Common use of LANDLORD'S OPERATING EXPENSES Clause in Contracts

LANDLORD'S OPERATING EXPENSES. DEFINITION. "Landlord's -------------------------------------------- Operating Expenses" means all costs of Landlord in owning, servicing, operating, managing, maintaining, and repairing the Building, Land and all improvements thereon and providing services to tenants including, without limitation, the costs of the following: (i) supplies, materials and equipment purchased or rented, total wage and salary costs paid to, and all contract payments made on account of, all persons engaged in the operation, maintenance, security, cleaning and repair of the Building and Land, including Social Security, old age and unemployment taxes and so-called "fringe benefits"; (ii) building services furnished to tenants of the Building at Landlord's expense (including the types of services provided to Tenant pursuant to Section 4.1 hereof) and maintenance and repair of and services provided to or on behalf of the Building performed by Landlord's employees or by other persons under contract with Landlord; (iii) utilities consumed and expenses incurred in the operation, maintenance and repair of the Building including, without limitation, oil, gas, electricity (other than electricity to tenants in their Premises if Tenant is directly responsible for payment under this Lease on account of electricity consumed by Tenant), water, sewer and snow removal; (iv) casualty, liability and other insurance, and unreimbursed costs incurred by Landlord which are subject to an insurance deductible; (v) costs of operating any cafeteria, other food service facility, day care facility, or physical fitness facility for use of tenants generally; and (vi) management fees (not to exceed the management fees for the first Lease Year of the Term). Any Landlord Operating Expenses which partly benefit the Land or Building and partly benefit other land or buildings in the Xxxxx Xxxxx Office Park shall be allocated in accordance with current practices, consistently applied. If Landlord, in its sole discretion, installs a new or replacement capital item for the purpose of reducing or conserving the use of energy in the Building, complying with any building code or other law, regulation, or legal requirement, complying with requirements of any insurer, or otherwise relating to the operation of the Building, the cost of such item amortized over its useful life determined in accordance with generally accepted accounting principles with interest at the rate of two percent (2%) per annum above the so-called prime rate of interest reported from time to time by the Wall Street Journal (or ------------------- another comparable publication reasonably selected by Landlord) shall be included in Landlord's Operating Expenses. Landlord agrees that since one of the purposes of Operating Expenses is to allow Landlord to require Tenant to pay for the costs attributable to its Premises, Landlord agrees that Landlord does not expect to calculate Landlord's Operating Expenses in order (i) to collect Operating Expenses from all of its tenants in an amount that is in excess of one hundred percent (100%) of the Operating Expenses actually incurred by Landlord in connection with the operation of the Building, or (ii) to profit (other than a de minimis manner) from Landlord's collections of Operating Expenses.

