Common use of Market Rate Clause in Contracts

Market Rate. If Landlord and Tenant have not agreed on the Prevailing Market rate within 30 days after Tenant’s Initial Extension Notice, then the Prevailing Market rate will be 100% of the then-fair market rental value of the Leased Premises as determined below. The “then-fair market rental value of the Leased Premises” means the amount that a landlord under no compulsion to lease the Leased Premises and a tenant under no compulsion to lease the Leased Premises would determine as rent for the Extension Term as of the commencement of such Extension Term, taking into consideration the uses permitted under this Lease, the quality, size, design, tenant finish, brokerage commissions, and location of the Leased Premises, and the rent for comparable office buildings located in the area. Landlord and Tenant will each appoint a real estate appraiser with at least 10 years’ full time commercial appraisal experience in the area in which the Leased Premises are located to appraise the then-fair market rental value of the Leased Premises. If either Landlord or Tenant does not appoint an appraiser within 10 days after the other has given notice of the name of its appraiser, the single appraiser appointed will be the sole appraiser and will set the then-fair market rental value of the Leased Premises. If two appraisers are appointed pursuant to this paragraph, they will meet promptly and attempt to set the then-fair market rental value of the Leased Premises. If they are unable to agree within 30 days after the second appraiser has been appointed, they will attempt to elect a third appraiser meeting the qualifications stated in this paragraph within 10 days after the last day the two appraisers are given to set the then-fair market rental value of the Leased Premises. If they are unable to agree on the third appraiser, either Landlord or Tenant, by giving 10 days’ prior notice to the other, can apply to the then presiding Judge of the County Court in which the Leased Premises is located for the selection of a third appraiser who meets the qualifications stated in this paragraph. Landlord and Tenant will bear one-half of the cost to appoint a third appraiser and one-half of the cost of the third appraiser’s fee. The third appraiser, however selected, must be a person who has not previously acted in any capacity for either Landlord or Tenant. Within 30 days after the selection of the third appraiser, the majority of the appraisers will set the then-fair market rental value of the Leased Premises. If a majority of the appraisers are unable to set the then-fair market rental value of the Leased Premises within 30 days after selection of the third appraiser, the two appraisals that are closest in value will be averaged and the average will be the then-fair market rental value of the Leased Premises.

Market Rate. Market Rate shall be defined as what an arms's-length, non-expansion, non-renewal, non-equity tenant of comparable credit to Tenant would, as of the beginning of the term in question, pay for space of comparable size, quality, utility and location, taking into account the length of the term and all allowances and concessions being offered in the market. The Market Rate shall be determined as follows: Within thirty (30) days after Landlord receives notice from Tenant of Tenant's election to exercise the Second Expansion Option or an extension option, Landlord will give notice to Tenant of its determination of the Market Rate for the Premises or the Second Expansion Option Space, as applicable, and Landlord's determination will constitute the Market Rate unless Tenant objects by notice to Landlord in writing within thirty (30) days after Tenant's receipt of Landlord's determination. If Tenant so objects, the (i) if neither Sum A nor Sum B differs from the middle appraised value by more than 10% of the middle appraised value, then the Market Rate will be the average of the three appraisals (i) if neither Sum A or Sum B (but not both) differs from the middle appraised value by more than 10% of the middle, appraised value, then the Market Rate will be the average of the middle appraised value and the appraised value closer in amount to the middle appraised value, and (iii) if both Sum A and Sum B differ from the middle appraised value by more than 10% of the middle appraised value, then the Market Rate will be equal to the middle appraised value. Written notice of the Market Rate as duly determined in accordance with this Section shall be promptly given to Landlord and Tenant have not agreed on the Prevailing Market rate within 30 days after Tenant’s Initial Extension Notice, then the Prevailing Market rate and will be 100% binding and conclusive on them. Each party will bear its own expenses in connection with the board proceeding, except that the fees of the then-fair market rental value of Experts will be borne equally. If, for any reason the Leased Premises as Market Rate has not been determined below. The “then-fair market rental value of at the Leased Premises” means the amount that a landlord under no compulsion to lease the Leased Premises and a tenant under no compulsion to lease the Leased Premises would determine as rent for the Extension Term as time of the commencement of such the Extension TermTerm or term with respect to the Second Expansion Option