Access During Construction. During construction of the Tenant Improvements -------------------------- in the Premises with the approval of Landlord, Tenant shall be permitted reasonable access to the Premises, as long as such access does not interfere with or delay construction work on the Premises for the purposes of taking measurements, making plans, installing trade fixtures, and doing such other work as may be appropriate or desirable to enable Tenant eventually to assume possession of and operate in the Premises. Tenant agrees that any entry prior to the Commencement Date shall be deemed to be under the terms and conditions of this Lease, except as to the covenant to pay rent, and further agrees that Landlord shall not be liable in any way for any injury, loss or damage that may occur to any of Tenant's work or installations made in the Premises or to property placed therein, and Tenant agrees to protect, defend, indemnify and save harmless Landlord and Landlord's agents and employees from any liabilities, costs, damages, fees and expenses arising out of or in connection with the activities of Tenant or its agents, contractors, suppliers or workers in or about the Premises and Building. LEASE ADDENDUM NUMBER TWO [BASE YEAR calendar year] ADDITIONAL RENT - OPERATING EXPENSE PASS THROUGHS. For the calendar year commencing on January 1, 2002 and for each calendar year thereafter, Tenant shall pay to Landlord as Additional Rent, in a lump sum, Tenant's Proportionate Share of any increase in Operating Expenses (as hereinafter defined) incurred by Landlord's operation or maintenance of the Building above the Operating Expenses Landlord incurred during the Base Year (as hereinafter defined). For purposes of calculating Tenant's Proportionate Share of real and personal property taxes, Landlord shall use the Base Year or the year in which the Building and improvements are completed and are fully assessed, whichever shall be later. Tenant's Proportionate Share shall be calculated by dividing the approximately 18,258 rentable square feet of the Demised Premises by the approximately 115,000 net rentable square feet of the Building, which equals 15.8765%. If during any calendar year the occupancy of the rentable area of the Building is less than full, then Operating Expenses (as hereinafter defined) will be adjusted for such calendar year at a rate of 95% occupancy. For the calendar year commencing on January 1, 2002 and for each calendar year thereafter during the Term, Landlord shall estimate the amount the Operating Expenses shall increase for such calendar year above the Operating Expenses incurred during the Base Year. Landlord shall send to Tenant a written statement of the amount of Tenant's Proportionate Share of any estimated increase in Operating Expenses and Tenant shall pay to Landlord, monthly or annually, Tenant's Proportionate Share of such increase in Operating Expenses. Within ninety (90) days after the end of each calendar year or as soon as possible thereafter, Landlord shall send a copy of the Annual Statement to Tenant. Pursuant to the Annual Statement, Tenant shall pay to Landlord Additional Rent as owed or Landlord shall adjust Tenant's Rent payments if Landlord owes Tenant a credit, such payment or adjustment to be made within thirty (30) days after the Annual Statement is received by Tenant. After the Termination Date, Landlord shall send Tenant the final Annual Statement for the Term, and Tenant shall pay to Landlord Additional Rent as owed or if Landlord owes Tenant a credit, then Landlord shall pay Tenant a refund. If this Lease expires or terminates on a day other than December 31, then Additional Rent shall be prorated on a 365-day calendar year (or 366 if a leap year). During the Term, Landlord shall provide Tenant with a detailed statement of Operating Expenses for the previous year, within thirty (30) days of Tenant's written request for the same. If Tenant disputes the amount of Operating Expenses as set forth in the Annual Statement from the Landlord, then Tenant may have Landlord's books and records relating to Operating Expenses audited by a qualified professional selected by Tenant or by Tenant itself, provided (i) Tenant gives written notice of the audit within forty-five (45) days of Tenant's receipt of the Annual Statement, and (ii) Tenant is not in default under the Lease after the passage of any applicable cure period. No subtenant shall have any right to conduct an audit and no assigns shall conduct an audit for any period during which such assignee was not in possession of the Premises. Books and records necessary to accomplish any audit permitted under this Section shall be retained for twelve months after the end of each calendar year, and on receipt of notice of Tenant's dispute of the operating expenses shall be made available to