Common use of Market Rent Clause in Contracts

Market Rent. The rent payable by Tenant during the Option Term (the “Option Rent”) shall be equal to the Market Rent for the Premises. For purposes of this Lease, “Market Rent” be equal to the rent (including additional rent and considering any “base year” or “expense stop” applicable thereto), including all escalations, at which tenants, as of the commencement of the Option Term, are leasing non-sublease, non-encumbered, non-equity space comparable in size, location and quality to the Premises (or the First Offer Space/First Refusal Space, as applicable) for a term of five (5) years, which comparable space is located in the Building and in “Comparable Buildings,” as that term is defined, below (“Comparable Transactions”), in either event taking into consideration only the following concessions: (a) rental abatement concessions, if any, being granted such tenants in connection with such comparable space, (b) tenant improvements or allowances provided or to be provided for such comparable space, taking into account, and deducting the value of, the existing improvements in the Premises (or the First Offer Space/First Refusal Space, as applicable), such value to be based upon the age, quality and layout of the improvements and the extent to which the same could be utilized by a typical general office user, and (c) other reasonable economic concessions being granted such tenants in connection with such comparable space; provided, however, that in calculating the Market Rent, no consideration shall be given to (i) the fact that Landlord is or is not required to pay a real estate brokerage commission in connection with Tenant’s exercise of its right to lease the Premises during the Option Term, or (ii) any period of rental abatement, if any, granted to tenants in Comparable Transactions in connection with the design, permitting, and construction of tenant improvements in such comparable spaces. The Market Rent shall additionally include a determination as to whether, and if so to what extent, Tenant must provide Landlord with financial security, such as a letter of credit or guaranty, for Tenant’s Rent obligations during the Option Term. Such determination shall be made by reviewing the extent of financial security then generally being imposed in Comparable Transactions from tenants of comparable financial condition and credit history to the then existing financial condition and credit history of Tenant (with appropriate adjustments to account for differences in the then-existing financial condition of Tenant and such other tenants). For purposes of this Lease, the term “Comparable Buildings” shall mean the following office buildings located in Bellevue, Washington: Key Center, Lincoln Square, Skyline Tower, City Center Plaza, the Expedia Building (also known as Tower 333), the Bravern, Bellevue Place, Summit 1 and Summit II, Symetra Plaza, US Bank Plaza, Plaza Center, One Bellevue Center, and any other “Class A” office building comparable to the Building in terms of size, quality of construction, and appearance, constructed in downtown Bellevue, Washington, after the date of this Lease.

Market Rent. The rent payable by Tenant during the Option Term (the “Option Market Rent”) , as used in this Lease, shall be equal to the Market Rent annual rent per rentable square foot, that a willing tenant would pay, and a willing landlord would accept in arm’s length negotiations, without any additional inducements for an extension of the lease of the applicable space on the applicable terms and conditions for the Premises. For purposes applicable period of this Lease, “Market Rent” be equal to the rent (including additional rent and considering any “base year” or “expense stop” applicable thereto), including all escalations, at which tenantstime, as of determined by considering comparable transactions consummated within twelve (12) months prior to the commencement of the Option Term, are leasing non-sublease, non-encumbered, non-equity space provided that timing adjustments shall be made to reflect any changes in the Market Rent following the date of any particular comparable in size, location and quality transaction up to the Premises (or date of the First Offer Space/First Refusal Space, as applicable) for a term commencement of five (5) yearsthe applicable Option Term, which comparable space transactions are consummated in a Comparable Building, under then-prevailing ordinary rental market practices (e.g., not pursuant to extraordinary rental or other promotional deals or other concessions to tenants that deviate from what is located in the Building then-prevailing ordinary practice), at arm’s length. The terms of the comparable transactions shall be calculated using the net rent, which net rent shall then be adjusted on an effective basis, which net effective rent shall then be present valued and in reduced by all upfront concessions and, thereafter, shall be future valued into an average annual constant rental rate figure (the foregoing calculation, the “Comparable Buildings,” as that term is defined, below (“Comparable TransactionsNet Equivalent Lease Rate”), in either event taking and shall take into consideration only the following terms and concessions: (ai) the rental rate and escalations for the comparable transactions, (ii) the amount of parking rent per parking permit paid in the comparable transactions, if any, (iii) operating expense and tax protection granted in such comparable transactions such as a base year or expense stop (although for each such comparable transaction the base rent shall be adjusted to a triple net base rent using reasonable estimates of operating expenses and taxes as determined by Landlord for each such comparable transaction); (iv) brokerage commissions paid in connection with such comparable transactions; (v) rental abatement concessions, if any, being granted such tenants in connection with such comparable space, (bvi) tenant improvements improvements, allowances or allowances provided or to be other monetary concessions provided for such the comparable space, taking into account, and deducting account the value of, of the existing improvements in the Premises (or the First Offer Space/First Refusal SpacePremises, as