OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord as additional rent for Tenant's Percentage of Operating Expenses, for each year after the Operating Expense Base Year, incurred by Landlord in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted. (b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share of Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. (c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statement. (d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share of Operating Expenses for the Expense Recovery Period in which the Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. (e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective. (f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 2 contracts
Sources: Assignment of Lease (NBC Internet Inc), Assignment of Lease (Xoom Inc)
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year“Building Costs” and “Property Taxes,” as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant’s proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant’s proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇'s Landlord’s rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as “Operating Expenses.” Notwithstanding the foregoing, Tenant shall not be obligated to pay Tenant’s proportionate share of Building Costs and Property Tax increases during the period commencing on March 1, 2008 and ending on February 28, 2009.
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant’s share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period absent fraud by Landlord shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s Tenant’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 2 contracts
Sources: Office Space Lease (United Business Holdings, Inc), Office Space Lease (United Business Holdings, Inc)
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year“Building Costs” and “Property Taxes,” as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant’s proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant’s proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇'s Landlord’s rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as “Operating Expenses.”
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent; provided, however, in no event shall Tenant’s obligation to pay estimated amounts of Operating Expenses commence prior to July 1, 2009. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant’s share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s Tenant’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 2 contracts
Sources: Office Space Lease (Neothetics, Inc.), Office Space Lease (Neothetics, Inc.)
OPERATING EXPENSE INCREASE. (a) Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as reasonably determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share of Operating Expenses for the Expense Recovery Period in which the Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct serviceshas
Appears in 1 contract
Sources: Office Space Lease (Exult Inc)
OPERATING EXPENSE INCREASE. (a) Commencing twelve (12) months following the Commencement Date, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing twelve (12) months following the Commencement Date, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; , provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementparties.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementparties.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses "Building Costs" shall include all expenses of operation and maintenance of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries salaries, fringe benefits benefits, and payroll taxes for administrative and other personnel directly applicable to the Office BuildingBuilding and/or Project, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building managerpersonnel; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses Building Costs shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. The term "Property Taxes" as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; and (ii) other taxes, documentary transfer fees, charges and assessments which are levied with respect to this Lease or to the Building and/or the Project, and any improvements, fixtures and equipment and other property of Landlord located in the Building and/or the Project, except that general net income and franchise taxes imposed against Landlord shall be excluded; and (iii) any tax, surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes, other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any Property Tax by appropriate proceedings. A copy of Landlord's unaudited statement of expenses shall be made available to Tenant upon request. The Building Costs may be extrapolated by Landlord to reflect at least ninety-five percent (95%) occupancy of the rentable area of the Building.
Appears in 1 contract
Sources: Office Space Lease (Pharmaprint Inc)
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth in Item 7 of the Basic Lease Provisionsdefined below), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Within one hundred twenty (120) days after the end of each . For purposes hereof, "Expense Recovery Period, Landlord " shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord mean every twelve month period during the period Term (or portion thereof for the first and the parties shall, within thirty (last Lease years) commencing July 1 and ending June 30) days thereafter, make any payment or allowance necessary ; provided that Landlord may from time to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during time change the Expense Recovery Period, any amount owing by Tenant pursuant Period to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery reflect a calendar year or a new fiscal year of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of in which event Tenant's share of Operating Expenses for the Expense Recovery Period in which the Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenantequitably prorated for any partial year.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Commencing as of the first day of the thirteenth month of the Lease term, Tenant shall reimburse Landlord Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property-Taxes and Building costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (I) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease provisions. Tenant's proportionate share of Building Costs shall equal product of the rentable floor area of the Premises multiplied by the difference of (I) Building Costs per rentable square foot less (ii) the building Cost Base set forth in Item 7 of the Basic Lease Provisions, Tenant acknowledges ▇▇▇▇▇▇▇▇landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building costs may sometimes be collectively referred to as "Operating Expenses." 18
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing as of the first day of the thirteenth month of the Lease Term, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shallTene▇ ▇▇▇ll, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share proportional shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2promptly refunded to Tenant, and any nay deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual property Taxes or building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlordlandlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementparties.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminatesterminates (which share shall be appropriately prorated based on the percentage of such Expense Recovery Period that this Lease was in effect), Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding 19 months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth in Item 7 of the Basic Lease Provisionsdefined below), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share of Operating Expenses for the Expense Recovery Period in which the Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct servicesExpense
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty one (301) days year following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during If Tenant is notified by December 1 of any Expense Recovery Period, Period that any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for increased, effective as of the month in which the increase becomes effective and for all succeeding months following January 1, by an amount equal to Tenant's proportionate share of the increase; provided that any increase attributable to the period prior to January 1 shall be amortized and spread over the remainder of the Expense Recovery Period from and after January 1. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses“Building Costs” and “Property Taxes,” as those terms are defined below, for each year after the Operating Expense Base Year, Recovery Period incurred by Landlord in the operation of the Office BuildingBuilding and Project during the Term that exceed the Building Cost Base and the Property Tax Base. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Property Taxes and Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may Costs are mutually exclusive and shall be adjusted.billed separately. Tenant’s proportionate share of Property Taxes shall mean that IOPLEGAL-10-26611 5/11/2018-248639-4.2 7
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Notwithstanding the foregoing, Landlord hereby agrees that Tenant shall not be responsible for Tenant’s proportionate share of Operating Expenses accruing for Suite 1700 and Suite 1800 during the 12 month period commencing as of the Commencement Date for Suite 1700 and Suite 1800 and Tenant’s proportionate share of Operating Expenses accruing for Suite 300 during the 12 month period commencing as of the Commencement Date for Suite 300.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall promptly refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty ninety (3090) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s Tenant’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) Landlord agrees to act in a commercially reasonable manner in incurring Building costs, taking into consideration the class and quality of the Building. The term Operating Expenses “Building Costs” shall include all charges and expenses of operation pertaining to the operation, management, maintenance and maintenance repair of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk or commercially reasonable deductible that Landlord is authorized to insure hereunder; license permit license, permit, and inspection feesfees (not associated with tenant improvements for other tenants in the Building); heat; light; power; janitorial services; air conditioningthe cost of equipping, staffing and operating an on-site management office for the Building and Project; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws all labor and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes -related costs for administrative and other personnel directly applicable to the Office BuildingBuilding and Project, including both Landlord's personnel and outside personnel (but exclusive of specifically excluding wages and/or benefits attributable to personnel above the level of building Project manager); any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a commercially reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct servicesIOPLEGAL-10-26611 5/11/2018-248639-4.2 8
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord covenants and agrees to pay to Landlord, as additional rent for Tenant's Percentage of Operating Expenses, Expense Increase for each year after Expense Increase Year during the Lease Term, a sum computed by subtracting the Operating Expense Base Year, incurred by Landlord from the Operating Expenses shown on the Operating Statement for the Expense Increase Year in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted.
