Common use of Exclusions from Operating Costs Clause in Contracts

Exclusions from Operating Costs. Operating Costs will not include the following: (a) original construction costs of the Building or Project; (b) Real Estate Taxes; (c) depreciation of the Building (except as otherwise provided herein); (d) payments of principal and interest on any mortgages, deeds of trust, or other encumbrances on the Building; (e) costs to paint, decorate, or renovate a specific tenant’s space (specifically excluding base building improvements and systems and the common areas of the Project), unless such items are similarly provided to, or benefit generally, other tenants in the Building; (f) costs to repair, restore, or replace any item in the Building, to the extent Landlord is actually reimbursed therefore by proceeds from insurance, warranties, condemnation, a tenant of the Building or a third party; (g) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs and advertising or promotional costs Landlord incurs to lease space in the Building to tenants or prospective tenants of the Building; (h) any ground lease rental; (i) the cost of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants in the Building or Project; (k) all items or services for which another tenant of the Building reimburses Landlord (other than through Operating Costs); (l) Landlord’s general corporate overhead (except to the extent management/administrative fees are otherwise permitted in this Lease); (m) electric power costs for which any tenant directly contracts with the local public utility service; (n) all costs of Landlord’s political or charitable contributions; (o) interest or penalties arising from Landlord’s late payment of any costs relating to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costs, fees, and charges paid to Landlord or Landlord’s affiliates for services in connection with the Building or Project to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (s) costs incurred in connection with the sale, financing, or refinancing of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Project); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agents; and (u) costs incurred by Landlord in connection with correction of defects in design and construction of the Building or Project.

Appears in 4 contracts

Samples: Work Agreement (Callidus Software Inc), Work Agreement (Callidus Software Inc), Lease (Taleo Corp)

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Exclusions from Operating Costs. Operating Costs will shall not include any of the following: (a) original construction costs of the Building or Project; (b) Real Estate Taxes; (c) depreciation of the Building (except as otherwise provided herein); (db) payments of principal and interest or other debt costs on any mortgages, deeds of trust, ground leases, or other encumbrances on upon the Building; (ec) costs to paintthe cost of preparing, decorate, improving or renovate a specific tenant’s altering space (specifically excluding base building improvements and systems and the common areas of the Project), unless such items are similarly provided to, for Tenant or benefit generally, any other tenants in the Buildingtenant or occupant; (fd) costs to the cost of any repair, restorerestoration, replacement or replace any item in the Buildingother item, to the extent Landlord is actually reimbursed therefore therefor by proceeds from insuranceinsurance proceeds, warrantiesanother tenant, condemnation, a tenant of the Building warranties or a third partycondemnation proceeds; (ge) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs planners’ fees and advertising or promotional costs incurred by Landlord incurs to lease space in the Building to tenants or prospective tenants of the Building or legal fees incurred in lease disputes with tenants; (f) those operating expenses which relate exclusively to the retail space in the Building; (g) costs incurred in connection with the original construction of the Building; (h) any ground lease rentalbad debt loss, rent loss, or reserves for bad debts or rent loss; (i) the cost expense of any capital improvements made by Landlord extraordinary service provided to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants in the Building (but not to Tenant) for which such tenants are separately charged by Landlord”, (j) costs associated with the operation of the entity which constitutes the Landlord, as the same are distinguished from the costs of operation of the Building, including limited liability company or Projectpartnership accounting and legal matters, costs of defending any lawsuits with any mortgagee (except to the extent that the actions of Tenant may be an issue in such lawsuit), or costs of selling, syndicating, financing, mortgaging or hypothecating any of the Landlord’s interests in the Building; (k) the portion of the wages and benefits of any employee who does not devote substantially all items of his or her employed time to the Building which relate to the time spent by such employee on matters unrelated to operating, managing or repairing the Building; (I) costs, including permit, license and inspection costs, incurred with respect to the installation of tenant improvements made for new tenants in the Building or incurred in renovating or otherwise improving, decorating, painting or redecorating vacant space for tenants or other occupants of the Building (however, this exclusion shall not encompass any such costs relating to any common areas of the Building or the Garage); (m) the portion, if any, of the cost of any services in the Building which are provided by Landlord or its subsidiaries or affiliates to the extent the cost of such services exceeds the cost of such services as rendered by qualified, first class, unaffiliated third parties on a competitive basis; (n) the cost of all goods and services for which another Tenant or any other tenant of in the Building reimburses Landlord (except through the payment of operating cost pass-throughs) or which Landlord provides selectively to one or more tenants (other than through Operating Costs)Tenant) without reimbursement, but does not offer to Tenant; (l) Landlord’s general corporate overhead (except to the extent management/administrative fees are otherwise permitted in this Lease); (mo) electric power costs for which any tenant directly contracts with the local public utility serviceservice company; (np) all costs of arising from the Landlord’s political or charitable contributions; (oq) any ground rents or similar payments to a ground lessor; (r) reserves for repairs, maintenance and replacements; (s) costs and expenses incurred in connection with any transfer of an interest in the Building or the Land; (t) costs or expenses necessitated by or resulting from the gross negligence of Landlord, its agents or employees, but only if such costs would not have been incurred but for such gross negligence of Landlord, its agents or employees; (u) interest or penalties arising from by reason of Landlord’s late payment failure to timely pay any Property Taxes or Operating Costs; (v) costs incurred to remove any hazardous or toxic wastes, materials or substances from either the Building or the Land which were present in the Building or the Land on the Delivery Date; (w) costs (including attorneys’ fees) incurred by the Landlord due to the knowing violation by Landlord of the terms and conditions of any lease of space in the Building, but only if such cost would not have been incurred but for such knowing violation by Landlord; (x) costs relating of all sculptures, paintings, and other works of art costing more than $5,000.00 each; and (y) the cost of renting machinery or equipment which, if purchased, would constitute a capital expenditure that is not a permitted Operating Cost, except for (A) items that, if purchased, would constitute Permitted Capital Expenditures, (B) equipment not fixed to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costsBuilding which is used in providing janitorial, feessecurity or other similar services, and charges paid to Landlord or Landlord’s affiliates for services (C) rentals needed in connection with the Building emergencies or Project to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party normal repairs and maintenance of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (s) costs incurred in connection with the sale, financing, or refinancing of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Project); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agents; and (u) costs incurred by Landlord in connection with correction of defects in design and construction of the Building or Projectpermanent systems.

