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Lease Agreement

 

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Title:

Lease Agreement

Entities:

LOG Cabin Democrat LLC ; SouthTrust Bank

Date:

2004

Size:

14KB total

Price:

$41

ID:

#2119197

 

 

► Leasing ► Lease Agreements
► Financial

 

 

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STATE OF GEORGIA

 

COUNTY OF CHATHAM

  LEASE AGREEMENT

 

THIS LEASE AGREEMENT is made and entered into effective as of December 31, 2002, by and between SAVANNAH CHATHAM PARKWAY PROPERTY, LLC, a Georgia limited liability company (?Lessor?), and MORRIS COMMUNICATIONS COMPANY, LLC, a Georgia limited liability company (?Lessee?).

 

1. PROPERTY LEASED. Lessor does hereby rent and lease to the Lessee that property commonly known 1375 and 1425 Chatham Parkway, Savannah, Georgia (the ?Property?), containing approximately 33.08 acres of land more particularly described on Exhibit ?A? attached hereto, together with all buildings and improvements located thereon.

 

2. TERM. The Property shall be leased for a term commencing on the date hereof (the ?Commencement Date?) and ending on December 31, 2012.

 

3. RENTAL. Lessee shall pay Lessor annual base rent in the amount of One Million One Hundred Thousand and No/100 Dollars ($1,100,000.00). Such rent shall be paid in equal monthly installments beginning on January 1, 2003, and continuing on the first date of each subsequent month during the term of this Lease. Beginning on January 1, 2004 and on January 1 of each consecutive year of the lease term, as defined in paragraph 2 above, the annual base rent shall increase by the lesser of (i) four percent (4.0%), and (ii) by the percentage increase in the Consumer Price Index for all urban consumers (CPI-U) (All Items 1982-84=100) for the preceding calendar year.

 

Notwithstanding the foregoing, the minimum base rent (?Minimum Rent?) under this Lease (net of all taxes and insurance) shall be an amount equal to One Hundred and Fifteen percent (115%) of (i) regular payments of principal and interest (excluding balloon principal payments) on a loan to be entered into by Lessor and SouthTrust Bank in the amount of EIGHT MILLION TWO HUNDRED THOUSAND AND NO/100 DOLLARS ($8,200,000.00) to be secured by the Property, and all renewals, extensions, and refinancings of the same, and (ii) regular payments of principal and interest (excluding balloon principal payments) on a loan to be entered into by Lessor and SouthTrust Bank (or another lender) for the construction of an office building for Lessee as described below, and all renewals, extensions, and refinancings of the same. In the event that Lessor notifies Lessee that the sum of the base rent payments paid in any calendar year falls short of the Minimum Rent, Lessee shall immediately pay to Lessor the difference between the Minimum Rent and the base rent paid by Lessee for such year. All rental payments shall be delivered to Lessor at the following address:

 

SAVANNAH CHATHAM PARKWAY PROPERTY, LLC

725 Broad Street

Augusta, GA 30901

ATTN: Will S. Morris IV

 

1


4. IMPROVEMENTS BY LESSOR. Lessor has agreed to construct an office building on the Property in accordance with plans approved by Lessee. Such construction will take place on a schedule and budget acceptable to Lessor and Lessee. Lessee acknowledges that such construction shall be financed by Lessor and that the Minimum Rent shall increase by an amount necessary to service the debt on such financing.


 

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