Tenant to conduct the audit, which (at Landlord's option) may be either at the Premises, or at Landlord's office in Raleigh, North Carolina. If Tenant and Landlord dispute the amount of operating expenses after Tenant's Audit, then Landlord's independent certified public accountant shall consult with Tenant's professional to reconcile any discrepancies. In the event that the Tenant elects to have a professional audit Landlord's Operating Expenses as provided in this Lease, such audit must be conducted by an independent nationally or regionally recognized accounting firm that is not being compensated by Tenant on a contingency fee basis. All information obtained through such audit as well as any compromise, settlement or adjustment reached as a result of such audit shall be held in strict confidence by Tenant and its officers, agents, and employees and as a condition to such audit, Tenant's auditor shall execute a written agreement agreeing that the auditor is not being compensated on a contingency fee basis and that all information obtained through such audit as well as any compromise, settlement or adjustment reached as a result of such audit, shall be held in strict confidence and shall not be revealed in any manner to any person except upon the prior written consent of the Landlord, which consent may be withheld in Landlord's sole discretion, or if required pursuant to any litigation between Landlord and Tenant materially related to the facts disclosed by such audit, or if required by law. If Operating Expenses were overstated by ten percent (10%) or more, then Landlord shall reimburse Tenant for its reasonable audit costs; otherwise, Tenant shall pay its own costs and shall reimburse Landlord for the reasonable costs of Landlord's certified public accountant. As used herein, the following terms shall have the following meanings ascribed to them:
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Access During Construction. During construction of the Tenant Improvements -------------------------- in the Premises and with the prior approval of Landlord, Tenant shall be permitted reasonable access to the Premises, as long as such access does not interfere with or delay construction work on the Premises for the purposes of taking measurements, making plans, installing trade fixtures, and doing such other work as may be appropriate or desirable to enable Tenant eventually to assume possession of and operate in the Premises. Tenant agrees ; provided, however, that any entry prior to the Commencement Date shall be deemed to be under the terms and conditions of this Lease, except as to the covenant to pay rent, and further agrees that Landlord shall such access does not be liable in any way for any injury, loss interfere with or damage that may occur to any of Tenant's delay construction work or installations made in the Premises or to property placed therein, and Tenant agrees to protect, defend, indemnify and save harmless Landlord and Landlord's agents and employees from any liabilities, costs, damages, fees and expenses arising out of or in connection with the activities of Tenant or its agents, contractors, suppliers or workers in or about on the Premises and Buildingdoes not include moving furniture or similar items into the Premises. LEASE ADDENDUM NUMBER TWO [BASE YEAR calendar year] Prior to any such entry, Tenant shall comply with all insurance provisions of the Lease. All waiver and indemnity provisions of the Lease shall apply upon Tenant’s entry of the Premises. ADDITIONAL RENT - OPERATING EXPENSE PASS THROUGHS. For the calendar year commencing on January 1, 2002 2003 and for each calendar year thereafter, Tenant shall pay to Landlord Landlord, as Additional Rent, in a lump sum, Tenant's ’s Proportionate Share of any increase in Operating Expenses (as hereinafter defined) incurred by Landlord's ’s operation or maintenance of the Building above the Operating Expenses Landlord incurred during the Base Year (as hereinafter defined). For purposes of calculating Tenant's ’s Proportionate Share of real and personal property taxes, Landlord shall use the calendar 2003 Base Year or the year in which the Building and improvements are completed and are fully assessed, whichever shall be laterYear. Tenant's ’s Proportionate Share shall be calculated by dividing the approximately 18,258 rentable 61,669 square feet of the Demised Premises by the approximately 115,000 114,472 net rentable square feet of the Building, which equals 15.8765%53.87% (provided, however, said calculation shall be subject to adjustment pursuant to the terms of Section 3 hereof). If during any calendar year the occupancy of the rentable area of the Building is less than 95% full, then Operating Expenses (as hereinafter defined) will be adjusted for such calendar year at a rate of 95% occupancy. For