Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities. (b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term. (c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof. (d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 10 contracts
Sources: Master Lease (Boyd Gaming Corp), Master Lease (Gaming & Leisure Properties, Inc.), Master Lease (Gaming & Leisure Properties, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Residence Inn by Marriott hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 6 contracts
Sources: Hotel Lease Agreement, Hotel Lease Agreement (Apple Hospitality Two Inc), Hotel Lease Agreement (Apple Hospitality Five Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use, or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretionLessor. Landlord acknowledges that operation of each Facility for its No use other than the Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done other than the Primary Intended Use, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which is prohibited by law or fire underwriter's regulations. Lessee shall comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, which compliance shall be performed at the FacilitiesLessee's sole cost.
(bc) Tenant Subject to the provisions of Articles 14 and 15, Lessee covenants and agrees that during the Term it will either directly or through an approved Manager (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply in all material respects with all the provisions of the Franchise Agreement, (3) not terminate or amend in any respect the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) keep Lessor advised of the status of any material litigation affecting the Leased Property.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except in instances of casualty or condemnation, Tenant Lessee shall continuously operate each comply with all of the Facilities for Lessor's covenants, in any loan agreement or other financing arrangement, applicable to this Lease or the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on operation of the Leased Property. Notwithstanding the foregoing, taken as a whole, provided that the following conditions are satisfied: Lessee shall not be obligated to comply with Lessor's covenants in any loan agreements which (A) (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and not customary, (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are not otherwise contemplated by this Lease Agreement or any agreement or instrument executed by Lessee in connection herewith for the Fiscal Year immediately preceding benefit of Lessor, and (iii)(x) materially and adversely affect the time that Tenant ceased operations at the Facility.Facility or (y) materially increase Lessee's costs of doing business or decrease revenues, unless in cases where Subsection (iii)(y) is relied upon by Lessee the additional cost thereof is borne by Lessor, or (B) obligate Lessee to guarantee repayment of any debt of Lessor, or (C) require any indemnification undertakings other than customary undertakings with respect to servicing agents or similar administrative agents which administer escrow accounts into which Lessee may deposit Rent payments as required by Lessor's lenders or other servicing agents. Lessor will provide Lessee with not less than 15, and will attempt in good faith to provide not less than 30, days prior written notice of the terms of such covenants, and if Lessee is relying upon Subsection (iii)(y), Lessee shall within five days of receipt of such notice, notify Lessor in writing of any anticipated material additional costs which Lessee may incur. Lessor shall then notify Lessee in writing whether it agrees to pay or reimburse Lessee for the material additional cost thereof as incurred by Lessee, and Lessee's receipt of such notice shall be a condition precedent to Lessee's obligation to comply with such covenants. Lessor shall have the right to dispute Lessee's reliance on Subsections (A)-(C) or Lessee's estimates of additional costs pursuant to Subsection (A)(iii)(y), and either party may submit any such disputes to arbitration under the provisions of Section 40.2. ARTICLE ------- 8
Appears in 5 contracts
Sources: Lease Agreement (Hersha Hospitality Trust), Lease Agreement (Hersha Hospitality Trust), Lease Agreement (Hersha Hospitality Trust)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Hilton Garden Inn hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 5 contracts
Sources: Hotel Lease Agreement (Apple REIT Ten, Inc.), Hotel Lease Agreement (Apple REIT Nine, Inc.), Hotel Lease Agreement (Apple REIT Nine, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or substantially increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and materially comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any improvements to the Leased Property required by the franchisor unless the Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 5 contracts
Sources: Master Lease Agreement, Master Lease Agreement (Supertel Hospitality Inc), Master Lease Agreement (Supertel Hospitality Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use, or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretionLessor. Landlord acknowledges that operation of each Facility for its No use other than the Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done other than the Primary Intended Use, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which is prohibited by law or fire underwriter's regulations. Lessee shall comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, which compliance shall be performed at the FacilitiesLessee's sole cost.
(bc) Tenant Subject to the provisions of Articles 14 and 15, Lessee covenants and agrees that during the Term it will either directly or through an approved Manager (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply in all material respects with all the provisions of the Franchise Agreement, (3) not terminate or amend in any respect the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) keep Lessor advised of the status of any material litigation affecting the Leased Property.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except in instances of casualty or condemnation, Tenant Lessee shall continuously operate each comply with all of the Facilities for Lessor's covenants, in any loan agreement or other financing arrangement, applicable to this Lease or the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on operation of the Leased Property. Notwithstanding the foregoing, taken as a whole, provided that the following conditions are satisfied: Lessee shall not be obligated to comply with Lessor's covenants in any loan agreements which (A) (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and not customary, (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are not otherwise contemplated by this Lease Agreement or any agreement or instrument executed by Lessee in connection herewith for the Fiscal Year immediately preceding benefit of Lessor, and (iii)(x) materially and adversely affect the time that Tenant ceased operations at the FacilityFacility or (y) materially increase Lessee's costs of doing business or decrease revenues, unless in cases where Subsection (iii)(y) is relied upon by Lessee the additional cost thereof is borne by Lessor, or (B) obligate Lessee to guarantee repayment of any debt of Lessor, or (C) require any indemnification undertakings other than customary undertakings with respect to servicing agents or similar administrative agents which administer escrow accounts into which Lessee may deposit Rent payments as required by Lessor's lenders or other servicing agents. Lessor will provide Lessee with not less than 15, and will attempt in good faith to provide not less than 30, days prior written notice of the terms of such covenants, and if Lessee is relying upon Subsection (iii)(y), Lessee shall within five days of receipt of such notice, notify Lessor in writing of any anticipated material additional costs which Lessee may incur. Lessor shall then notify Lessee in writing whether it agrees to pay or reimburse Lessee for the material additional cost thereof as incurred by Lessee, and Lessee's receipt of such notice shall be a condition precedent to Lessee's obligation to comply with such covenants. Lessor shall have the right to dispute Lessee's reliance on Subsections (A)-(C) or Lessee's estimates of additional costs pursuant to Subsection (A)(iii)(y), and either party may submit any such disputes to arbitration under the provisions of Section 40.2.
Appears in 4 contracts
Sources: Lease Agreement (Hersha Hospitality Trust), Lease Agreement (Hersha Hospitality Trust), Lease Agreement (Hersha Hospitality Trust)
Use of the Leased Property. (a) Tenant Lessee covenants that it will (with Lessor’s commercially reasonable cooperation to the extent necessary and required) proceed with all due diligence and will exercise its commercially reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property under applicable local, state and federal law.
(b) Lessee shall use use, or cause to be used used, the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in Lessor’s reasonable discretion. No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole discretioncost, comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessor’s Personal Property, except that Lessee shall have no obligation to complete capital improvements to the Leased Property. Landlord acknowledges Lessee will have exclusive possession of the Hotel and exclusive control of the day to day operations of the Hotel.
(c) Subject to the provisions of Articles XIV, XV, XXI and XXII and other express provisions in this Lease, with respect to the Leased Property, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to take any actions that are the responsibility of Lessor hereunder or to complete any capital improvements to the Leased Property required by the franchisor unless Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor (not to be unreasonably withheld, conditioned or delayed), (4) maintain appropriate certifications and licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices and Lessee’s concurrent goal of maximizing its net operating income therefrom. Lessor covenants and agrees that, with respect to the Leased Property, during the Term it will (1) not take or allow any Affiliate to take or fail to take any action that would interfere with, restrict or prohibit Lessee’s operation of each Facility the Leased Property for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations Use, including, without limitation, modifying, amending or terminating any Franchise Agreement or any licenses, franchises, permits, easements, leases, undertakings or agreements held by Lessor or such Affiliate and that without pertaining to the Leased Property, (2) comply with all the provisions of any Franchise Agreement relating to Capital Expenditures (to the extent such a license neither Landlord nor GLP may operate, control or participate Capital Expenditures are provided for in the conduct Capital Budget), the payment of any Real Estate Taxes, Personal Property Taxes, Capital Impositions and other requirements thereof that are not the gaming and/or racing operations at responsibility of Lessee hereunder and (3) seek to maximize the Facilitiesnet income generated by Lessee from the Leased Property consistent with Lessor’s concurrent goal of maximizing the Gross Revenues generated therefrom.
(bd) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or Property, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessor’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityHotels.
Appears in 4 contracts
Sources: Lease Agreement (American Realty Capital Hospitality Trust, Inc.), Lease Agreement (American Realty Capital Hospitality Trust, Inc.), Lease Agreement (American Realty Capital Hospitality Trust, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Courtyard by Marriott hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 3 contracts
Sources: Hotel Lease Agreement (Apple REIT Eight, Inc.), Hotel Lease Agreement (Apple REIT Eight, Inc.), Hotel Lease Agreement (Apple REIT Nine, Inc.)
Use of the Leased Property. (a) Tenant 7.2.1 Lessee covenants that it will proceed with all due diligence and will exercise its diligent efforts to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
7.2.2 Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, Lessor which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation No use shall be made or permitted to be made and no act shall be done or permitted to be done of, or on, the Leased Property, which will cause the cancellation or increase the premium of each Facility for any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatesole cost, control or participate in the conduct comply with all of the gaming and/or racing operations at requirements pertaining to the FacilitiesLeased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
7.2.3 Subject to the provisions of Sections 14, 15, 21 and 22, Lessee covenants and agrees that during the Term it will (b1) Tenant operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of Franchise Agreements, if any (3) not terminate or amend Franchise Agreements, if any, without the prior written consent of Lessor which shall not be unreasonably withheld or delayed, and (4) maintain appropriate certifications and licenses for such use.
7.2.4 Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(c) Tenant 7.2.5 Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property.
7.2.6 Except as may be agreed upon in writing in advance by the parties, taken as neither the Lessor nor any of its Affiliates shall own, or have any interest in, any hotel or motel property that is within a wholefive mile radius of the Leased Property. In addition, provided neither the Lessor nor any of its Affiliates shall operate or manage any hotel or motel property that the following conditions are satisfied: (i) no Event is within a five mile radius of Default any hotel or motel property in which Lessee or an Affiliate of Lessee has occurred and is continuing immediately prior to or immediately after an interest on the date Lessor would otherwise commence owning, possessing an interest in, operating or managing such property. Other than hotels or motels owned, managed, operated or in which Lessee has an interest as of the Commencement Date, the Lessee agrees that operations are ceased it shall not manage, operate or as own any interest in any hotel or motel property that is within a result five (5) mile radius of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityLeased Property.
Appears in 3 contracts
Sources: Lease Agreement (Host Funding Inc), Lease Agreement (Host Funding Inc), Lease Agreement (Host Funding Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its be granted, denied or conditioned upon Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any capital improvements to the Leased Property required by the franchisor unless the Lessor funds the costs thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as .
(f) Lessee agrees to deliver to Lessor upon request by Lessor from time to time a whole, provided that the following conditions are satisfied: list of hotels and motels (iand locations) no Event of Default has occurred owned or managed by Lessee and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityits Affiliates.
Appears in 3 contracts
Sources: Consolidated Lease Amendment (Equity Inns Inc), Lease Agreement (Equity Inns Inc), Consolidated Lease Agreement (Equity Inns Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Homewood Suites(R) all-suite hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 3 contracts
Sources: Master Hotel Lease Agreement (Apple Suites Inc), Hotel Lease Agreement (Apple Suites Inc), Hotel Lease Agreement (Apple Suites Inc)
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) the Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming operations at the Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to the Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) knowingly permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse usage or possession or of any implied dedication or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof). Without limiting the foregoing, (1) Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restriction, covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in the process leading to such agreement, and (2) other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into agreements that will encumber the Leased Property without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant is given reasonable opportunity to participate in the process leading to such agreement. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or possessionutility of the Leased Property for the Primary Intended Use. Nothing in the foregoing is intended to vitiate or supersede Tenant’s right to enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the extent provided herein. Except to the extent resulting from a Permitted Operation Interruption, Tenant shall cause the Facility to be Continuously Operated during the Term. During any time period that the Facility ceases to be Continuously Operated, solely for purposes of calculating Variable Rent in accordance herewith, the Net Revenue shall be subject to a floor equal to the Net Revenue for the Facility for the calendar year immediately preceding such period that the Facility is not Continuously Operated, prorated for the applicable time period that the Facility is not Continuously Operated. Further, if the Facility ceases to be Continuously Operated for a period of one (1) year, then Landlord shall have the right, in its sole discretion, to terminate this Lease.
(d) Subject to Article XII regarding permitted contests, Tenant, at its sole cost and expense, shall promptly (i) comply in all material respects with all Legal Requirements and Insurance Requirements affecting the Facility and the business conducted thereat, including those regarding the use, operation, maintenance, repair and restoration of the Leased Property or an implied dedication any portion thereof (including all Capital Improvements) and Tenant’s Property whether or not compliance therewith may require structural changes in any of the Leased Improvements or interfere with the use and enjoyment of the Leased Property or any portion thereof.
, and (dii) Except procure, maintain and comply in instances of casualty or condemnationall material respects with all Gaming Regulations and Gaming Licenses, Tenant shall continuously operate each and other authorizations required for the use of the Facilities Leased Property (including all Capital Improvements) and Tenant’s Property for the applicable Primary Intended UseUse and any other use of the Leased Property (including Capital Improvements then being made) and Tenant’s Property, and for the proper erection, installation, operation and maintenance of the Leased Property and Tenant’s Property. In an emergency involving an imminent threat to human health and safety or damage to property, or in the event of a breach by Tenant of its obligations under this Section 7.2 which is not cured within any applicable cure period set forth herein, Landlord or its representatives (and any Fee Mortgagee) may, but shall not be obligated to, enter upon the Leased Property (and, without limitation, all Capital Improvements) (upon reasonable prior written notice to Tenant, except in its discretion the case of emergency, and Tenant shall be permitted to cease operations at have Landlord or its representatives accompanied by a Facility or Facilities if representative of Tenant) and take such cessation would not reasonably be expected reasonable actions and incur such reasonable costs and expenses to have a material adverse effect on Tenant, the Facilities, or on such compliance as it deems advisable to protect its interest in the Leased Property, taken as a wholeand Tenant shall reimburse Landlord for all such reasonable out-of-pocket costs and expenses actually incurred by Landlord in connection with such actions.
(e) Without limitation of any of the other provisions of this Lease, provided that the following conditions are satisfied: Tenant shall comply with all Property Documents (i) no Event of Default has occurred and is continuing immediately prior to that are listed on the title polic(y)(ies) described on Schedule 6 attached hereto, or immediately (ii) made after the date that operations are ceased hereof in accordance with the terms of this Lease or as a result of such cessation; may otherwise be agreed to in writing by Tenant.
(f) Tenant shall, throughout the Term, cause the Facility to be operated, managed, used, maintained and (ii) repaired in all material respects, in accordance with the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityApplicable Standards.
Appears in 3 contracts
Sources: Lease Agreement (CAESARS ENTERTAINMENT Corp), Lease Agreement (Vici Properties Inc.), Purchase and Sale Agreement (Vici Properties Inc.)
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant’s rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property’s “Primary Intended Use”). Tenant shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant’s Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or omission of which may materially impair the value or the usefulness of such Leased Property or any part thereof for its Primary Intended Use. Without limitation of the foregoing provisions, Tenant shall not (a) enter into any contract, agreement or other instrument, or establish any other arrangement, relating to the operation, repair, maintenance, replacement, construction, alteration, insuring, assignment or subletting, or otherwise affecting the value or usefulness, of any Leased Property or any part thereof, whether with Affiliates of Tenant or any other Person, that is on non-market or non-arm’s length terms and conditions (provided, however, that, notwithstanding the foregoing, Tenant may enter into contracts, agreements or other instruments, or enter into other arrangements, that are on non-market or non-arm’s length terms and conditions relative to a particular Facility provided and on the condition that will diminish the ability same will, in the reasonable business judgment of Tenant, have a de minimus impact on the value, usefulness, operations, EBITDAR and EBITDARM of such Facility) or (b) require any Leased Property to be used as bear or pay, or allocate to any Leased Property for accounting or other purposes (including, without limitation, the determination of EBITDAR or EBITDARM for any Leased Property), a Gaming Facility after share of any costs or expenses that relate to such Leased Property and any other property (including, without limitation, other Combined Leased Properties) that is non-market or otherwise constitutes a disproportionate share of such costs and expenses under the expiration or earlier termination of the Termapplicable facts and circumstances.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Tenant’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
Section 7.2.6 Nothing contained in this Section 7.2 shall be deemed to prevent Tenant from (di) Except voluntarily withdrawing from the Medicaid program, and voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or (ii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant’s certification for participation in instances the Medicaid program as to any such Facility(ies) and without reducing the number of casualty beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or condemnation(iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant’s certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant shall continuously operate deliver to Lessor a Senior Officer’s Certificate, in form and substance reasonably satisfactory to Lessor, certifying that Tenant has made diligent inquiry relative to the applicable Legal Requirements and has consulted with its legal counsel and, based on the foregoing, certifies that Tenant has complied, and continues to comply, with the provisions of this Section 7.2.6 in connection with such voluntary withdrawal and de-activation and/or voluntary reduction.
Section 7.2.7 Notwithstanding anything to the contrary contained in this Section 7.2, in the case of each of the Facilities for Facility that is operated as a hospital as the Primary Intended UseUse (a “Hospital Facility”), Lessor agrees that, subject to the requirements of this Section 7.2.7, a portion of the licensed beds at such Hospital Facility may be converted from being beds that are licensed for the delivery of hospital care into beds that are licensed for the delivery of skilled nursing care. Tenant in its discretion Conversion of licensed beds as aforesaid shall be permitted to cease operations at a particular Hospital Facility or Facilities if provided and on the condition that all of the following requirements are satisfied:
(a) If Tenant desires to convert licensed beds at a Hospital Facility as permitted in this Section 7.2.7, not less than thirty (30) days prior to commencing to seek any necessary Authorizations therefor and/or making any Alterations required in connection therewith, Tenant shall so notify Lessor in writing, and such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilitiesnotice shall include therein, or on the Leased Propertyhave delivered therewith, taken as a whole, provided that the following conditions are satisfied: (i) detailed descriptions of (w)
(1) the licensed bed changes and conversions proposed by Tenant, including, without limitation, Tenant’s projected timetable, and projected completion date, for such licensed bed changes and conversions, (2) the number of beds licensed for the delivery of hospital care that are to be converted to beds licensed for the delivery of skilled nursing care, (3) Tenant’s plans for obtaining the necessary Authorizations for such conversions (including, without limitation, whether and to what extent Tenant intends and expects to accomplish such conversions through the voluntary removal from service (“banking”) of the aforesaid hospital care beds as described below and, if not, why such banking will not be utilized by Tenant), (4) which specific Authorizations Tenant expects it will need (e.g. new Medicare and/or Medicaid certifications, new licenses for skilled nursing care beds, etc.), (5) Tenant’s projected timetable for obtaining all necessary Authorizations and (6) whether and to what extent Tenant intends and expects to sell any such hospital care beds as described below, (x) the Permitted Alterations to the affected Hospital Facility that Tenant intends to make in connection with such conversions, and (y) Tenant’s projections, budgets and/or other estimates of the cost of the aforesaid Permitted Alterations and of all other costs of implementing such changes and conversions and of the projected impact of such changes and conversions upon the EBITDAR of the affected Hospital Facility (broken down by line item) and upon Tenant’s earnings per share, (ii) evidence reasonably satisfactory to Lessor establishing and demonstrating that the proposed changes and conversions will satisfy all of the requirements of this Section 7.2.7, and (iii) a Senior Officer’s Certificate certifying that Tenant has made diligent inquiry and has consulted with its legal counsel and, based upon the foregoing, certifying that the licensed bed changes and conversions proposed by Tenant will satisfy all of the requirements of this Section 7.2.7, that Tenant expects to accomplish such licensed bed changes and conversions without relying upon the proviso contained in subsection (b)(i) below (or, if Tenant expects to rely upon such proviso, so certifying and further certifying that the requirements of such proviso shall be satisfied by Tenant in a timely manner) and that the information contained in the aforesaid notice or delivered therewith is true and correct in all material respects. Tenant shall further submit and deliver to Lessor, promptly following Lessor’s request therefor, such supplemental information and documentation relative to the proposed licensed bed changes and conversions as Lessor may reasonably request from time to time;
(i) The aggregate number of beds that are licensed at such Hospital Facility for the delivery of hospital care and, as and to the extent permitted by this Section 7.2.7, skilled nursing care must at all times be equal to or greater than (x) the number of licensed beds that, if not for the provisions of this subsection (b)(i), Tenant would be obligated to maintain at such Hospital Facility in order to avoid causing an Event of Default to arise under Section 16.1(m) hereof (exclusive of Section 16.1(m)(v) hereof) (the “Applicable Required Number of Beds”), minus (y) twenty percent (20%) of the amount, if any, by which the Applicable Required Number of Beds at such Hospital Facility exceeds the number of beds that are licensed at such Hospital Facility for the delivery of hospital care (provided, however, that, for purposes of this subsection (b)(i) and Section 16.1(m) hereof, no Event of Default has occurred shall be deemed to exist under such Section 16.1(m) if (1) the aforesaid aggregate number of licensed beds at such Hospital Facility (A) falls below the required number of licensed beds calculated as provided in subsections (x) and (y) above and (B) is continuing immediately prior restored and returned to, and thereafter maintained at, an aggregate number of licensed beds at such Hospital Facility that is equal to or immediately greater than the required number of licensed beds calculated as provided in subsections (x) and (y) above within one hundred-eighty (180) days after the date condition referenced in subsection (x) first arises and (2) during any period that operations are ceased the condition referenced in subsection (i)(1)(A) above exists with respect to such Hospital Facility, the condition referenced in such subsection (i)(1)(A) of this Lease, or as in the corresponding Section 7.2.7(b)(i)(1)(A) of any other ML Lease, exists with respect to not more than one (1) other Hospital Facility that is included within the Master Lease Leased Properties that remain subject to any of the ML Leases) (For example, assume that (W) a result particular Hospital Facility has 100 beds licensed for the delivery of hospital care, (X) the Applicable Required Number of Beds for such cessation; Hospital Facility is 90 licensed beds, (Y) Tenant delicenses or sells 30 beds licensed for the delivery of hospital care in compliance with all of the requirements of this Section 7.2.7 (other than this subsection (b)(i)) and (Z) the condition referenced in subsection (i)(1)(A) of this Lease, and in the corresponding Section 7.2.7(b)(i)(1)(A) of all other ML Leases, exists with respect to no other Hospital Facility included within the Master Lease Leased Properties that remain subject to any of the ML Leases, then, pursuant to this Section 7.2.7(b)(i), the aggregate number of licensed beds at such Hospital Facility must at all times (or, if the above-described proviso is applicable, then, before the expiration of the time frame referenced in subsection (B) above) be equal to or greater than 86 licensed beds (90 beds – (20% x (90 beds – 70 beds)) = 90 beds – (20% x 20 beds) = (90 beds – 4 beds) = 86 licensed beds), so that such Hospital Facility would need to obtain licensure for 16 beds licensed for the delivery of skilled nursing care, to go with the remaining 70 beds licensed for the delivery of hospital care, in order to comply with this subsection (b)(i)), and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent no other Event of Default shall exist under this Lease;
(c) The number of beds that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are licensed for the Fiscal Year immediately preceding delivery of hospital care at such Hospital Facility must at all times be equal to or greater than the time minimum number of hospital care beds that Tenant ceased operations is required at the Facility.such Hospital Facility as set forth on S
Appears in 3 contracts
Sources: Master Lease Agreement (Ventas Inc), Master Lease Agreement (Kindred Healthcare, Inc), Master Lease Agreement (Kindred Healthcare, Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise commercially reasonable efforts to obtain and to maintain all approvals needed to, or to cause Manager to, use and operate the Leased Property and the Hotel under applicable local, state and federal law. Lessor shall cooperate with Lessee in this regard, including executing all applications and consents required to be signed by Lessor in order for Lessee to obtain and maintain such approvals.