Appears in 2 contracts

Samples: Storagenetworks Inc, Storagenetworks Inc

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LANDLORD'S OPERATING EXPENSES. DEFINITION. "Landlord's -------------------------------------------- Operating Expenses" means all costs of Landlord actually paid or incurred in owning, servicing, operating, managing, maintaining, and repairing the BuildingBuilding and the land, Land facilities and all improvements thereon and providing services to tenants includingappurtenances thereto, including without limitation, limitation the costs of the following: (i) supplies, materials and equipment purchased or rented, total wage and salary labor costs paid to, and all contract payments made costs and expenses of independent contractors paid or incurred on account of, of all persons engaged in the operation, maintenance, security, cleaning and repair of the Building and Landthe land, facilities and appurtenances therefor including Social Securitysocial security unemployment compensation, old age pension vacation, sick pay and unemployment taxes and other so-called "fringe benefits"; (ii) building services furnished to tenants of the Building at Landlord's expense (Building, including the types of services provided to Tenant pursuant to Section 4.1 hereof) and maintenance and repair of and services provided to or on behalf of the Building performed Tenant, by Landlord's employees or by other persons under contract with Landlord; (iii) utilities consumed and expenses incurred in the operation, maintenance and repair operation of the Building includingand the land, without limitation, oil, gas, electricity (other than electricity to tenants in their Premises if Tenant is directly responsible for payment under this Lease on account of electricity consumed by Tenant), water, sewer facilities and snow removalappurtenances thereto; (iv) casualty, liability liability, workmen's compensation and all other insuranceinsurance expenses (and the amount of any deductible in the event of an insured loss), all insurance to be in such amounts and unreimbursed costs incurred by insuring against such risks as Landlord which are subject may, in its sole discretion from time to an insurance deductibletime decide; (v) costs of operating any cafeteriasnow removal, other food service facilityplanting, day care facilitylandscaping, or physical fitness facility for use of tenants generallygrounds and parking ration, maintenance and repair expenses; and (vi) management fees (to third parties, including Landlord's Managing Agent, which do not exceed those customarily paid with respect to exceed the management fees for the first Lease Year of the Term). Any Landlord Operating Expenses which partly benefit the Land or Building and partly benefit other land or buildings in the Xxxxx Xxxxx Office Park shall be allocated in accordance with current practices, consistently applied. If Landlord, in its sole discretion, installs a new or replacement capital item for the purpose of reducing or conserving the use of energy in area which are similar to the Building, complying with any building code and fees for required licenses or other law, regulation, permits; (vii) rental or legal requirement, complying with requirements reasonable depreciation of any insurer, or otherwise relating to equipment used in the operation of the Building and the land, facilities and appurtenances thereto, and personal property taxes assessed upon such equipment; and (viii) expenses of periodic testing to assure that the premises and surrounding land are free of hazardous materials, agents or substances, and to assure compliance with codes, regulations and laws. In addition, if Landlord from time to time (i) repairs or replaces any existing improvements or equipment or (ii) installs any new improvements or equipment to the Building in order to retain the existing functions of the Building, comply with laws or conserve energy, (including without limitation energy conservation improvements or other improvements), then the cost of such item items amortized over its useful life determined in accordance their reasonable life, together with generally accepted accounting principles with an actual or imputed interest rate (at the rate of two percent (2%) per annum above level then being charged by institutional first mortgagees for new permanent first mortgage loans on buildings in the so-called prime rate of interest reported from time area which are similar to time by the Wall Street Journal (or ------------------- another comparable publication reasonably selected by LandlordBuilding) shall be included in Landlord's Operating Expenses. Landlord agrees that since one Costs and expenses referred to in this Section shall be ascertained in accordance with generally accepted accounting principles, including allowance for appropriate reserves, and allocated to appropriate fiscal periods on the accrual method of the purposes of Operating Expenses is to allow Landlord to require Tenant to pay for the costs attributable to its Premises, Landlord agrees that Landlord does not expect to calculate accounting Landlord's Operating Expenses in order (i) to collect Operating Expenses from all shall not include payments of its tenants in an amount that is in excess principal, interest or other charges on mortgages or payments of one hundred percent (100%) any rent by Landlord on account of any ground lease of the Operating Expenses actually incurred by Landlord in connection with land on which the operation Building is situated, any lease of the Building, or any real property facilities and appurtenances thereto; costs of work or services for particular tenants separately reimbursable to Landlord by such tenants; advertising, marketing costs and leasing commissions; costs of so-called leasehold improvements to rentable areas in the Building, leasehold improvements made for new or prospective tenants; the cost of any work or services performed for any tenant(s) in the Building (ii) including Tenant), whether at the expense of Landlord or such tenant(s), to profit (other than a de minimis manner) from the extent that such work or service is in excess of work or services Landlord is required to furnish to Tenant under the Lease at Landlord's collections expense; legal and other professional expenses incurred in connection with the enforcement of Operating Expensesleases in the Building; and compensation to executives of Landlord above the level of building manager.

