Common use of Tenant's Option Clause in Contracts

Tenant's Option. If pursuant to Subsection 24.3.1 Landlord elects to undertake such repairs, but the Landlord’s Estimate of the Completion Date is more than one year after delivery of such notice, then Tenant shall have an option, exercisable by written notice thereof delivered to Landlord not later than the fifteenth (15th) business day after Landlord’s delivery of Landlord’s notice that the repairs will not be completed within such one year period, to terminate this Lease. If neither Landlord nor Tenant exercise such a right of termination with respect to a Casualty covered by this Subsection 24.3, then Landlord shall promptly, diligently and continuously undertake to repair such damage or destruction. Notwithstanding the immediately preceding sentence, in the event Landlord commences repair of such damage, and the repairs are not substantially completed within a period of time equal to 120% of the period of time between the date of such damage and the Landlord’s Estimate of the Completion Date, as such Landlord’s Estimate of the Completion Date may be extended by the number of days that the substantial completion of the repair work is delayed due to any Tenant-caused delays (the “Third 120% Period”), then Tenant shall have the right to terminate this Lease within five (5) business days after the expiration of the Third 120% Period, by notice to Landlord, which such termination shall be effective as of thirty (30) days after Tenant’s delivery to Landlord of the Damage Termination Notice (the “Third Damage Termination Notice Period”). Landlord shall have the right to deliver to Tenant a notice at any time prior to the Landlord’s Estimate of the Completion Date estimating a revised Landlord’s Estimate of the Completion Date, upon receipt of which Tenant shall have thirty (30) days to elect whether or not to terminate this Lease or to approve the revised Landlord’s Estimate of the Completion Date.

Tenant's Option. If pursuant Notwithstanding anything to Subsection 24.3.1 Landlord elects the contrary contained in this Lease, if for any given policy period, Tenant is able to undertake such repairs, but obtain insurance coverage which meets the requirements of this 16. at a cost lower than Landlord’s Estimate of the Completion Date is more than one year after delivery of such noticecost, then Tenant may be the Insuring Party. At least thirty (30) days prior to the beginning of any policy period for which Tenant desires to be the Insuring Party, Tenant shall have an option, exercisable by written notice thereof delivered submit to Landlord not later than the fifteenth (15th) business day after Landlord’s delivery of Landlord’s notice that the repairs will not be completed within such one year period, to terminate this Leaseits insurance quote and proposed policy provisions. If neither Landlord nor Tenant exercise such a right of termination with respect to a Casualty covered by this Subsection 24.3, then Landlord shall promptly, diligently and continuously undertake to repair such damage or destruction. Notwithstanding the immediately preceding sentence, in the event Landlord commences repair of such damage, and the repairs are not substantially completed within a period of time equal to 120% of the period of time between the date of such damage and the Landlord’s Estimate of the Completion Date, as such Landlord’s Estimate of the Completion Date may be extended by the number of days that the substantial completion of the repair work is delayed due to any Tenant-caused delays (the “Third 120% Period”), then Tenant shall have the right to terminate this Lease within Within five (5) business days after of receipt, Landlord shall review Tenant’s insurance quote and proposed policy provisions, and Landlord may request that the expiration lender as to any loan(s) encumbering the property described in Exhibit A hereto (“Lender”) also review Tenant’s insurance quote and proposed policy provisions. Promptly following said reviews by Lender and Landlord, Landlord may, in its reasonable discretion, approve or reject Tenant’s proposed insurance. If approved, Tenant shall cause the approved policies to be issued, with copies of the Third 120% Period, by notice insurance certificate(s) to be immediately provided to Landlord. If rejected, which Landlord shall specify the reasons for such termination rejection in writing. Tenant shall have three (3) business days from the receipt of Landlord’s written notice of rejection to submit a revised insurance quote and proposed policy provisions. Within three (3) business days after Landlord’s receipt of Tenant’s revised insurance quote and policy provisions, Landlord shall accept Tenant’s revised insurance if it adequately addresses the reasons initially specified by Landlord for rejection. If in Landlord’s reasonable determination, such revised insurance quote and policy provisions do not adequately address the reasons initially specified by Landlord for rejection, Landlord may reject Tenant’s revised insurance quote and policy provisions by stating the reasons therefor in writing; however, such rejection shall be effective as of thirty (30) days after final in regard to that policy period, and Landlord shall be the Insuring Party for that policy period. If Landlord approves Tenant’s delivery insurance, Tenant’s failure to provide the insurance certificate(s) to Landlord of the Damage Termination Notice at least ten (the “Third Damage Termination Notice Period”). Landlord shall have the right to deliver to Tenant a notice at any time 10) business days prior to the Landlord’s Estimate commencement of the Completion Date estimating a revised Landlord’s Estimate of applicable policy period shall result in Landlord being the Completion Date, upon receipt of which Tenant shall have thirty (30) days to elect whether or not to terminate this Lease or to approve the revised Landlord’s Estimate of the Completion DateInsuring Party.

