Company: SQFTP
Filing Date: 2025-12-15
Form Type: S-11
Source: 0001493152-25-027787
Chunk: 75

Company: Presidio Property Trust, Inc.
Filing Date: 2025-12-15
Form: S-11
Chunk 75
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 determined at the time the lease with the taxable REIT subsidiary is entered into, extended, and modified, if such modification 
 increases the rents due under such lease. Notwithstanding the foregoing, however, if a lease with a “controlled taxable REIT               
 subsidiary” is modified and such modification results in an increase in the rents payable by such taxable REIT subsidiary,                 
 any such increase will not qualify as “rents from real property.” For purposes of this rule, a “controlled taxable                         
 REIT subsidiary” is a taxable REIT subsidiary in which the parent REIT owns stock possessing more than 50% of the voting power             
 or more than 50% of the total value of the outstanding stock of such taxable REIT subsidiary;                                              |

| 48 |

| ● | Rent                                                                                                                                     
 attributable to personal property, leased in connection with a lease of real property, is not greater than 15% of the total rent         
 received under the lease. If this condition is not met, then the portion of the rent attributable to personal property will not qualify  
 as “rents from real property.” To the extent that rent attributable to personal property, leased in connection with a                    
 lease of real property, exceeds 15% of the total rent received under the lease, we may transfer a portion of such personal property      
 to a taxable REIT subsidiary; and                                                                                                        |
| ● | We                                                                                                                                       
 generally may not operate or manage the property or furnish or render services to our tenants, subject to a 1% de minimis exception      
 and except as provided below. We may, however, perform services that are “usually or customarily rendered” in connection                 
 with the rental of space for occupancy only and are not otherwise considered “rendered to the occupant” of the property.                 
 Examples of these services include the provision of light, heat, or other utilities, trash removal and general maintenance of common     
 areas. In addition, we may employ an independent contractor from whom we derive no revenue to provide customary services to our tenants, 
 or a taxable REIT subsidiary (which may be wholly or partially owned by us) to provide both customary and non-customary services         
 to our tenants without causing the rent we receive from those tenants to fail to qualify as “rents from real property.”                  |

We generally do not intend to take actions we believe will cause us to fail to satisfy the rental conditions described above. However, we may intentionally fail to satisfy some of these conditions to the extent we determine, based on the advice of