Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Year.
Appears in 3 contracts
Samples: Lease (EPIX Pharmaceuticals, Inc.), Lease Agreement (EPIX Pharmaceuticals, Inc.), Lease (Predix Pharmaceuticals Holdings Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs ("for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 3 contracts
Samples: Lease Agreement (Infraredx Inc), Lease Agreement (Lemaitre Vascular Inc), Lease Agreement (Lemaitre Vascular Inc)
Operating Costs. Tenant shall covenants to pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs ("for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated. This section shall survive the expiration or earlier termination of the Lease.
Appears in 2 contracts
Samples: Office Lease (Avedro Inc), Office Lease (Avedro Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect Prior to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term commencement of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and prior to March 1 of each calendar year thereafter, or as soon thereafter as practicable. Landlord shall furnish Tenant has no further obligation to Landlord); if with a written statement of the total estimated operating costs per square foot of gross rentable area of the Building for such calendar year. During the remainder of such remittances is less than the Operating Cost Obligation for such Operating Yearcalendar year, Tenant shall pay Landlord at the difference times that the monthly Base Rent is due and payable hereunder an amount equal to Landlord one-twelfth (1/12) of the product of the number of gross square feet in the Premises times such estimate. If Tenant's monthly payment of estimated operating costs is greater than the monthly amount of operating expenses Tenant paid for the then elapsed calendar months of such calendar year, then, within ten (10) days after being so notified such written estimate is given. Tenant shall also pay to a Landlord the deficiency for said elapsed calendar months. After the expiration of each calendar year falling in whole or in part within the term hereof. Landlord shall furnish Tenant with a written statement of the actual operating costs of the Project (and ,if applicable, the Shared Parking Area) for the preceding calendar year, and if such actual operating costs for such preceding calendar year are more or less than the estimate, an appropriate adjustment shall be made within ten (10) days after such written statement is furnished. For the purposes hereof, operating costs shall be deemed to mean all taxes (both general and special and whether now or hereafter enacted), assessments or governmental charges levied or assessed against the Project (and, if applicable, the Shared Parking Area) or any part thereof, and all costs which, for federal tax purposes, may be expensed rather than capitalized, and which Landlord will or does incur, pay or become obligated to pay in owning, maintaining, operating and leasing the Project (and, if applicable the Shared Parking Area) and appurtenances thereto, exclusive of interest and depreciation, Without limiting the generality of the fore going operating costs shall include personal property taxes, fees or permits or licenses, a management fee or fees not to exceed five percent (5%) of the Base Rent, landscaping and gardening cleaning, painting, decorating, paving, lighting, security guards, leasing and maintenance of music and intercom systems. If any, removal of snow, trash, garbage and other refuse, heating, ventilating and air- conditioning, costs and expenses in connection with meeting federal state, or local environmental energy standards, fire protection, water and sewage and other utility charges not separately metered and charged to particular Tenants, the cost of all types of insurance carried or paid for by Landlord, accounting costs, all costs of maintaining, repairing and replacing paving, curb, sidewalks, roadways, landscaping, drainage, lighting and utility systems, the cost of maintaining and repairing the walls, roof and other portions of the Building, the cost of maintaining and repairing all heating, ventilating and air-conditioning equipment and depreciation thereof, rental changes for machinery and equipment used in maintaining and operating the Project (and, if applicable, the Shared Parking Area), salaries and compensation of personnel connected with such operation and maintenance and deductible amounts payable under insurance policies. In Landlord, in its reasonable discretion, shall from time to time determine the event that method of computing the Commencement Date operating costs, the allocation of operating costs to various types of space within the Building, and the extent of the appurtenances to the Project, and Tenant shall occur or the term of this Lease shall expire or be terminated during any Operating Year or bound thereby. Tenant's Percentage failure to pay Xxxxxx's share of operating costs in the manner herein provided shall be modified during any Operating Year due to a change treated hereunder in the rentable area same manner as a default in the payment of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearBase Rent.
Appears in 2 contracts
Samples: Lease (Rimage Corp), Lease (Rimage Corp)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, an amount ("Tenant's Operating Cost Share") equal to Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease). Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") Share to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industryindustry in the San Diego area, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereofAt the election of Landlord, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost ObligationShare, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation Share for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Tenant's Operating Cost Obligation Share shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Tenant's Operating Cost Obligation Share for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Tenant's Operating Cost Obligation Share for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation Share which may be payable by Tenant as provided in this subsection 4.2.2 Section 4.5 shall be pro-rated on a daily basis based on a 365 day Operating Yearappropriately apportioned and adjusted.
Appears in 2 contracts
Samples: Lease Agreement (Signal Pharmaceuticals Inc), Lease Agreement (Signal Pharmaceuticals Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, amounts equal to Tenant's Percentage ’s Project Share of Project Operating Costs and Tenant’s Building Share of Building Operating Costs. For purposes of determining Tenants Project Share of Project Operating Costs far any year during which the Project is less than ninety-five percent (as hereinafter defined95%) paid or incurred occupied, the actual Project Operating Costs shall be equitably adjusted to reflect ninety-five percent (95%) occupancy and normal, ongoing operation. For purposes of determining Tenants Building Share of Building Operating Costs for any year during which the Building is less than ninety-five percent (95%) occupied, the actual Building Operating Costs shall be equitably adjusted to reflect ninety-five percent (95%) occupancy and normal, ongoing operation. Tenants Project Share of Project Operating Costs and Tenant’s Building Share of Building Operating Casts shall be estimated in good faith by Landlord with respect to at the Property in any twelve-month period established by Landlord (an "Operating Year") during the term end of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofeach calendar year, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent payable in equal estimated monthly installments on the first day of each calendar month during the term but otherwise in the manner provided Lease Term (prorated for the payment of Annual Fixed Rentany partial months), estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts subject to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord readjustment from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, determined by Landlord shall credit such overpayment against Tenant's subsequent obligations on account of and also when actual Project Operating Costs and Building Operating Costs are determined. After a readjustment, any shortage shall be due and payable by Tenant within thirty (30) days of written demand by Landlord and any excess shall, unless an Event of Default then exists, be credited against future Additional Rent obligations, or refunded promptly refund such overpayment if the term of this Lease Term has ended and Tenant has no further obligation obligations to Landlord); if the total of such remittances is less than . Landlord shall provide tenant upon request with reasonable supporting documentation for the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference Costs and access to Landlord within ten (10) days after being so notified by Landlord. In ’s books and records in the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant an audit as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearSection 4.7.
Appears in 2 contracts
Samples: Lease Agreement (Genocea Biosciences, Inc.), Lease Agreement (Genocea Biosciences, Inc.)
Operating Costs. (1) Tenant shall pay an amount equal to Tenant's Proportionate Share of Operating Costs. Landlord shall make a good faith estimate of Tenant's Proportionate Share of Operating Costs for any calendar year or part thereof during the Term, and Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to on the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated Commencement Date and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month thereafter, in advance, an amount equal to Tenant's Proportionate Share of Operating Costs for such calendar year or part thereof divided by the number of months therein. Initially, Tenant shall pay Landlord $6.99 per Tenant's Rentable Square Feet per annum as the Expense Estimate. Tenant shall nevertheless be responsible for the actual Tenant's Proportionate Share of Operating Costs regardless of the estimate. Except for snow removal, Landlord shall cap any increase in the Expense Estimate at seven percent (7%) during the term initial twelve (12) months of occupancy. From time to time (but otherwise in not more than one time each year), Landlord may re-calculate the manner provided for Expense Estimate and deliver a copy of the payment of Annual Fixed Rentre- calculation to Tenant. Thereafter, estimated payments on account the monthly installments of Tenant's Proportionate Share of Operating Cost Obligation, such monthly amounts to Costs shall be sufficient to provide to Landlordappropriately adjusted in accordance with the Expense Estimate so that, by the end of each Operating Yearthe calendar year in question, a sum equal to the Tenant shall have paid all of Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account Proportionate Share of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified as calculated by Landlord. In Any amounts paid based on the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage Expense Estimate shall be modified during any subject to adjustment as herein provided when actual Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts are available for each calendar year.
Appears in 2 contracts
Samples: Lease Agreement (Eresearchtechnology Inc), Lease Agreement (Premier Research Worldwide LTD)
Operating Costs. Tenant shall pay to LandlordTo the extent Seller, as Additional Rentlandlord under the Lease, Tenant's Percentage of Operating Costs is currently collecting from Tenant under the Lease additional rent (as hereinafter definedcollectively, “Expense Reimbursements”) paid or incurred by Landlord with respect to cover taxes, insurance, utilities (to the Property extent not paid directly by Tenant), common area maintenance and other operating costs and expenses (collectively, “Operating Costs”) in any twelve-month period established by Landlord (an "Operating Year") during connection with the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofownership, preparedoperation, allocated maintenance and computed in accordance with then prevailing customs and practices management of the real estate industryProperty, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for Seller and Buyer shall each receive a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (debit or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwisecredit, as the case may be, then for the difference between the Tenants’ current account balances for 2014 for Operating Costs and amount of their respective Operating Costs reimbursable to Seller; provided, however, that, except as specifically set forth herein, in no event shall either party be responsible for crediting the other for any uncollected Expense Reimbursements for the Tenant and the same shall be treated in the same manner as uncollected rent is treated in Section 6.1(a). To the extent that the CAM Reconciliation (as defined below) for calendar year 2014 reveals that Seller has over-collected Expense Reimbursements such that, if the end of the operating expense year under the Lease was the Closing Date, Seller would be obligated to refund money to the Tenant (an “Over Collection”), rather than collect additional money from the Tenant (an “Under Collection”), said Over Collection shall be paid by Seller to Buyer at the Closing as a settlement statement credit and Buyer shall pay said Over-Collection to the Tenant within 30 days or otherwise in compliance with the lease obligations; provided, in the event of an Under Collection, the amount of the Under Collection shall be paid by Buyer to Seller outside of escrow within 5 business days after receipt from the Tenant in connection with the year-end Operating Costs reconciliation process subject to and in accordance with the terms of Section 6.1(a). Notwithstanding the foregoing, in the event of an Under Collection, Buyer shall pay up to $10,000 of the same to Seller at Closing. Operating Costs for 2014 shall be reasonably estimated by the parties if final bills are not available. At least 5 business days prior to the Closing Date, Seller shall provide Buyer with a reasonably detailed reconciliation for Tenant showing all Operating Costs incurred by Seller from the beginning of the then-current calendar year (2014) through the Closing Date, and any Expense Reimbursements collected by Seller during the same period of time and relating to Tenant's , all in the form customarily submitted to Tenant (the “CAM Reconciliation”). Operating Cost Obligation which may be Costs that are payable by the Tenant directly to the applicable service providers shall not be prorated between Seller and Buyer. Prior to Closing, Seller shall reconcile with the Tenant for the calendar year 2013, the Tenant Expense Reimbursements for the calendar year 2013 and Seller shall reimburse to the Tenant any Over Collection of Expense Reimbursement for calendar year 2013 prior to the Closing and shall have the right to collect any Under Collection of Expense Reimbursement for calendar year 2013 for 180 days following the Closing. To the extent Buyer receives any amounts from Tenant for Under Collection of Expense Reimbursement for calendar year 2013 and which are identified as provided in this subsection 4.2.2 same, Buyer shall be pro-rated on a daily basis based on a 365 day Operating Yearpay such amount to Seller within 10 days.
Appears in 2 contracts
Samples: Purchase and Sale Agreement (Industrial Property Trust Inc.), Purchase and Sale Agreement (Industrial Property Trust Inc.)
Operating Costs. Commencing in calendar year 2019, Tenant shall pay to Landlord Tenant’s Proportionate Share of the amount by which the annual Operating Costs (defined below) for each year of the Term exceed the annual Operating Costs for the Base Year. Landlord may make a good faith estimate of the Operating Costs to be due by Tenant for any calendar year or part thereof during the Term. During each calendar year or partial calendar year of the Term after the Base Year, Tenant shall pay to Landlord, as Additional in advance concurrently with each monthly installment of Base Rent, an amount equal to the estimated Operating Costs for such calendar year or part thereof divided by the number of months therein. From time to time, Landlord may estimate and re-estimate the Operating Costs to be due by Tenant and deliver a copy of the estimate or re-estimate to Tenant's Percentage . Thereafter, the monthly installments of Operating Costs (as hereinafter defined) paid or incurred payable by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed be appropriately adjusted in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlordestimations so that, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year calendar year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Yearquestion, Tenant shall pay have paid all of the difference to Landlord within ten (10) days after being so notified Operating Costs as estimated by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage Any amounts paid based on such an estimate shall be modified during any subject to adjustment as herein provided when actual Operating Costs are available for each calendar year. Operating Costs for the Base Year, for the purpose of comparisons of the Base Year with subsequent years only, shall be calculated so as to not include market-wide labor-rate increases due to a change extraordinary circumstances, including boycotts and strikes; temporary utility rate increases due to extraordinary circumstances, including conservation surcharges, boycotts, embargos or other shortages; or, except as set forth in the rentable area of the Building and/or the Premises or otherwiseSection 2 below, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearamortized costs relating to Capital improvements.
Appears in 2 contracts
Samples: Office Lease Agreement (Dermavant Sciences LTD), Office Lease Agreement (Dermavant Sciences LTD)
Operating Costs. (a) If for any calendar year during the Term the Operating Costs exceed the Base Operating Costs, then Tenant shall pay to reimburse Landlord, as Additional Rent, for Tenant's ’s Percentage of such excess (such amount being hereinafter referred to as the “Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforExcess”). Tenant shall pay remit to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts Excess, such in monthly amounts reasonably estimated by Landlord from time-to-time to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation Costs Excess for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Yearcalendar year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, any respective calendar year the total of such monthly remittances payments made by Tenant is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such year, then promptly after the expiration of such calendar year and the determination of the actual amount of Operating YearCosts Excess, Landlord shall pay to Tenant or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)subsection 4.2.3, the difference; if the total of such remittances payments is less than the Operating Cost Obligation Costs Excess for such Operating Yearyear, then Tenant shall pay the difference to Landlord within ten not more than thirty (1030) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due date Landlord furnishes to a change in the rentable area Tenant an itemized statement of the Building and/or Operating Costs Excess. Landlord shall deliver the Premises or otherwise, as annual statement of actual Operating Costs Excess not later than one hundred eighty (180) days after the case may be, then expiration of the amount of Tenant's respective calendar year. Any reimbursement for Operating Cost Obligation which may be Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 2 contracts
Samples: Lease (Tokai Pharmaceuticals Inc), Sublease (Tokai Pharmaceuticals Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord the Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property Operating Costs, as reasonably estimated by Xxxxxxxx from time to time. The initial monthly estimated payments shall be in any twelve-month period established by Landlord (an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay TenantXxxxxx's Percentage of Operating Costs ("for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Ibasis Inc)
Operating Costs. Within a reasonable time after calendar year 1992, Landlord shall provide Tenant shall pay with an itemized statement of Base Operating Costs, together with copies of all bills issued by governmental authorities with respect to LandlordTaxes included in Base Operating Costs. If, as Additional Rentduring the term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph calendar year shall exceed Base operating Costs, Tenant shall pay reimburse Landlord, as additional rent, for Tenant's Percentage of any such excess (such amount being hereinafter referred to as the "Operating Costs (Excess"Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor). Tenant shall pay remit to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts Excess, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Yearoperating Costs Excess, as reasonably estimated by Landlord from time to time during such Operating Yearand set forth in a statement delivered by Landlord to Tenant. If, at the expiration of each Operating Year the year in respect of which monthly installments of Operating Cost Obligation Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such Operating Yearyear, as shown on the Annual Statement (as hereinafter defined) for such year, Landlord shall promptly pay to Tenant, or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)subsection 4.2.2, the difference; if the total of such remittances is less than the Operating Cost Obligation Costs Excess for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In from the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount date of Tenant's receipt of the Annual Statement. Following each calendar year, Landlord shall furnish to Tenant an itemized statement, in reasonable detail, of the Operating Cost Obligation which may be Costs Excess during such year (the "Annual Statement"), prepared, allocated and computed in accordance with generally accepted accounting principles. Any reimbursement for Operating Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Operating Costs. (a) If for any calendar year during the Term the Operating Costs exceed the Base Operating Costs, then Tenant shall pay to reimburse Landlord, as Additional Rent, for Tenant's ’s Office Percentage of such excess (the “Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforExcess”). Tenant shall pay remit to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's the Operating Cost ObligationCosts Excess, such in monthly amounts reasonably estimated by Landlord from time-to-time to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation Costs Excess for such Operating calendar year. Without limiting the foregoing, Landlord shall, promptly after the commencement of each Lease Year, as reasonably provide Tenant with a statement setting forth Tenant’s estimated by Landlord from time to time during payments for such Lease Year on account of the Operating YearCosts Excess. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaidthe respective calendar year, the total of such monthly remittances payments made by Tenant is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such year, then promptly after the expiration of such calendar year and the determination of the actual amount of Operating YearCosts Excess, Landlord shall pay the excess amount to Tenant or credit such overpayment the excess amount against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord); if subsection 4.2.3. If the total of such remittances payments is less than the actual Operating Cost Obligation Costs Excess for such Operating Yearyear, then Tenant shall pay the difference to Landlord within not more than ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due date Landlord furnishes to a change in the rentable area Tenant an itemized statement of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's actual Operating Cost Obligation which may be Costs Excess. Any reimbursement for Operating Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Kura Oncology, Inc.)
