Lease Agreement

Terms

Lesse

Lessor

Covenant
 Overholding
 150
 Abatement
 Rent
 Assignment

 Lien
 Subordination

 Attornment

 Move out Date

 Estoppel
 Natural Breakpoint
ABC retail tenant signs a five year lease which
requires ABC to pay base rent @ Rs 50,000 per
year plus percentage rent in an amount of 4% of
gross sales in excess of natural breakpoint.
 Add on factor
AbC Tenant's lease indicates that the square
footage of the premises is 1000 useabe square
feet and 1140 rentable square feet.
What is the add on factor?
 CPI Index adjustment
ABC Tenant signs a five year lease which
requires ABC to pay base rent of Rs 20,000 pa
plus annual increases over the index for the
month and the year for which the lease
commenced. After 1st year, the CPI has
increased by 3.5%.
What is the second year lease increase?