in respect of Operating estimated Pass-Through Expenses for any year are less than Tenant's Proportionate Share of Operating actual Pass-Through Expenses for that year, Tenant shall pay the difference to Landlord within ten thirty (30) days after Landlord's request therefor; if such payments of estimated Pass-Through Expenses are more than Tenant's Proportionate Share of Operating actual Pass-Through Expenses, Landlord shall retain such excess and credit it against Tenant's future monthly payments, except that any credit remaining at the expiration or earlier termination of this Lease shall be paid to Tenant within thirty (30) days after such expiration or termination. If Tenant determines during the Review Period that Neither Pass-Through Expenses nor Operating Expenses shall include the following: (A) any costs for interest, amortization, or other payments on loans to Landlord, or any depreciation on the Premises; (B) legal expenses other than those incurred for the year general benefit of the Premises; (C) federal income taxes imposed on or measured by the income of Landlord from the operation of the Premises; (D) costs incurred in question are less than reported selling, syndicating, financing, mortgaging, or hypothecating any of Landlord's interests in the annual statement by more than five percent (5%), Landlord Premises. There shall reimburse Tenant’s expenses incurred as a result be no duplication of Tenant’s inspection not to exceed $2,000. The amounts of the initial monthly Base Rent and Tenant's Proportionate Share of Operating Expenses (and the part thereof attributable to Taxes) are as follows: Base Rent (Section 2(a)) $35,232.40 Estimated Operating Expenses (Taxes and insurance only) (Section 2(b)) $8,556.44 Total initial monthly payment $43,788.84costs for reimbursements in calculating Pass-Through Expenses.
(c) If any payment required of Tenant under this Lease is not paid within five ten (510) days after due, Landlord may charge Tenant a fee equal to 5% of the delinquent payment to reimburse Landlord for its cost and inconvenience incurred as a consequence of Tenant's delinquency. Notwithstanding ; provided, however, that in the forgoingevent Tenant is one (1) or more days late in any payment required under this Lease, Tenant shall be entitled to one written notice with a ten pay upon demand any late fees or default interest charged by any Landlord's Mortgagee (10) day opportunity to cure a as hereinafter defined), resulting solely from such late payment, provided that such amount shall not exceed 5% of the delinquent payment within any consecutive twelve month period before Tenant is obligated to pay the late charge set forth in this paragraphpayment.
(d) All payments and reimbursements required to be made by Tenant under this Lease shall constitute "rent" (herein so called).
(e) Landlord shall keep good and accurate books and records in accordance with sound accounting principles consistently applied concerning the Pass-Through Expenses, and Tenant shall have the right, upon 10 days notice, to inspect and copy such books and records. In any event, Landlord shall credit Tenant in the same manner as overpayments of Pass-Through Expenses per subparagraph (b) above all Pass-Through Expenses shown by such inspection to have been overpaid by Tenant, as mutually determined by Landlord and Tenant in good faith, and, similarly, Tenant shall promptly pay Landlord all Pass-Through Expenses shown by such inspection to have been underpaid by Tenant, as mutually determined by Landlord and Tenant in good faith. Tenant shall not have the right to conduct any such inspection more frequently than once annually or for periods prior to the immediately preceding five year period.
(f) Tenant deposited with Landlord on or before the Commencement Date the amount of Thirty Three Thousand Seven Hundred Thirty Seven and No/100 Dollars ($33,737.00) (the "Security Deposit"), which shall be held by Landlord to secure Tenant's obligations under this Lease; however, the Security Deposit is not an advance rental deposit or a measure of Landlord's damages for an Event of Default (defined below). Landlord may use any portion of the Security Deposit to satisfy Tenant's unperformed obligations hereunder, without prejudice to any of Landlord's other remedies. If so used, Tenant shall pay Landlord an amount that will restore the Security Deposit to its original amount upon request. In connection with any waiver of a Tenant default or modification of this Lease, Landlord may require that Tenant provide Landlord with an additional amount to be held as part of the Security Deposit. The unused portion of the Security Deposit (together with a detailed accounting and supporting evidence of the amounts, if any, withheld from the Security Deposit) will be returned to Tenant within 30 days after the end of the Term, provided that Tenant has fully and timely performed its obligations hereunder throughout the Term.
Appears in 1 contract
Samples: Lease Agreement (Grande Communications Holdings, Inc.)
