Common use of Expenses Defined Clause in Contracts

Expenses Defined. “Expenses” means all cost and expenses incurred by Landlord in connection with operating, maintaining, repairing, and managing the Building as a “Class A office building,” as defined herein, including, but not limited to (1) utilities, including, but not limited to utilities and lighting for areas occupied by tenants as well as Common Areas; (2) maintenance costs for performance of any Landlord’s maintenance and repair obligations hereunder for the Building located on the Property, Common Areas, Property, including, but not limited to parking facilities and landscaping, maintaining and repairing sewer main, ducts, conduits and similar items, fire protection systems, sprinkler and security alarm systems, elevators, storm and sanitary drainage systems and other utility and mechanical systems; materials and services for operation, maintenance or the security or protection of the Property including any janitorial services, pest control, HVAC service contracts, any other repair and maintenance by Landlord; (3) roof and other exterior maintenance; (4) the amortized cost (with a reasonable rate of Insurance) of capital improvements made to the Property which are for the purpose of reducing operating expense costs, or which are required to comply with any laws, rules or regulations of any governmental authority first enacted after the Commencement Date or a requirement of Landlord’s insurance carrier first enacted after the Commencement Date; (5) property management fees not exceeding market rate; (6) all sums expended in connection with any Common Areas for maintenance and repairs; (7) operation, maintenance and repair of any heating, ventilation and air conditioning system, including repair of any HVAC components or units as reasonably needed; (8) the cost of utilities CONOCO XXXXXXXX, 1144 EASTLAKE LEASE PAGE 4 SEPTEMBER 12, 2003 consumed on the Property if paid for by Landlord; (9) the cost of any governmentally required license, permit, or inspection for or of the Property (other than those required in connection with Landlord’s Work); (10) replacement or supplemental directional and other signage other than the initial signage installed in the Building or on the Property by Landlord as part of Landlord’s Work; and (11) and any other costs and expenses of any other kind whatsoever which are generally considered expenses in accordance with generally accepted accounting principles and which are reasonably incurred by Landlord in connection with owning, operating or maintaining the Property and any expense designated by this Lease to be an Expense. Expenses shall be “net” only and for that purpose shall be deemed reduced by the amounts or any insurance reimbursement or other reimbursement received by Landlord in connection with such expenses. In the event the average occupancy level of the Building for any year is less than one hundred percent (100%), the actual Expenses for such year shall be proportionately adjusted to reflect those costs which Landlord estimates would have been incurred, had the Building been one hundred percent (100%) occupied during such year.

Expenses Defined. “Expenses” means all cost costs and expenses incurred by Landlord in connection with owning, operating, maintaining, repairing, and managing the Building Property as a “Class A ‘A’ office building,” as defined herein, including, including but not limited to to: (1) utilities, including, but not limited to to, utilities and lighting for areas occupied by tenants as well as Common Areas; (2) maintenance costs for performance of any Landlord’s maintenance and repair obligations hereunder for the Building located on the Property, Common Areas, Property, including, but not limited to parking facilities and landscaping, maintaining and repairing sewer main, ducts, conduits and similar items, fire protection systems, sprinkler and security alarm systems, elevators, storm and sanitary drainage systems and other utility and mechanical systems; materials and services for operation, maintenance or the security or protection of the Property including any janitorial services, pest control, HVAC service contracts, any other repair and maintenance by Landlord; (3) roof and other exterior maintenance; (4) the amortized cost (with a reasonable rate of Insurance) of capital improvements made to the Property which are for the purpose of reducing operating expense costs, or which are required to comply with any laws, rules or regulations of any governmental authority first enacted after the Commencement Date or a requirement of Landlord’s insurance carrier first enacted after the Commencement Date; (5) property management fees not exceeding market ratethree and one-half percent (3.5%) of Base Rent (calculated without regard to the management fee); provided, during Tenant’s Property Management Period, such fees shall be restricted to an asset management fee of three-quarters percent (0.75%) of Base Rent which Tenant shall pay to Landlord; (6) all sums expended in connection with any Common Areas for maintenance and repairs; , (7) operation, maintenance and repair of any heating, ventilation and air conditioning system, including repair of any HVAC components or units as reasonably needed; (8) the cost of utilities CONOCO XXXXXXXX, 1144 EASTLAKE LEASE PAGE 4 SEPTEMBER 12, 2003 consumed on the Property if paid for by Landlord; (9) the cost of any governmentally required license, permit, or inspection for or of the Property (other than those required in connection with Landlord’s Work); (10) replacement or supplemental directional and other signage other than the initial signage installed in the Building or on the Property by Landlord as part of Landlord’s Work; and (11) Taxes and Insurance as defined below. Expenses shall be “net” only and for that purpose shall be deemed reduced by the amounts of any insurance reimbursement or other reimbursement received by Landlord in connection with such expenses; ; and (12) any other costs and expenses of any other kind whatsoever which are generally considered expenses in accordance with generally accepted ZYMOGENETICS 1144 EASTLAKE LEASE PAGE 6 FEBRUARY 29, 2008 accounting principles and which are reasonably incurred by Landlord in connection with owning, operating or maintaining the Property and any expense designated by this Lease to be an Expense. Expenses shall be “net” only and for that purpose shall be deemed reduced by the amounts or of any insurance reimbursement or other reimbursement received by Landlord in connection with such expenses. In The following shall not be Expenses: (1) repairs or other work occasioned by insured casualty except for the event deductible portion of any insured casualty loss; (2) marketing costs including, without limitation, leasing commissions, attorneys’ fees in connection with the average occupancy level negotiation and preparation of letters, deal memos, letters of intent, leases, subleases and/or assignments, space planning costs, tenant improvement costs, and other costs and expenses incurred in connection with lease, sublease and/or assignment negotiations, disputes and transactions with present or prospective tenants; (3) depreciation and amortization; (4) interest on debt or principal payments to a Lender or rental under a ground lease; (5) costs of Landlord’s general overhead and general and administrative expense provided this limitation shall not be construed to limit Landlord’s right to require Tenant to pay as an Expense the property or asset management fee provided for above; (6) specific costs incurred for the account of specific tenants only, other than Tenant; (7) salaries of officers, executives and partners of Landlord, and salaries of Building employees to the extent allocated to properties other than the Property; (8) penalties incurred as a result of Landlord’s negligence, inability or unwillingness to make payments, or penalties incurred due to the Property not being in compliance with applicable law; (9) capital improvements, except as otherwise provided above; (10) the cost of tenant improvements; (11) costs relating to any parking garage in the Building for (such as utilities, attendants, cashiers and janitorial services); (12) penalties due to any year is less than one hundred percent violation of Law by Landlord; and (100%), the actual Expenses for such year shall be proportionately adjusted to reflect those costs which Landlord estimates would have been incurred, had the Building been one hundred percent (100%13) occupied during such yearstructural repairs or replacements.

