Common use of Reimbursement by Tenant Clause in Contracts

Reimbursement by Tenant. Prior to the commencement of each calendar year, Landlord shall give Tenant a written estimate of the expenses Landlord anticipates will be incurred for the ensuing calendar year with respect to the maintenance, repair and replacement to be performed by Landlord as herein described (the "Maintenance Expenses"). Tenant shall pay, as additional rent, such estimated expenses as part of the NNN Charges concurrent with its payment of Basic Rent. Within ninety (90) days after the end of each calendar year, Landlord shall furnish Tenant with the Actual Statement for the prior calendar year's NNN Charges pursuant to Subparagraph 5(f) above, showing in reasonable detail, among other items, the actual expenses incurred for the previous calendar year (or portion thereof, as applicable), and the parties shall within forty-five (45) days thereafter make payment or allowance as necessary to adjust Tenant's estimated payments to the actual expenses as shown by the Actual Statement submitted by Landlord. If Landlord shall determine at any time that the estimate of expenses for the current calendar year is or will become inadequate to meet all such expenses for any reason, Landlord shall immediately determine the appropriate amount of such inadequacy and issue a supplemental estimate as to such expenses, and Tenant shall pay a prorata increase in the estimated expenses as reflected by such supplemental estimate within thirty (30) days following receipt of written request from Landlord; provided, however, Landlord shall be limited to making any such increase to the estimated expenses one (1) time per calendar year, other than the routine annual adjustment when the Actual Statement is delivered to Tenant. Tenant's failure to timely pay any of the charges in connection with the performance of its maintenance and repair obligations to be paid under this Paragraph 13 shall, subject to all applicable notice and cure periods, constitute a material default under this Lease. Landlord shall keep or cause to be kept separate and complete books of account covering costs and expenses incurred in connection with its maintenance and repair of the Building and outside areas and Project common areas (and such records and books shall be made reasonably available to Tenant if requested by Tenant for Tenant's review in the event of an audit pursuant to Subparagraph 5(f)), which costs and expenses shall include, without limitation but subject to the exclusions set forth in Exhibit M attached hereto, the actual costs and expenses incurred in connection with labor and material utilized in performance of the maintenance and repair obligations hereinafter described, public liability, property damage and other forms of insurance which Landlord may, or is required to, maintain, employment of such personnel as Landlord may deem reasonably necessary, payment or provision for unemployment insurance, worker's compensation insurance and other employee costs, depreciation of machinery and equipment used in connection with the maintenance of the outside areas, the cost of bookkeeping and accounting services, assessments which may be levied against the Premises under any recorded covenants, conditions and restrictions, and any other items reasonable necessary from time to time to properly repair, replace and maintain the outside areas and any interest paid in connection therewith. Landlord may elect to delegate its duties hereunder to a professional property manager subject to the costs set forth herein for said property management services. Except as provided in Paragraphs 12(b) and 17 hereof, there shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant's business arising from the making of any repairs, Alterations or improvements in or to any portion of the Building or the Premises or in or to fixtures, appurtenances and equipment therein. Except as expressly provided in Subparagraph 13(d), Tenant waives the right to make repairs at Landlord's expense under Sections 1941 and 1942 of the California Civil Code or any similar law, statute or ordinance now or hereafter in effect and under the provisions of California Health and Safety Code Section 26143 with respect to those maintenance obligations which are Landlord's responsibility under the terms of this Lease.

