Common use of Additional Rent Adjustment Clause in Contracts

Additional Rent Adjustment. (a) The parties acknowledge that Landlord, at Tenant’s request, in order to accommodate Tenant’s expansion needs within the Building, is in the process of acquiring the real property known as Condominium Unit 100 in the Building (in which Premises C and E are located) from ▇▇▇▇ ▇▇▇▇▇▇▇▇ III, L.L.C. (“▇▇▇▇▇▇▇▇”). The parties further acknowledge that as a direct result of such acquisition, Landlord will incur substantial costs, of which Tenant has agreed to reimburse Landlord the amount of Six Hundred Twenty Thousand Dollars ($620,000.00) through the payment of additional rent. (b) Accordingly, Landlord and Tenant hereby agree that Tenant, in consideration of Landlord’s acquisition of said Unit 100, shall reimburse Landlord for said $620,000.00 (the “Reimbursement Amount”) in additional costs. Such reimbursement shall be made by Tenant to Landlord in consecutive equal monthly installments, in an amount equal to the quotient of (i) $620,000.00, divided by (ii) the number of full calendar months remaining in the Lease Term as of the Exchange Closing Date (e.g., if 100 months remain as of the Exchange Closing Date, the monthly payment amount shall be $6,200.00). Such monthly installments shall be deemed Additional Rent, and shall be due and payable to Landlord commencing on the first (1st) day of the first (1st) full calendar month following the Exchange Closing Date and thereafter, on the first day of each and every month for the balance of the Lease Term, which amounts shall be paid to Landlord at the same time and in the same manner as monthly installments of Basic Annual Rent. If the Lease is terminated for any reason prior to the expiration of the Lease Term, then any unpaid balance of the Reimbursement Amount shall be immediately due and payable by Tenant to Landlord.

Additional Rent Adjustment. (a) The parties acknowledge that Landlord, Each Seller and Purchaser shall prorate the actual amount of Additional Rent paid by each Tenant at such Seller’s Property for such Tenant’s request, in order to accommodate applicable fiscal year (“Tenant’s expansion needs within Fiscal Year”) as follows: (i) Within ninety (90) days after Closing, Seller shall prepare and deliver to Purchaser a final reconciliation of Additional Rent under the Building, is in Leases for the process of acquiring periods prior to Closing (the real property known as Condominium Unit 100 in the Building (in which Premises C and E are located) from ▇▇▇▇ ▇▇▇▇▇▇▇▇ III, L.L.C. (“▇▇▇▇▇▇▇▇Seller’s Additional Rent Adjustment”). The parties further acknowledge that as a direct result Notwithstanding the foregoing, if any Lease expires or is otherwise terminated within ninety (90) days after Closing, Seller shall use commercially reasonable efforts to prepare and deliver to Purchaser , within thirty (30) days of the expiration or earlier termination of such acquisitionLease, Landlord a final reconciliation of Additional Rent under such Lease for the periods prior to Closing; provided with respect to any such termination, Seller has received written notice thereof from Purchaser. Purchaser will incur substantial costsbe responsible for crediting or billing the applicable Seller’s Additional Rent Adjustment during Purchaser’s ordinary course reconciliation process for a Tenant’s applicable Tenant Fiscal Year (or, if completed upon the expiration of which Tenant has agreed to reimburse Landlord the amount of Six Hundred Twenty Thousand Dollars ($620,000.00) through the payment of additional renta Tenant’s Lease, then in connection with such final reconciliation). (bii) AccordinglyIf Purchaser receives any sums due from Tenant for Seller’s Additional Rent Adjustment, Landlord and Tenant hereby agree that Tenantthen Purchaser shall apply such sums, when received, in consideration accordance with the terms of Landlord’s acquisition of said Unit 100, shall reimburse Landlord for said $620,000.00 (the “Reimbursement Amount”) in additional costsSection 5.5.8(c). Such reimbursement shall be made by Tenant to Landlord in consecutive equal monthly installmentsIf, in an amount equal turn, any sums are due to Tenant for Seller’s reconciliation period, then Seller shall pay such sums to Purchaser within fifteen (15) days of demand therefor after notifying Tenant of such sum and Purchaser shall remit such funds directly to the quotient of Tenant (i) $620,000.00, divided by (ii) the number of full calendar months remaining in the Lease Term as of the Exchange Closing Date (e.g., if 100 months remain as of the Exchange Closing Date, the monthly payment or apply such amount shall be $6,200.00against any Delinquent Rent then outstanding). Such monthly installments shall be deemed Additional Rent, and shall be due and payable to Landlord commencing on the first (1st) day of the first (1st) full calendar month following the Exchange Closing Date and thereafter, on the first day of each and every month for the balance of the Lease Term, which amounts shall be paid to Landlord at the same time and in the same manner as monthly installments of Basic Annual Rent. If the Lease is terminated for any reason prior to the expiration of the Lease Term, then any unpaid balance of the Reimbursement Amount shall be immediately due and payable by Tenant to Landlord.