Expenses Defined. “Expenses” " means all cost costs and expenses incurred by Landlord in connection with owning, operating, maintaining, repairing, and managing the Building Premises as a “"Class A office building,” " as defined herein, including, but not limited to (1) utilities, including, but not limited to to, utilities and lighting for areas occupied by tenants as well as Common Areas; (2) maintenance costs for performance of any Landlord’s 's maintenance and repair obligations hereunder for the Building located on the Property, Common Areas, Property, including, but not limited to parking facilities and landscaping, maintaining and repairing sewer main, ducts, conduits and similar items, fire protection systems, sprinkler and security alarm systems, elevators, storm and sanitary drainage systems and other utility and mechanical systems; materials and services for operation, maintenance or the security or protection of the Property including any janitorial services, pest control, HVAC service contracts, any other repair and maintenance by Landlord; (3) roof and other exterior maintenance; (4) the amortized cost (with a reasonable rate of Insurance) of capital improvements made to the Property which are for the purpose of reducing operating expense costs, or which are required to comply with any laws, rules or regulations of any governmental authority first enacted after the Commencement Date or a requirement of Landlord’s 's insurance carrier first enacted after the Commencement Date; (5) property management fees not exceeding market ratethree and one-half percent (3.5%) of Base Rent (calculated without regard to the management fee); (6) all sums expended in connection with any Common Areas for maintenance and repairs; , (7) operation, maintenance and repair of any heating, ventilation and air conditioning system, including repair of any HVAC components or units as reasonably needed; (8) the cost of utilities CONOCO XXXXXXXX, 1144 EASTLAKE LEASE PAGE 4 SEPTEMBER 12, 2003 consumed on the Property if paid for by Landlord; (9) the cost of any governmentally required license, permit, or inspection for or of the Property (other than those required in connection with Landlord’s 's Work); (10) replacement or supplemental directional and other signage other than the initial signage installed in the Building or on the Property by Landlord as part of Landlord’s 's Work; and (11) and any other costs and expenses of any other kind whatsoever which are generally considered expenses in accordance with generally accepted accounting principles and which are reasonably incurred by Landlord in connection with owning, operating or maintaining the Property and any expense designated by this Lease to be an Expense. Expenses shall be “"net” " only and for that purpose shall be deemed reduced by the amounts or of any insurance reimbursement or other reimbursement received by Landlord in connection with such expenses. In the event the average occupancy level of the Building for any year is less than one hundred percent (100%), the actual Expenses for such year shall be proportionately adjusted to reflect those costs which Landlord estimates would have been incurred, had the Building been one hundred percent (100%) occupied during such year.