Reimbursement by Tenant. Prior to the commencement of each calendar year, Landlord shall give Tenant a written estimate of the expenses Landlord anticipates will be incurred for the ensuing calendar year with respect to the maintenance, maintenance and repair and replacement to be performed by Landlord as herein described (the "“Maintenance Expenses"”). Tenant shall pay, as additional rent, such estimated expenses as part in equal monthly installments in advance on or before the first day of the NNN Charges each month concurrent with its payment of Basic Rent. Within ninety (90) days after the end of each calendar year, Landlord shall furnish Tenant with the Actual Statement for the prior calendar year's NNN Charges pursuant to Subparagraph 5(f) above, a statement showing in reasonable detail, among other items, detail the actual expenses incurred for the previous calendar year (or portion thereof, as applicable), period in question and the parties shall within forty-five thirty (4530) days thereafter make payment or allowance as necessary to adjust Tenant's ’s estimated payments to the actual expenses as shown by the Actual Statement applicable periodic statements submitted by Landlord. If Landlord shall determine at any time that the estimate of expenses for the current calendar year is or will become inadequate to meet all such expenses for any reason, Landlord shall immediately determine the appropriate amount of such inadequacy and issue a supplemental estimate as to such expenses, and Tenant shall pay a prorata any increase in the estimated expenses as reflected by such supplemental estimate within thirty twenty (3020) days following receipt of written request from Landlord; provided, however, Landlord shall be limited to making any such increase to the estimated expenses one (1) time per calendar year, other than the routine annual adjustment when the Actual Statement is delivered to Tenant. Tenant's ’s failure to timely pay any of the charges in connection with the performance of its maintenance and repair obligations to be paid under this Paragraph 13 shall, subject to all applicable notice and cure periods, shall constitute a material default under this Lease. Landlord shall keep or cause to be kept separate and complete books of account covering costs and expenses incurred in connection with its maintenance and repair of the Building and outside areas and Project common areas (and such records and books shall be made reasonably available to Tenant if requested by Tenant for Tenant's review in the event of an audit pursuant to Subparagraph 5(f))areas, which costs and expenses shall include, without limitation but subject to the exclusions set forth in Exhibit M attached heretolimitation, the actual costs and expenses incurred in connection with labor and material utilized in performance of the maintenance and repair obligations hereinafter described, public liability, property damage and other forms of insurance which Landlord may, or is required to, maintain, employment of such personnel as Landlord may deem reasonably necessary, payment or provision for unemployment insurance, worker's compensation insurance and other employee costs, depreciation of machinery and equipment used in connection with the maintenance of the outside areas, the cost of bookkeeping and accounting services, assessments which may be levied against the Premises under any recorded covenants, conditions and restrictions, and any other items reasonable necessary from time to time to properly repair, replace and maintain the outside areas and any interest paid in connection therewith. Landlord may elect to delegate its duties hereunder to a professional property manager; provided, however, that any fee charged by such professional property manager subject and passed through to Tenant hereunder shall reduce the costs set forth herein for said property management servicesfee owed to Landlord hereunder dollar-for-dollar. Except as provided in Paragraphs 12(b) and Paragraph 17 hereof, there shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant's ’s business arising from the making of any repairs, Alterations alterations or improvements in or to any portion of the Building or the Premises or in or to fixtures, appurtenances and equipment therein. Except as expressly provided in Subparagraph 13(d), Tenant waives the right to make repairs at Landlord's ’s expense under Sections 1941 and 1942 of the California Civil Code or any similar law, statute or ordinance now or hereafter in effect and under the provisions of California Health and Safety Code Section 26143 with respect to those maintenance obligations which are Landlord's Tenant’s responsibility under the terms of this Lease.

