Common use of Primary Intended Use Clause in Contracts

Primary Intended Use. During the entire Term, Tenant shall continually use each Facility for its Primary Intended Use (subject temporary suspension due casualty or condemnation as provided in Articles XI and XII) and for no other use or purposes and shall operate each Facility in a manner consistent with a good quality healthcare facility, including employing sound reimbursement principles under all applicable Third Party Payor Programs. Notwithstanding the foregoing, upon Landlord’s prior written approval (which shall not be unreasonably withheld), and provided that it is permitted by the applicable Governmental Authority of the Situs State in which the Facility is located, Tenant may from time to time remove beds from service at a Facility without reducing the number of licensed Medicare and Medicaid certified beds that may be operated at such Facility and while retaining the right to return any such beds to service at such Facility (so-called “bed banking”) provided further that (i) such removal shall not exceed more than ten percent (10%) of the number of beds at the applicable Facility, (ii) not less than thirty (30) days prior to removing such beds from service, Tenant shall request in writing Landlord’s approval, which request shall include, or have delivered therewith, (a) detailed descriptions of the beds being removed, the reasons for such bed removal, estimates of the cost of implementing such bed changes, and the projected impact of such bed changes upon such Facility, and (b) evidence reasonably satisfactory to Landlord that Tenant has obtained all necessary regulatory approvals for the proposed reduction of beds in service, that such beds continue to be considered “licensed” and “certified” beds by the applicable governmental authority and agencies and that Tenant or any successor operator of such Facility retains the right, at the end of the bed banking period, to return such beds to service at the applicable Facility as licensed Medicare and Medicaid certified beds.

Appears in 3 contracts

Samples: Master Lease, Master Lease (Diversicare Healthcare Services, Inc.), Master Lease (Diversicare Healthcare Services, Inc.)

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Primary Intended Use. During Tenant shall, at all times during the entire Term, Term and at any other time that Tenant shall continually be in possession of any Leased Property, subject to Section 4.5 hereof, continuously use each Facility of the Collective Leased Properties for the operation of a licensed acute or chronic care psychiatric hospital; licensed residential treatment center; licensed subacute hospital; licensed substance abuse, neurological, geriatric, correctional, juvenile justice or other healthcare service facility providing inpatient care; outpatient facility; or any combination of the foregoing; and the healthcare services provided by or at a Leased Property may include inpatient hospitalization, partial hospitalization programs, outpatient therapy, intensive outpatient therapy, ambulatory detoxification, behavioral modification programs and related services (provided such related services constitutes services intended to be provided as part of the "Franchised Business," as such term is defined in the Franchise Agreement), and for such other uses as may be incidental or necessary thereto, including the operation of any medical office buildings located on any such Leased Property (such use being hereinafter referred to as such Leased Property's "PRIMARY INTENDED USE"). Tenant shall not use any of the Collective Leased Properties or any portion thereof for any other use without the prior written consent of Landlord. No use shall be made or permitted to be made of any of the Collective Leased Properties and no acts shall be done thereon which will cause the cancellation of any insurance policy covering any of the Collective Leased Properties or any part thereof (unless another adequate policy is available), nor shall Tenant sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about any of the Collective Leased Properties any article which may be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriter's regulations. Tenant shall, at its sole cost, comply with all of the requirements pertaining to the Collective Leased Properties of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Collective Leased Properties and Tenant's Personal Property, including, without limitation, the Insurance Requirements. Tenant shall not take or omit to take any action, the taking or omission of which materially impairs the value or the usefulness of any of the Collective Leased Properties or any part thereof for its Primary Intended Use (subject temporary suspension due casualty or condemnation as provided in Articles XI and XII) and for no other use or purposes and shall operate each Facility in a manner consistent with a good quality healthcare facility, including employing sound reimbursement principles under all applicable Third Party Payor Programs. Notwithstanding the foregoing, upon Landlord’s prior written approval (which shall not be unreasonably withheld), and provided that it is permitted by the applicable Governmental Authority of the Situs State in which the Facility is located, Tenant may from time to time remove beds from service at a Facility without reducing the number of licensed Medicare and Medicaid certified beds that may be operated at such Facility and while retaining the right to return any such beds to service at such Facility (so-called “bed banking”) provided further that (i) such removal shall not exceed more than ten percent (10%) of the number of beds at the applicable Facility, (ii) not less than thirty (30) days prior to removing such beds from service, Tenant shall request in writing Landlord’s approval, which request shall include, or have delivered therewith, (a) detailed descriptions of the beds being removed, the reasons for such bed removal, estimates of the cost of implementing such bed changes, and the projected impact of such bed changes upon such Facility, and (b) evidence reasonably satisfactory to Landlord that Tenant has obtained all necessary regulatory approvals for the proposed reduction of beds in service, that such beds continue to be considered “licensed” and “certified” beds by the applicable governmental authority and agencies and that Tenant or any successor operator of such Facility retains the right, at the end of the bed banking period, to return such beds to service at the applicable Facility as licensed Medicare and Medicaid certified bedsUse.