Operating Costs. Tenant shall covenants to pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any fiscal year of Landlord (“Landlord’s Fiscal Year”). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the Landlord’s Fiscal Year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs ("for the Landlord’s Fiscal Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated. This section shall survive the expiration or earlier termination of the Lease.
Appears in 1 contract
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "calendar year shall exceed Base Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs, Tenant shall pay reimburse Landlord, as additional rent, for Tenant's Percentage of any such excess (such amount being hereinafter referred to as the "Operating Costs (Excess"). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such equal monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Operating Costs Excess for such calendar year, as reasonably estimated by Xxxxxxxx from time to time. If, at the expiration of the year in respect of which monthly installments of Operating Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs Excess for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, which statement Landlord shall provide to Tenant within a reasonable period of time following the end of any calendar year (but in no event later than 12 months following the end of such calendar year), prepared, allocated and computed in accordance with then prevailing customs and practices generally accepted accounting principles, such statement setting forth in reasonable detail the basis for the computation of the real estate industry, consistently applied. Any year-end statement by Landlord relating to any increase in Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforsuch year. Tenant shall pay have the right, upon reasonable notice and during business hours, to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. Ifexamine, at the expiration Landlord's office, within six (6) months following receipt of each Operating Year in respect of which monthly installments of Operating Cost Obligation a statement, Landlord's books and records respecting such statement. If such examination discloses any errors, appropriate adjustments shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation be made. Any reimbursement for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended due and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Oak Technology Inc)
Operating Costs. Tenant shall pay to LandlordLandlord Xxxxxx's proportionate share of the amount by which the annual Operating Costs, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or , for each calendar year exceed the Operating Costs incurred during the Base Year specified in the Lease Summary. Such excess is referred to for purposes of this Lease as the "Increased Operating Costs." Tenant's obligation to pay its proportionate share of Increased Operating Costs shall commence as of the beginning of the first full calendar year following the Base Year. The amount of Increased Operating Costs payable to Landlord may be estimated by Landlord with respect for such period as Landlord determines from time to the Property in any twelve-month period established by Landlord time (an "Operating Year"not to exceed twelve (12) during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall months), and Xxxxxx agrees to pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofamounts so estimated in equal installments, preparedin advance, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during such period. Notwithstanding the term but otherwise in the manner provided foregoing, when bills for the payment all or any portion of Annual Fixed RentIncreased Operating Costs so estimated are actually received by Landlord, estimated payments Landlord may bill Tenant for Tenant's proportionate share thereof, less any amount previously paid by Tenant to Landlord on account of Tenant's such item(s) by way of estimated Increased Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by Costs payments. Within a reasonable period of time after the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation period for such Operating Year, as reasonably which estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall payments have been made as aforesaidmade, Landlord shall submit to Tenant a statement from Landlord setting forth the total actual amounts payable by Tenant based on actual costs. If the amount Tenant has paid based on estimates is less than the amount due based on actual costs, Tenant shall pay such deficiency within five (5) days after submission of such monthly remittances statement. If the amount paid by Xxxxxx is greater than the amount actually due, the excess may be retained by Landlord to be credited and applied by Landlord to the next due installments of Tenant's proportionate share of Increased Operating Cost Obligation for such Operating Costs, or as to the final Lease Year, provided Tenant is not in default, Landlord shall credit will refund such overpayment against excess to Tenant. Tenant's subsequent obligations on account proportionate share of actual Increased Operating Costs (or promptly refund such overpayment if for the term final estimate period of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term Term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall due and payable even though it may not be modified during any Operating Year due to a change in finally calculated until after the rentable area expiration of the Building and/or Term. Accordingly, Landlord shall have the Premises or otherwise, as right to continue to hold Xxxxxx's security deposit following expiration of the case may be, then the amount Term until Xxxxxx's share of Tenant's actual Increased Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts has been paid.
Appears in 1 contract
Samples: Industrial Lease (Intellicell Corp)
Operating Costs. If the Operating Costs (as hereinafter defined) during any lease year exceed the Base Operating Costs, then Tenant shall pay to Landlord, as Additional Rentadditional rent, Tenant's Percentage ’s Proportionate Share of such excess (the “Operating Costs (as hereinafter defined) Excess”). The Tenant shall pay to Landlord pro rata monthly installments on account of the projected Operating Costs Excess for each lease year in amounts reasonably calculated from time to time by Landlord, with an adjustment made after the close of the lease year to account for the actual Operating Costs Excess for such lease year. If the total of such monthly installments paid or incurred by Landlord Tenant with respect to any lease year is greater than Tenant’s Proportionate Share of the Property in any twelve-month period established by Landlord (an "actual Operating Year") during the term Costs Excess for such lease year, then Tenant shall be entitled to a credit against Tenant’s monthly installments on account of this Lease. Except as otherwise provided projected Operating Costs Excess hereunder in the immediately following paragraph amount of such difference or, if the Lease Term has expired and Tenant has no outstanding monetary obligations to Landlord, then Landlord shall promptly pay such amount to Tenant. If the total of such monthly installments actually paid by Tenant is less than Tenant’s Proportionate Share of the actual Operating Costs Excess for such lease year, then Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofamount of such difference, preparedas additional rent, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons Tenant receives Landlord’s invoice therefor. Tenant As used in this Lease, the term “lease year” shall pay to Landlord, as Additional Rent on the first day of mean each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs year (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10part thereof) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during in which any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area part of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearTerm occurs.
Appears in 1 contract
Samples: Lease (Management Network Group Inc)
Operating Costs. The Tenant shall pay to Landlordthe Landlord the Tenant's proportionate share of the annual Operating Costs, as Additional Renthereinafter defined, Tenant's Percentage for each month of the Term. The amount of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect payable to the Property in any twelve-month Landlord may be estimated by the Landlord for such period established by as the Landlord determines from time to time (an "Operating Year"not to exceed twelve (12) during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofmonths), prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall agrees to pay to Landlordthe Landlord the amounts so estimated in equal installments, as Additional Rent in advance, on the first day of each calendar month during such period. Notwithstanding the term but otherwise in foregoing, when bills for all or any portion of Operating Costs so estimated are actually received by Landlord, the manner provided Landlord may xxxx the Tenant for the payment Tenant's proportionate share thereof, less any amount ================================================================================ Commercial Office Lease. The Grip Building page 5 of Annual Fixed Rent, estimated payments 28 pages previously paid by Tenant to Landlord on account of Tenant's such item(s) by way of estimated Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by Costs payments. Within a reasonable period of time after the end of each Operating Yearthe period for which estimated payments have been made, a sum equal the Landlord shall submit to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated Tenant a statement from the Landlord setting forth the actual amounts payable by Landlord from time to time during such Operating Yearthe Tenant based on actual costs. If, at If the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaidamount the Tenant has paid based on estimates is less than the amount due based on actual costs, the total Tenant shall pay such deficiency within five (5) days after submission of such monthly remittances statement. If the amount paid by the Tenant is greater than the amount actually due, the excess may be retained by the Landlord to be credited and applied by the Landlord to the next due installments of the Tenant's proportionate share of Operating Cost Obligation for such Operating Costs, or as to the final Lease Year, provided Tenant is not in default, Landlord shall credit will refund such overpayment against excess to Tenant. The Tenant's subsequent obligations on account proportionate share of Operating Costs (or promptly refund such overpayment if for the term final estimated period of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term Term of this Lease shall expire or be terminated during any Operating Year or due and payable even though it may not be finally calculated until after the expiration of the Term. Accordingly, Landlord shall have the right to continue to hold Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area security deposit following expiration of the Building and/or the Premises or otherwise, as the case may be, then the amount of Term until Tenant's share of actual Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts has been paid.
Appears in 1 contract
Samples: Commercial Office Lease (Interactive Technologies Com LTD)
Operating Costs. Within a reasonable time after calendar year 2018, Landlord shall provide Tenant shall pay with an itemized statement of Base Operating Costs, together with copies of all bills issued by governmental authorities with respect to LandlordTaxes included in Base Operating Costs. If, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "calendar year shall exceed Base Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to reimburse Landlord, as Additional Rent Rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”). Tenant shall remit to Landlord, on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts Excess, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation for such Operating YearCosts Excess, as reasonably estimated by Landlord from time to time during such Operating Yearand set forth in a statement delivered by Landlord to Tenant. If, at the expiration of each Operating Year the year in respect of which monthly installments of Operating Cost Obligation Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such Operating Yearyear, as shown on the Annual Statement within thirty (30) days (as hereinafter defined) for such year, Landlord shall pay to Tenant, or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)subsection 4.2.2, the difference; if the total of such remittances is less than the Operating Cost Obligation Costs Excess for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In from the event that the Commencement Date shall occur or the term date of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area ’s receipt of the Building and/or Annual Statement. Following each calendar year, Landlord shall furnish to Tenant an itemized statement, in reasonable detail, of the Premises or otherwiseOperating Costs Excess during such year (the “Annual Statement”), as the case may beprepared, then the amount of Tenant's allocated and computed in accordance with generally accepted accounting principles. Any reimbursement for Operating Cost Obligation which may be Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease Agreement (Corbus Pharmaceuticals Holdings, Inc.)
Operating Costs. (1) Landlord shall pay all Operating Costs (below defined) for the Project except that Tenant shall pay its proportionate share (below defined) of the amount equal to the difference between (x) the actual Operating Costs for the Project for the year in question, and (y) the actual Operating Costs for the calendar year 2000 (the "Base Year"). The Base Year calculation shall be --------- inclusive of a fully assessed building for tax purposes, such difference being referred to herein as the "Operating Costs Increase Expense." If the -------------------------------- Commencement Date is a date later an January 1, 2000, then "the actual Operating Costs for the calendar year 2000" shall be calculated as follows: The days elapsing from the Commencement Date through December 31,2000, shall be the "Actual Days". The actual Operating Costs for the Actual Days shall be the "Base ----------- ---- Operating Costs". Divide the Base Operating Costs by the number of Actual Days, --------------- and multiply the result by 365. By April 15 of each year from and after the Base Year, Landlord shall deliver to Tenant a good faith estimate of the Operating Costs Increase Expense and any Additional Rent to be paid by Tenant for each calendar year following the Base Year during the Term, and Tenant shall pay to Landlord, as Additional Rentalong with the Base Rent each month, an amount equal to one-twelfth of its estimated proportionate share for such calendar year or part thereof. From time to time Landlord may estimate and re-estimate the Operating Costs to be due from Tenant and deliver a copy of the estimate or re-estimate to Tenant's Percentage . Thereafter, the monthly installments of Operating Costs (as hereinafter defined) paid or incurred Increase Expense payable by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed be appropriately adjusted in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlordestimation so that, by the end of the calendar year in question, Tenant shall have paid all of its proportionate share of the estimated Operating Costs Increase Expense. Any amounts paid based on such an estimate shall be subject to adjustment as OFFICE LEASE AGREEMENT - Page - 4 ---------------------- herein provided based on the actual Operating Costs for each calendar year. The Operating Year, Costs Increase Expense shall be "Additional Rent" hereunder. The failure of Landlord to exercise its rights hereunder to estimate the Operating Costs Increase Expense and require payment of same as Additional Rent shall not constitute a sum equal to the Tenant's Operating Cost Obligation for waiver of such Operating Year, as reasonably estimated by Landlord rights which rights may be exercised from time to time during at Landlord's discretion.
(2) The term "Operating Costs" shall mean all expenses and --------------- disbursements (subject to the limitations set forth below) that Landlord incurs in connection with the ownership, operation, maintenance and repair of the Project (exclusive of such Operating Year. Ifexpenses and disbursements that are paid by Tenant or are Landlord's express responsibility hereunder), at determined in accordance with sound accounting principles used in practice by accounting professionals consistently applied, including, but not limited to, the expiration following costs: (A) wages and salaries (including management fees) of all employees engaged in the operation and maintenance of the Project, including taxes, insurance and benefits relating thereto which wages and salaries are prorated according to the percentage of time each Operating Year employee spends in respect the operation and maintenance of the Project; (B) all supplies and materials used in the operation, maintenance, repair, and replacement of the Project; (C) costs for improvements made to the Project which, although capital in nature, are expected to reduce the normal operating costs of the Project, as well as capital improvements made in order to comply with any law hereafter promulgated by any governmental authority, as amortized over the useful economic life of such improvements as determined by Landlord in its reasonable discretion; (D) insurance expenses; (E) repairs, replacements, and general maintenance of the Project; (F) service or maintenance contracts with independent contractors for the operation, maintenance, repair, or replacement of the Building (including without limitation, alarm service, card entry system, window cleaning, landscaping service, and elevator maintenance); (G) all provided utilities, other than electricity, telephone and other telecommunications the cost of which monthly installments are the responsibility of Tenant; (H) janitorial services (subject to Paragraph 8(c)(3) below); and (I) Taxes (defined ----------------- below). Operating Cost Obligation Costs shall have been not include costs for (i) capital improvements made to the Building, other than capital improvements described above and except for items which are generally considered maintenance and repair items, such as aforesaidpainting of common areas, replacement of carpet in elevator lobbies, and the total like; (ii) repair, replacements and general maintenance paid by proceeds of insurance or by Tenant or by other third parties; (iii) interest, amortization or other payments on loans to Landlord; (iv) depreciation, (v) leasing commissions; (vi) legal expenses for services in negotiation of this Lease; (viii) federal income taxes imposed on or measured by the income of Landlord from the operation of the Building, (viii) janitorial services paid directly by Tenant if Tenant so elects to provide its own services, (ix) electric, telephone, and other telecommunications costs attributable to the Project, (x) Landlord's obligations under Exhibit "B" hereto, (xi) overhead and profit ----------- increment paid to subsidiaries or affiliates of Landlord or its partners for services on or to the Project, to the extent that the costs of such monthly remittances services exceed competitive costs for such services rendered by persons or entities of similar skill, competence and experience, other than a subsidiary or affiliate of Landlord or its partners; (xii) costs of Landlord's general overhead and general administrative expenses which would not be chargeable to operating expenses of the Project in accordance with sound accounting principles consistently applied; (xiii) rent, if any, incurred in OFFICE LEASE AGREEMENT - Page - 5 ---------------------- leasing air conditioning systems, elevators or other equipment ordinarily considered to be of a capital nature, except equipment which is greater used in providing janitorial services and which is not affixed to the Project; (xiv) all items and services for which Tenant reimburses Landlord (other than through Tenant paying Operating Costs Increase Expense) or for which Tenant pays third persons; (xv) any expenses relating to the structural integrity of the foundation, exterior walls, or roof of the Project, except as specifically provided for in this Lease; and (xvi) any fines, penalties, legal judgments or settlements of causes of action by or against Landlord unless caused by Tenant or Tenant's Representatives. Tenant acknowledges and agrees that other than Landlord's installation of the door card entry system as part of the Work and maintenance thereof as an Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating YearCost, Tenant shall pay be wholly and solely responsible for all other matters of security for the difference to Project, and Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur have no responsibility or the term liability of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearkind therefor.