Reimbursement by Tenant. Prior to the commencement of each calendar year, Landlord shall give Tenant a written estimate of the expenses Landlord anticipates will be incurred for the ensuing calendar year with respect to the maintenance, maintenance and repair and replacement to be performed by Landlord as herein described (the "Maintenance Expenses"). Tenant shall pay, as additional rent, such estimated expenses as part is equal monthly installments in advance on or before the first day of the NNN Charges each month concurrent with its payment of Basic Monthly Rent. Within ninety (90) days after the end of each calendar year, Landlord shall furnish Tenant with the Actual Statement for the prior calendar year's NNN Charges pursuant to Subparagraph 5(f) above, a statement showing in reasonable detail, among other items, detail the actual expenses incurred for the previous calendar year (or portion thereof, as applicable), period in question and the parties shall within forty-five thirty (4530) days thereafter make payment or allowance as necessary to adjust Tenant's estimated payments to the actual expenses as shown by the Actual Statement applicable periodic statements submitted by Landlord. If Landlord shall determine at any time that the estimate of expenses for the current calendar year is or will become inadequate to meet all such expenses for any reason, Landlord shall immediately determine the appropriate amount of such inadequacy and issue a supplemental estimate as to such expenses, and Tenant shall pay a prorata and increase in the estimated expenses as reflected by such supplemental estimate within thirty (30) days following receipt of written request from Landlord; provided, however, Landlord shall be limited to making any such increase to the estimated expenses one (1) time per calendar year, other than the routine annual adjustment when the Actual Statement is delivered to Tenantestimate. Tenant's failure to timely pay any of the charges in connection with the performance of its maintenance and repair obligations to be paid under this Paragraph 13 shall, subject to all applicable notice and cure periods, shall constitute a material default under this Lease. Landlord shall keep or cause to be kept separate and complete books of account covering costs and expenses incurred in connection with its maintenance and repair of the Building and outside areas and Project common areas (and such records and books shall be made reasonably available to Tenant if requested by Tenant for Tenant's review in the event of an audit pursuant to Subparagraph 5(f))areas, which costs and expenses shall include, without limitation but subject to the exclusions set forth in Exhibit M attached heretolimitation, the actual costs and expenses incurred in connection with labor and material utilized in performance of the maintenance and repair obligations hereinafter described, public liability, property damage and other forms of insurance which Landlord may, may or is required toto maintain, maintainreasonable reserves for replacements and/or repairs of improvements to the outside areas, equipment and supplies, employment of such personnel as Landlord may deem reasonably necessary, payment or provision for unemployment insurance, worker's compensation insurance and other employee costs, depreciation of machinery and equipment used in connection with the maintenance of the outside areas, the cost of bookkeeping and accounting services, a management fee to cover Landlord's management, overhead and administrative expenses, assessments which may be levied against the Premises under any recorded covenants, conditions and restrictions, and any other items reasonable necessary from time to time to properly repair, replace and maintain the outside areas and any interest paid in connection therewith. Landlord may elect to delegate its duties hereunder to a professional property manager subject to the in which event all costs set forth herein for said and expenses of such property management servicesshall be included as expenses to be reimbursed by Tenant hereunder. Except as provided in Paragraphs 12(b) and 17 hereofPARAGRAPH 17, there shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant's business arising from the making of any repairsrepair, Alterations alterations or improvements in or to any portion of the Building Project or the Premises or in or to fixtures, appurtenances Premises. Tenant hereby waives any and equipment therein. Except as expressly provided in Subparagraph 13(d), Tenant waives the right all rights to make repairs at Landlord's the expense of Landlord under the provisions of Sections 1941 and 1942 of the California Civil Code or any similar law, statute or ordinance statue now or hereafter in effect and under the provisions of California Health and Safety Code Section 26143 with respect to those maintenance obligations which are Landlord's responsibility under the terms of this Leaseenacted. LANDLORD SHALL USE ALL REASONABLE EFFORTS TO MINIMIZE ANY DISRUPTION TO THE OPERATION OF TENANT'S BUSINESS WHILE MAKING SUCH REPAIRS, ALTERATIONS OR IMPROVEMENTS AND, UNLESS IN AN EMERGENCY, SHALL SCHEDULE SAME OUTSIDE OF NORMAL BUSINESS HOURS (ONLY IF STANDARD BILLING RATES APPLY FOR THE SERVICE OR TRADE PERFORMING SUCH WORK) AND UPON TWENTY-FOUR (24) HOURS' WRITTEN NOTICE TO TENANT.