Appears in 2 contracts

Samples: Master Lease Agreement (Crescent Real Estate Equities Inc), Master Lease Agreement (Crescent Real Estate Equities Co)

Primary Intended Use. During Tenant shall, at all times during the entire Term, Term and at any other time that Tenant shall continually be in possession of any Leased Property, subject to Section 4.5 hereof, continuously use each Facility of the Collective Leased Properties for the operation of a licensed acute or chronic care psychiatric hospital; licensed residential treatment center; licensed subacute hospital; licensed substance abuse, neurological, geriatric, correctional, juvenile justice or other healthcare service facility providing inpatient care; outpatient facility; or any combination of the foregoing; and the healthcare services provided by or at a Leased Property may include inpatient hospitalization, partial hospitalization programs, outpatient therapy, intensive outpatient therapy, ambulatory detoxification, behavioral modification programs and related services (provided such related services constitutes services intended to be provided as part of the "Franchised Business," as such term is defined in the Franchise Agreement), and for such other uses as may be incidental or necessary thereto, including the operation of any medical office buildings located on any such Leased Property (such use being hereinafter referred to as such Leased Property's "Primary Intended Use"). Tenant shall not use any of the Collective Leased Properties or any portion thereof for any other use without the prior written consent of Landlord. No use shall be made or permitted to be made of any of the Collective Leased Properties and no acts shall be done thereon which will cause the cancellation of any insurance policy covering any of the Collective Leased Properties or any part thereof (unless another adequate policy is available), nor shall Tenant sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about any of the Collective Leased Properties any article which may be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriter's regulations. Tenant shall, at its sole cost, comply with all of the requirements pertaining to the Collective Leased Properties of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Collective Leased Properties and Tenant's Personal Property, including, without limitation, the Insurance Requirements. Tenant shall not take or omit to take any action, the taking or omission of which materially impairs the value or the usefulness of any of the Collective Leased Properties or any part thereof for its Primary Intended Use (subject temporary suspension due casualty or condemnation as provided in Articles XI and XII) and for no other use or purposes and shall operate each Facility in a manner consistent with a good quality healthcare facility, including employing sound reimbursement principles under all applicable Third Party Payor Programs. Notwithstanding the foregoing, upon Landlord’s prior written approval (which shall not be unreasonably withheld), and provided that it is permitted by the applicable Governmental Authority of the Situs State in which the Facility is located, Tenant may from time to time remove beds from service at a Facility without reducing the number of licensed Medicare and Medicaid certified beds that may be operated at such Facility and while retaining the right to return any such beds to service at such Facility (so-called “bed banking”) provided further that (i) such removal shall not exceed more than ten percent (10%) of the number of beds at the applicable Facility, (ii) not less than thirty (30) days prior to removing such beds from service, Tenant shall request in writing Landlord’s approval, which request shall include, or have delivered therewith, (a) detailed descriptions of the beds being removed, the reasons for such bed removal, estimates of the cost of implementing such bed changes, and the projected impact of such bed changes upon such Facility, and (b) evidence reasonably satisfactory to Landlord that Tenant has obtained all necessary regulatory approvals for the proposed reduction of beds in service, that such beds continue to be considered “licensed” and “certified” beds by the applicable governmental authority and agencies and that Tenant or any successor operator of such Facility retains the right, at the end of the bed banking period, to return such beds to service at the applicable Facility as licensed Medicare and Medicaid certified bedsUse.

Appears in 2 contracts

Samples: Master Lease Agreement (Magellan Health Services Inc), Master Lease Agreement (Magellan Health Services Inc)

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Primary Intended Use. During Tenant shall, at all times during the entire Term, and at any other time Tenant shall be in possession of the Leased Property, continuously use or cause to be used the Leased Property as an appropriately licensed assisted living facility operated at full Operating Capacity and for such other uses as may be necessary or incidental thereto (such use referred to herein as the Leased Property's "Primary Intended Use"). Notwithstanding whether there are sufficient Residents to occupy all beds at Operating Capacity, Tenant shall continually be required to operate and maintain the Leased Property at full Operating Capacity unless Landlord shall have provided Tenant with Landlord's express written consent (which consent may be withheld in Landlord's reasonable discretion) to operate at less than full Operating Capacity. Tenant shall not use each Facility the Leased Property or any portion thereof for any other use without the prior written consent of Landlord (which consent may be granted or withheld in Landlord's reasonable discretion). No use shall be made or permitted to be made of the Leased Property and no acts shall be done thereon which (a) is reasonably likely to materially and adversely effect any licenses, permits, approvals or authorizations relating to the Leased Property and its Primary Intended Use (subject temporary suspension due casualty or condemnation as provided in Articles XI and XII) and for no other use or purposes and shall operate each Facility in a manner consistent with a good quality healthcare facility, including employing sound reimbursement principles under all applicable Third Party Payor Programs. Notwithstanding the foregoing, upon Landlord’s prior written approval (which shall not be unreasonably withheld), and provided that it is permitted by the applicable Governmental Authority of the Situs State in which the Facility is located, Tenant may from time to time remove beds from service at a Facility without reducing the number of licensed Medicare and Medicaid certified beds that may be operated at such Facility and while retaining the right to return any such beds to service at such Facility (so-called “bed banking”) provided further that (i) such removal shall not exceed more than ten percent (10%) of the number of beds at the applicable Facility, (ii) not less than thirty (30) days prior to removing such beds from service, Tenant shall request in writing Landlord’s approval, which request shall include, or have delivered therewith, (a) detailed descriptions of the beds being removed, the reasons for such bed removal, estimates of the cost of implementing such bed changes, and the projected impact of such bed changes upon such Facility, and (b) evidence reasonably satisfactory will cause the cancellation of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy is available), nor shall Tenant sell or otherwise provide to Landlord that residents or clients therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or by fire underwriter's regulations. Tenant has obtained shall, at its sole cost, comply with all of the requirements pertaining to the Leased Property or other improvements of any insurance board, association, organization or company necessary regulatory approvals for the proposed reduction maintenance of beds in serviceinsurance, that such beds continue to be considered “licensed” as herein provided, covering the Leased Property and “certified” beds by Tenant's Personal Property, including, without limitation, the applicable governmental authority and agencies and that Tenant or any successor operator of such Facility retains the right, at the end of the bed banking period, to return such beds to service at the applicable Facility as licensed Medicare and Medicaid certified bedsInsurance Requirements.

Appears in 1 contract

Samples: Master Agreement (Eldertrust)

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