Common use of Common Area Costs Clause in Contracts

Common Area Costs. Tenant agrees to pay as Additional Rent during each lease year during the Term, Tenant’s Proportionate Share of the “Common Area Costs,” as hereafter defined. For purposes of this Lease, the term “Common Area Costs” shall mean all costs and expenses incurred by Landlord in operating, maintaining, repairing, lighting, signing, cleaning, painting, stripping, insuring, equipping, staffing, heating and cooling, securing, and policing of the Common Area, including, without limitation, all costs and expenses associated with the following items or services, which may be incurred by Landlord in its sole discretion: (i) maintaining and replacing any and all alarm and life safety systems and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part of the Property, including without limitation any patrol services; (ii) maintenance of irrigation systems serving the Property; (iii) insurance, including, without limitation, liability insurance for personal injury, death and property damage, to the extent not reimbursed by Tenant under Section 13.2 below; (iv) surcharges levied upon or assessed against parking spaces or areas, payments toward mass transit or car pooling facilities or otherwise as required by federal, state or local governmental authorities; (v) all landscaping, including, but not limited to, lawn maintenance, new plantings and replacement of existing landscaping; (vi) repairing, cleaning, sweeping, painting, striping, replacing and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenities; (vii) maintenance, repair and replacement of utility systems serving the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with any of the foregoing systems; (viii) maintenance and repair of all portions of the buildings in the Property including, but not limited to, walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation of the Common Area; (xiv) compensation and benefits paid to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation of the Common Area; (xv) management fees charged for management of the Property; and (xvi) an overhead administrative cost allowance in the amount of fifteen percent (15%) of the total Common Area Costs. Tenant’s Proportionate Share of Common Area Costs shall be paid by Tenant in monthly installments in such amounts as are estimated and billed by Landlord to Tenant as of the Commencement Date and then at the beginning of each calendar year during the Term, each such installment being due on the first day of each calendar month. Any period of less than a full calendar year occurring due to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s Proportionate Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (or, if applicable, shorter) period, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this Lease.

Common Area Costs. Tenant agrees to pay as Additional Rent during each lease year during the Term, For purposes of calculating Tenant’s Proportionate 's Allocable Share of Building and Project Costs, the “term "Common Area Costs,” " is defined as hereafter defined. For purposes of this Lease, the term “Common Area Costs” shall mean all costs and expenses of the nature hereinafter described which are incurred by Landlord in operating, maintaining, repairing, lighting, signing, cleaning, painting, stripping, insuring, equipping, staffing, heating connection with ownership and cooling, securing, and policing operation of the Common AreaProject in which the Premises are located, including, without limitation, all together with such additional facilities as may be determined by Landlord to be reasonably desirable or necessary to the ownership and operation of the Building and/or Project. All costs and expenses associated shall be determined in accordance with generally accepted accounting principles which shall be consistently applied (with accruals appropriate to Landlord's business), including but not limited to the following items or services, which may be incurred by Landlord in its sole discretionfollowing: (i) maintaining and replacing any and all alarm and life safety systems and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part of the Propertycommon area utilities, including without limitation any patrol services; (ii) maintenance of irrigation systems serving the Property; (iii) insurance, including, without limitation, liability insurance for personal injury, death and property damagewater, to the extent not reimbursed by Tenant under separately metered; (ii) common area maintenance and service agreements for the Project and the equipment therein, including without limitation, maintenance of the sidewalks, landscaping, waterscape, roof membrane, parking areas, driveways, service areas, and the building exterior; (iii) insurance premiums and costs, including without limitation, the premiums and cost of fire, casualty and liability coverage and rental abatement and earthquake (if required pursuant to Section 13.2 below9.B) insurance applicable to the Building or Project; (iv) surcharges levied upon repairs, replacements and general maintenance (excluding repairs and general maintenance paid by proceeds of insurance or assessed against parking spaces by Tenant or areasother third parties, payments toward mass transit and repairs or car pooling facilities alterations attributable solely to tenants of the Building or otherwise as required by federal, state or local governmental authoritiesProject other than Tenant); (v) all landscapingreal estate taxes and assessment installments or other impositions or charges which may be levied on the Building or Project, includingupon the occupancy of the Building or Project and including any substitute or additional charges which may be imposed during, but not limited toor applicable to the Lease Term including real estate tax increases due to a sale, lawn maintenancetransfer or other change of ownership of the Building or Project, new plantings as such taxes are levied or appear on the City and replacement of existing landscapingCounty tax bills and assessment rolls; and (vi) repairing, cleaning, sweeping, painting, striping, replacing and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenities; fees