Appears in 1 contract
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year shall exceed the Base Operating Costs, Tenant shall reimburse Landlord, as Additional Rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs Excess, as reasonably estimated by Landlord from time to time (an "it being understood that Tenant shall have at least ten [10] days’ prior notice before it shall be required pay any revised estimate of Operating Year") during Costs Excess). If, at the expiration of the year in respect of which monthly installments of Operating Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant, or, if the term of this Lease. Except as Lease has not expired or otherwise provided in been terminated, credit against the immediately following paragraph next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Costs Excess for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Operating Costs. Within a reasonable time after calendar year 2001, Landlord shall provide Tenant shall pay with an itemized statement of Base Operating Costs, together with copies of all bills issued by governmental authorities with respect to LandlordTaxes included in Base Operating Costs. If, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "calendar year shall exceed Base Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs, Tenant shall pay reimburse Landlord, as Additional Rent, for Tenant's Percentage of any such excess (such amount being hereinafter referred to as the "Operating Costs (Excess"Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor). Tenant shall pay remit to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts Excess, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation for such Operating YearCosts Excess, as reasonably estimated by Landlord from time to time during such Operating Yearand set forth in a statement delivered by Landlord to Tenant. If, at the expiration of each Operating Year the year in respect of which monthly installments of Operating Cost Obligation Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such Operating Yearyear, as shown on the Annual Statement within thirty (30) days (as hereinafter defined) for such year, Landlord shall pay to Tenant, or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)subsection 4.2.2, the difference; if the total of such remittances is less than the Operating Cost Obligation Costs Excess for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In from the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount date of Tenant's receipt of the Annual Statement. Following each calendar year, Landlord shall furnish to Tenant an itemized statement, in reasonable detail, of the Operating Cost Obligation which may be Costs Excess during such year (the "Annual Statement"), prepared, allocated and computed in accordance with generally accepted accounting principles. Any reimbursement for Operating Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Skillsoft Corp)
Operating Costs. A. Beginning on the Commencement Date, Tenant shall pay to Landlord, Landlord at the same time as Additional it is required to make payment of Base Rent, an amount (the “Operating Costs Payment”) equal to one twelfth (1/12th) of the estimated Tenant's Percentage ’s Share of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect attributable to the Property in Project for any twelve-month period established by Landlord (an "Operating Year") full or partial year during the term Term. Tenant acknowledges that in connection with any particular Operating Cost, notwithstanding the fixed percentage interest of this Lease. Except as otherwise provided Tenant’s Share set forth in the immediately Basic Lease Information, Landlord may fairly allocate such Operating Cost among the users of the Project if using such user’s share based on such user’s rentable square footage compared to the rentable square footage of the Project results in an inequitable allocation of such Operating Cost among the users of the Project.
B. Prior to any year (or as soon thereafter as is reasonably practicable) and from time to time during any year, Landlord shall notify Tenant as to monthly installments of the Operating Costs Payment payable by Tenant based on Landlord’s reasonable estimate of Operating Costs for such year. Until such time as Landlord notifies Tenant of such estimate, Tenant shall continue to make its Operating Costs Payment in the same monthly amount as the prior year. On the first day of the calendar month following paragraph thirty (30) days after Tenant’s receipt of Landlord’s notice of any revised estimate in such installments, Tenant shall pay to Landlord (in addition to the revised monthly estimate) a lump sum payment in an amount so that Tenant's Percentage ’s total payments for the year will equal Landlord’s revised estimate of Tenant’s aggregate Operating Costs Payment for such year. If such lump sum payment amount exceeds the amount of Tenant’s monthly payment for the immediately proceeding month, Tenant shall have an additional thirty (30) days to pay such amount. The Operating Costs Payment for the first calendar year in which the Term falls (if the Commencement Date is other than January 1) and the last calendar year in which the Term falls (if the Term ends on a date other than December 31) shall be prorated based upon the number of days in the Term falling within the year in question.
C. After Landlord shall have ascertained the actual amount of Operating Costs for the prior year but in any case within one hundred eighty ("Tenant's Operating Cost Obligation") to Landlord within twenty (20180) days from of the date end of such year (but subject to adjustment upon receipt of additional information within twelve [12] months following the end of any calendar year [an “Amended Notice"]), Landlord shall furnish notify Tenant as to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices the amount of the real estate industry, consistently applied. Any year-end statement by Landlord relating to such Operating Costs and the Operating Costs Payment resulting therefrom (other than an invoice “Annual Adjustment Notice”). If the Operating Costs Payment actually due exceeds total estimated payments made by Tenant on account of Tenant’s Share of Operating Costs for a monthly estimate) such year, then Tenant shall be final and binding upon Tenant unless it shall pay Landlord the full amount of any such deficiency within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and receiving the reasons thereforAnnual Adjustment Notice. Tenant shall pay to Landlord, as Additional Rent on If the first day of each calendar month during Operating Costs Payment actually due is less than the term but otherwise in the manner provided for the payment of Annual Fixed Rent, total estimated payments made by Tenant on account of Tenant's ’s Share of Operating Cost ObligationCosts for such year, then Landlord shall, at its option, credit any such monthly amounts excess to be sufficient Rent next owing by Tenant or refund such excess to provide to LandlordTenant, by provided, at the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating YearTerm, Landlord shall credit refund such overpayment against excess to Tenant's subsequent obligations on account . The provisions of this Section 6.1 shall survive the expiration or termination of this Lease.
6.2 If the Project is not fully occupied (meaning one-hundred percent (100%) of the Rentable Area of the Project) during any full or partial year of the Term, those Operating Costs which vary with the level of occupancy shall be adjusted for such year to an amount which Landlord reasonably estimates would have been incurred had the Project been the greater of ninety-five percent (95%) occupied or the actual occupancy of the Project. In no event shall Landlord collect from the tenants of the Project more than the actual Operating Costs for such year.
6.3 The parties hereto agree that the measurements set forth in the Basic Lease Information are, for the purposes of this Lease, correct and the parties will not remeasure the Project or the Premises. If during the Term any change occurs in either the number of square feet of the Rentable Area of the Premises (by virtue of the addition of space to the Premises or the reduction in the size of the Premises) or by addition to or subtraction from the Rentable Area of the Project, effective as of the date of any such change, the addition or subtraction of such Rentable Area of the Project or Rentable Area of the Premises shall be measured using the same method of measurement as the parties hereto used for the original measurement of the Premises as reasonably determined by Landlord and reasonably approved by Tenant, and Tenant’s Share shall be adjusted in accordance with such measurement. Landlord shall promptly notify Tenant in writing of such change and the reason therefor. Any changes made pursuant to this Section 6.3 shall not alter the computation of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 Article 6 or Taxes as provided in Article 5, but, on and after the date of any such change, Tenant’s Share of Operating Costs and Taxes shall be pro-rated on appropriately adjusted. If such estimated payments of Tenant’s Share are so adjusted during a year, a reconciliation payment for Tenant’s Share pursuant to this Article 6 for the calendar year in which such change occurs shall be computed pursuant to the method set forth in Sections 6.1 and 6.2, such computation to take into account the daily basis based on a 365 day weighted average of Tenant’s Share of Operating YearCosts during such year.
6.4 Tenant shall have the right upon the delivery of written notice to Landlord (“Tenant’s Review Notice”) and at reasonable times to review the books and records of Landlord
Appears in 1 contract
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year shall exceed Base Operating Costs, Tenant shall reimburse Landlord, as additional rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs Excess, as reasonably estimated by Landlord (an "from time to time. If, at the expiration of the year in respect of which monthly installments of Operating Year") during Costs Excess shall have been made as aforesaid, the term total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Tenant pursuant to this Lease. Except as otherwise provided in subsection 4.2.3, the immediately following paragraph difference; if the total of such remittances is less than the Operating Costs Excess for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs due and payable by Tenant with respect to periods of less than twelve (other than an invoice for a monthly estimate12) months shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereofequitably prorated. During the period from the Commencement Date through October 31, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. 2009, Tenant shall pay to Landlord, as Additional Rent Rent, the incremental Operating Costs associated with the operation of the Phase 2 Space (i.e., 21,941 rentable square feet), including costs of furnishing chilled water to cool such Space. Tenant shall remit to Landlord, on the first day of each calendar month during following the term but otherwise in the manner provided for the payment of Annual Fixed RentCommencement Date, estimated monthly payments on account of Tenant's such incremental Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating YearCosts, as reasonably estimated by Landlord from time to time during such time, using a multiplier of 21,941 rentable square feet. As of the Date of this Lease, Landlord estimates the monthly incremental Operating YearCosts will be equal to 1/12th of the product of $2.41 times 21,941. IfAs of November 1, at 2009, Tenant’s obligation to pay charges for the expiration of each incremental Operating Year in respect of which monthly installments of Operating Cost Obligation Costs shall have been made cease and as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, date Tenant shall commence paying amounts to Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if Excess for the term entire Initial Premises, in accordance with the provisions of this Lease has ended Section 4.2.3 and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearSection 4.2.1.
Appears in 1 contract
Samples: Office Lease (Exa Corp)
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year shall exceed Base Operating Costs, Tenant covenants to reimburse Landlord, as Additional Rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”). Tenant shall remit to Landlord, on the first day of each calendar month included in the Term, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property Operating Costs Excess, as reasonably estimated by Lxxxxxxx from time to time. If, at the expiration of the year in any twelve-month period established respect of which monthly installments of Operating Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Landlord (an "Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs Excess for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, prepared, allocated and computed in accordance with then prevailing customs generally accepted accounting principles. Any reimbursement for Operating Costs due and practices payable by Tenant with respect to periods of less than twelve (12) months shall be equitably prorated. Landlord shall exercise commercially reasonable efforts to deliver to Tenant the annual reconciliation statement of Operating Costs Excess within one hundred eighty (180 days following the expiration of the real estate industry, consistently appliedapplicable year. Any year-end Lxxxxxxx’s delivery of an annual reconciliation statement by Landlord relating shall not prejudice Landlord’s right thereafter to Operating Costs (other than an invoice for render a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's corrected Operating Cost Obligationannual statement for such year, such monthly amounts to be sufficient to provide to Landlord, by except that Landlord shall in all events render any corrections thereto within three (3) years after the end of each any year or Landlord shall be deemed to have waived its right to collect any underpayment from Tenant for the Operating Year, a sum equal Costs applicable to the Tenant's Operating Cost Obligation for period that would have been covered by such Operating Yearstatement, as reasonably estimated provided, however, the foregoing 3-year period shall expressly not apply to any late bxxxxxxx or corrected bxxxxxxx received by Landlord from time to time during such Operating Yearany taxing authority or utility provider. If, at This section shall survive the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area earlier termination of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearLease.
Appears in 1 contract
Samples: Office Lease (Myomo, Inc.)
Operating Costs. Tenant shall shall, for the entire Lease Term, pay to LandlordLessor as additional rent, without any set-off or deduction therefrom, a pro rata share of all costs which Lessor may incur in owning, maintaining, and operating the Project. Said costs are referred to herein as Additional Rent, Tenant's Percentage "Operating Costs" and are hereby defined to installments of Operating Costs (as hereinafter defined) paid or incurred by Landlord special assessments payable with respect to the Property Project, maintenance, repair, replacement and care of all heating, lighting, plumbing and air conditioning fixtures, equipment and systems serving the common areas, parking and landscape areas, signs, snow removal, non-structural repair and maintenance of the exterior of the building, insurance premiums, management fees, wages and fringe benefits of personnel employed for such work, and costs of equipment purchased and used for such purposes, exclusive of depreciation, costs of tenant improvements and payments of principal and interest on any mortgages covering the Project. Operating Costs shall also include the yearly amortization of capital costs incurred by Lessor for improvements or structural repairs to the Project required to comply with any change in the law, rules or regulations of any twelve-month period established governmental authority having jurisdiction, (in which case Tenant's liability and pro rata share shall be limited to $3,500.00 per calendar year); or for purposes of reducing Operating Costs, which costs shall be amortized over the useful life of such improvements or repairs, as reasonably estimated by Landlord (an "Operating Year") Lessor, and which in the case of capital costs for improvements for the purpose of reducing operating costs, shall not exceed the actual amount of operating cost reduction. As soon as reasonably practicable prior to the commencement of each calendar year during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord Lease Terms, Lessor shall furnish to Tenant an itemized estimate of Tenant's share of Operating Costs, if any, for the ensuing calendar year and Tenant shall pay, as additional rent hereunder together with each installment of monthly base rent, one-twelfth (1/12th) of its estimated annual share of such Operating Costs. As soon as reasonably practicable after the end of each calendar year during the Lease Term, Lessor shall furnish to Tenant a certified statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to actual Operating Costs (other than an invoice for a monthly estimate) shall be final the previous calendar year, including Tenant's share of such amount, and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. thereafter Tenant shall pay to LandlordLessor, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts or Lessor to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of difference between such actual and estimated Operating Costs paid by Tenant. Tenant's share of such excess Operating Cost Obligation Costs for the years in which may be payable by Tenant as provided in this subsection 4.2.2 Lease commences and terminates shall be pro-rated on a daily basis prorated based on a 365 day Operating Yearupon the dates of commencement and termination of the Lease Term. Also see Rider, paragraph 3.
Appears in 1 contract
Samples: Lease Agreement (Enstar Inc)
Operating Costs. Tenant shall covenants to pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs ("for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated. This section shall survive the expiration or earlier termination of this Lease.
Appears in 1 contract
Samples: Office Lease (Lemaitre Vascular Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's ’s Percentage of all Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "“Operating Year"”) during the term of this LeaseLease (Tenant’s Percentage of such Operating Costs being “Tenant’s Operating Cost Obligation”). Except as otherwise provided in the immediately following paragraph paragraph, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's ’s Operating Cost Obligation") Obligation to Landlord within twenty thirty (2030) days from after the date on which Landlord shall furnish delivers to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, applicable generally accepted accounting principles (“GAAP”) consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's ’s Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's ’s Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year (provided that Landlord shall not increase such estimate more than once during any Operating Year). If, at the expiration of each Operating Year in respect of which monthly installments of Tenant’s Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's ’s Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's ’s subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the amount exceeds one month’s Annual Fixed Rent or the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Tenant’s Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In the event that If the Commencement Date shall occur or the term of this Lease shall expire end on any date other than the first or be terminated during any last day of an Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may beYear, then the amount of Tenant's ’s Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 Subsection 4.2.3 shall be pro-rated on a daily basis based on a 365 day Operating Year.
Appears in 1 contract
Operating Costs. If, during the term hereof, Operating Costs (as --------------- hereinafter defined) incurred by Landlord in any calendar year shall exceed Base Operating Costs, Tenant shall pay to reimburse Landlord, as Additional Rentadditional rent, for Tenant's Percentage of any such excess (such amount being hereinafter referred to as the "Operating Costs (Excess"). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Operating Costs Excess, as hereinafter defined) paid or incurred reasonably estimated by Landlord with respect from time to the Property time, but in no event more than two times in any twelve-month period established calendar year. If, at the expiration of the year in respect of which monthly installments of Operating Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Landlord (an "Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs Excess for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, showing all Operating Costs in reasonable detail and the computation of the Operating Costs Excess, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforgenerally accepted accounting principles. Tenant shall pay have the right, upon reasonable notice and during business hours, to Landlordexamine at Xxxxxxxx's office, as Additional Rent on the first day within six (6) months following receipt of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account statement of Operating Costs (or promptly refund Excess, Xxxxxxxx's books and records respecting such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of statement. If such remittances is less than the Operating Cost Obligation for such Operating Yearexamination discloses any errors, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage appropriate adjustments shall be modified during any made. Any reimbursement for Operating Year Costs due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Software Com Inc)
Operating Costs. Tenant shall pay to LandlordLandlord Xxxxxx's Share of the Increased Operating Costs as follows:
(a) Landlord shall submit to Tenant before January 1 of each Subsequent Year, or as Additional Rentsoon thereafter as Landlord has sufficient data, a reasonably detailed statement showing the estimated Increased Operating Costs for such Subsequent Year, which determination shall be made by Landlord based upon experience with actual costs and projections. At the first monthly Base Rent payment date following the submittal of such statement and at each succeeding monthly rent payment date thereafter during the Subsequent Year, Tenant shall pay to Landlord an amount equal to one-twelfth (1112th) of the Increased Operating Costs. If Landlord does not submit said statement to Tenant prior to January 1 of any Subsequent Year, Tenant shall continue to pay Tenant's Percentage Share of the Increased Operating Costs at the then existing rate until such statement is submitted and, thereafter, at the monthly Base Rent payment date next following the submittal of such statement Tenant shall pay Tenant's Share of the Increased Operating Costs based on the rate set forth in such statement plus, if the new rate is greater than the old rate, the difference accrued from January 1 of such Subsequent Year. Landlord may revise such estimated Increased Operating Costs at the end of any calendar quarter.
(b) On or before March 31 of the second and each succeeding Subsequent Year or as hereinafter defined) soon thereafter as Landlord has sufficient data, Landlord shall submit to Tenant a reasonably detailed statement showing the actual Building Operating Costs paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term previous calendar year. If Xxxxxx's Share of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of actual Increased Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from is less than the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account amount of Tenant's Share of the estimated Increased Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, Costs for the previous Subsequent Year theretofore paid by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating YearXxxxxx, Landlord shall credit such overpayment difference against Tenant's subsequent obligations on account of the next Increased Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlordpayments coming due. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or TenantIf Xxxxxx's Percentage shall be modified during any Operating Year due to a change in the rentable area Share of the Building and/or the Premises or otherwise, as the case may be, then actual Increased Operating Costs is more than the amount of Tenant's Share of the estimated Increased Operating Cost Obligation which may be payable Costs for such previous Subsequent Year theretofore paid by Tenant, Tenant as provided in shall pay to Landlord the full amount of such difference at the monthly Base Rent payment date next following the submittal of such statement to Tenant.
