Common use of Common Area Charges Clause in Contracts

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair and maintenance of the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share One Hundred percent (100.00%) of the total common area charges of the Premises as defined below (the below. Tenant’s percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”))follows. Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing LesseeTenant’s estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lesseedeliver to Tenant a written estimate of Tenant’s estimated monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of the lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid for less than its actual percentage, then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent common area charge next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefortherefore, and Lessee Tenant shall revise its monthly payments accordingly. LessorLandlord’s and LesseeTenant’s obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee “Common area charges,” as used in this lease, shall include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 16 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year as Landlord may have installed for the right, at any time within one hundred eighty purpose of reducing operating costs and/or to comply with governmental rules and regulations promulgated after completion of the building (180) days after LesseeTenant’s receipt share of any such statement to audit Lessorcapital improvement shall equal Tenant’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage proportionate share of CAC, then Lessee shall pay to Lessor the amount fraction of the cost of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof capital improvement equal to the Rent next becoming due from Lessee. In addition, if remaining term of the lease over the useful life of such audit shows that Lessee has overpaid CAC by more than ten percent capital improvement); (10%iii) salaries and employee benefits (including union benefits) of personnel engaged in the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the PremisesProject; (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; (vii) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (viviii) an amount equal to two five percent (25%) of the base rent and CAC (to actual expenditures for the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), all other common area charges as compensation for LessorLandlord’s accounting and management processing services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelowherein below, the sum of Two Thousand Eight and Two Hundred Seventy One Dollars ($2,8712,200), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefortherefore, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section 5(b)landscaping repair, the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16replacement, and the amount described in Section 31 for earthquake insurancemaintenance; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two ten percent (210%) of the base rent and CAC items (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management servicesi) through (iv) above. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelowbelow, the sum of Two Nine Thousand Eight Six Hundred Seventy One Twelve Dollars ($2,8719,612), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC and includes a fixed monthly sum of Fourteen Hundred Seven Dollars ($1,407.00) which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible long term capital reserve for replacement of capital items, including but not limited to: existing HVAC units, parking lot (not including resealing and restriping which is covered by the CAC)lot, roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital ReplacementsReserves”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement). It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred including Capital Reserves for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefortherefore, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with Capital Reserves replacements and government regulations imposed on the Premisesafter the Commencement Date and Premises not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)$.02 per square foot per month, as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Forty Six Thousand Eight Seven Hundred Seventy One Four and 84/100’s Dollars ($2,87146,704.84), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC and includes a fixed monthly sum of Two Thousand Three Hundred Ninety Five and 00/100’s Dollars ($2,395.00) which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible long term capital reserve for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC)lot, roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital ReplacementsReserves”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement). It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC for the subject calendar year which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the each calendar year during the term hereof and within 120 days of the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred including Capital Reserves expended for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Notwithstanding the foregoing, Lessor shall not be entitled to recover for any CAC expense incurred more than twenty-four (24) months prior to the date that the applicable expenses statement for such CAC expenses is delivered to Lessee. During the Term of the Lease or any extensions thereof, the Lessee shall will have the right, at any time right to audit the Lessor’s records for the Premises within one hundred eighty (1801) days after Lessee’s year of receipt by the Lessee of any such the annual statement to of actual CAC incurred including Capital Reserves expended. The audit will take place during normal business hours at the Lessor’s books office on a date mutually agreed to by the parties and records regarding CACLessor shall provide reasonable facilities for the conduct of such audit. If In the event that such audit shows that any additional sums due from Lessee has paid less than its actual percentage to Lessor on account of CACCAC expenses, then Lessee shall pay to Lessor such sums at the amount time of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage the next payment of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lesseehereunder. In addition, if the event that such audit shows that Lessee has overpaid any CAC expenses for any year in questions, then Lessee shall be entitled to deduct such overpaid amount from the next payment of Base Rent hereunder, or if this Lease has terminated, Lessor shall, within thirty (30) days of the receipt of such audit, refund such overpaid amount to Lessee. If the audit by more the Lessee results in a discrepancy of greater than ten five percent (105%) of the CAC actually payable by ), Lessor will reimburse Lessee, then Lessor shall pay the for Lessee’s reasonable out of pocket cost of Lessee’s costs for the audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence)6, Taxes under Section 16, 31 and the amount described in Section 31 for earthquake insurance; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with Capital Reserves replacements and government regulations imposed on the Premisesafter the Commencement Date and Premises not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent Five Thousand Nine Hundred Eighty Eight and 00/100’s Dollars (2%$5,988.00) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)per month, as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s profifty-rata share five and 52/100 percent (55.52%) of the total common area charges of the Premises as defined below (the below. Tenant's percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of the lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Leaselease, CAC "common area charges" shall include the reasonable costs actually incurred by Lessor for the following: include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year as Landlord may have installed for the repair purpose of reducing operating costs and/or to comply with all laws, rules and regulations of federal, state, county, municipal and other governmental authorities now or hereinafter in effect (Tenant's share of any such capital improvement shall equal Tenant's proportionate share of the fraction of the cost of such capital improvement equal to the remaining term of the lease over the useful life of such capital improvement); (iii) salaries and employee benefits (including union benefits) of personnel engaged in the operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the PremisesProject; (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; (vii) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (viviii) an amount equal to two five percent (25%) of the base rent and CAC (to actual expenditures for the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), all other common area charges as compensation for Lessor’s Landlord's accounting and management processing services. Lessee . (i) any costs occasioned by a breach of the obligations of Landlord, or the negligence of Landlord, its agents, employees or contractors, (ii) costs related to any construction defects existing as of the commencement date of this lease, (iii) any costs related to remediation of Hazardous Materials in, on or about the Premises or the Project (this shall have the not limit Tenant's obligations set forth in paragraph 49 of this lease), and (iv) any costs for which Landlord has a right to review the basis and computation analysis used to derive the CAC applicable to this Lease annuallyof reimbursement from third parties.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share 28.63% of the total common area charges Common Area Charges as defined in this lease. Tenant further agrees that Common Area Charges shall include an additional 5% of the Premises as defined below (the common area charges actual expenditures for the Premises is referred aggregate of all other Common Area Charges in order to herein as (“CAC”))compensate Landlord for accounting and processing services. Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s estimated monthly payment of Lessee’s Tenant's percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph Common Area Charges shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. paid as follows: At or prior to the commencement of the term and to the commencement of each calendar year of the term, Landlord shall deliver to Tenant a written estimate of total Common Area Charges during the balance of the calendar year in which the term commences and each succeeding calendar year, respectively. Tenant shall pay, as additional rent, on the first day of each month during the calendar year term (or portion thereof covered by such estimate) its percentage monthly share of Common Area Charges as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rentshown on such estimate. Within 120 thirty (30) days of the end of the each calendar year and of the end of the Lease Termterm, Lessor Landlord shall provide Lessee deliver to Tenant a statement of the actual CAC Common Area Charges incurred for the preceding year or other applicable period year, or, in the case of a termination yearstatement after the end of the term, covering the year in which the lease terminates. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC Common Area Charges if the actual or projected CAC Common Area Charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s obligation Tenant's obligations with respect to adjustments at the end of the Lease Term expiration or earlier expiration termination of this Lease lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair and maintenance of the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annuallytermination.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share fifty and ten one hundredths percent (50.10%) of the total common area charges of the Premises as defined below (the below. Tenant's percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of the lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent common area charge next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee "Common area charges," as used in this lease, shall include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year as Landlord may have installed for the right, at any time within one hundred eighty purpose of reducing operating costs and/or to comply with governmental rules and regulations promulgated after completion of the building (180) days after Lessee’s receipt Tenant's share of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage capital improvement shall equal Tenant's proportionate share of CAC, then Lessee shall pay to Lessor the amount fraction of the cost of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof capital improvement equal to the Rent next becoming due from Lessee. In addition, if remaining term of the lease over the useful life of such audit shows that Lessee has overpaid CAC by more than ten percent capital improvement); (10%iii) salaries and employee benefits (including union benefits) of personnel engaged in the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; Project: (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; (vii) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (viviii) an amount equal to two five percent (25%) of the base rent and CAC (to actual expenditures for the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), all other common area charges as compensation for Lessor’s Landlord's accounting and management processing services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. In addition to any other charges herein provided to be paid by Lessee to Lessor, Lessee shall pay to Lessor, as additional Rent, an amount equal to Rent and as Lessee’s pro-rata share of the total common area charges cost of maintaining, operating, repairing and managing the Project, L▇▇▇▇▇’s proportionate share (as calculated in the manner described in Section 12) of the Premises Total Common Area Charges (as defined below hereinafter defined) for any calendar year during the Term (the “CAM Amount”). Lessee shall pay Lessor in advance its monthly estimated proportionate share (as calculated in the manner described in Section 12) of the Total Common Area Charges, together with all applicable rental taxes due thereon, at the same time as Lessee pays Monthly Base Rent, or if no Monthly Base Rent is due, within 15 days after receipt of an invoice from Lessor setting forth Lessor’s estimate of such amount. Within 90 days following the end of each calendar year during the Term or as soon thereafter as is reasonably possible, Lessor shall furnish Lessee with a statement of all Total Common Area Charges for the Project for the previous calendar year indicating the computation of Lessee’s proportionate share of the Total Common Area Charges for such calendar year and the payments made by Lessee during such calendar year. If L▇▇▇▇▇’s aggregate estimated monthly payments actually paid to Lessor for the calendar year are greater than Lessee’s proportionate share of the Total Common Area Charges for such calendar year, Lessor shall apply the excess to any past due amounts owing from Lessee to Lessor or, in the event no such past due amounts are then owing, Lessor shall credit such excess to amounts to become due from Lessee under this Section 11. If the payments made are less than Lessee’s proportionate share, Lessee shall pay the difference to Lessor within 30 days of its receipt of such statement. “Total Common Area Charges” shall consist of all customary costs and expenses of every type associated with the management, repair, maintenance, and insuring of the Project during the Term including, without limitation, costs and expenses for the following: gardening and landscaping; utilities, water and sewer charges; actual premiums for liability, property damage and casualty, w▇▇▇▇▇▇’▇ compensation and other insurance as required by Lessor or its lenders; all personal property taxes levied on or attributable to personal property used in connection with the Project; rental or lease payments paid by Lessor for rented or leased personal property used in the operation or maintenance of Project; fees for required licenses and permits; refuse disposal charges; repairing, resurfacing, repaving, maintaining, painting, lighting, cleaning, janitorial, refuse removal, security and similar items; repair and maintenance of exterior roofs and reserves for roof replacement and exterior painting of the Project and other appropriate reserves; fees paid to property managers; amortization of capital expenses, including financing costs if (i) required by a governmental entity for energy conservation, life safety, ADA, or environmental purposes, (ii) reasonably made by Lessor to reduce Total Common Area Charges, or (iii) the replacement of the HVAC systems under Section 7.2 above, the cost of which capital expenses shall be reasonably amortized by Lessor over the useful life of the improvement, in accordance with generally accepted accounting principles; compensation (including employment taxes and fringe benefits) of all persons who perform duties connected with the operation, maintenance, repair or overhaul of the Project, but only to the extent of the time performed working on the Project; and other similar costs and expenses relating to the operation and maintenance of the Project. Said Total Common Area Charges shall further include all charges for utilities supplied to the Premises and to other Lessees of the Project which are not separately metered, all charges for regular preventive maintenance service of mechanical equipment including, without limitation, heating, ventilating and air conditioning equipment, which serves the Common Areas, the cost of lighting, maintenance and repair of the Project identification signs, all charges for repair and maintenance of mechanical equipment, including, without limitation, heating, ventilating and air conditioning equipment which is attributable to the Project, and the cost of repairing and maintaining the plumbing, electrical and other off-Premises facilities serving the Premises or the Project. The Total Common Area Charges will also include an administrative fee equal to 4% of all other common area charges for the Premises is referred Project under this Lease, the Insurance Amount and the Real Property Taxes. Common Area Charges shall not include interest, amortization or other payments on loans required to herein as (“CAC”)). Lessee shall pay to Lessor as Rentbe paid by Lessor; leasing commissions; income, excess profits or franchise taxes or other such taxes imposed on or before measured by the first day income of each calendar month during Lessor from the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC (which as operation of the date Premises or the Project; the cost of this Lease represents providing tenant improvements to any tenants or the insurance covered under Sections 6 A) cost of renovating space leased to new tenants or space vacated by any tenant; goods or materials provided to any tenant for which separate charge to such tenant is made; advertising costs incurred in renting space in the Building or Project; any costs or expenses for which Lessor is or will otherwise be reimbursed or indemnified (whether by an insurer, condemnor, tenant or otherwise); overhead and 6 B) administrative costs of Lessor not directly incurred in the operation and maintenance of the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible Project; depreciation or amortization of the Building or its contents or components; expenses for replacement repairs or other work the cost of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by insurance carried by Lessor or required to be carried by Lessor hereunder; expenses