Controllable Expenses. Tenant’s obligation to pay all other Operating Expenses which are not Uncontrollable Expenses (herein “Controllable Expenses”) shall be limited to a five percent (5%) per annum increase over the amount the Controllable Expenses for the immediately preceding calendar year would have been had the Controllable Expenses increased at the rate of five percent (5%) in all previous calendar years beginning with the actual Controllable Expenses for the year ending December 31 of the second full calendar year of the Lease Term.
Controllable Expenses. Landlord shall cap increases of Controllable Expenses at no more than a four percent (4%) increase per year (compounded annually on
Controllable Expenses. Further, notwithstanding the foregoing, in no event shall Controllable Operating Expenses, as that term is defined below, for any Expense Year following the Expense Year that commences on January 1st of 2022 (the "Measuring Expense Year") increase by more than seven percent (7%) per Expense Year, on a cumulative and compounding basis; for example, the maximum amount of Controllable Operating Expenses that may be included in the calculation of such Operating Expenses for each calendar year after the Measuring Expense Year shall equal the product of the Controllable Operating Expenses and the following percentages for the following calendar years: 107% for the first year following the Measuring Expense Year; 114.49% for the second year following the Measuring Expense Year; 122.50% for the third year following the Measuring Expense Year; 131.08% for the fourth year following the Measuring Expense Year; etc. However, any increases in Operating Expenses not recovered by Landlord due to the foregoing limitation shall be carried forward into succeeding calendar years during the Lease Term (subject to the foregoing limitation) to the extent necessary until fully recouped by Landlord. Upon the commencement of the first Option Term, the Measuring Expense Year shall be reset to be the Expense Year that commences on January 1st of the Expense Year following the Expense Year in which such Option Term commences. As used herein "Controllable Operating Expenses" shall mean all Operating Expenses, excluding the following: (i) utility charges, (ii) the cost of union labor, including payroll and benefits, which shall include labor which is not union as of the effective date of this Lease, but which unionizes after the date of this Lease, (iii) market-wide labor-rate increases due to extraordinary circumstances, including without limitation, boycotts and strikes, (iv) costs incurred due to an event of "Force Majeure," as that term is defined in Section 29.16 of this Lease and other extraordinary weather-related costs (such as those resulting from infestation, storms, drought and other severe weather), (v) Landlord's insurance costs and deductibles thereunder, (vi) costs relating to compliance with governmentally mandated transportation management programs, (vii) costs incurred to comply with governmental requirements and applicable Laws, (viii) amortized costs of Permitted Capital Expenses required by law, (ix) any costs incurred specifically at the request of Tenant and not ...
Controllable Expenses. For each Calendar Year, the Controllable Expenses component of Revised Operating Expenses shall not increase by more than three percent (3%) in the aggregate over the Controllable Expenses component of Revised Operating Expenses for the previous Calendar Year, compounded annually, through the Year of adjustment. Provided, however, that if Controllable Expenses increase less than three percent (3%) in the aggregate over the Controllable Expenses component of Revised Operating Expenses for the previous Calendar Year, Landlord shall be permitted to carry over the difference between such actual increase in Controllable Expenses and three percent (3%) in any Year that Controllable Expenses increase more than three (3%) percent. EXHIBIT “I” STANDARDS FOR UTILITIES AND SERVICES
Controllable Expenses. Notwithstanding anything contained herein to the contrary, for purposes of computing Tenant’s Proportionate Share of Operating Costs for any calendar year starting with calendar year 2008, the “Controllable Expenses” (as hereinafter defined) shall not increase by more than five percent (5%) per calendar year on a compounding and cumulative basis over the course of the Term. To illustrate the foregoing, if Controllable Expenses are Two and no/100 dollars ($2.00) per rentable square foot of the Building for
Controllable Expenses. All expenses, other than Uncontrollable Expenses, with respect to the Property.
Controllable Expenses. Notwithstanding anything in this Lease to the contrary, Landlord agrees, for purposes of computing Tenant's Operating Expenses Rent, that any increase in total Controllable Expenses in excess of ten percent (10%) in any given calendar year shall be excluded in such computation. For purposes of this Paragraph 6.2, Landlord and Tenant acknowledge and agree that "Controllable Expenses" are defined as all Operating Expenses except the following: (i) utilities, (ii) property taxes, (iii) insurance and (iv) those items affected by labor costs, such as janitorial services, in the event of an increase in the legal minimum wage or a general increase in the wage level in the Houston, Texas area.
Controllable Expenses. Tenant shall continue to pay Additional Rent in accordance with Article 4 of the Lease. Notwithstanding the foregoing, however, effective as of the Effective Date, the total amount of Controllable Expenses (as hereinafter defined) used to determine the Operating Expense Amount shall be capped as described below. For Operating Expense Amounts due and payable for periods from and after the Effective Date, Controllable Expenses for each calendar year of the Term beginning in calendar year 2014 shall not exceed the Cap Amount (defined below) for such calendar year. Controllable Expenses shall not exceed 105% of the actual Controllable Expenses incurred by Landlord in the previous calendar year (the “Cap Amount”). For purposes hereof, “Controllable Expenses” shall mean all Operating Expenses except those Operating Expenses that are not within the control of Landlord including, but not limited to, Taxes and the cost of insurance, ice and snow removal, utility charges and union labor and contract costs and benefits.
Controllable Expenses. Notwithstanding the foregoing, Landlord agrees that the total amount of "Controllable Project Costs," as such term is defined below, included in Operating Expenses shall not exceed the amount that is equal to the Controllable Operating Expenses for the first full calendar year of the Lease Term occurring after the calendar year in which the Lease Commencement Date occurs, as increased three percent (3%) per year, on a cumulative, compounded basis, through the expiration of the subject calendar year for which Controllable Operating Expenses are to be calculated. For purposes of this Lease, the term "Controllable Operating Expenses" shall mean all Operating Expenses with the exception of the following: (i) cost of insurance carried by Landlord relating to the Project or the operation thereof; (ii) costs of workers' compensation benefits insurance and employer's liability insurance with respect to any employees of Landlord, its agents or its affiliates engaged in management, access control or maintenance of the Property; (iii) all costs related to the provision of utilities; (iv) excess costs incurred in the operation, cleaning, maintenance repair or up-keep of the Building or the Property only to the extent resulting from unionization of a particular trade or market-wide labor-rate increases due to extraordinary circumstances including, without limitation, boycotts and strikes; (v) Permitted Capital Expenditures properly amortized and included in Operating Expenses in accordance with Section 4.2.3.1(xvi); and (vi) costs for parking lot sealing and/or resurfacing not more than once every four (4) years. Tenant hereby acknowledges and agrees that Taxes are not included within Operating Expenses and are therefore not included within Controllable Operating Expenses.
Controllable Expenses. Notwithstanding anything to the contrary contained herein, following the first full calendar year of the initial Term of this Lease (i.e., whereby the Estimated NNN Charges are currently anticipated to be incurred), Tenant's Percentage of "controllable expenses" shall not increase by an average of more than five percent (5%) of such Estimated NNN Charges per calendar year on a cumulative, compounded basis. As used herein, the term "controllable expenses" means all NNN Charges other than (i) the cost of utilities; (ii) Real Property Taxes; (iii) Insurance Costs; (iv) capital repairs and replacements; and (v) repair costs incurred by Landlord pursuant to the first sentence of Paragraph 13(b) below.
