Agreement To Manage and Lease Real Estate
Agreement To Manage and Lease Real Estate
ESTATE (This is a legally binding contract. If you do not understand it, seek legal advice.) This
agreement to manage and lease real estate is made and entered into as of this ________ day of
__________________, _________ by and between
_______________________________________________________________________
hereinafter called the Owner and
__________________________________________________________________ hereinafter
called the Broker. Whereas, Owner is the owner of the property known as
______________________________________________________ located at
_________________________________________ and legally described as
_________________________________________________
______________________________________________________________________________
_________________________________
______________________________________________________________________________
_________________________________ Owner hereby employs Broker exclusively to rent,
lease, operate and manage said property subject to the terms and conditions of this agreement. In
consideration of the management and leasing functions to be performed by Broker under this
agreement, Owner agrees to pay Broker a fee or fees for services rendered at the rates hereinafter
set forth. Owner recognizes Broker as agent in any negotiations relative to said property or any
part thereof, which may have been initiated during the term hereof, and if consummated, shall
compensate Broker in accordance with the rates hereinafter set forth. Such compensation is due
and payable on demand and may be deducted by Broker from gross receipts. Management:
______________________________________________________________________________
_(plus sales tax) Leasing:
______________________________________________________________________________
_____(plus sales tax) The term of this agreement shall commence on the _________ day of
____________________, ___________ and expire on the ___________ day of
___________________________, ____________. This agreement is automatically renewable,
upon expiration, for annual periods unless terminated by either party giving 30-days' written
notice to the other party in advance of such termination date. However, the termination of this
agreement shall not affect the right of Broker to receive leasing commissions or fees which have
accrued on the date specified in such notice and have not been paid. As agent for Owner, Broker
owes Owner the duties of loyalty, obedience, disclosure, confidentiality, reasonable care and
diligence, and full accounting. Broker must disclose all known material facts about the property
which could affect a tenant's use or enjoyment of the property, disclose information which could
have a material impact on either party's ability to fulfill their obligations under the lease
agreement, respond honestly and accurately to questions concerning said property, and deal
honestly and fairly with all parties. The duties and responsibilities of Broker in connection with
the management of said property are as follows: 1. Broker shall take all reasonable steps to
collect and enforce the collection of all rentals and other charges due Owner from tenants of said
property in accordance with the terms of their tenancies. 2. From gross revenues collected from
said property, Broker is hereby authorized to accrue and make disbursements from Owner's
funds for contractual mortgage payments, property and employee taxes, salaries and any other
compensation due and payable to the employees of Owner, special assessments, premiums for
hazard and liability insurance and any other insurance required, and sums otherwise due and
payable by Owner as operating expenses which are incurred pursuant to the terms of this
agreement including management and other fees as provided herein. 3. Broker shall deposit gross
revenues collected into a special trust account in a bank whose deposits are insured by the
Federal Deposit Insurance Corporation. Broker shall have authority to endorse checks payable to
Owner, deposit funds of Owner into said trust account, and to draw on such account any payment
to be made by Broker to discharge any of the liabilities or obligations incurred by Broker
pursuant to this agreement. 4. Broker shall arrange all repairs, replacements and decorating
necessary to maintain said property in its present condition and for the operating efficiency of
said property. The expense of any one item of maintenance shall not exceed the sum of
$___________ unless authorized by Owner or unless Broker determines it to be an emergency.
Owner approval is not required in the event of an emergency where immediate repairs are
required to preserve the property, continue essential services to the property, avoid danger to life
or property, or to comply with federal, state or local law. 5. Broker shall have the authority to
negotiate, prepare and execute all leases and to cancel and modify existing leases as agent for
Owner. 6. Broker shall advertise the availability for rent of the property or any part thereof and
to display "For Rent" or "For Lease" signs thereon; to show property to prospective tenants; to
execute leases, renewals or cancellations of leases relating to said property; to terminate
tenancies and to sign and serve for Owner such notices as Broker deems appropriate; to institute
legal actions in the name of Owner; to evict tenants and recover possession of said premises; to
recover rents and other sums due, and to settle, compromise and release such actions. 7. Broker
shall have authority to hire, supervise and terminate on behalf of Owner all independent
contractors and property employees, if any, reasonably required in the operation of said property.
All such property employees are employees of Owner. 8. Broker shall maintain accurate records
of all moneys received and disbursed in connection with its management of said property, and
such records shall be open for inspection by Owner at all reasonable times. Broker shall provide
monthly financial statements to Owner. Owner agrees to maintain a minimum balance of
$_____________ in Broker's trust account and in the event the amount falls below such
minimum balance, Owner hereby agrees to pay such excess promptly upon the request of Broker.