Tenant's Option. If pursuant Landlord hereby grants to Subsection 24.3.1 Landlord elects Tenant the option to undertake such repairs, but extend the Landlord’s Estimate term of the Completion Date is more than one year after delivery of such notice, then Tenant shall have an option, exercisable by written notice thereof delivered to Landlord not later than the fifteenth (15th) business day after Landlord’s delivery of Landlord’s notice that the repairs will not be completed within such one year period, to terminate this Lease. If neither Landlord nor Tenant exercise such a right of termination with respect to a Casualty covered by this Subsection 24.3, then Landlord shall promptly, diligently and continuously undertake to repair such damage or destruction. Notwithstanding the immediately preceding sentence, in the event Landlord commences repair of such damage, and the repairs are not substantially completed within a period of time equal to 120% of the period of time between the date of such damage and the Landlord’s Estimate of the Completion Date, as such Landlord’s Estimate of the Completion Date may be extended by the number of days that the substantial completion of the repair work is delayed due to any Tenant-caused delays (the “Third 120% Period”), then Tenant shall have the right to terminate this Lease within for two (2) term(s) of five (5) business days after years each term, provided (i) Tenant is not currently in default beyond any applicable notice and cure period; and (ii) Tenant gives Landlord written notice of his intention to exercise the option at least nine (9) months prior to the expiration of the Third 120% Periodthen current term. Should Tenant exercise its extension option in accordance with the provisions of the preceding paragraph, by notice Landlord shall provide to Tenant, in writing, a statement indicating Landlord, which such termination shall be effective as 's calculation of the fair market value of the Fixed Rent for the renewal term within thirty (30) days after of receipt of Tenant’s delivery 's timely notice. In calculating the fair market value for Tenant's extension option, Landlord shall consider all elements affecting the Lease transaction, including, but not limited to, credit worthiness, Tenant's need or lack thereof to Landlord require an improvement allowance or rental abatement, steady and continuous rental income which could be interrupted due to marketing and/or construction time, the amount of brokerage commissions will be those payable upon a lease renewal, and other buildings within the central New Jersey marketplace, particularly the Eatontown Industrial Park. In the event Tenant disputes Landlord's calculation of the Damage Termination Notice (fair market value for the “Third Damage Termination Notice Period”). Landlord extension option, Tenant shall have the right twenty (20) days from receipt of same to deliver to Tenant a notice at any time prior provide written objection to the Landlord’s Estimate . Thereafter, the parties shall seek to reach a mutually agreeable number and, in the event the parties are unable to reach such mutual agreement within ten (10) business days of receipt by Landlord of Tenant's objection, the parties shall engage the services of a mutually acceptable appraiser to determine such fair market value. The cost of the Completion Date estimating a revised Landlord’s Estimate third party appraiser shall be shared equally by the Landlord and Tenant and shall be binding upon both parties. The Fixed Rent for the first renewal term shall be 95% of the Completion Datefair market value as determined by the method outlined in the preceding paragraph, upon receipt of which Tenant but not less than the prior year's rental. The second renewal term shall have thirty (30) days to elect whether or be at fair market value as determined by the method outlined in the preceding paragraph, but not to terminate this Lease or to approve less than the revised Landlord’s Estimate of the Completion Dateprior year's rental.