Reimbursement by Tenant. Prior Commencing with the effective date of this Lease, Tenant shall reimburse Landlord for all taxes assessed against the Premises, all policies of insurance required to be maintained by Landlord hereunder, operating costs and management fees incurred by Landlord. Such reimbursement shall be accomplished by Tenant by making an estimated payment to Landlord on or before the first (1st) day of each month, in addition to the commencement monthly Rent due for the month. The amount of the monthly estimate shall be equal to one-twelfth (1/12) of the projected costs to be, incurred by Landlord for taxes, insurance, operating costs and management fees for the calendar year (the "Costs"). In that regard, Landlord represents that the actual Costs for 1999 were $2.18 per square foot. The Costs shall not include legal fees incurred by Landlord, costs to remediate Hazardous Materials (as provided hereafter) which are Landlord's responsibility herein, and any other capital expenditure for which Landlord is solely responsible herein. At the beginning of each new calendar year, Landlord shall give Tenant a written have the right to adjust the monthly estimate for the new year, based on Landlord's good faith estimate of the expenses Landlord anticipates will Costs to be incurred for the ensuing calendar year with respect to the maintenance, repair and replacement to be performed by Landlord as herein described (the "Maintenance Expenses")new year. Tenant shall pay, as additional rent, such estimated expenses as part of the NNN Charges concurrent with its payment of Basic Rent. Within ninety (90) days after At the end of each calendar year, year Landlord shall furnish conduct a year-end reconciliation of the actual Costs incurred for the prior year (or partial year on a pro rata basis) and compare the actual Costs to the estimated monthly payments made by Tenant with during the Actual Statement prior calendar year and deliver to Tenant a written report of the results of said reconciliation as soon as reasonably possible. To the extent that Landlord's actual annual Costs exceed the estimated payments made by Tenant for the prior calendar year's NNN Charges pursuant to Subparagraph 5(f) above, showing in reasonable detail, among other items, the actual expenses incurred for the previous calendar year (or portion thereof, as applicable), and the parties shall within forty-five (45) days thereafter make payment or allowance as necessary to adjust Tenant's estimated payments to the actual expenses as shown by the Actual Statement submitted by Landlord. If Landlord shall determine at any time that the estimate of expenses for the current calendar year is or will become inadequate to meet all such expenses for any reason, Landlord shall immediately determine the appropriate amount of such inadequacy and issue a supplemental estimate as to such expenses, and Tenant shall pay a prorata increase in to Landlord, the estimated expenses as reflected by such supplemental estimate amount underpaid within thirty (30) days following receipt of written request notice from Landlord; provided. To the extent that the actual Costs for the prior calendar year are less than the estimated payments made by Tenant, however, Landlord the overpayment shall be limited to making any such increase to credited against Tenant's estimated monthly payments for the estimated expenses one (1) time per new calendar year, other than the routine annual adjustment when the Actual Statement is delivered to Tenant. Tenant's failure to timely pay any of the charges in connection with the performance of its maintenance and repair obligations to be paid under this Paragraph 13 shall, subject to all applicable notice and cure periods, constitute a material default under this Lease. Landlord Tenant shall keep or cause to be kept separate and complete books of account covering costs and expenses incurred in connection with its maintenance and repair of the Building and outside areas and Project common areas (and such records and books shall be made reasonably available to Tenant if requested by Tenant for Tenant's review in the event of an audit pursuant to Subparagraph 5(f)), which costs and expenses shall include, without limitation but subject to the exclusions set forth in Exhibit M attached hereto, the actual costs and expenses incurred in connection with labor and material utilized in performance of the maintenance and repair obligations hereinafter described, public liability, property damage and other forms of insurance which Landlord may, or is required to, maintain, employment of such personnel as Landlord may deem reasonably necessary, payment or provision for unemployment insurance, worker's compensation insurance and other employee costs, depreciation of machinery and equipment used in connection with the maintenance of the outside areas, the cost of bookkeeping and accounting services, assessments which may be levied against the Premises under any recorded covenants, conditions and restrictions, and any other items reasonable necessary from time to time to properly repair, replace and maintain the outside areas and any interest paid in connection therewith. Landlord may elect to delegate its duties hereunder to a professional property manager subject to the costs set forth herein for said property management services. Except as provided in Paragraphs 12(b) and 17 hereof, there shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant's business arising from the making of any repairs, Alterations or improvements in or to any portion of the Building or the Premises or in or to fixtures, appurtenances and equipment therein. Except as expressly provided in Subparagraph 13(d), Tenant waives have the right to make repairs conduct an annual audit, at Tenant's expense, of Landlord's expense under Sections 1941 books and 1942 records relating to the calculation of the California Civil Code or any similar law, statute or ordinance now or hereafter in effect and under the provisions of California Health and Safety Code Section 26143 with respect to those maintenance Tenant's reimbursement obligations which are Landlord's responsibility under the terms of this Leaseaforementioned.