in addition to leasing commissions incurred in leasing or obtaining new tenants or retaining existing tenants, including legal expenses, entertaining or promotion; interest, amortization or other costs, including legal fees, associated with any mortgage, loan or refinancing of the CAC)Project or any interest of Lessor in the Project; transfer or recordation taxes and other charges in connection with the transfer of ownership in the Building, roof membrane or land trust fees; expenses incurred for any necessary replacement (not including of any item to the roof membrane maintenance which extent that it is covered by under warranty, provided the CAC)warranty is honored; the cost of any item or service for which Lessee separately reimburses Lessor, roof decking, structural or insulation replacement as a result of water intrusion from failure which Lessor provides selectively to one or more tenants of the roof membraneProject, elevatorother than Lessee, whether or not Lessor is reimbursed by such other tenant(s); legal fees relating to the ownership, construction, leasing, sale of or relating to any litigation in any way involving the Project, or to the enforcement of the terms of any lease; any interest or penalty incurred due to the late payment of any operating expense and/or real estate tax; the cost of any penalty or fine incurred for noncompliance with any applicable building or fire code or any other applicable law relating to the Project, any personal property taxes of the Lessor for equipment or items not used directly in the operation or maintenance of the Project, nor connected therewith; Lessor’s general office expenses, and painting expenses for travel, entertainment, gifts, dues, subscriptions, memberships, tuition, seminars, errors and omissions insurance, automobile allowances, and charitable or political donations, provided that in no event shall the payroll, payroll related and other expenses related to any employees of Lessor above the building exterior manager or equivalent operational level or not working full-time on the management or operation of the Project be included in Common Area Charges, and further provided that such expenses of part-time workers may be included if equitably allocated to reflect actual time spent on the Project; the cost of overtime or other expense to Lessor in performing work expressly provided in this Lease to be borne at Lessor’s expense; all bad debt loss, rent loss, or reserve for bad debt or rent loss; and any amount paid to an entity related to Lessor which exceed the amount that would have been paid for comparable goods or services in an arms-length transaction between unrelated parties in the greater Phoenix metropolitan area. Lessee shall have the right, at L▇▇▇▇▇’s cost, to audit Lessor’s books and records relating to Total Common Area Charges, Real Property Taxes and the Insurance Amount. Lessee shall provide not less than thirty (30) days’ prior written notice of its intent to audit. L▇▇▇▇▇’s right to audit Lessor’s books and records may be exercised no more than once per calendar year. L▇▇▇▇▇’s written notice of its intent to audit must be received by Lessor no later than 60 days after L▇▇▇▇▇’s receipt of the “Capital Replacements”statement(s) during from Lessor relating to Total Common Area Charges, Real Property Taxes and the Lease Term or any extension thereof by properly licensed and insured contractors using materials Insurance Amount. Lessee shall provide the results of equal or better quality that existed prior such audit to the Capital ReplacementLessor immediately upon receipt by L▇▇▇▇▇. It is understood and agreed If such audit reveals that Lessee’s obligation under this paragraph shall be prorated Lessor has over-charged L▇▇▇▇▇, then within thirty (30) days after the results of such audit are delivered to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter)Lessor, Lessor shall provide reimburse to Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days the amount of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination yearsuch over-charge. If such statement shows audit reveals that Lessee Lessor has paid less than its actual percentageunder-charged L▇▇▇▇▇, then within thirty (30) days after the results of such audit are delivered to Lessor, Lessee shall pay to Lessor the amount of such deficiency within thirty under-charge. Lessee agrees to pay the cost of such audit unless it is subsequently determined that L▇▇▇▇▇’s original statement(s) relating to Total Common Area Charges, Real Property Taxes and the Insurance Amount overstated such costs by five percent (305%) days. If or more of the actual Total Common Area Charges, Real Property Taxes and Insurance Amount verified by such statement shows that audit, in which case Lessor shall reimburse Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund for the reasonable cost of such excess to Lessee or credit audit (but in no event shall such reimbursement exceed the amount thereof to the Rent next becoming due from Lessee. Lessor reserves Total Common Area Charges, Real Property Taxes and the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expirationInsurance Amount were overstated). Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books be specifically restricted and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due prohibited from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair and maintenance of the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) engaging an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable auditor pursuant to this Lease annuallySection 11 on any sort of fee-for-results or contingent fee arrangement basis.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two One Thousand Eight One Hundred Seventy One and Sixty-Five Dollars ($2,8711,165.00), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC and includes a fixed monthly sum of One Hundred and Fifty Dollars ($150.00) which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible long term capital reserve for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC)lot, roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital ReplacementsReserves”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement). It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial monthTerm and adjusted based on the square footage occupied. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within approximately 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred including capital reserves for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises, Building and Common Area; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises, Building and Common Area; and (v) costs to comply with Capital Reserves replacements and government regulations imposed on the Premisesafter the Commencement Date Premises, Building and Common Area not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)$.02 per square foot, as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rent------------------- rent, an amount equal to Lessee’s protwenty-rata share three and forty-seven one hundredths percent (23.47%) of the total common area charges of the Premises as defined below (the below. Tenant's percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of this lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency deficiency. If Tenant fails to pay such excess amount due within thirty (30) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of ten percent (10% %) from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee shall have the right, at any time within Within one hundred eighty twenty (180120) days after Lessee’s receipt of any such the itemized statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its of actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor common area charges for the following: (i) the repair and maintenance of the Premises under Section 5(b)prior calendar year, the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee Tenant shall have the right to review request in writing from Landlord further documentation substantiating any actual common area charge. If Tenant makes such written request, Landlord shall provide Tenant with copies of invoices or other evidence of the basis and computation analysis used common area charge in question. Tenant's failure to derive request such further backup documentation within the CAC applicable one hundred twenty (120) day period referenced above shall be deemed a waiver by Tenant of the right to request any documentation. Tenant shall have no right, pending the receipt of any documentation, to withhold any payment of the common area charges or any other amount owed by Tenant under this Lease annuallyLease.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share 28.7% (29,424 [divided by] 102,528 square feet) of the total common area charges Common Area Charges as defined in this lease. Tenant further agrees that Common Area Charges shall include an additional 5% of the Premises as defined below (the common area charges actual expenditures for the Premises is referred aggregate of all other Common Area Charges in order to herein as (“CAC”))compensate Landlord for accounting and processing services. Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s estimated monthly payment of Lessee’s Tenant's percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph Common Area Charges shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. paid as follows: At or prior to the commencement of the term and to the commencement of each calendar year of the term, Landlord shall deliver to Tenant a written estimate of total Common Area Charges during the balance of the calendar year in which the term commences and each succeeding calendar year, respectively. Tenant shall pay, as additional rent, on the first day of each month during the calendar year term (or portion thereof) covered by such estimate, its percentage months share of Common Area Charges as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rentshown on such estimate. Within 120 thirty (30) days of the end of the each calendar year and of the end of the Lease Termterm, Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC Common Area Charges incurred for the preceding year or other applicable period year, or, in the case of a termination yearstatement after the end of the term, covering the year in which the lease terminates. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC Common Area Charges if the actual or projected CAC Common Area Charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s obligation Tenant's obligations with respect to adjustments at the end of the Lease Term or earlier expiration term of this Lease lease shall survive the Lease Term or earlier expirationsuch termination. Lessee Landlord shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement allow Tenant reasonable access to audit Lessor’s Landlord's books and records regarding CACrespecting Common Area Charges. If Tenant shall be entitled to cause a certified public accountant to perform an audit of the statement of actual Common Area Charges for the preceding year, and in the event such audit shows shall establish that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of shown on such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC statement overstates by more than two percent (2%) the amount Tenant is liable for then Landlord shall promptly reimburse to Tenant any sums overpaid by Tenant, together with interest on the overpaid amounts at the rate of ten percent (10%) per annum and the cost of such audit. In the CAC actually payable by Lesseeevent such audit shall not establish such overstatement, then Lessor Tenant shall pay the out of pocket entire cost of Lessee’s such audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair and maintenance of the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata rate share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Twenty-Nine Thousand Seven Hundred Forty-Five ($29,745) Dollars for Phase I and Fifty-Eight Hundred Seventy One Thousand Twenty Dollars ($2,871)58,020) for Phase I and Phase II together, said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC and includes a fixed monthly sum of Three Thousand Seven Hundred Fifty Dollars ($3,750) for Phase I and Seven Thousand Five Hundred Dollars ($7,500) for Phase I and II per month which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible long term capital reserve for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC)lot, roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevatorroof, and painting of the exterior of building exterior (the “Capital ReplacementsReserves”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination yearyear plus Capital Reserves. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show Show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefortherefore, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the PremisesPremises excluding window cleaning and janitorial; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with Capital Reserves and government regulations imposed on the Premisesafter the Commencement Date and Premises not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two five percent (25%) of the base rent and CAC (to the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)all CAC, as compensation for Lessor’s accounting accounting, processing services and management servicesfee. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually. Notwithstanding the foregoing, the following costs shall be not included in CAC: (a) any cost for a single item capital repair or replacement that exceeds Ten Thousand Dollars ($10,000) (“Capital Expense”) that is not amortized over its useful life (not to exceed 20 years) at ▇▇▇▇▇ Fargo prime rate plus 1% other than these enumerated in Section 5(b). The monthly amortized portion of the Capital Expense may be added to the CAC during Lease Term, (b) all costs necessitated by the negligence or willful misconduct of Lessor or its agents, employees or contractors, (c) all costs necessary to comply with legal requirements prior to Commencement Date, (d) all costs for which Lessor recovers payment or reimbursement from insurance proceeds, condemnation award, any tenant or any other person, (e) all costs paid to affiliates of Lessor to the extent such costs exceed market value, (f) any cost for replacement of Capital Reserves items except for the monthly fixed amount. Lessee shall have the right to inspect and/or audit the books and records of Lessor to review and/or confirm the amount of CAC. If the amount paid by Lessee during any year for CAC shall be greater than 105% of the actual CAC plus Capital Reserve, Lessor shall return such overpayment to Lessee together with interest at prime plus 1%. If the amount paid by Lessee during any year for CAC shall be more than 110% of the actual CAC plus Capital Reserve, Lessor shall return such overpayment together with interest at prime plus 2%. If any actual overpayment of 5% or more is discovered as a result of Lessee’s audit that was not shown on Lessor’s annual statement, Lessor shall reimburse Lessee for all costs and expenses incurred by Lessee in reviewing and/or auditing the books and records of Lessor. Any dispute concerning CAC shall be resolved by baseball arbitration.

Common Area Charges. Lessee Lessor shall arrange and pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share the contractors for maintenance of the total common area charges Common Areas including snow plowing and landscaping and maintenance of exterior structural items such as the Premises roof and parking areas, with all of same to be charged back the Lessee as defined below (the common area charges for the Premises is referred to herein as (“CAC”))a Common Area Maintenance charge. Lessee shall pay to Lessor as Rentshall, on or before in advance of the first day of each calendar month, remit an invoice to Lessee for all such Additional Rent items to include the monthly charge for taxes, insurance and CAM. Monthly charges shall initially be paid based upon Lessor's estimation of expenses which at present are $3.52 per square foot (i.e., $8,037.33 per month). If, during any particular Lease Year, there is a change in the information on which Lessor based the estimate upon which Lessee is then making its payment so that such statement furnished to Lessee is no longer accurate, Lessor shall be permitted as reasonably necessary to revise such statements by notifying Lessee, and there shall be such adjustments made in the Additional Rent on the first day of the month during following the Lease Termserving of such statement on Lessee as shall be necessary by either increasing or decreasing, subject to adjustment and reconciliation as provided hereinbelowthe case may be, the sum amount of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC (which as of Additional Rent then being paid by Lessee for the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end balance of the Lease Term, including Year (but in no event shall any such decrease result in a partial monthreduction of the Rent below the Monthly Rent plus all other actual amounts of Additional Rent). Lessor's and Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior 's responsibilities with respect to the commencement Additional Rent described herein shall survive for two (2) years after the expiration or early termination of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rentthis Lease. Within 120 days following the conclusion of each Calendar Year (or within 90 days following the end termination of the calendar year and the end of the Lease Term, this Lease) Lessor shall provide Lessee will deliver a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if detailing the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for charges incurred during the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty prior Calendar Year (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair and maintenance of the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B"Final Statement") and the deductible thereunder (not monthly statement will be adjusted to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management servicesreflect such actual charges. Lessee shall have the right to review the basis books and computation analysis used records of Lessor relating only to derive expenses shown on the CAC applicable itemized statement provided said review request is made within six months after receipt of the Final Statement. Failure to request a timely review shall be deemed a waiver of this right for all time. If an error of greater than 10% is disclosed by the audit, then Lessor agrees to reimburse Lessee's reasonable cost to audit, no to exceed $5,000. In the event Lessee's review demonstrates an error in Lessor's Final Statement, an appropriate adjustment will be made on the next monthly statement or Lessor shall reimburse Lessee if the Lease annuallyhas expired or terminated.