Aggregate Occupancy Rate Clause Samples
The Aggregate Occupancy Rate clause defines the minimum or target percentage of units or spaces that must be occupied within a property or portfolio over a specified period. In practice, this clause is often used in commercial leases, hotel management agreements, or real estate financing to set performance benchmarks, such as requiring that at least 85% of rooms are rented on average each month. Its core function is to establish clear occupancy expectations, which helps manage financial risk and ensures that all parties are aligned on performance standards.
Aggregate Occupancy Rate. The Borrower will not at any time permit the Aggregate Occupancy Rate to be less than eighty-five percent (85%).
Aggregate Occupancy Rate. All Pool Properties will at all times have an aggregate Occupancy Rate of no less than ninety percent (90%).
Aggregate Occupancy Rate. The Aggregate Occupancy Rate of the Unencumbered Properties shall not be less than ninety percent (90%).
Aggregate Occupancy Rate. The quotient of (a) Net Rentable Area for all of the Unencumbered Properties subject to Leases as to which (i) tenants are in occupancy of their respective leased premises (or as to which a tenant has executed and delivered a lease for space within an Unencumbered Property, which lease is in full force and effect and with respect to which the tenant will take occupancy within ninety (90) days of execution of such lease), (ii) tenants are not in default of any of their monetary or other material obligations under their respective Lease beyond sixty (60) days (excluding year-end reconciliations of CAM charges or similar items and any failure to pay the first month such amount becomes due and payable the incremental increase in annual base rent as a result of the impact of an annual escalation of such rent), (iii) are an arm’s length Lease entered into in the ordinary course of business with a party that is not an Affiliate of the Borrower, and (iv) tenants or any guarantor thereunder are not subject to any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, dissolution, liquidation or similar debtor relief proceeding, divided by (b) Net Rentable Area for all of the Unencumbered Properties, expressed as a percentage.
Aggregate Occupancy Rate. Borrower shall fail to satisfy the financial covenant regarding the Aggregate Occupancy Rate set forth in SECTION 9.8 and such failure shall continue for sixty (60) days.
Aggregate Occupancy Rate. On any date of determination, for any Borrowing Base Property, the quotient of (a) the aggregate rentable area for such Borrowing Base Property subject to Leases (based on Net Rentable Area) or if there is no Lease, subject to a management agreement (based on beds, rooms or such other measure as Agent may reasonably determine) as to which (i) tenants or occupants are in occupancy of all of their respective leased premises (or beds, rooms or other measure reasonably determined by Agent, as applicable), (ii) tenants or occupants are not in default of any of their payment or other material obligations under their respective Lease or other occupancy agreement, which default has continued for more than thirty (30) days, (iii) are an arm’s length Lease or occupancy agreement entered into in the ordinary course of business with a party that is not an Affiliate of the REIT or the Advisor, and (iv) tenants, other occupants or any guarantor thereunder are not subject to any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, dissolution, liquidation or similar debtor relief proceeding, divided by (b) aggregate rentable area for such Borrowing Base Property (based on Net Rentable Area) if subject to a Lease (based on Net Rentable Area) or if there is no Lease, based on beds, rooms or such other measure as Agent may reasonably determine. The occupancy rate for each Borrowing Base Property (expressed as a percentage) shall be aggregated, with each Borrowing Base Property being weighted based on its Appraised Value, to determine the Aggregate Occupancy Rate, expressed as a percentage.
Aggregate Occupancy Rate. With respect to the Unencumbered Assets at any time, the ratio, as of such date, expressed as a percentage, of
Aggregate Occupancy Rate. 93 9.8 Distributions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94 9.9
Aggregate Occupancy Rate. The quotient of (a) Net Rentable Area for all of the Collateral Pool Properties subject to Leases as to which (i) tenants are in occupancy of all of their respective leased premises (or as to which a tenant has executed and delivered a lease for space within a Collateral Pool Property, which lease is in full force and effect and with respect to which the tenant will take occupancy within ninety (90) days of execution of such lease), (ii) tenants are not in default of any of their monetary or other material obligations under their respective Lease beyond sixty–two (62) days (excluding year-end reconciliations of CAM charges or similar items and any failure to pay the first month such amount becomes due and payable the incremental increase in annual base rent as a result of the impact of an annual escalation of such rent), (iii) are an arm’s length Lease entered into in the ordinary course of business with a party that is not an Affiliate of the Borrower, (iv) tenants thereunder are not subject to any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, dissolution, liquidation or similar debtor relief proceeding, unless such tenants have unconditionally assumed their lease pursuant to a final court order in such proceeding and (v) guarantors thereunder are not subject to any bankruptcy, reorganization, arrangement, insolvency, readjustment of debt, dissolution, liquidation or similar debtor relief proceeding, divided by (b) Net Rentable Area for all of the Collateral Pool Properties, expressed as a percentage.
Aggregate Occupancy Rate. The Borrower will not at any time permit the Aggregate Occupancy Rate for the Borrowing Base Properties (excluding Borrowing Base Properties that are Newly-Built Properties) to be less than eighty-five percent (85%). Notwithstanding the foregoing, the covenant in this §9.6 shall not be applicable on or before March 31, 2019 (but for the avoidance of doubt shall be applicable April 1, 2019 and thereafter).”
(q) By deleting in its entirety §9.10(a) of the Credit Agreement and inserting in lieu thereof the following:
(a) Adjusted Net Operating Income from a Lease or Leases to any single tenant or any group of Affiliates thereof shall not account for more than twenty-five percent (25%) (or with respect to the aggregate Adjusted Net Operating Income by the tenants described in the definition of Texas Ten Portfolio and their Affiliates, thirty-five percent (35%)) of Adjusted Net Operating Income from the Borrowing Base Properties (the “Single Tenant Limitation”); provided that a failure to satisfy the requirements of this §9.10(a) shall not result in any Real Estate not being included as a Borrowing Base Property, but any such rent and other payments accounting for more than the Single Tenant Limitation shall be excluded for purposes of calculating Adjusted Net Operating Income and Borrowing Base Availability. Notwithstanding the foregoing, the covenant in this §9.10(a) shall not be applicable on or before March 31, 2019 (but for the avoidance of doubt shall be applicable April 1, 2019 and thereafter), provided that prior to Borrower demonstrating to Agent compliance with this §9.10(a) on or after April 1, 2019 through the delivery of a Compliance Certificate, except with respect to the Andersonville Facility, neither Borrower nor any Guarantor shall enter into a Lease or add, replace, substitute or change (or permit the addition, replacement, substitution or change of, directly or by assignment) any tenant under a Lease at a Borrowing Base Property without the prior written consent of the Required Lenders.”
(r) By inserting Schedule 2.9 attached to this Amendment as Schedule 2.9 to the Credit Agreement;