Space, taking into consideration then the uses permitted under this Lease, the quality, size, design, tenant finish, brokerage commissions, and location of the Leased Premises, and the rent for comparable office buildings located in the area. Landlord and Tenant will each appoint a real estate appraiser with at least 10 years’ full time commercial appraisal experience in the area in which the Leased Premises are located to appraise the then-fair market rental value of the Leased Premises. If either Landlord or Tenant does not appoint an appraiser within 10 days after the other has given notice of the name of its appraiser, the single appraiser appointed Market Rate will be the sole appraiser amount set forth in Landlord's determination, and will set if the then-fair market rental value determination of the Leased Premises. If two appraisers are appointed pursuant Experts as provided above indicates that a lesser or greater amount should have been paid than that which was actually paid, a proper adjustment will be made in a payment from Landlord to this paragraph, they will meet promptly and attempt to set the then-fair market rental value of the Leased Premises. If they are unable to agree within 30 days after the second appraiser has been appointed, they will attempt to elect a third appraiser meeting the qualifications stated in this paragraph within 10 days after the last day the two appraisers are given to set the then-fair market rental value of the Leased Premises. If they are unable to agree on the third appraiser, either Landlord or Tenant, by giving 10 days’ prior notice or Tenant to Landlord, as the other, can apply to the then presiding Judge of the County Court in which the Leased Premises is located for the selection of a third appraiser who meets the qualifications stated in this paragraph. Landlord and Tenant will bear one-half of the cost to appoint a third appraiser and one-half of the cost of the third appraiser’s fee. The third appraiser, however selected, must be a person who has not previously acted in any capacity for either Landlord or Tenant. Within 30 days after the selection of the third appraiser, the majority of the appraisers will set the then-fair market rental value of the Leased Premises. If a majority of the appraisers are unable to set the then-fair market rental value of the Leased Premises within 30 days after selection of the third appraiser, the two appraisals that are closest in value will be averaged and the average will be the then-fair market rental value of the Leased Premisescase may be.

Market Rate. If Landlord and Tenant have not agreed on Market Rate, as used herein, shall mean the Prevailing Market rate within 30 days after Tenant’s Initial Extension Notice, then the Prevailing Market rate will be 100% (as of the then-date of such determination) fair market rental value of the Leased Premises or applicable Expansion Space, as the case may be, determined in accordance with the provisions set forth below. The “then-fair market rental value Following Tenant's exercise of an expansion option or the Leased Premises” means renewal option, Landlord and Tenant shall have thirty (30) days thereafter to agree upon the amount that a landlord under no compulsion Market Rate to lease be paid by Tenant to Landlord for the Leased Premises and a tenant under no compulsion to lease or the applicable Expansion Space, as the case may be, it being intended that the rental for the Leased Premises or such Expansion Space shall be equal to one hundred percent (100%) of what a willing, comparable new non-equity tenant would determine pay and receive and what a willing, comparable landlord of a comparable Class A office building in the Sunrise/Sawgrass market area would give at arms length, as rent for the Extension Term as of the commencement of such Extension Termrent, taking into consideration the uses permitted under this Lease, the quality, size, designconcessions, tenant finishimprovement allowances, other allowances, brokerage commissions, inducements and location other economic considerations for the lease of space comparable to the Leased Premises or the Expansion Space, as the case may be, for which the Market Rate is being determined, taking into account all relevant factors applicable to the lease of such space for the duration of the Lease Term or the applicable I. designation who has a minimum of ten (10) years experience in appraising similar properties in the submarket in which the Leased Premises is located. Each such appraiser shall determine the Market Rate of the Leased PremisesPremises or the applicable Expansion Space, and as the rent for comparable office case may be, based upon an analysis of similar buildings located in the area. Landlord and Tenant will each appoint a real estate appraiser with at least 10 years’ full time commercial appraisal experience in the area in which the Leased Premises are is located to appraise and considering all other factors provided above. In the then-fair market rental value event each appraiser identifies a Market Rate which is within five percent (5%) of the Leased Premises. If either Landlord or Tenant does not appoint an appraiser within 10 days after other appraiser's Market Rate, it shall be conclusively determined that the other has given notice of the name of its appraiser, the single appraiser appointed will be the sole