BASE RENT, ADDITIONAL RENT AND SECURITY DEPOSIT. (a) Beginning on the Effective Date, and subject to an increase in Base Rent associated with construction of additional buildings as provided in Exhibit "B", Tenant shall pay to Landlord "Base Rent" ", monthly in advance, without demand, deduction or set off (except as expressly stated otherwise in Section 20 of this Lease) off, equal to the following amounts for the following periods of time: Period Monthly Base RentPer Square Foot of Building Monthly Base Rent *Tenant’s obligation to pay Base Rent for the Premises shall be abated for the initial three (3) months of the Term of the Lease (the “Base Rent Abatement Period ”). However, only Base Rent shall be abated during the Base Rent Abatement Period, and Tenant shall remain responsible for Tenant’s Proportionate Share of Operating Expenses and all other sums due under the Lease during the Base Rent Abatement Period. The first monthly installment (after the expiration of any periods for which no Base Rent is due)installment, plus the other monthly charges set forth in Section 2(b), shall be due on the date hereofEffective Date; thereafter, monthly installments of Base Rent shall be due on the first day of each calendar month following the Commencement Effective Date. If the Term begins on a day other than the first day of a month or ends on a day other than the last day of a month, the Base Rent and additional rent for such partial month shall be prorated.
(b) It is the intention of Landlord and Tenant that, except as provided herein to the contrary, the Base Rent shall be absolutely net to Landlord; that all costs, expenses, and obligations of every kind relating to Tenant's use, occupancy, and possession of the Premises, which may arise or become due during the Term shall be paid by Tenant. Except for the Pass-Through Expenses (defined below), Tenant shall paypay directly to the provider of any goods and services, as additional rent all costs incurred in owning, operating, managing, repairing and maintaining the Premises (including for any period during which no Base Rent is due under Section 2(a) abovecollectively, “Operating Expenses”), its Proportionate Share of including, without limitation, the following items: (1) the cost of repairs, replacement, management fees and expenses, landscape maintenance and replacement, janitorial services, trash service (if provided), security service (if provided); (2) the cost of dues, assessments, and other charges applicable to the Premises payable to any property or community owner association under restrictive covenants or deed restrictions to which the Land is subject; (3) maintenance of fire sprinkler and other Building systems; (4) the cost of utilities; and (5) alterations, additions, and improvements (except as provided on Exhibit "B" attached hereto). It being acknowledged that Tenant (not Landlord) shall be responsible for providing each of the foregoing services. Tenant shall pay to Landlord, as additional rent (i) all Taxes (defined below) and ), including the cost of any tax consultant employed to assist Landlord in determining the fair tax valuation of the Building and LandPremises (provided that Landlord shall provide Tenant with at least thirty (30) days prior written notice before hiring any such consultant); and (2ii) the cost of any insurance maintained by Landlord, Landlord on the Premises; and (3iii) a management monthly administrative fee not to exceed 3% of gross rents from the Premises $200.00 for costs incurred by Landlord in administrating such pass-through expenses (collectively, "Operating “Pass-Through Expenses"”). On the same day that Base Rent is due, Tenant shall pay to Landlord an amount equal to 1/12 of Landlord's estimate of Tenant's Proportionate Share of annual Operating Pass-Through Expenses. The initial monthly payments are based upon Landlord's estimate of the Operating Pass-Through Expenses for the year in question, and shall be increased or decreased annually to reflect the projected actual Operating Pass-Through Expenses for that year. Within 90 days after each calendar year or as soon thereafter as is reasonably practicable, Landlord shall deliver to Tenant a statement setting forth the actual Operating Pass-Through Expenses for such year. Within ninety (90) days after Tenant’s receipt of such annual statement (“Review Period”), Tenant may elect to inspect, at reasonable times, in a reasonable manner and with at least thirty (30) days prior written notice to Landlord, such of Landlord’s books of account and records as pertain to and contain information concerning such costs and expenses in order to verify the amounts thereof; and if Tenant does not so elect to review Landlord’s books during such ninety (90) day period, Tenant will be deemed to have approved Landlord’s calculation of Operating Expenses as for the calendar year covered by the statement. If Tenant's total payments in respect of Operating estimated Pass-Through Expenses for any year are less than Tenant's Proportionate Share of Operating actual Pass-Through Expenses for that year, Tenant shall pay the difference to Landlord within ten thirty (30) days after Landlord's request therefor; if such payments of estimated Pass-Through Expenses are more than Tenant's Proportionate Share of Operating actual Pass- Through Expenses, Landlord shall retain such excess and credit it against Tenant's future monthly payments, except that any credit remaining at the expiration or earlier termination of this Lease shall be paid to Tenant within thirty (30) days after such expiration or termination. If Tenant determines during the Review Period that Neither Pass-Through Expenses nor Operating Expenses shall include the following: (A) any costs for interest, amortization, or other payments on loans to Landlord, or any depreciation on the Premises; (B) legal expenses other than those incurred for the year general benefit of the Premises; (C) federal income taxes imposed on or measured by the income of Landlord from the operation of the Premises; (D) costs incurred in question are less than reported selling, syndicating, financing, mortgaging, or hypothecating any of Landlord's interests in the annual statement by more than five percent (5%), Landlord Premises. There shall reimburse Tenant’s expenses incurred as a result be no duplication of Tenant’s inspection not to exceed $2,000. The amounts of the initial monthly Base Rent and Tenant's Proportionate Share of Operating Expenses (and the part thereof attributable to Taxes) are as follows: Base Rent (Section 2(a)) $35,232.40 Estimated Operating Expenses (Taxes and insurance only) (Section 2(b)) $8,556.44 Total initial monthly payment $43,788.84costs for reimbursements in calculating Pass-Through Expenses.
