Standard Adjustments definition
Standard Adjustments means the following assumptions and adjustments to be made when calculating Underwritten NOI, Underwritten Operating Expenses and Underwritten Operating Revenues:
Standard Adjustments means the following assumptions to be made with respect to each Project when calculating Underwritten NOI: (a) an occupancy rate equal to the lesser of market occupancy or the Project’s actual occupancy rate (but in no event more than a ninety percent (90%) occupancy rate); (b) capital reserves of $0.15 per gross square foot; and (c) a management fee equal to the greater of the Project’s actual management fee or six percent (6%) of Operating Revenues. As used above, “market occupancy” means, as to each Project, the average occupancy rate of self-storage projects that are similar in size and quality to such Project and that are located in such Project’s geographic market or sub-market area, all as determined by Lender.
Standard Adjustments means the following assumptions to be made when calculating Underwritten NOI: (a) management fees equal to the greater of (i) actual management fees paid or (ii) three percent (3%) of Operating Revenues; (b) FF&E expenditures equal to the greater of (i) four percent (4%) of Operating Revenues or (ii) such amounts required under the Franchise Agreement; and (c) a mortgage constant equal to the greater of actual mortgage constant or seven percent (7.0%.)
More Definitions of Standard Adjustments
Standard Adjustments means the following assumptions to be made when calculating Underwritten NOI: (a) an occupancy rate equal to the lesser of the Project's actual occupancy rate or a seventy-five percent (75%) occupancy rate; (b) franchise, management and marketing fees equal to the greater of (i) actual franchise, marketing and management fees paid or (ii) twelve and one-half percent (12.5%) of Operating Revenues, (c) FF&E expenditures equal to the Minimum Replacement Amount (as defined in Section 8.18); and (d) the exclusion of Operating Revenues and Operating Expenses from Unlicensed Hotels.
Standard Adjustments means with respect to the sale of a Royalty Bearing Product (a) ordinary and customary trade, cash and quantity discounts, (b) excise taxes, sales taxes, consumption taxes and other taxes imposed upon and paid with respect to such sales, (c) freight, insurance and other transportation charges incurred in shipping Royalty Bearing Products to third parties, (d) amounts repaid or credited by reason of rejections, defects, recalls or returns or because of retroactive price reductions, and (e) rebates paid pursuant to governmental regulations. Confidential Materials omitted and filed separately with the Securities and Exchange Commission. Asterisks denote omissions.
Standard Adjustments means the following assumptions to be made when calculating Underwritten NOI: (a) an occupancy rate equal to the lesser of market occupancy or a Parcel’s actual (based on the trailing twelve months) occupancy rate (but in no event more than a 76% occupancy rate); (b) capital reserves equal to the greater of $0.15 per gross square foot or such higher amount as may be determined by Lender; (c) a management fee equal to the greater of a Parcel’s actual management fee or five percent (5%) of Underwritten NOI for such Parcel; (d) increases in Operating Expenses based upon projected inflation as determined by Lender; (e) increases in real estate taxes, assessments and similar charges relating to a Parcel based on projected revisions to the assessed value of such Parcel as determined by Lender; and (f) Operating Revenues shall exclude, without limitation, revenue from tenants and other occupants of a Parcel that exceed market levels, revenues from month-to-month tenants and other occupants, and revenues from tenants and other occupants that are in free rent periods, that are in monetary default or have filed for bankruptcy protection or are not in occupancy of their space. As used above, (i) ”market occupancy” means the average occupancy rate of self storage facilities projects that are similar in size and quality to the Parcel in question and that are located in such Parcel’s geographic market or sub‑market area, all as determined by Lender, and (ii) ”market levels” means the average revenue from tenants and other occupants of self storage facilities projects that are similar in size and quality to the Parcel in question and that are located in such Parcel’s geographic market or sub‑market area, all as determined by Lender.
Standard Adjustments means the following assumptions to be made when calculating Underwritten NOI: (a) an occupancy equal to the lesser of the Projects’ actual portfolio occupancy or a ninety-five percent (95%) occupancy; (b) capital reserves of $0.10 per gross square foot; (c) a management fee equal to the greater of the Projects’ actual management fees or three percent (3%) of Operating Revenues; (d) Operating Revenues excluding (i) non-recurring categories of income, and (ii) revenue from tenants (A) that are not physically occupying their leased premises, (B) that are in monetary default of their rental obligations for more than 30 days, (C) that are under month-to-month tenancies, (D) with leases that expire within three months following the date of calculation, and (E) who are the subject of any voluntary or involuntary bankruptcy, insolvency, liquidation, reorganization or similar proceeding, unless such bankruptcy is filed under Chapter 11 of the Bankruptcy Code and the tenant has expressly assumed such lease in the bankruptcy proceeding, and for any lease that includes free rent periods, taking into account on a monthly basis the total rent payable over the term of the lease divided by the total number of months in the lease (including months in which no rent is payable); and (e) Operating Expenses calculated on a trailing twelve-month basis, as adjusted by Lender’s current underwriting standards.
Standard Adjustments is amended by deleting clause (a) and inserting the following in lieu thereof: “
(a) an occupancy rate equal to the lesser of the Project’s actual occupancy rate or (i) an eighty percent (80%) occupancy rate for Extended Stay Hotels, or (ii) a seventy-five percent (75%) occupancy rate for all other Hotels.”