appraiser and will set the then-fair market rental value of the Leased Premises. If two appraisers are appointed pursuant to this paragraph, they will meet promptly and attempt to set the then-fair market rental value of the Leased Premises. If they are unable to agree within 30 days after the second appraiser has been appointed, they will attempt to elect a third appraiser meeting the qualifications stated in this paragraph within 10 days after the last day the two appraisers are given to set the then-fair market rental value of the Leased Premises. If they are unable to agree on the third appraiser, either Landlord or Tenant, by giving 10 days’ prior notice to the other, can apply to the then presiding Judge of the County Court in which the Leased Premises is located for the selection of a third appraiser who meets the qualifications stated in this paragraph. Landlord and Tenant will bear one-half of the cost to appoint a third appraiser and one-half of the cost of the third appraiser’s fee. The third appraiser, however selected, must be a person who has not previously acted in any capacity for either Landlord or Tenant. Within 30 days after the selection of the third appraiser, the majority of the appraisers will set the then-fair market rental value of the Leased Premises. If a majority of the appraisers are unable to set the then-fair market rental value Market Rate of the Leased Premises within 30 days after selection shall be equal to the average of the third appraisertwo (2) amounts. In the event the two (2) appraisers' figures for Market Rate differ by more than five percent (5%), the two appraisals (2) appraisers shall jointly choose a third appraiser holding the same qualifications, which appraiser shall make a determination as to the Market Rate; in such event it shall be conclusively determined that are closest in value will the Market Rate shall be averaged equal to the average of such third appraiser's Market Rate and the average will be next closest Market Rate as determined by the then-fair market rental value of the Leased Premisesfirst two (2) appraisers.

Market Rate. If Landlord and Tenant have not agreed on For purposes of Section 1.3 hereof, the Prevailing Market rate within 30 days after Tenant’s Initial Extension Notice, term “market rate” Basic Rent shall mean the then the Prevailing Market rate will be 100% of the then-fair market rental value rate being paid by creditworthy tenants with a similar net worth as Tenant for office buildings in the greater Princeton, New Jersey market area (with adjustment for relevant submarket deviations) that are of comparable location, size, quality and condition as the Demised Premises, for a 10-year term commencing on the first day of such Renewal Term, in its then existing condition, in an arm’s-length transaction between a willing landlord and tenant at the time such rate is established, and considering all buildings, structures and fixtures erected on the Demised Premises (including, without limitation, parking facilities) and replacements thereof (except Tenant’s Property, trade fixtures, machinery and equipment and any alterations or improvements made or caused to be made by Tenant to the Demised Premises). The determination of market rate shall take into consideration among other things the location of the Leased Building; use; the absence of leasehold improvements to be provided by Landlord; the amount of allowances to be provided to Tenant; the extent of services provided by Landlord and by other landlords; market concessions being offered to other tenants, such as rent abatement and rent credits, allowances, and other adjustments, and the fact that no work is to be done by Landlord for Tenant. Market value shall also reflect only the actual brokerage commission, if any, payable by Landlord to an unaffiliated third party broker in connection with renewing this Lease, that the Demised Premises as determined below. The “thenare leased to a single tenant and that Tenant has the right to exclusive possession thereof, that no improvement work or costs will be required by Landlord to convert the space to multi-fair market rental value user space, or otherwise, and that there will be no down time during which a tenant will not be paying rent to Landlord between the expiration of the Leased Premises” means the amount that a landlord under no compulsion to lease the Leased Premises current Term and a tenant under no compulsion to lease the Leased Premises would determine as rent for the Extension Term as of the commencement of such Extension the Renewal Term. Not earlier than sixteen (16) months and not later than fifteen (15) months prior to the end of the then current Term, taking into consideration the uses permitted under this Lease, the quality, size, design, tenant finish, brokerage commissions, and location Landlord shall notify Tenant of the Leased Premisesmarket rate as determined by Landlord in its good faith judgment for the applicable Renewal Term. Should Tenant disagree with Landlord’s determination, it shall notify Landlord within fifteen (15) business days of receipt of Landlord’s determination and the rent for comparable office buildings located parties shall meet and attempt to resolve the difference in the area. Landlord and Tenant will each appoint good faith within a real estate appraiser with at least 10 years’ full time