Common use of Options to Extend or Renew the Term Clause in Contracts

Options to Extend or Renew the Term. (a) In the event a tenant exercises an option or right of first refusal contained in the lease to renew or extend the original term of the lease, Owner shall pay Manager a commission on the Minimum Base Rent during the renewal or extension period in accordance with Paragraph 1 above, computed as if such renewal or extension term were part of the initial term of the lease; provided, however, that Manager shall receive a commission of four percent (4%) for the first five years of the renewal or extension term, two percent (2%) for the sixth through tenth years of the renewal or extension term, and no commission for any additional years of the renewal or extension term. (b) In the event a tenant leases additional space pursuant to an option or right of first refusal contained in its lease, Owner shall pay to Manager a commission on the Minimum Base Rent for such additional space in accordance with Paragraph 1 above, computed as if the tenant had been obligated to lease such additional space under the original lease. To illustrate, assume that a tenant entered into a lease with a twenty-year term with an option to lease additional space at any time during the term of the lease for the balance of the term of the lease. Assume that the tenant exercised the option to lease the additional space commencing the fourth year of the term of the lease. Manager would be entitled to a commission of 4% of the annual additional Minimum Base Rent for the first two years (i.e., the 4th and 5th years), 2% of the additional annual Minimum Base Rent for following five years (i.e., the 6th through 10th years), and 1% of the additional annual Minimum Base Rent for the next five years (i.e., the 11th through 15th years). (c) Commissions pursuant to Paragraph 4(a) and (b), above, attributable to options exercised after the original occupancy by tenant shall be deemed payable upon exercise of the option. In the case of options exercised prior to the occupancy, such commissions shall be due and payable in the same manner as if the option had been exercised on the date the lease was executed.

Options to Extend or Renew the Term. (a) In the event a tenant exercises an option or right of first refusal contained in the lease to renew or extend the original term of the lease, Owner shall pay Manager a commission on the Minimum Base Rent during the renewal or extension period in accordance with Paragraph 1 above, computed as if such renewal or extension term were part of the initial term of the lease; provided, however, that Manager Manger shall receive a commission of four percent (4%) for the first five years of the renewal or extension term, two percent (2%) for the sixth through tenth years of the renewal or extension term, and no commission for any additional years of the renewal or extension term. (b) In the event a tenant leases additional space pursuant to an option or right of first refusal contained in its lease, Owner shall pay to Manager a commission on the Minimum Base Rent for such additional space in accordance with Paragraph 1 above, computed as if the tenant had been obligated to lease such additional space under the original lease. To illustrate, assume that a tenant entered into a lease with a twenty-year term with an option to lease additional space at any time during the term of the lease for the balance of the term of the lease. Assume that the tenant exercised the option to lease the additional space commencing the fourth year of the term of the lease. Manager would be entitled to a commission of 4% of the annual additional Minimum Base Rent for the first two years (i.e., the 4th and 5th years), 2% of the additional annual Minimum Base Rent for following five years (i.e., the 6th through 10th years), and 1% of the additional annual Minimum Base Rent for the next five years (i.e., the 11th through 15th years). (c) Commissions pursuant to Paragraph 4(a) and (b), above, attributable to options exercised after the original occupancy by tenant shall be deemed payable upon exercise of the option. In the case of options exercised prior to the occupancy, such commissions shall be due and payable in the same manner as if the option had been exercised on the date the lease was executed.. Schedule 5.2

Options to Extend or Renew the Term. (a) In addition to the amount owed, if any, to an outside broker, in the event a tenant exercises an option or right of first refusal contained in the lease to renew or extend the original term of the lease, the applicable Owner shall pay Manager a commission on the Minimum Base Rent during the renewal or extension period of 50% of the commission set forth in accordance with Paragraph 1 above, computed as if such renewal or extension term were part of the initial term of the lease; provided, however, that Manager shall receive a commission of four percent (4%) for the first five years of the renewal or extension term, two percent (2%) for the sixth through tenth years of the renewal or extension term, and no commission for any additional years of the renewal or extension term. (b) In the event a tenant leases additional space pursuant to an option or right of first refusal contained in its lease, the applicable Owner shall pay to Manager a commission on the Minimum Base Rent for such additional space in accordance with Paragraph 1 above, computed as if the tenant had been obligated to lease such additional space under the original lease. To illustrate, assume that a tenant entered into a lease with a twenty-year term with an option to lease additional space at any time during the term of the lease for the balance of the term of the lease. Assume that the tenant exercised the option to lease the additional space commencing the fourth year of the term of the lease. Manager would be entitled to a commission of 4% of the annual additional Minimum Base Rent for the first two years (i.e., the 4th and 5th years), years and 2% of the additional annual Minimum Base Rent for following five years (i.e., the 6th through 10th years), and 1% of the additional annual Minimum Base Rent for the next five years (i.e., the 11th through 15th years). (c) Commissions pursuant to Paragraph 4(a) and (b), above, attributable to options exercised after the original occupancy by tenant shall be deemed payable upon exercise of the option. In the case of options exercised prior to the occupancy, such commissions shall be due and payable in the same manner as if the option had been exercised on the date the lease was executed.

Options to Extend or Renew the Term. (a) In the event a tenant exercises an option or right of first refusal contained in the lease to renew or extend the original term of the lease, Owner shall pay Manager a commission on the Minimum Base Rent during the renewal or extension period in accordance with Paragraph 1 above, computed as if such renewal or extension term were part of the initial term of the lease; provided, however, that Manager shall receive a commission of four percent (4%) for the first five years of the renewal or extension term, two percent (2%) for the sixth through tenth years of the renewal or extension term, and no commission for any additional years of the renewal or extension term. (b) In the event a tenant leases additional space pursuant to an option or right of first refusal contained in its lease, Owner shall pay to Manager a commission on the Minimum Base Rent for such additional space in accordance with Paragraph 1 above, computed as if the tenant had been obligated to lease such additional space under the original lease. To illustrate, assume that a tenant entered into a lease with a twenty-year term with an option to lease additional space at any time during the term of the lease for the balance of the term of the lease. Assume that the tenant exercised the option to lease the additional space commencing the fourth year of the term of the lease. Manager would be entitled to a commission of 44 1/2% of the annual additional Minimum Base Rent for the first two seven years (i.e., the 4th through 10th years) and 5th years), 22 1/4% of the additional annual Minimum Base Rent for following five years (i.e., the 6th through 10th years), and 1% of the additional annual Minimum Base Rent for the next five years (i.e., the 11th through 15th years). (c) Commissions pursuant to Paragraph 4(a3(a) and (b), above, attributable to options exercised after the original occupancy by tenant shall be deemed payable upon exercise of the option. In the case of options exercised prior to the occupancy, such commissions shall be due and payable in the same manner as if the option had been exercised on the date the lease was executed.