Form 9-1: Basic Major Tenant [Supermarket] Build-to-Suit Lease Letter of Intent
Form 9-1: Basic Major Tenant [Supermarket] Build-to-Suit Lease Letter of Intent; Landlord Constructs Tenant’s Building and On- and Off-Site Improvements
- Lease term (and options)
- The tenant's parcel and leased premises.
- Area of major tenant's parcel and adjustments thereto.
- Parcelization (optional).
- Landlord's construction of building and site work.
- Specific items included within the "Building Cost".
- Specific items not included within the "Building Cost".
- Specific items included within "Site Work or "Site Costs".
- Major signage: major shopping center pylon or monument signs (attached signage design exhibits).
- Annual rent: the sum of Building Cost Rent, Site Costs Rent and Land Rent.
- Increase (or decrease) in Building Rent based upon unexpected increase (or decrease) in Building Cost; optional cancellation right upon increase in Building Cost above agreed maximum.
- Rental increases.
- Percentage Rent.
- Rent Commencement: various approaches from which to select.
- Building repair and maintenance.
- Real estate taxes and assessments.
- Common area maintenance.
- Assignment and subletting.
- Developer oriented "go dark" termination/re-purchase right.
- Major tenant oriented co-tenancy clause.
- Major tenant oriented optional "Concurrent Shops Construction" clause.
- Example: Food and Drug Restrictions.
- Major tenant oriented "Use Restrictions".
- Conditions which must be approved by tenant's real estate committee (final site plan, access, investigations and documentation).
- Financing contingency (developer oriented).
- Non-binding letter.
- Landlord oriented optional "Landlord Limited Exclusive Right": For a fixed period following execution of this letter tenant promises to (i) make a good faith effort to obtain real estate committee approval for the proposed transaction and (ii) not negotiate with other land owners within an agreed radius of the site.
- Exhibit depicting major pylon or monument signs: agreement early on regarding signage will save time in the end.