Option to Extend Term Contract Clauses (167)

Option to Extend Term. Provided that: (i) Landlord has not given Tenant notice of a default more than two (2) times preceding the Expiration Date, (ii) there then exists no default by Tenant under the Lease nor any event that with the giving of notice and/or the passage of time would constitute a default, (iii) Tenant has not previously assigned this Lease or sublet all of the Premises (except as a Permitted Transfer), and (iv) Tenant remains creditworthy, as determined by Landlord in Landlord's commercially... reasonable discretion, Tenant shall have the right and option (an "Extension Option") to extend the Term for one (1) additional period of five (5) years, exercisable in the following manner. If Tenant is desirous of exercising the Extension Option under this section, Tenant shall give Landlord written notice not less than nine (9) months in advance of the scheduled Expiration Date of Tenant ‘s intention to extend the Term ("Tenant's Extension Notice"), it being agreed that time is of the essence and that the Extension Option is personal to Tenant and is non-transferable to any transferee or other party, except for a Permitted Transfer (who shall be permitted to exercise the Extension Option pursuant to the same conditions which Tenant can). Promptly after receipt of Tenant's Extension Notice, Landlord and Tenant shall negotiate the Fixed Rent for the Extension Option in good faith. The Extension Option shall be under the same terms and conditions as provided in this Lease except as follows: (a) the Extension Option period shall begin at the original Expiration Date and thereafter the Expiration Date shall be one hundred thirty-two (132) months from the Commencement Date; (b) all references to the Term in this Lease shall be deemed to mean the Term as extended pursuant to this section; (c) after the Extension Option provided herein, there shall be no further options to extend; and (d) the Fixed Rent payable by Tenant shall be the then market rate as reasonably determined by Landlord and Tenant negotiating in good faith. View More

Option to Extend Term. (a) Tenant shall have and is hereby granted the option to extend the Term hereof for one (1) period of five (5) years (the "Extension Period"), commencing on October 1, 2023 and expiring on September 30, 2028, provided that: (i) Tenant delivers written notice (the "Extension Notice") to Landlord, not earlier than July 1, 2022, or later than September 30, 2022, time being of the essence, of Tenant's irrevocable election to exercise such extension option; (ii) no monetary default or material... non-monetary Event of Default exists at the time of the exercise of such option or as of the first (1st) day of the Extension Period; and (iii) Tenant has not assigned its interest in this Lease or sublet fifty percent (50%) or more of the Premises. (b) All terms and conditions of this Lease, including without limitation all provisions governing the payment of Additional Rent and annual increases in Base Rent, shall remain in full force and effect during the Extension Period, except that Base Rent (on a per rentable square foot basis) payable during the initial Lease Year of the Extension Period shall equal the Fair Market Rental Rate (hereinafter defined) at the time of the commencement of the Extension Period. As used in this Lease, the term "Fair Market Rental Rate" shall mean the fair market rental rate that would be agreed upon between a landlord and a tenant entering into a lease renewal for comparable space as to location, configuration, size and use, in a comparable building as to quality, size, location, reputation and age which is located in the Raleigh/Durham, North Carolina area, with a comparable build-out and a comparable term assuming the following: (A) the landlord and tenant are informed and well-advised and each is acting in what it considers its own best interests; and (B) the tenant will continue to pay its proportionate share of increases in Operating Expenses and Taxes as set forth in the Lease. (c) Landlord and Tenant shall negotiate in good faith to determine the Base Rent for the initial Lease Year of the Extension Period, for a period of thirty (30) days after the date on which Landlord receives the Extension Notice. In the event Landlord and Tenant are unable to agree upon the Base Rent for the initial Lease Year of the Extension Period within said thirty (30)-day period, the Fair Market Rental Rate for the Premises shall be determined by a board of 37 three (3) licensed real estate brokers, one of whom shall be named by the Landlord, one of whom shall be named by Tenant, and the two so appointed shall select a third (the "Third Broker"). Each real estate broker so selected shall be licensed in the State of North Carolina as a real estate broker specializing in the field of office leasing in the Raleigh/Durham, North Carolina area, having no fewer than ten (10) years' experience in such field, and recognized as ethical and reputable within the field. Landlord and Tenant agree to make their appointments promptly within ten (10) days after the expiration of the thirty (30)-day period, or sooner if mutually agreed upon. The two (2) brokers selected by Landlord and Tenant shall select the Third Broker within ten (10) days after they both have been appointed, and all three (3) brokers shall, within fifteen (15) days after the Third Broker is selected, submit his or her determination of the Fair Market Rental Rate. The Third Broker shall determine which determination of Fair Market Rental Rate made by Landlord's broker or Tenant's broker is closest to the determination of Fair Market Rental Rate made by the Third Broker (the "Closest Determination"). The Fair Market Rental Rate hereunder shall be the mean of the Closest Determination and the determination of Fair Market Rental Value made by the Third Broker. Landlord and Tenant shall each pay the fee of the broker selected by it, and they shall equally share the payment of the fee of the Third Broker. (d) Should the Term of the Lease be extended hereunder, Tenant shall, if required by Landlord, execute an amendment modifying this Lease within thirty (30) days after Landlord presents same to Tenant, which amendment shall set forth the Base Rent for each Lease Year of the Extension Period and the other economic terms and provisions in effect during the Extension Period. Should Tenant fail to execute the amendment (which amendment accurately sets forth the economic terms and provisions in effect during the Extension Period) within thirty (30) days after presentation of same by Landlord, time being of the essence, Tenant's right extend the Term of the Lease shall, at Landlord's sole option, terminate, and Landlord shall be permitted to lease such space to any other person or entity upon whatever terms and conditions are acceptable to Landlord in its sole discretion. View More

