Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar years.
Appears in 2 contracts
Samples: Lease Agreement (In8bio, Inc.), Lease Agreement (In8bio, Inc.)
Operating Costs. (a) In each year of the Term, the Tenant will pay to the Landlord and Tenant agree that in addition to the Base Minimum Rent set out specified in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs Paragraph 4 hereof, as further additional rent, ninety percent (as defined below90%) for calendar year 2023 (the “Base YearTenant’s Share”) of (i) the Landlord’s total costs and expenses in insuring the Building pursuant to Paragraph 9(d) hereof; and, (ii) real property taxes (including school taxes and local improvement rates) and all business and other taxes, if any, from time to time payable by the Landlord which are estimated levied or assessed or allocated by the Landlord pursuant to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge TenantParagraph 8(c)(ii) hereof, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) against or in respect of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 Leased Premises and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and Facilities, or against the grounds Landlord on account of which its ownership thereof.
(b) The amounts payable by the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith Paragraph 10 may be estimated by the Landlord for such period or periods as the Landlord may determine from time to time, and applicable the Tenant shall pay to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales Landlord the Tenant’s Share as so estimated of such amounts in monthly instalments in advance during such period together with all other rental payments provided for in this Lease. Notwithstanding anything contained in this subparagraph (b) to the contrary, at such time as the Landlord expends any money or use taxes on supplies incurs any charges or services; costs of all supplies, tools, equipment, materials and replacements used expenses in the operation, management, repair, maintenance and access control respect of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, repairing, replacing or repairing administering the BuildingBuilding and the Common Areas and Facilities thereof, pursuant to Paragraph 10(a) hereof, or, as soon as bills for all or any portion of the amounts so estimated by the Landlord, as aforesaid, are received, the Landlord may thereafter xxxx the Tenant for the Tenant’s Share thereof (less all amounts previously paid by the Tenant on the basis of the Landlord’s estimate aforesaid, which have not already been so applied) and the Tenant shall forthwith pay to the Landlord upon demand such amounts so expended or billed, as additional rent. At the end of the period for which such estimated payments have been made, the Landlord shall deliver to the Tenant a statement of the actual amounts and costs referred to in this Paragraph 10 and the determination of the Tenant’s Share thereof, and if necessary, an adjustment shall be made between the parties hereto. If any Building expense, though the Tenant shall have paid in one yearexcess of such actual amounts, relates to more than one calendar year, at the option excess shall be refunded by the Landlord within a reasonable period of time after delivery of the said statement. If the amount the Tenant has paid is less than such actual amounts, the Tenant agrees to pay to the Landlord any such expense may be proportionately allocated among such related calendar yearsextra amount or amounts with the next monthly payment of Minimum Rent.
Appears in 2 contracts
Samples: Combination Agreement (Fenix Parts, Inc.), Combination Agreement (Fenix Parts, Inc.)
Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, includes all costs incurred by Landlord and disbursements of every kind and nature, relating to or incurred or paid its Property Manager in connection with owningoperating, managing, marketingrepairing and maintaining the Common Facilities, maintainingincluding without limitation: gardening and landscaping; the cost of public liability, landscapingproperty damage and other Insurance carried by Landlord and its Property Manager and applicable to the Common Facilities, repairingincluding any deductibles thereunder; Real Property Taxes applicable to the Common Facilities; utilities for the Common Facilities; line painting and parking lot repairs; roof repairs; lighting for the Common Facilities; trash and refuse removal for the Common Facilities; supplies; equipment; exterior painting; capital improvements; provided that capital improvements amortized over useful life as reasonably determined by Landlord; the costs of altering, improving, renovating, upgrading or retrofitting any portion of the Common Facilities to comply with all laws, regulations and operating governmental requirements applicable to the Center put into effect or interpreted differently after the Commencement Date (including without limitation those related to disabled persons, hazardous materials, lighting upgrades, sprinkler and energy-saving retrofits); security service; property management costs (not to exceed 4% of revenues) and administrative fees; bookkeeping services; labor; and the cost of personnel to implement such services and to direct parking. In lieu of including the entire amount of any such expense in Operating Costs in any one period, Landlord, at its election, may spread the inclusion of, or may amortize, any such expenses, in Operating Costs over such multiple periods as Landlord shall determine; provided; however, that any item included in Operating Costs which is capital in nature will be amortized over its useful life as reasonably determined by Landlord. Notwithstanding anything above to the contrary, Operating Costs shall not include (1) the cost of providing any service directly to and paid in full directly by any single tenant other than Tenant (outside of such tenant’s Operating Cost payments); (2) the cost of any items to the extent Landlord is reimbursed by insurance proceeds (except for deductibles), condemnation awards, a tenant of the Building, or otherwise to the parking areasextent so reimbursed; (3) any real estate brokerage commissions or other costs incurred in procuring tenants, or any fee in lieu of commissions; (4) ground lease payments (if any); (5) costs incurred by Landlord caused solely by the Common Areas and the grounds of which the Premises are a part (but exclusive violation by Landlord of the Premises itself unless otherwise provided herein) terms and the personal property used in conjunction therewith, except for conditions of any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions lease of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant space in the Building; payments made under (6) Landlord’s general corporate overhead not attributable to the Center; (7) bad debt expenses and interest, principal, points and fees on debts or amortization on any maintenance and service contracts for the HVACground lease, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and mortgage or mortgages or any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of debt instrument encumbering the Building (including steam cleaning the real property on which the Building is situated); (8) costs, including permit, license and inspection costs, incurred with respect to the installation of other tenants’ or sandblasting thereof occupants’ improvements made for tenants or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and occupants in the Building of or incurred in renovating or otherwise improving, decorating, painting or redecorating vacant space for tenants or other occupants in the Building unless improvements to the Building or Common Areas are required; (9) any costs expressly excluded from Operating Costs elsewhere in this Lease; (10) expenses in connection with services or other benefits which are not offered to Tenant; (11) electric power costs to any individual premises in the Building or other utility costs for any individual premises which any tenant directly contracts with the local public service company; (12) any insurance deductible payable for a covered loss in which the Premises are a part, but which do not exclusively serve one casualty covered by such insurance was caused solely by the negligence or willful misconduct of another tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance occupant of the Building Center; (13) marketing costs, including leasing commissions and so-called fringe benefitsattorneys’ fees in connection with the negotiation and preparation of letters, deal memos, letters of intent, leases, subleases and/or assignments, space planning costs, and other costs and expenses incurred in connection with lease, sublease and/or assignment negotiations and transactions with present or any prospective tenants or other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance occupants of the Building; the charges (14) costs (including in connection therewith all attorneys’ fees and costs of any independent contractor who under contract settlement, judgments and/or payments in lieu thereof) arising from claims, disputes or potential disputes in connection with the Landlord potential or Agent does any actual claims, litigation or arbitrations pertaining to another tenant of the work of operating or maintaining the Building; the and (15) costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option future expansion of the Landlord such expense may be proportionately allocated among such related calendar yearsBuilding or Center.
Appears in 2 contracts
Samples: Standard Industrial Net Lease (Mabvax Therapeutics Holdings, Inc.), Standard Industrial Net Lease (Mabvax Therapeutics Holdings, Inc.)
Operating Costs. Landlord and Tenant agree that (a) During each calendar year or part thereof subsequent to the Base Rent set out Expense Year, Lessee shall pay to Lessor as additional Rent, in Article 3 is accordance with Section 8.3 hereof, Xxxxxx's Proportionate Share of the minimum rental to be paid by Txxxxx. Base Rent includes the total dollar increase, if any, in all Operating Costs (as defined below) for such calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of for the Base Expense Year, as determined during the Term with respect . During each tax year (July 1 through June 30) or part thereof subsequent to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Tax Year (eachending June 30, an “Increase”). For the purposes of this LeaseLessee shall pay to Lessor as additional Rent, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting Section 8.3 hereof, Lessee's Proportionate Share of the total dollar increases, if any, in all Real Estate Taxes for such tax year over the Real Estate Taxes for the Base Tax Year. Lessee's Proportionate Share shall be calculated on the basis of the greater of (i) actual Operating Costs; or (ii) as if the Complex were at least ninety-five percent (95%) occupied and management principles would be considered as an expense operational for the whole of maintaining, operating, or repairing the Building. such Lease Year.
(b) If any Building expenseLease Year of less than twelve (12) months is included within the Term, though paid the amount payable by Lessee for such period shall be prorated on a per diem basis (utilizing a three hundred sixty (360) day year).
(c) Lessor shall exercise good faith efforts to equitably allocate those Operating Costs that are incurred for the direct benefit of specific types of lessees or users in one yearthe Complex to and among those specific lessees and/or users ("Cost Pools"). Such Cost Pools may include, relates to more than one calendar yearbut shall not be limited to, at the option office and showroom space, the second
13. floor Atrium, the lower level exhibition hall, and any retail space lessees of the Landlord Complex. Lessor's determination of such expense may allocations shall be proportionately allocated made in a manner consistent with the terms and conditions of this Section 8.2(c) and shall be subject to reconciliation per Section 8.3(c). Lessee acknowledges that the allocation of Operating Costs among such related calendar yearsCost Pools does not affect all Operating Costs and is limited to specific items which Lessor determines, in good faith, should be shared among the lessees and/or users of a certain Cost Pool.