Owner agrees to make available to Broker all data, records and documents pertaining to the
property which Broker may require to properly exercise Broker's duties hereunder. Owner shall
complete and submit a lead-based paint disclosure if property is residential and built prior to
1978 as required by federal regulation. Owner authorizes Broker to: a. cooperate with brokers
who represent tenants and b. compensate cooperating brokers from Broker's fees c. compensate
Broker's agent Owner agrees to hold Broker harmless from all damage suits in connection with
the management of said property and from liability from injury suffered by any employee or
other person whomsoever and to carry, at Owner's expense, adequate public liability insurance
and to name Broker as co-insured. Broker also shall not be liable for any error of judgement oR
for any mistake of fact or law, or for anything which Broker may do or refrain from doing
hereunder, except in cases of willful misconduct or gross negligence. If suit is brought to collect
Broker's compensation or if Broker successfully defends any action brought against Broker by
Owner, relating to said property, or Broker's management thereof, Owner agrees to pay all costs
incurred by Broker in connection with such action, including reasonable attorney fees. This
agreement may be later amended or modified at any time by a written mutual agreement signed
by Owner and Broker. Broker will not discriminate based on race, color, creed, religion, sex,
national origin, age, handicap or familial status and will comply with all federal, state and local
fair housing and civil rights laws and with all equal opportunity requirements. Broker accepts
this exclusive employment and agrees to use due diligence in the exercise of the duties, authority
and powers conferred upon Broker under the terms hereof. Receipt of a copy of the contract by
the owner has been acknowledged. ______________________________________________
____________________________________________ Owner Date Owner Date
______________________________________________
____________________________________________ Social Security Number or Tax
Identification Number Social Security Number or Tax Identification Number
______________________________________________
____________________________________________ Address Phone Number
______________________________________________ City/State/Zipcode
____________________________________________________by
_____________________________________________________ Broker Agent
CONTRACT OF LEASE
This Contract of Lease (this "Contract") made and executive this __ day
of _______ 2019 at Batangas City, by and between:
and
WITNESSETH:
WHEREAS, the LESSOR has offered for lease and the LESSEE desires to
lease
the Leased Premises;
1. TERM OF LEASE. This lease shall be for a period of fifty (50) years
commencing on 1 April 2004 to 31 March 2054, renewable for another twenty-
five
(25) years by giving written notice to renew at least ninety (90) days prior
to
the expiration of the original fifty-year term, upon terms and conditions
mutually agreed by the parties.
2. RENTALS. The LESSOR shall pay annual rentals in the amount of Five
Million One Hundred Five Thousand One Hundred Pesos (P 5,105,100.00) payable
in
advance within five (5) days from the start of the year, exclusive of VAT.
The
annual rentals shall be subject to escalation equivalent to one percent (1%)
at
the end of every live (5) years.
<PAGE>
3. REAL ESTATE TAXES. All real estate taxes levied or assessed or those
which may thereafter be levied or assessed on the Leased Premises, including
real estate taxes assessed on the improvements introduced by the LESSEE on
the
Leased Premises shall be for the account of the LESSEE for the duration of
the
lease.
5. USE OF THE LEASED PREMISES/SUB-LEASE. The LESSEE shall use the Leased
Premises for any lawful purpose. The LESSEE shall have the right to sub-lease
all or any portion of the Leased Premises to any third party, upon written
notice thereof to the LESSOR.
<PAGE>
10. TERMINATION. (a)The LESSOR shall have the right to terminate this
Contract upon a thirty (30) day prior written notice to the LESSEE in any of
the
following instances:
(ii) in the event of any violation by the LESSEE of the terms and
conditions stipulated in this Contract and the LESSEE fails to
rectify
or remedy the default within sixty (60) days from its receipt of
written demand from the LESSOR.
(b) The LESSEE shall have the option to terminate this Contract upon a
thirty (30) day written prior notice to the LESSOR in the event of any breach
by
the LESSOR of this Contract, and the LESSOR fails to rectify or remedy such
breach or default within sixty (60) days from its receipt of the written
demand
of LESSEE.
(c) Should the LESSEE decide to pre-terminate this Contract without just
cause, the LESSEE shall forfeit as liquidated damages in favor of the LESSOR
the
Security Deposit and LESSOR is without further recourse of any other remedy
at
law or in equity.
13. ARBITRATION AND VENUE. The parties agree to settle any and all
disputes
by binding arbitration in accordance with the rules of the Philippine Dispute
Resolution Center, Inc. In the event that the LESSOR initiates arbitration
proceedings, venue for arbitration shall be the Commonwealth of
Massachusetts,
U.S.A. and in the event that the LESSEE initiates arbitration proceedings,
the
venue for arbitration shall be Manila, Philippines.
