Improvement Financial Obligation. Unless otherwise approved by the CEO, Concessionaire covenants and guarantees that Concessionaire shall make a collective capital investment in the improvement to the Units contemplated by this Agreement in an amount not less than the amount set forth in the Basic Information, as the “Initial Minimum Investment Amount” (“Minimum Investment Amount”). The following types of expenditures by Concessionaire shall not be included or otherwise credited toward the satisfaction of the Minimum Investment Amount: (a) any interest or financing costs; (b) any architectural, design or in-house costs in excess of fifteen percent (15%) of the hard costs for the related improvements; and (c) any costs incurred for personal property placed or installed within the Units (collectively, the “Excluded Expenditures”). The Minimum Investment Amount shall be expended by Concessionaire on the improvements to the Units as set forth in an excerpt of Concessionaire’s Proposal attached hereto and incorporated by reference herein as Exhibit A. In the event that Concessionaire fails to invest the Minimum Investment Amount as provided above, Concessionaire shall pay to City the positive shortfall, as reasonably determined by the CEO, between the Minimum Investment Amount and the amount actually invested by Concessionaire in improvements (excluding any Excluded Expenditures). Concessionaire shall pay to City any such shortfall within thirty (30) days following written demand by the CEO. K:R.T/CDG/Concessions/Food&Beverage/Areas/T7-LAX-F&B 2017-02-27-Contract-T7-LAX-F&B-v3
Improvement Financial Obligation. Concessionaire guarantees that Concessionaire will make capital investments for the Initial Improvements to the Premises (exclusive of architectural, engineering and in-house fees in excess of fifteen percent (15%) of hard costs and any capital improvements made by City), in an amount of not less than the amount set forth in the Basic Information as the "Initial Minimum Investment Amount," allocated amongst the Units as set forth in the Basic Information; provided, however, in no event shall the Initial Minimum Investment Amount include any costs of procuring, constructing or installing in any Unit any of Concessionaire's ’’Personal Property” which includes movable displays, racks and refrigeration units/equipment, ALL point-of-sale equipment, cash drawers, sorting equipment, IT/data/computer equipment (not infrastructure), and any other items designated as such by the Executive Director. Such Initial Minimum Investment Amount shall be expended by Concessionaire on the Initial Improvements constructed in accordance with this Agreement, allocated amongst the Units as set forth in the Basic Information, on or before the date Outside MMG Commencement Date for each Unit in accordance with the Initial Improvements Plan. Concessionaire shall pay to City an amount equal to the positive shortfall, if any, between the Initial Minimum Investment Amount and the actual amount expended by Concessionaire on the Initial Improvements (exclusive of architectural, engineering and in-house fees in excess of fifteen percent (15%) of hard costs) (the "Actual Initial Investment") on a Unit-by-Unit basis as of the first day of the third (3rd) month after the MMG Commencement Date for each Unit constructed. Said payment shall be made on a Unit-by-Unit basis on or before the sixtieth (60th) day after the first day of the third (3rd) month after the MMG Commencement Date for each Unit constructed. These amounts shall exclude any sum expended by Concessionaire for the separate metering or invoicing of utilities.
Improvement Financial Obligation. Concessionaire guarantees that it will make capital investments for said concession, exclusive of any capital improvements made by City, in an amount of not less than $1,300,000 . Said amount shall be expended on the initial improvements constructed and in accordance with Concessionaires proposal dated March 24, 1997. Concessionaire shall provide the City with receipts and other suitable documentation of the aforementioned required expenditure as furthered referenced in Section 8-19. Concessionaire shall pay to City an amount equal to the shortfall, if any, between its total proposed investment and its actual investment as of the first day of the third month of operation of the last facility constructed. Said payment shall be made on or before the sixtieth (60th) day after the first day of the third month of operation of the last facility constructed. Should the costs to make the referenced improvements exceed the minimum required amount as stated above, said costs shall be the sole responsibility of the Concessionaire.
