This office lease clause lists a way to provide for variances between the rentable area of a "to be built" demised premises and the actual area after construction.
The Kansas Remeasurement Clause is a legal provision used in real estate contracts when there are discrepancies or variations between the rentable area and the actual area of a space being constructed. This clause provides a mechanism for accurately determining the square footage or dimensions of the space to ensure fair and proper lease agreements. It helps protect both landlords and tenants from misunderstanding or disputes regarding the space's true size and rental value. When variances exist between the rentable and actual area of a space to be built in Kansas, there are two main types of remeasurement clauses that can be used: 1. Gross Rentable Area (GRA) Remeasurement Clause: This type of clause focuses on the overall rentable area of the space, including both usable and common areas such as corridors, lobbies, restrooms, and shared facilities. In the event of variances, the GRA remeasurement clause allows for reassessment and adjustment of the rentable area to ensure an accurate rental rate calculation for the tenant. 2. Net Rentable Area (NRA) Remeasurement Clause: Unlike the GRA clause, the NRA remeasurement clause considers only the usable or leasable areas within a space, excluding common areas. It aims to provide tenants with an accurate understanding of the space they are renting, without including shared facilities that may be used by multiple tenants. When discrepancies arise, this type of clause allows for reassessment and adjustments to the net rentable area to establish the appropriate rental terms. These remeasurement clauses are usually included in commercial lease agreements and construction contracts. They help avoid conflicts and ensure both parties involved have a clear understanding of the space's exact size. It is important for landlords and tenants to carefully review and negotiate these clauses to prevent any misunderstandings or disputes related to the rentable and actual area of a space being built in Kansas.