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s proforty-rata share one and three one hundredths percent (41.03%) of the total common area charges of the Premises as defined below (the below. Tenant's percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of the lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee "Common area charges," as used in this lease, shall include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year as Landlord may have installed for the right, at any time within one hundred eighty purpose of reducing operating costs and/or to comply with governmental rules and regulations promulgated after completion of the building (180) days after Lessee’s receipt Tenant's share of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage capital improvement shall equal Tenant's proportionate share of CAC, then Lessee shall pay to Lessor the amount fraction of the cost of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof capital improvement equal to the Rent next becoming due from Lessee. In addition, if remaining term of the lease over the useful life of such audit shows that Lessee has overpaid CAC by more than ten percent capital improvement); (10%iii) salaries and employee benefits (including union benefits) of personnel engaged in the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; Project: (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; (vii) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (viviii) an amount equal to two five percent (25%) of the base rent actual expenditures for the aggregate of all other common area charges as compensation for Landlord's accounting and CAC processing services. Notwithstanding the foregoing, common area charges shall not include any management fees other than the fee (equal to the extent that the Lessee elects to take direct control five percent (5%) of the CAC cost of all other common area charges) as compensation for Landlord's accounting and processing services which is specifically referenced herein. In addition, common area charges shall not include (i) the cost of maintenance and repair of structural elements of the Premises excluding the roof and exterior walls or (ii) the cost of bringing the Premises into compliance with laws, statutes, ordinances and governmental rules, regulations or requirements (except for the Americans with Disabilities Act ), as in effect at the execution date of this lease as described in paragraph 7 of this lease. Capital improvements with an estimated useful life in excess of one (1) year shall be amortized as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to paragraph 56 of this Lease annuallylease.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share (i) twenty percent (20%) of the total common area charges of the Premises as defined below Project and (ii) 100% of the common area charges for of the building in which the Premises is referred to herein are located. There shall be no duplication of costs in items (i) and (ii) of the preceding sentence. Tenant's percentage share of such common area charges shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of the lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or year. Upon Tenant's written request made within ninety (90) days after receipt of the statement, Landlord shall provide Tenant with copies of invoices and other applicable period documentation in the case of a termination yearsupport thereof. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Leaselease, CAC "common area charges" shall include the reasonable costs actually incurred by Lessor for the following: include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year as Landlord may have installed for the repair purpose of reducing operating costs and/or to comply with all laws, rules and regulations of federal, state, county, municipal and other governmental authorities now or hereafter in effect (Tenant's share of any such capital improvement shall equal Tenant's proportionate share of the fraction of the cost of such capital improvement equal to the remaining term of the lease over the useful life of such capital improvement); (iii) salaries and employee benefits (including union benefits) of personnel engaged in the operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the PremisesProject; (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; (vii) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (viviii) an amount equal to two five percent (25%) of the base rent and CAC (to actual expenditures for the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), all other common area charges as compensation for Lessor’s Landlord's accounting and management processing services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share One Hundred percent (100.00%) of the total common area charges of the Premises as defined below (the below. Tenant's percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of the lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency. If Tenant fails to pay such deficiency due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent common area charge next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee 18 "▇▇▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇▇," ▇s used in this lease, shall include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year as Landlord may have installed for the right, at any time within one hundred eighty purpose of reducing operating costs and/or to comply with governmental rules and regulations promulgated after completion of the building (180) days after Lessee’s receipt Tenant's share of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage capital improvement shall equal Tenant's proportionate share of CAC, then Lessee shall pay to Lessor the amount fraction of the cost of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof capital improvement equal to the Rent next becoming due from Lessee. In addition, if remaining term of the lease over the useful life of such audit shows that Lessee has overpaid CAC by more than ten percent capital improvement); (10%iii) salaries and employee benefits (including union benefits) of personnel engaged in the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; Project: (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; (vii) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (viviii) an amount equal to two five percent (25%) of the base rent and CAC (to actual expenditures for the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), all other common area charges as compensation for Lessor’s Landlord's accounting and management processing services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pro-rata share 17.40% of the total common area charges of the Premises as defined below (the below. Tenant’s percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lesseefollows: Tenant’s estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4(b) of this Lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lesseedeliver to Tenant a written estimate of Tenant’s estimated monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4(b) of this Lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the termination of this Lease Term(or as soon as practicable thereafter), Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in year, which statement shall be certified as being accurate to the case actual knowledge of a termination yearan officer of Landlord’s management company. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall pay to Lessor Landlord the amount of such deficiency within thirty ten (3010) daysdays after receipt of the statement. If Tenant fails to pay the deficiency within such ten (10) day period, Tenant shall pay an additional five percent (5%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor shall, at its option, promptly refund Landlord shall credit the amount of such excess to Lessee or credit the amount thereof to the Rent Tenant’s percentage share of common area charges next becoming due from Lesseeunder the Lease, or if the Lease has terminated, return such excess to Tenant concurrently with delivery of the statement. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of ten percent (10% %) from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor▇▇▇▇▇▇▇▇’s and Lessee▇▇▇▇▇▇’s obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease shall survive the Lease Term such termination or earlier expiration. Lessee Within ninety (90) days after receipt of the statement of actual common area charges for the prior calendar year described above or any other demand by Landlord for reimbursement pursuant to this Lease, Tenant shall have the right to request in writing from Landlord, and Landlord shall provide, reasonable “backup” documentation, including copies of invoices, substantiating any common area charge or requested reimbursement. Tenant shall have no right, at any time within one hundred eighty (180) days after Lessee’s pending the receipt of any such statement documentation, to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) withhold any payment of the CAC common area charges or any other amount actually payable owed by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s auditTenant under this Lease. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As “Common area charges,” as used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital repairs, replacements, improvements or alterations having a useful life greater than one (1) year (any such capital repair, replacement, improvement or alteration being a “Capital Expenditure”) as Landlord may have performed or installed for the repair purpose of reducing operating costs and/or to comply with all laws, rules and regulations of federal, state, county, municipal and other governmental authorities now or hereinafter in effect, such Capital Expenditure(s) to be amortized over the useful life of the Capital Expenditure(s) in question with interest thereon at five percent (5%) (and Tenant shall pay its percentage share of the monthly amortized portion of any such Capital Expenditure(s) during the remaining term of this Lease (plus any option term and/or other extension(s) of the term of this Lease)); (iii) salaries and employee benefits (including union benefits) of personnel engaged in the operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, non-capital equipment and tools used and or required in connection with the operation and maintenance of the PremisesProject; (iiiv) licenses, permits and inspection fees; and (ivvi) all other operating costs incurred by Lessor Landlord in directly maintaining and operating the PremisesProject. Notwithstanding the foregoing, common area charges shall not include and, subject to the third (3rd) subparagraph of paragraph 11 hereof, no other provision of this Lease shall impose upon Tenant a requirement to pay directly or reimburse