(b) Lessee shall, and shall cause Manager to, use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not not, and Lessee shall ensure that Manager shall not, use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its be granted, denied or conditioned upon Lessor's sole discretion. Landlord acknowledges No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), and Lessee shall not, and shall ensure that operation Manager shall not, sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of each Facility the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property. Further, Lessee shall not, and Lessee shall ensure that Manager shall not, take or omit to take any action, the taking or omission of which materially impairs the usefulness of the Leased Property or any part thereof for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesUse.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will, and shall not cause Manager to, (1) operate continuously the Leased Property as a hotel facility, (2) maintain appropriate certifications and licenses for such use, and (3) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not, and Lessee shall ensure that Manager shall not, (1) commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any unlawful nuisance thereon or totherein, except as required by law, take or (2) suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property.
(e) In the event that, taken in the reasonable determination of Lessor and Lessee, it shall no longer be economically practical to operate the Leased Property as a wholeHotel, provided that Lessor may elect to terminate this Lease, by providing to Lessee Notice thereof, which Notice shall set forth in reasonable detail the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityreasons therefor.
Appears in 3 contracts
Sources: Lease Agreement (Strategic Hotel Capital Inc), Lease Agreement (Strategic Hotel Capital Inc), Lease Agreement (Strategic Hotel Capital Inc)
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) the Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming operations at the Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to the Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse usage or possession or of any implied dedication or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof). Without limiting the foregoing, (1) Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restriction, covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in the process leading to such agreement, and (2) other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into agreements that will encumber the Leased Property without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant is given reasonable opportunity to participate in the process leading to such agreement. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or possessionutility of the Leased Property for the Primary Intended Use. Nothing in the foregoing is intended to vitiate or supersede Tenant’s right to enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the extent provided herein.
(d) Except to the extent resulting from a Permitted Operation Interruption, Tenant shall cause the Facility to be Continuously Operated during the Term.
(e) Subject to Article XII regarding permitted contests, Tenant, at its sole cost and expense, shall promptly (i) comply in all material respects with all Legal Requirements and Insurance Requirements affecting the Facility and the business conducted thereat, including those regarding the use, operation, maintenance, repair and restoration of the Leased Property or an implied dedication any portion thereof (including all Capital Improvements) and Tenant’s Property whether or not compliance therewith may require structural changes in any of the Leased Improvements or interfere with the use and enjoyment of the Leased Property or any portion thereof.
, and (dii) Except procure, maintain and comply in instances of casualty or condemnationall material respects with all Gaming Regulations and Gaming Licenses, Tenant shall continuously operate each and other authorizations required for the use of the Facilities Leased Property (including all Capital Improvements) and Tenant’s Property for the applicable Primary Intended UseUse and any other use of the Leased Property (and Capital Improvements then being made) and Tenant’s Property, and for the proper erection, installation, operation and maintenance of the Leased Property and Tenant’s Property. In an emergency involving an imminent threat to human health and safety or damage to property, or in the event of a breach by Tenant of its obligations under this Section 7.2 which is not cured within any applicable cure period set forth herein, Landlord or its representatives (and any Fee Mortgagee) may, but shall not be obligated to, enter upon the Leased Property (and, without limitation, all Capital Improvements) (upon reasonable prior written notice to Tenant, except in its discretion the case of emergency, and Tenant shall be permitted to cease operations at have Landlord or its representatives accompanied by a Facility or Facilities if representative of Tenant) and take such cessation would not reasonably be expected reasonable actions and incur such reasonable costs and expenses to have a material adverse effect on Tenant, the Facilities, or on such compliance as it deems advisable to protect its interest in the Leased Property, taken as a wholeand Tenant shall reimburse Landlord for all such reasonable out-of-pocket costs and expenses actually incurred by Landlord in connection with such actions.
(f) Tenant shall not, provided that without the following conditions are satisfied: prior written consent of Landlord, cease to operate or permit the Facility to cease to be operated under the “Caesars Palace” Brand.
(g) Without limitation of any of the other provisions of this Lease, Tenant shall comply with all Property Documents (i) no Event of Default has occurred and is continuing immediately prior to that are listed on the title policies described on Exhibit K attached hereto, or immediately (ii) made after the date that operations are ceased hereof in accordance with the terms of this Lease or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter may otherwise be subject agreed to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityin writing by Tenant.
Appears in 2 contracts
Sources: Lease (CAESARS ENTERTAINMENT Corp), Lease (Vici Properties Inc.)
Use of the Leased Property. 11.1. The Lessee will be required to obtain from the competent authorities all licenses which are required to manage the business in the Leased Property, within the framework of the Lease Purpose, and undertakes to manage the business only in accordance with the aforementioned licenses, legal requirements and requirements issued by any competent authority. The Lessee hereby declares that it knows and has verified that it is possible to obtain the licenses specified in this section, and that the Lessor will bear no liability whatsoever in the event that the Lessee is unable to obtain them. Without derogating from the provisions of this subsection, it is hereby clarified that the Lessee undertakes, as a condition for the transfer of the possession of the Leased Property, to obtain from the fire department in the Rehovot district a fire extinguishing certificate with respect to the Leased Property, and for this purpose, to furnish to the fire department any authorization which may be required, to install any facility and/or system which may be required, all at the Lessee’s own expense and under the Lessee’s responsibility.
11.2. The Lessee will not keep any materials, tools, equipment, products, inventory, or any other Chattels whatsoever (ahereinafter, jointly: “Chattels”) Tenant shall outside of the Leased Property, without the Lessor’s consent. In the event that any of the Lessee’s Chattels are located outside of the Leased Property, without having obtained the Lessor’s consent to the foregoing, the Lessor will be entitled to remove them from the location, at the Lessee’s expense, and will not bear any liability whatsoever for their condition.
11.3. The Lessee will comply with all laws, regulations and bylaws which apply to the Leased Property, the use thereof, and the business, the work and the actions performed therein.
11.4. The Leased Property, or cause to any part thereof, may not be used in a manner which causes noise, odors, shocks, pollution, smoke, dust or any other nuisance which exceeds a reasonable degree, in consideration of the nature of the Park in general, and the nature of the Leased Property’s close surrounding area in particular.
11.5. The Lessee will not dispose into the sewage system any waste which in terms of its quantity or quality may harm the aforementioned system, or affect its proper functioning, or which may risk the ordinary use of water sources, rivers, lakes, the sea, or any other source. For the purpose of this section — “sewage system” shall mean central sewage or absorption pits, as well as tunneling and drainage systems and water purification systems, if any. The Lessee is required to ensure that no solid materials are present in the sewage which may harm the pipes or tunnels, and harm or clog the sewage pipes, inspection cells, measurement instrument or purification facilities.
11.6. The Lessee undertakes not to hang, not to install and not to draw any signs, marking or advertisements of any form whatsoever in any part of the Building in which the Leased Property is located, without the Lessor’s advance consent. The Lessee will be entitled to receive, at its own expense, a sign at the entrance to the Park, in the Building and on the floor where the Leased Property is located, according to the conventional framework used in the Park.
11.7. All areas outside of the Leased Property may not be used other than for the purpose of accessing the Leased Property according to the way and manner determined by the Lessor from time to time.
11.8. The Lessee undertakes not to use the Leased Property and any materials and devices maintained therein, and not to perform any actions with respect thereto which involve risks which exceed the improvements thereon of each Facility insured risks, as specified in this Agreement, unless the Lessor has given its advance written consent for the foregoing. In the event that such consent has been given, the Lessee undertakes to maintain insurance to the Lessor’s satisfaction, against any physical injury and damage to property which may be caused due to such risks, without derogating from the Lessor’s right to prepare the aforementioned additional insurance independently, in which case the Lessee will be obligated to repay to the Lessor, immediately upon its Primary Intended Usedemand, any amount which the Lessor has spent in connection therewith.
11.9. Tenant shall not The Lessee will use the Leased Property and its surrounding area in a manner which will not cause any disturbance to the other occupants of the Building, or any portion thereof to their welfare or any Capital Improvement thereto for any other use without of their leased properties, while maintaining the prior written consent intactness and cleanliness of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate the common property in the conduct of the gaming and/or racing operations at the FacilitiesBuilding and its facilities.
(b) Tenant shall 11.10. Without derogating from the provisions stated above in this section, the Lessee undertakes not commit or suffer to be committed make any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability use of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination which causes any noise and/or nuisance and/or pollution and/or ensuing result which is in breach of the Term.
(c) Tenant shall neither suffer nor permit provisions of any law, and without derogating from the Leased Property or generality of the foregoing, will not make any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property which involves and/or which creates, whether directly or indirectly, any portion thereof.
(d) Except chemical compounds and/or smoke and/or gas and/or malodors and/or other active substances which cause harm and/or which may cause harm to the environment, in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Useany manner whatsoever. Tenant It is hereby especially emphasized that in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenantany case, the Facilities, or on Lessee must absolutely refrain from performing actions involving cooking and/or frying in the Leased Property, taken and that insofar as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which Lessee will be calculated based on permitted to operate a lunch room, kitchenette, or any similar space in the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for Leased Property, the Fiscal Year immediately preceding foregoing will only constitute permission to warm prepared food in the time that Tenant ceased operations at Leased Property only, under the Facilityconditions as instructed by the Lessor, including regarding the installation of ventilators, etc.
11.11. The provisions of this section constitute a fundamental provision of the Agreement, and any breach thereof, or of any part thereof, will constitute a fundamental breach of the Agreement.
Appears in 2 contracts
Sources: Lease Agreement (CollPlant Holdings Ltd.), Lease Agreement (CollPlant Holdings Ltd.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or substantially increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and materially comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any improvements to the Leased Property required by the franchisor unless the Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Lease Agreement (Humphrey Hospitality Trust Inc), Master Lease Agreement (Humphrey Hospitality Trust Inc)
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) the Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming operations at the Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to the Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) knowingly permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use usage or possession, possession or an of any implied dedication of or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof.
). Without limiting the foregoing, (d1) Except Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restrictive covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in instances of casualty the process leading to such restrictive covenant, easement or condemnationother encumbrance, and (2) other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into, amend or otherwise modify agreements that encumber the Leased Property (including the Property Documents) without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant shall continuously operate each is given reasonable opportunity to participate in the process leading to such agreement, amendment or other modification. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or utility of the Facilities Leased Property for the Primary Intended Use. Tenant Nothing in its discretion shall be permitted the foregoing is intended to cease operations at a Facility vitiate or Facilities if such cessation would not reasonably be expected supersede Tenant’s right to have a material adverse effect on Tenant, enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the Facilities, or on the Leased Property, taken as a whole, extent provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityherein.
Appears in 2 contracts
Sources: Lease Amendment (Caesars Entertainment, Inc.), Lease (Vici Properties Inc.)
Use of the Leased Property. (a) Tenant After the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility as a licensed comprehensive mental health hospital facility including a licensed subacute care unit, and for its such other uses as may be necessary in connection with or incidental to such use (the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesLessor.
(b) Tenant Lessee covenants and warrants that (i) it has obtained and will maintain all Federal, state and local approvals, authorizations, consents and permits necessary for the use and operation of the Leased Property and the Facility for the Primary Intended Use, (ii) it is and will remain fully qualified to participate in and receive payment under private insurance programs having broad application and federal, state and local governmental programs providing for payment or reimbursement for services rendered, and (iii) it is and will remain accredited by the Joint Commission on Accreditation on Health Care Organizations or any successor organization providing like inspection and accreditation.
(c) Lessee covenants and agrees that during the Term it will continuously operate the Leased Property in accordance with its Primary Intended Use and maintain its certifications for reimbursement, licensure and accreditation.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause in the Facility, or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto Lessor's or to Lessee's estate therein or in any portion thereof thereof, or (ii) may make possible reasonably result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. Lessee agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided and that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased it will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityhandle all "red bag" wastes in accordance with applicable Hazardous Materials Laws.
Appears in 2 contracts
Sources: Lease Agreement (Ramsay Health Care Inc), Lease Agreement (Ramsay Health Care Inc)
Use of the Leased Property. 7.2.1 Lessee covenants that it will obtain and maintain (aor, in the case of any Facility in respect of which a Master Sublease or management agreement permitted without Lessor’s consent under Sections 24.1.1 and 24.1.12 is in effect between Lessee and any of its Affiliates, cause such Affiliate to obtain and maintain) Tenant all Required Governmental Approvals with respect to each Facility (including for any Capital Additions to such Facility).
7.2.2 Lessee shall use or cause to be used the Leased Property Property, all Capital Additions and the improvements thereon of each Facility only for its the Primary Intended Use of such Facility and for no other uses, except for areas reasonably required for office, storage space or ancillary service uses incidental to the Primary Intended Use. Tenant No change to the Primary Intended Use of any Facility shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use be permitted hereunder without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted or withheld in its sole Lessor’s reasonable discretion. Landlord acknowledges that operation .
7.2.3 Subject to any reasonable interruptions in operations as a result of (i) casualty or condemnation and the restoration thereof in accordance with the applicable provisions of Section 14 and/or Section 15 hereof, or (ii) the remediation of any environmental condition in accordance with the applicable provisions of Section 37.3 hereof, Lessee shall operate continuously the entire Leased Property and all Capital Additions of each Facility for its in accordance with the Primary Intended Use generally requires of such Facility. Lessee shall devote the entirety of each Facility and all Capital Additions thereto to the Primary Intended Use, except for areas reasonably required for office, storage space or ancillary service uses incidental to the Primary Intended Use. Lessee shall not modify the services offered or take any other action (e.g., removing patients or residents from any Facility or directing patients or residents, or prospective patients or residents, to another facility) which would materially reduce Gross Revenues or the Fair Market Value of any Facility.
7.2.4 Lessee shall conduct its business at each Facility in conformity with standards that meet or exceed the standards of such Facility’s operations as of the Commencement Date and in a Gaming License under applicable Gaming Regulations manner consistent with normal and that without such a license neither Landlord nor GLP customary standards of patient or resident care practice (as the same may operate, control or participate change from time to time during the Term) provided in similar facilities in the conduct of the gaming and/or racing operations at the FacilitiesState.
(b) Tenant 7.2.5 Lessee shall not commit or suffer to be committed any physical waste on the Leased Property (including and/or on or to any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the TermAdditions.
(c) Tenant 7.2.6 Lessee shall neither suffer nor not permit the Leased Property Property, any Capital Additions, or any portion thereof part(s) thereof, or Lessee’s Personal Property, to be used in such a manner as (i) might is reasonably tend likely to impair LandlordLessor’s title thereto or to any portion thereof or (ii) may make possible reasonably likely a claim of adverse use or possession, or an implied dedication of the Leased Property Property, any Capital Additions or any portion part(s) thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Lease and Security Agreement (Emeritus Corp\wa\), Master Lease and Security Agreement (Hcp, Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Lease (PENN Entertainment, Inc.), Master Lease (Gaming & Leisure Properties, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use, or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor. No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation will cause the cancellation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on insurance policy covering the Leased Property or any part thereof (including unless another adequate policy satisfactory to Lessor is available and Lessee pays any Capital Improvement thereto) or cause premium increase), nor shall Lessee sell or permit any nuisance thereon to be kept, used or to, except as required by law, take sold in or suffer any action or condition that will diminish the ability of about the Leased Property to be used as a Gaming Facility after the expiration any article which is prohibited by law or earlier termination fire underwriter's regulations. Lessee shall comply with all of the Termrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, which compliance shall be performed at Lessee's sole cost except to the extent that such compliance requires the performance of a Capital Improvement or the payment of a Capital Imposition which are Lessor's responsibilities.
(c) Tenant shall neither suffer nor permit Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will either directly or through an approved manager (1) operate continuously (subject to Unavoidable Occurrences) the Leased Property or any portion thereof to be used as a hotel facility, (2) keep in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication full force and effect and comply in all material respects with all the provisions of the Leased Property Franchise Agreement, except Lessee shall have no obligation to complete any Capital Improvements required by Franchisor as set forth in Article XXXVII hereof, (3) not terminate or amend in any portion thereof.
(d) Except in instances respect the Franchise Agreement without the consent of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.Lessor,
Appears in 2 contracts
Sources: Merger Agreement (American General Hospitality Corp), Merger Agreement (Capstar Hotel Co)
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) any Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at a Facility. Tenant acknowledges that operation of a Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the Facilitiesconduct of the gaming operations at such Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to a Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) knowingly permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse usage or possession or of any implied dedication or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof). Without limiting the foregoing, (1) Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restrictive covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in the process leading to such restrictive covenant, easement or other encumbrance, and (2) other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into, amend or otherwise modify agreements that encumber the Leased Property (including any Property Document) without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant is given reasonable opportunity to participate in the process leading to such agreement, amendment or other modification. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or possessionutility of the Leased Property for the Primary Intended Use. Nothing in the foregoing is intended to vitiate or supersede Tenant’s right to enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the extent provided herein.
(d) Except to the extent resulting from a Permitted Operation Interruption, Tenant shall cause each Facility to be Continuously Operated during the Term.
(e) Subject to Article XII regarding permitted contests, Tenant, at its sole cost and expense, shall promptly (i) comply in all material respects with all Legal Requirements and Insurance Requirements affecting each Facility and the business conducted thereat, including those regarding the use, operation, maintenance, repair and restoration of the Leased Property or an implied dedication any portion thereof (including all Capital Improvements) and Tenant’s Property whether or not compliance therewith may require structural changes in any of the Leased Improvements or interfere with the use and enjoyment of the Leased Property or any portion thereof.
, and (dii) Except procure, maintain and comply in instances of casualty or condemnationall material respects with all Gaming Regulations and Gaming Licenses, Tenant shall continuously operate each and other authorizations required for the use of the Facilities Leased Property (including all Capital Improvements) and Tenant’s Property for the applicable Primary Intended UseUse and any other use of the Leased Property (and Capital Improvements then being made) and Tenant’s Property, and for the proper erection, installation, operation and maintenance of the Leased Property and Tenant’s Property. In an emergency involving an imminent threat to human health and safety or damage to property, or in the event of a breach by Tenant of its obligations under this Section 7.2 which is not cured within any applicable cure period set forth herein, Landlord or its representatives (and any Fee Mortgagee) may, but shall not be obligated to, enter upon the Leased Property (and, without limitation, all Capital Improvements) (upon reasonable prior written notice to Tenant, except in its discretion the case of emergency, and Tenant shall be permitted to cease operations at have Landlord or its representatives accompanied by a Facility or Facilities if representative of Tenant) and take such cessation would not reasonably be expected reasonable actions and incur such reasonable costs and expenses to have a material adverse effect on Tenant, the Facilities, or on such compliance as it deems advisable to protect its interest in the Leased Property, taken and Tenant shall reimburse Landlord for all such reasonable out-of-pocket costs and expenses actually incurred by Landlord in connection with such actions.
(f) Tenant shall not, without the prior written consent of Landlord, cease to operate or permit the CPLV Facility to cease to be operated under the “Caesars Palace” Brand.
(g) Without limitation of any of the other provisions of this Lease, Tenant shall comply with all Property Documents (i) that are listed on the title policies described on Exhibit K attached hereto, or (ii) (x) with respect to the Leased Property (CPLV), made after the Commencement Date in accordance with the terms of this Lease or (y) with respect to the Leased Property (HLV), made between the HLV Lease Commencement Date and the Second Amendment Date in accordance with the terms of the HLV Lease or made after the Second Amendment Date in accordance with the terms of this Lease, or (z), as a wholemay otherwise be entered into or agreed to in writing by Tenant.
(h) Tenant shall have the right, subject to Tenant’s receipt of all required approvals from any governmental authority, body or agency, to change the Brand under which the HLV Facility is operated to any other brand, with the costs of such rebranding borne by Tenant, provided that the following conditions are satisfied: (i) no Event Tenant shall give Landlord prior notice of Default has occurred and is continuing immediately prior any change to or immediately after the date that operations are ceased or as a result top-level Brand of such cessation; the HLV Facility and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter shall in all events continue to be subject operated under all other System-wide IP. If any Brand is replaced by another brand pursuant to a floor which will be calculated based on the Percentage Rent that would have been paid for preceding sentence, Landlord and Tenant shall cooperate with one another to make such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilitychanges to this Lease as are necessary to give effect to such new brand.