(c) If the Expiration Date or the date of earlier termination of this subsection 4.2.2 Lease is other than December 31, the Operating Costs for both the Base Year and the last Subsequent Year shall be pro-rated on a daily basis prorated based on a 365 day Operating what the number of days in the Term in the last Subsequent Year bears to 365; and any amounts owed or to be credited pursuant to Paragraph shall be paid at the time in the last Subsequent Year, or in the calendar year immediately following the last Subsequent Year, that such amount is calculated pursuant to Paragraph 4.3(c).
Appears in 1 contract
Operating Costs. Tenant shall pay to LandlordLandlord along with its monthly installment of Minimum Rent, as Additional Rent, Tenant's Proportionate Share of all costs incurred by Landlord in maintaining, lighting, repairing, replacing, operating, cleaning, painting, landscaping, securing, managing, and insuring the portions of the Shopping Center which are the responsibility of the Landlord hereunder (collectively the "Operating Costs"). By way of illustration, but not limitation, Operating Costs shall include the payment of all insurance premiums (including but not limited to Worker's Compensation, casualty, fire and rental insurance, salaries and fringe benefits for on-site employees, management fees in an amount up to three percent (3%) of the total Minimum Rent and Percentage Rent payable by all tenants of the Shopping Center, real estate taxes and assessments associated with the Shopping Center, trash removal (to the extent not paid pursuant to Section 3.3),utilities and other services benefitting or serving the Premises, sprinkler system repairs and maintenance, advertising, promotions Operating Costs shall also include real estate tax service and consulting cost and fees, and Tenant shall receive a credit equal to Tenant's Proportionate Share of any savings generated thereby. Tenant's monthly payments of Operating Costs (shall be based on estimates calculated by Landlord, and such estimates shall be adjusted as hereinafter defined) necessary as determined by landlord. Each Year, Landlord shall furnish Tenant a statement setting forth the actual Operating Costs paid or incurred payable by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of prior period. If the Operating Cost paid by Tenant pursuant to this Lease. Except as otherwise provided in the immediately following paragraph Article are less than Landlord's actual Operating Costs, Tenant shall pay to Landlord the difference between the amount paid by Tenant and Tenant's Percentage pro rata share of such actual Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofCosts, preparedas calculated above, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein notification by giving notice to Landlord specifying each item contested and the reasons thereforLandlord. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, If the total of such monthly remittances the estimated payments is greater than the Tenant's Operating Cost Obligation actual Additional Rent for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Yearsame period, Tenant shall pay receive a credit against the difference next due payment of estimated Additional Rent. Landlord shall have the right, Yearly , to Landlord within ten (10) days after being so notified adjust the monthly deposit to be paid by Landlord. In Tenant for the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or next period based upon Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area actual pro rata share of the Building and/or Operating Costs for the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearpreceding period.
Appears in 1 contract
Operating Costs. A. Beginning on the Commencement Date, Tenant shall pay to Landlord, Landlord at the same time as Additional it is required to make payment of Base Rent, an amount (the “Operating Costs Payment”) equal to one twelfth (1/12th) of the estimated Tenant's Percentage ’s Share of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect attributable to the Property in Project for any twelve-month period established by Landlord (an "Operating Year") full or partial year during the term Term. Tenant acknowledges that in connection with any particular Operating Cost, notwithstanding the fixed percentage interest of this Lease. Except as otherwise provided Tenant’s Share set forth in the immediately Basic Lease Information, Landlord may fairly allocate such Operating Cost among the users of the Project if utilizing a particular user’s percentage share based on such user’s rentable square footage compared to the rentable square footage of the Project results in an inequitable allocation of such Operating Cost among the users of the Project.
B. Based on Landlord’s current estimate of Operating Costs, Tenant’ initial monthly installment of the Operating Costs Payment on the Commencement Date shall be $22,923.86. Prior to any year (or as soon thereafter as is reasonably practicable) and from time to time during any year, Landlord shall notify Tenant as to monthly installments of the Operating Costs Payment payable by Tenant based on Landlord’s reasonable estimate of Operating Costs for such year. Until such time as Landlord notifies Tenant of such estimate, Tenant shall continue to make its Operating Costs Payment in the same monthly amount as the prior year. On the first day of the calendar month following paragraph thirty (30) days after Tenant’s receipt of Landlord’s notice of any revised estimate in such installments, Tenant shall pay to Landlord (in addition to the revised monthly estimate) a lump sum payment in an amount so that Tenant's Percentage ’s total payments for the year will equal Landlord’s revised estimate of Tenant’s aggregate Operating Costs Payment for such year. If such lump sum payment amount exceeds the amount of Tenant’s monthly payment for the immediately proceeding month, Tenant shall have an additional thirty (30) days to pay such amount. The Operating Costs Payment for the first calendar year in which the Term falls (if the Commencement Date is other than January 1) and the last calendar year in which the Term falls (if the Term ends on a date other than December 31) shall be prorated based upon the number of days in the Term falling within the year in question.
C. After Landlord shall have ascertained the actual amount of Operating Costs for the prior year but in any case within one hundred eighty ("Tenant's Operating Cost Obligation") to Landlord within twenty (20180) days from of the date end of such year (but subject to adjustment upon receipt of additional information within twelve [12] months following the end of any calendar year [an “Amended Notice”]), Landlord shall furnish notify Tenant as to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices the amount of the real estate industry, consistently applied. Any year-end statement by Landlord relating to such Operating Costs and the Operating Costs Payment resulting therefrom (other than an invoice “Annual Adjustment Notice”). If the Operating Costs Payment actually due exceeds total estimated payments made by Tenant on account of Tenant’s Share of Operating Costs for a monthly estimate) such year, then Tenant shall be final and binding upon Tenant unless it shall pay Landlord the full amount of any such deficiency within thirty (30) days after receipt thereofreceiving the Annual Adjustment Notice. If the Operating Costs Payment actually due is less than the total estimated payments made by Tenant on account of Tenant’s Share of Operating Costs for such year, contest then Landlord shall either credit any item therein such excess to Rent next owing by giving Tenant or refund such excess to Tenant, provided, at the end of the Term, Landlord shall refund such excess to Tenant.
D. The provisions of this Section 6.1 shall survive the expiration or termination of this Lease.
6.2 If the Project is not fully occupied (meaning one-hundred percent (100%) of the Rentable Area of the Project) during any full or partial year of the Term, those Operating Costs which vary with the level of occupancy (including, but not limited to, utilities, janitorial costs and management fees) shall be adjusted for such year to an amount which Landlord reasonably estimates would have been incurred had the Project been the greater of ninety-five percent (95%) occupied or the actual occupancy of the Project. In no event shall Landlord collect from the tenants of the Project more than the actual Operating Costs for such year.
6.3 Tenant shall have the right upon the delivery of written notice to Landlord (“Tenant’s Review Notice”) and at reasonable times to review the books and records of Landlord relating to Tenant’s Operating Costs Payment. Such review shall take place at the Project or the office of Landlord’s managing agent in the greater San Francisco Bay Area and shall be at Tenant’s sole cost and expense. Tenant must deliver Tenant’s Review Notice to Landlord within ninety (90) days after Tenant has received its Annual Adjustment Notice for the prior year and must complete its review with written notice to Landlord, specifying each item contested and in detail the reasons thereforfor any discrepancy as to a particular item within forty-five (45) days after Landlord makes its books and records available to Tenant. Failure by Tenant to deliver Tenant’s Review Notice to Landlord within such ninety (90) day period or to perform its review and provide Landlord with such notice within such subsequent forty-five (45) day period shall constitute a waiver of Tenant’s rights to contest such Annual Adjustment Notice. Tenant shall pay the full amount of Tenant’s Operating Costs Payment shown to Landlord, as Additional Rent be due on the first day Annual Adjustment Notice without delay, but by doing so shall not, so long as it timely complies with the time periods set forth above, waive its rights to review Landlord’s books and records or to dispute the accuracy or appropriateness of each calendar month during any such Annual Adjustment Notice or any items thereon as provided in this Section 6.3. In the term but otherwise event Landlord provides an Amended Notice, Tenant shall have the same rights with respect to the Amended Notice as with the Annual Adjustment Notice as set forth in this Section 6.3. Tenant hereby agrees that all information disclosed in the manner provided for books and records shall be kept confidential and shall not be disclosed to any other party, including, but not limited to, any other tenant in the payment Project. Tenant further agrees to cause any third party engaged by Tenant to review said books and records to execute and deliver a commercially reasonable confidentiality agreement prior to its performing any such review. Any accountant or professional retained by Tenant to perform such audit shall be paid by Tenant on a fixed hourly rate or flat-fee basis and not on a contingency fee based upon a percentage of Annual Fixed Rentthe recovery of any discrepancy discovered. Tenant shall pay all costs associated with such review, estimated payments on account unless it is finally determined that Landlord’s original determination of Tenant's ’s Operating Cost ObligationPayment was overstated by more than three percent (3%), in which event the Landlord shall pay the reasonable third party costs of such monthly amounts to be sufficient to provide to audit incurred by Tenant. If such review discloses a discrepancy in Landlord, by the end ’s calculation of each Operating Year, a sum equal to the Tenant's ’s Operating Cost Obligation for Payment, and Landlord agrees with such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Yeardetermination, Landlord shall credit promptly pay to Tenant the amount of any overpayment by Tenant or Tenant shall promptly pay to Landlord the amount of any underpayment by Tenant, as the case may be. If Landlord delivers notice to Tenant that Landlord does not agree with such overpayment against Tenant's subsequent obligations on account determination of Operating Costs Costs, Tenant’s accountant or other professional retained by Tenant to perform such audit and Landlord’s regular accountants shall select a third accounting firm from the “Big 4” accounting firms. If the two (or promptly refund such overpayment if 2) accountants cannot agree on the term selection of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord third accountant within ten (10) days after being so notified of their selection, then either party may request appointment of the third accountant by application to the JAMS. Once the third accountant has been selected as provided for above, then, as soon thereafter as practicable but in any case within fourteen (14) days, the third accountant shall make his/her determination of the actual Operating Costs in dispute and such determination shall be binding on both Landlord and Tenant. The parties shall share equally in the costs of the third accountant. Subject to Landlord’s obligations to pay Tenant’s third party costs as set forth herein, any fees of any accountant or professional engaged directly by Landlord or Tenant, however, shall be borne by the party retaining such accountant or professional. In If Landlord discovers a discrepancy in Landlord’s calculation of Operating Costs and such discrepancy has resulted in Tenant’s overpayment Operating Costs, Landlord shall deliver an Amended Notice and refund to Tenant the event amount of such overpayment by crediting the same against the next Rent due under this Lease or, if the Term has expired or the Lease has terminated, by delivering such amount with the Amended Notice.
6.4 The parties hereto agree that the Commencement Date shall occur measurements set forth in the Basic Lease Information are, for the purposes of this Lease, correct and the parties will not remeasure the Project or the term Premises. If during the Term any change occurs in either the number of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area square feet of the Building and/or Rentable Area of the Premises (by virtue of the addition of space to the Premises or otherwisethe reduction in the size of the Premises) or by addition to or subtraction from the Rentable Area of the Project, effective as of the date of any such change, the addition or subtraction of such Rentable Area of the Project or Rentable Area of the Premises shall be measured using the same method of measurement as the case may beparties hereto used for the original measurement of the Premises, then and Tenant’s Share shall be adjusted in accordance with such measurement. Landlord shall promptly notify Tenant in writing of such change and the amount reason therefor. Any changes made pursuant to this Section 6.3 shall not alter the computation of Tenant's Operating Cost Obligation which may be payable by Tenant Costs as provided in this subsection 4.2.2 Article 6 or Taxes as provided in Article 5, but, on and after the date of any such change, Tenant’s Share of Operating Costs and Taxes shall be pro-rated on appropriately adjusted. If such estimated payments of Tenant’s Share are so adjusted during a year, a reconciliation payment for Tenant’s Share pursuant to this Article 6 for the calendar year in which such change occurs shall be computed pursuant to the method set forth in Sections 6.1 and 6.2, such computation to take into account the daily basis based on a 365 day weighted average of Tenant’s Share of Operating YearCosts during such year.
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Operating Costs. (1) Tenant shall pay an amount (per each rentable square foot in the Premises) ("ADDITIONAL RENT") equal to the difference between the Operating Costs (defined below) per rentable square foot in the Building and the actual Operating Costs for the calendar year 1997 (the "EXPENSE STOP"). Landlord may collect such amount in a lump sum, which shall be due within 30 days after Landlord furnishes to Tenant the Operating Costs and Tax Statement (defined below). Alternatively, Landlord may make a good faith estimate of the Additional Rent to be due by Tenant for any calendar year or part thereof during the Term, and Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to on the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated Commencement Date and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during thereafter, an amount equal to the term estimated Additional Rent for such calendar year or part thereof divided by the number of months therein. From time to time, Landlord may estimate and re-estimate the Additional Rent to be due by Tenant and deliver a copy of the estimate or re-estimate to Tenant. Thereafter, but otherwise in no sooner than 30 days after Landlord's delivery of Landlord's estimate or re-estimate of the manner provided for the payment of Annual Fixed Additional Rent, estimated payments on account the monthly installments of Tenant's Operating Cost Obligation, such monthly amounts to Additional Rent payable by Tenant shall be sufficient to provide to Landlordappropriately adjusted in accordance with the estimations so that, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year calendar year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Yearquestion, Tenant shall pay have paid all of the difference to Landlord within ten (10) days after being so notified Additional Rent as estimated by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage Any amounts paid based on such an estimate shall be modified during any subject to adjustment as herein provided when actual Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts are available for each calendar year.
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Operating Costs. The Tenant shall pay to Landlord, as Additional Rent, the landlord the Tenant's Percentage proportionate share of the amount by which the annual Operating Costs (Costs, as hereinafter defined, for each calendar year exceed the Operating Costs incurred during the Base Year specified in the Lease Summary but not to exceed five percent (5%) paid per calendar year cumulative over the Base Year, excluding taxes, assessments, insurance, utilities and contracts which are based on increases in CPI or incurred by Landlord with respect other increases beyond Landlord's control. Such excess is referred to for purposes of this Lease as the "Increased Operating Costs." Tenant's obligation to pay its proportionate share of Increased Operating Costs shall commence as of the beginning of the first full calendar year following the Base Year. The amount of Increased Operating Costs payable to the Property in any twelve-month Landlord may be estimated by the Landlord for such period established by as the Landlord determines from time to time (an "Operating Year"not to exceed twelve (12) during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofmonths), prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall agrees to pay to Landlordthe Landlord the amounts so estimated in equal installments, as Additional Rent in advance, on the first day of each calendar month during such period. Notwithstanding the term but otherwise in foregoing, when xxxx for all or any portion of Increased Operating Costs so estimated are actually received by Landlord, the manner provided Landlord may xxxx the Tenant for the payment of Annual Fixed RentTenant's proportionate share thereof, estimated payments less any amount previously paid by Tenant to landlord on account of such item(s) by way of estimated Increased Operating Costs payments. Landlord, at their sole discretion, may engage a security company to patrol the property during off hours and restrict access to the property during this time. The cost of such security shall be passed through as additional rent to all tenants and paid based on Tenant's Operating Cost Obligationpro-rata share of space. In the event Tenant hires their own security company or employees, such monthly amounts then Tenant shall have the option of not participating in the property's pro-rata share of security costs except the cost of maintaining an access gate to be sufficient to provide to Landlord, by the park. Within a reasonable period of time after the end of each Operating Yearthe period for which estimated payments have been made, a sum equal the Landlord shall submit to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated Tenant a statement from the Landlord setting forth the actual amounts payable by Landlord from time to time during such Operating Yearthe Tenant based on actual costs. If, at If the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaidamount the Tenant has paid based on estimates is less than the amount due based on actual costs, the total Tenant shall pay such deficiency within five (5) days after submission of such monthly remittances statement. If the amount paid by the Tenant is greater than the amount actually due, the excess may be retained by the Landlord to be credited and applied by the Landlord to the next due installments of the Tenant's proportionate share of Increased Operating Cost Obligation for such Operating Costs, or as to the final Lease Year, provided Tenant is not in default, Landlord shall credit will refund such overpayment against excess to Tenant. The Tenant's subsequent obligations on account proportionate share of actual Increased Operating Costs (or promptly refund such overpayment if for the term final estimate period of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term Term of this Lease shall expire or be terminated during any Operating Year or due and payable even though it may not be finally calculated until after the expiration of the Term. Accordingly, Landlord shall have the right to continue to hold Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area security deposit following expiration of the Building and/or the Premises or otherwise, as the case may be, then the amount of Term until Tenant's share of actual Increased Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts has been paid.
