REIT SHARE ELECTIONS Clause Samples
The REIT Share Elections clause allows parties to choose to receive payment or consideration in the form of shares of a Real Estate Investment Trust (REIT) rather than cash or other assets. In practice, this clause outlines the process by which eligible recipients can elect to receive REIT shares, including any deadlines for making the election and the method for determining the number of shares to be issued. This clause is primarily used to provide flexibility in structuring transactions, potentially offering tax advantages or aligning interests between parties by granting equity in the REIT instead of immediate cash payments.
REIT SHARE ELECTIONS. Except as would not have a material adverse effect on the REIT and the REIT Subsidiaries taken as a whole, the REIT shall have performed all agreements and covenants required by the Contribution Agreement to be performed or complied with by it on or prior to the Closing Date.