Common use of Cap on Controllable Operating Expenses Clause in Contracts

Cap on Controllable Operating Expenses. For purposes of calculating Tenant's Additional Rental pursuant to Paragraph 19 of the Lease, Landlord and Tenant hereby agree that, commencing with the first full calendar year of the Lease Term, Operating Expenses (except for Uncontrollable Costs, as hereinafter defined) shall be deemed not to increase by more than four and one-half percent (4 1/2%) herein referred to as the "Operating Expense Cap" from one calendar year to the next calendar year, regardless of any actual increases in Operating Expenses; provided, however, in the event that in any calendar year any such increase in Operating Expenses is in fact greater than the Operating Expense Cap (any such increase in excess of the Operating Expense Cap being hereinafter collectively referred to as the "Carryover Percentage"), Landlord shall have the right to add all of the Carryover Percentage (or such portion thereof as will not produce a total increase in Operating Expenses in excess of the Operating Expense Cap) to the increases in Operating Expenses occurring over any of the following years of the Lease Term in which such increases in Operating Expenses are less than the Operating Expense Cap, on a cumulative basis until all such Carryover Percentages have been used to increase Operating Expenses for purposes of calculating Tenant's Additional Rental payable pursuant to Paragraph 19 of the Lease. For example, if the actual increase in Operating Expenses during the second calendar year of the Lease Term is ten percent (10%) and if, for purposes of this example, the Operating Expense Cap is eight percent (8%) (thus creating a Carryover Percentage of two percent (2%), which may be carried forward to future years by Landlord), and if in the third calendar year of the Lease Term the actual increase in the Operating Expenses is six percent (6%), then during the third calendar year of the Lease Term Operating Expenses shall be deemed to increase by eight percent (8%), such eight percent (8%) increase arising from adding the six percent (6%) increase in Operating Expenses which occurred in the third calendar year to the two percent (2%) Carryover Percentage from the second calendar year. The foregoing provisions of this Section notwithstanding, Taxes, all utility costs and expenses, including, without limitation, those for electricity and other fuels and forms of power or energy, water charges, sewer and waste disposal, and the cost of all casualty, liability and other insurance applicable to the Project and Landlord's personal property used in connection with the Project (all of the foregoing are herein collectively referred to as "Uncontrollable Costs") shall not be subject to any limitation or cap, and, accordingly, the total dollar increase in Operating Expenses, and Tenant's Additional Rental payable pursuant to Paragraph 19 of the Lease, for any and each calendar year during the Lease Term shall be calculated without any limitation or cap on Uncontrollable Costs.

Cap on Controllable Operating Expenses. For purposes of calculating Tenant's Additional Rental pursuant to Paragraph 19 Section 8 of the Lease, Landlord and Tenant hereby agree that, commencing with the first full calendar year of the Lease Term, Operating Expenses (except for Uncontrollable Costs, as hereinafter defined) shall be deemed not to increase by more than four and one-half percent (4 1/24%) ); the applicable percentage cap is herein referred to as the "Operating Expense Cap" from one calendar year to the next calendar year, regardless of any actual increases in Operating Expenses; provided, however, in the event that in any calendar year any such increase in Operating Expenses is in fact greater than the Operating Expense Cap (any such increase in excess of the Operating Expense Cap being hereinafter collectively referred to as the "Carryover Percentage"), Landlord shall have the right to add all of the Carryover Percentage (or such portion thereof as will not produce a total increase in Operating Expenses in excess of the Operating Expense Cap) to the increases in Operating Expenses occurring over any of the following years of the Lease Term in which such increases in Operating Expenses are less than the Operating Expense Cap, on a cumulative basis until all such Carryover Percentages have been used to increase Operating Expenses for purposes of calculating Tenant's Additional Rental payable pursuant to Paragraph 19 paragraph 7 of the Lease. For example, if the actual increase in Operating Expenses during the second calendar year of the Lease Term is ten six percent (106%) and if, for purposes of this example, the Operating Expense Cap is eight five percent (85%) (thus creating a Carryover Percentage of two one percent (21%), which may be carried forward to future years by Landlord), and if in the third calendar year of the Lease Term the actual increase in the Operating Expenses is six four percent (64%), then during the third calendar year of the Lease Term Operating Expenses shall be deemed to increase by eight five percent (85%), such eight five percent (85%) increase arising from adding the six four percent (64%) increase in Operating Expenses which occurred in the third calendar year to the two one percent (21%) Carryover Percentage from the second calendar year. The foregoing provisions of this Section notwithstanding, Taxes, all utility costs and expenses, including, without limitation, those for electricity and other fuels feels and forms of power or energy, water charges, sewer and waste disposal, and the cost of all casualty, liability and other insurance applicable to the Project and Landlord's personal property used in connection with the Project (all of the foregoing are herein collectively referred to as "Uncontrollable Costs") shall not be subject to any limitation or cap, and, accordingly, the total dollar increase in Operating Expenses, and Tenant's Additional Rental payable pursuant to Paragraph 19 paragraph 7 of the Lease, for any and each calendar year during the Lease Term shall be calculated without any limitation or cap on Uncontrollable Costs.

