- 8 - was to be paid over those 24 years of the lease term. Taking into account the foregoing considerations involving the requirements of the TIAA term loan, Partnership, PFI, and BCE, the lease agreement contained the following provisions with respect to the amounts and due dates of the rent to be paid under that agreement. It required BCE to pay Partnership "net basic rent" (basic rent) in arrears on each installment date throughout the lease term "in an amount equal to the sum of the Basic Rent Portions for all Partners."4 Schedule E of the lease agreement set forth a schedule (rent payment schedule) that allocated the basic rent to be paid by BCE for the entire lease term, providing the amounts of basic rent to be paid and the due dates for the payment of such rent. Pursuant to the lease agreement and the rent payment schedule, (1) for the initial lease period of approximately 11.5 months that began on June 17, 1988, and ended on May 31, 1989, the amount of basic rent to be paid by BCE was zero; and (2) for each of the 24-annual lease periods thereafter 4 The lease agreement provided that "For any Installment Date, the 'Basic Rent Portion' for any Partner shall mean the product of (i) said Partner's percentage interest in the Lessor as speci- fied on Schedule E, times (ii) the percent figure for such Part- ner set forth opposite said Installment Date, times (iii) Les- sor's Cost as specified on Schedule E." The lease agreement defined the term "installment date" for purposes of the payment of the basic rent to mean July 1, 1989, and the first day of each month thereafter throughout the lease term. For all other purposes, the lease agreement defined that term to mean July 1, 1988, and the first day of each month thereafter during the lease term.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011