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Sample Provisions from Model Ground Lease Base Case
General. Tenant shall perform no Construction except in compliance with this Lease. All Construction, when complete, must cause the Building to do the following (these requirements, collectively, the “Construction Standards”):
Compliance. Comply with Law and this Lease.
Independent Structure. Constitute a completely self-sufficient and independent structure or structures built wholly within the Land boundaries and not tying in or connecting to any other structure, improvements, Building Equipment, or real property not constituting part of the Premises except: (i) de minimis encroachments, so long as Landlord could obtain at regular premium rates a fee policy of title insurance that affirmatively insures against removal; (ii) encroachments onto the Land constituting Permitted Exceptions; and (iii) Construction Easements this Lease allows.
Size. Utilize at least 95% of ZFA available for the Land when Tenant obtains its building permit for Initial Development.
Structurally Sound. Be structurally sound, properly engineered, fireproof, and usable in substantially its entirety for any Permitted Use.
Applications and Approvals. Tenant shall apply to each applicable Government for all Approvals any Law requires for any Construction Tenant undertakes. At Tenant’s request, Landlord shall, without cost to Landlord, promptly join in and sign any Application as Tenant reasonably requests, and otherwise reasonably cooperate with Tenant in obtaining Approvals, but only if no Restriction Period exists and the Application is in ordinary and customary form, consistent with this Lease, and factually correct. Tenant shall perform all obligations of Landlord and Tenant under any Application or Approval. By signing any Application, Landlord does not waive any Tenant obligation or assume any responsibility or liability. Tenant shall pay Landlord’s Costs to comply with this paragraph.
[See Model Ground Lease for Additional Text on Construction.]
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