Oakland Michigan Lease of Retail Store with Additional Rent Based on Percentage of Gross Receipts - Real Estate

• Category: Leases - Commercial
• State: Multi-State
• County: Oakland
• Control #: US-00818BG
• Format: Word; Rich Text

Description

This form is a commercial lease of a building and land for the operation of a retail store with a set amount of rent along with a percentage of the gross receipts of the store as additional rent. Oakland Michigan Lease of Retail Store with Additional Rent Based on Percentage of Gross Receipts is a type of commercial lease agreement specifically designed for retail stores in Oakland County, Michigan. This agreement allows tenants to pay rent based on a percentage of their gross sales or receipts in addition to a base rent. Here are a few types of this lease: 1. Full Percentage Rent Lease: In this type of lease agreement, the tenant pays a percentage of their gross receipts as rent without any base rent. This arrangement is commonly used in high-demand retail locations where the landlord expects the tenant to generate substantial sales. 2. Modified Percentage Rent Lease: This type of lease includes both a base rent and a percentage of gross receipts. The base rent serves as a fixed amount that the tenant must pay regardless of their sales performance. However, if the percentage rent exceeds the base rent, the tenant pays the higher amount. 3. Graduated Percentage Rent Lease: With this lease type, the percentage of gross receipts paid as rent increases gradually as the tenant's sales increase. This arrangement is typically structured in tiers, with different percentages applicable at different sales levels. 4. Overage Rent Lease: In an overage rent lease, the tenant pays a fixed base rent plus a percentage of gross receipts exceeding a specified sales threshold. This arrangement allows the landlord to benefit from the tenant's exceptional sales performance beyond a certain level. 5. Step-Up Percentage Rent Lease: This type of lease includes increasing percentages of gross receipts at specific intervals during the lease term. For example, the percentage may start at a lower rate in the initial years and progressively increase every few years. 6. Minimum Rent Guarantee with Percentage Rent Lease: This lease type ensures the landlord receives a guaranteed minimum rent amount plus a percentage of gross receipts. If the percentage rent falls short of the minimum rent, the tenant still pays the guaranteed amount. Oakland Michigan Lease of Retail Store with Additional Rent Based on Percentage of Gross Receipts is a flexible and common option for retail tenants and landlords to share the risks and rewards of the business's performance. The specific terms and conditions of the lease will be negotiated between the parties, including the percentage rate, frequency of rent calculations, exclusions, and any other factors influencing the percentage rent arrangement.

Oakland Michigan Lease of Retail Store with Additional Rent Based on Percentage of Gross Receipts is a type of commercial lease agreement specifically designed for retail stores in Oakland County, Michigan. This agreement allows tenants to pay rent based on a percentage of their gross sales or receipts in addition to a base rent. Here are a few types of this lease: 1. Full Percentage Rent Lease: In this type of lease agreement, the tenant pays a percentage of their gross receipts as rent without any base rent. This arrangement is commonly used in high-demand retail locations where the landlord expects the tenant to generate substantial sales. 2. Modified Percentage Rent Lease: This type of lease includes both a base rent and a percentage of gross receipts. The base rent serves as a fixed amount that the tenant must pay regardless of their sales performance. However, if the percentage rent exceeds the base rent, the tenant pays the higher amount. 3. Graduated Percentage Rent Lease: With this lease type, the percentage of gross receipts paid as rent increases gradually as the tenant's sales increase. This arrangement is typically structured in tiers, with different percentages applicable at different sales levels. 4. Overage Rent Lease: In an overage rent lease, the tenant pays a fixed base rent plus a percentage of gross receipts exceeding a specified sales threshold. This arrangement allows the landlord to benefit from the tenant's exceptional sales performance beyond a certain level. 5. Step-Up Percentage Rent Lease: This type of lease includes increasing percentages of gross receipts at specific intervals during the lease term. For example, the percentage may start at a lower rate in the initial years and progressively increase every few years. 6. Minimum Rent Guarantee with Percentage Rent Lease: This lease type ensures the landlord receives a guaranteed minimum rent amount plus a percentage of gross receipts. If the percentage rent falls short of the minimum rent, the tenant still pays the guaranteed amount. Oakland Michigan Lease of Retail Store with Additional Rent Based on Percentage of Gross Receipts is a flexible and common option for retail tenants and landlords to share the risks and rewards of the business's performance. The specific terms and conditions of the lease will be negotiated between the parties, including the percentage rate, frequency of rent calculations, exclusions, and any other factors influencing the percentage rent arrangement.