Contraction Option Clause Samples
POPULAR SAMPLE Copied 27 times
Contraction Option. (a) Tenant shall have the one-time right, at its sole option, to surrender to Landlord a portion of the Demised Premises (the “Contraction Option”) up to but not exceeding 10,135 rentable square feet (measured in accordance with Section 2.2 hereof), comprised of a portion of the Demised Premises provided that such portion shall be contiguous and of a configuration so that is reasonably marketable and shall have reasonable and code compliant access and egress (the “Surrender Premises”) effective at the end of the sixth (6th) full Lease Year, (the “Contraction Option Date”) provided, however, that the effectiveness of the exercise of the Contraction Option shall be conditioned upon (i) Tenant delivering a Notice to Landlord exercising the Contraction Option (the “Contraction Option Notice”) not later than the conclusion of the fifth (5th) Lease Year of the initial Term, together with a floor plan identifying the portion of the Demised Premises which shall comprise the Surrender Premises; and (ii) Tenant’s payment to Landlord, on or prior to the Contraction Option Date, of the “Contraction Payment” (as hereinafter defined) equal to the sum of the unamortized portion of the Lease Costs, as hereinafter defined, calculated using an eight percent (8%) interest rate, and multiplied by the fraction where the numerator is the rentable area of the Surrender Premises and the denominator is the rentable area of the Demised Premises (including the Surrender Premises), plus the amount which is equal to three (3) months of Basic Rental payable for the Surrender Premises at the time of the Contraction Option Date (the “Contraction Payment”). For the purposes hereof, Lease Costs shall be defined as the sum of: (w) the Tenant Improvement Allowance, as hereinafter defined, or the portion thereof so utilized by Tenant, (x) the aggregate dollar value of the rental abatement granted to Tenant for the Demised Premises pursuant to Section 1(g) hereof, plus (z) the aggregate dollar amount of all commissions paid to the Brokers in connection with this Lease. Failure of Tenant to make the Contraction Payment in accordance with this paragraph shall render this Contraction Option void and of no effect. Time is of the essence of delivery of the Contraction Option Notice and the Contraction Payment.
(b) In the event that Tenant shall give the Contraction Option Notice and shall otherwise comply with the conditions of the exercise of Tenant’s right to contract the Demised Premises as prov...
Contraction Option. (i) Tenant, by delivering notice to Landlord on or prior to the 180th day after the date of this Lease, shall have the one time option (the “South Contraction Option”) to eliminate the South Eighth Floor Premises from the Original Premises.
(1) If Tenant fails to timely deliver such written notice to Landlord, Tenant shall be deemed to have elected not to exercise the South Contraction Option and shall forfeit all rights pursuant to this Paragraph 35(I)(i).
(2) If Tenant properly exercises the South Contraction Option, then, from and after the date of such exercise, the South Eighth Floor Premises shall no longer be deemed a part of the Original Premises.
(ii) Tenant, by delivering notice to Landlord on or prior to the 180 th day after the date of this Lease, shall have the one time option (the “Full Contraction Option”) to eliminate the Eighth Floor Premises from the Original Premises.
(1) If Tenant fails to timely deliver such written notice to Landlord, Tenant shall be deemed to have elected not to exercise the Full Contraction Option and shall forfeit all rights pursuant to this Paragraph 35(I)(ii).
(2) If Tenant properly exercises the Full Contraction Option, then, from and after the date of such exercise, the Eighth Floor Premises shall no longer be deemed a part of the Original Premises.
(iii) In no event shall Tenant be permitted to exercise both the South Contraction Option and the Full Contraction Option.
(iv) Following exercise by Tenant of the South Contraction Option or the Full Contraction Option, and within thirty days following written request by either Landlord or Tenant, Landlord and Tenant shall enter into a mutually acceptable supplement to this Lease confirming the elimination of the South Eighth Floor Premises or the Eighth Floor Premises from the Original Premises pursuant hereto. The failure or refusal by either party to do so, however, shall not affect the validity of the elimination of the South Eighth Floor Premises or the Eighth Floor Premises from the Original Premises.
(v) If Tenant shall (A) exercise the South Contraction Option and not exercise the South Contraction Rescission Option, or (B) exercise the Full Contraction Option and exercise the First Expansion Option with respect to the North Eighth Floor Premises only then, on or before the Substantial Completion Date, Landlord shall construct and finish in accordance with Building standards all corridors, elevator lobbies and other common areas on the 8th floor required fo...
Contraction Option. A. If Tenant exercises its third Contraction Option in accordance with Section 45 of the Original Lease, in addition to the Contraction Fee, Tenant shall reimburse Landlord for an amount equal to the Concessions and Costs, calculated in accordance with Paragraph 5.C of this Amendment (including the interest thereon), multiplied by a fraction, the numerator of which is the RSF of the Excluded Premises and the denominator of which is the RSF of the Existing Premises, provided that such Contraction Option shall be null and void if Tenant exercises the Expansion Option.
B. Tenant, in its sole discretion, shall have the right to reduce the Premises by one (1) floor between the 21st Floor and the 28th Floor, effective December 31, 2020 (the “Expansion Space Contraction Option”), on the same terms and conditions set forth in Section 45 of the Lease with respect to the Contraction Options, except that the Contraction Fee payable by Tenant to Landlord shall be an amount equal to one (1) year of Expansion Space Rent paid in the calendar year 2020.