Option to Extend Term. a. Subject to Section 9(b) below, provided the Lease or Tenant's right of possession thereunder has not been earlier terminated, Tenant shall have the right to extend the Term of the Lease as to all, but not less than all, of the Premises being leased under the Lease for one (1) period of three (3) years (the "Extended Term") beginning on July 1, 2021, subject to the following terms and conditions: (i) Tenant shall give written notice to Landlord of the exercise of Tenant's right to extend the... Term of the Lease no later than January 1, 2021, time being of the essence (the "Renewal Notice"). If no such Renewal Notice is timely given, the Lease shall terminate as of June 30, 2021; (ii) Tenant shall not be in default under the Lease beyond the passage of any applicable period of cure, grace or notice at the time of giving the Renewal Notice or at any time thereafter to and including the commencement of the Extended Term; and (iii) The extension of the Term hereunder for the Extended Term shall be on the same terms and conditions as are applicable to the Term expiring on June 30, 2021; provided, however, (1) Tenant shall have no further right to extend the Term of the Lease beyond the end of the Extended Term, (2) Article 45 of the Lease and Section 3 of this Amendment shall not apply to the Extended Term, (3) Tenant shall lease the Premises in its then-existing "AS-IS" condition, without any obligation on the part of Landlord to make any alterations or improvements thereto or to provide any allowances to Tenant (provided, however, that this provision shall not be construed to amend any provisions of the Lease, including without limitation any maintenance and/or repairs obligations of Landlord under the Lease), and Landlord shall not pay any brokerage commissions or finder's fees, and (4) the Base Rent payable by Tenant to Landlord for the Extended Term shall be as follows: 4 Months Price Per SquareFoot Monthly Annually 7/1/2021 to 6/30/2022 $ 9.00 $ 33,497.25 $ 401,967.00 7/1/2022 to 6/30/2023 $ 9.20 $ 34,241.63 $ 410,899.60 7/1/2023 to 6/30/2024 $ 9.40 $ 34,986.02 $ 419,832.20 b. It is acknowledged and agreed by the parties that the right of Tenant to extend the Term of the Lease under this Section 9 is personal to Entellus Medical, Inc. (the "Original Tenant") and its Affiliates (as defined in Article 21(a) of the Lease) and should said Original Tenant assign the Lease or sublet all or any part of the Premises to any person or entity other than an Affiliate, the right of Tenant to extend the Term of the Lease under Section 9(a) above shall automatically terminate, and said Section 9(a) above shall become null and void and of no further force or effect. View More