(b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions)question, and prior to multiplying the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of result by Tenant's proportionate share Share. Under no circumstances shall Tenant be entitled to any refund of or credit against Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by Increase Year should Operating Expenses ever be less than the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Operating Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Base. Within one hundred twenty (120) days after the end expiration of each Expense Recovery PeriodIncrease Year, Landlord shall endeavor furnish Tenant with an Operating Statement. The Operating Expense Increase shall, except as provided in paragraph (b) of this Section 3.3, be due from Tenant thirty (30) days after the rendering of the Operating Statement for such Expense Increase Year.
(b) Landlord may render an Estimated Operating Statement for any Expense Increase Year. If and when so rendered from time to furnish time, Tenant shall pay to Landlord in advance on the first day of each calendar month the monthly Estimated Operating Expense Increase installments provided for in such Estimated Operating Statement, such payments to continue until another Estimated Operating Statement or actual reconciliation is rendered. Upon the rendering of an Operating Statement for any Expense Increased year for which Estimated Operating Expense Increase installments were paid by Tenant, Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary pay to adjust Tenant's estimated paymentsLandlord the sum of (x) the excess, if any, to of the Operating Expense Increase due for such Expense Increase Year over the monthly Estimated Operating Expense Increase installments paid by Tenant in respect of such Expense Increase Year and (y) the excess, if any, of the Estimated Operating Expense Increase installments due for the current Expense Increase Year, as shown on the current Estimated Operating Statement, over the Estimated Operating Expense Increase installments then being paid by Tenant multiplied by the number of months which shall have elapsed, in whole or in part, since the commencement of the current Expense Increase Year. If Tenant's actual proportionate share as Estimated Operating Expense Increase installments for prior or current Expense Year shall exceed the Operating Expense Increase year, respectively, such excess shall first be credited against any amounts shown by due on the annual statement. Any amount Operating Statement and the Estimated Operating Statement and the balance, if any, shall be credited against the next succeeding installment or installments of Operating Expense Increase or Estimated Operating Expense Increase becoming due hereunder; provided, however, that if the Lease Term shall expire or this Lease shall terminate prior to full application of such credit, any balance due Tenant shall be credited against installments next coming due refunded to Tenant by Landlord if Tenant is not in default under this Section 4.2Lease (and, and any deficiency if Tenant is in default hereunder, such balance shall be paid held as additional security for Tenant's performance, may be applied by Landlord toward the cure of any such default and shall not be refunded until any such default is completely cured by Tenant).
(c) Operating Expense Increase shall be prorated on a daily basis for any Expense Increase Year not wholly failing within the Lease Term.
(d) Tenant together with acknowledges that certain Operating Expenses will vary depending on overall occupancy levels in the next installmentBuilding. If Tenant has not made estimated payments the average occupancy level of the Building was less than ninety-five percent (95%) of the total rentable square footage of the Building during the Base Year or any Expense Recovery PeriodIncrease Year, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of the actual Operating Expenses for the applicable Base Year or Expense Recovery Period Increase Year in question, as applicable, shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇adjusted to equal Landlord's expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share reasonable estimate of Operating Expenses for had ninety-five percent (95%) of the Expense Recovery Period in which total rentable square footage of the Lease terminatesBuilding been occupied. Landlord and Tenant further acknowledge that the Building is part of the larger Tower Place Complex, Tenant shalland that certain of the costs of management, upon noticeoperation, pay maintenance, repair and security of the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease Tower Place Complex from time to time shall be rebated allocated among and shared by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one two or more of the Operating Expenses are increased to a rate(s) or amount(s) improvements in excess of the rate(s) or amount(s) used in calculating Tower Place Complex (including the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2Building), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is also understood that certain costs incurred with respect to various facilities surrounding the Building may, from time to time, be allocated (if appropriate) entirely to the Building. The determination of all such costs and their allocation shall be made by Landlord in accordance with sound accounting principles. Accordingly, the term "Operating Expenses Expenses", as used in this Lease with respect to the Building, shall from time to time include competitive charges for direct servicessome of the costs, expenses, and taxes enumerated in Exhibit "D" to this Lease which were incurred with respect to and allocated to or shared by the Building in accordance with the foregoing. Notwithstanding the foregoing or anything else contained in this Lease to the contrary, Tenant understands and agrees that its rights to use other portions of the Tower Place Complex of which the Building is a part (including the Common Areas) are those available to the general public and that this Lease does not grant to it additional rights of use. Specifically, but without limitation, nothing in this Lease affords Tenant any rights of parking within the Tower Place Complex except as may be expressly provided in Section 8.27 hereof.
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord as additional rent for Tenant's Percentage of Operating Expenses, for each year after the Operating Expense Base Year, incurred by Landlord in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted.