Landlord for any of the following: (a) costs occasioned by casualties (except that Tenant shall pay Tenant’s percentage share of any deductible applicable to casualty insurance (which percentage share shall not exceed Ten Thousand Dollars ($10,000))) or by the exercise of the power of eminent domain by a public or quasi-public authority; (b) management fees or accounting fees or the cost of any on-site or off-site management personnel; (c) costs incurred to repair latent construction defects in the Premises not resulting from Alterations or Permitted Alterations performed by or on behalf of Tenant; (d) costs incurred by Landlord arising from claims, disputes or potential disputes between Landlord and individual tenants in the Project or any other third person with respect to the Project; (e) marketing and promotional costs, leasing commissions or fees in lieu of commissions or other costs incurred in procuring tenants, lenders or buyers; (f) costs occasioned by the intentional act or violation of law, rule, regulation, covenant, condition, restriction or fire underwriter’s requirement by Landlord, any other occupant of the Project, or their respective agents, employees or contractors; (g) costs to replace any underground utilities from the street to the Project or replacements of the structural elements of the Project; (h) any taxes which are separately assessed to another tenant of the Project as a result of such tenant’s over-standard improvements; (i) estate, inheritance, transfer, gift, or franchise taxes of Landlord or any federal or state income tax on income from all sources (except a tax on rent); (j) depreciation or other expense reserves; (k) interest, charges and fees incurred on debt, payments on mortgages and rent under ground leases; (l) costs of sculptures, fountains, paintings and other art objects; (m) costs incurred with respect to any Hazardous Materials (except to the extent the Hazardous Material was introduced to the Premises by Tenant, its subtenants or assigns, or their respective employees, agents or contractors); (n) the cost of repairs, replacements and general maintenance to the extent Landlord receives reimbursement for such costs in the same calendar year as incurred from insurance proceeds, warranties, guaranties or third parties (provided, however, if any such reimbursement is not received in the calendar year when such expense was incurred, the reimbursement shall be applied to common area charges for the calendar year in which such reimbursement is received (and, if the Lease has terminated, Landlord shall reimburse Tenant for its percentage share of any such reimbursement on the later of (A) the date Landlord delivers the statement described in the second (2nd) subparagraph of this paragraph 16 or (B) the date that is thirty (30) days after the date Landlord receives such reimbursement)); and (vo) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy insurance premiums in excess of the Premises; and (vi) an amount equal premiums reimbursable by Tenant pursuant to two percent (2%) paragraph 11 of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annuallyLease.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata 's prorata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“"CAC”")). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelowbelow, the sum of Two Nine Thousand Eight Six Hundred Seventy One Dollars ($2,871Twelve Dollars($9,612), said sum representing Lessee’s 's estimated monthly payment of Lessee’s 's percentage share of CAC and includes a fixed monthly sum of Fourteen Hundred Seven Dollars ($1,407.00) which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible long term capital reserve for replacement of capital items, including but not limited to: existing HVAC units, parking lot (not including resealing and restriping which is covered by the CAC)lot, roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “"Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital ReplacementReserves"). It is understood and agreed that Lessee’s 's obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s 's estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s 's estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred including Capital Reserves for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefortherefore, and Lessee shall revise its monthly payments accordingly. Lessor’s 's and Lessee’s 's obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with Capital Reserves replacements and government regulations imposed on the Premisesafter the Commencement Date and Premises not related to Lessee’s particular 's use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)$.02 per square foot per month, as compensation for Lessor’s 's accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Seven Thousand Eight One Hundred Seventy One Ten Dollars ($2,8717,110), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. The CAC does not include any amounts for Utilities. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 90 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination year, If Lessee desires backup supporting documentation, Lessor will provide at a cost of $5.00 per page for each document requested. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall within ten (10) days of written demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its Lessee’s option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessor shall maintain books and records reflecting the CAC in accordance with generally accepted accounting principles. Lessee and its certified public accountant shall have the right, right to inspect Lessor’s records at any time within one hundred eighty Lessor’s applicable local office or other location designated by Lessor upon at least forty-eight (18048) days after Lessee’s receipt hours prior notice during normal business hours. The results of any such statement to audit Lessor’s books inspection shall be kept strictly confidential by Lessee and records regarding CACits agents. If Lessee objects to any actual statement, Lessor and Lessee shall agree upon an independent certified public accountant to issue a final and conclusive actual statement. If it shall be finally determined by such audit shows independent certified public accountant that Lessee has paid less than its such actual percentage of CACstatement by Lessor was incorrect, then either (a) Lessor shall reimburse Lessee shall pay to Lessor for any overpayment or credit the amount of such deficiency overpayment against the next installment of rent, or (b) Lessee shall within thirty ten (3010) daysdays after such determination pay any amounts due to Lessor. If Lessee shall pay the cost of such audit, provided that if the audit shows that Lessee has paid more than its actual percentage of CAC, then reveals Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid overstated CAC by more than ten five percent (105%) of the CAC actually payable by Lessee), then Lessor shall pay the out of pocket cost of Lessee’s such audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) all costs of and expenses in connection with the foregoing, including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; (iii) licenses, permits and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two One percent (21%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)CAC, as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually. CAC shall not include and Lessee shall have no obligation for any of the following: 1. Leasing commissions and/or expenses and advertising and promotional expenses. 2. Legal fees or other professional or consulting fees in connection with the negotiation of tenant leases. 3. Repairs, alternations, additions, improvements, or replacements made to rectify or correct any defect in the original design, materials or workmanship of the Premises, building or common areas if proven by Lessee to be a defect. Defect does not cover normal wear and tear, products out of warranty or items that are over 1 year old except for structural defects. 4. Repairs required to cure violations of laws existing at date of occupancy, 5. The cost of repairs or replacements, less Lessee deductible, required under the Lease to be insured by Lessor unless such coverage was not available on a commercially reasonable basis and Lessor has notified Lessee that he is unable to obtain insurance required of Lessor under Lease. 6. Damage and repair necessitated by the sole negligence or willful misconduct of Lessor or Lessor Agents after notice from Lessee. 7. Compensation paid to officers or executives of the Lessor. 8. Salaries of service personnel to the extent that such personnel perform services not solely in connection with the management, operation, repair, or maintenance of the building except on a reasonable fair or equitable basis. 9. The cost of overtime or other expense to Lessor in curing its defaults. 10. Legal fees, accounting fees, and other expenses incurred in connection with disputes with tenants or occupants of the building or associated with the enforcement of the terms of any leases with tenants or the defense of Lessor’s title or interest in the building or any party thereof except as a result of Lessee defaults. 11. Costs (including permits, licensing, and inspection fees) incurred in renovations or otherwise improving, decorating, painting, or altering space for other tenants or other occupants or of vacant space (excluding common areas) in the building. 12. Cost incurred due to the default of any other tenant of the building pursuant to the terms and conditions of a lease. 13. Cost of any service provided to tenants or other occupants of the building for which Lessor is reimbursed. 14. Lessor shall not collect in excess of one hundred percent (100%) of operating expenses. 15. Interest on indebtedness or any costs of finance or refinancing the building, building equipment, or building improvements, replacements, or repairs provided Lessee promptly pays their pro-rata share of all of these items.