Operating Expense Escalation means a sum which Tenant covenants and agrees to Landlord for each Operating Year commencing with calendar year 2001, computed by multiplying (x) the sum representing the Base Year Operating Expenses by (y) the percentage, if any, by which the Price Index, as published for the Index Month of the Operating Year in question exceeds the Base Price Index, multiplied by (z) 63.4%,, which represents Tenant's Proportionate Share of Operating Expenses under this Lease, assuming Substantial Completion and/or delivery and/or occupancy by Tenant for the conduct of its business, of the entire Demised Premises as provided hereinbelow in Article 6, but otherwise pro rata based on the percentages set forth in Section (F) of Article 3 herein. (See example below for calculating the Price Index change for a sample Operating Year.)
Examples of Operating Expense Escalation in a sentence
Notwithstanding anything to the contrary, actual payment of any Operating Expense Escalation shall not start until January 1, 1997.
Landlord and Tenant agree that in addition to the Base Rent provided for in the preceding Articles of this Lease, Tenant shall pay, as Additional Rent, Tenant's Proportionate Share of Tax Payments and Operating Expense Escalation, as those terms are hereinafter defined.
The amount by which the Operating Expenses for each Lease Year exceed the Base Year Operating Expenses shall be referred to herein as the Operating Expense Escalation.
If for any period of time during the Term, Tenant has paid a Tax and Operating Expense Escalation (as such escalation is defined in the following Section) and Landlord shall receive any refund of any Real Estate Taxes pertaining to such period of time, Landlord shall recalculate such Tax and Operating Expense Escalation after deducting such refund (less Landlords expenses incurred in obtaining such refund) from the Operating Expenses.
Tenants Proportionate Share of Taxes and Operating Expenses in excess of the Tax and Operating Expense Base may be referred to in this Lease as the Tax and Operating Expense Escalation.