(b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share of Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇Landlord's expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share of Operating Expenses for the Expense Recovery Period in which the Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building Building, together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; , reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 6.4, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. The term "taxes," as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; (ii) other taxes, documentary transfer fees, charges and assessments which are levied with respect to this Lease or to the Office Building, and any improvements, fixtures and equipment and other property of Landlord located in the Office Building except that general net income and franchise taxes imposed against Landlord shall be excluded; (iii) any tax surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any tax by appropriate proceedings. A copy of Landlord's unaudited statement of expenses shall be made available to Tenant upon request.
Appears in 1 contract
Sources: Assignment of Lease (Viador Inc)
OPERATING EXPENSE INCREASE. (a) Commencing twelve (12) months following the Commencement Date, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Yearincreases in "Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing twelve (12) months following the Commencement Date, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty one hundred twenty (30120) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇Tenant, subject to Tenant's expense statementaudit rights as set forth below.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, . Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses "Building Costs" shall include all expenses of operation and maintenance of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-self- insure any risk or deductible that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; access control/security costs, inclusive of the reasonable cost of improvements made to enhance access control systems and procedures; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Buildingcodes; labor; reasonably allocated wages and salaries salaries, fringe benefits benefits, and payroll taxes for administrative and other personnel directly applicable to the Office BuildingBuilding and/or Project, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building managerpersonnel; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; and a reasonable overhead/management feefee consistent with that charged by landlords of comparable office projects in the area. It is understood that Operating Expenses Building Costs shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. In no event shall access control/security cost, insurance costs, or utility charges allocable to Tenant on a per square foot basis during any Expense Recovery Period be less than the corresponding amount for such component in the Building Cost Base. The term "Property Taxes" as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; and (ii) other taxes, charges and assessments which are levied with respect to this Lease or to the Building and/or the Project, and any improvements, fixtures and equipment and other property of Landlord located in the Building and/or the Project, except that general net income and franchise taxes imposed against Landlord shall be excluded; and (iii) any tax, surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes, other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any Property Tax by appropriate proceedings. A copy of Landlord's unaudited statement of expenses shall be made available to Tenant upon request. The Building Costs, inclusive of those for the Base Year, shall be extrapolated by Landlord to reflect at least ninety-five percent (95%) occupancy of the rentable area of the Building.
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse covenants and agrees to pay to Landlord as additional rent for Tenant's Percentage of the Operating Expenses, Expense Increase for each year after Expense Increase Year during the Term, which amount shall be computed by subtracting the Operating Expense Base Year, incurred by Landlord from the Operating Expenses shown on the Operating Statement for the Expense Increase Year in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted.
(b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions)question, and prior to multiplying the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of result by Tenant's proportionate share Share. Under no circumstances shall Tenant be entitled to any refund of or credit against Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by Increase Year should Operating Expenses ever be less than the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Operating Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Base. Within one hundred twenty (120) days after the end expiration of each Expense Recovery PeriodIncrease Year, Landlord shall endeavor furnish Tenant with an Operating Statement. The Operating Expense Increase shall, except as provided in paragraph (b) of this Section 4.3, be due from Tenant thirty (30) days after the rendering of the Operating Statement for such Expense Increase Year.
(b) Landlord may render an Estimated Operating Statement for any Expense Increase Year. If and when so rendered from time to furnish time, Tenant shall pay to Landlord in advance on the first day of each calendar month the monthly Estimated Operating Expense Increase installments provided for in such Estimated Operating Statement, such payments to continue until another Estimated Operating Statement is rendered. Upon the rendering of an Operating Statement for any Expense Increase Year for which Estimated Operating Expense Increase installments were paid by Tenant, Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary pay to adjust Tenant's estimated paymentsLandlord the sum of (x) the excess, if any, to of the Operating Expense Increase due for such Expense Increase Year over the monthly Estimated Operating Expense Increase installments paid by Tenant in respect of such Expense Increase Year and (y) the excess, if any, of the Estimated Operating Expense installments due for the then-current Expense Increase Year, as shown on the current Estimated Operating Statement, over the Estimated Operating Expense Increase installments then being paid by Tenant multiplied by the number of months which shall have elapsed, in whole or in part, since the commencement of the current Expense Increase Year. If Tenant's actual proportionate share as Estimated Operating Expense Increase installments for the prior or current Expense Increase Year shall exceed the Operating Expense Increase due for the prior Expense Increase Year or the Estimated Operating Expense Increase due for the current Expense Increase Year, respectively, such excess shall first be credited against any amounts shown by due on the annual statement. Any amount due Tenant Operating Statement and the Estimated Operating Statement and the balance, if any, shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the succeeding installments or installments of Operating Expense Recovery PeriodIncrease or Estimated Operating Expense Increase becoming due hereunder, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statementprovided, ▇▇▇▇▇▇▇▇'s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statement.
(d) Even though however, that if the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share of Operating Expenses for the Expense Recovery Period in which the Term shall expire or this Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord terminate prior to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct servicesfull
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OPERATING EXPENSE INCREASE. (a) Commencing twelve (12) months following the Commencement Date, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year“Building Costs” and “Property Taxes,” as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant’s proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant’s proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇'s Landlord’s rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as “Operating Expenses.”