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Operating Costs. Tenant shall pay to Landlord, as Additional Rent, an amount (“Tenant's ’s Operating Cost Share”) equal to Tenant’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "“Operating Year") during the term of this Lease”). Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's ’s Operating Cost Obligation") Share to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized year-end statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industryindustry in the San Diego area, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereofAt the election of Landlord, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's ’s Operating Cost ObligationShare, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's ’s Operating Cost Obligation Share for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments instalments of Tenant’s Operating Cost Obligation Share shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Tenant's ’s Operating Cost Obligation Share for such Operating Year, Landlord shall credit such overpayment against Tenant's ’s subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Tenant’s Operating Cost Obligation Share for such Operating Year, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by LandlordLandlord and provided with the year-end statement of Operating Costs. In the event that the Rent Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's ’s Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's ’s Operating Cost Obligation Share which may be payable by Tenant as provided in this subsection 4.2.2 Section 4.4 shall be pro-pro rated on a daily basis based on a 365 day Operating Year.
Appears in 1 contract
Samples: Lease Agreement (Dexcom Inc)
Operating Costs. With reference to the Operating Costs described in this Section 2.2, it is agreed as follows:
a) The Tenant shall pay to the Landlord, as Additional Rentadditional rent, monthly, in advance, during the Lease Term, the installments equal to one-twelfth (1/12) Tenant's Percentage proportionate share of Estimated Excess Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to for the Property Premises in any twelve-month period established by Landlord (an "Operating Year") during Excess of the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Excess Operating Cost ObligationCosts") incurred in the operation of the Building and Lot in calendar year 1996 ("Base Year") defined below. The Estimated Excess Operating Costs shall be determined by Landlord based on the prior year's actual Operating Costs in accordance with Section 2.2.5(b) below. After presentation to Tenant following each lease year of a statement in reasonable detail summarizing the Operating Costs for such lease year, an adjustment shall be made to account for actual Operating Costs for such lease year. If the total amount of Estimated Excess Operating Costs actually received by the Landlord from the Tenant for any lease year shall be less than the Excess Operating Costs for such lease year, then the amount of such difference shall be payable by the Tenant within twenty (20) days of receipt of the annual statements summarizing Operating Costs. If the total amount of the Estimated Excess Operating Costs actually received by the Landlord from the date Tenant for any lease year shall be greater than the Excess Operating Costs for such lease year, then the Landlord shall furnish to Tenant an itemized statement thereofshall, preparedat its option, allocated and computed in accordance with then prevailing customs and practices within twenty (20) days of delivery of the real estate industry, consistently applied. Any year-end statement by Landlord relating to annual statements summarizing Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall either pay to Landlordthe Tenant the amount of such excess or credit an equal amount against the Tenant'srental obligations hereunder.
b) As used herein, as Additional Rent on Estimated Excess Operating Costs means, with respect to the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentyear 1997, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum an amount equal to the Tenant's product obtained by multiplying $.10 times the number of square feet of Rentable Area described on Page 1, and with respect to subsequent lease years an amount equal to 105% of the Excess Operating Cost Obligation Costs, adjusted to reflect full occupancy for such Operating Yeartwelve (12) months, for the immediately preceding lease year, adjusted, if necessary, to reflect any changes in the Rentable Area, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year set forth in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Year.Exhibit A.
Appears in 1 contract
Samples: Sublease Agreement (Connected Corp)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord Tenant's Percentage Share of the Increased Operating Costs as follows:
(i) Landlord shall submit to Tenant, before January 1 of each Subsequent Year, or as hereinafter definedsoon thereafter as Landlord has sufficient data, a reasonably detailed statement showing the estimated Increased Operating Costs for such Subsequent Year, which determination shall be made by Landlord based upon experience with actual costs and projections. At the first monthly Base Rent Payment date following the submittal of such statement and at each succeeding monthly rent payment date thereafter during the Subsequent Year, Tenant shall pay to Landlord an amount equal to one-twelfth (1/12th) of the Increased Operating Costs. If Landlord does not submit said statement to Tenant prior to January 1 of any Subsequent Year, Tenant shall continue to pay Tenant's Share of the Increased Operating Costs at the then existing rate until such statement is submitted and, thereafter, at the monthly Base Rent payment date next following the submittal of such statement Tenant shall pay Tenant's Share of the Increased Operating Costs based on the rate set forth in such statement plus, if the new rate is greater than the old rate, the difference accrued from January 1 of such Subsequent Year. Landlord may revise such estimated Increased Operating Costs at the end of any calendar quarter.
(ii) On or before March 31 of the second and each succeeding Subsequent Year or as soon thereafter as Landlord has sufficient data, Landlord shall submit to Tenant a reasonably detailed statement showing the actual Building Operating Costs paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Leaseprevious calendar year. Except as otherwise provided in the immediately following paragraph Tenant shall pay If Tenant's Percentage Share of the actual Increased Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from is less than the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account amount of Tenant's Share of the estimated Increased Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, Costs for the previous Subsequent Year theretofore paid by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment difference against the next Increased Operating Costs payments coming due. If Tenant's subsequent obligations on account Share of the actual Increased Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less more than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Share of the estimated Increased Operating Cost Obligation which may be payable Costs for such previous Subsequent Year theretofore paid by Tenant, Tenant as provided in shall pay to Landlord the full amount of such difference at the monthly Base Rent payment date next following the submittal of such statement to Tenants.
(iii) If the Expiration Date or the date of earlier termination of this subsection 4.2.2 Lease is other than December 31, the Operating Costs for both the Base Year and the last Subsequent Year shall be pro-rated on a daily basis prorated based on a 365 day Operating what the number of days in the Term in the last Subsequent Year bears to 365; and any amounts owed or to be credited pursuant to Paragraph 4.3.2 shall be paid at the time in the last Subsequent Year, or in the calendar year immediately following the last Subsequent Year, that such amount is calculated pursuant to Paragraph 4.3(ii).
Appears in 1 contract
Samples: Office Lease (Extensity Inc)
Operating Costs. Subject to paragraph 4(b), above, Tenant shall pay to Landlord, as Additional Rentadditional rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or the total operating costs incurred by Landlord with respect to in its ownership and operation of the Property in any twelve-month period established Premises (including the Common Area) as defined below. Operating costs shall be paid by Landlord (an "Operating Year") Tenant as follows: Tenant’s estimated monthly payment of operating costs payable by Tenant during the calendar year in which the term commences is set forth in paragraph 4(b) of this Lease. Except Prior to the commencement of each succeeding calendar year of the term (or as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date soon as practicable thereafter), Landlord shall furnish deliver to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices a written estimate of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a Tenant’s monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforpayment of operating costs. Tenant shall pay to Landlordpay, as Additional Rent additional rent, on the first day of each calendar month during the term but otherwise in accordance with paragraph 4(b) of the manner provided for lease, the payment monthly operating costs as estimated by Landlord. Within one hundred twenty (120) days of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to calendar year and of the Tenant's Operating Cost Obligation for such Operating Year, termination of the Lease (or as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made soon as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Yearpracticable thereafter), Landlord shall credit such overpayment against Tenant's subsequent obligations on account endeavor to deliver to Tenant a final statement of actual operating costs incurred for the preceding year, provided, however, Landlord’s right to recover Operating Costs shall not be lost if such statement is delivered after such one hundred twenty (or promptly refund 120) day period. If such overpayment if the term of this Lease has ended and statement shows that Tenant has no further obligation to Landlord); if the total of such remittances is paid less than the Operating Cost Obligation for such Operating Year, actual operating costs then Tenant shall on demand pay the difference to Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within ten (10) business days after being so notified by Landlorddemand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Tenant has paid more than the actual operating costs then Landlord shall, at its option, promptly refund such excess to Tenant or credit the amount thereof to the operating costs next becoming due from Tenant. Landlord reserves the right to revise any estimate of operating costs if a total or projected operating costs show an increase or decrease in excess of 10% from any earlier estimate for the same period. In such event, Landlord shall deliver the event that revised estimate to Tenant, together with an explanation of the Commencement Date reasons therefore, and Tenant shall occur or revise its payments accordingly. Landlord’s and Tenant’s obligation with respect to adjustments at the end of the term or earlier expiration of this Lease shall expire survive such termination or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearexpiration.
Appears in 1 contract
Samples: Sublease (Telik Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rentadditional rent, Tenant's Percentage ’s percentage share, equal to fifty-five and fifty-two one hundredth percent (55.52%), of Operating Costs (the total operating costs as hereinafter defineddefined below. Tenant’s percentage share of operating costs shall be paid by Tenant as follows: Tenant’s estimated monthly payment of operating costs payable by Tenant during the calendar year in which the term commences is set forth in paragraph 4(b) paid or incurred by Landlord with respect of this lease. Prior to the Property in any twelve-month period established by Landlord (an "Operating Year") during commencement of each succeeding calendar year of the term of this Lease. Except (or as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date soon as practicable thereafter), Landlord shall furnish deliver to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices a written estimate of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a Tenant’s monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforpayment of operating costs. Tenant shall pay to Landlordpay, as Additional Rent additional rent, on the first day of each calendar month during the term but otherwise in accordance with paragraph 4(b) of the manner provided for the payment lease, its monthly share of Annual Fixed Rent, operating costs as estimated payments on account by Landlord. Within one hundred twenty (120) days of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to calendar year and of the Tenant's Operating Cost Obligation for such Operating Year, termination of this lease (or as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made soon as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Yearpracticable thereafter), Landlord shall credit deliver to Tenant a statement of actual operating costs incurred for the preceding year. If such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and statement shows that Tenant has no further obligation paid less than its actual percentage then Tenant shall on demand pay to Landlord); if Landlord the total amount of such remittances is less than the Operating Cost Obligation for deficiency. If Tenant fails to pay such Operating Year, Tenant shall pay the difference to Landlord deficiency due within ten (10) days after being so notified by Landlorddemand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Tenant has paid more than its actual percentage share then Landlord shall, at its option, promptly refund such excess to Tenant or credit the amount thereof to the operating costs next becoming due from Tenant. Landlord reserves the right to revise any estimate of operating costs if actual or projected operating costs show an increase or decrease in excess of 10% from any earlier estimate for the same period; provided, however, Landlord shall make no more than two (2) such adjustments per calendar year. In such event, Landlord shall deliver the event that revised estimate to Tenant, together with an explanation of the Commencement Date reasons therefor, and Tenant shall occur or revise its payments accordingly. Landlord’s and Tenant’s obligation with respect to adjustments at the end of the term or earlier expiration of this Lease lease shall expire survive such termination or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearexpiration.
Appears in 1 contract
Samples: Industrial Lease (Airxpanders Inc)
Operating Costs. Tenant shall pay to Landlord, Along with Fixed Minimum Rent and as part of Additional Rent, Tenant covenants to pay it share of all increases in the costs of maintaining, repairing, operating and insuring the Common Areas and other portions of the Shopping Center which are the responsibility of the Landlord including management fees and an administrative cost equal to fifteen percent (15%) of the foregoing costs, (collectively, "Operating Costs") over the Base Expense Stop in the amount of $99,000.00. Increases shall not be greater than five percent (5%) per year, cumulative. Tenant's Percentage share of Operating Costs shall be determined by the following formula: $99,000.00 (as hereinafter definedBase 33,388 (Gross Leasable Area of Premises) X Operating Costs) ---------------------------------------- ---------------- 72,213 (Gross Leasable Area of Shopping Center) Tenant's pro rata share is 46.235% The gross leasable area of the Premises is measured from the center line of demising wall and to the exterior faces of exterior walls or windows. Landlord shall estimate these costs annually and Tenant covenants to pay one-twelfth (1/12th) of such estimated amount monthly, along with its monthly installment of Fixed Minimum Rent. Landlord shall provide to Tenant a written reconciliation of actual Operating Costs to payments received from Tenant by May 1 of the succeeding Lease Year. Any excess payments by Tenant shall be applied towards next month's (or months') Operating Costs and any shortage shall be paid or incurred by to Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage next Rent payment. Tenant's share of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest prorated for any item therein by giving notice to Partial Lease Year hereunder. Failure of Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end statement called for hereunder within the time of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord prescribed shall not relieve Tenant from time to time during such Operating Yearits obligation hereunder. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearSEE SPECIAL STIPULATION RIDER #2.
Appears in 1 contract
Samples: Lease (800 Travel Systems Inc)
Operating Costs. The Tenant shall pay to Landlord, as Additional Rent, the Landlord the Tenant's Percentage proportionate share of the amount by which the annual "Operating Costs" (subsequently defined), for each calendar year exceed the Operating Costs incurred during the Base Year specified in the Lease . Summary (i.e. 1995). Such excess is referred to for purposes of this Lease as hereinafter defined) paid or incurred by Landlord with respect the "Increased Operating Costs." The Tenant's obligation to pay its proportionate share of Increased Operating Costs shall commence as of the beginning of the first full calendar year following the Base Year. The amount of Increased Operating Costs payable to the Property in any twelve-month Landlord may be estimated by the Landlord for such period established by as the Landlord determines from time to time (an "Operating Year"not to exceed twelve (12) during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofmonths), prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall agrees to pay to Landlordthe Landlord the amounts so estimated in equal installments, as Additional Rent in advance, on the first day of each calendar month during such period. Notwithstanding the term but otherwise in foregoing, when bills for all or any portion of Increased Operating Costs so estimated are actually received by the manner provided Landlord, the Landlord may bill the Tenant for the payment of Annual Fixed RentTenant's proportionate share thereof, estimated payments less any amount previously paid by the Tenant to the Landlord on account of Tenant's such item(s) by way of estimated Increased Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by Costs payments. Within a reasonable period of time after the end of each Operating Yearthe period for which estimated payments have been made, a sum equal the Landlord shall submit to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated Tenant a statement from the Landlord setting forth the actual amounts payable by Landlord from time to time during such Operating Yearthe Tenant based on actual costs. If, at If the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, amount the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances paid based on estimates is less than the Operating Cost Obligation for such Operating Yearamount due based on actual costs, the Tenant shall pay the difference to Landlord such deficiency within ten (10) days after being so notified submission of such statement. If the amount paid by Landlordthe Tenant is greater than the amount actually due, the excess may be retained by the Landlord to be credited and applied by the Landlord to the next due installments of the Tenant's proportionate share of Increased Operating Costs, or as to the final Lease Year, provided the Tenant is not in default, the Landlord will refund such excess to the Tenant. In The Tenant's proportionate share of actual Increased Operating Costs for the event that final estimate period of the Commencement Date shall occur or the term Term of this Lease shall expire or be terminated during any Operating Year or due and payable even though it may not be finally calculated until after the expiration of the Term. Accordingly, the Landlord shall have the right to continue to hold the Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area security deposit following expiration of the Building and/or Term until the Premises or otherwise, as the case may be, then the amount of Tenant's share of actual Increased Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts has been paid.
Appears in 1 contract
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "calendar year shall exceed Base Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs, Tenant shall pay reimburse Landlord, as additional rent, for Tenant's Percentage of any such excess (such amount being hereinafter referred to as the "Operating Costs (Excess"). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Operating Costs Excess, as reasonably estimated by Landlord from time to time. If, at the expiration of the year in respect of which monthly installments of Operating Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs Excess for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Ezenia Inc)
Operating Costs. Within a reasonable time after calendar year 2014, Landlord shall provide Tenant shall pay with an itemized statement of Base Operating Costs, together with copies of all bills issued by governmental authorities with respect to LandlordTaxes included in Base Operating Costs. If, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "calendar year shall exceed Base Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to reimburse Landlord, as Additional Rent Rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”). Tenant shall remit to Landlord, on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts Excess, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation for such Operating YearCosts Excess, as reasonably estimated by Landlord from time to time during such Operating Yearand set forth in a statement delivered by Landlord to Tenant. If, at the expiration of each Operating Year the year in respect of which monthly installments of Operating Cost Obligation Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such Operating Yearyear, as shown on the Annual Statement within thirty (30) days (as hereinafter defined) for such year, Landlord shall pay to Tenant, or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)subsection 4.2.2, the difference; if the total of such remittances is less than the Operating Cost Obligation Costs Excess for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In from the event that the Commencement Date shall occur or the term date of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area ’s receipt of the Building and/or Annual Statement. Following each calendar year, Landlord shall furnish to Tenant an itemized statement, in reasonable detail, of the Premises or otherwiseOperating Costs Excess during such year (the “Annual Statement”), as the case may beprepared, then the amount of Tenant's allocated and computed in accordance with generally accepted accounting principles. Any reimbursement for Operating Cost Obligation which may be Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease Agreement (Corbus Pharmaceuticals Holdings, Inc.)