Appears in 1 contract
Samples: Lease Agreement (Linuxcare Inc)
Operating Costs. A. The term, “Operating Costs,” means the actual, reasonable costs and expenses required of Landlord pursuant to this Lease which are incurred by Landlord during the Lease Term with respect to the operation, maintenance, management and Tenant agree that repair of the Property, including, but not limited to: (i) any Landlord Repairs of the Property performed by Landlord pursuant to Section 13.03 of this Lease below; (ii) a management fee equal to 1.5% of the Base Monthly Rent set out in Article 3 is owed Landlord; and (iii) the minimum rental cost of all insurance required to be paid by TxxxxxLandlord with respect to the Premises pursuant to this Lease. Base Rent includes Notwithstanding the foregoing, Operating Costs will not include: (as defined belowa) any costs which, under generally accepted accounting principles, consistently applied, are of a capital nature (including rental costs for calendar year 2023 equipment and services that would be considered capital in nature) (the a “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional RentCapital Cost”), Txxxxx’s Share except as set forth in Section 5.02A(2), (as defined at b) any costs incurred by Landlord in the end performance of the Landlord Work, (c) any costs incurred by Landlord by reason of any breach of this Article 31) Lease by Landlord (including any of Landlord’s representations and warranties contained herein), or the increase in Operating Costs negligence or intentional misconduct of Landlord or its agents, invitees, representatives, employees, directors, officers, shareholders, Affiliates, consultants, independent contractors, successors and assigns (as defined below) over the Operating Costs of the Base Yearcollectively, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “IncreaseLandlord Parties”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance violation of the Building; the charges of any independent contractor who under contract with the Requirements by Landlord or Agent does any of the work of operating or maintaining the Building; the Landlord Party, (d) any costs and expenses incurred by Landlord in connection with the maintenanceperformance of its warranty obligations described in Article 2 hereof, operation (e) costs of repairs, restoration, replacements or other work occasioned by fire or other casualty or an insurable nature, or the exercise by governmental or quasi-governmental entities of the right of eminent domain, (f) interest and repair amortization of funds borrowed by Landlord, or rent under any common facilitiesground lease or master lease entered into by Landlord, including roadways(g) costs, private drivewaysfines, plaza areaspenalties or fees incurred due to Landlord’s failure to make any payment when due (except as set forth in Section 5.02A(1)), walkways(h) costs incurred for any items to the extent covered by any warranty, utility lines(i) the costs of items provided by Affiliates of Landlord to the extent that such costs exceed reasonable and customary charges for such services and Tenant acknowledges that the 1.5% management fee set forth above is reasonable, pipes(j) costs in the nature of indemnification obligations of Landlord or any Landlord Party, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds k) costs of real estate taxes, complying with Landlord’s obligations under Section 7.05 hereof or any other costs or expenses incurred in connection with the remediation of any Hazardous Waste (including any cost or expense incurred in connection with any government investigation, order, proceeding or chargereport with respect thereto), whether (l) leasing commissions, (m) costs and expenses (including court costs, attorneys’ fees and disbursements) related to or not hereinbefore mentionedin connection with disputes with any holder of a mortgage or by or among any persons having an interest in the Landlord or the Premises, which (n) costs incurred in accordance connection with generally accepted accounting and management principles would be considered as an expense a sale, lease or transfer (including testamentary transfers) of maintaining, operatingall or any part of the Premises or any interest therein, or repairing of any interest in Landlord, or in any person comprising, directly or indirectly, Landlord or in any person having an equity interest, directly or indirectly in Landlord, (o) the Building. If cost of any Building expense, though paid “tap fees” or one-time lump sum sewer or water connection fees for the Property payable in one year, relates to more than one calendar year, at connection with the option initial construction of the Property, (p) all costs and expenses (including utilities) payable directly by Tenant, (q) costs and expenses incurred by Landlord such associated with the operation of the business of the legal entity or entities which constitute Landlord (as opposed to operation of the Premises), (r) property management fees in excess of 1.5% of the Base Monthly Rent owed Landlord, (s) Real Property Taxes, or (t) any other cost or expense may be proportionately allocated among such related calendar years.which is not normal and customary operating expense in comparable buildings in the Las Vegas, Nevada metropolitan area. Tenant shall also pay as a part of Operating Costs (I) the expenses attributable to the Land and payable under that certain Reservation of Easements and Declaration of Restrictive Covenants For Fire Equipment and Other Facilities dated as of the date hereof and (II) Tenant’s share of the expenses attributable to the Land payable under that certain Reciprocal Grant of Easement with Covenants and Restrictions Affecting Land dated February 12, 2003 and recorded February 18, 2003 in Book 20030218 as Document No. 01839 in the official records of Cxxxx County, Nevada (the “Existing Declaration”). Notwithstanding the foregoing:
Appears in 1 contract
Samples: Standard Industrial Lease (CDW Corp)
Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined belowA) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx TENANT agrees to pay, pay as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at rent during the end term of this Article 31) Lease upon receipt of the increase in Operating Costs (as defined below) over the Operating Costs written notice, together with copies of the Base Yearpaid bills, as determined during the Term with respect to each calendar year commencing on January 1 from LANDLORD, fire and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premisesliability insurance premiums; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation repair and maintenance of the Building parking lot, and so-called fringe benefitssidewalks as specified in Section 9, real property taxes and assessments as outlined in Section 11; and administrative expenses in an amount equal to 5% of the operating expenses paid by LANDLORD, together with a "Late Charge" of 5% per month if the additional rent is not received by the 30th day from the invoice date.
(B) TENANT shall have the right, at its own cost and expense (except as provided below), to audit or inspect LANDLORD's records with respect to the operating costs and real property taxes, as well as all other additional rent payable by TENANT hereunder for any Lease Year. TENANT shall give LANDLORD not less than thirty (30) days prior written notice of its intention to conduct any such audit. LANDLORD shall cooperate with TENANT during the course of such audit, which shall be conducted during normal business hours in LANDLORD's office. LANDLORD agrees to make such personnel available to TENANT as is reasonably necessary for TENANT, or any other cost for TENANT's employees or agents to conduct such audit. If such audit discloses that the amount paid by TENANT as TENANT's operating expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of and/or real estate taxes, or of other additional rental payable by TENANT hereunder, has been overstated by more than three and one half percent (3.5%), then, in addition to immediately repaying such overpayment to TENANT with interest, LANDLORD shall also pay the reasonable costs incurred by TENANT in connection with such audit.
(C) Notwithstanding anything to the contrary in the Lease, operating costs shall not include (1) any other expense or chargecosts of items considered capital repairs, whether or not hereinbefore mentionedreplacements, which in accordance with improvements and equipment under generally accepted accounting principles consistently applied or otherwise or (2) costs incurred in connection with upgrading the Building and/or parking areas to comply with the current interpretation of disability, life, fire and management principles would be considered as an expense of maintainingsafety codes, operatingordinances, statutes, or repairing other laws, including, without limitation, the Building. If any Building expenseADA, though paid in one year, relates and including penalties or damages incurred due to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar yearsnon-compliance.
Appears in 1 contract
Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental LESSEE shall pay to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, LESSOR as additional rental rent a proportionate share (“Additional Rent”), Txxxxx’s Share (as defined at based on square footage leased by LESSEE compared with the end square footage of this Article 31all premises to which such costs and expenses are attributable) of the any increase in Operating Costs (as defined belowx) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs aggregate of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord LESSOR in connection with the operation, maintenance, operation insurance and repair management of the building of which the leased premises are a part (hereinafter the "Operating Costs"), over (y) the "Base Operating Costs" (as hereinafter defined). Operating Costs shall include a reasonable annual charge-off of the cost of any common facilitiescapital repairs or improvements made by LESSOR for the building or the leased premises during the term of this lease and which are for the purpose of reducing Operating Costs, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and schedule for which shall be based on the Premises useful life (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with under generally accepted accounting and management principles would principles, consistently applied) of the repair or improvement, provided that no such capital repairs or improvements made prior to the fifth anniversary of the Commencement Date shall be considered as included in Operating Costs. In the event that during any calendar year (or part thereof) occurring during the Term, the building has an expense annual occupancy rate of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more less than one hundred percent (100%), for purposes hereof, any Operating Costs that vary with the level of occupancy of the building with respect to such calendar year (or part thereof) shall be extrapolated as though the annual occupancy rate were one hundred percent (100%) for such calendar year (or part thereof). LESSEE shall make payment within thirty (30) days of written notice from LESSOR that such increased Operating Costs are payable, and any additional rent shall be prorated should the lease terminate before the end of any calendar year. LESSEE shall make such payments on account of Operating Costs, at the option of LESSOR, on a monthly basis on the Landlord days on which the rent under Paragraph 1 of this lease is payable, in amounts reasonably estimated by LESSOR. Notwithstanding anything to the contrary contained in this Section 5, Operating Costs shall not include any capital expenditures arising out of or resulting from (i) defective work, construction or materials by or on behalf of LESSOR, (ii) the failure of LESSOR to perform any scheduled maintenance or service, or (iii) the gross negligence or willful misconduct of LESSOR or its agents, employees, or contractors. Management fees incurred in favor of related entities shall not exceed market rates (and in no event exceed four percent (4%) of the actual gross rent from the building, whether or not such expense may fee is actually paid), nor shall Operating Costs include the following:
a) Costs billed to another tenant;
b) Costs of repairs or replacements resulting from casualty losses that would be proportionately covered under a standard "all-risk" or "special form" policy of casualty insurance (but any deductible will be included, up to $10,000), or eminent domain takings, to the extent of the settlement or award proceeds;
c) Depreciation or amortization of the building, lot or any part thereof or improvements thereto;
d) Principal or interest payments on loans secured by mortgages on the Property;
e) Replacement or contingency reserves;
f) Ground lease rents or payments of any fees relating to leasing, financing or other services;
g) Brokerage commissions and legal fees payable by LESSOR for or with respect to new leases for the Building;
h) Legal or professional fees relating to new leasing or financing;
i) Promotional, advertising or public relations expenses;
j) Services provided for a particular tenant (other than LESSEE) and not tenants in general;
k) Any costs or expenses relating to (1) any breach by LESSOR of its obligations hereunder, or (2) the compliance with any applicable laws, rules, orders, regulations, ordinances, permits or approvals in effect as of the date of this Lease;
l) Any costs or expenses relating to environmental remediation unless the need for such remediation arose as a result of the negligent act or omission of LESSEE or LESSEE's agents, employees or contractors (in which case LESSEE shall be solely liable for such costs or expenses);
m) Any costs or expenses reimbursed to LESSOR by tenants or third parties, including without limitation, costs of convenience electricity (lights and plugs) supplied to other tenants of the Building;
n) Any costs or expenses relating to any in-Building food service facilities; and
o) Compensation, fringe benefits, insurance premiums and payroll taxes of any person not engaged in such operation, management or maintenance work at the Building on a full-time basis (but such expenses shall be ratably allocated among such related calendar yearsto Operating Costs based on the time devoted to the Building) or other administrative overhead or profit increment fees and costs paid by LESSOR to itself (or to its affiliates or subsidiaries) except the management fee referred to herein.
