Common use of Delivery of Option Payment Clause in Contracts

Delivery of Option Payment. The Option for each Property is granted in consideration of the applicable Builder Party’s payment of an option deposit for such Property equal to five percent (5%) of the projected total land acquisition and development costs for the Property (the “Option Payment”). The Option Payment for each Property shall be confirmed and set forth in such Property’s Addendum. For avoidance of doubt, Builder acknowledges and agrees that each entire Option Payment for a Property is separate consideration to the applicable Owner Party for the grant of the Option for such Property and is fully and unconditionally earned by, owing to and payable to Owner on the Effective Date.