Common use of Termination of Lease for Destruction Clause in Contracts

Termination of Lease for Destruction. (1) Notwithstanding the provisions of Section 6.06 of this Lease, TENANT has the option of terminating this Lease as provided in this Section 6.07 if: (a) During the last 15 years of the term of this Lease, any improvement now or hereafter on the Premises are so damaged or destroyed by the elements or any cause, not the fault of TENANT or CITY, the improvement cannot be repaired and restored as required by Section 6.06 of this Lease at a cost not exceeding 35 percent of the cost of replacing all improvements if they had been totally destroyed at the time of such damage; or (b) During the last 10 years of the term of this Lease, any improvement now or hereafter on the Premises are so damaged or destroyed by the elements or any cause, not the fault of TENANT or CITY, the improvement cannot be repaired and restored as required by Section 6.06 of this Lease at a cost not exceeding 15 percent) of the cost of replacing all improvements if they had been totally destroyed at the time of such damage. (2) TENANT may exercise its right to terminate pursuant to this Section 6.07 by providing written notice to CITY within 180 days following damage or destruction as described herein. Such termination is effective on the last day of the calendar month following the month in which TENANT provides its notice. (3) If TENANT fails to commence or complete repair and restoration as required by Section 6.06, then CITY has all rights and remedies with respect to TENANT’S default, including, but not limited to, termination of this Lease pursuant to Article 11. (4) If this Lease is terminated as a result of damage or destruction, then any insurance proceeds received with respect to the improvements will be applied or distributed in the following order: (a) first, to the demolition of the improvements and removal of all demolition debris; then (b) to any accrued and unpaid Rent as of the effective date of the termination; then (c) to each Lender under a Leasehold Encumbrance, in order of lien priority, an amount not to exceed the amount due under such Leasehold Encumbrance; then (d) to CITY, an amount equal to the present value, as of the date of termination, of the total Minimum Rent for the remainder of the Term; then (e) the remaining proceeds, if any, to TENANT.

Termination of Lease for Destruction. (1) Notwithstanding the provisions of Section 6.06 of this Lease, TENANT has shall have the option of terminating this Lease as provided in this Section 6.07 if: (a) During the last 15 fifteen (15) years of the term of this Lease, any improvement improvements now or hereafter on the Premises are so damaged or destroyed by the elements or any cause, cause not the fault of TENANT or CITY, the improvement that they cannot be repaired and restored as required by Section 6.06 of this Lease at a cost not exceeding 35 thirty-five percent (35%) of the cost of replacing all improvements if they had been totally destroyed at the time of such damage; or (b) During the last 10 ten (10) years of the term of this Lease, any improvement improvements now or hereafter on the Premises are so damaged or destroyed by the elements or any cause, cause not the fault of TENANT or CITY, the improvement that they cannot be repaired and restored as required by Section 6.06 of this Lease at a cost not exceeding 15 percentfifteen percent (15%) of the cost of replacing all improvements if they had been totally destroyed at the time of such damage. (2) TENANT may exercise its right to terminate pursuant to this Section 6.07 by providing written notice to CITY within 180 one hundred eighty (180) days following damage or destruction as described herein. Such termination is shall be effective on the last day of the calendar month following the month in which TENANT provides its notice. (3) If TENANT fails to commence or complete repair and restoration as required by Section 6.06, then CITY has shall have all rights and remedies with respect to TENANT’S 's default, including, including but not limited to, to termination of this Lease pursuant to Article 11. (4) If this Lease is terminated as a result of damage or destruction, then any insurance proceeds received with respect to the improvements will shall be applied or distributed in the following order: (a) first, to the demolition of the improvements and removal of all demolition debris; then (b) to any accrued and unpaid Rent as of the effective date of the termination; then (c) to each Lender under a Leasehold Encumbrance, in order of lien priority, an amount not to exceed the amount due under such Leasehold Encumbrance; then (d) to CITY, an amount equal to the present value, as of the date of termination, of the total Minimum Rent for the remainder of the Term; then (e) the remaining proceeds, if any, to TENANT.