Appears in 2 contracts
Sources: Lease (Caesars Entertainment, Inc.), Lease (Vici Properties Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended UseUse in accordance with the Operating Standard. Tenant shall not use or permit the use of the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretionnot unreasonably withhold, condition or delay. Landlord acknowledges that operation of each Gaming Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP any Affiliate of Landlord may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilitiesa Gaming Facility.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility (except in connection with any use, or change of use, permitted pursuant to Section 7.2(a) above or in connection with a Facility (or any portion thereof) that is not and has not been operated as a Gaming Facility) after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might would reasonably tend be expected to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible would reasonably be expected to result in a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except as a result of a Casualty Event or for the duration of an Unavoidable Delay or, with respect to a Facility undergoing a Landlord Approved Construction/Closure Project, for the duration of the period in instances of casualty or condemnationwhich Tenant is prosecuting such Landlord Approved Construction/Closure Project, Tenant shall continuously operate each of the Facilities for the Primary Intended UseUse in accordance with the Operating Standard. Notwithstanding the foregoing, Tenant in its discretion shall be permitted may elect to permanently or temporarily cease operations at a Facility or any of the Facilities if (i) in Tenant’s reasonable discretion, such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that or (ii) at the following conditions time of such Voluntary Cessation, the EBITDAR to Rent Ratio, calculated on a pro forma basis as if the Facility(ies) for which operations are satisfied: to be terminated were not included in EBITDAR, for the trailing twelve (12) month period is not less than 1.9:1 (any cessation of operations under clause (i) no Event of Default has occurred above or this clause (ii), a “Voluntary Cessation”); provided, however, that to the extent any Voluntary Cessation exceeds and is continuing immediately for more than a period of twelve (12) consecutive months, Landlord may provide written notice to Tenant (the “Voluntary Termination Notice”) of Landlord’s intent to exercise Landlord’s right to terminate Tenant’s Leasehold Interest in this Master Lease as set forth below with respect to only the Facility for which the Voluntary Cessation has occurred and, as a condition to any such termination, contemporaneously therewith enter into a new lease for such facility (a “Replacement Lease”) with a bona fide third party (a “Replacement Tenant”) at a commercially reasonable rent (giving due consideration to the fact that such Facility has been closed and is not operational) (“Landlord’s Termination Right”); provided further, that effective upon such termination, Rent under this Master Lease will be reduced by the amount of Rent required to be paid by such third party to the Landlord pursuant to such Replacement Lease. Notwithstanding the foregoing, Rent under this Master Lease will remain unchanged except as specifically set forth in the proviso of the preceding sentence (and, for the avoidance of doubt, solely in the event of a Replacement Lease). Notwithstanding the foregoing, if Landlord delivers a Voluntary Termination Notice to Tenant in accordance with the above, Tenant may within thirty (30) days after receipt of the Voluntary Termination Notice, provide notice to Landlord that Tenant intends to again operate the Facility in question (“Tenant’s Notice of Intent”) and (x) if Tenant does thereafter commence operation of the Facility in question prior to or immediately after the date that operations are ceased is sixty (60) days after the delivery to Landlord of Tenant’s Notice of Intent (“Tenant’s Recommencement Period”), and continues to operate such Facility for at least ninety (90) consecutive days in accordance with the terms of this Master Lease, then Landlord’s Termination Right shall not apply and (y) if Tenant does not thereafter commence operation of the Facility in question prior to the expiration of Tenant’s Recommencement Period, or as does commence operation during Tenant’s Recommencement Period but does not continue to operate for such 90-day period, then Landlord shall have the right to exercise Landlord’s Termination Right provided that Landlord and Replacement Tenant enter into a result binding agreement for the execution and delivery by Landlord and Replacement Tenant of a Replacement Lease within four (4) years following the expiration of Tenant’s Recommencement Period (such 4-year period, the “Re-tenanting Period”) and thereafter consummate the closing and enter into the Replacement Lease no later than one (1) year after execution and delivery of such cessation; binding agreement (such 1-year period, the “Replacement Lease Closing Period”), failing which, Landlord shall no longer be permitted to exercise Landlord’s Termination Right with respect to the Voluntary Cessation in question without first delivering a Voluntary Termination Notice to Tenant and providing Tenant with the rights set forth above in connection therewith. For purposes of clarity, (1) under no circumstances shall any termination of this Master Lease with respect to a Facility pursuant to this Section 7.2(d) become effective unless a Replacement Lease is executed and delivered contemporaneously therewith, and (ii2) the Percentage Rent due from each if Tenant reopens a Facility as described in clause (x) of this Section 7.2(d) and every continues to operate such Facility whose for at least ninety (90) consecutive days in accordance with the terms of this Master Lease, but thereafter, ceases operations have ceased will thereafter be at such Facility for more than a period of twelve (12) consecutive months, then, Landlord may provide another Voluntary Termination Notice to Tenant pursuant to this Section 7.2(d).
(e) Without limitation of any other provisions of this Lease, Tenant shall comply in all material respects with all Property Documents and Landlord shall reasonably cooperate with Tenant (at Tenant’s sole cost and expense) to the extent necessary for Tenant to so comply.
(f) Upon Landlord’s reasonable request from time to time, but not more frequently than once each year, Tenant shall provide Landlord with copies of any final third-party surveys, environmental, engineering, zoning, seismic or property condition reports (other than any which are subject to a floor which will be calculated based on privilege) obtained by Tenant or any Operating Subtenant with respect to the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityLeased Property.
Appears in 2 contracts
Sources: Master Lease (VICI Properties L.P.), Master Lease (MGM Resorts International)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all license, permits and approvals needed to use and operate the Leased Property and each Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as hotel facilities (including food and beverage operations) consistent with its present use, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property or any part thereof and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV Lessee covenants and agrees that during the Term it will (1) maintain and operate continuously each Facility as a hotel, (2) keep in full force and effect and comply with all the provisions of any Management Agreement, (3) not terminate or amend any Management Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and otherwise comply with all Legal Requirements and (5) seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including Property, or any Capital Improvement thereto) or Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof, subject to Lessor's prior consent.
(df) Except in instances of casualty Lessee shall not use, generate, handle, dispose or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or store Hazardous Materials on the Leased Property, taken except in the normal course of operations of the Leased Property as a wholehotel facilities and in compliance with all Environmental Laws.
(g) Lessee shall not enter into any collective bargaining agreements with respect to any of the employees at the Leased Property without the prior consent of Lessor, provided that which shall not be unreasonably withheld or delayed, unless required by law.
(h) Lessee hereby assumes and agrees to perform all of the following conditions are satisfied: obligations of Lessor under all leases in effect at the Leased Property as of the date of commencement of the Term.
(i) no Event Lessee represents that, as of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result hereof, its sole business activity consists of, and Lessee covenants that, during the Term hereof, its sole business activity shall consist of such cessation; the lease and (ii) operation of the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityLeased Property.
Appears in 2 contracts
Sources: Percentage Lease Agreement (Red Lion Inns Limited Partnership), Percentage Lease Agreement (Boykin Lodging Co)
Use of the Leased Property. (a) Section 7.2.1. [Tenant shall use proceed with all due diligence and shall exercise its best efforts to obtain and]/*/ [Tenant shall] maintain or cause to be used the maintained all approvals needed to use and operate each Leased Property and the improvements thereon Facility located at each Leased Property under applicable local, state and federal law and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure, except that with respect to the Leased Properties described in Exhibits A-__, A-__, A- __, the certificate of need issued for the applicable Facility shall be the property of Lessor.
Section 7.2.2. After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing home and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing home on the Commencement Date shall continue to be used as a nursing home during the entire Term (such use being the applicable Leased Property's "Primary Intended Use"). -------------------- Tenant shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which ------------ /*/For Leases for Development Properties consent Landlord shall not be unreasonably withheld or delayed. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretioncost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Tenant's Personal Property.
Section 7.2.3. Landlord acknowledges that operation Tenant shall during the Term operate continuously each Leased Property as a provider of each Facility for health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4. Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or condition that will diminish omission of which may materially impair the ability value or the usefulness of the such Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termany part thereof for its Primary Intended Use.
(c) Section 7.2.5. Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, or Tenant's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Tenant's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
(d) Except Section 7.2.6. Nothing contained in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion this Section 7.2 shall be permitted deemed to cease operations require Tenant to maintain Medicaid certification at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the any Facility.
Appears in 2 contracts
Sources: Master Lease Agreement (Vencor Healthcare Inc), Master Lease Agreement (Ventas Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Homewood Suites hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Hotel Lease Agreement (Apple REIT Nine, Inc.), Hotel Lease Agreement (Apple REIT Eight, Inc.)
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) the Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming operations at the Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to the Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) knowingly permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse usage or possession or of any implied dedication or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof). Without limiting the foregoing, (1) Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restriction, covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in the process leading to such agreement, and (2) other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into, amend or otherwise modify agreements that encumber the Leased Property (including any Property Document) without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant is given reasonable opportunity to participate in the process leading to such agreement. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or possessionutility of the Leased Property for the Primary Intended Use. Nothing in the foregoing is intended to vitiate or supersede Tenant’s right to enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the extent provided herein.
(d) Except to the extent resulting from a Permitted Operation Interruption, Tenant shall cause the Facility to be Continuously Operated during the Term.
(e) Subject to Article XII regarding permitted contests, Tenant, at its sole cost and expense, shall promptly (i) comply in all material respects with all Legal Requirements and Insurance Requirements affecting the Facility and the business conducted thereat, including those regarding the use, operation, maintenance, repair and restoration of the Leased Property or an implied dedication any portion thereof (including all Capital Improvements) and Tenant’s Property whether or not compliance therewith may require structural changes in any of the Leased Improvements or interfere with the use and enjoyment of the Leased Property or any portion thereof.
, and (dii) Except procure, maintain and comply in instances of casualty or condemnationall material respects with all Gaming Regulations and Gaming Licenses, Tenant shall continuously operate each and other authorizations required for the use of the Facilities Leased Property (including all Capital Improvements) and Tenant’s Property for the applicable Primary Intended UseUse and any other use of the Leased Property (and Capital Improvements then being made) and Tenant’s Property, and for the proper erection, installation, operation and maintenance of the Leased Property and Tenant’s Property. In an emergency involving an imminent threat to human health and safety or damage to property, or in the event of a breach by Tenant of its obligations under this Section 7.2 which is not cured within any applicable cure period set forth herein, Landlord or its representatives (and any Fee Mortgagee) may, but shall not be obligated to, enter upon the Leased Property (and, without limitation, all Capital Improvements) (upon reasonable prior written notice to Tenant, except in its discretion the case of emergency, and Tenant shall be permitted to cease operations at have Landlord or its representatives accompanied by a Facility or Facilities if representative of Tenant) and take such cessation would not reasonably be expected reasonable actions and incur such reasonable costs and expenses to have a material adverse effect on Tenant, the Facilities, or on such compliance as it deems advisable to protect its interest in the Leased Property, taken as a wholeand Tenant shall reimburse Landlord for all such reasonable out-of-pocket costs and expenses actually incurred by Landlord in connection with such actions.
(f) Tenant shall not, provided that without the following conditions are satisfied: prior written consent of Landlord, cease to operate or permit the Facility to cease to be operated under the “Caesars Palace” Brand.
(g) Without limitation of any of the other provisions of this Lease, Tenant shall comply with all Property Documents (i) no Event of Default has occurred and is continuing immediately prior to that are listed on the title policies described on Exhibit K attached hereto, or immediately after the date that operations are ceased or as a result of such cessation; and (ii) made after the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter Commencement Date in accordance with the terms of this Lease or as may otherwise be subject entered into or agreed to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityin writing by Tenant.
Appears in 2 contracts
Sources: Lease Amendment (Vici Properties Inc.), Lease Amendment (CAESARS ENTERTAINMENT Corp)
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and maintain throughout the entire Term all approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use, as defined below, under applicable local, state and federal law, including but not limited to licensure approvals, Medicare and/or a Medicaid certifications, provider numbers, certificates of need, governmental approvals, and full accreditation from all applicable governmental authorities, if any, that are necessary for the operation of the Facility as a rehabilitation hospital facility.
(b) Beginning on the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility as a rehabilitation hospital facility and for its such other uses as may be necessary in connection with or incidental to such use (the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord Lessee agrees may withhold be withheld in Lessor's sole discretion, provided however, that Lessee shall be permitted to sublease a portion of the Leased Property for provision of therapy or physician office space without Lessor's consent so long as the sublease otherwise complies with the provisions of Article VIII, Article XXIV and Article XL hereof. No use shall be made or permitted to be made of the Leased Property and no acts shall be done which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or by the standard form of fire insurance policies, any other insurance policies required to be carried hereunder, or fire underwriters regulations. Lessee shall, at its sole discretion. Landlord acknowledges cost, comply with all of the requirements, covenants and restrictions pertaining to the Leased Property, including, without limitation, all of the Permitted Exceptions, and other requirements of any insurance board, association, organization or company necessary for the maintenance of the insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(c) Lessee covenants and agrees that operation of each Facility for during the Term it will continuously operate the Leased Property only in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesLessee shall maintain its certifications for reimbursement and licensure and all accreditations.
(bd) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, or Lessee's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Lease Agreement (Medical Properties Trust Inc), Lease Agreement (Medical Properties Trust Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will exercise reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property for its Primary Intended Purpose, as defined in Section 7.2(b) below, and applicable Legal Requirements.
(b) Lessee shall use or cause to be used the Leased Property only as a Hyatt Place hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement, without the consent of Lessor (which shall not be unreasonably withheld or delayed), and (4) maintain appropriate certifications and Licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Hotel Lease Agreement (Moody National REIT I, Inc.), Hotel Lease Agreement (Moody National REIT I, Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and any Tenant Capital Additions thereto and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement Addition thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including or any Capital Improvement thereto) Addition thereto or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances With respect to each of casualty or condemnationthe Facilities and notwithstanding anything to the contrary that may be authorized by the terms of any applicable Legal Requirements, Tenant may not apply for permission to reduce the licensed bed complement, take any of the licensed beds out of service or move the beds to a different location without the consent of Landlord which may be withheld in the sole discretion of Landlord.
(e) Tenant shall continuously provide and maintain during the Term such Personal Property as shall be reasonably necessary and appropriate in order to operate each of the Facilities for the Primary Intended UseUse in compliance with all licensure and certification requirements and in compliance with all applicable Legal Requirements and Insurance Requirements and as required, in Tenant’s prudent business judgment, to meet the needs of residents of the Facility. Tenant All of the Personal Property described in its discretion this Section 7.2(e) (excluding Tenant’s Personal Property) shall at the expiration or earlier termination of this Master Lease be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred deemed and is continuing immediately prior construed to or immediately after the date that operations are ceased or as a result of such cessation; be Landlord’s Personal Property, and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject surrendered to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityLandlord in good operating condition.
Appears in 2 contracts
Sources: Master Lease (SHG Services, Inc.), Master Lease (Sabra Health Care REIT, Inc.)
Use of the Leased Property. 7.2.1 Lessee covenants that it will obtain and maintain (aor, in the case of any Facility in respect of which a Master Sublease or management agreement permitted without Lessor’s consent under Sections 24.1.1 and 24.1.12 is in effect between Lessee and any of its Affiliates, cause such Affiliate to obtain and maintain) Tenant all Required Governmental Approvals with respect to each Facility (including for any Capital Additions to such Facility).
7.2.2 Lessee shall use or cause to be used the Leased Property Property, all Capital Additions and the improvements thereon of each Facility only for its Portions of this exhibit that have been marked by [***] have been omitted pursuant to a request for confidential treatment filed separately with the Securities and Exchange Commission. the Primary Intended Use of such Facility and for no other uses, except for areas reasonably required for office, storage space or ancillary service uses incidental to the Primary Intended Use. Tenant No change to the Primary Intended Use of any Facility shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use be permitted hereunder without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted or withheld in its sole Lessor’s reasonable discretion. Landlord acknowledges that operation .
7.2.3 Subject to any reasonable interruptions in operations as a result of (i) casualty or condemnation and the restoration thereof in accordance with the applicable provisions of Article XIV and/or Article XV hereof, or (ii) the remediation of any environmental condition in accordance with the applicable provisions of Section 37.3 hereof, Lessee shall operate continuously the entire Leased Property and all Capital Additions of each Facility for its in accordance with the Primary Intended Use generally requires of such Facility. Lessee shall devote the entirety of each Facility and all Capital Additions thereto to the Primary Intended Use, except for areas reasonably required for office, storage space or ancillary service uses incidental to the Primary Intended Use. Lessee shall not modify the services offered or, except as permitted in Section 7.4 hereof, take any other action (e.g., removing patients or residents from any Facility or directing patients or residents, or prospective patients or residents, to another facility) which would materially reduce Gross Revenues or the Fair Market Value of any Facility.
7.2.4 Lessee shall conduct its business at each Facility in conformity with standards that meet or exceed the standards of such Facility’s operations as of the Commencement Date and in a Gaming License under applicable Gaming Regulations manner consistent with normal and that without such a license neither Landlord nor GLP customary standards of patient or resident care practice (as the same may operate, control or participate change from time to time during the Term) provided in similar facilities in the conduct of the gaming and/or racing operations at the FacilitiesState.
(b) Tenant 7.2.5 Lessee shall not commit or suffer to be committed any physical waste on the Leased Property (including and/or on or to any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the TermAdditions.
(c) Tenant 7.2.6 Lessee shall neither suffer nor not permit the Leased Property Property, any Capital Additions, or any portion thereof part(s) thereof, or Lessee’s Personal Property, to be used in such a manner as (i) might is reasonably tend likely to impair LandlordLessor’s title thereto or to any portion thereof or (ii) may make possible reasonably likely a claim of adverse use or possession, or an implied dedication of the Leased Property Property, any Capital Additions or any portion part(s) thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Lease and Security Agreement (Brookdale Senior Living Inc.), Master Lease and Security Agreement (Hcp, Inc.)
Use of the Leased Property. (a) Throughout the Term of this Master Lease, Tenant shall use have the exclusive right to use, or cause to be used used, the Leased Property and the improvements thereon of each Facility for its Primary Intended Use; it being agreed and acknowledged by Landlord that any of Tenant’s Subsidiaries (including but not limited to the Subsidiaries set forth on Schedule 7.2 attached hereto) shall have the right to use, occupy and operate the Leased Property subject to and in accordance with the terms of this Master Lease and such Subsidiaries shall have the right to discharge any or all of Tenant’s obligations (maintenance or otherwise) hereunder on behalf of Tenant. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operateshall not be unreasonably withheld, control conditioned or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Communications Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for one or more of the activities constituting the Primary Intended Use, with the specific use conducted at any portion of the Facilities to be determined by Tenant in its reasonable discretion. Notwithstanding the foregoing, Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would either (x) not reduce the route miles of the fiber optic and copper cable lines with respect to any one Facility by more than ten percent (10%) or the Facilities as a whole by more than five percent (5%) in the aggregate over the Term or (y) not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; cessation and such cessation does not result in any non-compliance with any Legal Requirements, Communications Licenses, Pole Agreements or Communications Regulations.
(e) Any sublease (including, but not limited to, any rights granted pursuant to a dark fiber agreement, a dim fiber agreement or a collocation agreement) entered into in accordance with the terms of this Master Lease shall constitute a permitted use under this Master Lease and such use thereunder shall be deemed to be included in the definition of Primary Intended Use.
(f) Tenant shall have the right to receive all rents, profits and charges arising from the Primary Intended Use of the Leased Property or any sublease of the Leased Property, including but not limited to: (i) contract charges and tariffed rates to third parties on a wholesale basis, (ii) rents collected from Pole Agreements, and (iii) payments from customer or carriers for dark or dim fiber services. Without limiting the Percentage Rent due from each foregoing, Landlord acknowledges that Tenant (and every Tenant’s Subsidiaries) may charge contract and/or tariff rates to other carriers in such Facility whose operations have ceased will thereafter be amounts as Tenant deems appropriate (subject to a floor which will be calculated based on Legal Requirements) in performing its obligations under the Percentage Rent Communication Regulations (including Tenant’s collocation obligations) and that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for Landlord has no rights to the Fiscal Year immediately preceding the time amounts that Tenant ceased operations at collects from such carriers in connection therewith during the FacilityTerm. Notwithstanding the foregoing, upon the occurrence and during the continuance of an Event of Default that is monetary in nature, Landlord shall have the right to receive all rents, profits and charges arising from any sublease of the Leased Property (including, but not limited to, any rights granted pursuant to a dark fiber agreement, a dim fiber agreement or a collocation agreement) subject to applicable law, and apply such rents, profits and charges to Rent as set forth in Section 22.3.
Appears in 2 contracts
Sources: Master Lease (Windstream Services, LLC), Master Lease (Communications Sales & Leasing, Inc.)
Use of the Leased Property. (a) Tenant After the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility as an inpatient rehabilitation hospital and for its such other uses as may be necessary in connection with or incidental to such use (the “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall not be unreasonably withheld or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant Lessee covenants that it will obtain and maintain all material approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use in compliance with all applicable Legal Requirements.
(c) Lessee covenants and agrees that during the Term it will use its reasonable best efforts to operate continuously the Leased Property in accordance with its Primary Intended Use and to maintain its certifications for reimbursement and licensure and its accreditation, if compliance with accreditation standards is required to maintain the operations of the Facility and if a failure to comply would adversely affect operations of the Facility.
(d) L▇▇▇▇▇ shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or L▇▇▇▇▇’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may make possible reasonably result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. L▇▇▇▇▇ agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided and that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased it will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityhandle all “red bag” wastes in accordance with applicable Hazardous Materials Laws.
Appears in 2 contracts
Sources: Assignment and Assumption of Lease (Global Medical REIT Inc.), Assignment and Assumption of Lease (Global Medical REIT Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) when calculating the Percentage Rent due from due, the Net Revenue for each and every such Facility whose operations have permanently ceased will thereafter shall in the year of such cessation, and for each year thereafter, be subject equal to a floor which will be calculated based on the Percentage Rent that would have been paid Net Revenue for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding calendar year immediate prior to the time that Tenant year in which the Facility permanently ceased operations at the Facilityits operations.
Appears in 2 contracts
Sources: Master Lease (PENN Entertainment, Inc.), Master Lease (Gaming & Leisure Properties, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Residence Inn by Marriott hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Management Agreement, (3) not terminate or amend the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Hotel Lease Agreement (Apple Hospitality Two Inc), Master Hotel Lease Agreement (Apple Hospitality Two Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Hampton Inn & Suites hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Hotel Lease Agreement (Apple REIT Ten, Inc.), Hotel Lease Agreement (Apple REIT Nine, Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility (including, without limitation, the Facility) solely for its Primary Intended Use. Tenant shall not use or permit the use of the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each the Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP any Affiliate of Landlord may operate, control or participate in the conduct of the Facility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property Facility to be used as a Gaming Facility or otherwise for the Primary Intended Use (except in connection with any use, or change of use, permitted pursuant to Section 7.2(a)) during the Term or after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or thereof, (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
, (diii) Except in instances of casualty violates any law or condemnation, Tenant shall continuously operate each any of the Facilities provisions set forth in Article XXXII or any other provision of this Lease; (iv) violates any certificates of occupancy for the Primary Intended Use. Tenant Leased Property or make void or voidable any insurance then in its discretion shall be permitted force with respect thereto as is required pursuant to cease operations at a Facility the terms hereof or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on (v) subjects the Leased PropertyProperty or this Lease to any encumbrances, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to other than encumbrances expressly permitted under Article XI or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityelsewhere in this Lease.
Appears in 2 contracts
Sources: Ground Lease (Bally's Chicago, Inc.), Ground Lease (Bally's Chicago, Inc.)