Appears in 2 contracts

Samples: Work Agreement (Opower, Inc.), Work Agreement (Opower, Inc.)

Exclusions from Operating Costs. Notwithstanding the foregoing, the total expenses computed for determining the Operating Costs will relating to the Leased Premises shall not include the followinginclude: (ai) original construction costs of any expenses charged or chargeable or directly related to another tenant in the Building because of such tenant’s disproportionate consumption of any utilities or Projectservices (as determined by Landlord) or such tenant’s breach of its lease agreement with Landlord; (bii) principal, escrow deposits, interest, points and fees on any indebtedness or amortization on or for any mortgage encumbering the Real Estate Taxes; Property, or any part thereof, and all and other sums paid on or in respect to any indebtedness (c) depreciation of the Building (except as otherwise provided hereinwhether or not secured by a mortgage); (d) payments of principal and interest on any mortgages, deeds of trust, or other encumbrances on the Building; (eiii) costs to paint, decorate, or renovate a specific tenant’s space (specifically excluding base building of improvements and systems and the common areas of the Project), unless such items are similarly provided to, or benefit generallyalterations of, other tenants space leased to or available for lease to any tenant in the Building; (fiv) costs to repair, restore, and expenses incurred in connection with leasing space in or replace any item in procuring tenants for the Building, to including, without limitation, leasing commissions, advertising and promotional expenses, legal and other professional fees, relocation and build-out allowances and expenses; (v) costs of the extent Landlord is actually reimbursed therefore by proceeds from insurance, warranties, condemnation, a construction and installation of signs in or on the Building identifying any tenant of the Building or a third party(other than with respect to building directories in the lobby); (gvi) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs and advertising or promotional costs Landlord incurs to lease space of correcting defects in the Building initial construction of the base, shell or core Building, provided that this shall not exclude the cost of normal repair and maintenance expected with respect to tenants or prospective tenants of the construction materials and equipment installed in the Building; (hvii) any ground lease rental; (i) management fees in excess of 3% of the cost of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants gross rentals payable in the Building or Projectfor each calendar year; (kviii) all items or wages, salaries, compensation and benefits of any employees above the level of property manager; (ix) amounts paid to an affiliate to render services for which another tenant of the Building reimburses Landlord (other than through Operating Costsmanagement fees which are subject to the provisions of clause (vii) above), which are in excess of the fair market rate for such services; (l) Landlord’s general corporate overhead (except to the extent management/administrative fees are otherwise permitted in this Lease); (m) electric power costs for which any tenant directly contracts with the local public utility service; (n) all costs of Landlord’s political or charitable contributions; (o) interest or penalties arising from Landlord’s late payment of any costs relating to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costs, fees, and charges paid to Landlord or Landlord’s affiliates for services in connection with the Building or Project to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (s) costs incurred in connection with the sale, financing, or refinancing of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Project); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agents; and (ux) costs incurred by Landlord in connection with correction removing or remediating the effects of defects in design and construction Hazardous Materials (as hereinafter defined) existing on the Real Property as of the Building date hereof, or Projectplaced on the Real Property by Landlord or any of Landlords employees, agents or contractors; (xi) costs for which Landlord is reimbursed, provided that any costs incurred to obtain such reimbursement may be included in Operating Costs; (xii) charitable and political contributions; (xiii) fines, interest, charges, penalties, damages and other costs incurred by Landlord by reason of any default or late payment by it under any lease or other contract or instrument (regardless of whether or not the payment itself is allowed to be included in Operating Costs), including, without limitation, any legal. and other professional fees paid or incurred in connection therewith; (xiv) costs of repairs and maintenance required as a result of any gross negligence or willful misconduct by Landlord or any of its agents, employees or contractors; (xv) costs of sculpture, paintings, or works of art; and (xvi) that portion of the salaries for on or off site personnel to the extent any of them work for other projects owned by Landlord or the managing agent, which salaries shall be reasonably allocated among all buildings with which the individual is involved.

Appears in 2 contracts

Samples: Office Lease Agreement (Root, Inc.), Office Lease Agreement (Root Stockholdings, Inc.)

