Contraction Payment definition

Contraction Payment means the sum of the unamortized (amortized on a straight-line basis with interest at 7% per annum) amount as of the Contraction Date of the following with respect to the Contraction Premises in connection with this Lease and any amendment to this Lease: (i) brokerage commissions paid by Landlord; and (ii) any and all allowances paid to Tenant, including without limitation the Improvement Allowance (as defined in Exhibit C). Tenant’s payment of the Contraction Payment is a condition precedent to the termination of this Lease with respect to the Contraction Premises on the Contraction Date, and such obligation survives the Expiration Date. Tenant acknowledges and agrees that the Contraction Payment is not a penalty and is fair and reasonable compensation to Landlord for the loss of expected rentals from Tenant. The Contraction Payment is payable only by wire transfer or cashier’s check. Notwithstanding anything to the contrary herein, if Tenant exercises the Contraction Option and the internal staircase between Suite 1000 and Suite 1100 is located within the Contraction Premises, then Tenant shall be solely responsible for removing such staircase at Tenant’s sole cost and expense by no later than the Contraction Date. Time is of the essence with respect to the dates and deadlines set forth herein. If Tenant timely and properly exercises the Contraction Option in accordance with this paragraph, this Lease and the Term shall come to an end on the Contraction Date with respect to the Contraction Premises only, with the same force and effect as if the Term with respect to the Contraction Premises were fixed to expire on such date, the Expiration Date with respect to the Contraction Premises shall be the Contraction Date, and the terms and provisions of Section 18 shall apply to the Contraction Premises. Upon Tenant’s request after the Commencement Date, Landlord shall notify Tenant of its calculation of the Contraction Payment. If Tenant requests in writing Landlord’s calculation of the Contraction Payment at least 30 days prior to the applicable Contraction Notice/Payment Due Date, and Landlord fails to provide the calculation of the Contraction Payment on or prior to the date which is five (5) business days prior to applicable Contraction Notice/Payment Due Date, then Tenant shall have until the date that is five (5) business days after Landlord provides the calculation of the Contraction Payment to deliver the Contraction Notice and Contraction Payment to La...

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Contraction Payment means the amount determined in accordance with the formula set forth on Schedule 7.

Contraction Payment shall have the meaning set forth in Section 45.2 of this Lease.

Examples of Contraction Payment in a sentence

Time is of the essence of delivery of the Contraction Option Notice and the Contraction Payment.
Failure of Tenant to make the Contraction Payment in accordance with this paragraph shall render this Contraction Option void and of no effect.
Investor Services Group shall provide the Fund on a regular basis with the total number of Shares which are authorized and issued and outstanding and shall have no obligation, when recording the issuance of Shares, to monitor the issuance of such Shares or to take cognizance of any laws relating to the issue or sale of such Shares, which functions shall be the sole responsibility of the Fund.
If Tenant fails to pay the Year 5 Contraction Payment on or before the date thirty days prior to the fifth anniversary of the Rental Commencement Date, the Lease shall not be terminated as to the Year 5 Contraction Space, and Landlord shall be entitled to retain any Year 5 Notice Penalty paid by Tenant.
Tenant shall pay the Fourth Contraction Payment one-half ( 1/2) upon delivery of Tenant’s Fourth Contraction Notice and one-half ( 1/2) thirty (30) days prior to the effective date.
The First Contraction Payment shall be paid to Landlord on the First Contraction Date.
If Tenant shall fail timely to deliver the Contraction Notice or shall timely deliver the Contraction Notice but shall fail to pay therewith the first half of the Contraction Payment, Tenant shall conclusively be deemed to have waived the Contraction Option.
Failure by Tenant to deliver the Contraction Notice (accompanied by payment of such Contraction Payment) on or before the Contraction Notice Deadline shall mean that Tenant shall have waived Tenant's right to release Suite 700 pursuant to this Paragraph 6.
For purposes of calculating the amount of the Contraction Payment, the “Work Allowance Amortization Amount” shall mean the sum of the work allowance paid by Landlord with respect to the Returned Space; the “Broker’s Commission Amortization Amount” shall mean the amount of the Broker’s commission paid by Landlord with respect to the Returned Space; and the “Free Rent Amortization Amount” shall mean the sum of the free rent received by Tenant with respect to the Returned Space.
If Tenant fails to pay the Year 3 Contraction Payment on or before the date thirty days prior to the third anniversary of the Rental Commencement Date, the Lease shall not be terminated as to the Year 3 Contraction Space, and Landlord shall be entitled to retain any Year 3 Notice Penalty paid by Tenant.

More Definitions of Contraction Payment

Contraction Payment means the sum equal to the amount of principal which would remain unpaid as of the Contraction Date with respect to a loan in an original principal amount equal to “Landlord’s Transaction Costs” ( as herein defined) for the Contraction Premises and which is repaid in equal monthly payments of principal and interest on a direct reduction basis over the term of the Lease with interest at the rate of ten (10%) percent per annum, compounding monthly in advance. For the purposes hereof, “Landlord’s Transaction Costs” shall be equal to the sum of (a) any free rent provided by Landlord to Tenant, plus (b) the brokerage commission paid by Landlord to the Brokers, plus (c) the attorney’s fees incurred by Landlord to prepare and negotiate this Lease, plus (d) the Work Allowance.

Contraction Payment has the meaning given in Section 1.03(b).