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant’s rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property’s “Primary Intended Use”). Tenant shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant’s Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or omission of which may materially impair the value or the usefulness of such Leased Property or any part thereof for its Primary Intended Use. Without limitation of the foregoing provisions, Tenant shall not (a) enter into any contract, agreement or other instrument, or establish any other arrangement, relating to the operation, repair, maintenance, replacement, construction, alteration, insuring, assignment or subletting, or otherwise affecting the value or usefulness, of any Leased Property or any part thereof, whether with Affiliates of Tenant or any other Person, that is on non-market or non-arm’s length terms and conditions (provided, however, that, notwithstanding the foregoing, Tenant may enter into contracts, agreements or other instruments, or enter into other arrangements, that are on non-market or non-arm’s length terms and conditions relative to a particular Facility provided and on the condition that will diminish the ability same will, in the reasonable business judgment of Tenant, have a de minimus impact on the value, usefulness, operations, EBITDAR and EBITDARM of such Facility) or (b) require any Leased Property to be used as bear or pay, or allocate to any Leased Property for accounting or other purposes (including, without limitation, the determination of EBITDAR or EBITDARM for any Leased Property), a Gaming Facility after share of any costs or expenses that relate to such Leased Property and any other property (including, without limitation, other Combined Leased Properties) that is non-market or otherwise constitutes a disproportionate share of such costs and expenses under the expiration or earlier termination of the Termapplicable facts and circumstances.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Tenant’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
Section 7.2.6 Nothing contained in this Section 7.2 shall be deemed to prevent Tenant from (di) Except voluntarily withdrawing from the Medicaid program, and voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or (ii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant’s certification for participation in instances the Medicaid program as to any such Facility(ies) and without reducing the number of casualty beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or condemnation(iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant’s certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant shall continuously operate deliver to Lessor a Senior Officer’s Certificate, in form and substance reasonably satisfactory to Lessor, certifying that Tenant has made diligent inquiry relative to the applicable Legal Requirements and has consulted with its legal counsel and, based on the foregoing, certifies that Tenant has complied, and continues to comply, with the provisions of this Section 7.2.6 in connection with such voluntary withdrawal and de-activation and/or voluntary reduction.
Section 7.2.7 Notwithstanding anything to the contrary contained in this Section 7.2, in the case of each of the Facilities for Facility that is operated as a hospital as the Primary Intended UseUse (a “Hospital Facility”), Lessor agrees that, subject to the requirements of this Section 7.2.7, a portion of the licensed beds at such Hospital Facility may be converted from being beds that are licensed for the delivery of hospital care into beds that are licensed for the delivery of skilled nursing care. Tenant in its discretion Conversion of licensed beds as aforesaid shall be permitted to cease operations at a particular Hospital Facility or Facilities if such cessation would provided and on the condition that all of the following requirements are satisfied:
(a) If Tenant desires to convert licensed beds at a Hospital Facility as permitted in this Section 7.2.7, not reasonably be expected less than thirty (30) days prior to have a material adverse effect on commencing to seek any necessary Authorizations therefor and/or making any Alterations required in connection therewith, Tenant
(1) the licensed bed changes and conversions proposed by Tenant, including, without limitation, Tenant’s projected timetable, and projected completion date, for such licensed bed changes and conversions, (2) the Facilitiesnumber of beds licensed for the delivery of hospital care that are to be converted to beds licensed for the delivery of skilled nursing care, or on (3) Tenant’s plans for obtaining the Leased Propertynecessary Authorizations for such conversions (including, taken without limitation, whether and to what extent Tenant intends and expects to accomplish such conversions through the voluntary removal from service (“banking”) of the aforesaid hospital care beds as a wholedescribed below and, provided if not, why such banking will not be utilized by Tenant), (4) which specific Authorizations Tenant expects it will need (e.g. new Medicare and/or Medicaid certifications, new licenses for skilled nursing care beds, etc.), (5) Tenant’s projected timetable for obtaining all necessary Authorizations and (6) whether and to what extent Tenant intends and expects to sell any such hospital care beds as described below, (x) the Permitted Alterations to the affected Hospital Facility that Tenant intends to make in connection with such conversions, and (y) Tenant’s projections, budgets and/or other estimates of the cost of the aforesaid Permitted Alterations and of all other costs of implementing such changes and conversions and of the projected impact of such changes and conversions upon the EBITDAR of the affected Hospital Facility (broken down by line item) and upon Tenant’s earnings per share, (ii) evidence reasonably satisfactory to Lessor establishing and demonstrating that the proposed changes and conversions will satisfy all of the requirements of this Section 7.2.7, and (iii) a Senior Officer’s Certificate certifying that Tenant has made diligent inquiry and has consulted with its legal counsel and, based upon the foregoing, certifying that the licensed bed changes and conversions proposed by Tenant will satisfy all of the requirements of this Section 7.2.7, that Tenant expects to accomplish such licensed bed changes and conversions without relying upon the proviso contained in subsection (b)(i) below (or, if Tenant expects to rely upon such proviso, so certifying and further certifying that the requirements of such proviso shall be satisfied by Tenant in a timely manner) and that the information contained in the aforesaid notice or delivered therewith is true and correct in all material respects. Tenant shall further submit and deliver to Lessor, promptly following conditions are satisfied: Lessor’s request therefor, such supplemental information and documentation relative to the proposed licensed bed changes and conversions as Lessor may reasonably request from time to time;
(i) The aggregate number of beds that are licensed at such Hospital Facility for the delivery of hospital care and, as and to the extent permitted by this Section 7.2.7, skilled nursing care must at all times be equal to or greater than (x) the number of licensed beds that, if not for the provisions of this subsection (b)(i), Tenant would be obligated to maintain at such Hospital Facility in order to avoid causing an Event of Default to arise under Section 16.1(m) hereof (exclusive of Section 16.1(m)(v) hereof) (the “Applicable Required Number of Beds”), minus (y) twenty percent (20%) of the amount, if any, by which the Applicable Required Number of Beds at such Hospital Facility exceeds the number of beds that are licensed at such Hospital Facility for the delivery of hospital care (provided, however, that, for purposes of this subsection (b)(i) and Section 16.1(m) hereof, no Event of Default has occurred shall be deemed to exist under such Section 16.1(m) if (1) the aforesaid aggregate number of licensed beds at such Hospital Facility (A) falls below the required number of licensed beds calculated as provided in subsections (x) and (y) above and (B) is continuing immediately prior restored and returned to, and thereafter maintained at, an aggregate number of licensed beds at such Hospital Facility that is equal to or immediately greater than the required number of licensed beds calculated as provided in subsections (x) and (y) above within one hundred-eighty (180) days after the date condition referenced in subsection (x) first arises and (2) during any period that operations are ceased the condition referenced in subsection (i)(1)(A) above exists with respect to such Hospital Facility, the condition referenced in such subsection (i)(1)(A) of this Lease, or as in the corresponding Section 7.2.7(b)(i)(1)(A) of any other ML Lease, exists with respect to not more than one (1) other Hospital Facility that is included within the Master Lease Leased Properties that remain subject to any of the ML Leases) (For example, assume that (W) a result particular Hospital Facility has 100 beds licensed for the delivery of hospital care, (X) the Applicable Required Number of Beds for such cessation; Hospital Facility is 90 licensed beds, (Y) Tenant delicenses or sells 30 beds licensed for the delivery of hospital care in compliance with all of the requirements of this Section 7.2.7 (other than this subsection (b)(i)) and (Z) the condition referenced in subsection (i)(1)(A) of this Lease, and in the corresponding Section 7.2.7(b)(i)(1)(A) of all other ML Leases, exists with respect to no other Hospital Facility included within the Master Lease Leased Properties that remain subject to any of the ML Leases, then, pursuant to this Section 7.2.7(b)(i), the aggregate number of licensed beds at such Hospital Facility must at all times (or, if the above-described proviso is applicable, then, before the expiration of the time frame referenced in subsection (B) above) be equal to or greater than 86 licensed beds (90 beds – (20% x (90 beds – 70 beds)) = 90 beds – (20% x 20 beds) = (90 beds – 4 beds) = 86 licensed beds), so that such Hospital Facility would need to obtain licensure for 16 beds licensed for the delivery of skilled nursing care, to go with the remaining 70 beds licensed for the delivery of hospital care, in order to comply with this subsection (b)(i)), and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent no other Event of Default shall exist under this Lease;
(c) The number of beds that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are licensed for the Fiscal Year immediately preceding delivery of hospital care at such Hospital Facility must at all times be equal to or greater than the time minimum number of hospital care beds that Tenant ceased operations is required at the such Hospital Facility as set forth on Schedule 7.2.7 attached hereto and made a part hereof;
(d) The aggregate number of beds at such Hospital Facility., and at all other Hospi
Appears in 2 contracts
Sources: Master Lease Agreement (Ventas Inc), Master Lease Agreement (Ventas Inc)
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 ------------ hereof, to turn over all of Tenant's rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property's "Primary Intended Use"). Tenant -------------------- shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant's Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or condition that will diminish omission of which may materially impair the ability value or the usefulness of the such Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termany part thereof for its Primary Intended Use.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Tenant's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
(d) Except Section 7.2.6 Nothing contained in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion this Section 7.2 shall be permitted deemed ----------- to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: prevent Tenant from (i) no Event of Default has occurred voluntarily withdrawing from the Medicaid program, and is continuing immediately prior voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or immediately after the date that operations are ceased or as a result of such cessation; and (ii) voluntarily reducing the Percentage Rent due number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant's certification for participation in the Medicaid program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or (iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant's certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from each Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant ------------- shall deliver to Lessor a Senior Officer's Certificate, in form and every such Facility whose operations have ceased will thereafter be subject substance reasonably satisfactory to a floor which will be calculated Lessor, certifying that Tenant has made diligent inquiry relative to the applicable Legal Requirements and has consulted with its legal counsel and, based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time foregoing, certifies that Tenant ceased operations at has complied, and continues to comply, with the Facilityprovisions of this Section 7.2.6 in connection ------------- with such voluntary withdrawal and de-activation and/or voluntary reduction.
Appears in 2 contracts
Sources: Master Lease Agreement (Kindred Healthcare Inc), Master Lease Agreement (Kindred Healthcare Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a health and fitness resort, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property.
(bc) Tenant Subject to the provisions of Articles XIV, XV, and XXI, Lessee covenants and agrees that during the term of this Lease it will (1) operate continuously the Leased Property as a health and fitness resort, (2) keep in full force and effect and comply with all the provisions of the Management Agreement, (3) not terminate or amend the Management Agreement without the consent of Lessor, and (4) maintain appropriate certifications and licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or normal wear and tear excepted), nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Resort on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Lease Agreement (Crescent Real Estate Equities Inc), Lease Agreement (Crescent Real Estate Equities Inc)
Use of the Leased Property. (a) Tenant 7.2.1 Lessee covenants that it will proceed with due diligence and will exercise commercially reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and each Facility in accordance with Legal Requirements.
7.2.2 During the Term, Lessee shall use or cause to be used the Facilities as assisted living or residential care facilities, and for such other uses as may be necessary or incidental to such use (the particular such use to which the Leased Property and is put is herein referred to as the improvements thereon of each Facility for its Primary Intended Use"PRIMARY INTENDED USE"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any use other use than the Primary Intended Use without the prior written consent of LandlordLessor, which consent Landlord may be withheld in Lessor's sole and absolute discretion; provided, however, that Lessor may not unreasonably withhold its consent to any alternate use that is within the long term care industry. No use shall be made of the Leased Property, and no acts shall be done, which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by Insurance Requirements or Legal Requirements. Lessee shall, at its sole discretion. Landlord acknowledges cost, comply with all Insurance Requirements and Legal Requirements.
7.2.3 Lessee covenants and agrees that operation of each Facility for during the Term it will operate continuously the Leased Property in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilitieswill maintain its certifications for reimbursement and its licensure.
(b) Tenant 7.2.4 Lessee shall not commit or suffer to be committed any waste on the Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition thereon. Lessor acknowledges that will diminish the ability Lessee's operation of the Leased Property to be used as a Gaming Facility after Facilities in accordance with the expiration Primary Intended Use will not constitute waste or earlier termination of the Termnuisance.
(c) Tenant 7.2.5 Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including Lessee's Personal Property, to be used in such a manner as (i) it might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Lease Agreement (Brookdale Senior Living Inc.), Master Lease Agreement (Brookdale Senior Living Inc.)
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant’s rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that was being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property’s “Primary Intended Use”). Tenant shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant’s Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or omission of which may materially impair the value or the usefulness of such Leased Property or any part thereof for its Primary Intended Use. Without limitation of the foregoing provisions, Tenant shall not (a) enter into any contract, agreement or other instrument, or establish any other arrangement, relating to the operation, repair, maintenance, replacement, construction, alteration, insuring, assignment or subletting, or otherwise affecting the value or usefulness, of any Leased Property or any part thereof, whether with Affiliates of Tenant or any other Person, that is on non-market or non-arm’s length terms and conditions (provided, however, that, notwithstanding the foregoing, Tenant may enter into contracts, agreements or other instruments, or enter into other arrangements, that are on non-market or non-arm’s length terms and conditions relative to a particular Facility provided and on the condition that will diminish the ability same will, in the reasonable business judgment of Tenant, have a de minimus impact on the value, usefulness, operations, EBITDAR and EBITDARM of such Facility) or (b) require any Leased Property to be used as bear or pay, or allocate to any Leased Property for accounting or other purposes (including, without limitation, the determination of EBITDAR or EBITDARM for any Leased Property), a Gaming Facility after share of any costs or expenses that relate to such Leased Property and any other property (including, without limitation, other Combined Leased Properties) that is non-market or otherwise constitutes a disproportionate share of such costs and expenses under the expiration or earlier termination of the Termapplicable facts and circumstances.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Tenant’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
Section 7.2.6 Nothing contained in this Section 7.2 shall be deemed to prevent Tenant from (di) Except voluntarily withdrawing from the Medicaid program, and voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or (ii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant’s certification for participation in instances the Medicaid program as to any such Facility(ies) and without reducing the number of casualty beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or condemnation(iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant’s certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant shall continuously operate deliver to Lessor a Senior Officer’s Certificate, in form and substance reasonably satisfactory to Lessor, certifying that Tenant has made diligent inquiry relative to the applicable Legal Requirements and has consulted with its legal counsel and, based on the foregoing, certifies that Tenant has complied, and continues to comply, with the provisions of this Section 7.2.6 in connection with such voluntary withdrawal and de-activation and/or voluntary reduction.
Section 7.2.7 Notwithstanding anything to the contrary contained in this Section 7.2, in the case of each of the Facilities for Facility that is operated as a hospital as the Primary Intended UseUse (a “Hospital Facility”), Lessor agrees that, subject to the requirements of this Section 7.2.7, a portion of the licensed beds at such Hospital Facility may be converted from being beds that are licensed for the delivery of hospital care into beds that are licensed for the delivery of skilled nursing care. Tenant in its discretion Conversion of licensed beds as aforesaid shall be permitted to cease operations at a particular Hospital Facility or Facilities if provided and on the condition that all of the following requirements are satisfied:
(a) If Tenant desires to convert licensed beds at a Hospital Facility as permitted in this Section 7.2.7, not less than thirty (30) days prior to commencing to seek any necessary Authorizations therefor and/or making any Alterations required in connection therewith, Tenant shall so notify Lessor in writing, and such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilitiesnotice shall include therein, or on the Leased Propertyhave delivered therewith, taken as a whole, provided that the following conditions are satisfied: (i) detailed descriptions of (w)
(1) the licensed bed changes and conversions proposed by Tenant, including, without limitation, Tenant’s projected timetable, and projected completion date, for such licensed bed changes and conversions, (2) the number of beds licensed for the delivery of hospital care that are to be converted to beds licensed for the delivery of skilled nursing care, (3) Tenant’s plans for obtaining the necessary Authorizations for such conversions (including, without limitation, whether and to what extent Tenant intends and expects to accomplish such conversions through the voluntary removal from service (“banking”) of the aforesaid hospital care beds as described below and, if not, why such banking will not be utilized by Tenant), (4) which specific Authorizations Tenant expects it will need (e.g. new Medicare and/or Medicaid certifications, new licenses for skilled nursing care beds, etc.), (5) Tenant’s projected timetable for obtaining all necessary Authorizations and (6) whether and to what extent Tenant intends and expects to sell any such hospital care beds as described below, (x) the Permitted Alterations to the affected Hospital Facility that Tenant intends to make in connection with such conversions, and (y) Tenant’s projections, budgets and/or other estimates of the cost of the aforesaid Permitted Alterations and of all other costs of implementing such changes and conversions and of the projected impact of such changes and conversions upon the EBITDAR of the affected Hospital Facility (broken down by line item) and upon Tenant’s earnings per share, (ii) evidence reasonably satisfactory to Lessor establishing and demonstrating that the proposed changes and conversions will satisfy all of the requirements of this Section 7.2.7, and (iii) a Senior Officer’s Certificate certifying that Tenant has made diligent inquiry and has consulted with its legal counsel and, based upon the foregoing, certifying that the licensed bed changes and conversions proposed by Tenant will satisfy all of the requirements of this Section 7.2.7, that Tenant expects to accomplish such licensed bed changes and conversions without relying upon the proviso contained in subsection (b)(i) below (or, if Tenant expects to rely upon such proviso, so certifying and further certifying that the requirements of such proviso shall be satisfied by Tenant in a timely manner) and that the information contained in the aforesaid notice or delivered therewith is true and correct in all material respects. Tenant shall further submit and deliver to Lessor, promptly following Lessor’s request therefor, such supplemental information and documentation relative to the proposed licensed bed changes and conversions as Lessor may reasonably request from time to time;
(i) The aggregate number of beds that are licensed at such Hospital Facility for the delivery of hospital care and, as and to the extent permitted by this Section 7.2.7, skilled nursing care must at all times be equal to or greater than (x) the number of licensed beds that, if not for the provisions of this subsection (b)(i), Tenant would be obligated to maintain at such Hospital Facility in order to avoid causing an Event of Default to arise under Section 16.1(m) hereof (exclusive of Section 16.1(m)(v) hereof) (the “Applicable Required Number of Beds”), minus (y) twenty percent (20%) of the amount, if any, by which the Applicable Required Number of Beds at such Hospital Facility exceeds the number of beds that are licensed at such Hospital Facility for the delivery of hospital care (provided, however, that, for purposes of this subsection (b)(i) and Section 16.1(m) hereof, no Event of Default has occurred shall be deemed to exist under such Section 16.1(m) if (1) the aforesaid aggregate number of licensed beds at such Hospital Facility (A) falls below the required number of licensed beds calculated as provided in subsections (x) and (y) above and (B) is continuing immediately prior restored and returned to, and thereafter maintained at, an aggregate number of licensed beds at such Hospital Facility that is equal to or immediately greater than the required number of licensed beds calculated as provided in subsections (x) and (y) above within one hundred-eighty (180) days after the date condition referenced in subsection (x) first arises and (2) during any period that operations are ceased the condition referenced in subsection (i)(1)(A) above exists with respect to such Hospital Facility, the condition referenced in such subsection (i)(1)(A) of this Lease, or as in the corresponding Section 7.2.7(b)(i)(1)(A) of any other ML Lease, exists with respect to not more than one (1) other Hospital Facility that is included within the Master Lease Leased Properties that remain subject to any of the ML Leases) (For example, assume that (W) a result particular Hospital Facility has 100 beds licensed for the delivery of hospital care, (X) the Applicable Required Number of Beds for such cessation; Hospital Facility is 90 licensed beds, (Y) Tenant delicenses or sells 30 beds licensed for the delivery of hospital care in compliance with all of the requirements of this Section 7.2.7 (other than this subsection (b)(i)) and (Z) the condition referenced in subsection (i)(1)(A) of this Lease, and in the corresponding Section 7.2.7(b)(i)(1)(A) of all other ML Leases, exists with respect to no other Hospital Facility included within the Master Lease Leased Properties that remain subject to any of the ML Leases, then, pursuant to this Section 7.2.7(b)(i), the aggregate number of licensed beds at such Hospital Facility must at all times (or, if the above-described proviso is applicable, then, before the expiration of the time frame referenced in subsection (B) above) be equal to or greater than 86 licensed beds (90 beds – (20% x (90 beds – 70 beds)) = 90 beds – (20% x 20 beds) = (90 beds – 4 beds) = 86 licensed beds), so that such Hospital Facility would need to obtain licensure for 16 beds licensed for the delivery of skilled nursing care, to go with the remaining 70 beds licensed for the delivery of hospital care, in order to comply with this subsection (b)(i)), and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent no other Event of Default shall exist under this Lease;
(c) The number of beds that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are licensed for the Fiscal Year immediately preceding delivery of hospital care at such Hospital Facility must at all times be equal to or greater than the time minimum number of hospital care beds that Tenant ceased operations is required at the Facility.such Hospital Facility as set forth on
Appears in 2 contracts
Sources: Master Lease Agreement (Kindred Healthcare, Inc), Master Lease Agreement (Kindred Healthcare, Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its reasonable best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law. Lessor covenants that it will cooperate in good faith in all respects, at Lessee's expense, in connection with Lessee's efforts to obtain and maintain such approvals.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility of the class and quality at least equal to that of the improvements thereon Hotel as of each Facility the Commencement Date, and for its Primary Intended Usesuch other uses as may be necessary or incidental to such hotel facility use or such other or additional use as otherwise approved in writing by Lessor (the "PRIMARY INTENDED USE"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges No use shall be made or permitted to be made of the Leased Property, other than the Primary Intended Use, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by Legal Requirements or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, unless such compliance requires the performance of a Capital Improvement or the payment of a Capital Imposition, in which case Lessor shall pay the cost of such Capital Improvement or Capital Imposition in order for Lessee so to comply.
(c) Subject to any provisions of this Lease to the contrary, Lessee covenants and agrees that operation of each Facility during the Term it will (i) continuously operate the Leased Property for its the Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control (subject to closures of all or participate in the conduct part of the gaming and/or racing operations at Hotel during Unavoidable Occurrences and by prior agreement with Lessor during the Facilitiesconstruction of PIP improvements and Contemplated Renovations), (ii) keep in full force and effect and comply with all the provisions of any Franchise Agreement (other than requirements with respect to Capital Improvements and other obligations of Lessor hereunder), (iii) not terminate or amend any Franchise Agreement without the consent of Lessor (which consent shall not be unreasonably withheld), (iv) maintain appropriate certifications and licenses for such use, (v) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices and Lessee's concurrent goal of maximizing its net operating income therefrom and (vi) upon request, keep Lessor advised of the status of any material or uninsured litigation affecting the Leased Property.
(bd) Tenant Lessor covenants and agrees that during the Term it will (1) not take or allow any Affiliate to take or fail to take any action that would interfere with, restrict or prohibit Lessee's operation of the Leased Property as the Primary Intended Use, including, without limitation, modifying, amending or terminating any Franchise Agreement or any licenses, Franchises, permits, easements, leases, undertakings or agreements held by Lessor or such Affiliate and pertaining to the Leased Property, and (2) comply with all the provisions of any Franchise Agreement relating to Capital Improvements, the payment of Real Estate Taxes, Personal Property Taxes, Capital Impositions and other requirements thereof that are not the responsibility of Lessee hereunder.
(e) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant thereon. Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Hotel (or other Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or ) on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Lease Agreement (Felcor Lodging Trust Inc), Lease Agreement (Bristol Hotels & Resorts Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will exercise reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property for its Primary Intended Purpose, as defined in Section 7.2(b) below, and applicable Legal Requirements.
(b) Lessee shall use or cause to be used the Leased Property only as a Hampton Inn hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement, without the consent of Lessor (which shall not be unreasonably withheld or delayed), and (4) maintain appropriate certifications and Licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Lease Agreement (Moody National REIT I, Inc.), Master Lease Agreement (Moody National REIT I, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV, XV, XXI and XXII, Lessee covenants and agrees that during the Term it will (1) operate or cause to operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Lease Agreement (MHI Hospitality CORP), Lease Agreement (MHI Hospitality CORP)
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) the Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming operations at the Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to the Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) knowingly permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use usage or possession, possession or an of any implied dedication of or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof.