Exclusions from Operating Costs. Operating Costs will do not include costs for (1) capital improvements made to the following: Building (aexcept capital improvements described in Section 3.2(b)(3) original construction costs above); (2) repair, replacements and general maintenance paid by proceeds of insurance or by Tenant or other third parties; (3) interest, principal, amortization or other payments on loans to Landlord, except for interest payments made in connection with Subsection 3.2(b)(3) above; (4) depreciation; (5) real estate brokerage and/or leasing commissions; (6) renovations, alterations or improvements to the space of other tenants or occupants of the Building or Project; (b) Real Estate Taxes; (c) depreciation of the Building (except as otherwise provided herein); (d) payments of principal and interest on any mortgages, deeds of trust, or other encumbrances on the Building; (e) costs to paint, decorate, or renovate a specific tenant’s vacant space (specifically excluding base building improvements and systems and the common areas of the Project), unless such items are similarly provided to, or benefit generally, other tenants in the Building; (f7) costs to repairTaxes; (8) rental under any ground leases; (9) cost of repairs, restore, alterations or replace replacements required as the result of the exercise of any item in the Buildingright of eminent domain, to the extent Landlord is actually reimbursed therefore by proceeds from insurance, warranties, condemnation, has received an award; (10) cost of any special service or benefit rendered to a tenant of the Building or a third party; (g) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs and advertising or promotional costs Landlord incurs which is not rendered generally to lease space in the Building to tenants or prospective tenants of the Building; (h11) any ground lease rentalcosts and expenses incurred in connection with leasing space in the Building, such as tenant allowances, space planner fees, advertising and promotional expenses, and legal fees for the preparation of leases; (i12) the cost of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to any leasing office in the Building, rent payable in excess of what is reasonable and customary for similar buildings; (13) court costs and legal fees incurred in connection with disputes with any tenant other tenants in the than violations of Building or Projectrules and regulations; (k14) all items or services for which another tenant costs incurred by reason of the Building reimburses adjudicated violation by Landlord of any lease or other contractual obligations; (15) Landlord's general overhead, except as it relates to management of the Building; (16) payments of any other cost or expense to the extent to which Landlord is paid or reimbursed by any person (other than through reimbursements of Operating CostsCosts and Taxes from tenants in the Building); (l17) Landlord’s general corporate overhead costs of paintings, sculptures and other art work within the Building; (18) any compensation paid to any person or entity controlled directly or indirectly by Landlord or any principal of Landlord but only to the extent such compensation exceeds what would have been earned had such services, supplies or materials been provided on a competitive basis; (19) costs (including, without limitation, attorneys' fees), fines or penalties incurred due to the adjudicated violation by Landlord of applicable laws and regulations; and (20) all expenses related to removal of asbestos from any floor in the Building (except to the extent management/administrative fees are otherwise permitted in this Lease); (m) electric power costs for which any tenant directly contracts with the local public utility service; (n) all costs of Landlord’s political or charitable contributions; (o) interest or penalties arising from Landlord’s late payment of any costs relating to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costs, fees, and charges paid to Landlord or Landlord’s affiliates for services necessary in connection with the Building or Project to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (s) costs incurred in connection with the sale, financing, or refinancing routine repairs and/or maintenance of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict systems which costs for routine repairs and/or maintenance will not exceed $20,000 in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Projectcalendar year); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agents; and (u) costs incurred by Landlord in connection with correction of defects in design and construction of the Building or Project.

Appears in 1 contract

Samples: Lease Agreement (Coolsavings Inc)

Exclusions from Operating Costs. Operating Costs will shall not include the following: (a) original construction costs of the Building or Project; (b) Real Estate Taxes; (c) depreciation of the Building (except as otherwise provided herein); (db) payments of principal and interest or other debt costs on any mortgages, deeds of trust, trust or other encumbrances on upon the Building; (ec) costs to paintthe cost of preparing, decorate, improving or renovate altering space for Tenant or a specific tenant’s space (specifically excluding base building improvements and systems and the common areas of the Project), unless such items are similarly provided to, or benefit generally, other tenants in the Building; (fd) costs to the cost of any repair, restorerestoration, replacement or replace any item in the Buildingother item, to the extent Landlord is actually reimbursed therefore therefor by proceeds from insurance, warrantiesanother tenant, condemnation, a tenant of the Building warranties or a third partycondemnation proceeds; (ge) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs planners’ fees and advertising or promotional and marketing costs incurred by Landlord incurs to lease space in the Building to tenants or prospective tenants of the BuildingBuilding or legal fees incurred in lease disputes with tenants; (f) the cost of enforcing warranties; (g) the cost of all warranties included in contracts for the provision of materials or services to the Property; (h) any ground lease rentalportion of the operating expenses relating exclusively to the retail space; (i) costs incurred in connection with the cost original construction of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement DateBuilding; (j) attorneys’ fees with respect any bad debt loss, rent loss, or reserves for bad debts or rent loss; (k) the expense of extraordinary service provided to disputes with other tenants in the Building which are made available to the tenant at cost or Project; (k) all items or services for which another the tenant of the Building reimburses Landlord (other than through Operating Costs)is separately charged and collected; (l) costs associated with the operation of the business of the partnership of entity which constitutes the Landlord, as the same are distinguished from the costs of operation of the Building, including partnership accounting and legal matters, costs of defending any lawsuits with any mortgagee (except as the actions of the Tenant may be in issue), or costs of selling, syndicating, financing, mortgaging or hypothecating any of the Landlord’s general corporate interests in the Building; (m) the wages and benefits of any employee who does not devote substantially all of his or her employed time to the Building unless such wages and benefits are prorated to reflect time spent on operating and managing the Building vis-à-vis time spent on matters unrelated to operating and managing the Building; (n) costs, including permit, license and inspection costs, incurred with respect to the installation of tenant improvements made for new tenants in the Building or incurred in renovating or otherwise improving, decorating, painting or redecorating vacant space for tenants or other occupants of the Building (however, this exclusion shall not encompass any of such costs relating to any common areas of the Building or the Garage); (o) overhead (except and profit increment paid to the Landlord or to subsidiaries or affiliates of the Landlord for services in the Building to the extent management/administrative fees are otherwise permitted in this Lease)the same exceeds to the costs of such services rendered by qualified, first class, unaffiliated third parties a competitive basis; (mp) all items and services for which the Tenant or any other tenant in the Building is obligated to reimburse the Landlord or which the Landlord provides selectively to one or more tenants (other than the Tenant) without reimbursement; (q) electric power costs for which any tenant directly contracts with the local public utility serviceservice company and; (nr) all costs of arising from the Landlord’s political or charitable contributions; (os) any ground rents or similar payments to a ground lessor; (t) reserves for repairs, maintenance and replacements; (u) costs associated with installing sprinklers in the Building unless mandated by a change in Government Requirements after the Effective Date; (v) costs and expenses incurred in connection with any transfer of an interest in the Building or the Land; (w) costs of expenses necessitated by or resulting from the gross negligence of Landlord, its agents or employees; (x) interest or penalties arising from by reason of Landlord’s late payment of failure to timely pay any costs relating to the Project (unless resulting from Tenant’s late payment to Landlord)Property Taxes or Operating Expenses; (py) costscosts incurred to remove or remediate any hazardous or toxic wastes, fees, and charges paid to Landlord materials or Landlord’s affiliates for services in connection with substances from either the Building or Project to the extent such charges exceed the charges for comparable services rendered by an unrelated Land; or unaffiliated thirty party of comparable skill and competence; (qz) bad debt losses, rent losses any compensation or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (s) costs incurred in connection with the sale, financing, or refinancing of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due fees payable to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Project); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agents; and (u) costs incurred by Landlord in connection with correction of defects in design and construction of the Building or Projectthird party Garage Operator.

