Commercial Lease

The Fifth Court reviewed a commercial, “triple net” lease in Gaedeke Holdings II v. Chait & Henderson, concluding: “Under the Lease, the fixed amount Uptown paid in the first calendar year of the Lease term does not have any effect on the computation of Uptown’s “Pro Rata Share of Basic Costs” after the first calendar year, and in years two and beyond, Uptown’s “Pro Rata Share of Basic Costs” is based on Gaedeke’s Basic Costs in 2016, subject only to the 6 percent year-over year limitation on increases to Gaedeke’s controllable Basic Costs in 2016.” No. 05-20-01048-CV (Dec. 29, 2022) (mem. op.). An interesting amicus brief discusses different kinds of commercial leases.