applicable), such value to be based upon on the age, quality and layout of the improvements and the extent to which the same could be utilized by a typical for use as general office userimprovements, and (cvii) all other reasonable economic concessions monetary and non-monetary concessions, including the availability of parking, the value of any signage and naming rights, services and amenities, and lobby presence, if any, being granted such tenants in connection with such comparable space; providedtransactions. Notwithstanding any contrary provision hereof, however, that in calculating determining the Market Rent, no consideration shall be given to (i) the fact that Landlord is or is not required to pay a real estate brokerage commission in connection with Tenant’s exercise of its right to lease the Premises during the Option Term, or (ii) any period of rental abatement, if any, granted to tenants in Comparable Transactions comparable transactions in connection with the design, permitting, permitting and construction of tenant improvements in such comparable spacesimprovements. The Market Rent shall additionally include a determination as to whether, adjustment of the stated size of the Premises based upon the standards of measurement utilized in this Lease and if so to what extent, Tenant must provide Landlord with financial security, such as a letter of credit or guaranty, for Tenant’s Rent obligations during the Option Term. Such determination shall be made by reviewing the extent of financial security then generally being imposed in Comparable Transactions from tenants of comparable financial condition and credit history to the then existing financial condition and credit history of Tenant (with appropriate adjustments to account for differences in the then-existing financial condition of Tenant and such other tenants). For purposes of this Lease, the term “Comparable Buildings” shall mean the following office buildings located in Bellevue, Washington: Key Center, Lincoln Square, Skyline Tower, City Center Plaza, the Expedia Building (also known as Tower 333), the Bravern, Bellevue Place, Summit 1 and Summit II, Symetra Plaza, US Bank Plaza, Plaza Center, One Bellevue Center, and any other “Class A” office building comparable to the Building in terms of size, quality of construction, and appearance, constructed in downtown Bellevue, Washington, after the date of this Leasetransactions.

Market Rent. The rent payable by Tenant during the Option Term (the “Option Rent”) shall be equal to the Market Rent for the Premises. For purposes of this Lease, the term “Market Rent” be equal to the shall mean rent (including additional rent and considering any “base year” or “expense stop” applicable thereto), including all escalations, at which tenants, as of the commencement of the second Option Term are, pursuant to transactions completed within the eighteen (18) months prior to the first day of such second Option Term, are leasing non-sublease, non-encumbered, non-synthetic, non-equity space (unless such space was leased pursuant to a definition of “fair market” comparable to the definition of Market Rent) comparable in size, location and quality to the Premises (or the First Offer Space/First Refusal Space, as applicable) for a “Comparable Term,” as that term of five is defined in this Section 2.2.2 (5) yearsthe “Comparable Deals”), which comparable space is located in the Building and in “Comparable Buildings,” as that term is defineddefined in this Section 2.2.2, below giving appropriate consideration to the annual rental rates per rentable square foot (“Comparable Transactions”adjusting the base rent component of such rate to reflect a net value after accounting for whether or not utility expenses are directly paid by the tenant such as Tenant’s direct utility payments provided for in Section 6.1 of this Lease), in either event the standard of measurement by which the rentable square footage is measured, the ratio of rentable square feet to usable square feet, and taking into consideration only only, and granting only, the following concessions: concessions (provided that the rent payable in Comparable Deals in which the terms of such Comparable Deals are determined by use of a discounted fair market rate formula shall be equitably increased in order that such Comparable Deals will not reflect a discounted rate) (collectively, the “Rent Concessions”): (a) rental abatement concessionsconcessions or build-out periods, if any, being granted such tenants in connection with such comparable space, spaces; (b) tenant improvements or allowances provided or to be provided for such comparable space, taking into account, and deducting account the value of, of the existing improvements in the Premises (or the First Offer Space/First Refusal Space, as applicable)Premises, such value to be based upon the age, quality and layout of the improvements and the extent to which the same could be utilized by a typical general office userusers as contrasted with this specific Tenant, (c) Proposition 13 protection, and (cd) all other reasonable economic concessions monetary concessions, if any, being granted such tenants in connection with such comparable space; provided, however, that in calculating notwithstanding anything to the Market Rentcontrary herein, no consideration shall be given to (i) the fact that Landlord is or is not required to pay a real estate brokerage commission in connection with Tenant’s exercise the applicable term or the fact that the Comparable Deals do or do not involve the payment of its right to lease the Premises during the Option Term, or (ii) any period of rental abatement, if any, granted to tenants in Comparable Transactions in connection with the design, permitting, and construction of tenant improvements in such comparable spacesreal estate brokerage commissions. The term “Comparable Term” shall refer to the length of the lease term, without consideration of options to extend such term, for the space in question. In addition, the determination of the Market Rent shall additionally include a determination as to whether, and if so to what extent, Tenant must provide Landlord with financial security, such as a letter of credit or guaranty, for Tenant’s Rent rent obligations