<format type="json">{lease_id: string, parties: {lessor_details: {name: string, entity_type: string, address: string optional}, lessee_details: {name: string, entity_type: string, address: string optional}}, property_details: {address: string, property_type: string, square_footage_sqft: number optional, lease_area_description: string}, lease_terms: {effective_date: date, commencement_date: date, initial_term_months: number, option_to_renew: list[{option_number: number, duration_months: number, notice_period_days: number optional, renewal_rate_adjustment: string}], termination_clauses: list[{clause_type: string, notice_period_days: number, penalty_details: string}] optional, requires_landlord_consent_for_sublease: boolean}, financial_terms: {base_rent_details: {initial_monthly_rent_usd: number, annual_escalation_rate_percent: number, escalation_frequency: string}, additional_rent_components: list[{component_name: string, basis: string, estimated_monthly_amount_usd: number optional}], security_deposit_usd: number, late_payment_interest_rate_percent: number optional}, insurance_requirements: list[{coverage_type: string, minimum_coverage_amount_usd: number, named_insureds_required: list[string]}] optional, permitted_use: string, governing_law_state: string, document_status: string}</format> <data>INTERNAL MEMORANDUM - LEASE ABSTRACT

Reference ID: LSE-COM-2024-2605
Status: Under Review
Governing Jurisdiction: New Jersey

This abstract summarizes the key terms of the fully executed lease agreement between the Landlord, Spence-Kelly Holdings, and the Tenant, Lee, Allen and Flores. The team is preparing for the quarterly portfolio review next month, so please ensure all financial models are updated with this data. The lease agreement was made effective as of 2024-01-25.

The subject of this lease concerns the Entire unit 11B in Building 1 at the property located at 26185 Whitney Park
Lake Stephaniefurt, PR 36139. This Warehouse facility consists of approximately 43392 rentable square feet and is designated for the purpose of General office and ancillary administrative functions..

The lease commencement is scheduled for 2024-03-30, establishing an initial term of 7 years. The Tenant's monthly obligation for base rent begins at $190,346.24. This figure is scheduled for an annual increase based on a 1.5% escalation rate. A security deposit of $380,692.48 has been furnished by the Tenant.

The Tenant holds an option to extend the lease for an additional 24 months with 270 days' prior notice. During any such renewal, the rent will be adjusted according to Fair Market Value. Any potential sublease of the premises requires Landlord's explicit consent.

Per section 10.1, Lee, Allen and Flores is required to maintain, at minimum, a Commercial General Liability policy of $5,000,000. The certificate of insurance must name all parties as stipulated, including Spence-Kelly Holdings. Late payments of rent will accrue interest at a rate of 6.9% per annum. Note the existence of a Tenant Early Termination Option clause, which can be triggered with 60 days' notice and involves a penalty structured as 7 months' rent plus unamortized transaction costs.

Additional rent provisions for pass-throughs like Operating Expenses and Property Taxes are based on the tenant's pro rata share. Further details can be found in the full agreement document stored in the central repository. Please complete your review by end of week.</data>
{
  "lease_id": "LSE-COM-2024-2605",
  "parties": {
    "lessor_details": {
      "name": "Spence-Kelly Holdings",
      "entity_type": "LLC",
      "address": "0830 Rachel Trail Suite 794\nElizabethtown, CO 71631"
    },
    "lessee_details": {
      "name": "Lee, Allen and Flores",
      "entity_type": "S-Corp",
      "address": "865 Baldwin Vista\nHammondchester, MS 10555"
    }
  },
  "property_details": {
    "address": "26185 Whitney Park\nLake Stephaniefurt, PR 36139",
    "property_type": "Warehouse",
    "lease_area_description": "Entire unit 11B in Building 1",
    "square_footage_sqft": 43392
  },
  "lease_terms": {
    "effective_date": "2024-01-25",
    "commencement_date": "2024-03-30",
    "initial_term_months": 84,
    "option_to_renew": [
      {
        "option_number": 1,
        "duration_months": 24,
        "renewal_rate_adjustment": "Fair Market Value",
        "notice_period_days": 270
      }
    ],
    "requires_landlord_consent_for_sublease": true,
    "termination_clauses": [
      {
        "clause_type": "Tenant Early Termination Option",
        "notice_period_days": 60,
        "penalty_details": "7 months' rent plus unamortized transaction costs."
      }
    ]
  },
  "financial_terms": {
    "base_rent_details": {
      "initial_monthly_rent_usd": 190346.24,
      "annual_escalation_rate_percent": 1.5,
      "escalation_frequency": "Annually"
    },
    "additional_rent_components": [
      {
        "component_name": "Operating Expenses (CAM)",
        "basis": "Pro Rata Share (21.58%)",
        "estimated_monthly_amount_usd": 28551.94
      },
      {
        "component_name": "Property Taxes",
        "basis": "Pro Rata Share (5.27%)",
        "estimated_monthly_amount_usd": 19034.62
      },
      {
        "component_name": "HVAC Maintenance Contract",
        "basis": "Fixed Annual Fee"
      }
    ],
    "security_deposit_usd": 380692.48,
    "late_payment_interest_rate_percent": 6.9
  },
  "permitted_use": "General office and ancillary administrative functions.",
  "governing_law_state": "New Jersey",
  "document_status": "Under Review",
  "insurance_requirements": [
    {
      "coverage_type": "Commercial General Liability",
      "minimum_coverage_amount_usd": 5000000,
      "named_insureds_required": [
        "Spence-Kelly Holdings"
      ]
    },
    {
      "coverage_type": "Property (All Risk/Special Form)",
      "minimum_coverage_amount_usd": 5000000,
      "named_insureds_required": [
        "Spence-Kelly Holdings",
        "Villegas LLC Mortgage Corp."
      ]
    }
  ]
}