Common use of Computation of Additional Rent Clause in Contracts

Computation of Additional Rent. During each December of the Lease Term, or as soon thereafter as reasonably practical, Landlord shall provide Tenant with its good faith written estimate of the amount, if any, by which the Tax Costs (as defined in Article 4.3 below) and/or the Operating Costs (as defined in Article 4.4 below) for the coming calendar year are projected to exceed those of the Base Year (collectively referred to as “Estimated Pass-through Costs”). On or before the first day of each month during the ensuing calendar year, Tenant shall pay to Landlord as additional rent (“Additional Rent”), in addition to and at the time provided for payment of Base Rent, one-twelfth (1/12th) of the amount computed by multiplying Tenant’s Percentage Share by the amount of the Estimated Pass-through Costs for Taxes and/or one-twelfth (1/12th) of the amount computed separately with respect to Operating Costs. In the event that Landlord does not provide Tenant with such written estimate in December, Tenant shall continue to make monthly payments of Additional Rent on the basis of the prior year’s Estimated Pass-through Costs until the first day of the month after Landlord provides such written estimate to Tenant, at which time Tenant shall commence making monthly Additional Rent payments based upon the revised Estimated Pass-through Costs, and additionally shall pay to Landlord a one-time retroactive sum for each month that has elapsed since December the amount by which the Additional Rent payable pursuant to the revised Estimated Pass-through Costs exceeds the amount Tenant paid based on the prior year’s Estimated Pass-through Costs. Landlord shall use its commercially best efforts to deliver its written estimate within six (6) months of the end of the calendar year. Under no circumstances shall the provisions of this Article 4 cause the Base Rent to be reduced. Neither Landlord’s failure to deliver, nor the late delivery of such statement or statements shall constitute a default by Landlord hereunder, nor a waiver of Landlord’s right to receive any Additional Rent or to later collect Additional Rent accrued as provided hereinabove. The Tax Costs and Operating Costs for the Base Year shall be deemed to constitute Landlord’s agreed contribution to Operating Costs and Tax Costs and is neither a representation nor a warranty that such Base Year costs will reflect actual Operating Costs or Tax Costs for any succeeding year. If, during any calendar year including the Base Year, the Building is less than ninety-five percent (95%) occupied, then for the purpose of computing Additional Rent due hereunder, the variable components of the Operating Costs and Tax Costs actually incurred during such calendar year shall be increased to approximate the amounts which would have been payable if the Building had been ninety-five percent (95%) occupied.