Appears in 1 contract

Samples: Deed of Lease (Amber Road, Inc.)

Exclusions from Operating Costs. Notwithstanding anything to the contrary contained herein, Operating Costs will shall not include any of the following: (ai) original construction costs of the Building or Projectground rent; (bii) Real Estate Taxesinterest and amortization of funds borrowed by Landlord for items other than capital improvements as expressly provided herein; (ciii) depreciation of the Building (except as otherwise provided herein)leasing commissions and advertising and space planning expenses incurred in procuring tenants; (div) payments of principal and interest on any mortgagessalaries, deeds of trustwages, or other encumbrances on compensation paid to employees of Landlord above the Buildinglevel of property manager; (ev) costs to paintof repairs, decoratereplacements or other work occasioned by fire, windstorm or other casualty, or renovate a specific tenant’s space (specifically excluding base building improvements and systems and the common areas exercise by Governmental Agencies of the Project), unless such items are similarly provided to, or benefit generally, other tenants in the Building; (f) costs to repair, restore, or replace any item in the Buildingright of eminent domain, to the extent Landlord is actually reimbursed therefore of any proceeds of insurance or condemnation award received by proceeds from insurance, warranties, condemnation, a tenant of the Building or a third partyLandlord; (gvi) leasing commissions, attorneys’ attorney fees, space planning costs, permitting costsdisbursements and other expenses incurred by Landlord or its agents in connection with negotiations for leases with tenants, license and inspection costs, moving costs and advertising or promotional costs Landlord incurs to lease space in the Building to tenants other occupants or prospective tenants or other occupants of the Building, and similar costs incurred in connection with disputes with and/or enforcement of any leases with tenants, other occupants, or prospective tenants or other occupants of the Building; (hvii) any ground lease rental“tenant allowances,” “tenant concessions” and other costs or expenses (including permit, license and inspection fees) incurred in completing, fixturing, furnishing, renovating or otherwise improving, decorating or redecorating space for tenants or other occupants of the Building, including space planning/interior design fees for same; (iviii) the cost costs of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirementcorrecting defects, including but not limited toany allowance for same, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants in the Building or Project; (k) all items or services for which another tenant construction of the Building (including latent defects) or equipment used therein, except that conditions resulting from ordinary wear and tear and not occasioned by construction defects shall not be deemed defects for purposes of this category; (ix) depreciation; (x) costs of a capital nature, except as provided for in item (u) above; (xi) costs in connection with services (including electricity) or other benefits of a type which are not standard for the Building and which are not available to Tenant without specific charge therefor, but which are provided to another tenant or occupant of the Building, whether or not such other tenant or occupant is specifically charged therefor by Landlord; (xii) services, items and benefits for which Tenant or any other tenant or occupant of the Building specifically reimburses Landlord (other than through Tenant’s pro rata contribution to Operating Costs)) or for which Tenant or any other tenant or occupant of the Building pays third persons; (lxiii) Landlord’s general corporate overhead penalties for late payment by Landlord provided that the failure of Tenant to make any payment or perform any obligation of Tenant under this Lease is not the cause of such penalty; (xiv) payments of principal, finance charges or interest on debt or amortization on any mortgage, deed of trust or other debt, and rental payments under any ground or underlying lease or leases (except to the extent management/administrative fees are otherwise permitted in this Leasethe same may be made to pay or reimburse or may be measured by, real estate taxes); (mxv) electric power costs except for which any tenant the management fee and as otherwise expressly provided in this Section, Landlord’s general overhead and general administrative expenses (individual, partnership or corporate, as the case may be) not directly contracts related to the management of the Building and not chargeable to Operating Costs of the Building in accordance with the local public utility servicegenerally accepted accounting principles consistently applied; (nxvi) all compensation paid to clerks, attendants or other persons in commercial concessions (such as a snack bar, restaurant or newsstand), if any, operated by Landlord or any subsidiary or affiliate of Landlord; (xvii) advertising and promotional expenses; (xviii) contributions to charitable organizations; (xix) costs or fees relating to the defense of Landlord’s political title to or charitable contributionsinterest in the Building; and (oxx) interest or penalties arising from Landlord’s late payment payments in respect of any costs relating profit to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costs, fees, and charges paid parties related to Landlord for supplies or Landlord’s affiliates for services in connection with the Building or Project materials to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or that the cost of gifts to tenants such supplies or employeesmaterials exceed the cost that would have been paid had such supplies or materials been provided by parties unaffiliated with the Landlord on a competitive basis; (sxxi) costs incurred in connection with directly resulting from the sale, financing, or refinancing of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Project); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agentsLandlord; and (uxxii) costs incurred by of curing any violation of law which Landlord in connection with correction of defects in design and construction is obligated to cure as of the Building or Projectdate of this Lease.

Appears in 1 contract

Samples: Lease (PharMEDium Healthcare Holdings, Inc.)