Appears in 1 contract
Samples: Commercial Lease (Palomar Medical Technologies Inc)
Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the shall pay Lessor, as Additional Rent, Tenant’s Pro Rata Share of Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending during the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”)Term. For the purposes of this Lease, the phrase “Operating Costs” shall include the following expenses, be all costs and disbursements of every kind and nature, relating to which Lessor may pay or incurred or paid incur in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and Property, which costs are defined to include, but shall not be limited to:
(i) All non-capital expenditures incurred in the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewithmanagement, except for any expenses in maintainingmaintenance, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance service, and replacement of the ventilationProperty, heating the Common Areas, and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, including, without limitation, the Building following: management fees equal to four percent (4%) of the Minimum Rent hereunder; fire and building alarm monitoring services; fire sprinkler inspections: cleaning and janitorial services; snow removal, landscaping and grass cutting; parking lot upkeep, resealing and restriping; all utilities not otherwise dealt with elsewhere herein; and all necessary repairs and maintenance to the Property and the equipment elements, systems, and components thereof. Tenant shall provide and pay for its own garbage collection;
(ii) The cost of all insurance, including, but not limited to: fire; casualty; umbrella policy; liability and rent loss insurance applicable to the Building, Common Areas, Property, and Lessor’s personal property used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any such other insurance carried in good faith as may from time to time be determined by the Landlord and applicable Lessor to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales be necessary or use taxes on supplies appropriate, or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated from time to time may be required by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, Lessor’s lender or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged holder of a mortgage interest in the managementProperty. Tenant’s Pro Rata Share of Operating Costs shall be paid by Tenant at the following times and in the following manner: On the first day of each month during the Term, operation and maintenance Tenant shall pay to Lessor a sum equal to one-twelfth (1/12) of Lessor’s estimate of Tenant’s Pro Rata Share of Operating Costs for the calendar year; within thirty (30) days after the end of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option difference between the estimated and actual Operating Costs shall be determined and adjusted between Lessor and Tenant, as appropriate. For calendar years in which this Lease commences or terminates, the provisions of this section shall apply, but Tenant’s liability for its Pro Rata Share of Operating Costs shall be subject to a pro rata adjustment, based upon the Landlord number of days of said calendar year during which the Term is in effect. This Lease is intended to be a net lease, and notwithstanding any law, all Rents and other sums payable under this Lease by Tenant whether as Rents or otherwise shall be paid without offset, counterclaim, abatement or defense, and this Lease shall not be subject to termination by Tenant by reason of any cause whatsoever unless such expense may be proportionately allocated among such related calendar yearsright to terminate is expressly set forth in this Lease.
Appears in 1 contract
Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” " shall include the following mean any --------------- expenses, costs and disbursements (other than Taxes) of every kind and nature, relating to paid or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the ownership, leasing, management, maintenance, operation and repair of all or any common facilitiespart of the Project (adjusted for vacancy as hereafter provided) and of the personal property, including roadwaysfixtures, private drivewaysmachinery, plaza areasequipment, walkwayssystems and apparatus located in the Project or used in connection therewith. Operating Costs shall not include (a) costs of alterations of tenant premises; (b) costs of capital improvements, utility linesexcept for any capital improvements which are intended to reduce Operating Costs, pipesand any capital improvements which Landlord is required to make pursuant to, wiresor which Landlord shall deem necessary to keep the Project in compliance with, cables all applicable governmental rules and regulations applicable from time to time to the Project (the foregoing capital improvements that are included within Operating Costs are collectively referred to herein as the "Included Capital Items"), provided that the cost of such Included Capital Items shall be evenly amortized by Landlord over the useful life of such Included Capital Item and such amortized costs are only included in Operating Costs under this Lease for that portion of the useful life of the Included Capital Item which falls within the Term; (c) depreciation (except on any Included Capital Items); (d) interest and principal payments on mortgages or any rental payments on any ground or other underlying leases subject to which Landlord holds its interest in the Project (hereinafter, referred to individually as a "Ground Lease" and collectively as "Ground Leases"), and other utility facilitiesdebt costs, retention facilitiesif any; (e) real estate brokers' leasing commissions or compensations; (f) any cost or expenditure (or portion thereof) for which Landlord is reimbursed, storm whether by insurance proceeds or otherwise (Operating Cost Share Rent and sanitary sewersTax Share Rent provided for in any tenant leases are not reimbursements); (g) the cost of any kind of service furnished to any other office tenant of the Project which Landlord does not make available to Tenant hereunder; (h) executives' salaries above the grade of building manager; (i) legal and auditing fees which are for the benefit of Landlord such as collecting delinquent rents and enforcing tenant leases, culverts, drains, headwalls, manholes preparing partnership returns and related equipment, parking, grounds and landscapingother partnership financial statements, and shared hallwaysaudits other than those incurred in connection with the preparation of statements required pursuant to Section 2B above; and (j) legal fees, lobbiesspace planner fees, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, brokers' leasing commissions and advertising expenses incurred with regard to leasing the Building or portions thereof. If during all or any other expense or chargeportion of any fiscal year the Project is not fully rented and occupied by tenants, whether or not hereinbefore mentionedLandlord may elect to make an appropriate adjustment (an "Equitable Adjustment") of Operating Costs for such fiscal year, which in accordance with generally accepted employing sound accounting and management principles principles, to determine the Operating Costs that would have been paid or incurred by Landlord had the Project been fully rented and occupied for the entire fiscal year, and the amount so determined shall be deemed to have been the Operating Costs for such fiscal year. The foregoing process illustrated by the following hypothetical which assumes (i) the Building has ten floors; (ii) the Tenant occupies one floor and therefor, Tenant's Proportionate Share is ten percent (10%); (iii) the other nine floors are vacant; (iv) the cost of providing a particular service for Tenant's floor is $1,000. If Tenant were to pay Tenant's Proportionate Share of the cost of such service for the Building it would pay $100. Instead, Landlord shall estimate the cost of such service for the Building if it were one hundred percent (100%) occupied. If there would be considered as an expense any savings in the variable costs per floor of maintainingproviding the service because such service would be provided for all ten floors, operatinginstead of one floor, or repairing the Buildingthese should be taken into account by Landlord in making its estimate. If any Building expensesome savings would exist, though paid in one year, relates to more than one calendar year, at the option estimate of the Landlord would be an amount that is less than the amount obtained by multiplying the number of floors in the Building by the cost of providing such expense may service to one floor (10 x $1000); for example, $9,000. The amount of Landlord's estimate ($9,000) less the actual cost incurred by the Landlord in providing the service ($1000) would equal the Equitable Adjustment ($8000). The Equitable Adjustment would be proportionately allocated among added to the accrual cost and Tenant would then pay Tenant's Prorata Share of this amount, that is, Tenant would pay $9,000 times 10%, which equals $900. If Landlord is not furnishing any particular work or service (the cost of which if performed by Landlord would constitute an Operating Cost) to a tenant who has undertaken to perform such related calendar yearswork or service in lieu of the performance thereof by Landlord for all or any portion of a fiscal year, Operating Costs for such fiscal year shall be deemed to be increased by an amount equal to the additional Operating Costs which reasonably would have been incurred during such fiscal year by Landlord if it had, at its own expense, furnished such work or service to such tenant. Notwithstanding anything contained herein to the contrary, the provisions of this Section 2C(2) with respect to an Equitable Adjustment of Operating Costs for vacancy, or as a result of the performance by tenants of certain services, shall apply only to Operating Costs which are variable and which increase as occupancy in the Project increases and shall not apply to any Operating Costs which do not vary with the amount of occupancy in the Project.
