Not Fully Occupied Clause Samples
The "Not Fully Occupied" clause defines the conditions and implications when a leased property is not entirely occupied by the tenant. Typically, this clause outlines how rent, maintenance costs, or other obligations may be adjusted if the tenant does not use all of the leased premises, such as only occupying certain floors or sections of a building. Its core function is to ensure fairness in the allocation of costs and responsibilities, preventing disputes and clarifying expectations when full occupancy is not achieved.
Not Fully Occupied. Notwithstanding any other provision to the contrary, it is agreed that if the Building, in total, is less than ninety-five percent (95%) occupied during all or any portion of any calendar year (including, without limitation, the Base Year), an adjustment shall be made in calculating the Operating Expenses for the Project for such year so that Tenant’s Percentage of Operating Expenses in excess of the Base Year Operating Expenses shall be equivalent to the Operating Expenses calculated as though the Building, in total, had been ninety-five percent (95%) occupied during the entirety of such year.