Exclusions from Operating Costs. Notwithstanding anything contained herein to the contrary, Operating Costs will shall not include any of the following: (a1) original construction ground rent or similar payments to a ground lessor and the cost of consummating any ground lease; (2) interest and amortization of funds borrowed by Landlord; (3) except as specifically provided in the preceding subparagraph, costs of the Building or Projecta capital nature including capital improvements, capital replacements, capital repairs, capital equipment, capital expenditures, and capital taxes, as determined under Institutional Accounting Practices; (b) Real Estate Taxes; (c4) depreciation of the Building or equipment used in connection therewith; (5) interest, points, fees and amortization or other costs, including legal fees, associated with any mortgage, loan or refinancing of the Building or the Land (except as otherwise provided hereinabove for the amortization of capital improvements); (d6) principal payments of principal mortgage and interest on any mortgages, deeds other non-operating debts of trust, Landlord; (7) the cost of repairs or other encumbrances on the Building; (e) costs to paint, decorate, or renovate a specific tenant’s space (specifically excluding base building improvements and systems and the common areas of the Project), unless such items are similarly provided to, or benefit generally, other tenants in the Building; (f) costs to repair, restore, or replace any item in the Building, work to the extent Landlord is actually reimbursed therefore by insurance or condemnation proceeds from insurance, warranties, condemnation, a tenant of the Building or a third party; (g) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs and advertising or promotional costs Landlord incurs to lease space in the Building to tenants or prospective tenants of the Building; (h) any ground lease rental; (i) the cost of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants in the Building or Project; (k) all items or services for which another tenant of the Building reimburses Landlord parties (other than through Operating Costs); (l8) repairs or other work occasioned by: (a) Landlord’s general corporate overhead fire, windstorm or other casualty of the type which Landlord has insured (except to the extent management/administrative fees are otherwise permitted in this Leasethat Landlord has received insurance proceeds, or would have received insurance proceeds if the insurance required to be maintained by Landlord pursuant to Paragraph 4.15. hereof had been maintained); , or (mb) electric power costs for which any tenant directly contracts with the local public utility service; exercise of the right of eminent domain (n) all costs of Landlord’s political or charitable contributions; (o) interest or penalties arising from Landlord’s late payment of any costs relating to the Project (unless resulting from Tenant’s late payment to extent that such repairs or other work are covered by the proceeds of the award, if any, received by Landlord); (p9) costs, fees, and charges paid to Landlord or Landlord’s affiliates costs of electricity and other services sold or provided to tenants in the Building (including Tenant) and for services which Landlord is entitled to be reimbursed by such tenants as a separate additional charge or rental over and above the base rental or additional base rental payable under the lease with such tenant or with respect to any vacant rentable areas of the Building; (10) the cost in connection with the initial construction of the Building or Project and any costs at any time of any installation and decoration incurred in connection with leasing space in the Building (including the space leased to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill Tenant), including legal fees and competencebrokerage commissions; (q11) bad debt losseslease concessions, rent losses or reserves for same (except for Landlord’s insurance costs relating including rental abatements and construction allowances, granted to same)specific tenants; (r) entertainment expenses or the cost of gifts to tenants or employees; (s12) costs incurred in connection with the sale, financing, financing or refinancing of the Building or Project including brokerage commissions(including, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costswithout limitation, transfer taxes taxes); (13) organizational expenses associated with the creation and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right operation of the entity which constitutes Landlord and all general corporate overhead and general administrative expenses not related to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment the operation of the Building or Project due the Land; (14) any penalties or damages that Landlord pays to Tenant under this Lease or to other tenants in the sale, transfer, Building under their respective leases; (15) items and services (of a nature or any other event which results in a reassessment quantity) that Landlord provides selectively to one or increase in Real Property Taxes allocable more but less than all tenants of the Building; (16) overhead and profit paid to subsidiaries or affiliates of Landlord for management or other services on or to the Building or Project)the Land or for supplies or other materials, to the extent the cost of the services, supplies or materials exceeds the competitive costs of the services, supplies, materials were they not provided by a subsidiary or affiliate; (t17) damage rentals and other related expenses incurred in leasing air conditioning systems, elevators or repairs needed due other equipment ordinarily considered to be of a capital nature other than equipment used in providing janitorial services and not affixed to the gross negligence Building; (18) any costs, fines or willful misconduct penalties incurred because Landlord violated any governmental rule or authority; (19) leasing commissions, legal fees, advertising, space planning expenses, and renovation costs incurred in procuring or retaining tenants; (20) structural repairs to the foundation, walls or roof of the Building; (21) costs relating to the preparation of Landlord’s tax returns; (22) legal fees or similar expenses relating to disputes or negotiations with tenants based on Landlord’s negligent or other tortious conduct, the enforcement of leases, or the securing of defense of Landlord’s title to the Land or the Building; (23) salaries, wages, or other compensation paid to employees above the level of building manager, or to officers or executives of Landlord or its agentsin their capacities as officers and executives; and (u24) costs incurred by Landlord any cost or expense related to removal, cleaning, abatement or remediation of Hazardous Substances (as hereinafter defined) or asbestos in connection with correction or about the Building, the Common Areas or the Land, including, without limitation, Hazardous Substances in the ground water or soil to the extent that the presence of defects in design and construction such Hazardous Substances or asbestos is not a direct result of Tenant’s use or occupancy of the Building or ProjectPremises.

