Annual Report 2019

083 Miramar Hotel and Investment Company, Limited Annual Report 2019 Report of the Directors Rent : A basic rent (the “Basic Rent”) payable on a monthly basis during the Short Term Sub-Lease is HK$1,117,970.00 per calendar month and during the New Sub-Lease is HK$1,038,115.00 per calendar month for the first six months and HK$1,117,970.00 per calendar month for the seventh to thirty-fourth months (all exclusive of rates, air-conditioning and management charges, promotional levy, utility and other charges and all other outgoings (if any)), plus the additional rent calculated as the excess of 11% of the gross amount of all sums billed or received in the course of the tenant’s business conducted at the ifc Premises and all other income deriving from or in respect of the ifc Premises excluding 10% service charges (the “Gross Receipts”) against the Basic Rent under the Short Term Sub-Lease or the New Sub-Lease (as the case may be) (the “Turnover Rent”) per calendar month. Payment term : The Basic Rent shall be payable in advance by the tenant to the landlord on the first day of each calendar month. The Turnover Rent (if applicable) shall be payable by the tenant to the landlord on the fifteenth day of the following month. Rental deposit : A rental deposit in the sum of HK$4,967,630.40 (equivalent to the aggregate of the highest pre-determined Basic Rent, air- conditioning and management charges, government rates (or, if applicable, provisional rates) and promotional levy currently payable in respect of the ifc Premises for three months) is payable by the tenant to the landlord and subject to the terms of the New Sub-Lease, and is refundable to the tenant without interest within forty-five days after the expiry or sooner determination of the New Sub-Lease and delivery of vacant possession of the ifc Premises. Other charges : The aggregate of air-conditioning and management charges and promotional levy payable by the tenant in advance on the first day of each calendar month in respect of the New Sub- Lease shall be HK$491,906.80 per month (subject to revision from time to time).