Reso 2016-2537 - Laserfiche WebLink

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shall be 8%of the restaurant Gross Sales and 5.5%of marketplace Gross Sales. ii. Years Seven and Thereafter. Commencing the seventh (7 ) year after the Rent Commencement Date and throughout the Term of the Lease, the Percentage Rent shall be calculated as 8% of the restaurant Gross Sales and 6% of the marketplace Gross Sales. By way of example, in year seven of the Lease, when Base Rent for a calendar quarter totals one hundred twenty-five thousand dollars ($125,000); and the Gross Sales from the restaurant is one million dollars ($1,000,000) and the Gross Sales from the marketplace is two million two hundred and fifty thousand dollars ($2,250,000), the Lessee shall pay to City the difference between Percentage Rent and the Base Rent. This is calculated as follows: ($1,000,000 x .08 =$80,000)+($2,250,000 x .06=$135,000)=$215,000. During the same quarter, the Base Rent is $125,000, as such, at the end of said quarter, Lessee shall pay the difference between the Percentage Rent and the Base Rent as additional rent to the Lessor ($215,000 - $125,000 = $90,000). The total sum the Lessee shall pay to the Lessor as Base Rent and additional rent is $215,000 ($125,000 + $90,000). 6. Section 8 entitled Sale of Food, Liquor, and Concession is amended to delete the following sentences: The Lessee shall be provided with the opportunity to operate the during the term of this Lase, unless Lessee is in default ("Concession"). The right to operate the Concession shal4-19c granted in one (1) year increments commencing the date the restaurant opens for business. The Lessor reserves the absolute right to take over the operation of the Concession at the end of any one year increment provided the Lessor notifies the Lessee at least thirty (30) days prior to the expiration of any one year increment, even if no default by Lessee occurs under this Lease. If the Lessor has not taken over the operation of the Concession as indicated herein, the Lessee's right to operate the Concession shall automatically renew each year for the term of this Lease. Notwithstanding the deletions, the parties may enter into yearly operational agreements for the concession area. 7. Section 13 entitled Alterations is amended to allow the Lessee to make alterations, additions, or improvements costing up to Ten Thousand Dollars ($10,000.00) without first obtaining the written consent of City provided that Lessee obtains all necessary governmental permits. Page 315 SIF