Appears in 1 contract

Samples: Office Lease (Cephalon Inc)

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Exclusions from Operating Costs. Notwithstanding the foregoing, Operating Costs will (net of Property Taxes) shall not include any of the following: (a1) original construction capital expenditures, except for those Operating Costs set forth above in the definition of Operating Costs (net of Property Taxes) to the extent such operating Costs (net of Property Taxes) constitute capital expenditures; (2) costs of the Building any special services rendered to individual tenants (including Tenant) (3) painting redecorating or Projectother work which Landlord performs for specific tenants; (b) Real Estate Taxes; (c4) depreciation or amortization of the Building costs required to be capitalized in accordance with generally accepting accounting practices (except as otherwise provided hereinfor those Operating Costs (net of Property Taxes) set forth above in the definition of Operating Costs (net of Property Taxes) to the extent any of such Operating Costs (net of Property Taxes) are required to be capitalized in accordance with generally accepting accounting practices); (d5) payments interest, principal, points and fees on debt or amortization of principal funds borrowed by Landlord, except for items which are otherwise included in Operating Costs (net of Property Taxes) as provided above; (6) leasing commissions, advertising, legal, space planning and interest on any mortgages, deeds of trust, or other encumbrances on construction expenses incurred in procuring tenants for the Building; (e7) costs to paintsalaries, decoratewages, or renovate a specific tenant’s space other compensation paid to officers or executives of Landlord or its property management company in their capacities as officers and executives; (specifically excluding base building improvements and systems and the common areas of the Project)8) any other expenses for which Landlord actually receives direct reimbursement from insurance, unless such items are similarly provided tocondemnation awards, or benefit generallywarranties, other tenants in the Building; (f) costs or any other source but excluding general payments of Additional Rent pursuant to repair, restore, or replace any item in the Building, to the extent Landlord is actually reimbursed therefore this Article 3 by proceeds from insurance, warranties, condemnation, a tenant of the Building or a third party; (g) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license Tenant and inspection costs, moving costs and advertising or promotional costs Landlord incurs to lease space in the Building to tenants or prospective other tenants of the Building; (h9) any net basic rents under ground lease rentalleases; (i10) all costs incurred in the cost initial construction of any capital improvements made the Building; (11) costs directly resulting from the willful misconduct of Landlord, its employees, agents, contractors or employees; (12) costs or fees relating to the defense of Landlord’s title or interest in the Land; (13) costs incurred due to violation by Landlord to of applicable law or the Building and/or Projectterms and conditions of this Lease, unless such violation is caused in whole or capital assets acquired in part by Landlord after the Lease Commencement Date in order to comply with any local, state breach or federal law, ordinance, rule, regulation, code default by Tenant hereunder or order by any other act or omission of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement DateTenant; (j14) attorneys’ fees with respect to disputes with other tenants in renovation of the Building or ProjectLand made necessary by casualty or the exercise of eminent domain, except for any deductible under Landlord’s insurance; (k15) all costs incurred for any items or services for which another tenant to the extent of the Building reimburses Landlord (other than through Operating Costs); (l) Landlord’s general corporate overhead actual recovery under a manufacturer’s, materialmen’s, vendor’s or contractor’s warranty (except to the extent management/administrative fees are otherwise permitted of costs incurred in this Leaseconnection with such recovery); (m16) Property Taxes; (17) Landlord’s general overhead expenses; (18) any penalties or interest expenses incurred because of Landlord’s failure timely to pay any Operating Costs or Property Taxes (unless the same is the result of Tenant’s failure to timely make any payment in respect thereof required hereunder); (19) costs associated with maintaining the entity constituting the Landlord; (20) costs of sale or financing of the Building; (21) costs of repair caused by any casualty or condemnation of the Building (except for any deductible under Landlord’s insurance), irrespective of the amount of insurance proceeds received; (22) above market fees for services provided by any affiliate of Landlord, but only to the extent of the portion thereof which is above market (and, for purposes hereof. Tenant shall have the burden of proving that any such fee is above market based upon comparable first class properties in the Reston, Virginia area); (23) costs incurred to comply with laws relating to the removal of Hazardous Substances which were in existence in the Building or on the Land prior to the Commencement Date (and, for purposes hereof, Tenant shall have the burden of proving that such Hazardous Substances were in existence in the Building or on the Land prior to the Commencement Date), and was of such a nature that a federal, state or municipal governmental authority. If it had then had knowledge of the presence of such hazardous material, in the state, and under the conditions that it then existed in the Building or on the Land, would have then required the removal of such Hazardous Substances or other remedial or containment action with respect thereto; and costs incurred to remove, remedy, contain, or treat Hazardous Substances, which Hazardous Substances are brought into the Building or onto the Land after the date hereof by Landlord and is of such a nature, at that time, that a federal, state or municipal governmental authority, if it had then had knowledge of the presence of such Hazardous Substances, in the state, and under the conditions, that it then exists in the Building or on the Land, would have then required the removal of such Hazardous Substances or other remedial or containment action with respect thereto; (24) costs as billed by the utility company for any electric current furnished to any rentable area of the Building for purposes other than the operation of the Building equipment and machinery and the lighting of public toilets, stairways, shaftways, fan rooms and other comparable areas, except that ordinary utilities necessary to heat, cool, and light any vacant rentable area of the Building to the extent necessary to maintain such space shall be included in Operating Costs; (25) allowances, concession, permits, licensees, inspections, and other costs and expenses incurred in completing, fixturing, renovating or otherwise improving, space for tenants (including Tenant), prospective tenants or other occupants or prospective occupants of the Building, or vacant leasable space in the Building or constructing or finishing demising walls and public corridors with respect to any such space whether such work or alteration is performed for the initial occupancy by such tenant or occupant or thereafter; (26) electric power costs for which any tenant directly contracts with the local public utility serviceservice company; (n27) all insurance premiums to the extent the rates of any insurance carried by Landlord has been increased over the regular rate which would otherwise be applicable from time to time to the Building and/or the Land due solely to Landlord’s or any tenant’s hazardous acts beyond those generally associated with the operation of an office building and related facilities; and (28) the amortization of costs of Landlord’s political or charitable contributions; (o) interest or penalties arising from Landlord’s late payment capital improvements to increase the efficiency of any costs relating to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costselectrical, fees, and charges paid to Landlord mechanical or Landlord’s affiliates for services in connection with other system servicing the Building or Project the Land or to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance otherwise reduce operating costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (s) costs incurred in connection with the sale, financing, or refinancing of the Building or Project including brokerage commissionsover the amount actually saved as a result of such capital improvement, consultantsas estimated by Landlord in good faith. Except where Landlord determines in its commercially reasonable judgment that it is prudent and beneficial not to do so, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges Landlord shall competitively bid (provided nothing herein shall limit or restrict in any manner whatsoever from time to time at Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of discretion) all services for the Building or Project due to other than (i) utility services, and (ii) property management services. Landlord shall enter into contracts for the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable provision of services to the Building or Project); which are for periods in excess of one (t1) damage or repairs needed due year only where Landlord determines it its commercially reasonable judgment that it is prudent and beneficial to the gross negligence or willful misconduct of Landlord or its agents; and (u) costs incurred by Landlord in connection with correction of defects in design and construction of the Building or Projectdo so.