for management services rendered by either Landlord or a third party manager engaged by Landlord (vii) maintenance, repair and replacement of utility systems serving the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site or off-sitewhich may be a party affiliated with Landlord), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with any of except that the foregoing systems; (viii) maintenance and repair of all portions of the buildings in the Property including, but not limited to, walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation of the Common Area; (xiv) compensation and benefits paid to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation of the Common Area; (xv) management fees total amount charged for management services and included in the expenses to be reimbursed by Tenant shall not exceed the monthly rate of 5% of the Property; Base Monthly Rent, which the parties acknowledge as a reasonable and (xvi) an overhead administrative cost allowance in fair market value for such services. Landlord shall have no obligation to provide guard services or other security measures for the amount of fifteen percent (15%) benefit of the total Common Area CostsProject. Tenant assumes all responsibility for the protection of Tenant and Tenant’s Proportionate Share 's Agents from acts of third parties; provided, however, that nothing contained herein shall prevent Landlord, at its sole option, from providing security measures for the Project. This is a "Net" Lease, meaning that Base Monthly Rent is paid to Landlord absolutely net of all costs and expenses. The provision for payment of Common Area Costs shall be paid by Tenant in monthly installments in such amounts as are estimated and billed by Landlord means of periodic payment of Tenant's Allocable Share of Building and/or Project Costs is intended to pass on to Tenant as and reimburse Landlord for all costs of operating and managing the Commencement Date and then at the beginning of each calendar year during the Term, each such installment being due on the first day of each calendar month. Any period of less than a full calendar year occurring due to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s Proportionate Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (or, if applicable, shorter) period, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this LeaseBuilding and/or Project.

Common Area Costs. Tenant agrees to pay as Additional Rent during each lease year Lease Year of the Term (except during the TermBase Year), Tenant’s 's Proportionate Share of the “increases of the "Common Area Costs,” " (as hereafter defined) above the Common Area Costs for the Base Year. For purposes of this Lease, the term “"Common Area Costs” " shall mean all costs and expenses incurred by Landlord in operating, maintaining, repairing, lighting, signing, cleaning, painting, stripping, insuring, equipping, staffing, heating and cooling, securing, and policing of the Common Area, including, without limitation, all costs and expenses associated with the following items or services, which may be incurred by Landlord in its sole discretion: (i) maintaining and replacing any and all alarm and life safety systems and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part of the Property, including without limitation any patrol services; (ii) maintenance of irrigation systems serving the Propertysystems; (iii) insurance, including, without limitation, liability insurance for personal injury, death and property damage, damage to the extent not reimbursed by Tenant under Section 13.2 below; (iv) surcharges levied upon or assessed against parking spaces or areas, payments toward mass transit or car pooling facilities or otherwise as required by federal, state or local governmental authorities; (v) all landscaping, including, but not limited to, lawn maintenance, new plantings and replacement of existing landscaping; (vi) repairing, cleaning, sweeping, painting, striping, replacing and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenities; (vii) maintenance, repair and replacement of utility systems serving the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with any of the foregoing systems; (viii) maintenance maintenance, repair, replacement and repair substitution of and for all portions of the buildings in the Property to the extent the same is Landlord's responsibility under this Lease, including, but not limited to, the Systems (as such term is defined in Section 8.1, below), walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulationsstandards; (xiii) all materials, supplies and services purchased or hired in connection with the operation of the Common Area; (xiv) compensation and benefits paid to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation of the Common Area; (xv) management fees charged for management of the Property; and (xvi) an overhead administrative cost allowance in the amount of fifteen percent (15%) of the total Common Area Costs. Tenant’s 's Proportionate Share of the increases in the Common Area Costs shall be paid by Tenant in monthly installments in such amounts as are estimated and billed by Landlord to Tenant as of the Commencement Date first day of the Calendar Year immediately following the Base Year and then at the beginning of each calendar year Calendar Year thereafter during the Term, each such installment being due on the first day of each calendar month. Any period of less than a full calendar year Calendar Year occurring due to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s 's Proportionate Share of the increases in Common Area Costs (whether attributable to a change in Tenant’s 's Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s 's Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (or, if applicable, shorter) periodCalendar Year, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for such periodCalendar Year, Tenant’s 's Proportionate Share thereofof the increases therein, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s 's Proportionate Share of the increases in Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s 's account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this Lease.