Appears in 1 contract

Samples: Special Maintenance and Operation (Circe Biomedical Inc)

LANDLORD'S OPERATING EXPENSES. DEFINITION. "Landlord's -------------------------------------------- Operating Expenses" means all reasonable costs of Landlord in owning, servicing, operating, managing, maintaining, and repairing the Building, Land, Additional Land and all improvements thereon Exclusive Parking Spaces and (subject to the terms of the following paragraph) making replacements thereon, and providing services to tenants tenants, including, without limitation, the costs of the following: (i) supplies, materials and equipment customarily purchased or rented, rented and total wage and salary costs paid to, to and all contract payments made on account of, of all persons engaged in the operationoperating, maintenance, security, cleaning and repair of the Building and Land, including Social Security, old age and unemployment taxes taxes, hospitalization, disability insurance or benefits and other customary so-called "fringe benefits"; (ii) building services furnished to tenants of the Building Tenant at Landlord's expense cost (including the types of services provided to Tenant pursuant to Section 4.1 hereof) and maintenance and repair of and services provided to or on behalf of the Building performed by Landlord's employees or by other persons under contract with Landlord or Landlord's Managing Agent or building service agent ("Building Service Agents"); (iii) utilities consumed and expenses incurred in the operation, operation and maintenance and repair of the Building (both common areas and tenant areas) and Land including, without limitation, oil, gas, electricity (the foregoing shall not include electricity provided for other than electricity to tenants in their Premises if Tenant is directly responsible for payment under this Lease on account of electricity consumed premises) water and sewer (but excluding water and sewer charges reimbursed to Landlord by other tenants or Tenant), water, sewer ) and snow removal; (iv) casualty, liability and other insurance, and unreimbursed costs incurred by Landlord which are subject to an insurance deductible; (v) costs in the nature of operating any cafeteriacommon area and facilities costs of the development owned by Landlord and which includes the land and the Buildings (to the extent such development includes land other than the Land) reasonably allocated to the Land and Building including without limitation, road and grounds maintenance, snow plowing and removal and other food service facilitycosts of operating, day care facilitymaintaining, or physical fitness facility for use of tenants generallyrepairing and servicing common areas and facilities; and (vi) an allowance for building service fees and management fees (not fees, in an aggregate amount equal to exceed $0.30 per square foot of Rentable Floor Area of the management fees Building for the first Lease Year of the Initial Term (it being understood that such allowance may increase during any Extension Term). Any ; (vii) "Landlord's Taxes" as defined below and (viii) costs incurred by Landlord Operating Expenses which partly benefit in connection with the Land or Building and partly benefit other land or buildings requirements set forth in that certain letter dated October 10, 1996 from Xxxxxx X. Xxxxxxx, P.E. to Xxxxx Associates, Inc. (the "DEP Letter"), it being understood that any costs in the Xxxxx Xxxxx Office Park nature of capital expenses shall be allocated amortized in accordance with current practicesthe terms of the following paragraph. If Landlord is not obligated to furnish cleaning and janitorial services, consistently appliedor any other item, the costs of which are included in Landlord's Operating Expenses, to all rentable areas of the Building (any such item not furnished to all such rentable areas is referred to as a "restricted item"), Additional Rent due hereunder with respect to any restricted item furnished to or benefiting the Premises for any period shall be (i) the cost of such item for the period multiplied by (ii) the percentage calculated by dividing the Rentable Floor Area of the Premises (as the Premises may be expanded from time to time) by the total rentable floor area of all premises so benefited. No amount shall be included in Xxxxxxxx's Operating Expenses with respect to any restricted item not furnished to or benefiting the Premises. If Landlord, in its sole reasonable discretion, installs a new or replacement capital item for the purpose of reducing or conserving the use of energy in the Building, complying with any building code Building (provided that such reduction or other conservation of energy is required by applicable law, regulation, or legal requirement, complying with requirements of any insurer, ) or otherwise relating to the operation of the Building (including but not limited to the replacement of the roof, foundation, exterior walls, and other structural components of the Building, the heating, ventilating, air