Notice on Rent Reduction for non-state-owned small and micro enterprises and individual industrial and commercial households

In order to implement the Notice of the Shanghai State-owned Assets Supervision and Administration Commission on Further Reducing the Rent of SOEs (Shanghai SASAC Regulation [2022] No. 86), Shanghai Tower hereby informs all tenants about the plan for reducing the rent for non-state-owned small and micro enterprises and individual industrial and commercial households in Shanghai Tower as follows:

1. Implementing entity

Shanghai Tower Construction and Development Co Ltd is the main body for the implementation of this rent reduction.

2. Policy basis

1. Detailed Rules for the Implementation of Rent Reductions for Small and Micro Enterprises and Individual Industrial and Commercial Households by State-Owned Enterprises in Shanghai (Shanghai SASAC Regulation [2022] No. 1)

2. Notice of the Shanghai State-owned Assets Supervision and Administration Commission on Further Reducing the Rent of SOEs (Shanghai SASAC Regulation [2022] No. 86)

3. Applicable objects

All non-state-owned small and micro enterprises and individual industrial and commercial households engaged in production and business activities in the office building and commercial housing of Shanghai Tower can apply for the rent reduction.

Among them, small and micro enterprises are identified according to classification standards made in the “Divisions for Large, Medium, Small and Micro Enterprises (2017)” and the Notice on Printing the Classification Standards of Financial Enterprises. Large- and medium-sized enterprises and its subsidiaries, as well as state-owned enterprises renting offices are not eligible for applying for this rent reduction.

Individual industrial and commercial households refer to business operators whose business license registration type is “individual industrial and commercial households”.

4. Rent reduction method

For the final tenant applicant who meets relevant conditions, the implementing entity will reduce the applicant’s six-month rent after reviewing and approving the application. If the applicant’s lease period in 2022 is less than one year, and the lease contract involves rent exemption, preferential rent, etc., the amount of reduction shall be calculated according to the proportion of the actual annual rent.

If there is an indirect lease of the Shanghai Tower property, the sub-leaser shall not enjoy this benefit, and the ultimate tenant, the non-state-owned small and micro enterprises and individual industrial and commercial households shall enjoy the rent reduction. Among them, if the sub-leaser is a state-owned enterprise, it shall jointly bear the rent reduction with the lessor; if the sub-leaser is a non-state-owned enterprise, it shall cooperate with the lessor and the state-owned enterprise sub-leaser to implement all rent reductions to the final lessee, and encourage non-state-owned enterprise sub-leasers to give appropriate assistance to small and micro enterprises and individual industrial and commercial households.

5. Application and Acceptance

Shanghai Tower Construction and Development Co Ltd has entrusted Shanghai Tower Business Operation Company to deal with the matter. The applicant should submit the application for rent reduction and related materials via paper documents. From April 12, 2022, relevant applications will be accepted, and enterprises that meet the application conditions do not need to provide supporting materials in the face of the COVID-19 pandemic. After the application for rent reduction is approved by our company, the tenant will be notified in writing and a supplementary agreement will be signed in turn.

The application deadline is May 30, 2022.

Office Contact: Wu Liangyan

Tel:【021-20656881】

Contact Email:【wuliangyan@shanghaitower.com】

Commercial contact: Fu Weiwei

Tel:【021-20656889】

Contact Email:【fuweiwei@shanghaitower.com】

Shanghai Tower Construction and Development Co Ltd reserves the right of final interpretation of the rent reduction plan. Meanwhile, the company has the right to adjust the implementation in the event of policy adjustment.

Shanghai Tower Construction and Development Co Ltd

April 27, 2022