Cap on Controllable Operating Expenses. For purposes of calculating Tenant's Additional Rental pursuant to Paragraph 19 Article 8 of the Lease, Landlord and Tenant hereby agree that, commencing with the first full calendar year of the Lease Term, Operating Expenses (except for Uncontrollable Costs, as hereinafter defined) shall be deemed not to increase by more than four and one-half five percent (4 1/25%) herein referred to as (the "Operating Expense Cap" ") from one calendar year to the next calendar year, regardless of any actual increases in Operating Expenses; provided, however, in the event that in any calendar year any such increase in Operating Expenses is in fact greater than the Operating Expense Cap (any such increase in excess of the Operating Expense Cap being hereinafter collectively referred to as the "Carryover Percentage"), Landlord shall have the right to add all of the Carryover Percentage (or such portion thereof as will not produce a total increase in Operating Expenses in excess of the Operating Expense Cap) to the increases in Operating Expenses occurring over any of the following years of the Lease Term in which such increases in Operating Expenses are less than the Operating Expense Cap, on a cumulative basis until all such Carryover Percentages have been used to increase Operating Expenses for purposes of calculating Tenant's Additional Rental payable pursuant to Paragraph 19 Article 8 of the Lease. For example, if the actual increase in Operating Expenses during the second calendar year of the Lease Term is ten percent (10%) and if, for purposes of this example, the Operating Expense Cap is eight percent (8%) (thus creating a Carryover Percentage of two percent (2%), which may be carried forward to future years by Landlord), and if in the third calendar year of the Lease Term the actual increase in the Operating Expenses is six percent (6%), then during the third calendar year of the Lease Term Operating Expenses shall be deemed to increase by eight percent (8%), such eight percent (8%) increase arising from adding the six percent (6%) increase in Operating Expenses which occurred in the third calendar year to the two percent (2%) Carryover Percentage from the second calendar year. The foregoing provisions of this Section notwithstanding, Taxes, all utility costs and expenses, including, without limitation, those for electricity and other fuels and forms of power or energy, water charges, sewer and waste disposal, and the cost of all casualty, liability and other insurance applicable to the Project and Landlord's personal property used in connection with the Project (all of the foregoing are herein collectively referred to as "Uncontrollable Costs") shall not be subject to any limitation or cap, and, accordingly, the total dollar increase in Operating Expenses, and Tenant's Additional Rental payable pursuant to Paragraph 19 Article 8 of the Lease, for any and each calendar year during the Lease Term shall be calculated without any limitation or cap on Uncontrollable Costs.