). Without limiting the foregoing, (d1) Except Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restriction, covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in instances of casualty the process leading to such agreement, and (2) other than any liens or condemnationother encumbrances granted to a Fee Mortgagee, Landlord will not enter into, amend or otherwise modify agreements that encumber the Leased Property (including the Property Documents) without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant shall continuously operate each is given reasonable opportunity to participate in the process leading to such agreement, amendment or other modification. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or utility of the Facilities Leased Property for the Primary Intended Use. Tenant Nothing in its discretion shall be permitted the foregoing is intended to cease operations at a Facility vitiate or Facilities if such cessation would not reasonably be expected supersede Tenant’s right to have a material adverse effect on Tenant, enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the Facilities, or on the Leased Property, taken as a whole, extent provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityherein.
Appears in 2 contracts
Sources: Lease Amendment (Vici Properties Inc.), Lease (CAESARS ENTERTAINMENT Corp)
Use of the Leased Property. (a) Tenant 7.2.1 Lessee covenants that it will proceed with due diligence and will exercise commercially reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and each Facility in accordance with Legal Requirements.
7.2.2 During the Term, Lessee shall use or cause to be used the Facilities as assisted living facilities, and for such other uses as may be necessary or incidental to such use (the particular such use to which the Leased Property and is put is herein referred to as the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any use other use than the Primary Intended Use without the prior written consent of LandlordLessor, which consent Landlord may withhold be withheld in Lessor’s sole and absolute discretion. No use shall be made of the Leased Property, and no acts shall be done, which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by Insurance Requirements or Legal Requirements. Lessee shall, at its sole discretion. Landlord acknowledges cost, comply with all Insurance Requirements and Legal Requirements.
7.2.3 Lessee covenants and agrees that, subject to closures resulting from fire or other casualty, condemnation or Unavoidable Delays that operation of each Facility for may occur, during the Term it will operate continuously the Leased Property in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesUse.
(b) Tenant 7.2.4 Lessee shall not commit or suffer to be committed any waste on the Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition thereon. Lessor acknowledges that will diminish the ability Lessee’s operation of the Leased Property to be used as a Gaming Facility after Facilities in accordance with the expiration Primary Intended Use will not constitute waste or earlier termination of the Termnuisance.
(c) Tenant 7.2.5 Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including Lessee’s Personal Property, to be used in such a manner as (i) it might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Master Lease Agreement (Assisted Living Concepts Inc), Master Lease Agreement (Assisted Living Concepts Inc)
Use of the Leased Property. (a) Tenant After the Commencement Date and during the entire Term, Lessee shall use me or cause to be used the Facility and the Leased Property as an 82 unit assisted living facility and for such other uses as may be necessary in connection with or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall not be unreasonably withheld or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant Lessee covenants that it will obtain and maintain all material approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use in compliance with all applicable Legal Requirements.
(c) Lessee covenants and agrees that during the Term it will use its reasonable best efforts to operate continuously the Leased Property in accordance with its Primary Intended Use and to maintain its certifications for reimbursement, if any, and licensure and its accreditation, if compliance with accreditation standards is required to maintain the operations of the Facility and if a failure to comply would adversely affect operations of the Facility.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might is reasonably tend likely to impair Landlord’s title thereto Lessor's estate therein or to any portion thereof thereof, or (ii) may make possible is reasonably likely to result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. Lessee agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided and that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased it will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityhandle all "red bag" wastes in accordance with applicable Hazardous Materials Laws.
Appears in 2 contracts
Sources: Lease Agreement (Emeritus Corp\wa\), Lease Agreement (Emeritus Corp\wa\)
Use of the Leased Property. (a) Tenant Lessee covenants that it will exercise reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property for its Primary Intended Purpose, as defined in Section 7.2(b) below, and applicable Legal Requirements.
(b) Lessee shall use or cause to be used the Leased Property only as a Residence Inn hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), and (4) maintain appropriate certifications and Licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 2 contracts
Sources: Hotel Lease Agreement (Moody National REIT II, Inc.), Hotel Lease Agreement (Moody National REIT II, Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best effort to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV, XV, XXI and XXII, Lessee covenants and agrees that during the Term it will (1) operate continuously the Lease Property as a hotel facility, (2) keep in full force and effect and comply with all the provision of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Lease Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will (with Lessor's commercially reasonable cooperation to the extent necessary and required) proceed with all due diligence and will exercise its commercially reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property under applicable local, state and federal law.
(b) Lessee shall use use, or cause to be used used, the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in Lessor's reasonable discretion. No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole discretioncost, comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, except that Lessee shall have no obligation to complete capital improvements to the Leased Property.
(c) Subject to the provisions of Articles XIV, XV, XXI and XXII and other express provisions in this Lease, with respect to the Leased Property, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to take any actions that are the responsibility of Lessor hereunder or to complete any capital improvements to the Leased Property required by the franchisor unless Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor (not to be unreasonably withheld, conditioned or delayed), (4) maintain appropriate certifications and licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices and Lessee's concurrent goal of maximizing its net operating income therefrom. Landlord acknowledges Lessor covenants and agrees that, with respect to the Leased Property, during the Term it will (1) not take or allow any Affiliate to take or fail to take any action that would interfere with, restrict or prohibit Lessee's operation of each Facility the Leased Property for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations Use, including, without limitation, modifying, amending or terminating any Franchise Agreement or any licenses, franchises, permits, easements, leases, undertakings or agreements held by Lessor or such Affiliate and that without pertaining to the Leased Property, (2) comply with all the provisions of any Franchise Agreement relating to Capital Expenditures (to the extent such a license neither Landlord nor GLP may operate, control or participate Capital Expenditures are provided for in the conduct Capital Budget), the payment of Real Estate Taxes, Personal Property Taxes, Capital Impositions and other requirements thereof that are not the gaming and/or racing operations at responsibility of Lessee hereunder and (3) seek to maximize the Facilitiesnet income generated by Lessee from the Leased Property consistent with Lessor's concurrent goal of maximizing the Gross Revenues generated therefrom.
(bd) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or Property, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityHotels.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 20 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (other than requirements with respect to Capital Improvements), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the gross revenue generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a TownePlace Suites hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will (with Lessor's commercially reasonable cooperation to the extent necessary and required) proceed with all due diligence and will exercise its commercially reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the each Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the any Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in Lessor's reasonable discretion. No use shall be made or permitted to be made of any Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole discretioncost, comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, except that Lessee shall have no obligation to complete capital improvements to the Leased Property.
(c) Subject to the provisions of Articles XIV, XV, XXI and XXII and other express provisions in this Master Lease, with respect to each Leased Property, Lessee covenants and agrees that during the Term it will (1) operate continuously each Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to take any actions that are the responsibility of Lessor hereunder or to complete any capital improvements to the Leased Property required by the franchisor unless Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor (not to be unreasonably withheld, conditioned or delayed), (4) maintain appropriate certifications and licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices and Lessee's concurrent goal of maximizing its net operating income therefrom. Landlord acknowledges Lessor covenants and agrees that, with respect to each Leased Property, during the Term it will (1) not take or allow any Affiliate to take or fail to take any action that would interfere with, restrict or prohibit Lessee's operation of each Facility the Leased Property for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations Use, including, without limitation, modifying, amending or terminating any Franchise Agreement or any licenses, franchises, permits, easements, leases, undertakings or agreements held by Lessor or such Affiliate and that without pertaining to the Leased Property, (2) comply with all the provisions of any Franchise Agreement relating to Capital Expenditures (to the extent such a license neither Landlord nor GLP may operate, control or participate Capital Expenditures are provided for in the conduct Capital Budget), the payment of Real Estate Taxes, Personal Property Taxes, Capital Impositions and other requirements thereof that are not the gaming and/or racing operations at responsibility of Lessee hereunder and (3) seek to maximize the Facilitiesnet income generated by Lessee from the Leased Property consistent with Lessor's concurrent goal of maximizing the Gross Revenues generated therefrom.
(bd) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or Property, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possessionthereof, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.or
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or substantially increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and materiallycomply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any improvements to the Leased Property required by the franchisor unless the Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Master Lease Agreement (Humphrey Hospitality Trust Inc)
Use of the Leased Property. (a) Throughout the Term of this Master Lease, Tenant shall use have the exclusive right to use, or cause to be used used, the Leased Property and the improvements thereon of each Facility for its Primary Intended Use; it being agreed and acknowledged by Landlord that any of Tenant's Subsidiaries (including but not limited to the Subsidiaries set forth on Schedule 7.2 attached hereto) shall have the right to use, occupy and operate the Leased Property subject to and in accordance with the terms of this Master Lease and such Subsidiaries shall have the right to discharge any or all of Tenant's obligations (maintenance or otherwise) hereunder on behalf of Tenant. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Communications Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s 's title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for one or more of the activities constituting the Primary Intended Use, with the specific use conducted at any portion of the Facilities to be determined by Tenant in its reasonable discretion. Notwithstanding the foregoing, Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would either: (i) not reduce the route miles of the fiber optic and copper cable lines with respect to any one Facility by more than ten percent (10%) or the Facilities as a whole by more than five percent (5%) in the aggregate over the Term; or (ii) not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, ; provided that the following conditions are satisfiedthat: (ix) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result ceased; (y) the Rent due hereunder is not reduced on account of such cessation; and (z) such cessation does not result in any non-compliance with any Legal Requirements, Communications Licenses, Pole Agreements or Communications Regulations.
(e) Tenant shall have the right to receive all rents, profits and charges arising from the Primary Intended Use of the Leased Property, including but not limited to: (i) contract charges and tariffed rates to third parties on a wholesale basis; (ii) rents collected from Pole Agreements; and (iii) payments from customer or carriers for dark or dim fiber services. Without limiting the Percentage Rent due from each foregoing, Landlord acknowledges that Tenant (and every Tenant's Subsidiaries) may charge contract and/or tariff rates to other carriers in such Facility whose operations have ceased will thereafter be amounts as Tenant deems appropriate (subject to a floor which will be calculated based on Legal Requirements) in performing its obligations under the Percentage Rent Communication Regulations (including Tenant's collocation obligations) and that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for Landlord has not rights to the Fiscal Year immediately preceding the time amounts that Tenant ceased operations at collects from such carriers in connection therewith during the FacilityTerm. Notwithstanding the foregoing, upon the occurrence and during the continuance of an Event of Default that is monetary in nature, Landlord shall have the right to receive all rents, profits and charges arising from any sublease of the Leased Property (including, but not limited to, any rights granted pursuant to a dark fiber agreement, a dim fiber agreement or a collocation agreement) subject to applicable law, and apply such rents, profits and charges to Rent as set forth in Section 22.3.
Appears in 1 contract
Sources: Master Lease
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use, or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor. No use other than the Primary Intended Use shall be made or permitted to be made of the Leased Property, and no acts shall be intentionally done which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which Lessee knows is prohibited by law or fire underwriter's regulations. Lessee shall use reasonable efforts to comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, which compliance shall be performed at Lessee's sole cost.
(c) Subject to the provisions of Articles 14 and 15, Lessee covenants and agrees that during the Term it will either directly or through an approved Manager use reasonable efforts to (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply in all material respects with all the provisions of the Franchise Agreement, (3) not terminate or amend in any material respect the Franchise Agreement without the consent of Lessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility not be unreasonably withheld, conditioned or delayed, (4) maintain appropriate certifications and licenses for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations such use and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct (5) keep Lessor advised of the gaming and/or racing operations at status of any material litigation affecting the FacilitiesLeased Property.
(bd) Tenant Lessee shall not commit or suffer to be committed any material waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any material nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except in instances of casualty or condemnation, Tenant Lessee shall continuously operate each use reasonable efforts to comply with all of the Facilities for Lessor's material covenants, in any loan agreement or other financing arrangement, applicable to this Lease or the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on operation of the Leased PropertyProperty of which Lessee has knowledge. Notwithstanding the foregoing, taken as a whole, provided that the following conditions are satisfied: Lessee shall not be obligated to comply with Lessor's covenants in any loan agreements which (A) (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and not customary, (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are not otherwise contemplated by this Lease Agreement or any agreement or instrument executed by Lessee in connection herewith for the Fiscal Year immediately preceding benefit of Lessor, and (iii)(x) materially and adversely affect the time that Tenant ceased operations at the FacilityFacility or (y) materially increase Lessee's costs of doing business or decrease revenues, unless in cases where Subsection (iii)(y) is relied upon by Lessee the additional cost thereof is borne by Lessor, or (B) obligate Lessee to guarantee repayment of any debt of Lessor, or (C) require any indemnification undertakings other than customary undertakings with respect to servicing agents or similar administrative agents which administer escrow accounts into which Lessee may deposit Rent payments as required by Lessor's lenders or other servicing agents. Lessor will provide Lessee with not less than 15, and will attempt in good faith to provide not less than 30, days prior written notice of the terms of such covenants, and if Lessee is relying upon Subsection (iii)(y), Lessee shall within thirty (30) days of receipt of such notice, notify Lessor in writing of any anticipated material additional costs which Lessee may incur. Lessor shall then notify Lessee in writing whether it agrees to pay or reimburse Lessee for the material additional cost thereof as incurred by Lessee, and Lessee's receipt of such notice shall be a condition precedent to Lessee's obligation to comply with such covenants. Lessor shall have the right to dispute Lessee's reliance on Subsections (A)-(C) or Lessee's estimates of additional costs pursuant to Subsection (A)(iii)(y), and either party may submit any such disputes to arbitration under the provisions of Section 40.2.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its reasonable best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law. Lessor covenants that it will cooperate in good faith in all respects, at Lessee's expense, in connection with Lessee's efforts to obtain and maintain such approvals.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility of the class and quality at least equal to that of the improvements thereon Hotel as of each Facility the Transition Date, and for its such other uses as may be necessary or incidental to such hotel facility use or such other or additional use as otherwise approved in writing by Lessor (the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges No use shall be made or permitted to be made of the Leased Property, other than the Primary Intended Use, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by Legal Requirements or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, unless such compliance requires the performance of a Capital Improvement or the payment of a Capital Imposition, in which case Lessor shall pay the cost of such Capital Improvement or Capital Imposition in order for Lessee so to comply.
(c) Subject to any provisions of this Lease to the contrary, Lessee covenants and agrees that operation of each Facility during the Term it will (i) continuously operate the Leased Property for its the Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control (subject to closures of all or participate in the conduct part of the gaming and/or racing operations at Hotel during Unavoidable Occurrences and by prior agreement with Lessor during the Facilitiesconstruction of PIP improvements and Contemplated Renovations), (ii) keep in full force and effect and comply with all the provisions of any Franchise Agreement (other than requirements with respect to Capital Improvements and other obligations of Lessor hereunder), (iii) not terminate or amend any Franchise Agreement without the consent of Lessor (which consent shall not be unreasonably withheld), (iv) maintain appropriate certifications and licenses for such use, (v) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices and Lessee's concurrent goal of maximizing its net operating income therefrom and (vi) upon request, keep Lessor advised of the status of any material or uninsured litigation affecting the Leased Property.
(bd) Tenant Lessor covenants and agrees that during the Term it will (1) not take or allow any Affiliate to take or fail to take any action that would interfere with, restrict or prohibit Lessee's operation of the Leased Property as the Primary Intended Use, including, without limitation, modifying, amending or terminating any Franchise Agreement or any licenses,
(e) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant thereon. Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Hotel (or other Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or ) on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant After the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Facility and the Leased Property as a 100- unit assisted living facility and for such other uses as may be necessary in connection with or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall not be unreasonably withheld or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant shall not commit or suffer Lessee covenants that it will obtain and maintain all material approvals needed to be committed any waste on use and operate the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish and the ability of Facility for the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the TermPrimary Intended Use in compliance with all applicable Legal Requirements.
(c) Tenant Lessee covenants and agrees that during the Term it will use its reasonable best efforts to operate continuously the Leased Property in accordance with its Primary Intended Use and to maintain its certifications for reimbursement, if any, and licensure and its accreditation, if compliance with accreditation standards is required to maintain the operations of the Facility and if a failure to comply would adversely affect operations of the Facility.
(e) Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might is reasonably tend likely to impair Landlord’s title thereto Lessor's estate therein or to in any portion thereof thereof, or (ii) may make possible is reasonably likely to result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. Lessee agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided and that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased it will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityhandle all "red bag" wastes in accordance with applicable Hazardous Materials Laws.
Appears in 1 contract
Sources: Lease Agreement (Emeritus Corp\wa\)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a SpringHill Suites by Marriott hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant After the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its only as either an inpatient rehabilitation hospital, a long-term acute care hospital or other post-acute healthcare facility or a skilled nursing facility, together with such other uses as may be necessary in connection with or incidental to such use (the “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall not be unreasonably withheld or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant Lessee covenants that it will obtain and maintain all material approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use in compliance with all applicable Legal Requirements.
(c) Lessee covenants and agrees that during the Term it will use its reasonable best efforts to operate continuously the Leased Property in accordance with its Primary Intended Use (it being understood that any temporary discontinuance of operations as a result of a casualty or Condemnation or during the performance of any renovations at the Facility will not be deemed a violation of this subsection (c)) and to maintain its certifications for reimbursement and licensure and its accreditation, if compliance with accreditation standards is required to maintain the operations of the Facility and if a failure to comply would adversely affect operations of the Facility.
(d) L▇▇▇▇▇ shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or L▇▇▇▇▇’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may make possible might reasonably result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. L▇▇▇▇▇ agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a wholeand that it will handle all “red bag” wastes in accordance with applicable Hazardous Materials Laws.
(g) Neither Lessor nor Lessee, provided that during the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior Term, shall initiate or acquiesce to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations any zoning change at the FacilityLeased Property unless such change is requested in writing by the other party.
Appears in 1 contract
Sources: Assignment and Assumption of Lease (Global Medical REIT Inc.)
Use of the Leased Property. (a) Tenant Lessee (i) shall use operate the Facility throughout the entire Term as a Three Hundred Forty- Nine (349)-licensed bed acute care hospital facility, and for such other legal ancillary uses as may be necessary in connection with or cause incidental to be used such use, subject to all covenants, restrictions, easements, and all other matters of record (including those set forth in the Permitted Exceptions) relating to the Leased Property and (the improvements thereon of each Facility for its “Primary Intended Use. Tenant ”), and (ii) as provided in and subject to Section 8.1, shall comply with all Legal Requirements and shall maintain all Licenses, including, but not limited to, Medicare and/or Medicaid certifications, provider numbers and agreements, certificates of need, governmental approvals, and full accreditation from all applicable governmental authorities, if any, that are necessary for the operation of the Facility consistent with the Primary Intended Use.
(b) Except as expressly authorized herein, Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord ▇▇▇▇▇▇ agrees may withhold be withheld in its ▇▇▇▇▇▇’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(bc) Tenant No use shall be made or permitted to be made of the Leased Property and no acts shall be done which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or by the standard form of fire insurance policies, any other insurance policies required to be carried hereunder, or fire underwriters regulations. Lessee shall, at its sole cost, comply with all of the requirements, covenants and restrictions pertaining to the Leased Property, including, without limitation, all of the Permitted Exceptions, and other requirements of any insurance board, association, organization or company necessary for the maintenance of the insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(d) ▇▇▇▇▇▇ shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, or Lessee’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or ▇▇▇▇▇▇’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Lease Agreement
Use of the Leased Property. (a) Tenant shall not use (or cause or permit to be used used) the Facility, including the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property Property, or any portion thereof or thereof, including any Capital Improvement thereto Improvement, for any use other use than the Primary Intended Use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires may require a Gaming License under applicable Gaming Regulations and that without such a license license, if applicable, neither Landlord nor GLP Landlord REIT may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming operations at the Facility.
(b) Tenant shall not commit or suffer to be committed any waste with respect to the Facility, including on or to the Leased Property (including any and, without limitation, to the Capital Improvement theretoImprovements) or cause or permit any nuisance thereon or toor, except as required by law, knowingly take or suffer any action or condition that will diminish in any material respect, the ability of the Leased Property to be used as a Gaming Facility (or otherwise for the Primary Intended Use) after the expiration or earlier termination of the TermExpiration Date.
(c) Tenant shall neither not, without the prior written consent of Landlord, which shall not be unreasonably withheld, conditioned or delayed, (i) initiate or support any limiting change in the permitted uses of the Leased Property (or to the extent applicable, limiting zoning reclassification of the Leased Property); (ii) seek any variance under existing land use restrictions, laws, rules or regulations (or, to the extent applicable, zoning ordinances) applicable to the Leased Property or the use of the Leased Property in any manner that adversely affects (other than to a de minimis extent) the value or utility of the Leased Property for the Primary Intended Use; (iii) execute or file any subdivision plat or condominium declaration affecting the Leased Property or any portion thereof, or institute, or permit the institution of, proceedings to alter any tax lot comprising the Leased Property or any portion thereof; or (iv) knowingly permit or suffer nor permit the Leased Property or any portion thereof to be used by the public or any Person in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse usage or possession or of any implied dedication or easement (provided that the proscription in this clause (iv) is not intended to and shall not restrict Tenant in any way from complying with any obligation it may have under applicable Legal Requirements, including, without limitation, Gaming Regulations, to afford to the public access to the Leased Property or any portion thereof). Without limiting the foregoing, (1) Tenant will not impose or permit the imposition of any restrictive covenants, easements or other encumbrances upon the Leased Property (including, subject to the last paragraph of Section 16.1, any restriction, covenant, easement or other encumbrance which Tenant may otherwise impose or permit to be imposed pursuant to the provisions of any Permitted Exception Document) without Landlord’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Landlord is given reasonable opportunity to participate in the process leading to such agreement, and (2) other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into, amend or otherwise modify agreements that encumber the Leased Property (including any Property Document) without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed, provided, that, Tenant 62 is given reasonable opportunity to participate in the process leading to such agreement. Landlord agrees it will not withhold consent to utility easements and other similar encumbrances made in the ordinary course of Tenant’s business conducted on the Leased Property in accordance with the Primary Intended Use, provided the same does not adversely affect in any material respect the use or possessionutility of the Leased Property for the Primary Intended Use. Nothing in the foregoing is intended to vitiate or supersede Tenant’s right to enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the extent provided herein.
(d) Except to the extent resulting from a Permitted Operation Interruption, Tenant shall cause the Facility to be Continuously Operated during the Term.
(e) Subject to Article XII regarding permitted contests, Tenant, at its sole cost and expense, shall promptly (i) comply in all material respects with all Legal Requirements and Insurance Requirements affecting the Facility and the business conducted thereat, including those regarding the use, operation, maintenance, repair and restoration of the Leased Property or an implied dedication any portion thereof (including all Capital Improvements) and Tenant’s Property whether or not compliance therewith may require structural changes in any of the Leased Improvements or interfere with the use and enjoyment of the Leased Property or any portion thereof.
