Common use of Rent During Renewal Term Clause in Contracts

Rent During Renewal Term. (i) The annual Basic Rent to be paid by Tenant for each Renewal Property during a Renewal Term shall equal the Fair Market Rental Value of such Renewal Property during such Renewal Term as determined by the parties or, in the absence of their agreement, determined by appraisal as expressed below; provided that (i) during the first Renewal Term immediately following the expiration of the Initial Term, the annual Basic Rent payable for all Renewal Properties, computed on an aggregate basis, shall not exceed one hundred ten percent (110%) of the annual Basic Rent payable by Tenant for all Renewal Properties immediately prior to the commencement of such first Renewal Term, computed on an aggregate basis, and (ii) during the second and all subsequent Renewal Terms, the annual Basic Rent payable for all Renewal Properties shall not exceed one hundred five percent (105%) of the annual Basic Rent payable by Tenant for all Renewal Properties immediately prior to the commencement of such Renewal Term, computed on an aggregate basis (the maximum aggregate annual Basic Rent as so determined, the “Maximum Renewal Term Basic Rent”). If the aggregate Fair Market Rental Values of the Renewal Properties (collectively, the “Aggregate FMRV Rent”) exceeds the Maximum Renewal Term Basic Rent, the Fair Market Rental Values of the Renewal Properties shall be proportionately reduced by multiplying each such Fair Market Rental Values by a fraction, expressed as a decimal, the numerator of which is the Maximum Renewal Term Basic Rent and the denominator of which is the Aggregate FMRV Rent, so that the annual Basic Rent for the Renewal Properties shall, in the aggregate, equal the Maximum Renewal Term Basic Rent.

Rent During Renewal Term. (i) The annual Basic Rent for and with respect to each Renewal Term shall be ninety (90%) percent of the annual fair market rent as determined by an independent appraisal of the Leased Property, which rent shall generate not more than a nine (9%) percent yield on the fair market value of the Leased Property (so long as Tenant’s (or any successor entity) credit is rated at least Aa3 by Xxxxx’x or Standard and Poor’s equivalent), such appraisal to be for a retail branch bank use if and to the extent that at the time of the exercise of the renewal option the Leased Property is used as a retail bank facility. The fair market rent shall be determined by an Appraiser selected by the parties, the cost of which appraisal shall be paid by Landlord. In the event that the parties shall be unable to agree upon an Appraiser within thirty (30) days after the date that Tenant for shall exercise its option to renew, then Landlord shall have the right, at its option, to invoke the following appraisal procedure by notice in writing to Tenant: Landlord and Tenant shall each Renewal Property during a Renewal Term appoint an Appraiser within ten (10) days next following receipt of Landlord’s notice to Tenant that Landlord has elected to invoke this appraisal procedure. If either Landlord or Tenant fails to appoint an Appraiser, the fair market rent (described as aforesaid) shall equal the Fair Market Rental Value of such Renewal Property during such Renewal Term as be determined by the parties orAppraiser which is appointed within such ten (10) day period. Within thirty (30) days of appointment, in the absence Appraiser or Appraisers shall determine the fair market rent, and if the two Appraisers so appointed are unable to agree upon the fair market rent, the fair market rent shall be the average of their agreement, the amounts determined by appraisal as expressed below; provided that (i) during the first Renewal Term immediately following Appraisers if the expiration of the Initial Term, the annual Basic Rent payable for all Renewal Properties, computed on an aggregate basis, shall not exceed greater amount is no more than one hundred ten percent (110%) of the annual Basic Rent payable by Tenant for all Renewal Properties immediately prior to the commencement of such first Renewal Term, computed on an aggregate basis, and (ii) during the second and all subsequent Renewal Terms, the annual Basic Rent payable for all Renewal Properties shall not exceed one hundred five percent (105%) percent of the annual Basic Rent payable by Tenant for all Renewal Properties immediately prior to the commencement of such Renewal Term, computed on an aggregate basis (the maximum aggregate annual Basic Rent as so determined, the “Maximum Renewal Term Basic Rent”)lesser amount. If the aggregate Fair Market Rental Values greater amount exceeds one hundred and five (105%) percent of the Renewal Properties (collectivelylesser amount, the “Aggregate FMRV Rent”determination shall be made by a third Appraiser, who shall be selected within five (5) exceeds days after the Maximum Renewal Term Basic Rentend of the thirty (30) day period referred to above, by the two Appraisers appointed by the parties. Such determination shall be made by the third Appraiser within thirty (30) days of his/her appointment. In such event, the Fair Market Rental Values fair market rent shall be the average of the Renewal Properties two closest appraised amounts. In the event the parties are unable to agree on an Appraiser and Landlord invokes the appraisal procedure outlined above, then in such event, Landlord and Tenant shall be proportionately reduced by multiplying each such Fair Market Rental Values by a fractionpay one-half of the cost of the Appraisers; otherwise, expressed as a decimal, Landlord agrees that it shall bear all costs associated with obtaining the numerator of which is the Maximum Renewal Term Basic Rent and the denominator of which is the Aggregate FMRV Rent, so that the annual aforesaid appraisals. Basic Rent for the Renewal Properties shall, in the aggregate, equal the Maximum each Renewal Term shall be determined as aforesaid, and once determined, shall remain fixed for each respective Renewal Term and shall be paid monthly in arrears, the provisions of Article 4 hereof regarding the payment of Basic RentRent quarterly notwithstanding.