Common Area Costs. Tenant agrees to pay as Additional Rent during each lease year during the Term, Tenant’s Proportionate Share of the “Common Area Costs,” as hereafter defined. For purposes of this Lease, the The term “Common Area Costs” ”, as used in this Lease, shall mean all costs and expenses incurred by Landlord in (a) operating, managing, policing, repairing and maintaining the Common Area and the on-site management and/or security offices, nonprofit community buildings and child care centers as may be located in the Project from time to time (which offices, buildings and center shall hereinafter be referred to as the “Joint Use Facilities”), (b) maintaining, repairing and replacing the exterior surface of exterior walls (and storefronts and storefront awnings if Landlord has elected to include the cleaning of same as part of Common Area maintenance) and maintaining, repairing and replacing roofs of the buildings from time to time constituting the Project, and (c) operating, insuring, repairing, replacing and maintaining all utility facilities and systems including, without limitation, sanitary sewer lines and systems, fire protection lines and systems, security lines and systems and storm drainage lines and systems not exclusively serving the premises of any tenant or store (“Common Utility Facilities”), Common Area furniture and equipment, seasonal and holiday decorations, Common Area lighting fixtures, directional signage, and Common Area fountains. Common Area Costs shall include the actual costs incurred by Landlord for personnel (whether employees of Landlord or third parties) employed in the management and/or operation of the Project. Common Area Costs shall include, without limitation, the following: Expenses for maintenance, repaving, resurfacing, landscaping, repairs, replacements, lighting, signing, cleaning, painting, strippingtrash removal, insuringmanagement offices, equippingsecurity, staffingnon-refundable contributions toward reserves for replacements, heating and cooling, securing, and policing of the Common Area, including, without limitation, all costs and expenses associated with the following items or services, which may be incurred by Landlord in its sole discretion: (i) maintaining and replacing any and all alarm and life safety systems and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part of the Property, including without limitation any patrol services; (ii) maintenance of irrigation systems serving the Property; (iii) insurance, including, without limitation, liability insurance for personal injury, death and property damage, to the extent not reimbursed by Tenant under Section 13.2 below; (iv) surcharges levied upon or assessed against parking spaces or areas, payments toward mass transit or car pooling facilities or otherwise as required by federal, state or local governmental authorities; (v) all landscaping, includingand/or repairs such as, but not limited to, lawn maintenancemajor parking lot repairs and repainting of buildings, new plantings fire protection and replacement of existing landscapingsimilar items; (vi) repairingdepreciation or rental on equipment; charges, cleaning, sweeping, painting, striping, replacing and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs surcharges and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenities; (vii) maintenance, repair and replacement of utility systems serving levies related to the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with any of the foregoing systems; (viii) maintenance and repair of all portions of the buildings in the Property including, but not limited to, walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) requirements of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federalFederal, state or local governmental ambient air agency; Taxes on the improvements and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation of land comprising the Common Area; (xiv) compensation and benefits paid to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation of comprehensive or commercial general liability insurance on the Common Area; (xv) management fees charged for management standard “all risks” fire and extended coverage insurance with, at Landlord’s option, an earthquake and/or flood damage endorsement covering the Common Areas; the cost of any deductibles or self-insured retentions relating to the Propertyinsurance maintained by Landlord pursuant hereto; costs, expenses and assessments allocable to the Project pursuant to the Agreements; expenses related to the Common Utility Facilities; and a sum (xvithe “Supervision Fee”) payable to Landlord for administration and overhead in an overhead administrative cost allowance in the amount of equal to fifteen percent (15%) of the total Common Area Costs, Tenant’s share of Taxes pursuant to Section 7.1 and Tenant’s share of insurance premiums pursuant to Section 13.4. Landlord may include Capital Expenditures (as defined hereafter) in the Common Area Costs provided that (i) such Capital Expenditures are limited to compliance with applicable laws or legal requirements, including, without limitation, ADA (but excluding remedying any violation existing as of the Effective Date) and/or the repair or replacement of then-existing Common Area improvements and facilities (as distinguished from new capital improvements that are not required by applicable laws or legal requirements referenced above) (collectively, “Permitted Capital Expenditures”) and (ii) are amortized (together with interest at generally accepted rates) in accordance with generally accepted shopping center management practices over the useful life of the item as reasonably determined by Landlord. “Capital Expenditures” means those expenditures costing in excess of Twenty-Five Thousand Dollars ($25,000.00), which, in accordance with generally accepted accounting principles, are not fully chargeable to current expenses in the year the expenditure is