Appears in 1 contract

Samples: Gross Lease (TNS Inc)

Exclusions from Operating Costs. Notwithstanding anything to the contrary contained herein, Operating Costs will shall not include any of the following: (ai) original construction costs of the Building or Projectground rent; (bii) Real Estate Taxesinterest and amortization of funds borrowed by Landlord for items other than capital improvements; (ciii) depreciation of the Building (except as otherwise provided herein)leasing commissions and advertising and space planning expenses incurred in procuring tenants; (div) payments of principal and interest on any mortgagessalaries, deeds of trustwages, or other encumbrances on the Buildingcompensation paid to officers or executives of Landlord in their capacities as officers and executives; (ev) costs to paintof repairs, decoratereplacements or other work occasioned by fire, windstorm or other casualty, or renovate a specific tenant’s space (specifically excluding base building improvements and systems and the common areas exercise by Governmental Agencies of the Project), unless such items are similarly provided to, or benefit generally, other tenants in the Building; (f) costs to repair, restore, or replace any item in the Buildingright of eminent domain, to the extent Landlord is actually reimbursed therefore of any proceeds of insurance received by proceeds from insurance, warranties, condemnation, a tenant of the Building or a third partyLandlord; (gvi) leasing commissions, attorneys’ attorney fees, space planning costs, permitting costsdisbursements and other expenses incurred by Landlord or its agents in connection with negotiations for leases with tenants, license and inspection costs, moving costs and advertising or promotional costs Landlord incurs to lease space in the Building to tenants other occupants or prospective tenants or other occupants of the Building, and similar costs incurred in connection with disputes with and/or enforcement of any leases with tenants, other occupants, or prospective tenants or other occupants of the Building; (hvii) any ground lease rental“tenant allowances,” “tenant concessions” and other costs or expenses (including permit, license and inspection fees) incurred in completing, fixturing, furnishing, renovating or otherwise improving, decorating or redecorating space for tenants or other occupants of the Building, including space planning/interior design fees for same; (iviii) the cost costs of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirementcorrecting defects, including but not limited toany allowance for same, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants in the Building or Project; (k) all items or services for which another tenant construction of the Building (including latent defects) or equipment used therein, except that conditions resulting from ordinary wear and tear and not occasioned by construction defects shall not be deemed defects for purposes of this category; (ix) depreciation; (x) costs of a capital nature, except as provided for in item (w) above; (xi) costs in connection with services (including electricity) or other benefits of a type which are not standard for the Building and which are not available to Tenant without specific charge therefor, but which are provided to another tenant or occupant of the Building, whether or not such other tenant or occupant is specifically charged therefor by Landlord; (xii) services, items and benefits for which Tenant or any other tenant or occupant of the Building specifically reimburses Landlord (other than through Tenant’s pro rata contribution to Operating Costs)) or for which Tenant or any other tenant or occupant of the Building pays third persons; (lxiii) Landlord’s general corporate overhead penalties for late payment by Landlord provided that the failure of Tenant to make any payment or perform any obligation of Tenant under this Lease is not the cause of such penalty; (xiv) payments of principal, finance charges or interest on debt or amortization on any mortgage, deed of trust or other debt, and rental payments under any ground or underlying lease or leases (except to the extent management/administrative fees are otherwise permitted in this Leasethe same may be made to pay or reimburse or may be measured by, real estate taxes); (mxv) electric power costs except for which any tenant the management fee and as otherwise expressly provided in this Section, Landlord’s general overhead and general administrative expenses (individual, partnership or corporate, as the case may be) not directly contracts related to the management of the Building and not chargeable to Operating Costs of the Building in accordance with the local public utility servicegenerally accepted accounting principles consistently applied; (nxvi) all compensation paid to clerks, attendants or other persons in commercial concessions (such as a snack bar, restaurant or newsstand), if any, operated by Landlord or any subsidiary or affiliate of Landlord; (xvii) advertising and promotional expenses; (xviii) contributions to charitable organizations; (xix) costs or fees relating to the defense of Landlord’s political title to or charitable contributionsinterest in the Building; and (oxx) interest or penalties arising from Landlord’s late payment payments in respect of any costs relating profit to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costs, fees, and charges paid parties related to Landlord for supplies or Landlord’s affiliates for services in connection with the Building or Project materials to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or that the cost of gifts to tenants such supplies or employees; (s) costs incurred in connection materials exceed the cost that would have been paid had such supplies or materials been provided by parties unaffiliated with the sale, financing, or refinancing of the Building or Project including brokerage commissions, consultants, attorneys’ and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever Landlord’s right to increase Real Property Taxes and/or Tenant’s Proportionate Share of Real Property Taxes, due to any reassessment of the Building or Project due to the sale, transfer, or any other event which results in Landlord on a reassessment or increase in Real Property Taxes allocable to the Building or Project); (t) damage or repairs needed due to the gross negligence or willful misconduct of Landlord or its agents; and (u) costs incurred by Landlord in connection with correction of defects in design and construction of the Building or Projectcompetitive basis.

