Cap on Increases in Controllable Expenses. Notwithstanding anything to the contrary contained herein, increases in Controllable Expenses (as defined below), during the Initial Term, will be subject to a five percent (5%) annual cap. To the extent that Controllable Expenses during any Expense Year are more than five percent (5%) greater than the Controllable Expenses for the previous Expense Year, such excess shall be excluded from the calculation of Increased Direct Expenses. For purposes hereof, the term “Controllable Expenses” will mean and refer to expenses which Landlord can reasonably control, but specifically excluding utility costs. Taxes, and Insurance Expenses, which are not Controllable Expenses.
Cap on Increases in Controllable Expenses. Notwithstanding anything to the contrary contained herein, increases in Controllable Expenses (as defined below), will be subject to a five percent annual cap. For purposes hereof, the term "Controllable Expenses" will mean and refer to expenses which Landlord can reasonably control; but specifically excluding utility costs, Tax Expenses, Insurance Expenses, and similar expenses whose rates are determined by, or subject to approval by, any governmental body or utility company, all of which are not Controllable Expenses. Such five percent annual cap will be calculated on a cumulative basis, such that if in a particular year there is less than a five percent increase in Controllable Expenses, the difference shall be carried forward; provided, however, in no event will any such difference be carried over for longer than one year, and in no event will such cumulative cap exceed seven percent in any one year.
Cap on Increases in Controllable Expenses. Notwithstanding anything to the contrary contained herein, increases in Controllable Expenses (as defined below), will be subject to a five percent (5%) annual cap. Such cap will be applied on a cumulative and compounded basis (that is to say that the Controllable Expenses payable by Tenant in the second Expense Year following the Base Year cannot be more than five percent (5%) greater than the Controllable Expenses payable by Tenant during the first Expense Year after the Base Year, the Controllable Expenses payable by Tenant in the third Expense Year following the Base Year cannot be more than ten percent (10%) greater than the Controllable Expenses payable by Tenant during the first Expense Year after the Base Year, the Controllable Expenses payable by Tenant in the fourth Expense Year following the Base Year cannot be more than 15 percent (15%) greater than the Controllable Expenses payable by Tenant during the first Expense Year after the Base Year, and so on throughout the Term). To the extent that Controllable Expenses during any Expense Year exceed such limitation, such excess shall be excluded from the calculation of Increased Direct Expenses for such Expense Year. For purposes hereof, the term “Controllable Expenses” will mean and refer to all expenses other than utility costs, Tax Expenses, and Insurance Expenses, which are not Controllable Expenses. Notwithstanding anything to the contrary contained herein, if Tenant’s installation of Alterations results in the need for modifications or alterations to any portion of the Project in order to comply with the ADA or other applicable laws, then the portion of the cost of Landlord’s compliance therewith treated as a Building Operating Cost or Project Operating Cost (as such costs may be amortized pursuant to clause (l) of Paragraph 8.1.1 or clause (m) of Paragraph 8.1.7) will not be Controllable Expenses for purposes of the application of this Paragraph.