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-rata share or other equitable share of the total common area charges of the Premises as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelowherein below, the sum of Two Six Thousand Eight One Hundred Seventy One Dollars Twenty ($2,8716,120), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage based on 16 percent share of CAC and includes a fixed monthly sum of Three Thousand Five Hundred Dollars ($3,500.00 ) which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacementutilities. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term. Notwithstanding any other provision of this Section 1.8, including it is agreed that Lessee’s CAC cost, excluding Utility Costs which will be based Lease terms, during the term of this Lease will not increase by more than $360.00 per month for any reason, except as a partial month. result of the willful violation of Lease by Lessee or Lessee’s Agents Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred including capital reserves for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the followingbut is not limited to: (i) the repair and maintenance of the Premises under Section items as specified in Sections 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 12, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) all costs of and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the Premises; (iii) licenses, permits Building and inspection fees; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.Common Area;

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Rentrent, an amount equal to Lessee’s pronineteen and seventy-rata share five one hundredths percent (19.75%) of the total common area charges as defined below. Tenant's percentage share of common area charges is determined by the square footage of the Premises as defined below (17,470 square feet) divided by the total square footage of the Project (88,450 square feet). Tenant's percentage share of common area charges for the Premises is referred to herein shall be paid as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s follows: Tenant's estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC common area charges payable by Lessee Tenant during the calendar year in which the Lease term commences is set forth abovein paragraph 4 (b) of this lease. At or prior Prior to the commencement of each succeeding calendar year of the term (or as soon as practical practicable thereafter), Lessor Landlord shall provide Lessee with Lessee’s estimated deliver to Tenant a written estimate of Tenant's monthly payment for CAC which Lessee of common area charges. Tenant shall pay to Lessor pay, as Rentadditional rent, on the first day of each month during the term in accordance with paragraph 4 (b) of this lease, its monthly share of common area charges as estimated by Landlord. Within 120 one hundred twenty (120) days of the end of the each calendar year and the end of the Lease Termtermination of this lease (or as soon as practicable thereafter) , Lessor Landlord shall provide Lessee deliver to Tenant a statement of actual CAC common area charges incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee Tenant has paid less than its actual percentage, percentage then Lessee Tenant shall on demand pay to Lessor Landlord the amount of such deficiency deficiency. If Tenant fails to pay such excess amount due within thirty ten (3010) daysdays after demand, Tenant shall pay an additional ten percent (10%) of the amount due as a penalty. If such statement shows that Lessee Tenant has paid more than its actual percentage, percentage share then Lessor Landlord shall, at its option, promptly refund such excess to Lessee Tenant or credit the amount thereof to the Rent rent next becoming due from LesseeTenant. Lessor Landlord reserves the right to revise any estimate of CAC common area charges if the actual or projected CAC common area charges show an increase or decrease in excess of 10% from an any earlier estimate for the same period. In such event, Lessor Landlord shall provide a deliver the revised estimate to LesseeTenant, together with an explanation of the reasons therefor, and Lessee Tenant shall revise its monthly payments accordingly. Lessor’s Landlord's and Lessee’s Tenant's obligation with respect to adjustments at the end of the Lease Term term or earlier expiration of this Lease lease shall survive the Lease Term such termination or earlier expiration. Lessee "Common area charges," as used in this lease, shall include, but not be limited to, (i) all items identified in paragraphs 8, 9, 11, 12, 13 and 15 as being common area charges; (ii) amortization of such capital improvements having a useful life greater than one year required to be made by Landlord to the Common Area pursuant to this lease or that Landlord may have installed for the rightpurpose of reducing operating costs and/or to comply all laws, at any time within one hundred eighty rules and regulations of federal, state, county, municipal and other governmental authorities now or hereinafter in effect (180) days after Lessee’s receipt Tenant's share of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage capital improvement shall equal Tenant's proportionate share of CAC, then Lessee shall pay to Lessor the amount fraction of the cost of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof capital improvement equal to the Rent next becoming due from Lessee. In addition, if remaining term of the lease over the useful life of such audit shows that Lessee has overpaid CAC capital improvement and the determination of what constitutes a capital improvement and the useful life thereof shall be reasonably made by more than ten percent Landlord in accordance with generally accepted accounting principles); (10%iii) salaries and employee benefits (including union benefits) of personnel engaged in the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: (i) the repair operation and maintenance of the Project (or the building in which the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 Aare located) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurancepayroll taxes applicable thereto; (iiiv) costs of supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the PremisesProject; (iiiv) licenses, permits and inspection fees; (ivvi) a reasonable reserve for repairs and replacement of equipment used in the maintenance and operation of the Project; and (vii) all other reasonable operating costs incurred by Lessor Landlord in directly maintaining and operating the Premises; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vi) an amount equal to two percent (2%) of the base rent and CAC (to the extent that the Lessee elects to take direct control of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annuallyProject.

Common Area Charges. Lessee shall pay to Lessor, as additional Rent, an amount equal to Lessee’s pro-its pro rata share of the total common area charges of the Premises as defined below Project and one hundred percent (100%) of the total common area charges for the Building (the common area charges for the Premises is Project and the common area charges for the building collectively referred to herein as (“"CAC”")). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Sixteen Thousand Eight Five Hundred Seventy One Dollars ($2,87116,500), said sum representing Lessee’s 's estimated monthly payment of Lessee’s 's percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 A) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s 's obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term. Upon execution of this Lease, including a partial Lessee shall deposit with Lessor the first month's estimated CAC. Lessee’s 's estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s 's estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred including capital reserves for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall on demand pay to Lessor the amount of 2 such deficiency within thirty (30) daysdeficiency. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s 's and Lessee’s 's obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement to audit Lessor’s books and records regarding CAC. If such audit shows that Lessee has paid less than its actual percentage of CAC, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used in this Lease, CAC shall include the reasonable costs actually incurred by Lessor for the following: but are not limited to, (i) the repair and maintenance of the Premises under Section items specified as CAC items in Paragraphs 5(b), the premiums for Lessor’s insurance under Sections 6 A) 6, 9, 16 and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described in Section 31 for earthquake insurance31; (ii) utility costs related to the common areas of the Project (the "Project" is shown on Exhibit A.2) (iii) all costs and expenses including but not limited to supplies, materials, equipment and tools used and or required in connection with the operation and maintenance of the PremisesProject; (iiiiv) licenses, permits and inspection fees; (ivv) all other costs incurred by Lessor in directly maintaining and operating the PremisesProject; (vi) all reserves for capital replacements; and (v) costs to comply with government regulations imposed on the Premisesafter the Commencement Date and not related to Lessee’s particular use and occupancy of the Premises; and (vivii) an amount equal to two and one-half percent (22.5%) of the base rent and CAC (to the extent that the Lessee elects to take direct control aggregate of the CAC as provided in Section 5(b), the management fee will only be calculated using the base rent and the CAC that is managed directly by Lessor)all CAC, as compensation for Lessor’s 's accounting and management processing services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to this Lease annually.