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year shall exceed Base Operating Costs, Tenant shall reimburse Landlord, as Additional Rent, for Tenant’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs Excess”). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs Excess, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs Excess, as reasonably estimated by Landlord (an "from time to time. If, at the expiration of the year in respect of which monthly installments of Operating Year") during Costs Excess shall have been made as aforesaid, the term total of such monthly remittances is greater than the actual Operating Costs Excess for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Tenant pursuant to this Lease. Except as otherwise provided in subsection 4.2.3, the immediately following paragraph difference; if the total of such remittances is less than the Operating Costs Excess for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs Excess, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs due and payable by Tenant with respect to periods of less than twelve (other than an invoice for a monthly estimate12) months shall be final equitably prorated. Landlord shall use reasonable efforts to provide Tenant with any such reconciliation statement within one hundred and binding upon Tenant unless it shall within thirty twenty (30120) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at following the expiration of each Operating Year any calendar year during the Term, such statement prepared, allocated and computed in respect of which monthly installments of Operating Cost Obligation accordance with generally accepted accounting principles. This section shall have been made as aforesaid, survive the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (expiration or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area earlier termination of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearLease.
Appears in 1 contract
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as ---------------- hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property Operating Costs, as reasonably estimated by Xxxxxxxx from time to time. The initial monthly estimated payments shall be in any twelve-month period established an amount equal to 1/12th of the Initial Estimate of Operating Costs for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Landlord (an "Tenant pursuant to this subsection 4.2.4, the difference; if the total of such remittances is less than the Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof such Operating Costs, prepared, allocated prepared and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Averstar Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) all costs and expenses of every kind and nature paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating YearOPERATING YEAR") during the term of this LeaseLease (such costs and expenses being "OPERATING COSTS", as hereinafter more fully described). Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost ObligationTENANT'S OPERATING COST OBLIGATION") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industryindustry in the greater Austin area, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Landlord and Tenant unless it shall either party within thirty (30) 30 days after Tenant's receipt thereof, shall contest any item items therein by giving notice to Landlord the other specifying each item items contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Tenant's Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Tenant's Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearappropriately apportioned and adjusted.
Appears in 1 contract
Samples: Lease (Perficient Inc)
Operating Costs. Tenant shall pay to LandlordTo the extent Seller, as Additional Rentlandlord under the Leases, Tenant's Percentage of Operating Costs is currently collecting from tenants under the Leases additional rent (as hereinafter definedcollectively, “Expense Reimbursements”) paid or incurred by Landlord with respect to cover taxes, insurance, utilities (to the Property extent not paid directly by tenants), common area maintenance and other operating costs and expenses (collectively, “Operating Costs”) in any twelve-month period established by Landlord (an "Operating Year") during connection with the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofownership, preparedoperation, allocated maintenance and computed in accordance with then prevailing customs and practices management of the real estate industryProperty, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for Seller and Buyer shall each receive a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (debit or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwisecredit, as the case may be, then for the difference between each tenants’ current account balances for 2012 for Operating Costs and amount of their respective Operating Costs reimbursable to Seller; provided, however, that, except as specifically set forth herein, in no event shall either party be responsible for crediting the other for any uncollected Expense Reimbursements for any tenant and the same shall be treated in the same manner as uncollected rent is treated in Section 6.1(a). To the extent that the CAM Reconciliation (as defined below) for calendar year 2012 reveals that Seller has over-collected Expense Reimbursements such that, if the end of the operating expense year under the Leases were the Closing Date, Seller would be obligated to refund money to the Tenants (an “Over Collection”), rather than collect additional money from the Tenants (an “Under Collection”), said Over Collection shall be paid by Seller to Buyer at the Closing as a settlement statement credit and Buyer shall pay said Over-Collection to the respective tenant within thirty (30) days or otherwise in compliance with the lease obligations; provided, in the event of an Under Collection, the amount of the Under Collection shall be paid by Buyer to Seller outside of escrow within five (5) business days after receipt from the applicable Tenant in connection with the year-end Operating Costs reconciliation process subject to and in accordance with the terms of Section 6.1(a). Notwithstanding the foregoing, prior to Closing, Buyer and Seller shall agree to a reasonable estimate of 2012 Under Collection as of the time of Closing, and Buyer shall pay such amount to Seller at Closing. Operating Costs for 2012 shall be reasonably estimated by the parties if final bills are not available. At least five (5) business days prior to the Closing Date, Seller shall provide Buyer with a reasonably detailed reconciliation for each Tenant showing all Operating Costs incurred by Seller from the beginning of the then-current calendar year (2012) through the Closing Date, and any Expense Reimbursements collected by Seller during the same period of time and relating to such Tenant's , all in the form customarily submitted to each Tenant (the “CAM Reconciliation”). Operating Cost Obligation which may be Costs that are payable by tenants directly to the applicable service providers shall not be prorated between Seller and Buyer. Prior to Closing, Seller shall reconcile with the tenants in place during the calendar year 2011, the Tenant Expense Reimbursements for the calendar year 2011 and Seller shall reimburse to the respective tenant(s) any Over Collection of Expense Reimbursement for calendar year 2011 prior to the Closing and shall have the right to collect any Under Collection of Expense Reimbursement for calendar year 2011 for one hundred eighty (180) days following the Closing. To the extent Buyer receives any amounts from tenants for Under Collection of Expense Reimbursement for calendar year 2011 and which are identified as provided in this subsection 4.2.2 same, Buyer shall be pro-rated on a daily basis based on a 365 day Operating Yearpay such amount to Seller within ten (10) days.
Appears in 1 contract
Samples: Purchase and Sale Agreement (Industrial Income Trust Inc.)
Operating Costs. Tenant During the term hereof, Subtenant shall pay to Landlord, as Additional Rent, Tenant's Percentage Sublandlord its pro rata portion of Operating Costs (as hereinafter defined) paid or all of the following costs incurred by Landlord with respect to the Property in any twelve-month period established by Landlord Master Lease Premises (an all of such costs shall hereinafter be referred to as "Operating YearAdditional Rent") in accordance with the terms set forth herein: (i) Utilities, (ii) Common area Maintenance, Cleaning paid monthly. Insurance, Real and Personal Property Taxes, shall be calculated on a base year of 1999. Additional Rent shall be estimated (based upon past costs and apparent trends, if any) at the Commencement Date and again on each February 15 during the term hereof and shall be communicated to Subtenant in writing. Upon request, Sublandlord shall provide supporting documentation regarding the estimated Additional Rent to Subtenant. Upon receipt of this Lease. Except as otherwise provided in the immediately following paragraph Tenant such estimate and, if requested, supporting documentation, Subtenant shall pay Tenant's Percentage of Operating Costs to Sublandlord such estimated Additional Rent, in monthly installments along with the primary rent. On each February 15 during the term hereof and within forty-five ("Tenant's Operating Cost Obligation") to Landlord within twenty (2045) days from after the date Landlord expiration or sooner termination hereof, Sublandlord shall furnish account for all such Additional Rent for the previous calendar year or portion thereof and promptly provide a reasonable itemization of such accounting to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedSubtenant. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within Within thirty (30) days after Subtenant's receipt thereofof such itemization, contest any item therein by giving notice a correcting payment shall be made between the parties to Landlord specifying each item contested and reconcile the reasons therefor. Tenant shall pay to Landlord, as estimated Additional Rent on the first day of each calendar month paid during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal previous period to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time actual Additional Rent incurred under the Master Lease with respect to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearPremises.
Appears in 1 contract
Operating Costs. Tenant shall covenants to pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any fiscal year of Landlord (meaning October – September) Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the fiscal year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs ("for the fiscal year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated. This section shall survive the expiration or earlier termination of this Lease.
Appears in 1 contract
Samples: Office Lease (Desktop Metal, Inc.)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property Operating Costs, as reasonably estimated by Xxxxxxxx from time to time. The initial monthly estimated payments shall be in any twelve-month period established by Landlord (an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Xxxxxx’s Percentage of Operating Costs ("for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Lemaitre Vascular Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, reimburse Landlord for Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforCosts. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term commencing on the Rent Commencement Date but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost ObligationCosts, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Yearcalendar year, a sum equal to the Tenant's Operating Cost Obligation Costs for such Operating Yearyear, as reasonably estimated by Landlord. Landlord from time shall give Tenant notice of such estimated amounts promptly following its determination thereof for each Lease Year, which notice Landlord will use reasonable efforts to time during such Operating provide to Tenant at least thirty (30) days prior to the beginning of each Lease Year. If, at the expiration of each Operating Year year in respect of which monthly installments of Operating Cost Obligation Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs for such Operating Yearyear, Landlord shall credit such overpayment against Tenant's ’s subsequent obligations on account of Taxes and Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and ended) or, if Tenant has no further obligation shall so request, against any installment of Annual Fixed Rent due not earlier than thirty (30) days prior to Landlord)such request; if the total of such remittances is less than the actual Operating Cost Obligation Costs for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In the event that the Rent Commencement Date shall occur or the term of this Lease shall expire or be terminated during any calendar year for which Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may beCosts are being computed, then the amount of Tenant's Operating Cost Obligation Costs which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 360 day Operating Yearyear.
Appears in 1 contract
Samples: Lease (Surgalign Holdings, Inc.)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs ("for the calendar year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than Tenant's ’s Percentage of the actual Operating Cost Obligation") Costs for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than Tenant’s Percentage of the Operating Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Gensym Corp)
Operating Costs. (1) Tenant shall pay an amount (per each rentable square foot in the Existing Premises) ("Additional Rent") equal to the difference between the Operating Costs (defined below) per rentable square foot in the 565 Building and the 575 Building and the actual Operating Costs for such Buildings for the calendar year 1995 (the "Existing Premises Expense Stop"). Additionally, as Additional Rent, Tenant shall pay an amount (per each rentable square foot in the Expansion Premises) equal to the difference between the Operating Costs per rentable square foot in the 575 Building and the actual Operating Costs for the 575 Building for the calendar year 1998 (the "Expansion Premises Expense Stop"). Landlord shall make a good faith estimate of the Additional Rent to be due by Tenant for any calendar year or part thereof during the Term, and Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to on the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated Commencement Date and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during thereafter, an amount equal to the term estimated Additional Rent for such calendar year or part thereof divided by the number of months therein. From time to time (but otherwise not more than once in any calendar quarter), Landlord may estimate and re-estimate the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts Additional Rent to be sufficient due by Tenant and deliver a copy of the estimate or re-estimate to provide to LandlordTenant. Thereafter, the monthly installments of Additional Rent payable by Tenant shall be appropriately adjusted in accordance with the estimations so that, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year calendar year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Yearquestion, Tenant shall pay have paid all of the difference to Landlord within ten (10) days after being so notified Additional Rent as estimated by Landlord. In Any amounts paid based on such an estimate shall be subject to adjustment as herein provided when actual Operating Costs are available for each calendar year.
(2) The term "Operating Costs" shall mean all expenses and disbursements (subject to the event limitations set forth below) that Landlord incurs in connection with the Commencement Date shall occur ownership, operation, and maintenance of the Building, determined in accordance with generally accepted accounting principles applicable to commercial real estate consistently applied ("GAAP"), including, but not limited to, the following costs: (A) wages and salaries (including management fees) of all employees at or below the term grade of building manager engaged in the operation, maintenance, and security of the Building, including employee related taxes, insurance and benefits relating thereto; (B) all supplies and materials used in the operation, maintenance, repair, replacement, and security of the Building; (C) costs for improvements made to the Building which, although capital in nature, are reasonably expected to reduce the normal operating costs of the Building, as well as capital improvements made in order to comply with any law hereafter promulgated by any governmental authority, as amortized over the useful economic life of such improvements and the remaining Term of this Lease shall expire or be terminated during any Operating Year or TenantLease; (D) cost of all utilities, except the cost of utilities reimbursable to Landlord by the Building's Percentage shall be modified during any Operating Year due tenants other than pursuant to a change in provision similar to this Section 3.(d) or Exhibit F; (E) insurance expenses; (F) repairs, replacements, and general maintenance of the rentable area Building; and (G) service or maintenance contracts with independent contractors for the operation, maintenance, repair, replacement, or security of the Building and/or (including, without limitation, alarm service, window cleaning, and elevator maintenance). For purposes hereof, the Premises useful life of any capital improvement, capital repair or otherwisecapital replacement shall be the useful life thereof as set forth in the manufacturer's specifications therefor or, as if the case may bemanufacturer's specifications do not provide for a useful life, then the amount shorter of Tenant's the useful life thereof determined in accordance with GAAP or 15 years. Operating Cost Obligation Costs shall not include costs for (i) capital improvements made to the Building, other than capital improvements described in Section 3.(d)(2)(C) and except for items which may be payable are generally considered maintenance and repair items, such as painting of common areas, replacement of carpet in elevator lobbies, and the like; (ii) repair, replacements and general maintenance paid by proceeds of insurance or by Tenant or other third parties; (iii) interest, amortization or other payments on loans to Landlord; (iv) depreciation; (v) leasing commissions; (vi) legal expenses for services, other than those that benefit the Building tenants generally (e.g., tax disputes); (vii) renovating or otherwise improving space for occupants of the Building or vacant space in the Building; (viii) Taxes (defined below), and (ix) federal income taxes imposed on or measured by the income of Landlord from the operation of the Building. Tenant acknowledges that the 565 Building and 575 Building are part of the Complex and some of the Operating Costs for such buildings are shared with the adjacent office buildings commonly known as provided 000 Xxxx Xxxxxxxxxx Xxxx, Xxxxx, Pennsylvania and 000 Xxxx Xxxxxxxxxx Xxxx, Xxxxx, Pennsylvania (collectively, the "Other Buildings"). Any Operating Costs that are allocable to both the Buildings in this subsection 4.2.2 which the Premises are located and the Other Buildings shall be pro-rated on a daily basis prorated among the Buildings based on a 365 day upon the number of rentable square feet in the Buildings in which the Premises are located and the number of rentable square feet in the Other Buildings (such charges may include, without limitation, snowplowing charges and landscaping fees). Additionally, if any Operating YearCosts are reasonably allocated by Landlord between the Buildings in which the Premises are located and the Other Buildings (including management office overhead charges), such Operating Costs shall be prorated among the buildings based upon the number of square feet in the Complex.
Appears in 1 contract
Operating Costs. In addition to the base rent and other charges specified in this Lease, Tenant agrees to pay Landlord, Tenant's proportionate share of the operating costs of the common areas and of the building within which the Premises are located ("the Property") less the base amount. For purposes of this provision, the Property's operating costs shall include but not be limited to water, sewer, common area exterior electric, dumpster, fire alarm charges, parking area maintenance, lawn maintenance, management fees, operation and fair market rental expenses for FlexxspaceSM accommodations of any kind and nature and any other expense item associated with the ongoing maintenance, repair and operation of the Property and its common facilities (excluding insurance and real estate taxes). The amount of operating costs attributable to the Property shall be calculated on a pro-rata basis. Tenant's proportionate share of the operating costs attributable to the Property is .0156, and is calculated upon the ratio of the area of the Premises (square feet) to the total area of the property in which the Premises is located. Base amount shall be the sum of the property operating expenses in the base year as set out in paragraph 14. Tenant's share of the operating cost less operating costs for the base year may be required to be paid by Tenant as additional rent in equal monthly installments, plus applicable tax, based upon Landlord's written estimate of the operating costs for the following calendar year. At the end of each calendar year, Landlord shall deliver to Tenant a statement showing the amount of the Property's operating costs for the prior calendar year, and further showing Tenant's share thereof. If the total of the monthly payments made by Tenant for the period is less than Tenant's actual proportionate share for the period, then Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") deficiency to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after of receipt of written notice thereof, contest any item therein . If the total monthly payments made by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of period are more than Tenant's Operating Cost Obligationproportionate share for the period, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, then Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearfuture monthly payments.
Appears in 1 contract
Samples: Lease (Nationwide Companies Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Landlord the Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage Initial Estimate of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from for the date calendar year. Following the end of each calendar year, including the first calendar year, Landlord shall furnish deliver to Tenant an itemized a reasonably detailed statement thereofof the Operating Costs payable under this Section 4.2.3 for such calendar year, prepared, allocated and computed in accordance with then prevailing customs and practices of generally accepted accounting principles (the real estate industry, consistently applied. Any year-end statement by Landlord relating to "Annual Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating YearStatement"). If, at the expiration of each Operating Year the calendar year in respect of which monthly installments of Operating Cost Obligation Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs for such Operating Yearcalendar year, Landlord shall credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference, unless Tenant requests in writing that Landlord pay any such overpayment against difference to Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation Costs for such Operating Yearcalendar year, Tenant shall pay the difference to Landlord within ten twenty (1020) days after being so notified by Landlordfrom the date Landlord furnishes to Tenant the Annual Operating Statement. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Any reimbursement for Operating Year or Tenant's Percentage shall be modified during any Operating Year Costs due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Acme Packet Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's ’s Percentage of all Operating Costs (Costs, as hereinafter defined) , paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "“Operating Year"”) during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's ’s Percentage of Operating Costs for each Operating Year ("“Tenant's ’s Operating Cost Obligation"”) to Landlord within twenty (20) days from as provided in the date following paragraph. Landlord shall use reasonable efforts to furnish to Tenant an itemized year-end statement thereofof Tenant’s Operating Cost Obligation, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industryindustry in the Rental Market, consistently applied, not later than one hundred twenty (120) days after the end of the Operating Year covered by such year-end statement. Any Each such year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to give Landlord specifying each item contested and the reasons therefora timely Dispute Notice as hereinafter provided. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's ’s Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's ’s Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's ’s Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's ’s subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's ’s Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's ’s Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 360 day Operating Year.