3
<PAGE>
<PAGE>
ACKNOWLEDGMENT:
BEFORE ME, a Notary Public for and in the CITY of MAKATI, this APR 01,
2004, personally appeared:
<TABLE>
<CAPTION>
Name Community Tax Cert. No. Date/Place Issued
---- ----------------------- ------------------
<S> <C> <C>
Francisco N. Meroy, Jr. 22655674 01-20-04 Paranaque
Frederick D. Reiersen 22683025 02-18-04 Paranaque
</TABLE>
known to me and to me known to be the same persons who executed the foregoing
Contract of Lease and who acknowledged to me that the same is their free and
voluntary act and deed as well as that of the corporation they represent.
WITNESS MY HAND AND SEAL on the date and place first above written.
<PAGE>
RENT INCOME
<TABLE>
<CAPTION>
Total Rent/5
Income Per
Year Covered Rent/Year Years
Rental Income IAS 17
-------------------------------- (1% Escalation (1% Escalation
(as of (every 5
From To every 5 years) every 5 years)
February 2005) years) Variance
-------------- ----------------- -------------- --------------
-------------- -------------- ----------
<S> <C> <C> <C> <C>
<C> <C> <C>
April 1, 2004 February 28, 2005 4,679,675.00 A.) P 425425 x
11 months 4,679,675.00 4,903,774.92 224,099.92
March 31, 2005 March 31, 2009 5,105,100.00 20,845,825.00 B.) Rental
Income for the 27,193,660.92
April 1, 2009 March 31, 2014 5,156,151.00 25,780,755.00 next 49
months 26,747,863.20
April 1, 2014 March 31, 2019 5,207,712.51 26,038,562.55
26,747,863.20
April 1, 2019 March 31, 2024 5,259,789.64 26,298,948.18
26,747,863.20
April 1, 2024 March 31, 2029 5,312,387.53 26,561,937.66
26,747,863.20
April 1, 2029 March 31, 2034 5,365,511.41 26,827,557.03
26,747,863.20
April 1, 2034 March 31, 2039 5,419,166.52 27,095,832.60
26,747,863.20
April 1, 2039 March 31, 2044 5,473,358.19 27,366,790.93
26,747,863.20
April 1, 2044 March 31, 2049 5,528,091.77 27,640,458.84
26,747,863.20
April 1, 2049 March 31, 2054 5,583,372.69 27,916,863.43
26,747,863.20
Total Income 267,053,206.22
272,828,204.64
Total Months Covered (Per Contract)
Total Monthly Income Per IAS 17
445,088.68
==============
Notes:
<PAGE>
No. -158614-
ATTEST:
<PAGE>
MEMORANDUM OF ENCUMBRANCES
(When necessary use this page for the continuation of the technical
description)
........................................
Register of Deeds
</TEXT>
</DOCUMENT>
EXHIBIT R
_________, 200__
_____(Name of Owner-Seller)____
_________(Address)_____________
_______________________________
Dear Mr./Ms._____________,
CLIENT REGISTRATION
In this regard and pursuant to the terms and conditions of my/our agency
agreement, I am/We are pleased to formally register to you the name(s) of my/our
prospective buyer(s), the company he/she represents including his/her agents,
employees, nominees or representatives, to whom I have shown the property on
____(Date of Showing)____, viz:
Please note that I/we have offered to sell your property to the aforenamed
prospective buyer(s) in cooperation with my/our network broker-associate,
____(Name of Cooperating Broker, if any)____ at your asking price of
PhP_______________.
(Note: If Broker has no written Authority To Sell yet, add the following
paragraph:)
I/We would like to confirm our verbal arrangement that in the event of sale of
the above property as a result of my/our efforts and that of my/our network
broker-associate(s) at the price that you will finally agree, I/we shall be
entitled to a broker’s commission of _____ Percent (___) payable to me/us
immediately upon your receipt of the full sale consideration without any
deductions, offsettings and applications whatsoever except the required BIR-
imposed broker’s tax, if necessary.
_______________________
Broker’s Name & Address
35
EXHIBIT KK
(Acknowledgment Receipt for Full Payment)
ACKNOWLEDGMENT RECEIPT
_____________________________
(VENDOR)
(or if with Special Power of Attorney)
______(Date)______ Acting as Attorney-In-Fact for:
______(Registered Owner)_______
====================================================
BREAKDOWN OF PAYMENT:
[ ] C A S H ………………………………………………………. PhP______________
[ ] MANAGER’S CHECK :
[ ] PERSONAL CHECK:
83