There’s been a lot of discussion about Cordish and 4th Street Live since we brought up the crazy maintenance fees that are driving away local businesses.
Many readers have had questions about leases these businesses sign with Cordish.
So we thought it’d be worthwhile to share a bit of the interesting tidbits we’ve found from a few leases businesses have shared with us:
Tenant shall not play or present any music within the Premises that is likely to have a detrimental affect on the Shopping Center, that is likely to create a perception that the Shopping Center is not safe for families and the general public, or that it is likely to attract organized “gangs”, as determined by Landlord in its sole discretion. Tenant shall not play or present any music within the Premises that can be heard outside the Premises. Tenant shall immediately comply with Landlord’s written directions concerning any music presented within the Premises. Thus if Landlord instructs Tenant to reduce the volume of the music played or presented within the Premises or cease playing or presenting a particular type of music within the Premises, Tenant shall immediately comply with such instructions.
Tenant shall pay to Landlord the Minimum Rent in the sums set forth in … above and the Monthly Tax Charge, Monthly Common HVAC System Cost Charge, Monthly Common Area Maintenance Charge, Monthly Air Handling Unit Charge and any other monthly charges under this Lease in advance on the first day of each calendar month during the Term, without offset, notice, deduction, recoupment, setoff or demand therefor.
WIthin twenty (20) days after the end of each calendar quarter during the Term, Tenant shall submit to Landlord a complete written statement showing the amount of Gross Sales from the Premises (and from such other business as may be required pursuant to Section 704 above) during said calendar quarter. If Tenant fails to timely deliver the statements required by this Section …, Tenant shall pay to Landlord a late charge in accordance with with Section …
Landlord shall have the right to have an audit made of Tenant’s books and records pertaining to all Gross Sales. Tenant shall promptly pay Landlord any deficiency found in Tenant’s payment of Percentage Rent and any overpayment shall be promptly refunded or credited. If any statement required by Section … is found to differ by more than two percent (2%) from the audited amount, Tenant shall also pay for any and all costs and fees of such audit within fifteen (15) days after notice from Landlord, and if such audit proves such statements to be correct, or such statements collectively do not vary by more than two percent (2%) from the results of the audit, then the expenses of such audit shall be borne by Landlord.
Tenant shall pay to Landlord, as Additional Rent, Tenant’s Pro Rata Share of all impositions of every kind and nature imposed by any federal, state, regional, municipal, local or other governmental authority or agency in connection with the ownership, operation or use of all or any portion of the Shopping Center (“Taxes”).
The term “Common Area Maintenance Costs” means any and all costs and expenses of any kind incurred by Landlord in managing, maintaining, repairing, replacing, improving, operating and insuring the Common Areas, the Project, all improvements within the Shopping Center, without limitation, and an amount equal to twenty percent (20%) of the Common Area Maintenance Costs as an administrative fee. Landlord shall amortize items that should be capitalized under its normal accounting principles and/or tax regulations.
The fear of “gangs” is what stood out the most for us. Strangely, there was no mention of the racial profiling that’s regularly used by “security” folks at 4th Street on the weekends to determine whether or not patrons are granted entrance.
And the fact that CAM charges are just glossed over with no specifics, of course.