(c) If any payment required of Tenant under this Lease is not paid within five ten (510) days after due, Landlord may charge Tenant a fee equal to 5% of the delinquent payment to reimburse Landlord for its cost and inconvenience incurred as a consequence of Tenant's delinquency. Notwithstanding ; provided, however, that in the forgoingevent Tenant is one (1) or more days late in any payment required under this Lease, Tenant shall be entitled to one written notice with a ten pay upon demand any late fees or default interest charged by any Landlord's Mortgagee (10) day opportunity to cure a as hereinafter defined), resulting solely from such late payment, provided that such amount shall not exceed 5% of the delinquent payment within any consecutive twelve month period before Tenant is obligated to pay the late charge set forth in this paragraphpayment.
(d) All payments and reimbursements required to be made by Tenant under this Lease shall constitute "rent" (herein so called).
(e) Landlord shall keep good and accurate books and records in accordance with sound accounting principles consistently applied concerning the Pass-Through Expenses, and Tenant shall have the right, upon 10 days notice, to inspect and copy such books and records. In any event, Landlord shall credit Tenant in the same manner as overpayments of Pass-Through Expenses per subparagraph (b) above all Pass-Through Expenses shown by such inspection to have been overpaid by Tenant, as mutually determined by Landlord and Tenant in good faith, and, similarly, Tenant shall promptly pay Landlord all Pass-Through Expenses shown by such inspection to have been underpaid by Tenant, as mutually determined by Landlord and Tenant in good faith. Tenant shall not have the right to conduct any such inspection more frequently than once annually or for periods prior to the immediately preceding five year period.
(f) Tenant deposited with Landlord on or before the Commencement Date the amount of Twenty Seven Thousand Six Hundred Three and No/100 Dollars ($27,603.00) (the "Security Deposit"), which shall be held by Landlord to secure Tenant's obligations under this Lease; however, the Security Deposit is not an advance rental deposit or a measure of Landlord's damages for an Event of Default (defined below). Landlord may use any portion of the Security Deposit to satisfy Tenant's unperformed obligations hereunder, without prejudice to any of Landlord's other remedies. If so used, Tenant shall pay Landlord an amount that will restore the Security Deposit to its original amount upon request. In connection with any waiver of a Tenant default or modification of this Lease, Landlord may require that Tenant provide Landlord with an additional amount to be held as part of the Security Deposit. The unused portion of the Security Deposit (together with a detailed accounting and supporting evidence of the amounts, if any, withheld from the Security Deposit) will be returned to Tenant within 30 days after the end of the Term, provided that Tenant has fully and timely performed its obligations hereunder throughout the Term.
Appears in 1 contract
Samples: Lease Agreement (Grande Communications Holdings, Inc.)