Computation of Additional Rent. During each December of the Lease Term, or as soon thereafter as reasonably practical, Landlord shall provide Tenant with its good faith written estimate of the amount, if any, by which the Tax Costs (as defined in Article 4.3 below) and/or the Operating Costs (as defined in Article 4.4 below) for the coming calendar year are projected to exceed those of the Base Year (collectively referred to as “Estimated Pass-through Costs”). On or before the first day of each month during the ensuing calendar year, Tenant shall pay as Additional Rent for each Adjustment Year the following amounts in accordance with Sections 2(c) and 2(d) hereof and subject to Landlord as additional rent Section 2(c)(i)C hereof: (“Additional Rent”i) Tenant's Proportionate Share of Taxes for such Adjustment Year (the "Tax Adjustment"), in addition ; plus (ii) Tenant's Proportionate Share of Expenses for such Adjustment Year (the "Expense Adjustment"); plus (iii) Tenant's Management Fee which shall be equal to and at the time provided for payment four percent (4%) of Base RentRent from time to time. Notwithstanding anything herein to the contrary Tenant shall not be obligated to pay Additional Rent for (x) any part of the Premises for any period prior to the Low-Rise Rent Commencement Date or (y) the Top Floor for any period prior to the High-Rise Rent Commencement Date. Tenant's obligation for the Tax Adjustment and Expense Adjustment with respect to a Lease Year (being Tenant's Proportionate Share of Taxes and Expenses calculated pursuant to the following paragraph) shall not exceed the Tax and Expense Cap applicable to such Lease Year. The fact that such Tax Adjustment for purposes of such limitation is being calculated using Taxes paid as opposed to Taxes "for" a particular year does not modify Tenant's obligation to pay Tax Adjustment based on Taxes "for" an Adjustment Year. For purposes of this lease, one-twelfth the term "Tax and Expense Cap" shall mean (1/12thi) Six Dollars ($6.00) multiplied by the Rentable Area of the Office Premises for the first Lease Year; (ii) Ten Dollars ($10.00) multiplied by the Rentable Area of the Office Premises for the second Lease Year; and (iii) Sixteen Dollars ($16.00) multiplied by the Rentable Area of the Office Premises for the third Lease Year; provided that in the event that tenants occupy sixty percent (60%) of the amount computed by multiplying Tenant’s Percentage Share Rentable Area of the Building at any time during the second Lease Year, the Tax and Expense Cap for the third Lease Year shall be Sixteen and 80/100 Dollars ($16.80) multiplied by the amount Rentable Area of the Estimated Pass-through Costs for Taxes and/or one-twelfth Office Premises, and in the event that tenants occupy eighty percent (1/12th80%) of the amount computed separately with respect to Operating CostsRentable Area of the Building at any time during the second Lease Year, the Tax and Expense Cap for the third Lease Year shall be Seventeen and 60/100 Dollars ($17.60) multiplied by the Rentable Area of the Office Premises. In determining whether the event that Landlord Tax and Expense Cap has been exceeded for any Lease Year, Taxes and Expenses to be used for the Lease Year in question shall be calculated in accordance with the following: (1) Taxes paid during a Lease Year which does not provide Tenant with such written estimate in December, Tenant shall continue to make monthly payments of Additional Rent begin on the basis of the prior year’s Estimated Pass-through Costs until the first day of the month after Landlord provides such written estimate to Tenant, at which time Tenant shall commence making monthly Additional Rent payments based upon the revised Estimated Pass-through Costs, and additionally shall pay to Landlord a one-time retroactive sum for each month that has elapsed since December the amount by which the Additional Rent payable pursuant to the revised Estimated Pass-through Costs exceeds the amount Tenant paid based on the prior year’s Estimated Pass-through Costs. Landlord shall use its commercially best efforts to deliver its written estimate within six (6) months of the end of the calendar year. Under no circumstances shall the provisions of this Article 4 cause the Base Rent to be reduced. Neither Landlord’s failure to deliver, nor the late delivery of such statement or statements shall constitute a default by Landlord hereunder, nor a waiver of Landlord’s right to receive any Additional Rent or to later collect Additional Rent accrued as provided hereinabove. The Tax Costs and Operating Costs for the Base Year January 1 shall be deemed to constitute Landlord’s agreed contribution be the sum of the following: Taxes actually paid during the Adjustment Year during which the Lease Year commences X number of days in the Lease Year falling within such Adjustment Year ---------------------------------------------------- Number of days in such Adjustment Year plus Taxes actually paid during the Adjustment Year during which the Lease Year ends X number of days in the Lease Year falling within such Adjustment Year ---------------------------------------------------- Number of days in such Adjustment Year (2) Expenses for a Lease Year which does not begin on a January 1 shall be deemed to Operating Costs and Tax Costs and is neither a representation nor a warranty that such Base Year costs will reflect actual Operating Costs or Tax Costs for any succeeding year. If, during any calendar year including be the Base Year, sum of the Building is less than ninety-five percent (95%) occupied, then following: Expenses for the purpose Adjustment Year during which the Lease Year commences X number of computing Additional Rent due hereunder, days in the variable components Lease Year falling within such Adjustment Year ---------------------------------------------------- Number of days in such Adjustment Year plus Expenses for the Operating Costs and Tax Costs actually incurred Adjustment Year during which the Lease Year ends X number of days in the Lease Year falling within such calendar year shall be increased to approximate the amounts which would have been payable if the Building had been ninety-five percent (95%) occupied.Adjustment Year ---------------------------------------------------- Number of days in such Adjustment Year

Computation of Additional Rent. During In December of each December year of the Lease Term, or as soon thereafter as reasonably practical, Landlord shall provide Tenant with its good faith written estimate of the amount, if any, by which the Tax Costs (as defined in Article 4.3 below) and/or the Operating Costs (as defined in Article 4.4 below) for the coming calendar year are projected to exceed those of the Base Year (collectively referred to as collectively, the “Estimated Pass-through Costs”). On or before the first day of each month during the ensuing calendar year, Tenant shall pay to Landlord as additional rent (“Additional Rent”), in addition to and at the time provided for payment of Base Rent, one-twelfth (1/12th) of the amount computed by multiplying Tenant’s Percentage Share by the amount of the Estimated Pass-through Costs for Taxes and/or one-twelfth (1/12th) of the amount computed separately with respect to and Operating Costs. In the event that Landlord does not provide Tenant with such written estimate in December, Tenant shall continue to make monthly payments of Additional Rent on the basis of the prior year’s Estimated Pass-through Costs until the first day of the month after Landlord provides such written estimate to Tenant, at which time Tenant shall commence making monthly Additional Rent payments based upon the revised Estimated Pass-through Costs, and additionally Tenant shall pay to Landlord a one-time retroactive sum for each month that has elapsed since December the amount by which the Additional Rent payable pursuant to the revised Estimated Pass-through Costs exceeds the amount Tenant paid based on the prior year’s Estimated Pass-through Costs. Landlord shall use its commercially best efforts to deliver its written estimate within six (6) months of the end of the calendar year. Under no circumstances shall the provisions of this Article 4 cause the Base Rent to be reduced. Neither Landlord’s failure to deliver, nor the late delivery of such statement or statements shall constitute a default by Landlord hereunder, nor a waiver of Landlord’s right to receive any Additional Rent or to later collect Additional Rent accrued as provided hereinaboveabove. The Tax Costs and Operating Costs for the Base Year shall be deemed to constitute Landlord’s agreed contribution to Operating Costs and Tax Costs and is neither a representation nor a warranty that such Base Year costs will reflect actual Operating Costs or Tax Costs for any succeeding year. If, during any calendar year including the Base Year, the Building is less than ninety-five percent (95%) occupied, then for the purpose of computing Additional Rent due hereunder, the variable components of the Operating Costs and Tax Costs actually incurred during such calendar year shall be increased to approximate the amounts which would have been payable if the Building had been ninety-five percent (95%) occupied.