Appears in 1 contract

Samples: Lease (Mattersight Corp)

Exclusions from Operating Costs. Notwithstanding the foregoing, Operating Costs will not include the following: shall exclude (ai) original construction costs of the Building or Project; (b) Real Estate Taxes; (c) depreciation of the Building (except as otherwise provided herein); (d) payments of principal and interest on any mortgages, deeds of trust, or other encumbrances on the Buildingpayments; (eii) all expenses for which Landlord has received reimbursements (other than in the nature of additional Rent) or is not charged, e.g., by reason of a warranty; (iii) costs to paint, decorate, of alterations or renovate a specific tenant’s space (specifically excluding base building improvements and systems and the common areas of the Project), unless such items are similarly provided to, or benefit generally, other tenants leased premises of any tenant in the Building; (fiv) costs the cost of correcting defects in the original construction of the Building or to repaircause the Building to be in compliance with applicable codes and Laws in effect prior to the Commencement Date ; (v) penalties or fines imposed upon Landlord or the Building due to the violation of any Laws or failure to timely pay obligations; (vi) real estate broker’s commissions, restoreadvertising and promotional/marketing expenses, attorneys fees, space planning and design fees incurred in leasing or replace any item procuring Tenants for space in the Building; (vii) depreciation and interest payments of the Building or equipment and amortization except as otherwise provided above; (viii) bad debt loss or rent loss; (ix) expenses for repairs occasioned by casualty loss to the extent such expense was required to be covered by insurance required to be maintained by Landlord under this Lease (excluding reasonable deductibles); (x) capital expenditures except as permitted in Section 4.D.(6); (xi) except as specifically included in Operating Costs under Section 4.D.(6), costs of a capital nature, including, without limitation, capital improvements, capital repairs, and capital equipment or other costs required to be capitalized under generally accepted accounting principles; (xii) costs, including insurance premiums (but other than maintenance costs and rental charges), of any art work (such as sculptures, statues, or paintings) used to decorate the Property; (xiii) cost of any repair made by Landlord resulting solely and directly from the negligence or willful misconduct of Landlord, or its employees, contractors or agents; (xiv) expenses and costs associated with services provided to any tenant of the Building with separate charge or credit, to the extent Landlord not provided to Tenant or for which Tenant is actually reimbursed therefore by proceeds from insurance, warranties, condemnation, a tenant of the Building or a third partyseparately charged; (gxv) leasing commissions, attorneys’ fees, space planning costs, permitting costs, license and inspection costs, moving costs and advertising for electricity or promotional costs Landlord incurs to lease space in the Building to tenants or prospective tenants of the Building; (h) any ground lease rental; (i) the cost of any capital improvements made by Landlord to the Building and/or Project, or capital assets acquired by Landlord after the Lease Commencement Date in order to comply with any local, state or federal law, ordinance, rule, regulation, code or order of any governmental entity or insurance requirement, including but not limited to, the Americans with Disability Act (each a “Legal Requirement” and collectively, the “Legal Requirements”) with which the Building and/or Project was required to comply at the Lease Commencement Date; (j) attorneys’ fees with respect to disputes with other tenants in the Building or Project; (k) all items or utility services for which another tenant of the Building reimburses Landlord (other than through Operating Costs); (l) Landlord’s general corporate overhead (except to the extent management/administrative fees are otherwise permitted in this Lease); (m) electric power costs for which any tenant directly contracts with the local public service company or for above building standard usage of electricity or other utility service; services by such other tenants, (n) all costs of Landlord’s political or charitable contributions; (o) interest or penalties arising from Landlord’s late payment of any costs relating to the Project (unless resulting from Tenant’s late payment to Landlord); (p) costs, fees, and charges paid to Landlord or Landlord’s affiliates for services in connection with the Building or Project to the extent such charges exceed the charges for comparable services rendered by an unrelated or unaffiliated thirty party of comparable skill and competence; (q) bad debt losses, rent losses or reserves for same (except for Landlord’s insurance costs relating to same); (r) entertainment expenses or the cost of gifts to tenants or employees; (sxvi) costs incurred in connection with the sale, financing, financing or refinancing of the Building or Project including brokerage commissionsProperty; (xviii) organizational expenses associated with the creation and operation of the entity which constitutes Landlord; (xvii) labor and employee benefit costs for employees above the grade of property manager, consultants, attorneys’ except that a pro-rated portion of the labor and accountants’ fees, closing costs, title insurance costs, transfer taxes and interest charges (provided nothing herein shall limit or restrict in any manner whatsoever employee benefit costs for the supervisory personnel of Landlord’s right management company may be included in Operating Costs so long as such personnel are directly involved with property management for the Property (it being agreed that such costs shall be prorated to increase Real Property Taxes and/or Tenantthe extent such person performs services with respect to other buildings); (xviii) cost of special cleaning or other services not provided on a regular basis to tenants of the Building; (xix) all costs and expenses of installation and operation of any conference centers, health club, and restaurants in the Property; (xx) cost of structural repairs or replacement, including roof and subsurface/foundation work; (xxi) any Operating Costs representing any amount paid to a related entity or person which is in excess of the amount which would be paid to an unaffiliated party; (xxii) cost of removal, abatement or treatment of asbestos or any other Hazardous Materials in the Property; (xxiii) management fees in excess of 5 % of Base Rent; (xxiv) legal fees and disbursements and other expenses incurred in connection with negotiations or disputes with specific tenants or other occupants or prospective tenants or other occupants, or associated with the enforcement of any leases or the defense of Landlord’s Proportionate Share of Real Property Taxes, due title to any reassessment of or interest in the Building or Project due to the sale, transfer, or any other event which results in a reassessment or increase in Real Property Taxes allocable to the Building or Project)part thereof; (txxiii) damage or repairs needed due to Landlord’s general entity overhead and general administrative expenses not associated with the gross negligence or willful misconduct of Landlord or its agentsProperty; and (uxxiv) costs incurred by Landlord in connection with correction of defects in design and construction of the providing overtime “HVAC” service to any tenants, i.e., after Building or ProjectStandard Hours.

Appears in 1 contract

Samples: Office Lease (JRjr33, Inc.)

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