Appears in 1 contract
Samples: Lease (Curis Inc)
Operating Costs. (a) Tenant shall covenants to pay to LandlordLandlord Tenant’s Building Percentage Share and Tenant’s Premises Percentage Share, as Additional Rentapplicable, Tenant's Percentage of Operating Costs (as the term “Operating Costs” is hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during calendar year. Commencing as of the term of this Lease. Except as otherwise provided in the immediately following paragraph Rent Commencement Date, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay remit to Landlord, as Additional Rent on or before the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts, such monthly amounts to be based on Tenant’s Building Percentage Share and Tenant’s Premises Percentage Share, as applicable, sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation for such Operating YearCosts, as reasonably estimated by Landlord from time to time during such Operating Year(provided that Landlord shall not make further adjustments after the initial estimate is made for the applicable year). Landlord shall notify Tenant of the initial monthly estimated payments for the calendar year prior to the Rent Commencement Date. If, at the expiration of each Operating Year the year in respect of which monthly installments of Operating Cost Obligation Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs for such Operating Yearyear, Landlord shall promptly pay to Tenant, or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)Section 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation Costs for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In from the event that the Commencement Date date Landlord shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due furnish to a change in the rentable area Tenant an itemized statement of the Building and/or the Premises or otherwiseOperating Costs, as the case may beprepared, then the amount of Tenant's allocated and computed in accordance with generally accepted accounting principles. Any reimbursement for Operating Cost Obligation which may be Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be proequitably prorated on the basis of a 365-rated on a daily basis based on a 365 day Operating Yearcalendar year.
Appears in 1 contract
Samples: Lease Agreement (Vericel Corp)
Operating Costs. The Tenant shall pay to Landlordthe Landlord the Tenant's proportionate share of the annual Operating Costs, as Additional Renthereinafter defined, Tenant's Percentage for each month of the Term. The amount of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect payable to the Property in any twelve-month Landlord may be estimated by the Landlord for such period established by as the Landlord determines from time to time (an "Operating Year"not to exceed twelve (12) during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofmonths), prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall agrees to pay to Landlordthe Landlord the amounts so estimated in equal installments, as Additional Rent in advance, on the first day of each calendar month during such period. Notwithstanding the term but otherwise in foregoing, when bills for all or any portion of Operating Costs so estimated are actually received by Landlord, the manner provided Landlord may bill the Tenant for the payment Tenant's proportionate share therexx, less any amount ================================================================================ Commercial Office Lease. The Grip Building page 5 of Annual Fixed Rent, estimated payments 28 pages previously paid by Tenant to Landlord on account of Tenant's such item(s) by way of estimated Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by Costs payments. Within a reasonable period of time after the end of each Operating Yearthe period for which estimated payments have been made, a sum equal the Landlord shall submit to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated Tenant a statement from the Landlord setting forth the actual amounts payable by Landlord from time to time during such Operating Yearthe Tenant based on actual costs. If, at If the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaidamount the Tenant has paid based on estimates is less than the amount due based on actual costs, the total Tenant shall pay such deficiency within five (5) days after submission of such monthly remittances statement. If the amount paid by the Tenant is greater than the amount actually due, the excess may be retained by the Landlord to be credited and applied by the Landlord to the next due installments of the Tenant's proportionate share of Operating Cost Obligation for such Operating Costs, or as to the final Lease Year, provided Tenant is not in default, Landlord shall credit will refund such overpayment against excess to Tenant. The Tenant's subsequent obligations on account proportionate share of Operating Costs (or promptly refund such overpayment if for the term final estimated period of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term Term of this Lease shall expire or be terminated during any Operating Year or due and payable even though it may not be finally calculated until after the expiration of the Term. Accordingly, Landlord shall have the right to continue to hold Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area security deposit following expiration of the Building and/or the Premises or otherwise, as the case may be, then the amount of Term until Tenant's share of actual Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts has been paid.
Appears in 1 contract
Samples: Commercial Office Lease (Interactive Technologies Com LTD)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord Tenant's Percentage Share of the Increased Operating Costs as follows:
(i) Landlord shall submit to Tenant, before January 1 of each Subsequent Year, or as hereinafter definedsoon thereafter as Landlord has sufficient data, a reasonably detailed statement showing the estimated Increased Operating Costs for such Subsequent Year, which determination shall be made by Landlord based upon experience with actual costs and projections. At the first monthly Base Rent payment date following the submittal of such statement and at each succeeding monthly rent payment date thereafter during the Subsequent Year, Tenant shall pay to Landlord an amount equal to one-twelfth (1/12th) of the Increased Operating Costs. If Landlord does not submit said statement to Tenant prior to January 1 of any Subsequent Year, Tenant shall continue to pay Tenant's Share of the Increased Operating Costs at the then existing rate until such statement is submitted and thereafter, at the monthly Base Rent payment date next following the submittal of such statement Tenant shall pay Tenant's Share of the Increased Operating Costs based on the rate set forth in such statement plus, if the new rate is greater than the old rate, the difference accrued from January 1 of such Subsequent Year. Landlord may revise such estimated Increased Operating Costs at the end of any calendar quarter.
(ii) On or before March 31 of the second and each succeeding Subsequent Year or as soon thereafter as Landlord has sufficient data. Landlord shall submit to Tenant a reasonably detailed statement showing the actual Building Operating Costs paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Leaseprevious calendar year. Except as otherwise provided in the immediately following paragraph Tenant shall pay If Tenant's Percentage Share of the actual Increased Operating Costs ("is less than the amount of Tenant's Share of the estimated Increased Operating Cost Obligation") to Landlord within twenty (20) days from Costs for the date previous Subsequent Year theretofore paid by Tenant, Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices credit such difference against the next Increased Operating Costs payments coming due. If Tenant's Share of the real estate industry, consistently applied. Any year-end statement by Landlord relating to actual Increased Operating Costs (other is more than an invoice the amount of Tenant's Share of the estimated Increased Operating Costs for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein such previous Subsequent Year theretofore paid by giving notice to Landlord specifying each item contested and the reasons thereforTenant. Tenant shall pay to Landlord, as Additional Rent on Landlord the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, full amount or such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, difference at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, Base Rent payment date next following the total submittal of such monthly remittances is greater than statement to Tenant.
(iii) If the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account Expiration Date or the date of Operating Costs (or promptly refund such overpayment if the term earlier termination of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less other than December 31, the Operating Cost Obligation Costs for such Operating both the Base Year and the last Subsequent Year shall be prorated based on what the number of days in the Term in the last subsequent Year bears to 365; and any amounts owed or to be credited pursuant to Paragraph 4.3.2 shall be paid at the time in the last Subsequent Year or in the calendar year immediately following the last Subsequent Year, Tenant shall pay the difference that such amount is calculated pursuant to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearparagraph 4.3(ii).
Appears in 1 contract
Operating Costs. (1) Subject to the provisions of Paragraph (2) below, Tenant shall pay an amount (per each rentable square foot in the Premises) ("Additional Rent") equal to its Proportionate Share of the difference --------------- between the Operating Costs (defined below) for any calendar year after calendar year 1998 and the actual Operating Costs for the calendar year 1998 (the "Expense Stop"). Landlord may make a good faith estimate of the ------------ Additional Rent to be due by Tenant for calendar year 1999 and for any calendar year thereafter or part thereof during the Term, and Tenant shall pay to Landlord, as Additional Renton or after January 1, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof1999, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during thereafter, an amount equal to the term but otherwise in estimated Additional Rent for such calendar year or part thereof divided by the manner provided for number of months therein. From time to time, Landlord may estimate and re-estimate the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts Additional Rent to be sufficient due by Tenant and deliver a copy of the estimate or re-estimate to provide to LandlordTenant. Thereafter, the monthly installments of Additional Rent payable by Tenant shall be appropriately adjusted in accordance with the estimations so that, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year calendar year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Yearquestion, Tenant shall pay have paid all of the difference to Landlord within ten (10) days after being so notified Additional Rent as estimated by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage Any amounts paid based on such an estimate shall be modified during any subject to adjustment as herein provided when actual Operating Year Costs are available for each calendar year.
(2) Notwithstanding anything to the contrary contained herein, the Additional Rent due to a change hereunder shall not increase by more than 5% over the Additional Rent that was payable in the rentable area previous calendar year for increases in Operating Costs that are "controllable expenses", such as janitorial services, security or maintenance; however, no such limit shall apply to non-controllable costs, such as utilities, insurance, charges promulgated by government authorities, or any other cost or expense outside of the Building and/or the Premises or otherwise, as the case may be, then the amount control of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearLandlord.
Appears in 1 contract
Samples: Lease Agreement (Wells Real Estate Investment Trust Inc)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Tenant's Percentage of Landlord the Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property Operating Costs, as reasonably estimated by Xxxxxxxx from time to time. The initial monthly estimated payments shall be in any twelve-month period established an amount equal to 1/12th of the Initial Estimate of Operating Costs for the Calendar Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant, or credit against the next accruing payments to be made by Landlord (an "Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs for such year, Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Ibasis Inc)
Operating Costs. Tenant shall covenants to pay to Landlord, as Additional Rent, Landlord the Tenant's ’s Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any fiscal year of Landlord (“Landlord’s Fiscal Year”). Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the Landlord’s Fiscal Year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Xxxxxx’s Percentage of Operating Costs ("for the Landlord’s Fiscal Year. If, at the expiration of the year in respect of which monthly installments of Operating Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the actual Operating Costs for such year, Landlord shall promptly pay to Tenant's , or credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation") Costs for such year, Tenant shall pay the difference to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereofof the Operating Costs, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently appliedgenerally accepted accounting principles. Any year-end statement by Landlord relating to reimbursement for Operating Costs (other than an invoice for a monthly estimate) shall be final due and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Year.equitably prorated. This section shall survive the expiration or earlier termination of the Lease.
Appears in 1 contract
Samples: Office Lease (Desktop Metal, Inc.)
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "calendar year shall exceed Base Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Costs, Tenant shall pay reimburse Landlord, as additional rent, for Tenant's ’s Percentage of any such excess (such amount being hereinafter referred to as the “Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons thereforExcess”). Tenant shall pay remit to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rentmonth, estimated payments on account of Tenant's Operating Cost ObligationCosts Excess, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Yearthe calendar year, a sum equal to the Tenant's Operating Cost Obligation for such Operating YearCosts Excess, as reasonably estimated by Landlord from time to time during such Operating Yeartime. If, at the expiration of each Operating Year the year in respect of which monthly installments of Operating Cost Obligation Costs Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs Excess for such Operating Yearyear, Landlord shall promptly pay to Tenant, or credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of next accruing payments to be made by Tenant pursuant to this Lease has ended and Tenant has no further obligation to Landlord)subsection 4.2.3, the difference; if the total of such remittances is less than the Operating Cost Obligation Costs Excess for such Operating Yearyear, Tenant shall pay the difference to Landlord within ten thirty (1030) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area date Tenant receives from Landlord an itemized statement of the Building and/or the Premises or otherwiseOperating Costs Excess, as the case may beprepared, then the amount of Tenant's allocated and computed in accordance with generally accepted accounting principles. Any reimbursement for Operating Cost Obligation which may be Costs due and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated. This section shall survive the expiration or earlier termination of the Lease.
Appears in 1 contract
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord Tenant's Percentage Share of the Increased Operating Costs as follows:
(i) Landlord shall submit to Tenant, before January 1 of each Subsequent Year, or as hereinafter definedsoon thereafter as Landlord has sufficient data, a reasonably detailed statement showing the estimated Increased Operating Costs for such Subsequent Year, which determination shall be made by Landlord based upon experience with actual costs and projections. At the first monthly Base Rent payment date following the submittal of such statement and at each succeeding monthly rent payment date thereafter during the Subsequent Year, Tenant shall pay to Landlord an amount equal to one-twelfth (1/12th) of the Increased Operating Costs. If Landlord does not submit said statement to Tenant prior to January 1 of any Subsequent Year, Tenant shall continue to pay Tenant's Share of the Increased Operating Costs at the then existing rate until such statement is submitted and, thereafter, at the monthly Base Rent payment date next following the submittal of such statement Tenant shall pay Tenant's Share of the Increased Operating Costs based on the rate set forth in such statement plus, if the new rate is greater than the old rate, the difference accrued from January 1 of such Subsequent Year. Landlord may revise such estimated Increased Operating Costs at the end of any calendar quarter.
(ii) On or before March 31 of the second and each succeeding Subsequent Year or as soon thereafter as Landlord has sufficient data, Landlord shall submit to Tenant a reasonably detailed statement showing the actual Building Operating Costs paid or incurred by Landlord with respect to the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Leaseprevious calendar year. Except as otherwise provided in the immediately following paragraph Tenant shall pay If Tenant's Percentage Share of the actual Increased Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from is less than the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account amount of Tenant's Share of the estimated Increased Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, Costs for the previous Subsequent Year theretofore paid by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment difference against the next increased Operating Costs payments coming due. If Tenant's subsequent obligations on account Share of the actual Increased Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less more than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Share of the estimated Increased Operating Cost Obligation which may be payable Costs for such previous Subsequent Year theretofore paid by Tenant, Tenant as provided in shall pay to Landlord the full amount of such difference at the monthly Base Rent payment date next following the submittal of such statement to Tenant.
(iii) If the Expiration Date or the date of earlier termination of this subsection 4.2.2 Lease is other than December 31 the Operating Costs for both the Base Year and the last Subsequent Year shall be pro-rated on a daily basis prorated based on a 365 day Operating what the number of days in the Term in the last Subsequent Year bears to 365; and any amounts owed or to be credited pursuant to Paragraph 4.3.2 shall be paid at the time in the last Subsequent Year, or in the calendar year immediately following the last Subsequent Year, that such amount is calculated pursuant to Paragraph 4.3(ii).
Appears in 1 contract
Samples: Office Lease (U S Wireless Data Inc)
Operating Costs. (a) In addition to the Base Rent provided for in Paragraph 3 above, starting from the Commencement Date, Sublessee shall reimburse Ariba for all of the costs required to be paid by Ariba as the Tenant under the Master Lease, directly or indirectly, pursuant to Article 6 and Article 7 of the Master Lease (collectively, "Operating Costs").
(b) Sublessee shall pay Ariba the Operating Costs on demand, at intervals not more frequent than monthly, less the amount of any monthly estimated payments thereof made by Sublessee pursuant to the requirements of subparagraph 4(c) below. Such demand shall include copies of any statements furnished to Ariba by the Landlord.
(c) Ariba shall have the right from time to time to prepare reasonable estimates of the Operating Costs payable by Sublessee hereunder and to require, as Additional by written notice to Sublessee, that Sublessee pay such estimated amounts to Ariba, in monthly installments, in advance, together with Sublessee's payments of Base Rent, Tenant. All such monthly estimated payments shall be credited against the Operating Costs payable by Sublessee for the calendar year to which such monthly estimated payments pertain. In the event Sublessee's Percentage monthly estimated payments of Operating Costs (as hereinafter defined) paid or incurred for any calendar year are greater than the Operating Costs payable by Landlord with respect Sublessee for such calendar year, Sublessee shall be entitled to credit the Property in overpayment against any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage amounts next coming due from Sublessee hereunder, or, if such overpayment is of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from for the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated calendar year in which the Term ends and computed in accordance with then prevailing customs and practices no further estimated monthly payments of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) are due from Sublessee to Ariba, Ariba shall be final and binding upon Tenant unless it shall refund such overpayment to Sublessee within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's the Operating Cost Obligation which may be Costs payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearSublessee for such final calendar year has been determined.
