Common use of Occupancy Adjustments Clause in Contracts

Occupancy Adjustments. If less than ninety five percent (95%) of the Building Area is occupied during any full or fractional year of the Term (including the Base Year), then in calculating the actual Operating Expenses for such year Landlord shall adjust those elements of Operating Expenses which vary based on occupancy to an amount which Landlord estimates would have been incurred in Landlord’s reasonable judgment had the Building been ninety five percent (95%) occupied. In addition, if any particular work or service otherwise included in Operating Costs is not furnished to a tenant or occupant of the Building who is undertaking to perform such work or service itself, Operating Expenses shall be deemed to be increased by an amount equal to the additional Operating Expenses which would have been incurred if Landlord had furnished such work to such tenant or occupant. If the Building is not assessed as complete and fully occupied during any full or fractional year of the Term (including the Base Year), then in calculating the Tax Expenses for such year Landlord shall adjust the Tax Expenses to an amount which reflects the Tax Expenses that would have been incurred if the Building had been assessed as complete and fully occupied.