Appears in 1 contract
Samples: Lease (Open Port Technology Inc)
Operating Costs. Landlord and Tenant agree that Notwithstanding anything set forth in Section 6.3 to the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the contrary, Operating Costs shall not include:
(as defined belowa) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy Costs, including marketing costs. Landlord will charge Tenant, legal fees, space planners' fees, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or brokerage fees incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenanceoriginal construction or development of the Center or the original or future leasing of the Center, operation and repair of any common facilitiescosts, including roadwayspermit, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables license and inspection costs and allowances and other utility facilitiesconcessions, retention facilitiesincurred with respect to the installation of tenant improvements made for new tenants in the Center or incurred in renovating or otherwise improving, storm decorating, painting or redecorating vacant leasable space for tenants or other occupants (or prospective tenants or occupants) of the Center;
(b) Depreciation, interest and sanitary sewersprincipal payments on mortgages and other debt costs, culvertsif any, drainspenalties and interest, headwallscosts of capital improvements and equipment designed to increase the leasable area of the Center;
(c) Costs for which Landlord is reimbursed by any tenant or occupant of the Center or by insurance by its carrier or any tenant's carrier (or if Landlord fails to carry the insurance required to be carried by Landlord pursuant to this Lease, manholes and related equipment, parking, grounds and landscapingcosts which would have been covered by insurance had Landlord obtained the coverage required to be carried under this Lease) or by anyone else, and shared hallwayselectric power costs for which any tenant directly contracts with the local public service company;
(d) Any bad debt loss, lobbiesrent loss, corridors, elevators, entrances or reserves for bad debts or rent loss;
(e) Any amount paid as ground rental for the Center by Landlord;
(f) All items and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, services for which Tenant or any other expense tenant in the Center reimburses Landlord or chargewhich Landlord provides selectively to one or more tenants (other than Tenant) without reimbursement;
(g) Costs, whether other than those incurred in ordinary maintenance and repair, for sculpture, paintings, fountains or not hereinbefore mentionedother objects of art;
(h) Any costs expressly excluded from Operating Costs elsewhere in this Lease;
(i) Costs arising from Landlord's charitable or political contributions;
(j) Expenses directly resulting from the gross negligence or wilful misconduct of Landlord, which its agents, servants or employees;
(k) Rental for any space in accordance the Center set aside for conference facilities, storage facilities or exercise facilities;
(l) The amounts of any payments by Landlord or to its affiliates for goods or services in the Center in excess of a competitive rate; and
(m) Costs incurred in connection with generally accepted accounting and management principles would be considered as an expense of maintainingthe sale, operating, financing or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option refinancing of the Landlord Center, including brokerage commissions, consultants', attorneys' and accountants' fees, closing costs, title insurance premiums, transfer taxes and interest charges; and
(n) Costs incurred to comply with laws relating to the removal or abatement of Hazardous Materials in or about the Premises to the extent the existence of such expense may be proportionately allocated among such related calendar yearsHazardous Materials is not the result of Tenant's occupancy or use of the Premises.
Appears in 1 contract
Operating Costs. (1) In addition to the fixed monthly rental set forth in paragraph A above, Tenant shall pay to Landlord throughout the term of this Lease, as additional rental, two percent (2%) (being the approximate and agreed upon proportion which the floor area of the demised premises [7,172] bears to the architectural and engineering (A&E) design figure for total area of the Building [296,733]) of the Actual Operating Expenses. Tenant agree that shall receive an annual credit in the Base Rent set out in Article 3 is the minimum rental amount of $300 to be paid by Txxxxx. Base Rent includes the applied toward payment of Operating Costs Expenses.
(as defined below2) for calendar year 2023 (the “Base Year”) which The Projected Operating Expenses are estimated to be Four Dollars and Fifty Cents ($8.15 4.50) per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenanttotal area of the Building for 1993.
(3) Upon the Lease Commencement Date, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined thereafter at the end beginning of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending during the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes term of this Lease, “Landlord shall provide Tenant with a statement showing Landlord's Projected Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive Expenses for such calendar year. Tenant's proportionate share of the Premises itself unless otherwise provided hereinProjected Operating Expenses shall be due and payable, in equal monthly installments, in advance, on the first (1st) day of each and every calendar month of such year.
(4) Within the personal property used in conjunction therewith, except for any expenses in maintaining, repairing period of ninety (90) days (or operating as soon thereafter as possible) after the Premises paid by Tenant directly or otherwise pursuant to close of each calendar year during the express provisions term of this Lease, Landlord shall give Tenant a statement of such expenses, costs year's Actual Operating Expenses and disbursements being in addition to other expenses a comparison of same with the Projected Operating Expenses. Tenant's proportionate share of the amount by which the Actual Operating Expenses for such year exceeds the Projected Operating Expenses for such year shall be due and charges provided elsewhere in this Lease and include but are not limited to the following: all services payable by Tenant within thirty (30) days of receipt of said statement. If any year-end statement provided by Landlord to Tenant pursuant to this paragraph shows that the Actual Operating Expenses during the year covered by that statement was less than the Projected Operating Expenses on which monthly payments were made for the Premises; ad valorem taxes (or other governmental taxes or levies on the rentsthat year, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement Xxxxxx's proportionate share of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in overpayments for that year may be deducted by Tenant from its next payment or payments of fixed monthly rental. Any such overpayments by Xxxxxx during the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior last calendar year of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing term of this Lease shall be refunded within ninety (90) days after the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs close of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option unless an event of the Landlord such expense may default shall have occurred and shall be proportionately allocated among such related calendar yearscontinuing.
Appears in 1 contract
Samples: Letter Agreement on Administration of Building Common Areas (Opnet Technologies Inc)
Operating Costs. Landlord For each full or partial calendar year occurring during the period of the Term occurring from the fifth (5th) anniversary of the Commencement Date through the remainder of the Initial Term (the "Additional Parking Charge Period"), Tenant shall pay to Landlord, in addition to the monthly fees payable under Section 11.5, a contribution on account of the excess costs of operating the Parking Garage (the "Additional Parking Charge") equal to the product obtained by multiplying (a) Landlord's actual, documented out-of-pocket costs in operating the Parking Garage and Tenant agree that the Base Rent set out in Article 3 ad valorem taxes, assessments and other governmental imposts payable with respect thereto (exclusive of any xxxx-up, or any management or other fees or any item of cost which is of the kind excluded from Operating Expenses or Real Property Taxes under Sections 7.2.2, 7.2.3 or 7.5)for each such calendar year or portion thereof (the "Additional Parking Expenses"), to the extent such Additional Parking Expenses exceed the average total amount of such Additional Parking Expenses incurred during the periods occurring from the third (3rd) anniversary through the fourth (4th) anniversary and from the fourth (4th) anniversary through the fifth (5th) anniversary, by (b) a fraction, the numerator of which is the minimum rental to be paid average number of Allocated Spaces leased by Txxxxx. Base Rent includes Tenant during the Operating Costs (as defined below) for applicable calendar year 2023 or portion thereof (which shall be calculated by adding the “Base Year”number of Allocated Spaces leased by Tenant during each month of such year and dividing the total by twelve(12)) and the denominator of which are estimated to be $8.15 per rentable square foot exclusive is the total number of Tenant’s direct occupancy costsparking spaces located in the Parking Garage. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“shall deliver Tenant annual statements of Additional Rent”), Txxxxx’s Share (as defined Parking Charge for each such calendar year or portion thereof at the end of this Article 31) of time and in the increase manner provided in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term Section 7.3 with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Actual Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairingExpenses, and operating Tenant shall pay the Building, Additional Parking Charge on an annual basis within thirty (30) days after receipt of such annual statement. Tenant shall have the parking areas, the Common Areas same dispute and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant audit rights with respect to the express provisions Additional Parking Expenses and such statements of this Lease, such expenses, costs Landlord as provided in Article 7 with respect to Operating Expenses and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar yearsReal Estate Taxes.
Appears in 1 contract
Operating Costs. Landlord and Tenant agree that In the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes event Operating Costs (hereinafter defined) for any future calendar year are greater than the Operating Costs (as defined below) for the first calendar year, such first calendar year 2023 to be defined for the purposes of this paragraph to mean the calendar year 2010 (subject to adjustment as hereafter provided), whether during the Initial Lease Term or any renewal period(s), Tenant shall pay Landlord, as Additional Rent for each such future calendar year, an amount equal to 23.98% (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional RentProportionate Share”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs. Tenant’s Proportionate Share is determined by dividing the rentable square footage of the Leased Premises (approximately 29,935 square feet) by the total square footage on the Property (approximately 124,838 square feet). In the event that the Landlord shall furnish during calendar year 2010 any utility or service which is included in the definition of Operating Costs to less than 95% of the rentable area of the Building because (as defined belowi) over the average occupancy level of the Property for the year was not 95% or more of full occupancy, (ii) any utility or service is not required by or provided to one or more of the tenants or occupants of the Building, or (iii) any tenant or occupant is itself obtaining or providing any such utility or services, then the Operating Costs of the Base Year, as determined during the Term with respect to each for calendar year commencing on January 1 2010 shall be adjusted to equal the total expenses that Landlord reasonably estimates it would have incurred if Landlord had provided all such utilities and ending services to all tenants and occupants in the next following December 31 (“Calendar Year”) following Building, and shall be allocated among the Base Year (each, an “Increase”)tenants by the Landlord to reflect those costs which would have occurred had the Building been 95% occupied during calendar year 2010 and such utilities and services provided to all tenants. For the purposes of As used in this Lease, the term “Operating Costs” shall include mean the following expenses, aggregate of all reasonable and proper expenses and costs incurred and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and by Landlord for operating the BuildingProperty. Such expenses and costs shall be those that are usual and customary as found in the operation of other first class office buildings and shall include, but not be limited to, all expenses and costs that are required to operate, maintain or repair the building and outside areas of the Property, the parking areascost of capital improvements designed to protect the health and safety of the tenants in the building, the Common Areas cost of all alterations and improvements to the grounds of which building that are necessary to comply with the Premises are a part ADA (but exclusive of the Premises itself unless otherwise provided hereinas hereinafter defined) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant cost of monitoring and maintaining suitable indoor air quality (including regular inspections and repairs to the express provisions building HVAC system). Operating Costs shall not include any management fees in excess of this Lease, such expenses, costs and disbursements being in addition to other five percent (5%) of the gross rents nor any administrative (or similar fee) based on a percentage of the Operating Costs. Such expenses and charges provided elsewhere in this Lease and costs shall not include but are not limited to the following: all services provided as Operating Costs any items for which Landlord will be compensated by insurance or by reimbursement by a particular tenant or costs directly borne by others. Upon Tenant’s request, Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are will provide Tenant a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal detailed list and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar yearsOperating Costs.
