Common use of Computation of Additional Rent Clause in Contracts

Computation of Additional Rent. The determination and computation of the Additional Rent shall be made by Landlord. The Additional Rent shall equal the product of (a) Tenant’s Pro Rata Share of Operating Costs multiplied by the difference between Operating Costs minus the Operating Cost Base Amount; (b) Tenant’s Pro Rata Share of Property Taxes multiplied by the difference between Property Taxes minus the Property Tax Base Amount; and (c) Tenant’s Pro Rata Share of Insurance Costs multiplied by the difference between Insurance Costs minus the Insurance Base Amount. After the close of each calendar year, Landlord shall deliver to Tenant a written statement setting forth the Additional Rent payable for the preceding calendar year. If the Additional Rent exceeds the Additional Rent Estimate paid by Tenant, Tenant shall pay the amount of such excess to Landlord within thirty (30) days after delivery of such statement to Tenant. If such statement shows the Additional Rent to be less than the Additional Rent Estimate paid by Tenant, then the amount of such overpayment shall be paid by Landlord to Tenant within thirty (30) days following the date of such statement or, (unless the Lease has ended) at Landlord’s option, shall be credited toward future installment(s) of Additional Rent Estimate.