the calendar year commencing on January 1, 2002 2003 and for each calendar year thereafter during the Term, Landlord shall estimate the amount the Operating Expenses shall increase for such calendar year above the Operating Expenses incurred during the Base Year. Landlord shall send to Tenant a written statement of the amount of Tenant's ’s Proportionate Share of any estimated increase in Operating Expenses and Tenant shall pay to Landlord, monthly or annually, Tenant's ’s Proportionate Share of such increase in Operating Expenses. Within ninety (90) days after the end of each calendar year or as soon as possible thereafter, Landlord shall send a copy of the Annual Statement to Tenant. Pursuant to the Annual Statement, Tenant shall pay to Landlord Additional Rent as owed or Landlord shall adjust Tenant's ’s Rent payments if Landlord owes Tenant a credit, such payment or adjustment to be made within thirty (30) days after the Annual Statement is received by Tenant. After the Termination Expiration Date, Landlord shall send Tenant the final Annual Statement for the Term, and Tenant shall pay to Landlord Additional Rent as owed or if Landlord owes Tenant a credit, then Landlord shall pay Tenant a refund. If there is a decrease in Operating Expenses in any subsequent year below Operating Expenses for the Base Year then no additional rent shall be due on account of Operating Expenses, but Tenant shall not be entitled to any credit, refund or other payment that would reduce the amount of other additional rent or Base Rent owed. If this Lease expires or terminates on a day other than December 31, then Additional Rent shall be prorated on a 365-day calendar year (or 366 if a leap year). During the Term, Landlord All payments or adjustments for Additional Rent shall provide Tenant with a detailed statement of Operating Expenses for the previous year, be made within thirty (30) days of Tenant's written request for the same. If Tenant disputes the amount of Operating Expenses as set forth in the Annual Statement from the Landlord, then Tenant may have Landlord's books and records relating to Operating Expenses audited by a qualified professional selected by Tenant or by Tenant itself, provided (i) Tenant gives written notice of the audit within forty-five (45) days of Tenant's receipt of the Annual Statement, and (ii) Tenant is not in default under the Lease after the passage of any applicable cure period. No subtenant shall have any right Statement is sent to conduct an audit and no assigns shall conduct an audit for any period during which such assignee was not in possession of the Premises. Books and records necessary to accomplish any audit permitted under this Section shall be retained for twelve months after the end of each calendar year, and on receipt of notice of Tenant's dispute of the operating expenses shall be made available to Tenant to conduct the audit, which (at Landlord's option) may be either at the Premises, or at Landlord's office in Raleigh, North Carolina. If Tenant and Landlord dispute the amount of operating expenses after Tenant's Audit, then Landlord's independent certified public accountant shall consult with Tenant's professional to reconcile any discrepancies. In the event that the Tenant elects to have a professional audit Landlord's Operating Expenses as provided in this Lease, such audit must be conducted by an independent nationally or regionally recognized accounting firm that is not being compensated by Tenant on a contingency fee basis. All information obtained through such audit as well as any compromise, settlement or adjustment reached as a result of such audit shall be held in strict confidence by Tenant and its officers, agents, and employees and as a condition to such audit, Tenant's auditor shall execute a written agreement agreeing that the auditor is not being compensated on a contingency fee basis and that all information obtained through such audit as well as any compromise, settlement or adjustment reached as a result of such audit, shall be held in strict confidence and shall not be revealed in any manner to any person except upon the prior written consent of the Landlord, which consent may be withheld in Landlord's sole discretion, or if required pursuant to any litigation between Landlord and Tenant materially related to the facts disclosed by such audit, or if required by law. If Operating Expenses were overstated by ten percent (10%) or more, then Landlord shall reimburse Tenant for its reasonable audit costs; otherwise, Tenant shall pay its own costs and shall reimburse Landlord for the reasonable costs of Landlord's certified public accountant. As used herein, the following terms shall have the following meanings ascribed to them:.
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Sources: Lease Agreement (PBSJ Corp /Fl/)