, and (dii) Except procure, maintain and comply in instances of casualty or condemnationall material respects with all Gaming Regulations and Gaming Licenses, Tenant shall continuously operate each and other authorizations required for the use of the Facilities Leased Property (including all Capital Improvements) and Tenant’s Property for the applicable Primary Intended UseUse and any other use of the Leased Property (and Capital Improvements then being made) and Tenant’s Property, and for the proper erection, installation, operation and maintenance of the Leased Property and Tenant’s Property. In an emergency involving an imminent threat to human health and safety or damage to property, or in the event of a breach by Tenant of its obligations under this Section 7.2 which is not cured within any applicable cure period set forth herein, Landlord or its representatives (and any Fee Mortgagee) may, but shall not be obligated to, enter upon the Leased Property (and, without limitation, all Capital Improvements) (upon reasonable prior written notice to Tenant, except in its discretion the case of emergency, and Tenant shall be permitted to cease operations at have Landlord or its representatives accompanied by a Facility or Facilities if representative of Tenant) and take such cessation would not reasonably be expected reasonable actions and incur such reasonable costs and expenses to have a material adverse effect on Tenant, the Facilities, or on such compliance as it deems advisable to protect its interest in the Leased Property, taken as a wholeand Tenant shall reimburse Landlord for all such reasonable out-of-pocket costs and expenses actually incurred by Landlord in connection with such actions.
(f) Tenant shall not, provided that without the following conditions are satisfied: prior written consent of Landlord, cease to operate or permit the Facility to cease to be operated under the “Caesars Palace” Brand.
(g) Without limitation of any of the other provisions of this Lease, Tenant shall comply with all Property Documents (i) no Event of Default has occurred and is continuing immediately prior to that are listed on the title policies described on Exhibit K attached hereto, or immediately after the date that operations are ceased or as a result of such cessation; and (ii) made after the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter Commencement Date in accordance with the terms of this Lease or as may otherwise be subject entered into or agreed to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityin writing by Tenant.
Appears in 1 contract
Sources: Lease Amendment
Use of the Leased Property. (a) Tenant Lessee covenants that it will exercise reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property for its Primary Intended Purpose, as defined in Section 7.2(b) below, and applicable Legal Requirements.
(b) Lessee shall use or cause to be used the Leased Property only as a Residence Inn hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Management Agreement, or any Franchise Agreement in the event that the Management Agreement with Residence Inn By Marriott, LLC is terminated, (3) not terminate or amend the Management Agreement, or any Franchise Agreement in the event that the Management Agreement with Residence Inn By Marriott, LLC is terminated, without the consent of Lessor (which shall not be unreasonably withheld or delayed), and (4) maintain appropriate certifications and Licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Hotel Lease Agreement (Moody National REIT I, Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(ba) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(cb) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(dc) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities Facility for the Primary Intended UseUse (except as a result of casualty, condemnation or Unavoidable Delay that affects such Facility). Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant’s rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property’s “Primary Intended Use”). Tenant shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant’s Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or omission of which may materially impair the value or the usefulness of such Leased Property or any part thereof for its Primary Intended Use. Without limitation of the foregoing provisions, Tenant shall not (a) enter into any contract, agreement or other instrument, or establish any other arrangement, relating to the operation, repair, maintenance, replacement, construction, alteration, insuring, assignment or subletting, or otherwise affecting the value or usefulness, of any Leased Property or any part thereof, whether with Affiliates of Tenant or any other Person, that is on non-market or non-arm’s length terms and conditions (provided, however, that, notwithstanding the foregoing, Tenant may enter into contracts, agreements or other instruments, or enter into other arrangements, that are on non-market or non-arm’s length terms and conditions relative to a particular Facility provided and on the condition that will diminish the ability same will, in the reasonable business judgment of Tenant, have a de minimus impact on the value, usefulness, operations, EBITDAR and EBITDARM of such Facility) or (b) require any Leased Property to be used as bear or pay, or allocate to any Leased Property for accounting or other purposes (including, without limitation, the determination of EBITDAR or EBITDARM for any Leased Property), a Gaming Facility after share of any costs or expenses that relate to such Leased Property and any other property (including, without limitation, other Combined Leased Properties) that is non-market or otherwise constitutes a disproportionate share of such costs and expenses under the expiration or earlier termination of the Termapplicable facts and circumstances.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Tenant’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
(d) Except Section 7.2.6 Nothing contained in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion this Section 7.2 shall be permitted deemed to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: prevent Tenant from (i) no Event of Default has occurred voluntarily withdrawing from the Medicaid program, and is continuing immediately prior voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or immediately after the date that operations are ceased or as a result of such cessation; and (ii) voluntarily reducing the Percentage Rent due from each number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant’s certification for participation in the Medicaid program as to any such Facility(ies) and every such Facility whose operations have ceased will thereafter be subject without reducing the number of beds at any Facility(ies) as to which a floor which will be calculated based on certification for participation in the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.Medicaid program is applicable below any legally required minimum number of beds), or
Appears in 1 contract
Sources: Master Lease Agreement (Ventas Inc)
Use of the Leased Property. (a) Tenant After the Commencement Date and during the entire Term, Lessee shall use be or cause to be used the Facility and the Leased Property as an 82 unit assisted living facility and for such other uses as may be necessary in connection with or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall not be unreasonably withheld or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant Lessee covenants that it will obtain and maintain all material approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use in compliance with all applicable Legal Requirements.
(c) Lessee covenants and agrees that during the Term it will use its reasonable best efforts to operate continuously the Leased Property in accordance with its Primary Intended Use and to maintain its certifications for reimbursement, if any, and licensure and its accreditation, if compliance with accreditation standards is required to maintain the operations of the Facility and if a failure to comply would adversely affect operations of the Facility.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might is reasonably tend likely to impair Landlord’s title thereto Lessor's estate therein or to any portion thereof thereof, or (ii) may make possible is reasonably likely to result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. Lessee agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided and that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased it will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityhandle all "red bag" wastes in accordance with applicable Hazardous Materials Laws.
Appears in 1 contract
Sources: Lease Agreement (Emeritus Corp\wa\)
Use of the Leased Property. (a) Tenant Lessee covenants that it will exercise reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property for its Primary Intended Purpose, as defined in Section 7.2(b) below, and applicable Legal Requirements.
(b) Lessee shall use or cause to be used the Leased Property only as a Hilton Garden Inn hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), and (4) maintain appropriate certifications and Licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Hotel Lease Agreement (Moody National REIT I, Inc.)
Use of the Leased Property. Each Property (other than the Kershaw Property) shall be operated as a licensed general acute care hospital facility and for such other legal ancillary uses as may be necessary in connection with or incidental to such uses and, in each case, subject to all covenants, restrictions, easements and all other matters of record (including those set forth in the Permitted Exceptions) relating to the applicable Property; provided that with respect to the Kershaw Property, (a) Tenant the portion of the Kershaw Leased Property on which the Kershaw Medical Center is located shall use or cause to be used and operated as a general acute care hospital, (b) the portion of the Kershaw Leased Property on which the Elgin Center is located shall be used and operated as an outpatient services center, primary care facility and urgent care center, (c) all other portions of the improvements thereon Kershaw Property (excluding those described in clauses (a) and (b) above) shall be used and operated for commercial uses consistent with the current uses as of the Commencement Date for the Kershaw Property, and, in each Facility case, for its such other legal ancillary uses as may be necessary in connection with or incidental to such uses and, in each case, subject to all covenants, restrictions, easements, and all other matters of record (including those set forth in the Permitted Exceptions) (collectively, the “Primary Intended Use”). Tenant Lessee shall comply in all material respects with all Legal Requirements and shall maintain all Licenses, including, but not limited to, Medicare and/or Medicaid certifications, provider numbers and agreements, certificates of need, governmental approvals, and full accreditation from all applicable governmental authorities, if any, that are necessary for the operation of Business with respect to the applicable Property consistent with the Primary Intended Use.
(a) Except as expressly authorized herein, Lessee shall not use the Leased any Property or any portion thereof or any Capital Improvement thereto for any use other than as provided herein, nor change the number or type of beds within any Facility, in either case, to the extent such change in use or decrease has a material adverse effect on the Primary Intended Use or the ability of the Lessee to meet its obligations under this Lease without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatenot to be unreasonably withheld, control conditioned or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant No use shall be made or permitted to be made of the Leased Property and no acts shall be done which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which is prohibited by law or by the standard form of fire insurance policies, any other insurance policies required to be carried hereunder, or fire underwriters regulations. Lessee shall, at its sole cost, comply in all material respects with all of the requirements, covenants and restrictions pertaining to the Leased Property, including, without limitation, all of the Permitted Exceptions, and other requirements of any insurance board, association, organization or company necessary for the maintenance of the insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(c) Lessee shall continuously operate the Leased Property only in accordance with the Primary Intended Use and as a provider of goods and services incidental thereto and Lessee shall maintain its certifications for reimbursement and licensure and all accreditations.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including Property, or in any Capital Improvement thereto) or of the Facilities, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not funded by Lessor, or Lessee’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except in instances of casualty or condemnationWith respect to each Property, Tenant Lessor shall continuously operate each of have the Facilities for the Primary Intended Useright and option to erect a sign on such Property stating that such Property is owned by Lessor. Tenant in its discretion Such sign shall be permitted in a size, and shall be erected in a location acceptable to cease operations at a Facility Lessor and approved by Lessee, which approval shall not be unreasonably withheld, conditioned or Facilities if delayed. Lessor shall be responsible for all costs related to such cessation would not reasonably be expected signage and complying with all Legal Requirements with respect to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilitysignage.
Appears in 1 contract
Sources: Master Lease Agreement (MPT Operating Partnership, L.P.)
Use of the Leased Property. Each Property shall be operated as a licensed general acute care hospital facility and for such other legal ancillary uses as may be necessary in connection with or incidental to such uses and, in each case, subject to all covenants, restrictions, easements and all other matters of record (including those set forth in the Permitted Exceptions) relating to the applicable Property (collectively, the “Primary Intended Use”). Lessee shall comply in all material respects with all Legal Requirements and shall maintain all Licenses, including, but not limited to, Medicare and/or Medicaid certifications, provider numbers and agreements, certificates of need, governmental approvals, and full accreditation from all applicable governmental authorities, if any, that are necessary for the operation of Business with respect to the applicable Property consistent with the Primary Intended Use.
(a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant Except as expressly authorized herein, Lessee shall not use the Leased any Property or any portion thereof or any Capital Improvement thereto for any use other use than as provided herein, nor change the number or type of beds within any Facility, in either case, without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatenot to be unreasonably withheld, control conditioned or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant No use shall be made or permitted to be made of the Leased Property and no acts shall be done which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which is prohibited by law or by the standard form of fire insurance policies, any other insurance policies required to be carried hereunder, or fire underwriters regulations. Lessee shall, at its sole cost, comply in all material respects with all of the requirements, covenants and restrictions pertaining to the Leased Property, including, without limitation, all of the Permitted Exceptions, and other requirements of any insurance board, association, organization or company necessary for the maintenance of the insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(c) Lessee shall continuously operate the Leased Property only in accordance with the Primary Intended Use and as a provider of goods and services incidental thereto and Lessee shall maintain its certifications for reimbursement and licensure and all accreditations.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including Property, or in any Capital Improvement thereto) or of the Facilities, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not funded by Lessor, or Lessee’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except in instances of casualty or condemnationWith respect to each Property, Tenant Lessor shall continuously operate each of have the Facilities for the Primary Intended Useright and option to erect a sign on such Property stating that such Property is owned by MPT Real Estate Owner. Tenant in its discretion Such sign shall be permitted in a size, and shall be erected in a location acceptable to cease operations at a Facility Lessor and MPT Real Estate Owner and approved by Lessee, which approval shall not be unreasonably withheld, conditioned or Facilities if delayed. Lessor shall be responsible for all costs related to such cessation would not reasonably be expected signage and complying with all Legal Requirements with respect to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilitysignage.
Appears in 1 contract
Sources: Master Lease Agreement (MPT Operating Partnership, L.P.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its Primary Intended Use"PRIMARY INTENDED USE"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of ARTICLES XIV, XV, XXI and XXII, Lessee covenants and agrees that during the Term it will (1) operate or cause to operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.thereon. Lease Agreement Ashford TRS Corporation
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a1) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and each Facility under applicable local, state and federal law. Lessee represents to Lessor that Lessee presently has such certificates, licenses, permits and other authorizations reasonably required to conduct the Primary Intended Uses thereof.
(2) Lessee shall use or cause to be used the Leased Property only as hotel facilities, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use use, or include in the Primary Intended Use such ancillary uses such as sales of food or beverages, without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about any Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to any Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Lessee's Personal Property.
(b3) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as hotel facilities, (2) maintain appropriate certifications and licenses for such use and (3) use its best efforts to maximize the gross revenues generated therefrom consistent with sound business practices. Lessor further covenants and agrees that it will operate the Leased Property in such a manner as will maintain at least the standards of quality that have been heretofore established in the ownership and operations of the Leased Property by Affiliates of the Lessor prior to the date of this Lease. Lessee will engage in (and commit resources for) such promotional and advertising activities with respect to the Leased Property as shall be reasonably required or advisable, under all of the facts and circumstances, to effectively and efficiently promote the business and operations of the Leased Properties.
(4) Lessee shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(c5) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof, except as necessary in the ordinary and prudent operation of the Facility on such Leased Property.
(d6) Except Lessee or any Affiliate of Lessee shall not own, or have any interest in, any hotel or motel property in instances which Lessor or an Affiliate of casualty Lessor does not have an interest. Neither Lessee nor an Affiliate of Lessee shall operate or condemnationmanage any hotel or motel that is within a 20-mile radius of any hotel or motel property in which Lessor or an Affiliate of Lessor has an interest on the date Lessee or its Affiliate would otherwise commence operating or managing such property, Tenant shall continuously operate each other than pursuant to this Lease or another lease, agreement or arrangement with Lessor or an Affiliate of Lessor. Lessor agrees to notify Lessee promptly of the Facilities for the Primary Intended Use. Tenant location of any hotel or motel property in its discretion shall be permitted to cease operations at a Facility which Lessor or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event an Affiliate of Default Lessor has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityan interest.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV, XV, XXI and XXII, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (other than requirements with respect to Capital Improvements), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property.
(f) Throughout the Term, taken as neither Lessee nor any Affiliate of Lessee shall own, lease, operate, manage, franchise or have any interest in any hotel or motel that is within a whole, provided that the following conditions are satisfied: five (i5) no Event mile radius of Default any hotel or motel property in which Lessor or an Affiliate of Lessor has occurred and is continuing immediately prior to or immediately after an interest on the date that operations are ceased Lessee or as a result its Affiliate would otherwise commence operating or managing such property, other than pursuant to this Lease or another lease, agreement or arrangement with Lessor or an Affiliate of such cessation; and (ii) the Percentage Rent due Lessor. Lessee agrees to notify Lessor, from each and every such Facility whose operations have ceased will thereafter be subject time to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.request of Lessor, of the location of any hotel or motel property the Lessee or any Affiliate owns, leases, operates, manages or has an interest in. Lessor
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and maintain all approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use, as defined below, under applicable local, state and federal law, including but not limited to licensure requirements and Medicare and/or Medicaid certification.
(b) After the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility as a long term nursing facility and for its such other uses as may be necessary in connection with or incidental to such use (the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld or delayed. No use shall be made or permitted to be made of the Leased Property and no acts shall be done which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, any other insurance policies required to be carried hereunder, or fire underwriters regulations. Lessee shall, at its sole discretion. Landlord acknowledges cost, comply with all of the requirements pertaining to the Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of the insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(c) Lessee covenants and agrees that operation during the Term it will use its best efforts to operate continuously the Leased Property as a provider of each Facility for health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operateto maintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(bd) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, or Lessee's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. Property
(a) Tenant Af▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇ment Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon as a senior residential facility which may include congregate care services, assisted living services, Alzheimer's care services or skilled nursing services, or some combination of each Facility for its the foregoing services (at any time, the actual use or combination of uses specified herein that is or are then being conducted at the Leased Property, are referred to as the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall not be unreasonably withheld or participate in the conduct of the gaming and/or racing operations at the Facilitiesdelayed.
(b) Tenant Lessee covenants that it will obtain and maintain, with Lessor's cooperation but at Lessee's sole cost and expense, all material approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use in compliance with all applicable Legal Requirements.
(c) Lessee covenants and agrees that during the Term it will use its reasonable best efforts to operate continuously the Leased Property in accordance with its Primary Intended Use and to maintain its certifications for reimbursement, if any, and licensure and its accreditation, with Lessor's cooperation but at Lessee's sole cost and expense, if compliance with accreditation standards is required to maintain the operations of the Facility and if a failure to comply would adversely affect operations of the Facility.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, to be used in such a manner as (i) might reasonably tend likely to impair Landlord’s title thereto Lessor's estate therein or to in any portion thereof thereof, or (ii) may make possible is reasonably likely to result in a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee will not utilize any Hazardous Materials on the Leased Property except in instances accordance with applicable Legal Requirements and will not permit any contamination which may require remediation under any applicable Hazardous Materials Law. Lessee agrees not to dispose of casualty any Hazardous Materials or condemnation, Tenant shall continuously operate each substances within the sewerage system of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided and that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased it will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityhandle all "red bag" wastes in accordance with applicable Hazardous Materials Laws.
Appears in 1 contract
Sources: Lease Agreement (Integrated Living Communities Inc)
Use of the Leased Property. (a) Tenant Lessor covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and deliver, at Lessor's cost, to Lessee and thereafter Lessee will use its best efforts to maintain all approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use. Tenant "), which approval shall not be unreasonably withheld. No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any portion part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any Capital Improvement thereto for any other use without the prior written consent of Landlord, article which consent Landlord may withhold in its sole discretionbe prohibited by law or fire underwriter's regulations. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct Lessee shall cause compliance with all of the gaming and/or racing operations at requirements pertaining to the FacilitiesLeased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property. The cost of compliance will be as otherwise set forth in this Lease and the Master Lease Agreement.
(bc) Tenant Subject to the terms of this Lease and the Master Lease Agreement, Lessee covenants and agrees that during the Term it will, unless prohibited by Applicable Law,
(i) operate continuously the Leased Property as a hotel facility, (ii) comply with the operational provisions of the Franchise Agreement, (iii) not terminate or amend the Franchise Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (iv) use its best efforts to maintain appropriate certifications and licenses for such use, and (v) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant's ------------ rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property's "Primary Intended Use"). Tenant -------------------- shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant's Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or condition that will diminish omission of which may materially impair the ability value or the usefulness of the such Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termany part thereof for its Primary Intended Use.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Tenant's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
(d) Except Section 7.2.6 Nothing contained in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion this Section 7.2 shall be permitted deemed ----------- to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: prevent Tenant from (i) no Event of Default has occurred voluntarily withdrawing from the Medicaid program, and is continuing immediately prior voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or immediately after the date that operations are ceased or as a result of such cessation; and (ii) voluntarily reducing the Percentage Rent due number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant's certification for participation in the Medicaid program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or (iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant's certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from each Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant ------------- shall deliver to Lessor a Senior Officer's Certificate, in form and every such Facility whose operations have ceased will thereafter be subject substance reasonably satisfactory to a floor which will be calculated Lessor, certifying that Tenant has made diligent inquiry relative to the applicable Legal Requirements and has consulted with its legal counsel and, based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time foregoing, certifies that Tenant ceased operations at has complied, and continues to comply, with the Facilityprovisions of this Section 7.2.6 in connection ------------- with such voluntary withdrawal and de-activation and/or voluntary reduction.
Appears in 1 contract
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Section 7.
2.1 Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant's ------------ rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property's "Primary Intended Use"). Tenant shall -------------------- not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant's Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or condition that will diminish omission of which may materially impair the ability value or the usefulness of the such Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termany part thereof for its Primary Intended Use.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Tenant's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
Section 7.2.6 Nothing contained in this Section 7.2 shall be deemed to ----------- prevent Tenant from (di) Except voluntarily withdrawing from the Medicaid program, and voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or (ii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant's certification for participation in instances the Medicaid program as to any such Facility(ies) and without reducing the number of casualty beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or condemnation(iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant's certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant shall continuously operate each of deliver to Lessor a Senior Officer's -------------- Certificate, in form and substance reasonably satisfactory to Lessor, certifying that Tenant has made diligent inquiry relative to the Facilities for the Primary Intended Use. Tenant in applicable Legal Requirements and has consulted with its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenantlegal counsel and, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time foregoing, certifies that Tenant ceased operations at has complied, and continues to comply, with the Facilityprovisions of this Section 7.2.6 in connection with such voluntary withdrawal ------------- and de-activation and/or voluntary reduction.
Appears in 1 contract
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant’s rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Effective Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Effective Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Effective Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property’s “Primary Intended Use”). Tenant shall not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant’s Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or condition that will diminish omission of which may materially impair the ability value or the usefulness of the such Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termany part thereof for its Primary Intended Use.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Tenant’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
Section 7.2.6 Nothing contained in this Section 7.2 shall be deemed to prevent Tenant from (di) Except voluntarily withdrawing from the Medicaid program, and voluntarily de- activating its certification for participation therein, as the same apply to a Facility(ies), or (ii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant’s certification for participation in instances the Medicaid program as to any such Facility(ies) and without reducing the number of casualty beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or condemnation(iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant’s certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant shall continuously operate each of deliver to Lessor a Senior Officer’s Certificate, in form and substance reasonably satisfactory to Lessor, certifying that Tenant has made diligent inquiry relative to the Facilities for the Primary Intended Use. Tenant in applicable Legal Requirements and has consulted with its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenantlegal counsel and, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time foregoing, certifies that Tenant ceased operations at has complied, and continues to comply, with the Facilityprovisions of this Section 7.2.6 in connection with such voluntary withdrawal and de-activation and/or voluntary reduction.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Homewood Suites by Hilton hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Master Hotel Lease Agreement (Apple Hospitality Five Inc)
Use of the Leased Property. (a) Tenant covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under all Legal Requirements and Land Use Requirements.
(b) Tenant shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Landlord (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold be granted, denied or conditioned in its Landlord's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Landlord is available and Tenant pays any premium increase), nor shall Tenant sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Tenant shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Tenant's Personal Property.
(bc) Subject to the provisions of Articles XIV, XV, XXI and XXII, Tenant covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (other than requirements with respect to Capital Improvements), (3) not terminate or amend the Franchise Agreement without the consent of Landlord, (4) maintain appropriate certifications, permits and licenses for such use and (5) will seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Tenant's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s 's (or Tenant's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property.