BASE RENT, ADDITIONAL RENT AND SECURITY DEPOSIT. (a) Tenant shall pay to Landlord "Base Rent" in advance, without demand, deduction or set off (except as expressly stated otherwise in Section 20 of this Lease) off; equal to the following amounts for the following periods of time: Period Monthly Base RentPer Square Foot of Building Monthly Base Rent *Tenant’s obligation to pay Base Rent for the Premises shall be abated for the initial three (3) months of the Term of the Lease (the “Base Rent Abatement Period ”). However, only Base Rent shall be abated during the Base Rent Abatement Period, and Tenant shall remain responsible for Tenant’s Proportionate Share of Operating Expenses and all other sums due under the Lease during the Base Rent Abatement Period. The first monthly installment (after the expiration of any periods for which no Base Rent is due), plus the other monthly charges set forth in Section 2(b), shall be due on the date hereof; thereafter, monthly installments of Base Rent shall be due on the first day of each calendar month following the Commencement Date. If the Term begins on a day other than the first day of a month or ends on a day other than the last day of a month, the Base Rent and additional rent for such partial month shall be prorated.
(b) Tenant shall pay, as additional rent (including for any period during which no Base Rent is due under Section 2(a) above), its Proportionate Share of all costs incurred in owning, operating, managing, and maintaining the Premises, the Land and the Building and the facilities and services provided for the common use of Tenant and any other tenants of the Project (collectively, "Operating Expenses") including the following items: (1) Taxes (defined below) and the cost of any tax consultant employed to assist Landlord in determining the fair tax valuation of the Building and Land; and (2) the cost of any insurance maintained by Landlord, and all utilities used in the Building which are not billed separately to a tenant for above Building standard utility consumption or otherwise; (3) the cost of insurance; (4) the cost of repairs, replacement and expenses, landscape maintenance and replacement, trash service (if provided), security service (if provided) and a replacement reserve for capital items; (5) wages and salaries (including management fee not fees) of all employees, agents, consultants and other individuals or entities engaged in the operation, repair, replacement, maintenance or security of the Project, including taxes, insurance and benefits relating thereto; (6) the cost of dues, assessments, and other charges applicable to exceed 3% the Land payable to any property or community owner association under restrictive covenants or deed restrictions to which the Land is subject; (7) maintenance of gross rents from the Premises fire sprinkler systems; and (collectively8) alterations, "additions, and improvements made by Landlord to comply with Laws (defined below) or in order to reduce Operating Expenses". If a particular expense is incurred or charged to more than one building in the Project rather than solely to the Building (such as Taxes on the Land), then, for the purposes of calculating Operating Expenses, the amount of such multi-building expense to be included in Operating Expenses shall be determined by multiplying the expense in question by a fraction, the numerator of which shall be the square footage of the Building and the denominator of which shall be the square footage area of the buildings for which the expense was incurred or otherwise allocated to. On the same day that Base Rent is due, Tenant shall pay to Landlord an amount equal to 1/12 of Landlord's estimate of Tenant's Proportionate Share of annual Operating Expenses. The initial monthly payments are based upon Landlord's estimate of the Operating Expenses for the year in question, and shall be increased or decreased annually to reflect the projected actual Operating Expenses for that year. Within 90 days after each calendar year or as soon thereafter as is reasonably practicable, Landlord shall deliver to Tenant a statement setting forth the actual Operating Expenses for such year. Within ninety (90) days after Tenant’s receipt of such annual statement (“Review Period”), Tenant may elect to inspect, at reasonable times, in a reasonable manner and with at least thirty (30) days prior written notice to Landlord, such of Landlord’s books of account and records as pertain to and contain information concerning such costs and expenses in order to verify the amounts thereof; and if Tenant does not so elect to review Landlord’s books during such ninety (90) day period, Tenant will be deemed to have approved Landlord’s calculation of Operating Expenses as for the calendar year covered by the statement. If Tenant's total payments in respect of Operating Expenses for any year are less than Tenant's Proportionate Share of Operating Expenses for that year, Tenant shall pay the difference to Landlord within ten days after Landlord's request therefor; if such payments are more than Tenant's Proportionate Share of Operating Expenses, Landlord shall retain such excess and credit it against Tenant's future monthly payments, except that any credit remaining at the expiration or earlier termination of this Lease shall be paid to Tenant within thirty (30) days after such expiration or termination. If Tenant determines during the Review Period that Operating Expenses shall not include the following: (A) any costs for interest, amortization, or other payments on loans to Landlord, or any depreciation on the Building; (B) commissions