Common use of Change in Regulation Clause in Contracts

Change in Regulation. If during the Term any governmental authority implements a new regulation or changes its interpretation or enforcement of existing regulations (including any life safety, fire code or other laws or regulations) which necessitates repairs, renovations or other improvements to the Facility (each a “Required Improvement” and collectively, the “Required Improvements”), Tenant shall bear the cost of such Required Improvements up to a maximum of $50,000.00 in any Lease Year. If the cost of the Required Improvements in any Lease Year exceeds $50,000.00, Landlord shall pay the amount exceeding $50,000.00 (such excess, the “Landlord Investment”); provided, however, Tenant shall pay the Annual Yield on the Landlord Investment in accordance with the terms and conditions of Section 3.3 above.