This office lease clause states that the amount of the security deposit shall be increased to reflect the increase in Base Rent. The Owner shall at all times have and maintain two full months' Base Rent as security.
The Oklahoma Clause Providing for the Periodic Increase in the Tenant Security to Reflect Increases in Base Rent is an important aspect of rental agreements in the state of Oklahoma. This clause ensures that as the base rent of a property increases over time, the tenant's security deposit also increases proportionately. By incorporating this clause, landlords and tenants can ensure that the security deposit remains in line with the current rental value of the property. Under this clause, whenever there is a legitimate increase in the base rent, the tenant is required to provide an updated security deposit to reflect the new rental amount. This means that as the rent goes up, the tenant's deposit is adjusted accordingly. The purpose of this arrangement is to protect the landlord against potential financial losses, particularly if the tenant breaches the lease agreement or causes any damage to the property. Different types of the Oklahoma Clause Providing for the Periodic Increase in the Tenant Security to Reflect Increases in Base Rent may include: 1. Linear Increase Clause: This type of clause states that the tenant's security deposit will increase linearly as the base rent increases. For example, if the rent increases by 10%, the security deposit would also increase by 10%. 2. Percentage Increase Clause: With this clause, the security deposit increases by a certain percentage of the base rent increase. For instance, if the base rent increases by 5%, the deposit would increase by 2% (or any other predetermined percentage). 3. Fixed Increment Increase Clause: In this type of clause, the security deposit increases by a fixed amount whenever the base rent increases. For example, if the rent increases by $100, the security deposit would also increase by $50. 4. Proportional Increase Clause: This clause determines the increase in the security deposit by taking into account the percentage increase in the base rent compared to the initial rental value. For instance, if the base rent increases by 20% from the initial rent, the security deposit would increase by 20% as well. Including an Oklahoma Clause Providing for the Periodic Increase in the Tenant Security to Reflect Increases in Base Rent in the rental agreement offers benefits to both landlords and tenants. Landlords can protect themselves against potential financial risks, while tenants can ensure that their deposit amount remains fair and consistent with the rental value of the property.