Contraction Option. Provided Tenant is not in default under this lease beyond any applicable notice and cure period, Tenant shall have the one-time option (the “Contraction Option”) to reduce the size of the Premises by excluding therefrom up to seven (7) full floors, plus all or any portion of the first (1st) floor, in full floor increments (except as to the first floor), in up to three “blocks” of space with each “block” consisting of two (2) or more full floors, except Tenant shall have the right to exercise the Contraction Option with respect to one (1) single full floor, wherever located (the “Contraction Space”), effective as of the last day of the tenth (10th) lease year (as defined in Section 5.01(c) of this lease) of the Term of this lease (the “Contraction Space Termination Date”). Such Contraction Option shall be subject to the following terms and conditions:
Contraction Option. Landlord hereby grants to Tenant the one-time option to terminate this Lease with respect to either or both of the 3,113 and 4,963 square foot areas on the first floor of the building marked "Contraction Space A" and "Contraction Space B" on Exhibit B-3 attached hereto and made a part hereof for all purposes (the "Contraction Spaces"), effective as of any date specified by Tenant on or after October 31, 2004, by so notifying Landlord in writing ("Contraction Notice") no later than six (6) months prior to the effective date specified in the Contraction Notice. Any such Contraction Notice shall be in writing, shall specify which Contraction Space(s) will be released by Tenant and shall specify the effective date of such contraction, which effective date shall be the last day of any calendar month on or after October 31, 2004. If Tenant elects to release one or both of the Contraction Spaces, Tenant shall vacate the applicable Contraction Space(s) on or before the date specified in the Contraction Notice, and thereafter, the neither party shall have any continuing obligations to the other under this Lease with respect to such Contraction Space, except to the extent specifically provided to survive the termination of this Lease. Should Tenant release only one (1) of the two (2) Contraction Spaces, this option shall remain in effect with respect to the other Contraction Space through the remainder of the initial Term.
Contraction Option. By virtue of Tenant’s exercise of its Contraction Option, as of the Effective Date, Addendum Four to the Lease is of no further force or effect.
Contraction Option. (a) Upon written notice to Landlord provided by Tenant on or before June 30, 2009 (the “Contraction Option Date”), Tenant shall have the option (the “Contraction Option”) to reduce the size of the Premises by returning to Landlord up to one full floor of the North Tower or the South Tower of the Premises (the “Contraction Space”), constituting a maximum of 28,098 rentable square feet. If Tenant exercises this option, the Contraction Space shall be returned to Landlord effective as of December 31, 2009 (the “Contraction Effective Date”) in the
Contraction Option. (a) Tenant shall have one (1) contraction option with respect to the Premises on the terms set forth below. Provided that Tenant is not in Material Default under this Lease, Tenant shall have the right, exercisable upon not less than twelve (12) months prior written notice to Landlord (the “Contraction Notice”), to reduce the size of the Premises (the “Contraction Right”) by surrendering a portion thereof (the “Surrendered Space”) to Landlord effective as set forth below:
Contraction Option. The option to contract granted by Landlord to Tenant under this Lease shall be as set forth in Exhibit C hereto and is specifically incorporated herein by reference.
Contraction Option. Tenant shall have the right and option to contract the area of the premises as much as, but by no more than, one hundred thousand (100 000) square feet (the “Contraction Option”), subject to the following terms and conditions:
A. The Contraction Option may be exercised only by written notice of exercise given by Tenant either by certified U.S. Mail or by personal delivery to Landlord (a “Contraction Notice”);
B. A Contraction Notice may be given only if the Department of Defense (the “DOD”) fails to extend or renew one (1) or more of the following three (3) CHAMPUS contracts currently held by Tenant, each of which has two (2) possible two (2) year extensions or renewals, as of dates set forth below: (i) the Region 11 CHAMPUS contract; (ii) the Region 6 CHAMPUS contract; and (iii) the Regions 9/10/12 CHAMPUS contract;
C. If the Region 11 CHAMPUS contract is not extended or renewed as of February 28, 2002 or as of February 28, 2004 (collectively, the “Region 11 Extension Dates”), that will permit exercise of the Contraction Option for up to, but no more than, twenty thousand (20,000) square feet;
D. If the Region 6 CHAMPUS contract is not extended or renewed as of October 31, 2002 or as of October 31, 2004 (collectively the “Region 6 Extension Dates”), that will permit exercise of the Contraction Option for up to, but no more than, thirty thousand (30,000) square feet;
E. If the Regions 9/10/12 CHAMPUS contract is not extended or renewed as of March 31, 2003 or as of March 31, 2005 (collectively, the “Regions 9/10/12 Extension Dates”), that will permit exercise of the Contraction Option for up to, but no more than, fifty thousand (50,000) square feet;
F. A Contraction Notice must specify which DOD CHAMPUS contract was not extended or renewed and the exact date as of which the area of the Premises shall be reduced (a “Contraction Date”) which date cannot be earlier than but may be later than, one (1) of the Region 11 Extension Dates one (1) of the First Region 6 Extension Dates, or one (1) of the Regions 9/10/12 Extension Dates (collectively, the “Extension Dates”), respectively, depending upon which of the three (3) CHAMPUS contracts is not extended or renewed and is the subject of the Contraction Notice;
G. A Contraction Notice must also describe the area of the Premises affected (the “Deleted Area”), set forth Tenant’s best estimate of the number of rentable square feet contained within the Deleted Area (although the exact number of rentable square feet sh...