commercial appraisal experience in the area in which the Leased Premises are located to appraise the then-fair market rental value period of the Leased Premisesfifteen (15) business days thereafter. If either Landlord or Tenant does not appoint an appraiser within 10 days after fails to give timely notice of its disagreement, Landlord’s quoted market rate shall be deemed to be the other applicable market rate. If Tenant has given notice of the name of its appraiser, the single appraiser appointed will be the sole appraiser disagreement and will set the then-fair market rental value of the Leased Premises. If two appraisers are appointed pursuant to this paragraph, they will meet promptly Landlord and attempt to set the then-fair market rental value of the Leased Premises. If they Tenant are unable to agree reach agreement as to the market rate Basic Rent within 30 such fifteen (15) business day period after Tenant’s notice, then the market rate Basic Rent shall be determined in accordance with the following provisions. Either party may require an independent determination of the market rate for the applicable Renewal Term by giving written notice to the other no later than five (5) business days after the second expiration of such fifteen (15) day period, which notice shall designate a real estate broker or M.A.I. appraiser (each an “Appraiser”) with at least ten (10) years experience in office building leasing and/or the appraisal of improved office building rental properties in the same geographical area as the Building, and who is disinterested and has not been appointedengaged by the appointing party for brokerage or real estate appraisal work during the preceding five (5) year period. Within five (5) business days after receipt of such notice, they will attempt the other party to elect a third appraiser this Lease shall select an Appraiser meeting the qualifications stated in this paragraph aforesaid requirements and give written notice of such selection to the initiating party. If the two (2) Appraisers fail to agree upon the market rate within 10 fifteen (15) days after selection of the second Appraiser, the two (2) Appraisers shall, within five (5) business days after the last day date of such failure, select a third (3rd) Appraiser meeting the foregoing requirements and such third (3rd) Appraiser shall determine the market rate within fifteen (15) days after the appointment of third (3rd) Appraiser. The market rate applicable to the applicable Renewal Term shall equal the arithmetic average of such three (3) determinations; provided, however, that any Appraiser’s determination which deviates by more than ten percent (10%) from the median of the three (3) determinations, shall be disregarded for purposes of such averaging. The determination of the market rate in accordance with the foregoing shall be final, binding and conclusive on Landlord and Tenant. The fees of Tenant’s Appraiser shall be paid by Tenant, the fees of Landlord’s Appraiser shall be paid by Landlord and the fees of any third (3rd) Appraiser shall be split evenly between the parties. In the event Tenant objected to Landlord’s proposed market rate and the parties determined the market rate by using the procedure set forth above, then Tenant shall have the following options, which must be exercised, if at all, by delivering written notice to Landlord not later than twelve (12) months prior to the end of the then current Term: (i) to accept such market rate (subject to the floor and cap on the new Basic Rent as provided in Section 1.3 above) and exercise the Renewal Option, or (ii) to decline to exercise its Renewal Option, whereupon this Lease shall terminate at the expiration of the then current Term. If the party receiving a request for determination of the market rate by the Appraiser process fails to appoint its Appraiser within the time above specified, or if the two appraisers are given to set the then-fair market rental value of the Leased Premises. If they are unable to (2) Appraisers so selected cannot agree on the third appraiser, either Landlord or Tenant, by giving 10 days’ prior notice to the other, can apply to the then presiding Judge of the County Court in which the Leased Premises is located for the selection of a third appraiser who meets the qualifications stated in this paragraph. Landlord and Tenant will bear one-half of the cost to appoint a third appraiser and one-half of the cost of the third appraiser’s fee. The third appraiser, however selected, must be a person who has not previously acted in any capacity for either Landlord or Tenant. Within 30 days after the selection of the third appraiserAppraiser within the time above specified, then either party, on behalf of both parties, may request such appointment of such second Appraiser or third Appraiser, as the majority case may be, by application to any Judge of the appraisers will set Superior Court of Xxxxxx County, New Jersey, upon ten (10) days’ prior written notice to the then-fair market rental value other party of the Leased Premises. If a majority of the appraisers are unable to set the then-fair market rental value of the Leased Premises within 30 days after selection of the third appraiser, the two appraisals that are closest in value will be averaged and the average will be the then-fair market rental value of the Leased Premisessuch request.