conditioning, electrical, plumbing, emergency and other mechanical equipment and systems, and the on-site subsurface sewage disposal system and the Exclusive Parking Spaces (as defined in Article XII hereof)), the cost of such item shall be amortized over its useful life determined in accordance with generally accepted accounting principles with interest at the rate of two percent (2%) per annum above the so-called prime rate of interest reported from time to time published by the Wall Street Journal THE WALL STREET JOURNAL (or ------------------- another comparable substitute publication reasonably selected by LandlordLandlord if THE WALL STREET JOURNAL shall cease publication of such information and only the annual amortized portion (together with interest) shall be included in Landlord's Operating ExpensesExpenses for any year. Landlord agrees that since one of Notwithstanding anything to the purposes of Operating Expenses is to allow Landlord to require Tenant to pay for the costs attributable to its Premisescontrary herein, Landlord agrees that Landlord does not expect to calculate LandlordXxxxxxxx's Operating Expenses in order shall not include any of the following costs or expenses incurred by Landlord: (i) salaries, wages, benefits and other expenses of executives, principals, and off-site or central office, accounting, and administrative staff of Landlord or Landlord's Management Agent (except as the same may be reflected in the management fee for the Building or attributable to collect Operating Expenses from all actual Building operations); (ii) payments of its tenants in an amount that is in excess of one hundred percent (100%) principal, interest or other charges on indebtedness secured by a mortgage or other security interest covering any portion of the Operating Expenses actually incurred by Building or the Land; (iii) rent, additional rent, or other charges payable under any ground lease or superior lease affecting the Land, the Building, or the parking areas described in Article XII hereof (it being understood that the foregoing shall not be construed to include any costs of Landlord in operating, managing, maintaining, and repairing such parking areas or making replacements thereon); (iv) costs of leasehold improvements made in connection with the operation preparation of any portion of the Building for occupancy by a new or existing tenant which is not beneficial to all tenants of the Building; (v) costs of any expansion of the rentable area of the Building or the parking areas serving the Building; (vi) costs, expenses or charges (including utilities) properly chargeable or attributable to a particular tenant or tenants other than Tenant; (vii) efforts to lease portions of the building or to procure new tenants for the Building, including advertising expenses, leasing commissions and attorney's fees; (viii) negotiations or disputes with any tenant of the Building other than Tenant; (ix) Landlord's general overhead (except as the same may be reflected in the management fee for the Building or attributable to actual Building operations); (x) depreciation of the Building; (xi) repairs and replacements arising out of a casualty or condemnation (in excess of a reasonable deductible under insurance carried by Landlord); (xii) Landlord's or Landlord's Managing Agent's breach or violation of a law, lease, or other obligation, including fines, penalties and attorneys' fees; (xiii) compensation paid to employees or other persons in connection with commercial concessions operated by Landlord or Landlord's Managing Agent; (xv) fees for licenses, permits or inspections resulting from the negligence or willful misconduct of Landlord, Landlord's Managing Agent or any tenant of the Building other than Tenant; (xvi) compliance by Landlord with laws in effect and applicable as of the date hereof, including without limitation the Americans with Disabilities Act and the regulations and standards thereunder, provided that costs of such compliance with laws becoming effective and applicable after the date hereof may be included in Landlord's Operating Expenses; (xvii) construction and development of the Building, other improvements on the Land or the parking areas described in Article XII hereof and the cost of repair of defects in the original construction of the Building or such improvements or parking areas; (iixix) any items to profit the extent to which Landlord receives reimbursement from insurance proceeds or from a third party; (xx) any utility or other than service to the extent used or consumed in rentable areas leased to other tenants or occupants of the Building and provided that Tenant's use or consumption of such utility or service is separately metered at the Premises; and (xxi) environmental testing, remediation and compliance (it being understood that any such costs arising out of Tenant's use or occupancy of the Premises shall be paid by Xxxxxx to Landlord as additional rent and as a de minimis manner) from Landlord's collections of Operating Expensesdirect reimbursement hereunder).