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing twelve (12) months following the Commencement Date, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant’s share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s Tenant’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses “Building Costs” shall include all expenses of operation and maintenance of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk or deductible that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; access control/security costs, inclusive of the reasonable cost of improvements made to enhance access control systems and procedures; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Buildingcodes; labor; reasonably allocated wages and salaries salaries, fringe benefits benefits, and payroll taxes for administrative and other personnel directly applicable to the Office BuildingBuilding and/or Project, including both Landlord's ’s personnel and outside personnel but exclusive of personnel above the level of building managerpersonnel; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses Building Costs shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. In no event shall access control/security costs, insurance costs, or utility charges allocable to Tenant on a per square foot basis during any Expense Recovery Period be less than the corresponding amount for such component in the Building Cost Base. The term “Property Taxes” as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; and (ii) other taxes, charges and assessments which are levied with respect to this Lease or to the Building and/or the Project, and any improvements, fixtures and equipment and other property of Landlord located in the Building and/or the Project, except that general net income and franchise taxes imposed against Landlord shall be excluded; and (iii) any tax, surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes, other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any Property Tax by appropriate proceedings. A copy of Landlord’s unaudited statement of expenses shall be made available to Tenant upon request. The Building Costs, inclusive of those for the Base Year, shall be extrapolated by Landlord to reflect at least ninety-five percent (95%) occupancy of the rentable area of the Building.
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OPERATING EXPENSE INCREASE. (a) Commencing July 1, 1998, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing July 1, 1996, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimateestimates. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty one (301) days year following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementparties.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses "Building Costs" shall include all expenses of operation and maintenance of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office BuildingBuilding (which amortization shall be based on the reasonably estimated useful life of the applicable capital improvement and shall not necessarily coincide with the depreciation period for such improvement pursuant to applicable tax laws); labor; reasonably allocated wages and salaries salaries, fringe benefits benefits, and payroll taxes for administrative and other personnel directly applicable to the Office BuildingBuilding and/or Project, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building managerpersonnel; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; and a reasonable overhead/management feefee that shall be competitive with the fees charged at comparable first-class office projects in the vicinity. It is understood that Operating Expenses Building Costs shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. The term "Property Taxes" as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; and (ii) other taxes, documentary transfer fees, charges and assessments which are levied with respect to this Lease or to the Building and/or the Project, and any improvements, fixtures and equipment and other property of Landlord located in the Building and/or the Project, except that general net income and franchise taxes imposed against Landlord shall be excluded; and (iii) any tax, surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes, other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any Property Tax by appropriate proceedings. A copy of Landlord's unaudited statement of expenses shall be
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Commencing twelve (12) months following the Commencement Date, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office Building, inclusive of the Building's proportionate share of expenses attributable to the Common Areas of the Project as reasonably determined by Landlord. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord, provided Tenant is treated in a nondiscriminatory manner with respect to other tenants of the Building. Tenant acknowledges ▇▇▇▇▇▇▇▇Tenant's rights to make changes or additions to proportionate share of Property Taxes shall equal the Office Building from time to time pursuant to Section 6.5 belowproduct of the rentable floor area of the Premises, as set forth in which event Item 8 of the total Basic Lease Provisions, multiplied by the difference of (i) Property Taxes per rentable square footage within foot less (ii) the Office Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. For convenience of reference, Property Taxes and Building Costs may sometimes be adjustedcollectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing twelve (12) months following the Commencement Date, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at within thirty (30) days following Tenant's receipt of the next monthly payment datenew statement, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a reasonably detailed statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty six (306) days months following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Tenant shall not be responsible for Tenant's proportionate share of any Operating Expenses attributable to any Expense Recovery Period which are first billed to Tenant more than two (2) calendar years after the end of the applicable Expense Recovery Period. Landlord shall have the right to recalculate Operating Expenses and to deliver to Tenant revisions of previously delivered statements setting forth such recalculation, whereupon any increase in the amount payable by Tenant shall be paid by Tenant within thirty (30) days after receipt of any such revised statement or any decrease in the amount payable by Tenant shall be refunded to Tenant concurrently with Landlord's delivery of such revised statement to Tenant; provided, however, Landlord shall have no right to recalculate Operating Expenses more than two (2) years following the expiration of the applicable Expense Recovery Period. Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery PeriodPeriod but after the first twelve (12) months of the Lease Term, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, and provided such increase(s) are in excess of the costs and expenses incurred during the Base Year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective. Landlord shall not exercise its rights under this subsection (e) more than once during any Expense Recovery Period.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord as additional rent for Tenant's Percentage of Operating Expenses, for each year after in excess of the Operating Expense Base Year, incurred by Landlord in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted.
(b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions), and no less than 10 days prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written reasonable estimate of the amount of Tenant's proportionate share Percentage of Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Operating Expenses for the Base Year shall not include market-wide cost increases (including utility rate increases) due to extraordinary circumstances, including, but not limited to, Force Majeure, boycotts, strikes, conservation surcharges, embargoes or shortages, or amortized costs or incentives to any tenants in the Building.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to an amount corresponding to Tenant's actual proportionate share Percentage of Operating Expenses as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s Landlord’s expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share Percentage of Operating Expenses for the Expense Recovery Period in which the Lease terminates, Tenant shall, upon notice, pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to TenantTenant within a reasonable time period consistent with the terms herein.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share Percentage of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share Percentage of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, relevant details as to the calculation of the increase, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation operation, repair, maintenance, management and maintenance replacement of the Office Building Building, together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder, and deductibles; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 6.4, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management feefee capped at 5% of the annual gross rent. It is understood that Operating Expenses shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. The term "taxes," as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; (ii) other taxes, documentary transfer fees, charges and assessments which are levied with respect to this Lease or to the Building, and any improvements, fixtures and equipment and other property of Landlord located in the Building except that general net income and franchise taxes imposed against Landlord shall be excluded; (iii) any tax surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any tax by appropriate proceedings. The Operating Expenses may be extrapolated by Landlord to reflect at least ninety-five percent (95%) occupancy of the rentable area of the Building during any Expense Recovery Period. Notwithstanding the foregoing, Operating Expenses shall not include interest, principal, points and fees on mortgages, depreciation on the Building, marketing costs and commissions, Landlord’s general corporate costs, costs arising from the gross negligence of Landlord or its agents, tenant finish out costs for any other tenant, capital improvements except as described in this Section 4.2(f), or any incentive payments or rental abatement to any tenant in the Building.
