Category: Business Operations|Business Tax|Real Estate

  • Lease Termination Fee of $6.25M Allowed

    Lease Termination Fee of $6.25M Allowed

    ABC Beverage Corporation (“ABC”) determined its lease payments under a 40-year lease of a bottling plant in Hazelwood, Missouri were in excess of market rates and therefore exercised a right-to-buy option under the lease. Appraisals obtained by ABC placed the value of the property without the lease at $2.75 million. ABC determined that the value…