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Clauses resulting in Additional Rent

Category:
Leases - Contracts
State:
Multi-State
Control #:
US-CL-500-1
Format:
Word; 
Rich Text
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Description

Used as examples of clauses resulting in Additional Rent fees. Included are: Real Estate Tax Participation Clause, Real Estate Tax Escalation Clause, Operating Cost Escalation, Cost of Living Adjustment Clause, Net Rent Clause, Late Charge Clause, and Attorney's Fees Clause.
Clauses resulting in Additional Rent are provisions in a lease agreement that require a tenant to pay additional rent in addition to the regular rent. These clauses are used to cover additional costs incurred by the landlord, such as taxes, insurance, and utilities. Common types of Clauses resulting in Additional Rent include: 1. Taxes: A clause requiring the tenant to pay a portion of the landlord's property taxes. 2. Insurance: A clause requiring the tenant to pay a portion of the landlord's property insurance. 3. Utilities: A clause requiring the tenant to pay a portion of the landlord's utility bills. 4. Maintenance: A clause requiring the tenant to pay a portion of the landlord's maintenance costs. 5. Legal Fees: A clause requiring the tenant to pay a portion of the landlord's legal fees. 6. Late Fees: A clause requiring the tenant to pay a late fee if they fail to pay their rent on time.

Clauses resulting in Additional Rent are provisions in a lease agreement that require a tenant to pay additional rent in addition to the regular rent. These clauses are used to cover additional costs incurred by the landlord, such as taxes, insurance, and utilities. Common types of Clauses resulting in Additional Rent include: 1. Taxes: A clause requiring the tenant to pay a portion of the landlord's property taxes. 2. Insurance: A clause requiring the tenant to pay a portion of the landlord's property insurance. 3. Utilities: A clause requiring the tenant to pay a portion of the landlord's utility bills. 4. Maintenance: A clause requiring the tenant to pay a portion of the landlord's maintenance costs. 5. Legal Fees: A clause requiring the tenant to pay a portion of the landlord's legal fees. 6. Late Fees: A clause requiring the tenant to pay a late fee if they fail to pay their rent on time.

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FAQ

This means you can increase rent by either 5% plus the local CPI or by 10%. You must give the tenant 60 days' notice and can only increase rent twice a year.

Tenant shall pay to Landlord, as Additional Rent, an amount equal to Tenant's Proportionate Share of (i)Taxes (as such term is hereinafter defined) payable by Landlord during the Term, plus (it) Operating Expenses (as such term is hereinafter defined) payable by Landlord during the Term.

Also known as fixed rent. In a commercial lease context, the minimum rent due under a lease. Depending on the terms of the lease agreement, a lease with a base rent usually includes an escalation clause for taxes and operating expenses and sometimes a percentage rent clause.

This escalation clause specifies a set percentage or dollar amount by which the rent will increase each year. For example, the rent may increase by 3% annually, regardless of market conditions or inflation changes. This escalation clause ties the rent increase to the CPI, which measures the cost of living changes.

For a 3.1% increase on a $2000 rent for example the steps are: Convert the percentage figure (3.1%) into a decimal by dividing it by 100.Multiply the original rent by the rent increase to get the monthly dollar increase.Add the dollar amount of the increase to the original rent to get the new rent.

At any time hereafter, Landlord may substitute for the Premises other premises (herein called "The New Premises") provided that the New Premises shall be similar to the Premises in area and use for Tenant's purposes and shall be located in the Building.

Rent Adjustment Amount means an amount equal to the difference between (x) the Aggregate Base Annual Rental then in effect, and (y) the Maximum Allowed Annual Rental.

Escalator Clauses in Rental Contracts An escalator clause allows rent to increase by a specified amount each period, allowing the landlord to benefit from current market conditions and the renter to secure a long-term arrangement. Sometimes escalator clauses include a cap on the allowed increases.

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More info

This clause states that tenants are jointly and severally liable for the full rent amount. A commercial escalation clause is always included in commercial real estate leases.Any kind of process for eviction that doesn't go through court, explained in the lease, is an illegal lease clause. That's why most landlords include the property taxes in the rent payments. Any kind of process for eviction that doesn't go through court, explained in the lease, is an illegal lease clause. In addition to this, many laws differ on how much you can charge for late rent. Be aware of these laws. As a result, most landlords attempt to negotiate a "rent acceleration" clause in their leases. Some landlords cannot avoid including some utilities and services with the rent. What is a lease?

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