The tenant pays sales-based rent of 5% of total net sales for all rented stores. Settlement takes place monthly after the sales reports are received. The tenant has to report sales by the fifth business day after the end of the month. The settlement and reporting frequency is the same. Settlement against conditions does not take place, since there is no agreed minimum rent and there are no advance payments on sales-based rent.
Sales Rule |
All Stores in Contract for Shopping Center ABC |
|
Objects belonging to rule |
All rental objects of contract (calculation object of condition = contract) |
|
Settlement Rule |
Monthly |
|
Reporting Rule |
Monthly |
|
Calculation Rule |
5% of net sales |
|
Conditions settled with the sales rule |
Advance payments |
None |
Minimum rent |
None |
|
Settlement |
Condition sales-based rent for shopping center ABC |
Reported sales of 50,000 USD results in sales-based rent of 2,500 USD.