<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-2024-9765
Status: Executed
Governing Jurisdiction: Colorado

This abstract summarizes the key terms of the fully executed lease agreement between the Landlord, Lucas-Elliott Holdings, and the Tenant, Phelps, Wang and Mccullough. 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 2024-01-13.

The subject of this lease concerns the Partial unit 26 in Building 2 at the property located at 88982 Monica Light
Sotomouth, MT 25646. This Retail facility consists of approximately 46006 rentable square feet and is designated for the purpose of General office and ancillary administrative functions..

The lease commencement is scheduled for 2024-03-23, establishing an initial term of 7 years. The Tenant's monthly obligation for base rent begins at $225,467.74. This figure is scheduled for an annual increase based on a 3.65% escalation rate. A security deposit of $450,935.48 has been furnished by the Tenant.

The Tenant holds an option to extend the lease for an additional 36 months with 180 days' prior notice. During any such renewal, the rent will be adjusted according to Fixed 3% annual increase. Any potential sublease of the premises is permitted subject to standard conditions.

Per section 10.1, Phelps, Wang and Mccullough is required to maintain, at minimum, a Commercial General Liability policy of $2,000,000. The certificate of insurance must name all parties as stipulated, including Lucas-Elliott Holdings. Late payments of rent will accrue interest at a rate of 14.5% per annum. Note the existence of a Landlord Recapture Right 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-2024-9765",
  "parties": {
    "lessor_details": {
      "name": "Lucas-Elliott Holdings",
      "entity_type": "Limited Partnership"
    },
    "lessee_details": {
      "name": "Phelps, Wang and Mccullough",
      "entity_type": "LLC",
      "address": "Unit 7018 Box 2847\nDPO AA 39491"
    }
  },
  "property_details": {
    "address": "88982 Monica Light\nSotomouth, MT 25646",
    "property_type": "Retail",
    "lease_area_description": "Partial unit 26 in Building 2",
    "square_footage_sqft": 46006
  },
  "lease_terms": {
    "effective_date": "2024-01-13",
    "commencement_date": "2024-03-23",
    "initial_term_months": 84,
    "option_to_renew": [
      {
        "option_number": 1,
        "duration_months": 36,
        "renewal_rate_adjustment": "Fixed 3% annual increase",
        "notice_period_days": 180
      }
    ],
    "requires_landlord_consent_for_sublease": false,
    "termination_clauses": [
      {
        "clause_type": "Landlord Recapture Right",
        "notice_period_days": 60,
        "penalty_details": "7 months' rent plus unamortized transaction costs."
      }
    ]
  },
  "financial_terms": {
    "base_rent_details": {
      "initial_monthly_rent_usd": 225467.74,
      "annual_escalation_rate_percent": 3.65,
      "escalation_frequency": "Annually"
    },
    "additional_rent_components": [
      {
        "component_name": "Operating Expenses (CAM)",
        "basis": "Pro Rata Share (9.36%)",
        "estimated_monthly_amount_usd": 33820.16
      },
      {
        "component_name": "Property Taxes",
        "basis": "Pro Rata Share (24.69%)",
        "estimated_monthly_amount_usd": 22546.77
      },
      {
        "component_name": "HVAC Maintenance Contract",
        "basis": "Fixed Annual Fee"
      }
    ],
    "security_deposit_usd": 450935.48,
    "late_payment_interest_rate_percent": 14.5
  },
  "permitted_use": "General office and ancillary administrative functions.",
  "governing_law_state": "Colorado",
  "document_status": "Executed",
  "insurance_requirements": [
    {
      "coverage_type": "Commercial General Liability",
      "minimum_coverage_amount_usd": 2000000,
      "named_insureds_required": [
        "Lucas-Elliott Holdings"
      ]
    },
    {
      "coverage_type": "Property (All Risk/Special Form)",
      "minimum_coverage_amount_usd": 5000000,
      "named_insureds_required": [
        "Lucas-Elliott Holdings",
        "Hill-Scott Mortgage Corp."
      ]
    }
  ]
}