Appears in 1 contract
Samples: Sublease (Ariba Inc)
Operating Costs. Tenant shall pay to LandlordIf, as Additional Rentduring the Term hereof, Tenant's Percentage of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to the Property in any twelve-month twelve-(12)-month period established by Landlord (an "“Operating Year"”) during shall exceed Base Operating Costs, Tenant shall reimburse Landlord for the term Tenant’s Percentage of this Leaseany such excess (such amount being hereinafter referred to as the “Operating Cost Excess”). Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's the Operating Cost Obligation") Excess to Landlord within twenty thirty (2030) days from the date Landlord shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, industry in the Market Area consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereofAt the election of Landlord, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term Term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost ObligationExcess, such monthly amounts to be payable in equal installments (subject to the next following sentence) and sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation Excess for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. Notwithstanding the foregoing, if during any Operating Year, Landlord reasonably determines that the estimated monthly installments payable by Tenant are materially inaccurate, then Landlord shall have the right to revise the estimated monthly installments payable by Tenant to Landlord on account of the Operating Cost Excess for such Operating Year; provided, however, that Landlord shall deliver written notice to Tenant of such revision and Landlord shall not exercise its right hereunder more than once in any Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation Excess shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation Excess for such Operating Year, Landlord shall credit such overpayment against Tenant's ’s subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term Term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation Excess for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In no event shall Tenant be entitled to receive any reimbursement or credit if Operating Costs for any Operating Year are less than Base Operating Costs. The obligations of Landlord and Tenant pursuant to this Subsection 4.2.2 with respect to the payment or credit of underpayments and overpayments shall survive the termination of this Lease. In the event that the Commencement Date shall occur or the term Term of this Lease shall expire or be terminated during any Operating Year or Tenant's ’s Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation Excess which may be payable by Tenant as provided in this subsection Subsection 4.2.2 shall be pro-rated prorated on a daily basis based on a 365 day three-hundred-sixty-five-(365)-day Operating Year.
Appears in 1 contract
Samples: Lease (Liquid Holdings Group, Inc.)
Operating Costs. Tenant shall have responsibility for performing all maintenance and repair obligations (other than Landlord's maintenance obligations set forth in Section 7) with respect to the Premises ("TENANT'S MAINTENANCE AND REPAIR OBLIGATIONS"). As long as Tenant is performing Tenant's Maintenance and Repair Obligations, Tenant shall have no liability to pay Landlord the Operating Costs (defined below) identified in Sections 4.(b)(G) - (H). Should Tenant fail or cease to perform Tenant's Maintenance and Repair Obligations, Tenant shall pay to Landlord the annual Operating Costs identified in Sections 4(b)(G)-(H). Except as set forth above, Tenant shall pay to Landlord the annual Operating Costs. Landlord may make a good faith estimate of Operating Costs to be due by Tenant for any calendar year or part thereof during the Term. During each calendar year or partial calendar year of the Term, Tenant shall pay to Landlord, as Additional in advance concurrently with each monthly installment of Basic Rent, Tenant's Percentage an amount equal to the estimated Operating Costs for such calendar year or part thereof divided by the number of months therein. From time to time, Landlord may estimate and re-estimate the amount of Operating Costs (as hereinafter defined) paid to be due by Tenant and deliver a copy of the estimate or incurred by Landlord with respect re-estimate to Tenant. Thereafter, the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage monthly installments of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from the date Landlord payable by Tenant shall furnish to Tenant an itemized statement thereof, prepared, allocated and computed be appropriately adjusted in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlordestimations so that, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year calendar year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Yearquestion, Tenant shall pay the difference to Landlord within ten (10) days after being so notified have paid all Operating Costs as estimated by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage Any amounts paid based on such an estimate shall be modified during any subject to adjustment as herein provided when actual Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating YearCosts are available for each calendar year.
Appears in 1 contract
Samples: Lease Agreement (Aviall Inc)
Operating Costs. Tenant During the term of this Sublease, Subtenant shall pay to Landlord, as Additional Rent, Tenant's Percentage Sublandlord an amount equal to 72.11% of the payments required to be made to the Master Landlord on account of Operating Costs (as hereinafter defineddefined in Section 5.2 of the Master Lease) paid or incurred by Landlord with respect to the Property in for any twelve-month period established by Landlord (an "Operating Year") of time during the term of this LeaseSublease Term hereof. Except as otherwise provided in the immediately following paragraph Tenant Subtenant shall pay Tenant's Percentage make estimated payments on account of Operating Costs ("Tenant's as reasonably estimated by Master Landlord for the period in question. Such payments shall be made in the fashion herein provided for the payment of Base Rent. The estimated payments on account of Operating Cost Obligation") Costs are intended to Landlord within twenty (20) days from be sufficient to provide Sublandlord, by the date Landlord shall furnish end of each year, a sum equal to Subtenant’s required payments for such year. At the commencement of the Term, and thereafter at the beginning of each calendar year, Sublandlord will deliver to Tenant an itemized statement thereof, prepared, allocated and computed in accordance with invoice showing the Sublandlord’s then prevailing customs and practices good faith estimate of the real estate industrymonthly payments to be paid by Subtenant on account of Operating Costs during such calendar year, consistently appliedas based upon the estimates required by Master Landlord (it being agreed that such invoice will be non-binding and without prejudice to any post-year end reconciliation provisions or obligations). Any Within a reasonable time after Sublandlord receives Master Landlord’s year-end statement of Operating Costs for the immediately preceding year, Sublandlord shall give Subtenant a notice of the amounts actually paid by Landlord relating Sublandlord for such year. If the sum of the estimated monthly payments already made by Subtenant for such preceding year exceed Subtenant’s actual required payment, as reflected on Sublandlord’s notice, Sublandlord shall credit the amount of overpayment against subsequent obligations of Subtenant with respect to Operating Costs (other or refund such overpayment if the Term of this Sublease has ended and Subtenant has no further obligation to Sublandlord); but if Subtenant’s required payments for such preceding year are greater than an invoice the estimated payments (if any) theretofore made on account thereof for a monthly estimate) such year, Subtenant shall be final and binding upon Tenant unless it shall pay to Sublandlord the amount necessary within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and of such. All obligations set forth herein shall survive the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the termination or expiration of each Operating Year in respect the Sublease Term. Without limitation of which monthly installments of Operating Cost Obligation any other rights hereunder, Subtenant shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account right to require that Sublandlord commence and pursue an audit of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 Section 5.2(k) of the Master Lease. Subtenant shall reimburse Sublandlord the actual out-of-pocket expenses paid in connection with such contest, and any proceeds, rebates, refunds or abatements shall be pro-rated on a daily basis based on a 365 day Operating Yearpaid (i) first to Subtenant to reimburse any costs and expenses so paid to Sublandlord, and then (ii) to Subtenant and Sublandlord according to the respective percentage shares initially paid by each. Without limiting any other remedy, the Subtenant shall have the right, subject to Section 2(d) above, to file and pursue such an audit in the name of Sublandlord’s name if Sublandlord fails to do so as provided herein.
Appears in 1 contract
Operating Costs. (a) Subject to Section 7.1 above, the Tenant shall pay to the Landlord’s reasonable estimate (based upon actual tax bills and premium invoices, as reasonably adjusted) of Operating Costs for each calendar year of the Term (the “Estimated Payment”) in advance, in monthly installments, commencing on the first (1st) day of the month following the month in which the Landlord notifies the Tenant of the amount it is to pay hereunder and continuing until the first (1st) day of the month following the month in which the Landlord notifies the Tenant of any revised Estimated Payment. The Landlord shall estimate from time to time the amount of the Operating Costs for each calendar year of the Term, make an adjustment to the Estimated Payment due for such calendar year and notify the Tenant of the revised Estimated Payment in writing. Within ten (10) days after the Tenant’s receipt of notice of such adjustment and the revised Estimated Payment, the Tenant shall pay the Landlord a fraction of such revised Estimated Payment for such calendar year (reduced by any amounts paid pursuant to the first sentence of this Section 7.5(a). Such fraction shall have as its numerator the number of months which have elapsed in such calendar year to the date of such payment, both months inclusive, and shall have twelve (12) as its denominator. All subsequent payments by the Tenant for such calendar year shall be based upon such adjustment and the revised Estimated Payment. In the event of any fractional calendar month, the Tenant shall pay for each day in such partial month a rental equal to 1/30 of the Estimated Payment.
(b) The Landlord shall deliver to the Tenant within a reasonable period of time after the end of each Fiscal Year a written statement or statements (the “Statement”) setting out the actual amount of Operating Costs, together with reasonable evidence thereof, and such other items of Additional Rent, Tenant's Percentage of together with reasonable evidence thereof, as the Landlord estimated in advance for such Fiscal Year. If the Operating Costs (as hereinafter defined) and other items of Additional Rent actually paid or incurred by Landlord with respect the Tenant to the Property in any twelve-month period established by Landlord (an "Operating during such Fiscal Year differs from the amount of the Estimated Payment payable for such Fiscal Year") during , the term of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from such difference or the date Landlord shall furnish to Tenant an itemized statement thereofcredit the Tenant’s account (as the case may be), preparedwithout interest, allocated and computed in accordance with then prevailing customs and practices of the real estate industry, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest the date of delivery of the Statement. Failure of the Landlord to render any item therein by giving notice Statement shall not prejudice the Landlord’s right to Landlord specifying each item contested and the reasons therefor. Tenant shall pay render such Statement thereafter or with respect to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating any other Fiscal Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, The Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (may render amended or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be payable by Tenant as provided in this subsection 4.2.2 shall be pro-rated on a daily basis based on a 365 day Operating Yearcorrected Statements.
Appears in 1 contract
Samples: Industrial Lease (Aqua Metals, Inc.)
Operating Costs. Tenant shall pay to Landlord, as Additional Rent, Landlord the Tenant's Percentage (as defined in Article 1 hereof) of Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect in any calendar year. Tenant shall remit to Landlord, on the first day of each calendar month, estimated payments on account of Operating Costs, such monthly amounts to be sufficient to provide Landlord, by the end of the calendar year, a sum equal to the Property in any twelve-month period established Operating Costs, as reasonably estimated by Landlord (from time to time. The initial monthly estimated payments shall be in an "Operating Year") during amount equal to 1/12th of the term Initial Estimate of this Lease. Except as otherwise provided in the immediately following paragraph Tenant shall pay Tenant's Percentage of Operating Costs ("Tenant's Operating Cost Obligation") to Landlord within twenty (20) days from for the date calendar year. Following the end of each calendar year, including the first calendar year, Landlord shall furnish deliver to Tenant an itemized a reasonably detailed statement thereofof the Operating Costs payable under this Section 4.2.3 for such calendar year, prepared, allocated and computed in accordance with then prevailing customs and practices of generally accepted accounting principles (the real estate industry, consistently applied. Any year-end statement by Landlord relating to "Annual Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlord, as Additional Rent on the first day of each calendar month during the term but otherwise in the manner provided for the payment of Annual Fixed Rent, estimated payments on account of Tenant's Operating Cost Obligation, such monthly amounts to be sufficient to provide to Landlord, by the end of each Operating Year, a sum equal to the Tenant's Operating Cost Obligation for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating YearStatement"). If, at the expiration of each Operating Year the calendar year in respect of which monthly installments of Operating Cost Obligation Costs shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's actual Operating Cost Obligation Costs for such Operating Yearcalendar year, Landlord shall credit against the next accruing payments to be made by Tenant pursuant to this subsection 4.2.3, the difference, unless Tenant requests in writing that Landlord pay any such overpayment against difference to Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation Costs for such Operating Yearcalendar year, Tenant shall pay the difference to Landlord within ten twenty (1020) days after being so notified by Landlordfrom the date Landlord furnishes to Tenant the Annual Operating Statement. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Any reimbursement for Operating Year or Tenant's Percentage shall be modified during any Operating Year Costs due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may be, then the amount of Tenant's Operating Cost Obligation which may be and payable by Tenant as provided in this subsection 4.2.2 with respect to periods of less than twelve (12) months shall be pro-rated on a daily basis based on a 365 day Operating Yearequitably prorated.
Appears in 1 contract
Samples: Lease (Acme Packet Inc)
Operating Costs. With reference to the Operating Costs described in this Section 2.2, it is agreed as follows:
a) Commencing on the date hereof, Tenant shall pay to the Landlord, as additional rent, monthly, in advance, during the first lease year, one-twelfth (1/12) of Tenant's proportionate share, of Landlord's good faith estimate of calendar year 1995 actual (adjusted to reflect a full year's operations) Controlled Operating Costs for the Property, but in no event more than $2.82 per rentable square foot for calendar year 1995. Commencing January 1, 1996, Tenant shall pay to Landlord, as Additional Rentadditional rent, monthly, in advance, during the balance of the lease term, 1/12 of Tenant's Percentage proportionate share of Landlord's good faith estimate of the Controlled Operating Costs (as hereinafter defined) paid or incurred by Landlord with respect to for the Property in any twelve-month period established by Landlord (an "Operating Year") during the term of this Leasefor such lease year. Except as otherwise provided in the immediately following paragraph Tenant shall pay receive by March 31 following each lease year a statement summarizing the actual Controlled Operating Costs in reasonable detail for such lease year. If the total amount of estimated Controlled Operating Costs actually received by the Landlord from the Tenant for any lease year shall be less than Tenant's Percentage proportionate share of the actual Controlled Operating Costs ("Tenant's Operating Cost Obligation") to Landlord for such lease year, then the amount of such difference shall be payable by the Tenant within twenty (20) days of receipt of the annual statement summarizing Operating Costs. If the total amount of the estimated Controlled Operating Costs actually received by the Landlord from the date Tenant for any lease year shall be greater than Tenant's proportionate share of the actual Controlled Operating Costs for such lease year, then the Landlord shall furnish pay to the Tenant an itemized within twenty (20) days following receipt by Tenant of such statement thereof, prepared, allocated the amount of such excess. The obligations of Landlord and computed in accordance Tenant with then prevailing customs and practices respect to the adjustment of Controlled Operating Costs shall survive the termination or expiration of the real estate industryterm.
b) Commencing on the date hereof, consistently applied. Any year-end statement by Landlord relating to Operating Costs (other than an invoice for a monthly estimate) shall be final and binding upon Tenant unless it shall within thirty (30) days after receipt thereof, contest any item therein by giving notice to Landlord specifying each item contested and the reasons therefor. Tenant shall pay to Landlordthe Landlord as additional rent, as Additional Rent on the first day of each calendar month monthly, in advance, during the term but otherwise in the manner provided for the payment Lease term, installments of Annual Fixed Rent, estimated payments on account Landlord's good faith estimate of Uncontrolled Operating Costs equal to one-twelfth (1/12) of Tenant's proportionate share of such estimated Uncontrolled Operating Cost Obligation, Costs for such monthly amounts to be sufficient to provide to Landlord, year. Tenant shall receive by March 31 following each lease year a statement summarizing the actual Uncontrolled Operating Costs in reasonable detail for such lease year. If the total amount of estimated Uncontrolled Operating Costs actually received by the end of each Operating Year, a sum equal to Landlord from the Tenant for any lease year shall be less than Tenant's proportionate share of the actual Uncontrolled Operating Cost Obligation Costs for such Operating Year, as reasonably estimated by Landlord from time to time during such Operating Year. If, at the expiration of each Operating Year in respect of which monthly installments of Operating Cost Obligation shall have been made as aforesaid, the total of such monthly remittances is greater than the Tenant's Operating Cost Obligation for such Operating Year, Landlord shall credit such overpayment against Tenant's subsequent obligations on account of Operating Costs (or promptly refund such overpayment if the term of this Lease has ended and Tenant has no further obligation to Landlord); if the total of such remittances is less than the Operating Cost Obligation for such Operating Year, Tenant shall pay the difference to Landlord within ten (10) days after being so notified by Landlord. In the event that the Commencement Date shall occur or the term of this Lease shall expire or be terminated during any Operating Year or Tenant's Percentage shall be modified during any Operating Year due to a change in the rentable area of the Building and/or the Premises or otherwise, as the case may belease year, then the amount of Tenant's Operating Cost Obligation which may such difference shall be payable by the Tenant as provided in this subsection 4.2.2 within twenty (20) days of receipt of the annual statement summarizing actual Uncontrolled Operating Costs. If the total amount of the estimated Uncontrolled Operating Costs actually received by the Landlord from the Tenant for any lease year shall be pro-rated on a daily basis based on a 365 day greater than Tenant's proportionate share of actual Uncontrolled Operating YearCosts for such lease year, then the Landlord shall pay to the Tenant within twenty (20) days following receipt by Tenant of such statement the amount of such excess. The obligations of Landlord and Tenant with respect to the adjustment of Uncontrolled Operating Costs shall survive the termination or expiration of the term.
c) As used herein, estimated Controlled Operating Costs and estimated Uncontrolled Operating Costs shall be adjusted to reflect 100% occupancy for twelve (12) months, for the immediately preceding lease year.
d) For the purposes of this Article,
Appears in 1 contract