Common Area Charges. Lessee Tenant shall pay to LessorLandlord, as additional Additional ------------------- Rent, within ten (10) days after receipt of billing (together with reasonable back-up information) upon demand but not more often than once each calendar month, an amount equal to Lessee’s pro-rata share Tenant's Pro Rata Share of the total common area charges Common Area Charges as defined in Subparagraph 7.B and Paragraphs 9, 11, 13 and 36 of this Lease. Tenant acknowledges and agrees that the Common Area Charges shall include an additional five percent (5%) of the Premises actual expenditures in order to compensate Landlord for accounting, management and processing services. Provided Tenant notifies Landlord within six (6) months after receipt of a detailed statement of Tenant's Pro Rata Share of the Common Area Charges that Tenant disputes such statements received from Landlord, Tenant or its CPA (as defined below (the common area charges for the Premises is referred to herein as (“CAC”)). Lessee shall pay to Lessor as Rent, on or before the first day of each calendar month during the Lease Term, subject to adjustment and reconciliation as provided hereinbelow, the sum of Two Thousand Eight Hundred Seventy One Dollars ($2,871), said sum representing Lessee’s estimated monthly payment of Lessee’s percentage share of CAC (which as of the date of this Lease represents the insurance covered under Sections 6 Abelow) and 6 B) and the two percent (2%) management fee set forth in this Section). Lessee, at Lessee’s cost, will be responsible for replacement of capital items, including but not limited to: HVAC units, parking lot (not including resealing and restriping which is covered by the CAC), roof membrane replacement (not including the roof membrane maintenance which is covered by the CAC), roof decking, structural or insulation replacement as a result of water intrusion from failure of the roof membrane, elevator, and painting of building exterior (the “Capital Replacements”) during the Lease Term or any extension thereof by properly licensed and insured contractors using materials of equal or better quality that existed prior to the Capital Replacement. It is understood and agreed that Lessee’s obligation under this paragraph shall be prorated to reflect the Commencement Date and the end of the Lease Term, including a partial month. Lessee’s estimated monthly payment of CAC payable by Lessee during the calendar year in which the Lease commences is set forth above. At or prior to the commencement of each succeeding calendar year term (or as soon as practical thereafter), Lessor shall provide Lessee with Lessee’s estimated monthly payment for CAC which Lessee shall pay to Lessor as Rent. Within 120 days of the end of the calendar year and the end of the Lease Term, Lessor shall provide Lessee a statement of actual CAC incurred for the preceding year or other applicable period in the case of a termination year. If such statement shows that Lessee has paid less than its actual percentage, then Lessee shall pay to Lessor the amount of such deficiency within thirty (30) days. If such statement shows that Lessee has paid more than its actual percentage, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof to the Rent next becoming due from Lessee. Lessor reserves the right to revise any estimate of CAC if the actual or projected CAC show an increase or decrease in excess of 10% from an earlier estimate for the same period. In such event, Lessor shall provide a revised estimate to Lessee, together with an explanation of the reasons therefor, and Lessee shall revise its monthly payments accordingly. Lessor’s and Lessee’s obligation with respect to adjustments at the end of the Lease Term or earlier expiration of this Lease shall survive the Lease Term or earlier expiration. Lessee shall have the right, at Tenant's sole cost and expense, provided Tenant utilizes a Certified Public Accountant (the "CPA") compensated on an hourly basis, upon at least thirty (30) days prior notice to Landlord at any time within one hundred eighty (180) days after Lessee’s receipt of any such statement during regular business hours to audit Lessor’s books audit, review and photocopy Landlord's records regarding CACpertaining to Common Area Charges for the immediately previous calendar year only. Tenant agrees to keep all information thereby obtained by Tenant confidential. If such audit shows reveals that Lessee Landlord has paid less than its actual percentage of CACovercharged Tenant, then Lessee shall pay to Lessor the amount of such deficiency overcharged shall be credited to Tenant's account within thirty (30) daysdays after the audit is concluded. If such audit shows that Lessee has paid more than its actual percentage of CAC, then Lessor shall, at its option, promptly refund such excess to Lessee or credit the amount thereof Notwithstanding anything to the Rent next becoming due from Lessee. In addition, if such audit shows that Lessee has overpaid CAC by more than ten percent (10%) of the CAC actually payable by Lessee, then Lessor shall pay the out of pocket cost of Lessee’s audit. Lessee’s audit shall take place at the Lessor’s business office where the records are kept at a date and time mutually agreed to by the parties. As used contrary contained in this Lease, CAC Common Area Charges shall not include the reasonable costs actually incurred by Lessor for any of the following: (i) the repair and maintenance of the Premises under Section 5(b), the premiums for Lessor’s insurance under Sections 6 A) and 6 B) and the deductible thereunder (not to exceed $10,000 per occurrence), Taxes under Section 16, and the amount described legal fees incurred in Section 31 for earthquake insuranceLease preparations; (ii) costs of supplies, materials, equipment and tools used and required in connection with the operation and maintenance of the Premisesfor which Landlord receives reimbursement from insurance; (iii) licenses, permits and inspection feesbad debt or rent loss; (iv) all other costs incurred by Lessor in directly maintaining and operating the Premisesreserves for loss, interest or penalties resulting from Landlord's negligence; and (v) costs to comply associated with government regulations imposed on the Premisesafter operation of Landlord's off-site business premises (except for the Commencement Date and not related to Lessee’s particular use and occupancy of the Premisesfive (5) percent administrative fee permitted above); and (vi) an amount equal to two percent advertising and leasing costs; (2%vii) costs incurred as a result of the base rent and CAC active negligence or willful misconduct or violation of law by Landlord or its Agents; (to the extent that the Lessee elects to take direct control viii) costs for which Landlord obtains reimbursement from others; (ix) fees, commissions, attorneys fees, costs or other disbursements incurred in connection with negotiations or disputes with any other occupant of the CAC as provided Buildings, if any, and costs arising from the violation by Landlord of the terms and conditions of any lease or other agreement; (x) depreciation, amortization or other expense reserves; (xi) costs and expenses for which Tenant reimburses Landlord directly or which Tenant pays directly to a third person; (xii) costs in Section 5(b)the nature of management or administrative fees or expenses, other than the management five (5) percent administrative fee will only be calculated using the base rent and the CAC that is managed directly by Lessor), as compensation for Lessor’s accounting and management services. Lessee shall have the right to review the basis and computation analysis used to derive the CAC applicable to described in this Lease annuallyParagraph 12.