incurred. In addition to the Common Area Costs, Tenant shall pay Landlord a management fee equal to three percent (3%) of the Minimum Annual Rent then payable hereunder (the “Management Fee”), which Management Fee shall be payable in equal monthly installments at the same time as Common Area Costs. Tenant’s Proportionate Share of Common Area Costs shall be paid by Tenant in monthly installments in such amounts as are estimated and billed by Landlord to Tenant as of the Commencement Date and then at the beginning of each calendar year during the Term, each such installment being due on the first day of each calendar month. Any period of less than a full calendar year occurring due Notwithstanding anything to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s Proportionate Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (or, if applicable, shorter) period, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under contrary herein this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 11.4 above or elsewhere in this Lease, Common Area Costs shall not include any of the following: (i) Any charge for Landlord’s net income taxes; (ii) All costs relating to activities for the marketing, solicitation, negotiation, and execution of leases of space in the Project, including without limitation, costs of tenant improvements; (iii) The cost of correcting defects in the original construction of the building or in the building equipment, or other improvements in the Project; (iv) To the extent Landlord is reimbursed by third parties other than tenants, the cost of repair made by Landlord because of the total or partial destruction of the building in which the Premises are located or the other improvement in the Project, or the condemnation of a portion of the building in which the Premises are located or the Project; (v) The cost of any items for which Landlord is reimbursed by insurance or otherwise compensated by parties other than tenants of the building in which the Premises are located or the Project leased to other tenants; (vi) Ground rent or similar payments to a ground lessor; (vii) Legal fees and related expenses incurred by Landlord (together with any damages awarded against Landlord) due to the gross negligence or willful misconduct of Landlord; (viii) Capital Expenditures, other than the annual amortized amount of Permitted Capital Expenditures expressly set forth above; (ix) Costs arising from the presence of any Hazardous Materials within, upon, or beneath the Premises or Project prior to the Rent Commencement Date by reason of Landlord’s act or any other third party; (x) The costs of special services rendered to tenants (including Tenant) for which a special charge is made to such tenants; (xi) Any costs borne directly by Tenant under this Lease; or (xii) Loan payments of any type; (xiii) Any cost incurred on matters occurring outside of and/or unrelated to the Project.

Common Area Costs. Tenant agrees shall pay to pay Landlord, as Additional Rent during each lease year during the Termadditional rent, Tenant’s Proportionate Share of the “Common Area Costs,” as hereafter defined. For purposes of this Lease, the term “Common Area Costs” shall mean all costs and expenses incurred by Landlord in operatingto operate, maintainingmanage, equip, police, light, decorate, repair, replace, clean and maintain the Common Areas. Such costs and expenses shall include, without limiting the generality of the foregoing, utility costs; costs of repairing, replacing and improving all installations (including gardens and landscaping); costs of public liability, property damage, vandalism, malicious mischief and other insurance; costs of decorating, painting, lighting, signingventilating, air conditioning, cleaning, paintingsnow, strippingice and trash removal for the Building; charges for water, insuringelectricity, equippingsanitary control, staffinggas, heating steam, sewage disposal and coolingother services for the Building (but not any service provided directly for the sole benefit of a specific tenant); pest control and extermination; resurfacing, securingre-striping, installation or replacement of parking areas, curbs, walkways, landscaping, drainage facilities, lighting facilities, pylon signs, other signs, markers or bumpers; depreciation of equipment; and the cost of security and fire protection. Common Area Costs shall include (A) all charges, surcharges and other levies of whatsoever nature imposed by, and policing all costs (whether or not capital in nature) of compliance with orders or requirements of, any federal, state or local governmental authority regulating environmental, health, safety and other aspects of the Common AreaBuilding which are enacted or first interpreted to apply to the Building after the Commencement Date, including, without limitation, the Americans With Disabilities Act (42 USC Sec. 12101 et seq.) and regulations and guidelines thereunder, and all amendments thereto (the “ADA”), (B) all costs of capital improvements which are reasonably calculated to help reduce Common Area operating costs, and (C) reasonable and customary roof maintenance (Tenant’s share of which shall not exceed $3,000 in any twelve (12) month period), and periodic re-painting of the Building. The cost of capital improvements will be amortized (with interest imputed at an annual rate of interest equal to the then prime rate of interest plus three percent (3%) charged by The Mechanics Bank) by spreading such costs uniformly over an amortization period in conformance with generally accepted property management practices. Common Area costs shall not include: (a) leasing commissions, attorneys’ fees, costs and disbursements and other expenses associated incurred in connection with leasing, renovating or improving space for tenants or prospective tenants of the following items or services, which may be Building; (b) costs incurred by Landlord in the discharge of its sole discretion: obligations