Common use of Second Renewal Term Clause in Contracts

Second Renewal Term. Effective as of January 1, 2022, the monthly Base Rent payable hereunder shall escalate as follows: The product of 100% (one hundred percent) plus the percentage change between the beginning index and the ending index (“Escalation Factor”) shall be multiplied times the First Renewal Term Monthly Base Rent, and such amount shall become the monthly Base Rent payable by Tenant for the period January 1, 2022 through December 31, 2026. The following example illustrates the intentions of the parties hereto as to computation of the escalation of monthly Base Rent for the Second Renewal Term: Price Index Assumptions: November 2016 - 220.00; November 2021 - 242.0 First Renewal Term Monthly Base Rent Assumption: $9,504.00 • Monthly Base Rent for Second Renewal Term is $10,454.40, calculated as follows: (Percentage Increase 2242.0 divided by 220.0 [110.0%]) X $9,504.00 = $10,454.40