Appears in 1 contract
Samples: Lease (Quality Systems Inc)
Operating Costs. (a) In each year of the Term, the Tenant will pay to the Landlord and Tenant agree that in addition to the Base Minimum Rent set out specified in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to payParagraph 4 hereof, as further additional rental (“Additional Rent”)rent, Txxxxx’s Share (as defined at the end Landlord's cost and expenses of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscapingoperating, insuring, repairing, restoring, supervising and operating administering the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, Building such expenses, costs and disbursements being in addition expenses to other expenses and charges provided elsewhere in this Lease and include but are not limited to include, without limitation (i) the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the total costs and expenses incurred by the Landlord in insuring the Building pursuant to Paragraph 10(a)(i) hereof, (ii) the total cost of operating, maintaining, lighting, cleaning (including snow and ice removal and clearance), supervising, policing, landscaping, H.V.A.C. preventative maintenance, repairing all areas of the Building which are not otherwise the responsibility of the Tenant in this Lease, including, without limitation, all monies paid to persons, firms or corporations employed by the Landlord to perform same; and (iii) all expenses incurred or paid by the Landlord in connection with the maintenance, operation repair, restoration, operation, management, supervision and repair administration of any common facilitiesthe Building and all services connection therewith, including roadwaystogether with an administrative fee of seven and one half percent (7.5%) of such total annual costs and expenses, private drivewaysincluding, plaza areaswithout limitation, walkways, utility lines, pipes, wires, cables all such costs and other utility facilities, retention facilities, storm expenses referred to in the immediately preceding subparagraphs (i) to (iii) inclusive of this paragraph II(a) and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscapingtaxes paid by the Landlord pursuant to paragraph 9(c).
(b) The amounts payable by the Tenant pursuant to this paragraph 11 may be estimated by the Landlord for such period or periods as the Landlord may determine from time to time, and shared hallwaysthe Tenant shall pay to the Landlord the estimated of such amounts in monthly installments in advance during such period together with all other rental payments provided for in the Lease. Notwithstanding anything contained in this subparagraph (b) to the contrary, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now at such time as the Landlord expends any money or servicing incurs any charges or expenses in respect of the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense cost of maintaining, operating, repairing, or repairing administrating the Building, pursuant to paragraph 11(a) hereof, or, as soon as bills for all or any portion of the amounts so estimated by the Landlord, as aforesaid, are received, the Landlord may thereafter xxxx the Tenant for same (less all amounts previously paid by the Tenant on the basis of the Landlord's estimate aforesaid, which have not already been so applied) and the Tenant shall forthwith pay to the Landlord upon demand such amounts so expended or billed, as additional rent. At the end of the period for which such estimated payments have been made, the Landlord shall deliver to the Tenant a statement of the actual amounts and costs referred to in this paragraph 11, and if necessary, an adjustment shall be made between the parties hereto. If any Building expense, though the Tenant shall have paid in one yearexcess of such actual amounts, relates to more than one calendar year, at the option excess shall be refunded by the Landlord within fifteen (15) days after delivery of the said statement. If the amount the Tenant has paid is less than such actual amounts, the Tenant agrees to pay to the Landlord any such expense may be proportionately allocated among such related calendar yearsextra amount or amounts within fifteen (15) days after delivery of said statement.
Appears in 1 contract
Samples: Industrial Lease Agreement (Liuski International Inc /De)
Operating Costs. Landlord Tenant shall, for the entire Lease Term, pay to Lessor as additional rent, without any setoff or deduction therefrom, its Proportionate Share of any and Tenant agree that all costs and expenses which Lessor or Lessor's manager may incur because of or in connection with the Base Rent set out in Article 3 ownership, maintenance, management and operation of the Land and/or the Building ("Operating Costs"). "Proportionate Share" is defined as the portion of Operating Costs equivalent to a fraction of the total thereof, the numerator of which is the minimum rental number of net rentable square feet comprising the Demised Premises and the denominator of which is the greater of (i) the number of net rentable square feet actually leased within the Building, or (ii) 95% of the number of net rentable square feet contained within the Building. "Operating Costs" are defined to be include all expenses and costs (but not specific costs which are separately billed to and paid by Txxxxx. Base Rent includes the Operating Costs (as defined belowindividual tenants) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating nature which Lessor or Lessor's manager shall pay or become obligated to pay because of or incurred or paid in connection with owningthe ownership, managingmaintenance, marketing, maintaining, landscaping, repairing, management and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive operation of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rentsLand, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior supporting facilities of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fireall real estate taxes and annual installments of special or other assessments payable with respect thereto, extended coverageand all other taxes, liabilityservice payments in lieu of taxes, workers’ compensationexercises, elevator levies, fees, or charges, general and special, ordinary and extraordinary, of any other insurance carried kind, which are assessed, levied, charged, confirmed or imposed by any public authority upon the Land and/or the Building, its operations or the rent provided for in good faith by this Lease; the Landlord and applicable to the Propertycost of protesting any such taxes; painting; uniforms; customary property management fees; suppliesinsurance premiums; sundriesutility costs; sales or use taxes on supplies or servicesjanitorial costs; Building security costs; costs of all supplies, tools, equipment, materials wages and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of costs relating to the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in sidewalks, skyways, landscaping and refunds service areas); services; service contracts; equipment and supplies; and all other costs of real estate taxesany nature whatsoever which for federal tax purposes may be expensed rather than capitalized, but exclusive only of leasing commissions, depreciation, costs of tenant improvements and payments of principal and interest on any mortgages, deeds of trusts, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing security devices covering the Building. If Operating Costs shall also include the yearly amortized portion of capital costs incurred by Lessor for improvements or structural repairs to the Building required to comply with any Building expensechange in the laws, though paid rules or regulations of any governmental authority having jurisdiction, 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 Lessor or by Lessor's property manager. As soon as reasonably practicable prior to the commencement of the Lease Term and prior to the commencement of each ensuing calendar year during the Lease Term, Lessor shall furnish to Tenant an estimate of Operating Costs for the first calendar year included in one whole or in part in the Lese Term and each ensuing calendar year. Tenant shall pay, relates as additional rent hereunder, together with each installment of Base Rent, one-twelfth (1/12th) of its estimated annual Proportionate Share of Operating Costs. As soon as reasonably practicable after the end of each calendar year included in whole or in part in the Lease Term, Lessor shall furnish to more than one Tenant a statement of the actual Operating Costs for the previous calendar year, at including Tenant's Proportionate Share of Operating Costs, and within thirty (30) days thereafter Tenant shall pay to Lessor, or Lessor shall credit to the option next rent payments due Lessor from Tenant, as the case may be, any difference between the actual Operating Costs payable by Tenant hereunder and the estimated Operating Costs paid by Tenant. Tenant's Proportionate Share of Operating Costs for the years in which this Lease commences and terminates shall be prorated based upon the dates of commencement and termination of the Landlord Lease Term. Notwithstanding any other provision herein to the contrary, it is agreed that in the event that the Building is not fully occupied at any time during the Lease Term, an adjustment shall be made in computing the Operating Costs for such expense year so that the Operating Costs shall be computed for such year as though the Building had been fully occupied during such year (including, for real estate tax purposes, as if fully occupied and assessed as a completed Building during such year). Notwithstanding any provision herein that may be proportionately allocated among such related calendar yearsconstrued to the contrary, Lessor shall have the right, in its reasonable discretion, to determine, from time to time, the method of computing Operating Costs, the allocation of Operating Costs to various types of space within the Building and/or the Project, the extent of the appurtenances to the Building and/or the Project, and the rentable area of the Demised Premises, the Building and the Project, and Tenant shall be bound thereby.
Appears in 1 contract
Operating Costs. Debt service and leasing commissions payable by Landlord shall be excluded from any computation of Operating Costs. Prime Lease shall mean that certain long term lease agreement dated March 21, 1985 by and between The Economic Development and Industrial Corporation of Boston, a corporation organized under the laws of the Commonwealth of Massachusetts, as Prime Lessor and Landlord as Prime Lessee, covering the Building and certain real property on which the Building is situated, as the same may be amended from time to time. Project shall mean the Building, the land upon which the Building is situated and all other improvements now or hereafter situated on such land. Trade Fixtures shall mean any and all signs placed by Tenant agree within the Leased Premises pursuant to provisions hereof and any and all items of property used by Tenant in the Leased Premises including, but not limited to, furniture and equipment; provided, however, that the Base Rent set out in Article 3 is term “Trade Fixtures” shall not include any permanent leasehold improvements including, but not limited to, any floor, wall or ceiling coverings, any interior walls or partitions, any lighting fixtures, track lights or any property a part of or associated with any electrical, plumbing or mechanical system, notwithstanding that the minimum rental same may have been installed within the Leased Premises. Section 8.2. Exhibits, Supplements and Riders. The Exhibits, Supplements and Riders attached to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which this Lease are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, hereby incorporated herein and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end hereby made a part of this Article 31) Lease. To the extent the terms of Exhibit E attached to this Lease are inconsistent with the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes terms of this Lease, “Operating Costs” the Exhibit E terms shall include be deemed to modify the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions terms of this Lease. IN TESTIMONY WHEREOF, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in the parties hereto have executed this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement as of the ventilationday and year first above written. “LANDLORD” BOSTON DESIGN CENTER LLC, heating a Delaware limited liability company By: VORNADO REALTY L.P., its managing member By: VORNADO REALTY TRUST, its general partner By: /S/ XXXXXXXXXXX X. XXXXXXX Date: 3/24/06 Name: Xxxxxxxxxxx X. Xxxxxxx “TENANT” BOSTON BEER CORPORATION By: /S/ XXX XXXX Date: March 22, 2006 Title: Chairman Hereunto Duly Authorized [ * ] Indicates that information has been omitted and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract filed separately with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs Securities and expenses incurred by Landlord in connection Exchange Commission pursuant to a request for confidential treatment. Exhibit A — Floor Plan Exhibit B — Building Rules and Regulations Exhibit C — Non-Discrimination and Employment Requirements Exhibit D — Rental Payment Schedule Exhibit E — Terms & Conditions Exhibit F — Authorization Agreement for Automatic Rental Payments Exhibit G — EDIC Form SNDA Exhibit H — Tenant’s Work [ * ] Indicates that information has been omitted and filed separately with the maintenance, operation Securities and repair Exchange Commission pursuant to a request for confidential treatment. EXHIBIT A {see attached Floor Plan} (Image of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenantFloor Plan); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar years.
