Common use of Controllable Operating Expenses Clause in Contracts

Controllable Operating Expenses. Notwithstanding the foregoing, commencing with calendar year 2018 and each calendar year during the Term thereafter, it is understood and agreed that for purposes of calculating Tenant’s Proportionate Share of the Operating Expenses in any calendar year during the Term, the maximum amount of Controllable Operating Expenses (as hereinafter defined) included in Operating Expenses for any calendar year from and after 2018 during the Term (such maximum amount of Controllable Operating Expenses, the “Cap”) shall be limited to the actual amount of Controllable Operating Expenses paid or incurred by Landlord on account of or in calendar year 2017, which Cap shall be increased on a cumulative, compounding basis at five percent (5%) per annum through the applicable calendar year. Tenant shall remain fully liable in each year for the whole amount of Tenant’s Proportionate Share of the Operating Expenses which are not Controllable Operating Expenses. In the event that the Cap applies to limit Tenant’s Proportionate Share of the Operating Expenses attributable to Controllable Operating Expenses for any calendar year, the excluded amount shall be carried forward to succeeding calendar years and recaptured by Landlord so long as the amount of Controllable Operating Expenses does not exceed the Cap (as increased each year) in any such succeeding year. For purposes of clarity, it is acknowledged and agreed that Tenant’s responsibility for Controllable Operating Expenses in any calendar year shall not exceed (i) the Cap (as the same is adjusted annually), or (ii) the actual amount of Controllable Operating Expenses paid or incurred by Landlord in such calendar year, whichever is less. For purposes herein, the term “Controllable Operating Expenses” shall mean only (i) the cost of repairs, replacements, maintenance and cleaning, including, without limitation, the cost of janitorial and other service agreements, and trash removal with respect to Common Areas; (ii) the cost of all repairs and maintenance associated with the landscaped areas, surface parking areas and truck courts of the Property, the cost of associated roof maintenance in connection with the Property; and (iii) fees, charges and other costs, including, without limitation, consulting fees, attorneys’ fees and accounting fees of all contractors engaged by Landlord in connection with the operation, maintenance or repair of the Property.

Controllable Operating Expenses. Notwithstanding the foregoing, commencing Commencing with calendar year 2018 2017 and each calendar year during the Term thereafter, it is understood and agreed that for purposes of calculating Tenant’s 's Proportionate Share of the Operating Expenses in any calendar year during the Term, the maximum amount of Controllable Operating Expenses (as hereinafter defined) included in Operating Expenses for any calendar year from and after 2018 2017 during the Term (such maximum amount of Controllable Operating Expenses, the “Cap”) shall be limited to the actual amount of Controllable Operating Expenses paid or incurred by Landlord on account of or in calendar year 20172016, which Cap shall be increased on a cumulative, compounding basis at five three percent (53%) per annum through the applicable calendar year. Tenant shall remain fully liable in each year for the whole amount of Tenant’s 's Proportionate Share of the Operating Expenses which are not Controllable Operating Expenses. By way of example only, if the Controllable Operating Expenses for calendar year 2016 (annualized) are $0.58 per square foot of the Premises, the Controllable Operating Expenses for calendar year 2017 shall not exceed $0.60 per square foot of the Premises and the Controllable Operating Expenses for calendar year 2018 shall not exceed $0.63 per square foot, etc. In the event that the Cap cap applies to limit Tenant’s 's Proportionate Share of the Operating Expenses attributable to Controllable Operating Expenses for any calendar year, the excluded amount ("Excluded Amount") shall be carried forward to succeeding calendar years and recaptured by Landlord so long as the amount foregoing limit on the increase in the portion of Operating Expenses attributable to Controllable Operating Expenses does is not exceed the Cap (as increased each year) exceeded in any such succeeding year such that amounts that could not be included in Operating Expenses during such prior years may be re-captured by Landlord. By way of example only, if the Controllable Operating Expenses for calendar year 2016 (annualized) are $0.58 per square foot, and (a) the Controllable Operating Expenses for calendar year 2017 are $0.65 per square foot, Tenant shall only be responsible for Controllable Operating Expenses of $0.60 per square foot in calendar year 2017, but Landlord shall be entitled to recover the Excluded Amount of $0.05 per square foot during the Term of the Lease if the Controllable Operating Expenses for any calendar year during the Term of the Lease is lower than the cap on Controllable Operating Expenses for such year. For purposes of clarity, and (b) if the Controllable Operating Expenses for calendar year 2018 are $0.60 per square foot per annum, Landlord will be allowed to carry over the Excluded Amount from calendar year 2017 and b▇▇▇ it is acknowledged and agreed that to the Tenant in 2018 so long as Tenant’s 's responsibility for Controllable Operating Expenses in any calendar year shall 2018 does not exceed (i) the Cap (as the same is adjusted annually), or (ii) the actual amount of Controllable Operating Expenses paid or incurred by Landlord in such calendar year, whichever is less$0.63 per square foot. For purposes herein, the term “"Controllable Operating Expenses” " shall mean only (i) the cost of 11S2810.v14of repairs, replacements, maintenance and cleaning, including, without limitation, the cost of janitorial and other service agreements, and trash removal with respect to Common Areas; (ii) the cost of all repairs and maintenance associated with the landscaped areas, surface parking areas and truck courts of the Property, the cost of associated roof maintenance in connection with the Property; and (iii) fees, charges and other costs, including, without limitation, consulting fees, attorneys’ ' fees and accounting fees of all a11 contractors engaged by Landlord in connection with the operation, maintenance or repair of the Property; provided, however, snow removal costs shall not constitute a Controllable Operating Expense.