(f) Unless consented to in writing by Landlord and except with respect to the Other Facilities, taken as throughout the Term neither Tenant nor any Affiliate of Tenant shall own, build, develop, lease, operate, manage, franchise or have any interest in any hotel or motel property that is within a whole, provided that the following conditions are satisfied: three (i3) no Event mile radius of Default any hotel or motel property in which Landlord or an Affiliate of Landlord has occurred and is continuing immediately prior to or immediately after an interest on the date that operations are ceased Tenant or as a result its Affiliate would otherwise commence owning, operating or managing such property, other than pursuant to this Lease or another lease, agreement or arrangement with Landlord or an Affiliate of such cessation; and (ii) the Percentage Rent due Landlord. Tenant agrees to notify Landlord, from each and every such Facility whose operations have ceased will thereafter be subject time to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityrequest of Landlord, of the location of any hotel or motel property the Tenant or any Affiliate owns, leases, operates, manages or has an interest in. Landlord agrees to notify Tenant, from time to time at the request of Tenant, of the location of any hotel or motel property in which Landlord or an Affiliate of Landlord has an interest.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will, or will cause Manager to, obtain and maintain, all permits, licenses and approvals, including, without limitation, liquor licenses, needed to use and operate the Leased Property and the Facility under applicable local, state and federal law, the Management Agreement.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use, or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion -------------------- thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor. No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which consent Landlord may withhold will cause the cancellation of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in its sole discretionor about the Leased Property any article which is prohibited by law or fire underwriter's regulations. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations Lessee shall comply, and that without such a license neither Landlord nor GLP may operateshall cause Manager to comply, control or participate in the conduct with all of the gaming and/or racing operations requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, which compliance shall be performed at Lessee's sole cost except to the Facilitiesextent that such compliance requires the performance of a Capital Improvement or the payment of a Capital Imposition which are not the Manager's obligation under the Management Agreement.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee ------------ -- covenants and agrees that during the Term it will (1) continuously operate and cause the Manager to continuously operate the Leased Property as a hotel facility, (2) keep in full force and effect and comply in all material respects with all the provisions of the Management Agreement and cause the Manager to comply in all material respects with all of the provisions of the Management Agreement, (3) not enter into, terminate or amend in any respect any Management Agreement without the consent of Lessor, (4) maintain or cause to be maintained, appropriate certifications and licenses for such use and (5) keep Lessor advised of the status of any litigation affecting the Leased Property.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except Lessee acknowledges and agrees that all employees involved in instances of casualty or condemnation, Tenant shall continuously operate each the use and operation of the Facilities for the Primary Intended Use. Tenant in its discretion Leased Property shall be permitted to cease operations at a Facility employees of Lessee, Manager, or Facilities if such cessation would one of their Affiliates and not reasonably be expected to have a material adverse effect on Tenantof Lessor or any of its Affiliates. Lessee, the FacilitiesManager, and their respective Affiliates shall fully comply with all Legal Requirements and all collective bargaining and other agreements applicable to such employees. Upon the expiration or on earlier termination of this Lease, all such employees shall be terminated or retained by Lessee, Manager or their respective Affiliates, as applicable, and Lessee, Manager or their respective Affiliates, as applicable, shall provide any required notices or other rights to such employees, all without liability to Lessor or the Leased Property, taken or any other owner, lessee or manager of the Leased Property. Payment of all costs and expenses associated with accrued but unpaid salary, earned but unpaid vacation pay, accrued but unearned vacation pay, pension and welfare benefits, the Consolidated Omnibus Budget Reconciliation Act of 1985, as a wholeamended ("COBRA")benefits, provided that employee fringe benefits, employee termination payments or ----- any other employee benefits due to such employees, shall be the following conditions are satisfied: (i) no Event sole responsibility and obligation of Default has occurred and is continuing immediately prior shall be paid when due by Lessee, Manager or their respective Affiliates, as applicable. Upon the expiration or earlier termination of this Lease, any owner, manager or lessee of the Leased Property shall have the right, but not the obligation, to extend offers of employment to some or immediately after the date that operations are ceased or as a result all of such cessationemployees on such terms and conditions as are determined solely in such party's discretion; and (ii) Lessee shall, and shall cause Manager to, use reasonable efforts to assist such party in its efforts to secure satisfactory employment arrangements with such employees. Lessee, Manager or their respective Affiliates, as applicable, shall provide any notices, coverages or other rights as shall be required to comply with the Percentage Rent due from each medical coverage continuation requirements of COBRA to any persons who are entitled to such rights by virtue of the maintenance of any group health plan by Lessee, Manager or their respective Affiliates, as applicable, and every shall maintain, or cause an affiliate company to maintain, a group health plan that such Facility whose operations have ceased will thereafter person shall be subject entitled to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues participate in for the Fiscal Year immediately preceding maximum period required by COBRA. Lessee shall indemnify, defend and hold harmless Lessor, the time that Tenant ceased operations at Leased Property, and any other owner, lessee or manager of the FacilityLeased Property, from and against any and all claims, causes of action, proceedings, judgments, damages, penalties, liabilities, costs and expenses (including reasonable attorney's fees and disbursements) arising out of the employment or termination of employment of or failure to offer employment to any employee or prospective employee by Lessee, Manager or their respective Affiliates, including, without limitation, claims of discrimination, sexual harassment, breaches of employment or collective bargaining agreements, or the failure of Lessee, Manager or any of their Affiliates to comply with the provisions of this section. The indemnification rights and obligations provided for in this section shall survive the termination of this Lease.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any improvements to the Leased Property required by the franchisor unless the Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and maintain throughout the entire Term all approvals needed to use and operate the Leased Property and the Facility for the Primary Intended Use, as defined below, under applicable local, state and federal law, including but not limited to licensure approvals, Medicare and/or a Medicaid certifications, provider numbers, certificates of need, governmental approvals, and full accreditation from all applicable governmental authorities, if any, that are necessary for the operation of the Facility as a long-term acute care hospital facility.
(b) Beginning on the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility as a long-term acute care hospital facility and for its such other uses as may be necessary in connection with or incidental to such use (the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord Lessee agrees may withhold be withheld in Lessor's sole discretion, provided however, that Lessee shall be permitted to sublease a portion of the Leased Property for provision of therapy or physician office space without Lessor's consent so long as the sublease otherwise complies with the provisions of Article VIII, Article XXIV and Article XL hereof. No use shall be made or permitted to be made of the Leased Property and no acts shall be done which will cause the cancellation of any insurance policy covering the Leased Property or any part thereof, nor shall Lessee sell or otherwise provide to residents or patients therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or by the standard form of fire insurance policies, any other insurance policies required to be carried hereunder, or fire underwriters regulations. Lessee shall, at its sole discretion. Landlord acknowledges cost, comply with all of the requirements, covenants and restrictions pertaining to the Leased Property, including, without limitation, all of the Permitted Exceptions, and other requirements of any insurance board, association, organization or company necessary for the maintenance of the insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(c) Lessee covenants and agrees that operation of each Facility for during the Term it will continuously operate the Leased Property only in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesLessee shall maintain its certifications for reimbursement and licensure and all accreditations.
(bd) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, or Lessee's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant 7.2.1 Lessee covenants that it will obtain and will at all times during the Term maintain all approvals needed to use and operate the Leased Property and each Facility under applicable federal, state and local law, including, but not limited to, licensure and Medicaid certification, if and as applicable. Lessee shall provide to Lessor, at Lessor's request a copy of any report or survey conducted by any federal, state or local government entity regarding the quality of care at each Facility, and any other such information or documents concerning the operation of each Facility.
7.2.2 After the Commencement Date and during the entire Term, Lessee shall use or cause to be used the Leased Property as separate assisted living facilities licensed (if applicable) by the State of Ohio and uses incidental to the improvements thereon of each Facility for its foregoing, including without limitation home health services provided in accordance with and as contemplated under Paragraph 22, below (the particular such use to which the Leased Property is put at any particular time is herein referred to as the "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be withheld in Lessor's sole and absolute discretion. No use shall be made of the Leased Property, and no acts shall be done, which will cause the cancellation of any insurance policy to residents therein, or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriter's regulations. Lessee shall, at its sole discretion. Landlord acknowledges cost, comply with all of the requirements pertaining to the Leased Property or other improvements of any insurance board, association, organization, or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
7.2.3 Lessee covenants and agrees that operation subject to damage, destruction and condemnation described in Articles XIV and XV, during the Term it will operate continuously the entirety of each Facility for the Leased Property in accordance with its Primary Intended Use generally requires Use, provided that Lessee may cease operations (at no more than one (1) Facility at a Gaming License under applicable Gaming Regulations time) for more than ten (10) days (i) if Lessee obtains Lessor's prior written approval, and that without (ii) so long as such a license neither Landlord nor GLP may operate, control cessation of operations does not impair or participate in threaten the conduct status or effectiveness of the gaming and/or racing operations at the Facilitiesoperating license or other certification for operating such Facility in accordance with its Primary Intended Use.
(b) Tenant 7.2.4 Lessee shall not commit or suffer to be committed any waste on the Leased Property (including Property, or in any Capital Improvement thereto) or Facility nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(c) Tenant 7.2.5 Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including Lessee's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof; or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except 7.2.6 Lessee covenants and agrees that during the Term it will maintain all licenses, approvals, permits and certifications for reimbursement, licensure and as otherwise required for operating the Facility in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the accordance with its Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Lease Agreement (LTC Healthcare Inc)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility the Leased Property for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming Gaming and/or racing operations at the Leased Property. Notwithstanding anything contained herein to the contrary, Landlord hereby acknowledges that the Tenant is currently prohibited, pursuant to that certain State of Nevada Executive Department Declaration of Emergency Directive 003, dated March 20, 2020, signed by the Governor of Nevada, the Secretary of State of Nevada, and the Deputy Secretary of State of Nevada (the “Nevada Emergency Directive”), from operating the Leased Property for its Primary Intended Use due to the COVID-19 pandemic. Tenant’s not operating the Leased Property for the Primary Intended Use in compliance with the Nevada Emergency Directive shall not constitute an Event of Default under this Lease or a breach of this Section 7.2 or other provisions of this Lease, provided that Tenant reopens the Leased Property to the public and commences operations at the Leased Property for the Primary Intended Use at approximately the same time as the owners and/or operators of properties similar to the Leased Property located within Las Vegas, Nevada reopen to the public following the issuance of an order, notice or other statement from the Governmental Authorities having jurisdiction over the Leased Property, including those with jurisdiction over Gaming Facilities, that (a) it is safe to do so, and/or (b) non-essential business services and operations may recommence and open to the public and/or (c) any stay-at-home or shelter-in-place order or directive has been lifted, including the Nevada Emergency Directive, and/or (d) any similar official statement, order or notice to the same effect that permits the Tenant to reopen the Leased Property to the public (the “Reopening Covenant”). For the avoidance of doubt, Landlord hereby acknowledges that prior to the Nevada Emergency Directive, operations in the J▇▇▇▇▇ Wing and the 4000 Wing were discontinued by Tenant, and Tenant shall have no obligation to reopen or commence any operations within such areas.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, and subject to the Reopening Covenant, Tenant shall continuously operate each of the Facilities Leased Property for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Lease (Penn National Gaming Inc)
Use of the Leased Property. (a) Section 7.2.1 Tenant shall use maintain or cause to be used maintained all licenses, permits, approvals and other Authorizations needed to use and operate for its Primary Intended Use (or any other use permitted under the terms of this Lease) each Leased Property and the improvements thereon Facility located at each such Leased Property under and in accordance with all applicable local, state and federal laws and all applicable state and federal programs including but not limited to appropriate certifications for reimbursement and licensure. All of such Authorizations shall, to the maximum extent permitted by law, relate and apply exclusively to one or more of the Leased Properties and/or the Facilities operated thereon. Tenant acknowledges and agrees that, subject to applicable law, the certificates of need issued for the Facilities are appurtenant to such Facilities, both during and following the termination or expiration of the Term. In jurisdictions where the certificate of need is issued to Tenant or its subtenant, as the Facility operator, Tenant agrees that it shall cooperate with Lessor, in accordance with Section 40.3 hereof, to turn over all of Tenant's ------------ rights in connection with such certificate of need to Lessor or its designee.
Section 7.2.2 After the Commencement Date and during the entire Term, Tenant shall use each Leased Property and the Leased Improvements thereof as a hospital or a nursing center and each Facility for its that is being used as a hospital on the Commencement Date shall continue to be used as a hospital during the entire Term and each Facility being used as a nursing center on the Commencement Date shall continue to be used as a nursing center during the entire Term (such use being the applicable Leased Property's "Primary Intended Use"). Tenant shall -------------------- not use the applicable Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord shall not be unreasonably withheld, delayed or conditioned. No use shall be made or permitted to be made of the applicable Leased Property, and no acts shall be done, that will cause the cancellation of any insurance policy covering such Leased Property or any part thereof, nor shall Tenant sell or otherwise provide to occupants or patients therein, or permit to be kept, used or sold in or about such Leased Property any article which may withhold in be prohibited by law or by the standard form of fire insurance policies, or any other insurance policies required to be carried hereunder, or fire underwriters regulations. Tenant shall, at its sole discretion. Landlord acknowledges that operation cost, comply with all of the requirements pertaining to the applicable Leased Property or other improvements of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering such Leased Property and Tenant's Personal Property.
Section 7.2.3 Tenant shall during the Term operate continuously each Facility for Leased Property in accordance with all applicable federal, state and local laws as a provider of health care services in accordance with its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatemaintain its certifications for reimbursement and licensure and its accreditation, control or participate in if compliance with accreditation standards is required to maintain the conduct operations of the gaming and/or racing Facility and if a failure to comply would adversely affect operations at of the FacilitiesFacility.
(b) Section 7.2.4 Tenant shall not commit or suffer to be committed any waste on the any Leased Property (including Property, or in any Capital Improvement thereto) or Facility, nor shall Tenant cause or permit any nuisance thereon or to, except as required by law, thereon. Tenant shall not take or suffer omit to take any action action, the taking or condition that will diminish omission of which may materially impair the ability value or the usefulness of the such Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termany part thereof for its Primary Intended Use.
(c) Section 7.2.5 Tenant shall neither suffer nor permit the any Leased Property or any portion thereof thereof, including any Capital Alteration whether or not financed by Lessor, or Tenant's Personal Property, to be used in such a manner as (i) might reasonably tend to impair Landlord’s Lessor's (or Tenant's, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the applicable Leased Property or any portion thereof.
Section 7.2.6 Nothing contained in this Section 7.2 shall be deemed to ----------- prevent Tenant from (di) Except voluntarily withdrawing from the Medicaid program, and voluntarily de-activating its certification for participation therein, as the same apply to a Facility(ies), or (ii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicaid program is applicable (but without affecting Tenant's certification for participation in instances the Medicaid program as to any such Facility(ies) and without reducing the number of casualty beds at any Facility(ies) as to which a certification for participation in the Medicaid program is applicable below any legally required minimum number of beds), or condemnation(iii) voluntarily reducing the number of beds at a Facility(ies) as to which a certification for reimbursement under the Medicare program is applicable (but without affecting Tenant's certification for participation in the Medicare program as to any such Facility(ies) and without reducing the number of beds at any Facility(ies) as to which a certification for participation in the Medicare program is applicable below any legally required minimum number of beds), in each case if and so long as, in accordance with any and all laws, statutes, rules, regulations and orders applicable to the Medicaid and Medicare programs and certifications for participation therein and to any such Facility(ies), Tenant or any successor operator of such Facility(ies) may at any time at its election, without the necessity of any governmental approval or additional Authorization (other than routine governmental re-inspections of such Facility(ies) and any ministerial approvals and other Authorizations), as applicable depending upon whether subsection (i), (ii) and/or (iii) above is applicable, (a) promptly rejoin the Medicaid program, and re-activate its certification for participation in the Medicaid program, at any such Facility(ies) and/or (b) promptly re-activate its certification for participation in the Medicaid program and/or Medicare program, as applicable, as to any beds as to which a voluntary reduction under subsection (ii) and/or (iii) above is applicable. At the time, and as a condition, of any such voluntary withdrawal and de-activation, or voluntary reduction, by Tenant and thereafter within twenty (20) days after receipt of a written request therefor from Lessor from time to time (but not more often than twice in any calendar year, unless, after Lessor has made two (2) such requests in a calendar year, a change(s) in Legal Requirements becomes effective, or Lessor obtains knowledge of other facts or circumstances, suggesting a possible violation of this Section 7.2.6), Tenant shall continuously operate each of deliver to ------------- Lessor a Senior Officer's Certificate, in form and substance reasonably satisfactory to Lessor, certifying that Tenant has made diligent inquiry relative to the Facilities for the Primary Intended Use. Tenant in applicable Legal Requirements and has consulted with its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenantlegal counsel and, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time foregoing, certifies that Tenant ceased operations at has complied, and continues to comply, with the Facilityprovisions of this Section 7.2.6 in connection ------------- with such voluntary withdrawal and de-activation and/or voluntary reduction.
Appears in 1 contract
Sources: Master Lease Agreement (Ventas Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles and , Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any improvements to the Leased Property required by the franchisor unless the Lessor funds the cost thereof), (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) will seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will exercise reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property for its Primary Intended Purpose, as defined in Section 7.2(b) below, and applicable Legal Requirements.
(b) Lessee shall use or cause to be used the Leased Property only as a TownePlace Suites hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), and (4) maintain appropriate certifications and Licenses for such use.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Sources: Hotel Lease Agreement (Moody National REIT I, Inc.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended UseUse in accordance with the Operating Standard. Tenant shall not use or permit the use of the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Gaming Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP any Affiliate of Landlord may operate, control or participate in the conduct of a Gaming Facility. Tenant acknowledges that operation of the Facility for its Primary Intended Use generally may require a Gaming License under applicable Gaming Regulations and that without such a license, if applicable, Tenant may not operate, control or participate in the conduct of the gaming and/or racing operations at the FacilitiesFacility.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility or otherwise for the Primary Intended Use (except in connection with any use, or change of use, permitted pursuant to Section 7.2(a)) during the Term or after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit based on any action of Tenant after the Effective Date the Leased Property or any portion thereof to be used in such a manner as (i) might would reasonably tend be expected to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible would reasonably be expected to result in a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof. Without the prior written consent of Landlord, Tenant may not impose or permit the imposition of any restrictive covenants, easements or other encumbrances which would encumber Landlord’s interest in the Leased Property. Landlord shall have the right to approve any restrictive covenant, easement or other encumbrance on the Leased Property if such matter would survive the expiration or termination of this Lease or requires any signature or other action by Landlord, such approval not to be unreasonably, withheld, conditioned or delayed unless in Landlord’s good faith judgment (x) there is more than a de minimis effect on the value or use of the Leased Property, or (y) such matter benefits a Tenant Competitor or Affiliate of Tenant or Tenant’s Parent. Tenant may impose or permit the imposition of any restrictive covenants, easements or other similar encumbrances (excluding, for the avoidance of doubt, any mortgages unless such mortgage is a Permitted Leasehold Mortgage) which would encumber Tenant’s leasehold estate and shall (x) expressly provide that they do not affect Landlord’s interest in the Leased Property, and (y) not result in any physical structures or other matters which may need to be removed or restored after the expiration of the Lease unless the same are de minimis in nature and/or Tenant agrees to remove and/or restore the same at no cost to Landlord (which is not otherwise reimbursed by Tenant). Notwithstanding the foregoing sentence, the construction of any pedestrian walkway, bridge or other connecting structure between the Leased Premises and the tram pedestrian system or pathways or other similar system that currently connects or may in the future connect the Bellagio Hotel & Casino, the Vdara Hotel & Spa, and/or certain other properties within the vicinity of the Leased Property, and the taking of any of the actions, decisions, or other matters described in this Section 7.2 in connection therewith or in furtherance thereof (the “Connector Actions”), shall not require the approval of Landlord unless such approval is expressly required pursuant to Section 10.1, provided that the Connector Actions are applied on a Non-Discriminatory basis with respect to other properties serviced by similar pedestrian walkways, bridges or other connecting structures and performed in accordance with the Operating Standard. Other than any liens or other encumbrances granted to a Fee Mortgagee, Landlord will not enter into agreements that will encumber the Leased Property without Tenant’s consent, which shall not be unreasonably withheld, conditioned or delayed if the proposed matter would not reasonably be expected to interfere with Tenant’s conduct of its business on the Leased Property or with the use of the Leased Property for its Primary Intended Use (it being agreed and understood that any proposed encumbrance related to, or for the benefit of, any Tenant Competitor, would require Tenant’s consent, which Tenant may grant or withhold in its sole discretion), provided, that, Tenant is given reasonable opportunity to participate in the process leading to such agreement. Nothing in the foregoing is intended to vitiate or supersede Tenant’s right to enter into Permitted Leasehold Mortgages or Landlord’s right to enter into Fee Mortgages in each case as and to the extent provided herein. In addition, each of Landlord and Tenant agrees to, at the sole cost and expense of the other, reasonably cooperate with the other party and all applicable authorities in connection with the foregoing, including the provision and execution of such documents and other information as may be requested by such other party or such authorities relating to the Leased Property and which are within such party’s reasonable control to obtain and provide. Landlord further agrees to use commercially reasonable efforts (at Tenant’s sole cost and expense) to obtain the consent of the Fee Mortgagee should Fee Mortgagee’s consent be required in connection with any restrictive covenant, easement or other encumbrance. This Section 7.2(c) shall be subject to Section 8.4.
(d) Except in instances as a result of casualty a Casualty Event or condemnationother Unavoidable Delay, Tenant shall continuously operate each of the Facilities Facility for the Primary Intended UseUse in accordance with the Operating Standard. Notwithstanding the foregoing, Tenant in its discretion shall be permitted to cease operations at a the Facility or Facilities if such cessation would not be expected to have a material adverse effect on the Tenant, the Facility, or the Leased Property (taken as a whole) (a “Voluntary Cessation”). Notwithstanding the foregoing, no Voluntary Cessation shall be permitted to commence or continue if (i) an Event of Default has occurred and is continuing, (ii) when combined with any other Voluntary Cessations which occurred within the prior five (5) year period occurring after the Effective Date, such Voluntary Cessations would exceed one (1) year in the aggregate, (iii) such cessation would reasonably be expected to result in a default under any Property Documents and such default would reasonably be expected to have a material adverse effect on the Tenant, the FacilitiesFacility, or on the Leased Property, Property (taken as a whole), provided or (iv) such Voluntary Cessation is intended to frustrate Landlord’s ability to operate the Leased Property for its Primary Intended Use at the end of the Term. Notwithstanding anything to the contrary contained herein, in the event that any such cessation of operations occurs, (1) Rent under this Lease will not be subject to abatement in any respect, and (2) in the following conditions are satisfied: event that such cessation is a Voluntary Cessation, then solely for purposes of calculating the Required CapEx and the FF&E Reserve Funds, Net Revenues for the period of such Voluntary Cessation shall instead be deemed to include an amount calculated based on the average monthly Net Revenues for the preceding twelve (12) month period (excluding any other periods of Voluntary Cessation) ending on the earlier of (x) the last day of the last full calendar month during the period of such Voluntary Cessation, and (y) the end of the third calendar month after the beginning of such Voluntary Cessation (e.g. if the Facility is subject to a Voluntary Cessation from April 1, 2024 through July 31, 2024, the average monthly Net Revenues for the period of July 1, 2023 through June 30, 2024 shall be used to calculate the Net Revenues during such period of Voluntary Cessation). In addition, if there is a Voluntary Cessation, the Required CapEx Funding Deadline with respect to the Required CapEx required to be spent by the next CapEx Testing Period and the CapEx Grace Period with respect to any amounts deposited into the CapEx Reserve on account of any such Required CapEx which has not been spent by the applicable Required CapEx Funding Deadline shall be extended for a period of time equal to the period of Voluntary Cessation (any such Required CapEx that is deferred pursuant to this sentence is referred to herein as the “Deferred Required CapEx”).
