This office lease clause lists a way to provide for variances between the rentable area of a "to be built" demised premises and the actual area after construction.
The Wisconsin Remeasurement Clause is a legal provision used in real estate contracts to address discrepancies between the rentable and actual area of a space being constructed or leased. When variances exist between the stated size of a space and its actual measurement, this clause allows parties to adjust the rent, lease terms, or square footage accordingly. It is specifically relevant to construction projects or leasing arrangements in the state of Wisconsin. The Remeasurement Clause in Wisconsin typically includes language that outlines the procedure for recalculating the square footage and the subsequent adjustments to be made. A professional, such as a licensed architect or engineer, may be engaged to provide an accurate assessment of the rentable area. This assessment considers any usable space, common areas, shared services, and other relevant factors impacting the final calculation. In Wisconsin, there are different variations or types of Remeasurement Clause that can be used when dealing with variances between the rentable and actual area of a space. These variations may include: 1. Basic Remeasurement Clause: This variation outlines the general procedure for measuring and adjusting rent when there are variances in the space's size. It provides a framework for resolving such discrepancies based on square footage. 2. Proportional Rent Adjustment Clause: This type of clause calculates the rent adjustment proportionally based on the percentage difference between the actual and rentable area. For example, if the actual area is 5% smaller than the rentable area, the rent may be reduced by 5%. 3. Fixed Rent Adjustment Clause: In this variation, a fixed adjustment amount is predetermined per square foot or a specific agreed-upon sum. This amount is applied to the rent based on the discrepancy between the actual and rentable area. 4. Expenses Adjustment Clause: This clause addresses the impact of discrepancies on other expenses related to the space. It establishes how additional costs, such as maintenance fees or utilities, will be allocated when there are variances in the size of the space. 5. Arbitration Clause: In some instances, parties may include an arbitration clause within the Remeasurement Clause to establish a mechanism for resolving disputes or disagreements that may arise during the remeasurement process. It is important to note that the specific terms and conditions of the Remeasurement Clause can vary depending on the agreement between the parties involved in the real estate contract. Therefore, it is crucial to consult legal professionals familiar with Wisconsin real estate laws to effectively draft or interpret the Remeasurement Clause based on the unique circumstances of a given construction or leasing arrangement.
