Surplus Rent Sample Clauses
The Surplus Rent clause defines how any rent received above a specified base amount is handled, typically in the context of subleasing or assignment of a lease. In practice, if a tenant sublets their space for more than they pay to the landlord, the clause outlines whether and how this excess, or 'surplus,' is shared between the tenant and landlord, often requiring the tenant to remit a portion of the surplus to the landlord. This clause ensures that landlords benefit from increased rental values and prevents tenants from profiting excessively from subleasing arrangements.
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Surplus Rent. To the extent that the aggregate amount of any rental or other payments to be made by the proposed assignee, transferee or sublessee to Lessee exceeds the sum of (i) the aggregate amount of the monthly Base Rent payable by Lessee to Lessor during the term of such sublease, transfer or assignment or the remaining Term of the Lease, whichever expires earlier, (ii) the amount of any commissions payable in connection with such sublease, transfer or assignment, (iii) the cost of any alterations or improvements reasonably requested to be installed in connection with such sublease, transfer or assignment, and (iv) , unamortized improvements which Lessee is responsible for, such excess amount shall be amortized ratably over the term of such sublease, transfer or assignment or the remaining Term of the Lease, whichever expires earlier, and one hundred percent (100%) of such amortized portion of such excess amount shall be paid by Lessee to Lessor on the first day of each month during the applicable term.
Surplus Rent. To the extent that the aggregate amount of all payments to be made by the proposed assignee, transferee or sublessee to Tenant exceeds the sum of the aggregate amount of the Monthly Base Rent payable by Tenant to Landlord during the term of such sublease, transfer or assignment, or the remaining term of the Lease, whichever expires earlier, such excess amount shall be amortized ratably over the term of such sublease, transfer or assignment or the remaining term of the Lease, whichever expires earlier, and one hundred percent (100%) of such amortized portion of such excess amount shall be paid by Tenant to Landlord on the first day of each month during the applicable term.