Common use of Basic Costs Clause in Contracts

Basic Costs. On a monthly basis, Tenant shall pay to Landlord an amount equal to one twelfth (1/12th) of the product of (1) Landlord’s annual Basic Costs (as described on Exhibit C), multiplied by (2) Tenant’s Proportionate Share. Tenant shall pay to Landlord, on the Commencement Date and on the first day of each calendar month thereafter, an amount equal to Tenant’s Estimated Proportionate Share of Basic Costs for the ensuing month. From time to time during any calendar year, Landlord may estimate and re-estimate the Proportionate Share of Basic Costs to be due by Tenant for that calendar year and deliver a copy of the estimate or re-estimate to Tenant. Thereafter, the monthly installments of estimated Basic Costs payable by Tenant shall be appropriately adjusted in accordance with the estimations so that, by the end of the calendar year in question, Tenant shall have paid all of its Proportionate Share of Basic Costs as estimated by Landlord. It is understood that the “estimated” cost is subject to revision based on the actual operating costs of the Building and Project.