(g) The cost of capital investments initiated by the Landlord and included as an Operating Expense pursuant to the foregoing shall be amortized over its useful life in accordance with GAAP, and Tenant shall pay any such amortized costs, including interest.
Appears in 1 contract
Sources: Office Lease (Model N, Inc.)
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing on the first day of the thirteenth month of the Lease Term, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementparties.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses "Building Costs" shall include all expenses of operation and maintenance of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries salaries, fringe benefits benefits, and payroll taxes for administrative and other personnel directly applicable to the Office BuildingBuilding and/or Project, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building managerpersonnel; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses Building Costs shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. The term "Property Taxes" as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; and (ii) other taxes, documentary transfer fees, charges and assessments which are levied with respect to this Lease or to the Building and/or the Project, and any improvements, fixtures and equipment and other property of Landlord located in the Building and/or the Project, except that general net income and franchise taxes imposed against Landlord shall be excluded; and (iii) any tax, surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes, other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any Property Tax by appropriate proceedings. A copy of Landlord's unaudited statement of expenses shall be made available to Tenant upon request. The Building Costs may be extrapolated by Landlord to reflect at least ninety-five percent (95%) occupancy of the rentable area of the Building.
Appears in 1 contract
Sources: Assignment of Lease (Imperial Credit Commercial Holdings Inc)
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year"Building Costs" and "Property Taxes," as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant's proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant's proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. For purposes hereof, Tenant shall be responsible for 35.8% of Building Costs and Property Taxes allocable to the Building with respect to the initial Premises leased hereunder by Tenant. Tenant acknowledges ▇▇▇▇▇▇▇▇Landlord's rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as "Operating Expenses."
(b) Commencing prior to the start of the first full "Expense Recovery Period Period" of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant's share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses Property Taxes and Building Costs incurred by Landlord during the period period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay the differential to Tenant. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇Landlord's determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇Tenant's estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses "Building Costs" shall include all expenses of operation and maintenance of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct servicesof
Appears in 1 contract
Sources: Office Space Lease (Netratings Inc)
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year“Building Costs” and “Property Taxes,” as those terms are defined below, incurred by Landlord in the operation of the Office Building and Project. Property Taxes and Building Costs are mutually exclusive and shall be billed separately. Tenant’s proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot (based on the Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the ’s total rentable square footage within footage) less (ii) the Office Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant’s proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot (based on the Building’s total rentable square footage) less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. For convenience of reference, Property Taxes and Building Costs may sometimes be adjustedcollectively referred to as “Operating Expenses”.
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Notwithstanding the foregoing, Landlord hereby agrees that Tenant shall not be responsible for Tenant’s proportionate share of Operating Expenses accruing during the 12 month period commencing as of the Commencement Date.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall promptly refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty ninety (3090) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s Tenant’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) Landlord agrees to act in a commercially reasonable manner in incurring Building costs, taking into consideration the class and quality of the Building. The term Operating Expenses “Building Costs” shall include all charges and expenses of operation pertaining to the operation, management, maintenance and maintenance repair of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk or commercially reasonable deductible that Landlord is authorized to insure hereunder; license permit license, permit, and inspection feesfees (not associated with tenant improvements for other tenants in the Building); heat; light; power; janitorial services; the cost of equipping, staffing and operating an on-site management office for the Building and Project; all labor and labor-related costs for personnel applicable to the Building and Project, including both Landlord's personnel and outside personnel (but specifically excluding wages and/or benefits attributable to personnel above the level of Project manager); a commercially reasonable Landlord overhead/management fee consistent with that charged by landlords of comparable projects in the area; reasonable fees for unrelated Landlord third party consulting services; access control/security costs, inclusive of the reasonable cost of improvements made to enhance access control systems and procedures; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; costs incurred (capital or otherwise) on a regular recurring basis every three (3) or more years for normal maintenance projects (e.g., parking lot slurry coat or replacement of lobby, corridor and elevator cab carpets and coverings); and the amortized cost of capital improvements (as distinguished from replacement parts or components installed in the ordinary course of business) which are intended to maintain the safety of the Building and/or Project, reduce other operating costs or increases thereof (provided that Landlord, based on third party advice, reasonably believes that such improvements will reduce costs or improve the operating efficiency of the Building and then only to the extent of the cost savings actually realized), or upgrade Building and/or Project security, or which are required to bring the Building and/or Project into compliance with applicable laws and building codes enacted after the date of this Lease. Landlord shall amortize the cost of capital improvements on a reasonable overhead/management feestraight-line basis over the lesser of the Payback Period (as defined below) or the useful life of the capital improvement as reasonably determined by Landlord. It is understood Any amortized Building Cost item with respect to which Landlord did not receive a discount for early payment may include, at Landlord's option, an actual or imputed interest rate that Operating Expenses Landlord would reasonably be required to pay to finance the cost of the item (not to exceed prime rate as determined by the Federal Reserve Bank of San Francisco), applied on the unamortized balance. "Payback Period" shall include competitive charges mean the reasonably estimated period of time that it takes for direct servicesthe cost savings, if any, resulting from a capital improvement item
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year“Building Costs” and “Property Taxes,” as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant’s proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant’s proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇'s Landlord’s rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project may be adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be collectively referred to as “Operating Expenses.” Notwithstanding the foregoing, Landlord hereby agrees that Tenant shall not be responsible for Tenant’s proportionate share of Operating Expense excess accruing during the 12 month period commencing as of the Commencement Date.
