Common use of Limitation to Preserve REIT Status Clause in Contracts

Limitation to Preserve REIT Status. To the extent that any amount paid or credited to the General Partner or its officers, directors, employees or agents, whether as a reimbursement, fee, expense or indemnity (a "GP Payment"), would constitute gross income to the General Partner for purposes of Sections 856(c)(2) or 856(c)(3) of the Code (but is not described in subsections (A) through (H) of Section 856(c)(2) or subsections (A) through (I) of Section 856(c)(3)) then, notwithstanding any other provision of this Agreement, the amount of such GP Payments for any fiscal year shall not exceed the lesser of: (i) an amount equal to the excess, if any, of (a) 5.00% of the General Partner's total gross income for the fiscal year which is described in subsections (A) through (H) of Section 856(c)(2) of the Code over (b) the amount of gross income (within the meaning of Section 856(c)(2) of the Code) derived by the General Partner from sources other than those described in subsections (A) through (H) of Section 856(c)(2) of the Code (but not including the amount of any GP Payments); or (ii) an amount equal to the excess, if any, of (a) 25% of the General Partner's total gross income for the fiscal year which is described in subsections (A) through (I) of Section 856(c)(3) of the Code over (b) the amount of gross income (within the meaning of Section 856(c)(3) of the Code) derived by the General Partner from sources other than those described in subsections (A) through (I) of Section 856(c)(3) of the Code (not including the amount of any GP Payments).