Cap on Controllable Operating Expenses. For purposes Effective as of calculating Tenant's Additional Rental pursuant to Paragraph 19 of the LeaseJanuary 1, Landlord and Tenant hereby agree that2015, commencing with the first full calendar year of the Lease Term, Controllable Operating Expenses (except for Uncontrollable Costs, as hereinafter defined) shall that may be deemed not to increase by more than four and one-half percent (4 1/2%) herein referred to as the "Operating Expense Cap" from one calendar year to the next calendar year, regardless of any actual increases in Operating Expenses; provided, however, in the event that in any calendar year any such increase in Operating Expenses is in fact greater than the Operating Expense Cap (any such increase in excess of the Operating Expense Cap being hereinafter collectively referred to as the "Carryover Percentage"), Landlord shall have the right to add all of the Carryover Percentage (or such portion thereof as will not produce a total increase included in Operating Expenses in excess any year of the Operating Term shall not exceed one hundred six percent (106%) (the “Controllable Expense Cap”) to the increases in of Controllable Operating Expenses occurring over any for the calendar year 2014, calculated on a compounded and on-going basis. To illustrate the compounding component of the following years of the Lease Term in which such increases in Operating Expenses are less than the Operating Controllable Expense Cap, on a cumulative basis until all such Carryover Percentages have been used to increase Controllable Operating Expenses that may be included in the calculation of Operating Expenses for purposes of calculating Tenant's Additional Rental payable pursuant to Paragraph 19 of the Lease. For example, if the actual increase in Operating Expenses during the second any calendar year of the Lease Term is ten percent after 2014 (10%) and if, for purposes of this example, the Operating Expense Cap is eight percent (8%) (thus creating each a Carryover Percentage of two percent (2%), which may be carried forward to future years by Landlord), and if in the third calendar year of the Lease Term the actual increase in the Operating Expenses is six percent (6%), then during the third calendar year of the Lease Term Operating Expenses shall be deemed to increase by eight percent (8%), such eight percent (8%) increase arising from adding the six percent (6%) increase in Operating Expenses which occurred in the third calendar year to the two percent (2%) Carryover Percentage from the second calendar year. The foregoing provisions of this Section notwithstanding, Taxes, all utility costs and expenses, including, without limitation, those for electricity and other fuels and forms of power or energy, water charges, sewer and waste disposal, and the cost of all casualty, liability and other insurance applicable to the Project and Landlord's personal property used in connection with the Project (all of the foregoing are herein collectively referred to as "Uncontrollable CostsComparison Year") shall not be exceed the product of the total Controllable Operating Expenses for the calendar year 2014 and the following percentages for each Comparison Year: 106% for 2015; 112.36% for 2016; 119.10% for 2017; 126.25% for 2018; and so on (without regard to what was actually incurred and subject to any limitation or capthe remaining terms of this Section 5). As used herein, and, accordingly, (i) the total dollar increase in term “Controllable Operating Expenses” means all Operating Expenses (after any gross up permitted under the Lease) excluding (1) Taxes, and Tenant's Additional Rental payable pursuant (2) the cost of utilities, (3) insurance costs, (4) employment costs based upon the minimum wage (including benefits), (5) any costs Landlord is required to Paragraph 19 incur to comply with any rule, code, law, regulation, or ordinance adopted or promulgated after the Effective Date (or new or different interpretations of any of the foregoing adopted or promulgated after the Effective Date) of any governmental authority or agency, (6) management fees (as limited in Section 2(c) of the Lease), and (7) any expense increase arising from the unionization of any service rendered to the Project, and (ii) “on-going basis” means that, if Controllable Operating Expenses for any and given Comparison Year exceeds the Controllable Expense Cap for that Comparison Year, Landlord may carry over to future Comparison Years amounts by which Controllable Operating Expenses exceeded the Controllable Expense Cap in any previous Comparison Year until fully recouped by Landlord, so long as the amount of Controllable Operating Expenses billed to Tenant in each calendar year during Comparison Year never actually exceeds the Lease Term shall be calculated without any limitation or cap on Uncontrollable CostsControllable Expense Cap for that Comparison Year.

Cap on Controllable Operating Expenses. For purposes of calculating Tenant's Additional Rental pursuant to Paragraph 19 Article 8 of the Lease, Landlord and Tenant hereby agree that, commencing with the first full calendar year of the Lease Term, Operating Expenses (except for Uncontrollable Costs, as hereinafter defined) shall be deemed not to increase by more than four and one-half percent (4 1/24%) herein referred to as the "Operating Expense Cap" from one calendar year to the next calendar year, regardless of any actual increases in Operating Expenses; provided, however, in the event that in any calendar year any such increase in Operating Expenses is in fact greater than the Operating Expense Cap (any such increase in excess of the Operating Expense Cap being hereinafter collectively referred to as the "Carryover Percentage"), Landlord shall have the right to add all of the Carryover Percentage (or such portion thereof as will not produce a total increase in Operating Expenses in excess of the Operating Expense Cap) to the increases in Operating Expenses occurring over any of the following years of the Lease Term in which such increases in Operating Expenses are less than the Operating Expense Cap, on a cumulative basis until all such Carryover Percentages have been used to increase Operating Expenses for purposes of calculating Tenant's Additional Rental payable pursuant to Paragraph 19 Article 8 of the Lease. For example, if the actual increase in Operating Expenses during the second calendar year of the Lease Term is ten percent (10%) and if, for purposes of this example, the Operating Expense Cap is eight percent (8%) (thus creating a Carryover Percentage of two percent (2%), which may be carried forward to future years by Landlord), and if in the third calendar year of the Lease Term the actual increase in the Operating Expenses is six percent (6%), then during the third calendar year of the Lease Term Operating Expenses shall be deemed to increase by eight percent (8%), such eight percent (8%) increase arising from adding the six percent (6%) increase in Operating Expenses which occurred in the third calendar year to the two percent (2%) Carryover Percentage from the second calendar year. The foregoing provisions of this Section notwithstanding, Taxes, all utility costs and expenses, including, without limitation, those for electricity and other fuels and forms of power or energy, water charges, sewer and waste disposal, and the cost of all casualty, liability and other insurance applicable to the Project and Landlord's personal property used in connection with the Project (all of the foregoing are herein collectively referred to as "Uncontrollable Costs") shall not be subject to any limitation or cap, and, accordingly, the total dollar increase in Operating Expenses, and Tenant's Additional Rental payable pursuant to Paragraph 19 Article 8 of the Lease, for any and each calendar year during the Lease Term shall be calculated without any limitation or cap on Uncontrollable Costs.