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate. Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant’s share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount amounts due Tenant shall be credited applied as a credit against installments the rent next coming due under this Section 4.2or, and any deficiency shall be paid by Tenant together with the next installmentat Landlord’s option, refunded to Tenant. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty sixty (3060) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s Tenant’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses “Building Costs” shall include all charges and expenses of operation pertaining to the operation, management, maintenance and maintenance repair of the Office Building and the Project, together with all appurtenant Common Facilities Areas (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, equivalents should Landlord elect to self-insure any risk or deductible that Landlord is authorized to insure hereunder; license permit license, permit, and inspection fees; heat; light; power; janitorial services; the cost of equipping, staffing and operating an on-site and/or off-site management office for the Building and Project; all labor and labor-related costs for personnel applicable to the Building and Project, including both Landlord's personnel and outside personnel; a commercially reasonable Landlord overhead/management fee; reasonable fees for consulting services; access control/security costs, inclusive of the reasonable cost of improvements made to enhance access control systems and procedures; repairs; air conditioning; supplies; materials; equipment; tools; tenant services; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 6.4, 7.2, and 10.2 and Exhibits B and C below; costs incurred (capital or otherwise) on a regular recurring basis every three (3) or more years for normal maintenance projects (e.g., parking lot slurry coat or replacement of lobby, corridor and elevator cab carpets and coverings); and the amortized cost of capital improvements (as distinguished from replacement parts or components installed in the ordinary course of business) which are intended to maintain the quality, appearance or safety of the Building and/or Project, reduce other operating costs or increases thereof, or upgrade Building and/or Project security, or which are required to bring the Building and/or Project into compliance with applicable laws and building codes. Landlord shall amortize the cost of capital improvements on a reasonable overhead/management feestraight-line basis over the lesser of the Payback Period (as defined below) or the useful life of the capital improvement as reasonably determined by Landlord. Any amortized Building Cost item may include, at Landlord's option, an actual or imputed interest rate that Landlord would reasonably be required to pay to finance the cost of the item, applied on the unamortized balance. "Payback Period" shall mean the reasonably estimated period of time that it takes for the cost savings, if any, resulting from a capital improvement item to equal the total cost of the capital improvement. It is understood that Operating Expenses Building Costs shall include competitive charges for direct servicesservices provided by any subsidiary or division of Landlord. If any Building Cost is applicable to one or more buildings or properties in addition to the Building, then that cost shall be equitably prorated and apportioned among the Building and such other buildings or properties. The term “Property Taxes” as used herein shall include the following: (i) all real estate taxes or personal property taxes, as such property taxes may be reassessed from time to time; and (ii) other taxes, charges and assessments which are levied with respect to this Lease or to the Building and/or the Project, and any improvements, fixtures and equipment and other property of Landlord located in the Building and/or the Project, except that general net income and franchise taxes imposed against Landlord shall be excluded; and (iii) any tax, surcharge or assessment which shall be levied in addition to or in lieu of real estate or personal property taxes, other than taxes covered by Article VIII; and (iv) costs and expenses incurred in contesting the amount or validity of any Property Tax by appropriate proceedings. A copy of Landlord’s unaudited statement of expenses shall be made available to Tenant upon request. The Building Costs, inclusive of those for the Base Year, shall be extrapolated by Landlord to reflect at least ninety-five percent (95%) occupancy of the rentable area of the Building.
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OPERATING EXPENSE INCREASE. (a) Commencing March 1, 2003, Tenant shall reimburse Landlord compensate Landlord, as additional rent rent, for Tenant's Percentage ’s proportionate shares of Operating Expenses, for each year after the Operating Expense Base Year“Building Costs” and “Property Taxes,” as those terms are defined below, incurred by Landlord in the operation of the Office BuildingBuilding and Project. Property Taxes and Building Costs are mutually exclusive and may be billed separately or in combination as determined by Landlord. Tenant’s proportionate share of Property Taxes shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Property Taxes per rentable square foot less (ii) the Property Tax Base set forth in Item 7 of the Basic Lease Provisions. Tenant’s proportionate share of Building Costs shall equal the product of the rentable floor area of the Premises multiplied by the difference of (i) Building Costs per rentable square foot less (ii) the Building Cost Base set forth in Item 7 of the Basic Lease Provisions. Tenant acknowledges ▇▇▇▇▇▇▇▇'s ’s rights to make changes or additions to the Office Building and/or Project from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building and/or Project will be proportionately adjusted. For convenience of reference, Property Taxes and Building Costs may sometimes be adjustedcollectively referred to as “Operating Expenses.”
(b) Commencing prior to the start of the first full “Expense Recovery Period Period” of the Lease (as set forth defined in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's ’s proportionate share shares of Operating Expenses Building Costs and Property Taxes for the Expense Recovery Period or portion thereof. Commencing March 1, 2003, Tenant shall pay the estimated amount amounts to Landlord in equal monthly installments installments, in advance advance, with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimateestimate (except that if the new estimate is delivered later than three (3) months following the beginning of the applicable Expense Recovery Period, then the accrued sums shall be amortized and paid monthly over the remainder of that Expense Recovery Period). Landlord may from time to time change the Expense Recovery Period to reflect a calendar year or a new fiscal year of Landlord, as applicable, in which event Tenant’s share of Operating Expenses shall be equitably prorated for any partial year.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail setting forth the actual or prorated Operating Expenses incurred by Landlord during the period Property Taxes and Building Costs attributable to that period, and the parties shall, shall within thirty (30) days thereafter, thereafter make any payment or allowance necessary to adjust Tenant's ’s estimated payments, if any, to Tenant's ’s actual proportionate share shares as shown by the annual statement. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. If actual Property Taxes or Building Costs allocable to Tenant during any Expense Recovery Period are less than the Property Tax Base or the Building Cost Base, respectively, Landlord shall not be required to pay that differential to Tenant, although Landlord shall refund any applicable estimated payments collected from Tenant. Should Tenant fail to object in writing to Landlord's ’s determination of actual Operating Expenses within thirty ninety (3090) days following delivery of Landlord's ’s expense statement, ▇▇▇▇▇▇▇▇'s Landlord’s determination of actual Operating Expenses for the applicable Expense Recovery Period shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statementTenant.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises Premises, when the final determination is made of Tenant's ’s share of Operating Expenses Property Taxes and Building Costs for the Expense Recovery Period in which the Lease terminates, Tenant shall, shall upon notice, notice pay the entire increase due over the estimated expenses paid. Conversely; conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord to Tenant. However, in lieu thereof, Landlord may deliver a reasonable estimate of the anticipated reconciliation amount to Tenant prior to the expiration of the Term, in which event the appropriate party shall fund that amount by the termination date.