Appears in 1 contract
Samples: Office Lease Agreement
Operating Costs. (a) In each year of the Term, the Tenant will pay to the Landlord and Tenant agree that in addition to the Base Minimum Rent set out specified in Article 3 is Paragraph 4 hereof, as further additional rent, the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs Tenant’s proportionate share (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31hereinafter defined) of the increase in Operating Costs Landlord’s costs and expenses of maintaining, operating, insuring, repairing, replacing, restoring, supervising and administering (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, collectively “Operating Costs” shall include ”) the following expenses, costs Building and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this LeaseFacilities, such expenses, costs and disbursements being in addition expenses to other expenses and charges provided elsewhere in this Lease and include but are not limited to include, without limitation (i) the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the total costs and expenses incurred by the Landlord in insuring the Building pursuant to Paragraph 10(a)(i) hereof; (ii) real property taxes (including school taxes and local improvement taxes and rates) and all business and other taxes, if any, from time to time payable by the Landlord which are levied or assessed or allocated by the Landlord pursuant to Paragraph 9(c) hereof, against or in respect of the Common Areas and Facilities or against the Landlord on account of its ownership thereof, capital taxes, and tax of any kind on rentals (iii) all expenses incurred or paid by the Landlord in connection with operating, maintaining, managing, lighting, cleaning (including without limitation, the maintenancesupply of utilities and services in respect of the Common Areas and Facilities, operation snow and repair of any common facilitiesice removal and clearance), including roadwayssupervising, private drivewayspolicing, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, repairing and shared hallwaysreplacing the Building and all Common Areas and Facilities, lobbiesincluding, corridorswithout limitation, elevatorsall monies paid to persons, entrances firms or corporations employed by the Landlord to perform same; and exits(iv) an administration fee of fifteen percent (15%) of Operating Costs.
(b) The term “proportionate share” as used in this Paragraph 11 and elsewhere in this Lease, restrooms and stairwaysshall mean a fraction, now or servicing the Property numerator of which is the rentable area of the Leased Premises and the Premises denominator of which is the total rentable area of the Building. The Tenant’s proportionate share is approximately 11.5%.
(c) The amounts payable by the Tenant pursuant to this Paragraph 11 may be estimated by the Landlord for such period or periods as the Landlord may determine from time to time, and not exclusively another tenant); legal and accounting expensesthe Tenant shall pay to the Landlord the Tenant’s proportionate share as so estimated of such amounts in monthly instalments in advance during such period together with all other rental payments provided for in this Lease. Notwithstanding anything contained in this subparagraph (c) to the contrary, including but not limited to at such time as the Landlord expends any money or incurs any charges or expenses as relate to seeking or obtaining reductions in and refunds respect of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense the cost of maintaining, operating, repairing, replacing or repairing administrating the BuildingBuilding and the Common Areas and Facilities thereof, pursuant to Paragraph 11 (a) hereof, or, as soon as bills for all or any portion of the amounts so estimated by the Landlord, as aforesaid, are received, the Landlord may thereafter xxxx the Tenant for the Tenant’s proportionate share thereof (less all amounts previously paid by the Tenant on the basis of the Landlord’s estimate aforesaid, which have not already been so applied) and the Tenant shall forthwith pay to the Landlord upon demand such amounts so expended or billed, as additional rent. At the end of the period for which such estimated payments have been made, the Landlord shall deliver to the Tenant an audited statement of the actual amounts and costs referred to in this Paragraph 11 and the determination of the Tenant’s proportionate share thereof, and if necessary, an adjustment shall be made between the parties hereto. If any Building expense, though the Tenant shall have paid in one yearexcess of such actual amounts, relates to more than one calendar year, at the option excess shall be refunded by the Landlord within 30 days after delivery of the said statement. If the amount the Tenant has paid is less than such actual amounts, the Tenant agrees to pay to the Landlord any such expense may extra amount or amounts with the next monthly payment of Minimum Rent. Any dispute by the Tenant of any item on the statement provided to the Tenant by the Landlord pursuant to this Paragraph 11(c) must be proportionately allocated among such related calendar yearsbrought to the attention of the Landlord, in writing, within two (2) months of deemed receipt of the statement by the Tenant in accordance with Paragraph 28 hereof or shall be forever barred.
Appears in 1 contract
Samples: Lease Agreement (Eloqua, Inc.)
Operating Costs. Landlord (i) Operating Costs shall mean (but without any obligation of Lessor to incur any expenses with respect to the Building or Property, except as specifically set forth in this Lease) all expenses incurred as a result of Lessor's compliance with any of its obligations under this Lease, and Tenant agree such expenses shall include: (1) Corporate Park Expenses (hereinafter defined in subsection c.) allocated to the Property; (2) the cost of all charges for rent, casualty and of liability insurance for the Property to the extent that the Base Rent set out in Article 3 such insurance is the minimum rental required to be paid carried by TxxxxxLessor under any superior lease or superior mortgage or if not required under any superior lease or superior mortgage then to the extent such insurance is carried by owners of buildings comparable to the Building (provided, however, that Lessee shall not be responsible for the cost of any such casualty and rent insurance carried by Lessor to the extent same is carried by Lessee for the Property in accordance with Article 30 hereof); and (3) all charges for any maintenance, repair or replacements performed by Lessor or at Lessor's direction for which Lessee is responsible under this Lease, including service and/or maintenance contracts;. Base Rent includes Notwithstanding the foregoing, Operating Costs shall not include; (a) administrative wages and salaries of those not directly involved in the servicing of the Building and, as defined belowto persons who are directly involved in servicing the Building, any portion of their wages and salaries not allocable to those services; (b) real estate brokerage commissions; (c) franchise taxes or income taxes of Lessor; (d) Taxes on the Building and Land; (e) cost of painting and decoration for calendar year 2023 any occupant's space; (f) financing costs and interest, amortization and other charges under mortgages; (g) rent payable under any superior lease; (h) any costs or expenses which pursuant to the “Base Year”) which express terms of this Lease are estimated to be $8.15 per rentable square foot exclusive at the cost and expense of Tenant’s direct occupancy costsLessor; and (i) those items described on Exhibit X. Xxxxxx acknowledges that Operating Costs shall be net of any discounts, credits and abatements obtained by Lessor with respect thereto, including, but not limited to, credits for energy efficiency (if applicable). Landlord will charge TenantTo the extent any Operating Costs are incurred with respect to the Property and 00 Xxxxxx Xxx, such Operating Costs shall be reasonably allocated by Lessor between the Property and Txxxxx agrees 00 Xxxxxx Xxx.
(ii) Lessee shall pay to Lessor 100% of Operating Costs. Lessee shall pay Lessor's estimate of Operating Costs for the First Lease Year and as set forth in Lessor's itemized statement for each Lease Year thereafter, in equal monthly installments, in advance as Additional Rent, together with Fixed Basic Rent. Following the expiration of each Lease Year, Lessor shall furnish Lessee with an itemized statement of the actual Operating Costs for such Lease Year and Lessee shall, within thirty (30) days after receipt of such itemized statement, pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined the deficiency, if any, in charges payable by Lessee for such Lease Year; and if, at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base such Lease Year, as determined the total amount paid by Lessee is greater than the amount required to be paid for such Lease Year, then the amount of such excess will be applied by Lessor to the next succeeding monthly installment of Fixed Basic Rent hereunder; and if there is any such excess during the Term with respect Last Lease Year, then the amount of such excess will be refunded to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”)Lessee by Lessor within 30 days after Lessor's itemized statement is furnished. For the purposes of this Lease, “Operating Costs” All such adjustments shall include the following expenses, costs and disbursements of every kind and nature, relating be subject to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise verification pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(sArticle 23(e) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Buildinghereof. If any Building expensethe First Lease Year or Last Lease Year is less than a period of 365 days, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may then Additional Rent payable during these respective Lease Years shall be proportionately allocated among such related calendar yearsappropriately prorated.
Appears in 1 contract
Samples: Lease (Griffin Capital Essential Asset REIT II, Inc.)
Operating Costs. Landlord and Tenant agree that Notwithstanding anything set forth in Section 6.3 to the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the contrary, Operating Costs shall not include:
(as defined belowa) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy Costs, including marketing costs. Landlord will charge Tenant, legal fees, space planners' fees, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or brokerage fees incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenanceoriginal construction or development of the Center or the original or future leasing of the Center, operation and repair of any common facilitiescosts, including roadwayspermit, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables license and inspection costs and allowances and other utility facilitiesconcessions, retention facilitiesincurred with respect to the installation of tenant improvements made for new tenants in the Center or incurred in renovating or otherwise improving, storm decorating, painting or redecorating vacant leasable space for tenants or other occupants (or prospective tenants or occupants) of the Center;
(b) Depreciation, interest and sanitary sewersprincipal payments on mortgages and other debt costs, culvertsif any, drainspenalties and interest, headwallscosts of capital improvements and equipment designed to increase the leasable area of the Center;
(c) Costs for which Landlord is reimbursed by any tenant or occupant of the Center or by insurance by its carrier or any tenant's carrier (or if Landlord fails to carry the insurance required to be carried by Landlord pursuant to this Lease, manholes and related equipment, parking, grounds and landscapingcosts which would have been covered by insurance had Landlord obtained the coverage required to be carried under this Lease) or by anyone else, and shared hallwayselectric power costs for which any tenant directly contracts with the local public service company;
(d) Any bad debt loss, lobbiesrent loss, corridors, elevators, entrances or reserves for bad debts or rent loss;
(e) Any amount paid as ground rental for the Center by Landlord;
(f) All items and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, services for which Tenant or any other expense tenant in the Center reimburses Landlord or chargewhich Landlord provides selectively to one or more tenants (other than Tenant) without reimbursement;
(g) Costs, whether other than those incurred in ordinary maintenance and repair, for sculpture, paintings, fountains or not hereinbefore mentionedother objects of art;
(h) Any costs expressly excluded from Operating Costs elsewhere in this Lease;
(i) Costs arising from Landlord's charitable or political contributions;
(j) Expenses directly resulting from the gross negligence or wilful misconduct of Landlord, which its agents, servants or employees;
(k) Rental for any space in accordance the Center set aside for conference facilities, storage facilities or exercise facilities;
(l) The amounts of any payments by Landlord or to its affiliates for goods or services in the Center in excess of a competitive rate;
(m) Costs incurred in connection with generally accepted accounting and management principles would be considered as an expense of maintainingthe sale, operating, financing or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option refinancing of the Landlord Center, including brokerage commissions, consultants', attorneys' and accountants' fees, closing costs, title insurance premiums, transfer taxes and interest charges; and
(n) Costs incurred to comply with laws relating to the removal or abatement of Hazardous Materials in or about the Premises to the extent the existence of such expense may be proportionately allocated among such related calendar yearsHazardous Materials is not the result of Tenant's occupancy or use of the Premises.