Tenant's Option. If pursuant to Subsection 24.3.1 (a) Provided that at the time of such exercise (i) there then exists no Event of Default (or any default in the payment of rent or a material non-monetary default of Tenant, in either case of which Landlord elects to undertake such repairshas given Tenant notice), but the Landlord’s Estimate (ii) this Lease has not been terminated, and (iii) Original Tenant is in actual occupancy of at least seventy-five percent (75%) of the Completion Date is more than one year after delivery of such noticePremises, then Tenant shall have an option, exercisable by written notice thereof delivered to Landlord not later than the fifteenth (15th) business day after Landlord’s delivery of Landlord’s notice that the repairs will not be completed within such one year period, to terminate this Lease. If neither Landlord nor Tenant exercise such a right of termination with respect to a Casualty covered by this Subsection 24.3, then Landlord shall promptly, diligently and continuously undertake to repair such damage or destruction. Notwithstanding the immediately preceding sentence, in the event Landlord commences repair of such damage, and the repairs are not substantially completed within a period of time equal to 120% of the period of time between the date of such damage and the Landlord’s Estimate of the Completion Date, as such Landlord’s Estimate of the Completion Date may be extended by the number of days that the substantial completion of the repair work is delayed due to any Tenant-caused delays (the “Third 120% Period”), then Tenant shall have the irrevocable right and option (the “Suite B Expansion Option”) to terminate this add the 32nd Floor Suite B Premises to the Premises by giving written notice (the “Suite B Expansion Election Notice”) to Landlord at least twelve (12) months prior to the Suite B Designated Expansion Date (as hereinafter defined), time of the essence. If Tenant fails to timely give the Suite B Expansion Election Notice to Landlord, Tenant shall have no further option to lease the 32nd Floor Suite B Premises, and Landlord shall be free to lease any or all of the 32nd Floor Suite B Premises to a third party or parties from time to time on such terms and conditions as it may deem appropriate. Notwithstanding the foregoing, Landlord may waive any or all of the conditions set forth in the foregoing clauses (i) and (iii), at its election, by written notice to Tenant at any time. The Suite B Expansion Option is personal to Original Tenant and shall not be transferred, assigned or exercised by any other party. (b) Landlord shall have the flexibility of delivering possession of the 32nd Floor Suite B Premises within the “Suite B Leeway Period” occurring between thirty-six (36) months and fifty-two (52) months (inclusive) after the Rent Commencement Date. Promptly after entering into an Initial 32nd Floor Suite B Lease (as hereinafter defined), Landlord shall give Tenant notice of the date when, within five the Suite B Leeway Period aforesaid, Landlord anticipates that the 32nd Floor Suite B Premises will become available to Tenant (5the “Suite B Designated Expansion Date”), but if for any reason Landlord shall fail to notify Tenant of the Suite B Designated Expansion Date at least eighteen (18) business days after months prior to the expiration of the Third 120% Suite B Leeway Period, by notice then, subject to LandlordSection 23.1(c) below, which such termination the last day of the Suite B Leeway Period shall be effective deemed to have been designated by Landlord as the Suite B Designated Expansion Date. The date on which Landlord delivers the 32nd Floor Suite B Premises in accordance with Section 23.2 hereof shall be the “Suite B Expansion Date”. (c) For purposes hereof, the term “Initial 32nd Floor Suite B Lease” means a lease between Landlord and a third party for the 32nd Floor Suite B Premises entered into after the Date of thirty (30) days after Tenant’s delivery this Lease for a term expiring prior to Landlord the end of the Damage Termination Notice Suite B Leeway Period. Notwithstanding anything to the contrary contained herein, if an Initial 32nd Floor Suite B Lease is terminated on account of the default or bankruptcy of such third party (or if Landlord agrees to accept a surrender of the “Third Damage Termination Notice Period”32nd Floor Suite B Premises in lieu of terminating such lease on account of an actual or contemplated default or bankruptcy). , Landlord shall have the right to deliver accelerate the Suite B Designated Expansion Date to a date specified by Landlord by written notice (the “Landlord’s Suite B Acceleration Notice”) to Tenant, provided, however, that in no event shall such accelerated date be earlier than the date which is twenty-eight (28) months after the Rent Commencement Date. If Landlord desires to accelerate the Suite B Designated Expansion Date as aforesaid, then Landlord shall give Landlord’s Suite B Acceleration Notice at least ninety (90) days in advance thereof and, if (i) Tenant a notice at any has theretofore exercised the Suite B Expansion Option, then such accelerated date specified by Landlord shall be the Suite B Designated Expansion Date or (ii) if Tenant has not theretofore exercised the Suite B Expansion Option but continues to have the right to do so and desires to do so, Tenant shall give the Suite B Expansion Election Notice to Landlord within fifteen (15) days after Tenant’s receipt of Landlord’s Suite B Acceleration Notice, time prior of the essence. If Tenant shall not elect to lease the 32nd Floor Suite B Premises within such 15-day period, then, notwithstanding anything to the Landlord’s Estimate of the Completion Date estimating a revised Landlord’s Estimate of the Completion Datecontrary contained in Section 23.1(a) above, upon receipt of which Tenant shall have thirty (30) days no further option to elect whether lease the 32nd Floor Suite B Premises, and Landlord shall be free to lease any or not all of such space to terminate this Lease a third party or parties from time to approve the revised Landlord’s Estimate of the Completion Datetime on such terms and conditions as it may deem appropriate.

