Orange County NC Website
Browse       Search
003 <br /> governmental authority, except as hereinafter provided. In addition, Tenant acknowledges that <br /> the Leased Premises is a smoke free building and does not permit tobacco use inside of the <br /> building. <br /> 3. Term and Rental. <br /> (a) This lease shall commence on September 1, 2012, and shall continue for a <br /> term of five (5) years, ending on August 31, 2017, unless sooner terminated as herein <br /> provided. <br /> (b) Tenant acknowledges that the fair rental value of the Leased Premises <br /> notwithstanding the rent listed in Section 3(c)(i) is estimated at$2,166.67 per month ($26,000 <br /> per annum). The fair rental value shall be subject to a five percent(5%) annual percentage <br /> increase. <br /> (c) The Tenant agrees to pay the County without demand at its office, or at such <br /> other place or places as County may from time to time designate in writing, the following <br /> amounts as rent for the Leased Premises: <br /> i) sum of one dollar($1) per month for the first two (2) years of the term; <br /> ii) a sum equal to thirty-three percent(33%) of the fair rental value for the <br /> third year of the term commencing on September 1, 2014; <br /> iii) a sum equal to sixty-six percent(66%) of the fair rental value including <br /> the annual percentage increase for the fourth year of the term <br /> commencing on September 1, 2015; <br /> iv) the fair rental value including the annual percentage increase for the fifth <br /> year of the term commencing on September 1, 2016. <br /> (d) Rent shall be due and payable on or before the fifth day of each month. <br /> Tenant acknowledges this rental rate is discounted for a portion of the term in an effort to assist <br /> Tenant in providing a public benefit that being regional food and agricultural processing services <br /> and that any renewal of this Lease shall be subject to an increased rental rate as determined by <br /> County. <br /> (e) The extension of time for the payment of any installment of rent, or the <br /> acceptance by the County of any money other than of the kind herein specified, shall not be a <br /> waiver of the right of the County to insist on having all other payments of rent made in the <br /> manner and at the time herein specified. <br /> (f) If any installment of rent is not received by the fifth (5th) day of any month it is <br /> due, Tenant shall pay as additional rent a late payment fee of Fifty Dollars ($50.00). This <br /> additional rent shall be due immediately without demand therefor and shall be added to and <br /> paid as a part of the installment payment of rent with respect to which it is incurred. <br /> (g) This Lease may be renewed with the consent of the County for up to two <br /> additional three-year terms upon written notice to the County six(6) months prior to the <br /> expiration of the term. <br /> 4. Holdover. If the Tenant shall remain in possession of the Leased Premises <br /> after the expiration of the original or renewal period as set out above, such possession shall be <br /> as a month-to-month tenant. During such month-to-month tenancy, rent shall be the rent in <br /> effect during the last month of the term immediately preceding plus an additional 50%. <br /> 5. Insurance and Taxes. <br /> (a) The County shall keep in force insurance to provide for property damage to the <br /> building for replacement cost purposes. Provided, however, Tenant shall be responsible for and <br /> 2 <br />