Appears in 1 contract
Operating Costs. Tenant shall pay Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Additional Rent, Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Pro-Rata Share (as defined at the end of this Article 31hereunder) of the increase in Operating Costs, as follows:
(a) Operating Costs (are hereby defined as defined below) over the Operating Costs all of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” shall include the following expenses, costs and disbursements of every kind and nature, relating to or expenses which are incurred or paid accrued by Landlord in connection with owningmaintaining, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaininginsuring, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement remainder of the ventilationProperty, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVACgenerally accepted accounting principles, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trashincluding, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Propertysecurity; paintingcommon area maintenance; uniforms; customary property management fees; supplies; sundrieslandscaping; sales or use taxes on supplies or services; management and administrative fees, the cost of Landlord’s insurance, legal and accounting fees and expenses; and engineering fees and expenses; and window cleaning and janitorial expenses.
(b) Operating Costs do not include Real Estate Taxes (as hereinafter defined), lease payments made by Landlord on any ground lease(s), interest or other financing costs of all suppliesLandlord, toolsdepreciation of improvements which are in existence or under construction as of March 1, equipment2009 other than under generally accepted accounting principle, materials and replacements used in the operation, management, repair, maintenance and access control depreciation of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or improvements other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefitsthan under generally accepted accounting principles, or any other cost costs or expenses incurred or accrued exclusively for the benefit of specific tenants.
(c) Tenant's Pro-Rata Share is defined for purposes of this lease, as Tenant’s leasable area, which is hereby agreed to be approximately 31,583 square feet, divided by the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance leasable area of the Building; , which is hereby agreed to be approximately 360,000 square feet, Tenant’s Pro-Rata share is therefore 8.77%.
(d) Tenant’s Operating Costs shall be payable by Tenant within twenty (20) business days after a reasonably detailed statement of actual expenses is presented to Tenant by Landlord. At Landlord's option, however, Tenant’s Pro-Rata Share of annual Operating Costs may be estimated by Landlord from time to time and the charges of any independent contractor who under contract with the same shall be payable monthly or quarterly, as Landlord or Agent does any may designate, during each twelve (12) month period of the work Term, on the same day as the monthly Base Rent is due hereunder. In the event that Tenant pays Landlord's estimate of operating or maintaining Tenant's Pro-Rata Share of Operating Costs as described in the Building; preceding sentence, Landlord shall deliver to Tenant within ninety (90) calendar days after the costs and expenses expiration of each calendar year a reasonably detailed statement showing Tenant's Pro-Rate Share of the actual Operating Costs incurred during the preceding year. If Tenant's payments under this paragraph during such preceding year exceed Tenant's Pro-Rata Share as indicated on such statement, Tenant shall be entitled to the prompt cash reimbursement of such overpayment. If Tenant's payments under this paragraph during such preceding year were less than Tenant's Pro-Rata Share as indicated on such statement, Tenant shall pay to Landlord the amount of the deficiency within thirty (30) business days after delivery by Landlord in connection with the maintenance, operation and repair to Tenant of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar yearsstatement.
Appears in 1 contract
Samples: Lease Agreement (Gse Systems Inc)
Operating Costs. Landlord Except as otherwise specifically provided to the contrary in this Agreement with respect to certain costs for which Manager is expressly responsible and except for costs for which Manager may be held responsible under the default and/or indemnification provisions of this Agreement, all costs, wages, salaries of Facility Employees and all expenses, fees, obligations and liabilities incident to or arising out of the ownership, leasing or operation of the Facility, including all real estate and personal property taxes and assessments or related governmental charges payable by or assessed against Sub-Manager, Manager, Tenant, or the Facility relating exclusively to the Facility (other than income or other taxes based on Sub-Manager’s, Manager’s or Tenant’s receipt of income from the operation of the Facility), franchise, sales and use taxes, insurance costs and expenses, any and all payments under personal property leases used in the operation of the Facility (but excluding payments relating to any real property lease(s)) and all fees paid by Tenant agree that to Manager pursuant to this Agreement or paid pursuant to any Sub-Management Agreement, in each case whether or not specified in this Agreement, and otherwise incurred by Manager in accordance with the Base Rent set out in Article 3 is terms of this Agreement including all Permitted Expenditures (collectively, the minimum rental to “Facility Expenses”), shall be the responsibility of Tenant, and shall be paid by Txxxxx. Base Rent includes Manager as and when due from the funds in the Operating Costs Account as contemplated by Section 3(b); provided, however, all real property taxes, all debt service (as defined belowand all fees, penalties and costs related thereto) for calendar year 2023 and any reserves and/or escrows required by the terms of any Facility Loan Documents shall be paid in a timely manner directly by Tenant and Manager shall have no obligation with respect thereto. Notwithstanding the foregoing, in the event the funds available in the Operating Account are insufficient to pay (i) payroll (to the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”extent Permitted Expenditures), Txxxxx’s Share (as defined at ii) amounts due under National Contracts when owed (to the end of this Article 31extent Permitted Expenditures), (iii) expenditures required to cause compliance with Applicable Law (to the extent Permitted Expenditures) or (iv) expenditures required to protect the Facility and/or the health and safety of the increase Facility occupants or employees in Operating Costs (as defined below) over the event of an imminent threat thereto, Manager shall have the right, but not the obligation, to pay such expenses from its own funds and to seek reimbursement therefor from Tenant or from funds in the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”)Account. For the purposes of this Lease, “Operating Costs” Facility Expenses shall also include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges pro rata portion of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord Manager for the benefit of the Facility which also benefit one or more other facilities operated by Manager or an Affiliate of Manager, provided that the methodology used to allocate expenses to the Facility is reasonable and equitable and approved by Tenant. Notwithstanding the foregoing, Manager is specifically responsible for all expenses (w) relating to all corporate offsite personnel and other offsite overhead expenses of Manager and its Affiliates (specifically excluding expenses relating to any employee that are payable by Tenant pursuant to any contract, which contract is approved by Tenant), (x) of any in-house risk manager, architect, accountant, attorney or professional advisor or consultant employed by Manager or its Affiliate or by Tenant, in connection consultation with Manager, to ensure compliance with the maintenancePerformance Standard, (y) incurred in the management or operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and properties or communities other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscapingthan the Facility, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered z) otherwise designated hereunder as an expense obligation or responsibility of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar year, at the option of the Landlord such expense may be proportionately allocated among such related calendar yearsManager.
Appears in 1 contract
Samples: Lease Termination Agreement (New Senior Investment Group Inc.)
Operating Costs. (a) Throughout the Term, the Tenant shall pay to the Landlord monthly instalments on account of Operating Costs, plus applicable HST, which are preliminarily estimated to be Twenty Thousand Six Hundred One Dollars and Tenant agree Seventy Nine Cents ($20,601.79) per month.
(b) Upon reasonable prior written notice to the Tenant, the Landlord may adjust the amount of such monthly payments from time to time during the Term, so that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes aggregate of such payments will reasonably approximate the Operating Costs for the same period.
(as defined belowc) for calendar It is understood and agreed that the amount referred to in Section 3.3(a) is only an estimated amount. Within sixty (60) days after each lease year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending within sixty (60) days after the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes expiration or earlier termination of this Lease, “the Landlord shall deliver a detailed statement itemizing all components of the Operating Costs” Costs for the previous twelve (12) months and the Tenant shall include pay to the following expensesLandlord, costs or the Landlord shall repay to the Tenant, after the Landlord’s determination of Operating Costs for such period, the amount by which the actual Operating Costs payable, as calculated by the Landlord, exceeds, or is exceeded by, as the case may be, the estimated Operating Costs received by the Landlord for that period.
(d) Subject to Section 6.4 and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairingSection 6.6, and operating the BuildingTenant’s obligations under Section 6.1, the parking areasLandlord will operate, maintain, repair and replace the Premises in the same state as on the Commencement Date, subject to reasonable wear and tear, and the cost thereof shall be included in Operating Costs payable by the Tenant pursuant to this Lease.
(e) By written notice to the Landlord, the Common Areas and the grounds of which the Premises are Tenant may designate all or a part (but exclusive portion of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except as an area for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to Tenant will provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the maintenance, operation and repair of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and not exclusively another tenant); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, or any other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operating, or repairing the Building. If any Building expense, though paid in one year, relates to more than one calendar yearits own janitorial services, at the option Tenant’s own cost, and any such area will be excluded from the calculation of the Landlord Tenant’s proportionate share of such expense may be proportionately allocated among such related calendar yearsservices in the Operating Costs.