Tenant's Option. If pursuant to Subsection 24.3.1 (a) Provided that at the time of such exercise (i) there then exists no Event of Default (or any default in the payment of rent or a material non-monetary default of Tenant, in either case of which Landlord elects to undertake such repairshas given Tenant notice), but the Landlord’s Estimate (ii) this Lease has not been terminated, and (iii) Original Tenant is in actual occupancy of at least seventy-five percent (75%) of the Completion Date is more than one year after delivery of such noticePremises, then Tenant shall have an optionthe irrevocable right and option (the “Suite C Expansion Option”) to add the 32nd Floor Suite C Premises to the Premises by giving written notice (the “Suite C Expansion Election Notice”) to Landlord at least twelve (12) months prior to the Suite C Designated Expansion Date (as hereinafter defined), exercisable time of the essence. If Tenant fails to timely give the Suite C Expansion Election Notice to Landlord, Tenant shall have no further option to lease the 32nd Floor Suite C Premises, and Landlord shall be free to lease any or all of the 32nd Floor Suite C Premises to a third party or parties from time to time on such terms and conditions as it may deem appropriate. Notwithstanding the foregoing, Landlord may waive any or all of the conditions set forth in the foregoing clauses (i) and (iii), at its election, by written notice thereof delivered to Tenant at any time. The Suite C Expansion Option is personal to Original Tenant and shall not be transferred, assigned or exercised by any other party. (b) Landlord not later than shall have the fifteenth flexibility of delivering possession of the 32nd Floor Suite C Premises within the “Suite C Leeway Period” occurring between seventy-two (15th72) business day months and eighty-four (84) months (inclusive) after Landlord’s delivery the Rent Commencement Date. Promptly after entering into an Initial 32nd Floor Suite C Lease (as hereinafter defined), Landlord shall give Tenant notice of Landlord’s notice the date when, within the Suite C Leeway Period aforesaid, Landlord anticipates that the repairs 32nd Floor Suite C Premises will not be completed within such one year period, become available to terminate this Lease. If neither Landlord nor Tenant exercise such a right of termination with respect to a Casualty covered by this Subsection 24.3, then Landlord shall promptly, diligently and continuously undertake to repair such damage or destruction. Notwithstanding the immediately preceding sentence, in the event Landlord commences repair of such damage, and the repairs are not substantially completed within a period of time equal to 120% of the period of time between the date of such damage and the Landlord’s Estimate of the Completion Date, as such Landlord’s Estimate of the Completion Date may be extended by the number of days that the substantial completion of the repair work is delayed due to any Tenant-caused delays (the “Third 120% PeriodSuite C Designated Expansion Date”), then but if for any reason Landlord shall fail to notify Tenant of the Suite C Designated Expansion Date at least eighteen (18) months prior to the expiration of the Suite C Leeway Period, then, subject to Section 24.1(c) below, the last day of the Suite C Leeway Period shall be deemed to have been designated by Landlord as the Suite C Designated Expansion Date. The date on which Landlord delivers the Expansion Space in accordance with Section 24.2 hereof shall be the “Suite C Expansion Date”. (c) For purposes hereof, the term “Initial 32nd Floor Suite C Lease” means a lease between Landlord and a third party for the 32nd Floor Suite C Premises entered into after the Date of this Lease for a term expiring prior to the end of the Suite C Leeway Period. Notwithstanding anything to the contrary contained herein, if an Initial 32nd Floor Suite C Lease is terminated on account of the default or bankruptcy of such third party (or if Landlord agrees to accept a surrender of the 32nd Floor Suite C Premises in lieu of terminating such lease on account of an actual or contemplated default or bankruptcy), Landlord shall have the right to terminate this Lease within five accelerate the Suite C Designated Expansion Date to a date specified by Landlord by written notice (5the “Landlord’s Suite C Acceleration Notice”) business days after to Tenant. If Landlord desires to accelerate the expiration Suite C Designated Expansion Date as aforesaid to a date which is more than three (3) years prior to the beginning of the Third 120% Suite C Leeway Period, then Landlord shall give Landlord’s Suite C Acceleration Notice at least one hundred twenty (120) days in advance thereof and, if (i) Tenant has theretofore exercised the Suite C Expansion Option, then such accelerated date specified by notice to Landlord, which such termination Landlord shall be effective as of the Suite C Designated Expansion Date or (ii) if Tenant has not theretofore exercised the Suite C Expansion Option but continues to have the right to do so and desires to do so, Tenant shall give the Suite C Expansion Election Notice to Landlord within thirty (30) days after Tenant’s delivery to Landlord receipt of Landlord’s Suite C Acceleration Notice, time of the Damage Termination Notice essence. If Landlord desires to accelerate the Suite C Designated Expansion Date as aforesaid to a date which is three (3) years or less prior to the “Third Damage Termination Notice beginning of the Suite C Leeway Period”). , then Landlord shall give Landlord’s Suite C Acceleration Notice at least ninety (90) days in advance thereof and, if (A) Tenant has theretofore exercised the Suite C Expansion Option, then such accelerated date specified by Landlord shall be the Suite C Designated Expansion Date or (B) if Tenant has not theretofore exercised the Suite C Expansion Option but continues to have the right to deliver do so and desires to do so, Tenant a notice at any shall give the Suite C Expansion Election Notice to Landlord within fifteen (15) days after Tenant’s receipt of Landlord’s Suite C Acceleration Notice, time prior of the essence. If Tenant shall not elect to lease the 32nd Floor Suite C Premises within such 30-day or 15-day period, as appropriate, then, notwithstanding anything to the Landlord’s Estimate of the Completion Date estimating a revised Landlord’s Estimate of the Completion Datecontrary contained in Section 24.1(a) above, upon receipt of which Tenant shall have thirty (30) days no further option to elect whether lease the 32nd Floor Suite C Premises, and Landlord shall be free to lease any or not all of such space to terminate this Lease a third party or parties from time to approve the revised Landlord’s Estimate of the Completion Datetime on such terms and conditions as it may deem appropriate.

