Lease rental.

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§516-66 Lease rental. (a) In every case of an extension under section 516-65, the annual lease rental during the first thirty years shall not exceed an amount determined as follows:

(1) Compute to the nearest whole year, one hundred per cent of the unexpired period of fixed rent at the commencement of the extended term;

(2) Multiply the number of years computed in paragraph (1) by the fixed annual rent in effect immediately prior to the extension;

(3) Deduct from thirty years the number of years computed in paragraph (1) and multiply that difference by the annual rent determined by mutual agreement of lessor and lessee within thirty days after the extension or by arbitration in accordance with chapter 658A; and

(4) Add the amounts computed in paragraphs (2) and (3) and divide that sum by thirty. This sum rounded to the nearest dollar shall be the annual rent for the first thirty years of the extended term; provided that the rent shall not be less than the annual rent in effect immediately prior to the extension, unless otherwise consented to by the lessor.

(b) The annual rent payable under subsection (a) for and during the remaining period of the extended term shall be determined by mutual agreement of the lessor and the lessee or, if they fail to reach an agreement at least ninety days before the commencement of the period, by arbitration in accordance with chapter 658A. [L 1967, c 307, §39; HRS §516-66; am L 1975, c 184, §2(18); am L 2001, c 265, §4; am L 2018, c 18, §40]


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