or other expenses incurred in leasing or procuring tenants; (C) legal expenses other than those incurred for the year in question are less than reported general benefit of the tenants of the Building; (D) allowances, concessions, and other costs of renovating or otherwise improving space for occupants of the Building or vacant space in the annual statement Building; (E) federal income taxes imposed on or measured by more than five percent the income of Landlord from the operation of the Building; (5%)F) rents under ground leases; (G) costs incurred in selling, syndicating, financing, mortgaging, or hypothecating any of Landlord's interests in the Building; and (H) costs of capital improvements except for those provided in (8) above and except that Landlord may include in Operating Expenses only such portion of capital improvement costs as is necessary to amortize such improvements over their useful life. There shall reimburse Tenant’s expenses incurred as a result be no duplication of Tenant’s inspection not to exceed $2,000costs for reimbursements in calculating Operating Expenses. The amounts of the initial monthly Base Rent and Tenant's Proportionate Share of Operating Expenses (and the part thereof attributable to Taxes) are as follows: Base Rent (Section 2(a)) $35,232.40 $ 4,500.00 Estimated Operating Expenses (Expenses, including Taxes and insurance only) (Section 2(b)) $8,556.44 $ 2,017.50 Total initial monthly payment $43,788.84$ 6,517.50
(c) If any payment required of Tenant under this Lease is not paid within five (5) days after due, Landlord may charge Tenant a fee equal to 58% of the delinquent payment to reimburse Landlord for its cost and inconvenience incurred as a consequence of Tenant's delinquency. Notwithstanding the forgoing, Tenant shall be entitled to one written notice with a ten (10) day opportunity to cure a delinquent payment within any consecutive twelve month period before Tenant is obligated to pay the late charge set forth in this paragraph.
(d) All payments and reimbursements required to be made by Tenant under this Lease shall constitute "rent" (herein so called). All rent payments shall be sent to the following address, which address may be changed from time to time by Landlord: HPI San Antonio Industrial, LLC X.X. Xxx 000000 Xxxxxx, Xxxxx 00000-0000
(e) Landlord shall keep good and accurate books and records in accordance with sound accounting principles consistently applied concerning the Operating Expenses, and Tenant shall have the right, upon 10 days notice provided within 45 days following the delivery of Landlord's statement of the actual amount of Operating Expenses, to inspect and copy such books and records. Tenant agrees that any information obtained during an inspection by Tenant of Landlord's books and records shall be kept in confidence by Tenant and its agents and employees and shall not be disclosed to any other parties, except to Tenant's attorneys, accountants and other consultants. Any parties retained by Tenant to inspect Landlord's books and records shall not be compensated on a contingency fee basis. In any event, Landlord shall credit Tenant in the same manner as overpayments of Operating Expenses per subparagraph (b) above all Operating Expenses shown by such inspection to have been overpaid by Tenant, as mutually determined by Landlord and Tenant in good faith, and, similarly, Tenant shall promptly pay Landlord all Operating Expenses shown by such inspection to have been underpaid by Tenant, as mutually determined by Landlord and Tenant in good faith. Tenant shall not have the right to conduct any such inspection more frequently than once annually or for periods prior to the immediately preceding calendar year. If Tenant shall not dispute any item or items included in the determination of Operating Expenses for a particular calendar year by delivering a written notice to Landlord generally describing in reasonable detail the basis of such dispute within 45 days after the statement for such year was delivered to it, Tenant shall be deemed to have approved such statement.
(f) Tenant shall deposit with Landlord on the date hereof $6,517.50 (the "Security Deposit") which shall be held by Landlord to secure Tenant's obligations under this Lease; however, the Security Deposit is not an advance rental deposit or a measure of Landlord's damages for an Event of Default (defined below). Landlord may use any portion of the Security Deposit to satisfy Tenant's unperformed obligations hereunder, without prejudice to any of Landlord's other remedies. If so used, Tenant shall pay Landlord an amount that will restore the Security Deposit to its original amount upon request. In connection with any waiver of a Tenant default or modification of this Lease, Landlord may require that Tenant provide Landlord with an additional amount to be held as part of the Security Deposit. The unused portion of the Security Deposit (together with a detailed accounting and supporting evidence of the amounts, if any, withheld from the Security Deposit) will be returned to Tenant within 30 days after the end of the Term, provided that no Event of Default exists at the expiration of the Term.
(g) With respect to any calendar year or partial calendar year in which the Building is not occupied to the extent of 95% of the area thereof those Operating Expenses which fluctuate with occupancy for such period shall, for the purposes hereof, be increased to the amount which would have been incurred had the Building been occupied to the extent of 95% of the area thereof.
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