Tenant's Option. If pursuant Notwithstanding anything to Subsection 24.3.1 Landlord elects the contrary contained in this Lease, if for any given policy period, Tenant is able to undertake such repairs, but obtain insurance coverage which meets the requirements of this ¶16. at a cost lower than Landlord’s Estimate of the Completion Date is more than one year after delivery of such noticecost, then Tenant may be the Insuring Party. At least thirty (30) days prior to the beginning of any policy period for which Tenant desires to be the Insuring Party, Tenant shall have an option, exercisable by written notice thereof delivered submit to Landlord not later than the fifteenth (15th) business day after Landlord’s delivery of Landlord’s notice that the repairs will not be completed within such one year period, to terminate this Leaseits insurance quote and proposed policy provisions. If neither Landlord nor Tenant exercise such a right of termination with respect to a Casualty covered by this Subsection 24.3, then Landlord shall promptly, diligently and continuously undertake to repair such damage or destruction. Notwithstanding the immediately preceding sentence, in the event Landlord commences repair of such damage, and the repairs are not substantially completed within a period of time equal to 120% of the period of time between the date of such damage and the Landlord’s Estimate of the Completion Date, as such Landlord’s Estimate of the Completion Date may be extended by the number of days that the substantial completion of the repair work is delayed due to any Tenant-caused delays (the “Third 120% Period”), then Tenant shall have the right to terminate this Lease within Within five (5) business days after of receipt, Landlord shall review Tenant’s insurance quote and proposed policy provisions, and Landlord may request that the expiration lender as to any loan(s) encumbering the property described in Exhibit A hereto (“Lender”) also review Tenant’s insurance quote and proposed policy provisions. Promptly following said reviews by Lender and Landlord, Landlord may, in its reasonable discretion, approve or reject Tenant’s proposed insurance. If approved, Tenant shall cause the approved policies to be issued, with copies of the Third 120% Period, by notice insurance certificate(s) to be immediately provided to Landlord. If rejected, which Landlord shall specify the reasons for such termination rejection in writing. Tenant shall have three (3) business days from the receipt of Landlord’s written notice of rejection to submit a revised insurance quote and proposed policy provisions. Within three (3) business days after Landlord’s receipt of Tenant’s revised insurance quote and policy provisions, Landlord shall accept Tenant’s revised insurance if it adequately addresses the reasons initially specified by Landlord for rejection. If in Landlord’s reasonable determination, such revised insurance quote and policy provisions do not adequately address the reasons initially specified by Landlord for rejection, Landlord may reject Tenant’s revised insurance quote and policy provisions by stating the reasons therefor in writing; however, such rejection shall be effective as of thirty (30) days after final in regard to that policy period, and Landlord shall be the Insuring Party for that policy period. If Landlord approves Tenant’s delivery insurance, Tenant’s failure to provide the insurance certificate(s) to Landlord of the Damage Termination Notice at least ten (the “Third Damage Termination Notice Period”). Landlord shall have the right to deliver to Tenant a notice at any time 10) business days prior to the Landlord’s Estimate commencement of the Completion Date estimating a revised Landlord’s Estimate of applicable policy period shall result in Landlord being the Completion Date, upon receipt of which Tenant shall have thirty (30) days to elect whether or not to terminate this Lease or to approve the revised Landlord’s Estimate of the Completion DateInsuring Party.