Appears in 1 contract
Operating Costs. Landlord and Tenant agree that the Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs (as defined below) for calendar year 2023 (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “Increase”). For the purposes of this Lease, “Operating Costs” " shall include the following mean any expenses, costs --------------- and disbursements (other than Taxes) of every kind and nature, relating to paid or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; the costs and expenses incurred by Landlord in connection with the ownership, leasing, management, maintenance, operation and repair of all or any common facilitiespart of the Project (adjusted for vacancy as hereafter provided) and of the personal property, including roadwaysfixtures, private drivewaysmachinery, plaza areasequipment, walkwayssystems and apparatus located in the Project or used in connection therewith. Operating Costs shall not include (a) costs of alterations of tenant premises; (b) costs of capital improvements, utility linesexcept for any capital improvements which are intended, pipesto reduce Operating Costs, wiresand any capital improvements which Landlord is required to make pursuant to, cables or which Landlord shall deem necessary to keep the Project in compliance with, all applicable governmental rules and regulations applicable from time to time to the Project (the foregoing capital improvements that are included within Operating Costs are collectively referred to herein as the "Included Capital items"); (c) depreciation (except on any Included Capital items); (d) interest and principal payments on mortgages or any rental payments on any ground or other underlying leases subject to which Landlord holds its interest in the Project (hereinafter, referred to individually as a "Ground Lease" and collectively as "Ground Leases"), and other utility facilitiesdebt costs, retention facilitiesif any; (e) real estate brokers' leasing commissions or compensations; (f) any cost or expenditure (or portion thereof) for which Landlord is reimbursed, storm whether by insurance proceeds or otherwise (Operating Cost Share Rent and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and the Premises (and Tax Share Rent provided for in any tenant leases are not exclusively another tenantreimbursements); legal and accounting expenses, including but (g) the cost of any kind of service furnished to any other office tenant of the Project which Landlord does not limited make available to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxes, Tenant hereunder. If during all or any other expense or chargeportion of any fiscal year the Project is not fully rented and occupied by tenants, whether or not hereinbefore mentionedLandlord may elect to make an appropriate adjustment (an "Equitable Adjustment") of Operating Costs for such fiscal year, which in accordance with generally accepted employing sound accounting and management principles principles, to determine the Operating Costs that would be considered as an expense of maintaining, operating, have been paid or repairing incurred by Landlord had the Building. If any Building expense, though paid in one Project been fully rented and occupied for the entire fiscal year, relates and the amount so determined shall be deemed to more than one calendar have been the operating Costs for such fiscal year, at . The foregoing process is illustrated by the option of following hypothetical which assumes (i) the Landlord such expense may be proportionately allocated among such related calendar years.Building has ten
Appears in 1 contract
Samples: Lease (Naviant Inc)
Operating Costs. Landlord and Tenant agree that the (a) Subtenant shall pay monthly as Additional Sublease Rent, along with monthly installments of Sublease Base Rent set out in Article 3 is the minimum rental to be paid by Txxxxx. Base Rent includes the Operating Costs Rent, one twelfth (1/12th) of Subtenant’s Proportionate Share (as defined belowhereinafter defined) for of certain annual costs incurred by Sublandlord during any calendar year 2023 falling entirely or partly within the Term in connection with maintaining and operating the Facility and providing the Facility services pursuant to Section 5.5 below (the “Base Year”) which are estimated to be $8.15 per rentable square foot exclusive of Tenant’s direct occupancy costs. Landlord will charge Tenant, and Txxxxx agrees to pay, as additional rental (“Additional Rent”), Txxxxx’s Share (as defined at the end of this Article 31) of the increase in Operating Costs (as defined below) over the Operating Costs of the Base Year, as determined during the Term with respect to each calendar year commencing on January 1 and ending the next following December 31 (“Calendar Year”) following the Base Year (each, an “IncreaseCosts”). For Subject to adjustments, if any, in accordance with Section 3.3(e) hereof, the purposes of this Lease, term “Operating Costs” shall will include the following expenses, costs and disbursements of every kind and nature, relating to or incurred or paid in connection with owning, managing, marketing, maintaining, landscaping, repairing, and operating the Building, the parking areas, the Common Areas and the grounds of which the Premises are a part (but exclusive of the Premises itself unless otherwise provided herein) and the personal property used in conjunction therewith, except for any expenses in maintaining, repairing or operating the Premises paid by Tenant directly or otherwise pursuant to the express provisions of this Lease, such expenses, costs and disbursements being in addition to other expenses and charges provided elsewhere in this Lease and include but are not limited to the following: all services provided by Landlord for the Premises; ad valorem taxes (or other governmental taxes or levies on the rents, the Building and the Property); electricity, natural gas, water (including for the Premises), sewer and all other utilities including power for heating, lighting, air conditioning and ventilating; repair, maintenance and replacement of the ventilation, heating and air conditioning system(s) (“HVAC”) which do not exclusively serve one tenant in the Building; payments made under any maintenance and service contracts for the HVAC, the Building and the equipment used in connection therewith; 23134410.6 window cleaning; janitorial services for Common Areas; trash, debris and garbage removal and disposal; exterminating and pest control (for the exterior of the Building); snow and ice removal; garage and parking lot operators; elevator maintenance; waste recycling service for Common Areas; landscaping maintenance and customary landscaping replacement; restriping and repairing the parking areas; insurance, including but not limited to fire, extended coverage, liability, workers’ compensation, elevator and any other insurance carried in good faith by the Landlord and applicable to the Property; painting; uniforms; customary property management fees; supplies; sundries; sales or use taxes on supplies or services; costs of all supplies, tools, equipment, materials and replacements used in the operation, management, repair, maintenance and access control of the Property; repairing and maintaining utility lines which do not exclusively serve one tenant in the Building; providing Property identification signs; periodic repainting of exterior walls of the Building (including steam cleaning or sandblasting thereof or other graffiti-removal procedures); repairing and maintaining overhead canopies at the Building; repairing and maintaining sprinklers and sprinkler-risers serving the Premises and the Building of which the Premises are a part, but which do not exclusively serve one tenant in the Building; repairing and maintaining sidewalks; wages and salaries (whether direct or indirect as reasonably allocated by Landlord) of all persons engaged in the management, operation and maintenance of the Building and so-called fringe benefits, or any other cost or expenses which the Landlord pays or incurs to provide benefits for employees so engaged in the management, operation and maintenance of the Building; the charges of any independent contractor who under contract with the Landlord or Agent does any of the work of operating or maintaining the Building; only the costs and expenses (which shall in all cases be net of any discounts, credits, reimbursements and rebates received by Sublandlord) for the maintenance and operation of the Premises and providing those services provided by Sublandlord as described in Section 5.5(a) hereof. The term “Operating Costs” will not include the following costs and expenses:
(A) electricity and compressed air to the Subleased Premises which is separately metered;
(B) capital improvements to the Facility;
(C) interest, fines or penalties for late payment or violations of applicable laws, rules or regulations by Sublandlord, if any;
(D) legal, auditing, consulting and professional fees and other costs paid or incurred by Landlord in connection with financings, refinancings or sales of any interest in Sublandlord or of Sublandlord’s interest in the Premises, or in connection with the maintenance, operation and repair Master Lease (except as expressly set forth in this Sublease);
(E) the cost of any common facilities, including roadways, private driveways, plaza areas, walkways, utility lines, pipes, wires, cables and items to the extent to which such cost is reimbursed to Sublandlord by tenants or other utility facilities, retention facilities, storm and sanitary sewers, culverts, drains, headwalls, manholes and related equipment, parking, grounds and landscaping, and shared hallways, lobbies, corridors, elevators, entrances and exits, restrooms and stairways, now or servicing the Property and occupants of the Premises (and not exclusively another tenantother than pursuant to this Section); legal and accounting expenses, including but not limited to such expenses as relate to seeking or obtaining reductions in and refunds of real estate taxesother third parties, or any is covered by a warranty to the extent of reimbursement for such coverage;
(F) the cost of repairs or replacements incurred by reason of fire or other expense or charge, whether or not hereinbefore mentioned, which in accordance with generally accepted accounting and management principles would be considered as an expense of maintaining, operatingcasualty, or repairing condemnation;
(G) damage and repairs necessitated by the Building. If any Building expensenegligence or willful misconduct of Sublandlord or its employees, though paid contractors, licensees or agents; and
(H) the cost of remediation and removal of “Hazardous Materials” (as defined in one yearSection 19.1(a) of the Master Lease) in the Facility or on the Land (it being understood and agreed that Subtenant shall nonetheless be responsible under Article XIX of the Master Lease for all costs of remediation and removal of Hazardous Materials to the extent caused by Subtenant or its employees, relates contractors, licensees or agents).
(b) Commencing on or about the Sublease Commencement Date and prior to more than one the first day of each calendar year thereafter during the Term, Sublandlord shall submit to Subtenant a statement (“Annual Operating Costs Statement”) setting forth Sublandlord’s reasonable estimate of (i) the Operating Costs that are expected to be incurred during such calendar year, at together with supporting documentation relating to such costs and expenses, and (ii) Subtenant’s Proportionate Share thereof. Sublandlord may revise such Annual Operating Costs Statement from time to time during the option Term; provided that Sublandlord shall not do so more than once in any calendar year and then only if there would be an aggregate increase of more than twenty-five percent (25%) in the Landlord such expense may estimated Operating Costs. Notwithstanding anything to the contrary, Sublandlord’s failure to timely deliver the Annual Operating Costs Statement shall not be proportionately allocated among such related calendar yearsa default hereunder and shall not waive any obligation on the part of Subtenant to pay Subtenant’s Proportionate Share of Operating Costs and Subtenant shall continue to pay Subtenant’s Proportionate Share of Operating Costs as set forth in the most recently delivered Annual Operating Costs Statement until a revised Annual Operating Costs Statements is delivered to Subtenant.
Appears in 1 contract
Samples: Sublease (FreightCar America, Inc.)
