Fees and Annual Caps Sample Clauses
Fees and Annual Caps. In consideration of construction management and operation management services provided by, as well as the licensing of certain intellectual property rights granted by the Group, the Group will receive fees of 30% of the net property income generated by the Project Companies each year after the relevant ▇▇▇▇▇ Plaza commences operation. For the purpose of determining such fees, the net property income refers to the gross property income generated from the operation of the Project Companies minus reasonable costs and expenses. Notwithstanding the above, if in any year the 70% of the net property income generated by the Project Companies and attributable to ▇▇▇▇▇ ▇▇▇▇▇ is less than the relevant investment return for that specific year as prescribed in the Light Asset Cooperation Framework Agreement, the net property income attributable to ▇▇▇▇▇ Wenyu shall be increased to the extent of the net property income received by the Group. Such adjustment shall terminate after seven years from the effective date of the Light Asset Cooperation Framework Agreement. After that, if the 70% of the net property income generated by the Project Companies and attributable to by ▇▇▇▇▇ ▇▇▇▇▇ in any year is more than the annualized return of 7.5% on the investment of ▇▇▇▇▇ Wenyu, ▇▇▇▇▇ ▇▇▇▇▇ will increase the allocation of the net property income to the Group to the extent of the excess of the net property income over the annualized return of 7.5% on the investment of ▇▇▇▇▇ Wenyu. The fees above are determined after arm’s length negotiations with reference to (i) the Company’s business and project management experiences obtained from previous practices; and (ii) profit margin of the similar properties on the market as known to the Company. The proposed annual caps under the Light Asset Cooperation Framework Agreement for each of the years ending 31 December 2021 are set out below: 2015 2016 2017 2018 2019 2020 2021 0 24.41 127.26 133.21 139.92 156.15 164.82 Construction management and operation management services and licensing of certain intellectual property rights In determining the annual caps listed above, the Directors have taken into account, among other things, (i) the expected timetable of construction, operation and generation of income by the Project Companies, and (ii) the estimated net property income generated by the Project Companies after they commence operations; and (iii) the allocation of the income as agreed under the Light Asset Cooperation Framework Agreemen...
Fees and Annual Caps. In consideration of construction management and operation management services provided by, as well as the licensing of certain intellectual property rights granted by the Group, the Group will receive fees of 30% of the net property income generated by the Project Companies each year after the relevant ▇▇▇▇▇ ▇▇▇▇▇▇ commence operation. For the purpose of determining such fees, the “net property income” refers to the gross property income generated from the operation of the Project Companies minus reasonable costs and expenses. Notwithstanding the above, if in any year the 70% of the net property income generated by the Project Companies and attributable to ▇▇▇▇▇ Wenpu is less than the relevant investment return for that specific year as prescribed in the Light Asset Cooperation Framework Agreement, the net property income attributable to ▇▇▇▇▇ Wenpu shall be increased to the extent of the net property income received by the Group. If the 70% of the net property income generated by the Project Company attributable to ▇▇▇▇▇ Wenpu in any subsequent year within the investment period is more than the annualized return of 7.5% of the investment of ▇▇▇▇▇ Wenpu, the exceeding part shall be refunded to the Group to the extent of the additional net property income received by ▇▇▇▇▇ Wenpu as a result of the above increases in the preceding years. Such adjustment shall terminate after four years from the date of the Light Asset Cooperation Framework Agreement. The fees above are determined after arm’s length negotiations with reference to (i) the Company’s business and project management experiences obtained from previous practices; and (ii) profit margin of the similar properties on the market as known to the Company. The proposed annual caps under the Light Asset Cooperation Framework Agreement for the five years ending 31 December 2019 are set out below: and operation management service and licensing of certain intellectual property rights In determining the annual caps listed above, the Directors have taken into account, among other things, (i) the expected timetable of construction, operation and generation of income by the Project Companies, and (ii) the estimated net property income generated by the Project Companies after they commence operations; and (iii) the allocation of the income as agreed under the Light Asset Cooperation Framework Agreement.