under Section 17.01 or Exhibit D; (c) costs (including permit, license and inspection fees) incurred in renovating, improving, decorating, painting and/or redecorating space for tenants or vacant space; (d) costs incurred due to violation by Landlord of any of the terms and conditions of this Lease or any other lease relating to the Building; (e) repairs or other work occasioned by fire, windstorm, earthquake, or other cause paid for through insurance or condemnation proceeds; (f) repairs resulting from any defect in the original design or construction of the Building; (g) overhead and profit increment paid to Landlord or to subsidiaries or affiliates of Landlord for goods and/or services in or to the Building or Common Areas to the extent the same exceeds the costs of such goods and/or services rendered by unaffiliated third parties on a competitive basis for comparable properties; (h) costs of signs in or on the Building or Common Areas identifying other tenants but not Tenant; (i) maintaining costs incurred in connection with causing the Building or the Common Areas, to comply with disability, life, fire and replacing any and all alarm and life safety systems and any fire alarm monitoring codes, ordinances, statutes, or testing service program or fire suppression system installed within other laws in effect prior to the Premises or otherwise within the improvements which form a part reference date of the Property, including without limitation any patrol services; (ii) maintenance of irrigation systems serving the Property; (iii) insuranceLease, including, without limitation, liability the ADA, including penalties or damages incurred due to such non-compliance; (j) the premiums of any earthquake or flood insurance for personal injury, death carried by Landlord and property damageany deductibles under any insurance policies carried by Landlord, to the extent not reimbursed by Tenant the deductibles under Section 13.2 belowsuch other insurance policies exceed commercially reasonable amounts; (ivk) surcharges levied upon or assessed against parking spaces or areasif Landlord maintains commercial general liability insurance with coverages in excess of $1,000,000 per occurrence, payments toward mass transit or car pooling facilities or otherwise as required by federal, state or local governmental authoritiesthen the additional premiums related to coverages in excess of $1,000,000 per occurrence; (vl) all landscapingtaxes and tax penalties incurred as a result of Landlord’s negligence, including, but not limited to, lawn maintenance, new plantings and replacement of existing landscapinginability or unwillingness to make payments and/or to file any tax or informational returns when due; (vim) repairing, cleaning, sweeping, painting, striping, replacing and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenities; (vii) maintenance, repair and replacement of utility systems serving the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with any of the foregoing systems; (viii) maintenance and repair of all portions of the buildings in the Property including, but not limited to, walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation of the Common Area; (xiv) compensation and benefits paid to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation testing, monitoring, removal or remediation of hazardous substances in, under or about the Building or Common AreaAreas unless arising from Tenant’s acts; (xvn) management fees charged for management any entertainment, dining or travel expenses of the Property; and (xvi) an overhead administrative cost allowance in the amount of fifteen percent (15%) of the total Common Area Costs. Tenant’s Proportionate Share of Common Area Costs shall be paid by Tenant in monthly installments in such amounts as are estimated and billed by Landlord to Tenant as of the Commencement Date and then at the beginning of each calendar year during the Term, each such installment being due on the first day of each calendar month. Any period of less than a full calendar year occurring due to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s Proportionate Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (orpurpose, if applicable, shorter) period, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this Lease.and

Common Area Costs. Tenant agrees to pay Except as Additional Rent during each lease year during the Termprovided otherwise in this Lease, for purposes of calculating Tenant’s Proportionate 's Allocable Share of Building and of Project Costs, the “term "Common Area Costs,” as hereafter defined. For purposes of this Lease, the term “Common Area Costs” " shall mean all costs and expenses of the nature hereinafter described which are incurred in connection with ownership and operation of the Building or the Project in which the Premises are located, as the case may be not directly allocable to or payable by Landlord a single tenant in operatingthe Building or the Project, maintainingprovided however, repairingthat any special assessments for additional facilities shall not be included in Common Area Costs. All costs and expenses shall be determined in accordance with generally accepted accounting principles which shall be consistently applied (with accruals appropriate to Landlord's business), including but not limited to, the following: (i) common area utilities, including water and power, heating, lighting, signingair-conditioning, cleaning, painting, stripping, insuring, equipping, staffing, heating ventilating and cooling, securing, Building utilities to the extent not separately metered; (ii) common area maintenance and policing of service agreements for the Common Area, Building or the Project and the equipment therein including, without limitation, all costs and expenses associated with the following items or common area janitorial services, which may be incurred by Landlord in its sole discretion: (i) maintaining and replacing any and all