Appears in 1 contract

Samples: Lease (Cascade Communications Corp)

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LANDLORD'S OPERATING EXPENSES. DEFINITIONDefinition. "Landlord's -------------------------------------------- ’s Operating Expenses" means all costs of Landlord paid or incurred in owning, servicing, operating, managing, maintaining, and repairing the BuildingProperty and the facilities and appurtenances thereto, Land and all improvements thereon and providing services to tenants including, without limitation, the costs of the following: (i) supplies, materials and equipment purchased or rented, total wage and salary labor costs paid to, and all contract payments made costs and expenses of independent contractors paid or incurred on account of, of all persons engaged in the operation, maintenance, security, cleaning and repair of the Building and Landthe land, facilities and appurtenances thereto, including Social Securitysocial security, old age unemployment compensation, pension, vacation, sick pay and unemployment taxes and other so-called "fringe benefits"; (ii) building services furnished generally to tenants of the Building at Landlord's expense (including the types of services provided to Tenant pursuant to Section 4.1 hereof) and maintenance and repair of and services provided to or on behalf of the Building performed by Landlord's employees or by other persons under contract with Landlord; (iii) utilities consumed and expenses incurred in the operation, maintenance and repair operation of the Building includingProperty and the land, without limitation, oil, gas, electricity (other than electricity to tenants in their Premises if Tenant is directly responsible for payment under this Lease on account of electricity consumed by Tenant), water, sewer facilities and snow removalappurtenances thereto; (iv) casualty, liability liability, workmen’s compensation and all other insuranceinsurance expenses (and the amount of any deductible in the event of an insured loss), all insurance to be in such amounts and unreimbursed costs incurred by insuring against such risks as Landlord which are subject may, in its sole discretion from time to an insurance deductibletime decide; (v) snow removal, planting, landscaping, grounds and parking operation, maintenance and repair expenses and any charges payable pursuant to any declarations or recorded covenants; (vi) management fees which do not exceed three percent (3%) of the Property’s gross receipts (or 4% of such amount in the event Landlord’s affiliate sells either the building located at 60 Xxxxxx Xxxxxx, Xxxxxxxxxxx, Xxxxxxxxxxxxx or the Property to an unaffiliated purchaser but does not sell the other property to such purchaser or its affiliates) and which does not exceed those fees customarily paid with respect to buildings in the area which are similar to the Building, and fees for required licenses or permits; (vii) rental or reasonable depreciation of equipment used in the operation of the Building and the land, facilities and appurtenances thereto, and personal property taxes assessed upon such equipment; and (viii) costs of operating any cafeteriaBuilding amenities including, other food service facilitywithout limitation, day care facilitycafeterias and shower and locker facilities, or physical fitness facility for use of tenants generally; and provided, however, that Tenant’s contribution with respect to the cafeteria shall not exceed $1,150 per month (vi) management fees (not to exceed the management fees for the first Lease Year of the Term$13,800 per annum). Any In addition, if Landlord Operating Expenses which partly benefit from time to time repairs or replaces any Building components, improvements or equipment or installs any new components, improvements or equipment to the Land or Building and partly benefit other land or buildings in the Xxxxx Xxxxx Office Park shall be allocated in accordance with current practices, consistently applied. If Landlord, in its sole discretion, installs a new or replacement capital item for the purpose of reducing or conserving the use of (including without limitation energy in the Building, complying with any building code conservation improvements or other lawimprovements), regulation, or legal requirement, complying with requirements of any insurer, or otherwise relating to the operation of the Building, then the cost of such item items amortized over its useful life determined in accordance their reasonable life, together with generally accepted accounting principles with an actual or imputed interest rate (at the rate of two percent (2%) per annum above level then being charged by institutional first mortgagees for new permanent first mortgage loans on buildings in the so-called prime rate of interest reported from time area which are similar to time by the Wall Street Journal (or ------------------- another comparable publication reasonably selected by LandlordBuilding) shall be included in Landlord's ’s Operating Expenses. Landlord’s Operating Expenses shall not include payments of principal, interest or other charges on mortgages or payments of any rent by Landlord agrees that since one on account of any ground lease of the purposes of Operating Expenses land on which the Building is to allow Landlord to require Tenant to pay for the costs attributable to its Premises, Landlord agrees that Landlord does not expect to calculate Landlord's Operating Expenses in order (i) to collect Operating Expenses from all of its tenants in an amount that is in excess of one hundred percent (100%) of the Operating Expenses actually incurred by Landlord in connection with the operation situated or any lease of the Building; costs of work or services for particular tenants separately reimbursable to Landlord by such tenants; advertising, or (ii) marketing costs and leasing commissions; and costs of so-called leasehold improvements to profit (other than a de minimis manner) from rentable areas in the Building. Notwithstanding anything to the contrary set forth in this Lease, Landlord's collections of ’s Operating Expenses.Expenses shall not include the following:

Appears in 1 contract

Samples: Lease (Netezza Corp)

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