Market Rate. Market Rate shall be defined as what an arm's-length, non-expansion, non-renewal, non-equity tenant of comparable credit to Tenant would, as of the beginning of the term in question, pay for space of comparable size, quality, utility and location, taking into account the length of the term and all allowances and concessions being offered in the market. The Market Rate shall be determined as follows: Within thirty (30) days after Landlord receives notice from Tenant of Tenant's election to exercise the Second Expansion Option or an extension option, Landlord will give notice to Tenant of its determination of the Market Rate for the Premises or the Second Expansion Option Space, as applicable, and Landlord's determination will constitute the Market Rate unless Tenant objects by notice to Landlord in writing, within thirty (30) days after Tenant's receipt of Landlord's determination. If Tenant so objects, the (i) if neither Sum A nor Sum B differs from the middle appraised value by more than 10% of the middle appraised value, then the Market Rate will be the average of the three appraisals, (ii) if either Sum A or Sum B (but not both) differs from the middle appraised value by more than 10% of the middle appraised value, then the Market Rate will be the average of the middle appraised value and the appraised value closer in amount to the middle appraised value, and (iii) if both Sum A and Sum B differ from the middle appraised value by more than 10% of the middle appraised value, then the Market Rate will be equal to the middle appraised value. Written notice of the Market Rate as duly determined in accordance with this Section shall be promptly given to Landlord and Tenant have not agreed on the Prevailing Market rate within 30 days after Tenant’s Initial Extension Notice, then the Prevailing Market rate and will be 100% binding and conclusive on them. Each party will bear its own expenses in connection with the board proceeding, except that the fees of the then-fair market rental value of Experts will be borne equally. If, for any reason, the Leased Premises as Market Rate has not been determined below. The “then-fair market rental value of at the Leased Premises” means the amount that a landlord under no compulsion to lease the Leased Premises and a tenant under no compulsion to lease the Leased Premises would determine as rent for the Extension Term as time of the commencement of such the Extension TermTerm or term with respect to the Second Expansion Option Space, taking into consideration then the uses permitted under this Lease, the quality, size, design, tenant finish, brokerage commissions, and location of the Leased Premises, and the rent for comparable office buildings located in the area. Landlord and Tenant will each appoint a real estate appraiser with at least 10 years’ full time commercial appraisal experience in the area in which the Leased Premises are located to appraise the then-fair market rental value of the Leased Premises. If either Landlord or Tenant does not appoint an appraiser within 10 days after the other has given notice of the name of its appraiser, the single appraiser appointed Market Rate will be the sole appraiser amount set forth in Landlord's determination, and will set if the then-fair market rental value determination of the Leased Premises. If two appraisers are appointed pursuant Experts as provided above indicates that a lesser or greater amount should have been paid than that which was actually paid, a proper adjustment will be made in a payment from Landlord to this paragraph, they will meet promptly and attempt to set the then-fair market rental value of the Leased Premises. If they are unable to agree within 30 days after the second appraiser has been appointed, they will attempt to elect a third appraiser meeting the qualifications stated in this paragraph within 10 days after the last day the two appraisers are given to set the then-fair market rental value of the Leased Premises. If they are unable to agree on the third appraiser, either Landlord or Tenant, by giving 10 days’ prior notice or Tenant to Landlord, as the other, can apply to the then presiding Judge of the County Court in which the Leased Premises is located for the selection of a third appraiser who meets the qualifications stated in this paragraph. Landlord and Tenant will bear one-half of the cost to appoint a third appraiser and one-half of the cost of the third appraiser’s fee. The third appraiser, however selected, must be a person who has not previously acted in any capacity for either Landlord or Tenant. Within 30 days after the selection of the third appraiser, the majority of the appraisers will set the then-fair market rental value of the Leased Premises. If a majority of the appraisers are unable to set the then-fair market rental value of the Leased Premises within 30 days after selection of the third appraiser, the two appraisals that are closest in value will be averaged and the average will be the then-fair market rental value of the Leased Premisescase may be.