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.
North Carolina Remeasurement Clause: Understanding its Purpose and Types In the realm of commercial real estate leasing, the accurate measurement of space is crucial for determining rental rates and ensuring fair deals. However, discrepancies often arise between the rentable area initially stated in leases and the actual size of the space once it is built. To address this issue, North Carolina has implemented a legal provision known as the Remeasurement Clause. This detailed description will explain what the North Carolina Remeasurement Clause entails, the reasons behind its usage, and provide an overview of its different types. The North Carolina Remeasurement Clause serves as a safeguard when there are variances between the rentable area initially defined in a lease agreement and the actual area of the space once constructed. Variations can occur due to architectural or constructional deviations, changes in local building codes, or inconsistencies during the measurement process. One of the primary purposes of the Remeasurement Clause is to protect both landlords and tenants from potential financial disputes that may arise from differences in rentable area. By including this clause in a lease agreement, parties can agree on the procedure to be followed in the event of discrepancies, ensuring transparency and fairness in resolving any related conflicts. There are different types of Remeasurement Clauses commonly utilized in North Carolina, each with its particular specifications and guidelines. Here are a few notable types: 1. Mechanical Remeasurement: This clause allows for a reassessment of the space's rentable area when variations occur due to technical or mechanical systems, such as HVAC installations, electrical enclosures, or other utility components. If the actual space deviates from the rentable area initially stated in the lease due to these factors, a remeasurement process will be initiated to adjust the rental terms accordingly. 2. Structural Remeasurement: When modifications or unexpected changes happen to the building's structure during construction or renovation, the Structural Remeasurement Clause comes into play. This provision allows for a remeasurement based on alterations made to the load-bearing walls, column locations, additions, or subtractions, consequently adjusting the rentable area and related lease terms. 3. Architectural Remeasurement: This clause primarily addresses variances caused by deviations in architectural elements such as angles, recesses, protrusions, or unique designs. If changes in these elements affect the actual measurements of the space, a remeasurement process will be initiated, allowing for fair adjustments in rental value and terms. In conclusion, the North Carolina Remeasurement Clause is a crucial legal provision used when discrepancies exist between the rentable and actual area of a space to be built. By implementing this clause, both landlords and tenants can ensure fairness in lease agreements and avoid potential conflicts regarding inaccurate measurements. The Mechanical, Structural, and Architectural Remeasurement Clauses are a few notable types utilized to address specific variations encountered during the construction process. These clauses are essential tools for maintaining transparency, safeguarding investments, and promoting harmonious landlord-tenant relationships in the dynamic North Carolina real estate market.North Carolina Remeasurement Clause: Understanding its Purpose and Types In the realm of commercial real estate leasing, the accurate measurement of space is crucial for determining rental rates and ensuring fair deals. However, discrepancies often arise between the rentable area initially stated in leases and the actual size of the space once it is built. To address this issue, North Carolina has implemented a legal provision known as the Remeasurement Clause. This detailed description will explain what the North Carolina Remeasurement Clause entails, the reasons behind its usage, and provide an overview of its different types. The North Carolina Remeasurement Clause serves as a safeguard when there are variances between the rentable area initially defined in a lease agreement and the actual area of the space once constructed. Variations can occur due to architectural or constructional deviations, changes in local building codes, or inconsistencies during the measurement process. One of the primary purposes of the Remeasurement Clause is to protect both landlords and tenants from potential financial disputes that may arise from differences in rentable area. By including this clause in a lease agreement, parties can agree on the procedure to be followed in the event of discrepancies, ensuring transparency and fairness in resolving any related conflicts. There are different types of Remeasurement Clauses commonly utilized in North Carolina, each with its particular specifications and guidelines. Here are a few notable types: 1. Mechanical Remeasurement: This clause allows for a reassessment of the space's rentable area when variations occur due to technical or mechanical systems, such as HVAC installations, electrical enclosures, or other utility components. If the actual space deviates from the rentable area initially stated in the lease due to these factors, a remeasurement process will be initiated to adjust the rental terms accordingly. 2. Structural Remeasurement: When modifications or unexpected changes happen to the building's structure during construction or renovation, the Structural Remeasurement Clause comes into play. This provision allows for a remeasurement based on alterations made to the load-bearing walls, column locations, additions, or subtractions, consequently adjusting the rentable area and related lease terms. 3. Architectural Remeasurement: This clause primarily addresses variances caused by deviations in architectural elements such as angles, recesses, protrusions, or unique designs. If changes in these elements affect the actual measurements of the space, a remeasurement process will be initiated, allowing for fair adjustments in rental value and terms. In conclusion, the North Carolina Remeasurement Clause is a crucial legal provision used when discrepancies exist between the rentable and actual area of a space to be built. By implementing this clause, both landlords and tenants can ensure fairness in lease agreements and avoid potential conflicts regarding inaccurate measurements. The Mechanical, Structural, and Architectural Remeasurement Clauses are a few notable types utilized to address specific variations encountered during the construction process. These clauses are essential tools for maintaining transparency, safeguarding investments, and promoting harmonious landlord-tenant relationships in the dynamic North Carolina real estate market.