alarm and life safety systems security services, exterior window cleaning, and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part maintenance of the Propertysidewalks, including without limitation any patrol services; (ii) maintenance of irrigation systems serving landscaping, waterscape, roof membrane, parking areas, driveways, service areas, mechanical rooms, elevators, and the Propertybuilding exterior; (iii) insuranceinsurance premiums and costs, including, including without limitation, the premiums and cost of fire, casualty and liability coverage and rental abatement and earthquake (if commercially available) insurance for personal injury, death and property damage, applicable to the extent not reimbursed by Tenant under Section 13.2 belowBuilding or Project; (iv) surcharges levied upon repairs, replacements and general maintenance (excluding repairs and general maintenance paid by proceeds of insurance or assessed against parking spaces by Tenant or areasother third parties, payments toward mass transit and repairs or car pooling facilities alterations attributable solely to tenants of the Building or otherwise as required by federal, state or local governmental authoritiesProject other than Tenant); and (v) all landscapingAll real estate taxes, includingspecial assessments, but not limited toservice payments in lieu of taxes, lawn maintenanceexcises, new plantings transit charges, housing fund assessment, levies, fees or charges and replacement including any substitutes or additions thereto which may occur during the Lease Term (and Renewal Terms, if any) or this lease which are assessed, or imposed by any public authority upon the Building or Project, the act of existing landscaping; (vi) repairingentering this Lease, cleaningthe occupancy by Tenant, sweeping, painting, striping, replacing the rent provided for in this Lease and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenities; (vii) maintenance, repair and replacement of utility systems serving the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site including real estate tax increases due to a sale or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with any transfer of the foregoing systems; (viii) maintenance Building or the Project, in which the Premises are located, as such taxes are levied or appear on the City and repair County tax bills and assessment rolls. This shall be a Net Lease and the Base Monthly Rent shall be paid to Landlord absolutely net of all portions of the buildings in the Property including, but not limited to, walls, roofs costs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation of the Common Area; (xiv) compensation and benefits paid to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation of the Common Area; (xv) management fees charged expenses. The provision for management of the Property; and (xvi) an overhead administrative cost allowance in the amount of fifteen percent (15%) of the total Common Area Costs. Tenant’s Proportionate Share payment of Common Area Costs shall be paid by Tenant in monthly installments in such amounts as means of periodic payment of Tenant's Allocable Share of Building and/or Project Costs are estimated and billed by Landlord intended to pass on to Tenant as and reimburse Landlord for all costs of operating and managing the Commencement Date and then at the beginning of each calendar year during the Term, each such installment being due on the first day of each calendar monthBuilding and/or Project. Any period of less than a full calendar year occurring due to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s Proportionate Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within have the right, one hundred twenty (120) days after time per year, to audit Landlord's books related to costs and expenses for the end Premises to determine compliance with the determination of each such twelve (12) month (or, if applicable, shorter) period, Landlord shall deliver costs and expenses pursuant to Tenant a statement setting forth the actual Common Area Costs for such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this Leaseparagraph.

Common Area Costs. Tenant agrees to pay as Additional Commencing on the Rent during each lease year during Commencement Date and continuing throughout the Term, Tenant will pay to Landlord, as Additional Rent, without deduction or setoff, Tenant’s Proportionate 's Share of the “"Common Area Costs,” " (as hereafter hereinafter defined) as specified in this Section 2.7(b). Tenant's Share of Common Area Costs will be computed by determining Landlord's actual annual Common Area Costs and the result thereof will be multiplied by a fraction, the numerator of which is the Floor Area of the Demised Premises and the denominator of which is the total number of square feet of leasable building space that has been constructed in the Project. For the purposes of this LeaseSection 2.7(b), the term “phrase "Common Area Costs” shall " will mean and include all of Landlord's costs and expenses incurred by Landlord in of operating, maintaining, repairing, lighting, signing, cleaning, painting, stripping, insuring, equipping, staffing, heating managing and cooling, securingmaintaining any portion(s) of the Project which it owns and/or any other expenses and/or assessments attributable to the Demised Premises pursuant to the Declaration, and policing of the Common Area, includingwill be deemed to include, without limitation, landscaping; sanitary and pest control; storm water and/or sanitary sewer system (including any detention ponds, pipes, basins and other similar devices) usage, maintenance and repair charges; Common Area refuse removal containers; cleaning (including the periodic cleaning of building facades); utilities; snow and ice removal; resurfacing, restriping and repair of all costs parking areas; painting; fire protection; traffic control; non­ structural repairs (provided that roof repairs will be included