(e) If, at any time during any Expense Recovery Period, any one or more of the Operating Expenses are increased to a rate(s) or amount(s) in excess of the rate(s) or amount(s) used in calculating the estimated expenses for the year, then ▇▇▇▇▇▇'s ’s estimated share of Operating Expenses Property Taxes or Building Costs, as applicable, shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's ’s proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's ’s monthly share thereof, thereof and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's ’s monthly payments of estimated expenses, expenses as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is understood that Operating Expenses shall include competitive charges for direct services
Appears in 1 contract
OPERATING EXPENSE INCREASE. (a) Tenant shall reimburse Landlord covenants and agrees to pay to Landlord, as additional rent for Tenant's Percentage of Operating Expenses, Expense Increase for each year after Expense Increase Year during the Lease Term, a sum computed by subtracting the Operating Expense Base Year, incurred by Landlord from the Operating Expenses shown on the Operating Statement for the Expense Increase Year in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted.
(b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions)question, and prior to multiplying the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of result by Tenant's proportionate share Share. Under no circumstances shall Tenant be entitled to any refund of or credit against Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by Increase Year should Operating Expenses ever be less than the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Operating Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Base. Within one hundred twenty (120) days after the end expiration of each Expense Recovery PeriodIncrease Year, Landlord shall endeavor furnish Tenant with an Operating Statement. The Operating Expense Increase shall, except as provided in paragraph (b) of this Section 3.3, be due from Tenant thirty (30) days after the rendering of the Operating Statement for such Expense Increase Year.
(b) Landlord may render an Estimated Operating Statement for any Expense Increase Year. If and when so rendered from time to furnish time, Tenant shall pay to Landlord in advance on the first day of each calendar month the monthly Estimated Operating Expense Increase installments provided for in such Estimated Operating Statement, such payments to continue until another Estimated Operating Statement is rendered. Upon the rendering of an Operating Statement for any Expense Increase Year for which Estimated Operating Expense Increase installments were paid by Tenant, Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary pay to adjust Tenant's estimated paymentsLandlord the sum of (x) the excess, if any, to of the Operating Expense Increase due for such Expense Increase Year over the monthly Estimated Operating Expense Increase installments paid by Tenant in respect of such Expense Increase Year and (y) the excess, if any, of the Estimated Operating Expense Increase installments due for the current Expense Increase Year, as shown on the current Estimated Operating Statement, over the Estimated Operating Expense Increase installments then being paid by Tenant multiplied by the number of months which shall have elapsed, in whole or in part, since the commencement of the current Expense Increase Year. If Tenant's actual proportionate share as Estimated Operating Expense Increase installments for the prior or current Expense Increase Year shall exceed the Operating Expense Increase due for the prior Expense Increase Year or the Estimated Operating Expense Increase due for the current Expense Increase Year, respectively, such excess shall first be credited against any amounts shown by due on the annual statement. Any amount Operating Statement and the Estimated Operating Statement and the balance, if any, shall be credited against the next succeeding installment or installments of Operating Expense Increase or Estimated Operating Expense Increase becoming due hereunder; provided, however, that if the Lease Term shall expire or this Lease shall terminate prior to full application of such credit, any balance due Tenant shall be credited against installments next coming due refunded to Tenant by Landlord if Tenant is not in default under this Section 4.2Lease (and, and any deficiency if Tenant is in default hereunder, such balance shall be paid held as additional security for Tenant's performance, may be applied by Landlord toward the cure of any such default and shall not be refunded until any such default is completely cured by Tenant).
(c) Operating Expense Increase shall be prorated on a daily basis for any Expense Increase Year not wholly failing within the Lease Term.
(d) Tenant together with acknowledges that certain Operating Expenses will vary depending on overall occupancy levels in the next installmentBuilding. If Tenant has not made estimated payments the average occupancy level of the Building was less than ninety-five percent (95%) of the total rentable square footage of the Building during the Base Year or any Expense Recovery PeriodIncrease Year, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of the actual Operating Expenses for the applicable Base Year or Expense Recovery Period Increase Year in question, as applicable, shall be conclusive and binding on the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇adjusted to equal Landlord's expense statement.
(d) Even though the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share reasonable estimate of Operating Expenses for had ninety-five percent (95%) of the Expense Recovery Period in which total rentable square footage of the Lease terminatesBuilding been occupied. Landlord and Tenant further acknowledge that the Building is part of the larger Tower Place Complex, Tenant shalland that certain of the costs of management, upon noticeoperation, pay maintenance, repair and security of the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease Tower Place Complex from time to time shall be rebated allocated among and shared by Landlord to Tenant.
(e) If, at any time during any Expense Recovery Period, any one two or more of the Operating Expenses are increased to a rate(s) or amount(s) improvements in excess of the rate(s) or amount(s) used in calculating Tower Place Complex (including the estimated expenses for the year, then ▇▇▇▇▇▇'s estimated share of Operating Expenses shall be increased for the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2Building), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management fee. It is also understood that Operating Expenses certain costs incurred with respect to various facilities surrounding the Building may, from time to time, be allocated (if appropriate) entirely to the Building. The determination of all such costs and their allocation shall include competitive charges for direct servicesbe made by ---------------- LANDLORD Initials ---------------- TENANT Initials ----------------
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OPERATING EXPENSE INCREASE. (a) Tenant The term “Operating Expense Increase” shall reimburse Landlord as additional rent for mean and include Tenant's Percentage ’s Building Share of the increases in Operating Expenses, for each Expenses in any given year after over the Operating Expense Base Year, incurred by Landlord in the operation of the Office Building. Tenant acknowledges ▇▇▇▇▇▇▇▇'s rights to make changes Expenses paid or additions to the Office Building from time to time pursuant to Section 6.5 below, in which event the total rentable square footage within the Office Building may be adjusted.