(e) Subject to Article XII regarding permitted contests, Tenant, at its sole cost and expense, shall promptly (i) no Event comply in all material respects with all Legal Requirements and Insurance Requirements affecting the Facility and the business conducted thereat (taking into account any “grandfather” rights with respect to any applicable Legal Requirements), including those regarding the use, operation, maintenance, repair and restoration of Default has occurred the Leased Property or any portion thereof (including all Capital Improvements) and is continuing immediately prior Tenant’s Property whether or not compliance therewith may require structural changes in any of the Leased Improvements or interfere with the use and enjoyment of the Leased Property or any portion thereof (taking into account any “grandfather” rights with respect to or immediately after the date that operations are ceased or as a result of such cessation; any applicable Legal Requirements), and (ii) the Percentage Rent due from each procure, maintain and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues comply in all material respects with all Gaming Regulations and Gaming Licenses, and other authorizations required for the Fiscal Year immediately preceding use of the time that Tenant ceased operations at Leased Property (including all Capital Improvements) and Tenant’s Property for the Facilityapplicable Primary Intended Use and any other use of the Leased Property (and Capital Improvements then being made) and Tenant’s Property, and for the proper erection, installation, operation and maintenance of the Leased Property and Tenant’s Property.
Appears in 1 contract
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities Facility for the Primary Intended UseUse (except as a result of casualty, condemnation or Unavoidable Delay that affects such Facility). Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility (including food and beverage operations) of a caliber consistent with its present use, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property.
(bc) Tenant Subject to the provisions of Articles XIV and XV Lessee covenants and agrees that during the Term it will (1) maintain, operate continuously the Leased Property as a hotel facility of the class currently operated at the Leased Property, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement, (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and otherwise comply with all Legal Requirements and (5) seek to maximize the gross revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof, subject to Lessor's prior consent.
(df) Except in instances of casualty Lessee shall not use, generate, handle, dispose or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or store Hazardous Materials on the Leased Property, taken except in the normal course of operations of the Leased Property as a wholehotel and in compliance with all Environmental Laws.
(g) Lessee shall not enter into any collective bargaining agreements with respect to any of the employees at the Leased Property without the prior consent of Lessor, provided that which shall not be unreasonably withheld or delayed, unless required by law.
(h) Lessee hereby assumes and agrees to perform all of the following conditions are satisfied: (i) no Event obligations of Default has occurred and is continuing immediately prior to or immediately after Lessor under all leases in effect at the Leased Property as of the date that operations are ceased or as a result of such cessation; and (ii) commencement of the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityTerm.
Appears in 1 contract
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended UseUse in accordance with the Operating Standard. Tenant shall not use or permit the use of the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretionnot unreasonably withhold, condition or delay. Landlord acknowledges that operation of each Gaming Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP any Affiliate of Landlord may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilitiesa Gaming Facility.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility (except in connection with any use, or change of use, permitted pursuant to Section 7.2(a) above or in connection with a Facility (or any portion thereof) that is not and has not been operated as a Gaming Facility) after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might would reasonably tend be expected to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible would reasonably be expected to result in a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except as a result of a Casualty Event or for the duration of an Unavoidable Delay or, with respect to a Facility undergoing a Landlord Approved Construction/Closure Project, for the duration of the period in instances of casualty or condemnationwhich Tenant is prosecuting such Landlord Approved Construction/Closure Project, Tenant shall continuously operate each of the Facilities for the Primary Intended UseUse in accordance with the Operating Standard. Notwithstanding the foregoing, Tenant in its discretion shall be permitted may elect to permanently or temporarily cease operations at a Facility or any of the Facilities if (i) in Tenant’s reasonable discretion, such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that or (ii) at the following conditions time of such Voluntary Cessation, the EBITDAR to Rent Ratio, calculated on a pro forma basis as if the Facility(ies) for which operations are satisfied: to be terminated were not included in EBITDAR, for the trailing twelve (12) month period is not less than 1.9:1 (any cessation of operations under clause (i) no Event of Default has occurred above or this clause (ii), a “Voluntary Cessation”); provided, however, that to the extent any Voluntary Cessation exceeds and is continuing immediately for more than a period of twelve (12) consecutive months, Landlord may provide written notice to Tenant (the “Voluntary Termination Notice”) of Landlord’s intent to exercise Landlord’s right to terminate Tenant’s Leasehold Interest in this Master Lease as set forth below with respect to only the Facility for which the Voluntary Cessation has occurred and, as a condition to any such termination, contemporaneously therewith enter into a new lease for such facility (a “Replacement Lease”) with a bona fide third party (a “Replacement Tenant”) at a commercially reasonable rent (giving due consideration to the fact that such Facility has been closed and is not operational) (“Landlord’s Termination Right”); provided further, that effective upon such termination, Rent under this Master Lease will be reduced by the amount of Rent required to be paid by such third party to the Landlord pursuant to such Replacement Lease. Notwithstanding the foregoing, Rent under this Master ▇▇▇▇▇ will remain unchanged except as specifically set forth in the proviso of the preceding sentence (and, for the avoidance of doubt, solely in the event of a Replacement Lease). Notwithstanding the foregoing, if Landlord delivers a Voluntary Termination Notice to Tenant in accordance with the above, Tenant may within thirty (30) days after receipt of the Voluntary Termination Notice, provide notice to Landlord that Tenant intends to again operate the Facility in question (“Tenant’s Notice of Intent”) and (x) if Tenant does thereafter commence operation of the Facility in question prior to or immediately after the date that operations are ceased is sixty (60) days after the delivery to Landlord of Tenant’s Notice of Intent (“Tenant’s Recommencement Period”), and continues to operate such Facility for at least ninety (90) consecutive days in accordance with the terms of this Master Lease, then Landlord’s Termination Right shall not apply and (y) if Tenant does not thereafter commence operation of the Facility in question prior to the expiration of Tenant’s Recommencement Period, or as does commence operation during Tenant’s Recommencement Period but does not continue to operate for such 90-day period, then Landlord shall have the right to exercise Landlord’s Termination Right provided that Landlord and Replacement Tenant enter into a result binding agreement for the execution and delivery by Landlord and Replacement Tenant of a Replacement Lease within four (4) years following the expiration of Tenant’s Recommencement Period (such 4-year period, the “Re-tenanting Period”) and thereafter consummate the closing and enter into the Replacement Lease no later than one (1) year after execution and delivery of such cessation; binding agreement (such 1-year period, the “Replacement Lease Closing Period”), failing which, Landlord shall no longer be permitted to exercise Landlord’s Termination Right with respect to the Voluntary Cessation in question without first delivering a Voluntary Termination Notice to Tenant and providing Tenant with the rights set forth above in connection therewith. For purposes of clarity, (1) under no circumstances shall any termination of this Master Lease with respect to a Facility pursuant to this Section 7.2(d) become effective unless a Replacement Lease is executed and delivered contemporaneously therewith, and (ii2) the Percentage Rent due from each if Tenant reopens a Facility as described in clause (x) of this Section 7.2(d) and every continues to operate such Facility whose for at least ninety (90) consecutive days in accordance with the terms of this Master Lease, but thereafter, ceases operations have ceased will thereafter be at such Facility for more than a period of twelve (12) consecutive months, then, Landlord may provide another Voluntary Termination Notice to Tenant pursuant to this Section 7.2(d).
(e) Without limitation of any other provisions of this Lease, Tenant shall comply in all material respects with all Property Documents and Landlord shall reasonably cooperate with Tenant (at Tenant’s sole cost and expense) to the extent necessary for Tenant to so comply.
(f) Upon Landlord’s reasonable request from time to time, but not more frequently than once each year, Tenant shall provide Landlord with copies of any final third-party surveys, environmental, engineering, zoning, seismic or property condition reports (other than any which are subject to a floor which will be calculated based on privilege) obtained by Tenant or any Operating Subtenant with respect to the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityLeased Property.
Appears in 1 contract
Sources: Master Lease (VICI Properties L.P.)
Use of the Leased Property. (a) Tenant shall use or cause to be used the Leased Property and the improvements thereon of each Facility for its Primary Intended Use. Tenant shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilities.
(b) Tenant shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property Premises to be used as a Gaming Facility gaming or pari-mutuel facility after the expiration or earlier termination of the Term.
(c) Tenant shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i) might reasonably tend to impair Landlord’s title thereto or to any portion thereof or (ii) may make possible a claim of adverse use or possession, or an implied dedication of the Leased Property or any portion thereof.
(d) Except in instances of casualty or condemnation, Tenant shall continuously operate each of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Subject to the provisions of Articles XIV, XV, and XXI and Section 7.2(e), Lessee covenants and agrees that it will during the Term (i) proceed with all due diligence and will exercise its best efforts to obtain and to maintain all licenses, permits, certificates and approvals needed to use and operate the Leased Property in the manner required under this Lease and under applicable local, state and federal law, except to the extent the same are the responsibility of the Developer under the Development Agreement; (ii) operate continuously the Leased Property in accordance with the Primary Intended Use; (iii) keep in full force and effect and comply with all the provisions of all agreements assigned to Lessee pursuant to the terms hereof, and (iv) not terminate or amend any agreements constituting part of the Leased Property without the consent of Lessor (the agreements described in subsections (iii) and (iv) herein called (the “Service Contracts”), such consent to not be unreasonably withheld, delayed or conditioned.
(b) Lessee shall use or cause to be used the Leased Property and the improvements thereon of each Facility only for its current uses as a hotel (together with all other existing or incidental uses, including restaurant, retail, office, movie theater, bar, fitness center, spa, conference center and other such uses) and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use use, nor change any names under which the Leased Property is operated, without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in Lessor’s sole discretion, except as may be expressly permitted under Section 7.2(e). No use shall be made or permitted to be made of the Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any Article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operatecost, control or participate in the conduct comply with all of the gaming and/or racing operations at requirements pertaining to the FacilitiesLeased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or normal wear and tear excepted), nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(cd) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof, except as necessary in the ordinary and prudent operation of the Facility on the Leased Property.
(de) Except Notwithstanding anything to the contrary in instances this Lease but subject to Article XXXV, Lessee shall have the authority, without Lessor’s prior written consent, to do the following:
(i) enter into, extend, modify, or terminate leases or subleases of casualty commercial, office, retail, spa, restaurant or condemnation, Tenant shall continuously operate each of other incidental uses at the Facilities for Leased Property; provided that (A) such incidental uses comply with the Primary Intended Use. Tenant , (B) such lease does not exceed 7,500 rentable square feet, (C) the term of such lease is not in its discretion shall be permitted to cease operations excess of five (5) years, (D) such lease is on market terms and at a Facility or Facilities if market rental rates and (E) rental payments under any such cessation would lease are not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or based on the Leased Property, taken as a whole, provided that net income or profits of the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and tenants.
(ii) enter into any Service Contract, license, concession and equipment lease (A) which has a term of less than two (2) years, including renewals, unless it is terminable within two (2) years from the Percentage Rent due from each date of its execution without cause, and every either without cost or penalty or if with a penalty, such Facility whose operations have ceased will thereafter be subject penalty is less than Twenty-Five Thousand Dollars ($25,000.00); provided that Lessee may not enter into any Service Contract which expires later than the third anniversary of the Commencement Date unless such Service Contract is terminable without cost or penalty upon no more than ninety (90) days prior notice, and (B) which binds Lessee to a floor which will be calculated based on the Percentage Rent that would have been paid aggregate payments per year of not more than Fifty Thousand Dollars ($50,000.00), adjusted for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the FacilityCPI.
Appears in 1 contract
Sources: Lease Agreement (Behringer Harvard Opportunity REIT I, Inc.)
Use of the Leased Property. (a) Tenant To the extent not obtained as of the Completion Date, Lessee or its Affiliates shall use or cause obtain all material Licenses necessary to be used the Leased Property and the improvements thereon of operate each Facility as a freestanding emergency medical facility, as quickly as reasonably possible and, in any event, all such Licenses for a particular Facility shall be obtained by the required dates set forth on Schedule 7.2(a) relating to such Facility (each, an “Operational Date”); provided, however, that, upon written request from Lessee to Lessor prior to the Operational Date with respect to a particular Facility, and so long as Lessor is reasonably satisfied that Lessee is diligently proceeding in its Primary Intended Useefforts to obtain such Licenses for such Facility, Lessee shall have the option to extend the period in which to obtain such Licenses with respect to such Facility for two (2) additional periods of thirty (30) days each. Tenant shall not use Lessee may exercise each such option by giving written notice to Lessor at least five (5) Business Days prior to the Leased Property Operational Date (or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control or participate in the conduct of the gaming and/or racing operations at the Facilitiesextension period).
(b) Tenant After the Completion Date relating to each Facility, Lessee (i) subject to Section 7.2(a), shall operate such Facility throughout the entire remaining Term as a freestanding emergency medical facility and for such other legal ancillary uses as may be necessary in connection with or incidental to such use, subject to all covenants, restrictions, easements, and all other matters of record (including those set forth in the Permitted Exceptions) relating to the portion of the Leased Property relating to such Facility (the “Primary Intended Use”), and (ii) shall comply with all Legal Requirements that are necessary for the operation of such Facility consistent with the Primary Intended Use.
(c) Lessee shall continuously operate the Leased Property only as a provider of healthcare services in accordance with the Primary Intended Use and Lessee shall maintain its certifications for reimbursement and licensure and all accreditations.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) or nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, including any Capital Addition whether or not financed by Lessor, or Lessee’s Personal Property, to be used in such a manner as (i) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except With respect to each Facility, Lessor shall have the right and option to erect a plaque in instances of casualty or condemnation, Tenant shall continuously operate each the vicinity of the Facilities for the Primary Intended Usefront desk located inside such Facility stating that such Leased Property is owned by Lessor. Tenant in its discretion Such plaque shall be permitted in a size, and shall be erected in an exact location acceptable to cease operations at a Facility Lessor and approved by Lessee, which approval shall not be unreasonably withheld, conditioned or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilitydelayed.
Appears in 1 contract
Sources: Master Funding and Development Agreement (Adeptus Health Inc.)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its best efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use, or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of Landlord, which consent Landlord may withhold in its sole discretionLessor. Landlord acknowledges that operation of each Facility for its No use other than the Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done other than the Primary Intended Use, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which is prohibited by law or fire underwriter's regulations. Lessee shall comply with all of the requirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee's Personal Property, which compliance shall be performed at the FacilitiesLessee's sole cost.
(bc) Tenant Subject to the provisions of Articles 14 and 15, Lessee covenants and agrees that during the Term it will either directly or through an approved manager (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply in all material respects with all the provisions of the Franchise Agreement, (3) not terminate or amend in any respect the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) keep Lessor advised of the status of any material litigation affecting the Leased Property.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee's Personal Property, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a 34 41 claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(df) Except in instances of casualty or condemnation, Tenant Lessee shall continuously operate each comply with all of the Facilities for Lessor's covenants, in any loan agreement or other financing arrangement, applicable to this Lease or the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on operation of the Leased Property. Notwithstanding the foregoing, taken as a wholeLessee shall not be obligated to comply with Lessor's covenants in any loan agreements which (A)(i) are not customary, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues are not otherwise contemplated by this Lease Agreement or any agreement or instrument executed by Lessee in connection herewith for the Fiscal Year immediately preceding benefit of Lessor, and (iii)(x) materially and adversely affect the time that Tenant ceased operations at the FacilityFacility or (y) materially increase Lessee's costs of doing business or decrease revenues, unless in cases where Subsection (iii)(y) is relied upon by Lessee the additional cost thereof is borne by Lessor, or (B) obligate Lessee to guarantee repayment of any debt of Lessor, or (C) require any indemnification undertakings other than customary undertakings with respect to servicing agents or similar administrative agents which administer escrow accounts into which Lessee may deposit Rent payments as required by Lessor's lenders or other servicing agents. Lessor will provide Lessee with not less than fifteen (15), and will attempt in good faith to provide not less than thirty (30), days prior written notice of the terms of such covenants, and if Lessee is relying upon Subsection (iii)(y), Lessee shall within five (5) days of receipt of such notice, notify Lessor in writing of any anticipated material additional costs which Lessee may incur. Lessor shall then notify Lessee in writing whether it agrees to pay or reimburse Lessee for the material additional cost thereof as incurred by Lessee, and Lessee's receipt of such notice shall be a condition precedent to Lessee's obligation to comply with such covenants. Lessor shall have the right to dispute Lessee's reliance on Subsections (A)-(C) or Lessee's estimates of additional costs pursuant to Subsection (A)(iii)(y), and either party may submit any such disputes to arbitration under the provisions of Article 40.
Appears in 1 contract
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise its commercially reasonable efforts to obtain and to maintain all approvals needed to use and operate the Leased Property and the Facility under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its "Primary Intended Use"). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold in its be granted, denied or conditioned upon Lessor's sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy reasonably satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter's regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property.
(bc) Tenant Subject to the provisions of this Lease regarding casualty and condemnation, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement (except that Lessee shall have no obligation to complete any capital improvements to the Leased Property required by the franchisor unless Lessor funds the costs thereof except as expressly provided in this Lease) with respect to the operation of the Hotel, (3) not terminate or amend the Franchise Agreement without the consent of Lessor, (4) maintain appropriate certifications and licenses for such use and (5) operate and maintain the Leased Property so as to maximize the Gross Revenues generated therefrom in a commercially reasonable manner consistent with sound business practices, and Lessee will not operate or maintain the Facility nor reduce or minimize Gross Operating Expenses for the purpose of increasing Gross Operating Profit or otherwise to the extent such actions adversely affect the maximization of Gross Revenues in a commercially unreasonable manner (even if such reduces Lessee's percentage of Gross Operating Profit so long as such does not reduce Gross Operating Profit).
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Facility, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, to be used in such a manner as (i1) might reasonably tend to impair Landlord’s Lessor's (or Lessee's, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or on the Leased Property.
(f) Neither Lessee, taken Prime nor any direct or indirect subsidiary of Prime shall franchise, own, lease, operate, develop, construct, manage, joint venture, nor have any other interest in, any hotel or motel facility, with the AmeriSuites or similar name or any successor name, or similar midpriced all suite hotel, within the distance from the Leased Property set forth on Exhibit F attached hereto during the Term of this Lease. Lessee agrees to deliver to Lessor upon request by Lessor from time to time a list of hotels and motels (and locations) in which Lessee, Prime or any direct or indirect subsidiary of Prime has an interest as a wholefranchisor, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to developer, contractor, owner, partner, lessee, manager or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facilityotherwise.
Appears in 1 contract
Sources: Lease Agreement (Equity Inns Inc)
Use of the Leased Property. (a) Tenant Lessee covenants that it will proceed with all due diligence and will exercise reasonable efforts to obtain and to maintain all Licenses and other approvals needed to use and operate the Leased Property and the Hotel under applicable local, state and federal law.
(b) Lessee shall use or cause to be used the Leased Property only as a Springhill Suites by Marriott hotel facility, and for such other uses as may be necessary or incidental to such use or such other use as otherwise approved by Lessor (the improvements thereon of each Facility for its “Primary Intended Use”). Tenant Lessee shall not use the Leased Property or any portion thereof or any Capital Improvement thereto for any other use without the prior written consent of LandlordLessor, which consent Landlord may withhold be granted, denied or conditioned in its Lessor’s sole discretion. Landlord acknowledges that operation of each Facility for its Primary Intended Use generally requires a Gaming License under applicable Gaming Regulations and that without such a license neither Landlord nor GLP may operate, control No use shall be made or participate in the conduct permitted to be made of the gaming and/or racing operations Leased Property, and no acts shall be done, which will cause the cancellation or increase the premium of any insurance policy covering the Leased Property or any part thereof (unless another adequate policy satisfactory to Lessor is available and Lessee pays any premium increase), nor shall Lessee sell or permit to be kept, used or sold in or about the Leased Property any article which may be prohibited by law or fire underwriter’s regulations. Lessee shall, at its sole cost, comply with all of the Facilitiesrequirements pertaining to the Leased Property of any insurance board, association, organization or company necessary for the maintenance of insurance, as herein provided, covering the Leased Property and Lessee’s Personal Property.
(bc) Tenant Subject to the provisions of Articles 14, 15, 18 and 21, Lessee covenants and agrees that during the Term it will (1) operate continuously the Leased Property as a hotel facility, (2) keep in full force and effect and comply with all the provisions of the Franchise Agreement and the Management Agreement, (3) not terminate or amend the Franchise Agreement or the Management Agreement without the consent of Lessor (which shall not be unreasonably withheld or delayed), (4) maintain appropriate certifications and Licenses for such use and (5) seek to maximize the Gross Revenues generated therefrom consistent with sound business practices.
(d) Lessee shall not commit or suffer to be committed any waste on the Leased Property (including any Capital Improvement thereto) Property, or in the Hotel, nor shall Lessee cause or permit any nuisance thereon or to, except as required by law, take or suffer any action or condition that will diminish the ability of the Leased Property to be used as a Gaming Facility after the expiration or earlier termination of the Termthereon.
(ce) Tenant Lessee shall neither suffer nor permit the Leased Property or any portion thereof thereof, or Lessee’s Personal Property, to be used in such a manner as (i1) might reasonably tend to impair LandlordLessor’s (or Lessee’s, as the case may be) title thereto or to any portion thereof thereof, or (ii2) may reasonably make possible a claim or claims of adverse use usage or possessionadverse possession by the public, as such, or an of implied dedication of the Leased Property or any portion thereof.
(d) Except , except as necessary in instances of casualty or condemnation, Tenant shall continuously operate each the ordinary and prudent operation of the Facilities for the Primary Intended Use. Tenant in its discretion shall be permitted to cease operations at a Facility or Facilities if such cessation would not reasonably be expected to have a material adverse effect on Tenant, the Facilities, or Hotel on the Leased Property, taken as a whole, provided that the following conditions are satisfied: (i) no Event of Default has occurred and is continuing immediately prior to or immediately after the date that operations are ceased or as a result of such cessation; and (ii) the Percentage Rent due from each and every such Facility whose operations have ceased will thereafter be subject to a floor which will be calculated based on the Percentage Rent that would have been paid for such Facility if Percentage Rent were adjusted based on Net Revenues for the Fiscal Year immediately preceding the time that Tenant ceased operations at the Facility.
Appears in 1 contract