during the any Option Term. Such determination shall be made by reviewing the extent of financial security then generally being imposed in Comparable Transactions from upon tenants of comparable financial condition and credit history to the then existing financial condition and credit history of Tenant (with appropriate adjustments to account for differences in the then-existing financial condition of Tenant and such other tenants). For purposes If in determining the Market Rent, Tenant is entitled to a tenant improvement or comparable allowance for the improvement of this Leasethe Premises (the “Option Term TI Allowance”), Landlord may, at Landlord’s sole option, elect any or a portion of the following: (A) to grant some or all of the Option Term TI Allowance to Tenant in the form as described above (i.e., as an improvement allowance), and/or (B) to reduce the rental rate component of the Market Rent to be an effective rental rate which takes into consideration that Tenant will not receive the total dollar value of such excess Option Term TI Allowance (in which case the Option Term TI Allowance evidenced in the effective rental rate shall not be granted to Tenant). The term “Comparable Buildings” shall mean the following Building and other first-class office buildings located in Bellevue, Washington: Key Center, Lincoln Square, Skyline Tower, City Center Plaza, the Expedia Building (also known as Tower 333), the Bravern, Bellevue Place, Summit 1 and Summit II, Symetra Plaza, US Bank Plaza, Plaza Center, One Bellevue Center, and any other “Class A” office building which are comparable to the Building in terms of sizeage (based upon the date of completion of construction or major renovation as to the building containing the portion of the Premises in question), quality of construction, level of services and amenities, size and appearance, constructed and are located in downtown Bellevuethe Del Mar, Washington, after California area (the date of this Lease(“Comparable Area”).

Market Rent. The rent payable by Tenant during the Option Term (the “Option Rent”) shall be equal to the Market Rent for the Premises. For purposes of this Lease, “Market Rent” be equal to the rent term "MARKET RENT" shall mean the base rent, (including additional rent and considering any “"base year” " or “"expense stop” " applicable thereto), including all escalations, at which tenants, as of the commencement of the Option applicable term are, pursuant to transactions completed within twelve (12) months prior to the end of the initial Lease Term, are leasing non-sublease, non-encumberedsynthetic, non-equity space (unless such space was leased pursuant to a definition of "fair market" comparable to the definition of Market Rent) comparable in size, location and quality to the Premises (or the First Offer Space/First Refusal Space, as applicable) size for a "Comparable Term," as that term of five is defined in this Section 2.2.2.2 (5) yearsthe "COMPARABLE DEALS"), which comparable space is located in the Building and in “"Comparable Buildings,” " as that term is defineddefined in this Section 2.2.2.2, below (“Comparable Transactions”)giving appropriate consideration to the annual rental rates per rentable square foot, in either event the standard of measurement by which the rentable square footage is measured, the ratio of rentable square feet to usable square feet, and taking into consideration only only, and granting only, the following concessions: concessions (provided that the rent payable in Comparable Deals in which the terms of such Comparable Deals are determined by use of a discounted fair market rate formula shall be equitably increased in order that such Comparable Deals will not reflect a discounted rate) (collectively, the "RENT CONCESSIONS"): (a) rental abatement concessions, if any, being granted such tenants in connection with such comparable space, spaces; (b) tenant improvements or allowances provided or to be provided for such comparable space, taking into account, and deducting account the value of, of the existing improvements in the Premises (or the First Offer Space/First Refusal Space, as applicable)Building, such value to be based upon the age, quality and layout of the improvements and the extent to which the same could be utilized by a typical general office userusers as contrasted with this specific Tenant, and (c) all other reasonable economic concessions monetary concessions, if any, being granted such tenants in connection with such comparable space; provided, however, that in calculating notwithstanding anything to the Market Rentcontrary herein, no consideration shall be given to (i) the fact that Landlord is or is not required to pay a real estate brokerage commission in connection with Tenant’s exercise of its right to lease the Premises during the Option Term, or (ii) any period of rental abatement, if any, granted to tenants in Comparable Transactions Deals in connection with the design, permitting, permitting and construction of tenant improvements in such comparable spaces. The Market Rent shall additionally include a determination as to whether, and if so to what extent, Tenant must provide Landlord with financial security, such as a letter of credit or guaranty, for Tenant’s Rent obligations during the Option Term. Such determination shall be made by reviewing the extent of financial security then generally being imposed in Comparable Transactions from tenants of comparable financial condition and credit history to the then existing financial condition and credit history of Tenant (with appropriate adjustments to account for differences in the then-existing financial condition of Tenant and such other tenants). For purposes of this Lease, the term “Comparable Buildings” shall mean the following office buildings located in Bellevue, Washington: Key Center, Lincoln Square, Skyline Tower, City Center Plaza, the Expedia Building (also known as Tower 333), the Bravern, Bellevue Place, Summit 1 and Summit II, Symetra Plaza, US Bank Plaza, Plaza Center, One Bellevue Center, and any other “Class A” office building comparable to the Building in terms of size, quality of construction, and appearance, constructed in downtown Bellevue, Washington, after the date of this Lease.'s