(b) Commencing prior to the start of the first full Expense Recovery Period of the Lease (as set forth in Item 7 of the Basic Lease Provisions), and prior to the start of each full or partial Expense Recovery Period thereafter, Landlord shall give Tenant a written estimate of the amount of Tenant's proportionate share of Operating Expenses for the Expense Recovery Period or portion thereof. Tenant shall pay the estimated amount to Landlord in equal monthly installments in advance with Basic Rent. If Landlord has not furnished its written estimate for any Expense Recovery Period by the time set forth above, Tenant shall continue to pay cost reimbursements at the rates established for the prior Expense Recovery Period, if any; provided that when the new estimate is delivered to Tenant, Tenant shall, at the next monthly payment date, pay any accrued cost reimbursements based upon the new estimate.
(c) Within one hundred twenty (120) days after the end of each Expense Recovery Period, Landlord shall endeavor to furnish to Tenant a statement showing in reasonable detail the actual or prorated Operating Expenses incurred by Landlord during the period and the parties shall, within thirty (30) days thereafter, make any payment or allowance necessary to adjust Tenant's estimated payments, if any, to Tenant's actual proportionate share as shown by the annual statementBase Year for Operating Expenses. Any amount due Tenant shall be credited against installments next coming due under this Section 4.2, and any deficiency shall be paid by Tenant together with the next installment. If Tenant has not made estimated payments during the Expense Recovery Period, any amount owing by Tenant pursuant to subsection (a) above shall be paid to Landlord in accordance with Article XVI. Should Tenant fail to object in writing to Landlord's determination of actual Operating Expenses within thirty (30) days following delivery of Landlord's expense statement, ▇▇▇▇▇▇▇▇'s determination of actual Operating Expenses for the Base Year shall not include market-wide cost increases due to extraordinary circumstances, including, but not limited to, Force Majeure, boycotts, strikes, conservation surcharges, embargoes or shortages, or amortized costs relating to capital improvements. In no event shall the components of the Operating Expense Increase for any year subsequent to the Base Year related to project utilities be less than the components of the applicable Expense Recovery Period shall be conclusive and binding on Operating Expenses related to project utilities in the parties within thirty days following delivery of ▇▇▇▇▇▇▇▇'s expense statement.
(d) Even though Base Year. To the Lease has terminated and the Tenant has vacated the Premises when the final determination is made of Tenant's share extent any components of Operating Expenses for are incurred in connection with the Expense Recovery Period in which entirety of the Lease terminatesProperty or only the Common Areas, Tenant shall, upon notice, pay Landlord reserves the entire increase due over the estimated expenses paid. Conversely, any overpayment made in the event expenses decrease shall be rebated by Landlord right to Tenant.
(e) If, at any time during any Expense Recovery Period, any one or more recalculate such components of the Operating Expenses are increased Expense Increase, and Tenant shall be required to a rate(s) or amount(s) in excess pay its equitable portion thereof as reasonably determined by Landlord. Notwithstanding Tenant’s Building Share, Landlord reserves the right to equitably apportion the Operating Expense Increase between Tenant and other tenants of the rate(s) Property if, in Landlord’s reasonable opinion (on the basis of factors such as hours and intensity of use of a utility or amount(s) used in calculating service), Tenant is responsible for a greater percentage of the estimated expenses for Operating Expense Increase than represented by Tenant’s Building Share as appropriate. In addition, Landlord reserves the year, then ▇▇▇▇▇▇'s estimated share of right to reasonably and equitably adjust Base Year Operating Expenses shall be increased for due to extraordinary circumstances occurring in the month in which the increase becomes effective and for all succeeding months by an amount equal to Tenant's proportionate share of the increase. Landlord shall give Tenant written notice of the amount or estimated amount of the increase, the month in which the increase will become effective, Tenant's monthly share thereof, and the months for which the payments are due. Tenant shall pay the increase to Landlord as a part of Tenant's monthly payments of estimated expenses, as provided in paragraph (b) above, commencing with the month in which effective.
(f) The term Operating Expenses shall include all expenses of operation and maintenance of the Office Building , together with all appurtenant Common Facilities (as defined in Section 6.2), and shall include the following charges by way of illustration but not limitation: water and sewer charges; taxes; insurance premiums or reasonable premium equivalents, should Landlord elect to self-insure any risk that Landlord is authorized to insure hereunder; license permit and inspection fees; heat; light; power; janitorial services; air conditioning; supplies; materials; equipment; tools; programs instituted to comply with transportation management requirements; tenant services; amortization of capital investments reasonably intended to produce a reduction in operating charges or energy conservation; amortization of capital investments necessary to bring the Office Building into compliance with applicable laws and building codes enacted subsequent to the completion of construction of the Office Building; labor; reasonably allocated wages and salaries fringe benefits and payroll taxes for administrative and other personnel directly applicable to the Office Building, including both Landlord's personnel and outside personnel but exclusive of personnel above the level of building manager; any expense incurred pursuant to Sections 6.1, 6.2, 7.2 and 10.2 and Exhibits B and C below; and a reasonable overhead/management feeBase Year. It is understood that the intention of the parties by the preceding three sentences to equitably apportion Operating Expenses shall include competitive charges Expense Increases; provided, however, the parties hereto agree on a year-over-year cap of five percent (5%) for direct servicesany increase in Operating Expenses.
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Sources: Lease Agreement (Biolase, Inc)