as a Common Area Cost); policing and expenses associated with the following items or services, which may be incurred by Landlord in its sole discretion: (i) maintaining and replacing any and all alarm and life safety systems and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part of the Property, including without limitation any patrol security services; (ii) maintenance of irrigation systems serving the Propertyholiday and seasonal decorations; (iii) insurance, including, without limitation, liability insurance for personal injury, death and property damage, to the extent not reimbursed by Tenant under Section 13.2 below; (iv) surcharges levied upon or assessed against parking spaces or areas, payments toward mass transit or car pooling facilities or otherwise as required by federal, state or local governmental authorities; (v) all landscaping, including, but not limited to, lawn maintenance, new plantings and replacement of existing landscaping; (vi) repairing, cleaning, sweeping, painting, striping, replacing and repaving of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, signs and other markers, landscaping, drainage pipes, ducts, conduits, lighting facilities and all other Common Area site amenitiesfurniture and/or fixtures; (vii) maintenance, repair and replacement of utility systems serving the Property, including, but not limited to, water, sanitary sewer and storm water lines and drainage systems (whether on-site or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduits, and all payments of utility charges in connection with Landlord's overhead expenses for administering any of the foregoing systems; (viii) maintenance and repair of all portions of the buildings in the Property including, but not limited to, walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all machinery and equipment used in the operation and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation of the Common Area; (xiv) compensation and benefits paid an amount equal to any and all personnel, including, without limitation, security and maintenance persons, secretaries, bookkeepers and any other personnel related to the operation of the Common Area; (xv) management fees charged for management of the Property; and (xvi) an overhead administrative cost allowance in the amount of fifteen ten percent (1510%) of the total Common Area Costs. Tenant’s Proportionate Share of Common Area Costs shall be paid by Tenant in monthly installments in all such amounts as are estimated and billed by Landlord to Tenant as of the Commencement Date and then at the beginning of each calendar year during the Term, each such installment being due on the first day of each calendar month. Any period of less than a full calendar year occurring due to the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated Tenant’s Proportionate Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (or, if applicable, shorter) period, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this Leasecosts.

Common Area Costs. In addition to Rent and other charges prescribed in this Lease, Tenant agrees shall pay to pay as Additional Rent during each lease year during the Term, Landlord Tenant’s Proportionate 's Pro Rata Share of the “Common Area Costs,” as hereafter defined. For purposes of this Lease, the The term “"Common Area Costs” shall mean ", as used herein, means all costs and expenses of every kind and nature which may be paid or incurred by Landlord during the Lease Term in operating, maintainingmanaging, policing, equipping, lighting, repairing, lighting, signing, cleaning, painting, stripping, insuring, equipping, staffing, heating replacing and cooling, securing, and policing of maintaining the Common Area, including, without limitation, all costs of resurfacing and expenses associated with re-striping the following items or services, which may be incurred by Landlord in its sole discretion: (i) maintaining and replacing any and all alarm and life safety systems and any fire alarm monitoring or testing service program or fire suppression system installed within the Premises or otherwise within the improvements which form a part of the Property, including without limitation any patrol servicesparking area; (ii) maintenance of irrigation systems serving the Property; (iii) insurance, including, without limitation, liability insurance for personal injury, death and property damage, to the extent not reimbursed by Tenant under Section 13.2 below; (iv) surcharges levied upon or assessed against parking spaces or areas, payments toward mass transit or car pooling facilities or otherwise as required by federal, state or local governmental authorities; (v) all landscaping, including, but not limited to, lawn maintenance, new plantings and replacement of existing landscaping; (vi) repairingrepainting, cleaning, sweeping, paintingand other janitorial services provided to the Common Area; security guards and other security services and systems (Landlord makes no representation it will provide any security services whatsoever); purchase, striping, replacing construction and repaving maintenance of paving, curbs, walkways, guardrails, bumpers, fences, screens, flagpoles, bicycle racks, refuse receptacles; planting and re-landscaping including the cost of installing and maintaining a sprinkler system and related equipment; cost of maintaining or installing directional signs and other markers; car stops; traffic control expenses including the cost of hiring off duty policemen for such purpose; lighting and other utilities provided to the Common Area, landscapingincluding the cost of tubes, drainage pipes, ducts, conduits, lighting facilities bulbs and all other Common Area site amenitiesballasts; repairing and maintaining overhead canopies; repairing gutters and down-spouts; exterminating and pest control in and about the Shopping Center; professional fees and expenses incurred by Landlord for ad valorem tax consultants or tax-rendering services; maintenance and repair (viibut not replacement) maintenance, repair and replacement of utility systems serving the Propertysystems, including, but not limited to, including water, sanitary sewer and storm water sewer lines and drainage systems (whether on-site or off-site), electrical, gas, telephone and lighting systems (including bulbs, poles, and fixtures) and other utility lines, pipes and conduitsconduits within the Common Area; drainage systems serving the Shopping Center; rental charges or depreciation if owned, and all payments of utility charges in connection with any of the foregoing systems; (viii) maintenance and repair of all portions of the buildings in the Property including, but not limited to, walls, roofs and roof flashings, canopies, skylights, signs, planters, benches, fire exits, doors and hardware, windows, glass and glazing; (ix) inspection, maintenance, repair and acquisition costs (including depreciation) of any and all for machinery and equipment used in the operation operation, maintenance and maintenance of the Common Area, including personal property taxes and other charges and taxes incurred in connection with such equipment; (x) cleaning of any exterior glass; (xi) removal of snow, ice, trash and debris; (xii) maintenance of and compliance with federal, state or local governmental ambient air and environmental standards and other laws and regulations; (xiii) all materials, supplies and services purchased or hired in connection with the operation repair of the Common Area; (xiv) installing, operating and maintaining Shopping Center identification signs; premiums on public liability and property damage insurance; costs of personnel to implement all of the foregoing, including wages, unemployment taxes, social security taxes and workmen's compensation insurance premiums; personal property taxes; fees for required licenses and benefits paid permits; supplies; any modifications to any and all personnelthe Common Area precipitated by applicable governmental statutes, includingregulations, rules or demands, including without limitation, security the Americans With Disabilities Act; and maintenance persons, secretaries, bookkeepers and any other personnel related an allowance to the operation Landlord for Landlord's supervision of the Common Area; (xv) management fees charged Area and for management of the Property; accounting, bookkeeping and (xvi) collection costs in an overhead administrative cost allowance in the amount of equal to fifteen percent (15%) of the total of all Common Area Costs (but there shall be excluded from Common Area Costs depreciation of the cost of constructing, erecting and installing the Common Area). Landlord may cause any or all of said services to be provided by a third party contractor or contractors (which may be an affiliate of Landlord) and all fees, charges and expenses paid to such contractors shall be a Common Area Cost. Tenant shall make such payments to Landlord monthly, in advance, with the regular monthly installments of Minimum Guaranteed Rental due and payable pursuant to this Lease, such monthly payments being based upon the Landlord's estimate of the annual Common Area Costs, payable in advance but subject to adjustment from time to time by Landlord during the Lease Term on the basis of the actual Common Area Costs for such calendar year. Following the end of each calendar year occurring during the Lease Term, Landlord will give Tenant notice of the total amount paid by Tenant for the relevant calendar year together with the actual amount of Tenant’s Proportionate 's Share of Common Area Costs shall be for such calendar year. If the actual amount of Tenant's Share of such Common Area Costs with respect to such period exceeds the aggregate amount previously paid by Tenant in monthly installments in such amounts as are estimated and billed by Landlord to Tenant as of the Commencement Date and then at the beginning of each calendar year with respect thereto during the Termsuch period, each such installment being due on Tenant shall pay to Landlord the first day of each calendar monthdeficiency within ten (10) days following notice from Landlord. Any period of less than a full calendar year occurring due to If, however, the timing of the Commencement Date shall be proportionately adjusted to reflect such partial year. If at any time during such twelve (12) month period it shall appear that Landlord has underestimated aggregate amount previously paid by Tenant with respect thereto exceeds Tenant’s Proportionate 's Share of Common Area Costs (whether attributable to a change in Tenant’s Proportionate Share, an increase in the projected such Common Area Costs for such period, mathematical error or otherwise), Landlord may re-estimate Tenant’s Proportionate Share of Common Area Costs and may xxxx Tenant for any deficiency which may have accrued during such twelve (12) month period and thereafter the monthly installment payable by Tenant shall also be adjusted. Within one hundred twenty (120) days after the end of each such twelve (12) month (or, if applicable, shorter) periodthen, Landlord shall deliver to Tenant a statement setting forth the actual Common Area Costs for refund such period, Tenant’s Proportionate Share thereof, and the total amount paid by Tenant to Landlord under this Section 6.3 during such period. In the event the amounts paid by Tenant during such period are greater or lesser than Tenant’s Proportionate Share of the Common Area Costs as set forth on such statement, Tenant shall pay to Landlord or Landlord shall credit Tenant’s account (or, if such adjustment occurs at the end of the Term, pay net surplus to Tenant), as the case may be, within thirty (30) days of receipt of such statement, the amount of any excess or deficiency. Failure of Landlord to provide the statement called for hereunder shall not relieve Tenant from its obligations under this Section 6.3 or elsewhere in this Lease.