Common use of Operating Cost Reimbursement Clause in Contracts

Operating Cost Reimbursement. The annual base rent shall be adjusted from time to time in accordance with this section to reflect increases in the expense of operating the building ("Operating Costs"). The annual base rent, including the adjustments made pursuant to this section, is referred to in this lease as the "Rent". Landlord, during the last month of the building's fiscal year or as soon as thereafter as practical, shall given Tenant written notice of Landlord's estimate of increases in operating costs for the ensuing fiscal year as compared to the Expense Stop Amount. As used herein ("Tenant's Prorata Share") shall be the ratio of the premises to the total leasable are of the building. On or before the first day of each and every month during the ensuing fiscal year, tenant shall pay to Landlord 1/12th of Tenant's prorata share of each estimated amount. If at any time(s) it appears to Landlord that the actual costs for the current fiscal year will vary from Landlord's estimate by more than ten percent (10%), Landlord may, by written notice to ▇▇▇▇▇▇, revise ▇▇▇▇▇▇▇▇'s estimate for such year and revise the 1/12th billing accordingly. As soon as practical after the end of each fiscal year where estimated increases in operating costs are required by this lease to be paid, Landlord shall send to Tenant a statement of the actual amount of the preceding fiscal year's increase (if any) over the Expense Stop Amount. If the estimated amount exceeded the actual amount paid by Tenant, such excess amount shall be credited to Tenant within thirty (3) days from the date of the statement. If the estimated amount was less that the actual amount owed to Landlord, then Tenant shall pay to Landlord such difference within thirty (30) days from the date of the statement. If at the end of the building's fiscal year less than twelve (12) months remain on this lease, the final estimated increase being paid by Tenant in the final lease year shall prevail to the end of this lease. Operating costs shall include all costs of administration, operation, repairs, maintenance, utilities, insurance and taxes, but shall not include federal or state income taxes, tenant alterations, leasing commissions, interest expense, debt service, capital items, or depreciation. If the Building is not fully leased or if Landlord is not providing standard Building services to all tenants during any calendar year, actual Expenses shall be adjusted to reflect a fully serviced and leased Building for the purpose of making the adjustment to Annual Base Rent. In order to avoid distortion and inequity, the following items shall be considered operating expenses and amortized over the life of the items: (i) capital items made after the commencement of this Lease that produce a reduction in energy consumption or Operating Costs; (ii) capital items caused by governmental requirements imposed after the commencement of this Lease.

Operating Cost Reimbursement. The annual base rent Annual Base Rent shall be adjusted from time to time in accordance with this section to reflect increases in the expense of operating the building Building ("Operating Costs"). The annual base rentAnnual Base Rent, including the adjustments made pursuant to this section, is referred to in this lease Lease as the "Rent". Landlord, during the last month of the buildingBuilding's fiscal year or as soon as thereafter as practical, shall given give Tenant written notice of Landlord's estimate of increases in operating costs Operating Costs for the ensuing fiscal year as compared to the Expense Stop Amount. As used herein ("Tenant's Prorata Share") shall be the ratio of the premises Premises to the total leasable are area of the buildingBuilding. On or before the first day of each and every month during the ensuing fiscal year, tenant Tenant shall pay to Landlord 1/12th of Tenant's prorata share Prorata Share of each estimated amount. If at any time(s) it appears to Landlord that the actual costs for the current fiscal year will vary from Landlord's estimate by more than ten percent (10%), Landlord may, by written notice to ▇▇▇▇▇▇Tenant, revise ▇▇▇▇▇▇▇▇Landlord's estimate for such year and revise the 1/12th billing accordingly. As soon as practical after the end of each fiscal year where estimated increases in operating costs Operating Costs are required by this lease Lease to be paid, Landlord shall send to Tenant a statement of the actual amount of the preceding fiscal year's increase (if any) over the Expense Stop Amount. If the estimated amount exceeded the actual amount paid by Tenant, such excess amount shall be credited to Tenant within thirty (330) days from the date of the statement. If the estimated amount was less that than the actual amount owed to Landlord, then Tenant shall pay to Landlord such difference within thirty (30) days from the date of the statement. If at the end of the buildingBuilding's fiscal year less than twelve (12) months remain on this leaseLease, the final estimated increase being paid by Tenant in the final lease year shall prevail to the end of this lease. Operating costs shall include all costs of administration, operation, repairs, maintenance, utilities, insurance and taxes, but shall not include federal or state income taxes, tenant alterations, leasing commissions, interest expense, debt service, capital items, or depreciation. If the Building is not fully leased or if Landlord is not providing standard Building services to all tenants during any calendar year, actual Expenses shall be adjusted to reflect a fully serviced and leased Building for the purpose of making the adjustment to Annual Base Rent. In order to avoid distortion and inequity, the following items shall be considered operating expenses and amortized over the life of the items: (i) capital items made after the commencement of this Lease that produce a reduction in energy consumption or Operating Costs; (ii) capital items caused by governmental requirements imposed after the commencement of this Lease.

Operating Cost Reimbursement. The annual base rent Annual Base Rent shall be adjusted from time to time in accordance with this section to reflect increases in the expense of operating the building Building ("Operating Costs"). The annual base rentAnnual Base Rent, including the adjustments made pursuant to this section, is referred to in this lease Lease as the "Rent". Landlord, during the last month of the buildingBuilding's fiscal year or as soon as thereafter as practical, shall given give Tenant written notice of Landlord's estimate of increases in operating costs Operating Costs for the ensuing fiscal year as compared to the Expense Stop Amount. As used herein ("Tenant's Prorata Share") shall be the ratio of the premises Premises to the total leasable are area of the buildingBuilding. On or before the first day of each and every month during the ensuing fiscal year, tenant Tenant shall pay to Landlord 1/12th of Tenant's prorata share Prorata Share of each estimated amount. If if at any time(s) it appears to Landlord that the actual costs for the current fiscal year will vary from Landlord's estimate by more than ten percent (10%), Landlord may, by written notice to ▇▇▇▇▇▇Tenant, revise ▇▇▇▇▇▇▇▇Landlord's estimate for such year and revise the 1/12th billing accordingly. As soon as practical after the end of each fiscal year where estimated increases in operating costs Operating Costs are required by this lease Lease to be paid, Landlord shall send to Tenant a statement of the actual amount of the preceding fiscal year's increase (if any) over the Expense Stop Amount. If the estimated amount exceeded the actual amount paid by Tenant, such excess amount shall be credited to Tenant within thirty (330) days from the date of the statement. If the estimated amount was less that than the actual amount owed to Landlord, then Tenant shall pay to Landlord such difference within thirty (30) days from the date of the statement. If at the end of the buildingBuilding's fiscal year less than twelve (12) months remain on this leaseLease, the final estimated increase being paid by Tenant in the final lease year shall prevail to the end of this leaseLease. Operating costs Costs shall include all costs of administration, operation, repairs, maintenance, utilities, insurance and taxes, but shall not include federal or state income taxes, tenant alterations, leasing commissions, interest expense, debt service, capital items, or depreciation. If the Building is not fully leased or if Landlord is not providing standard Building building services to all tenants during any calendar year, actual Expenses shall be adjusted to reflect a fully serviced and leased Building for the purpose of making the adjustment to Annual Base Rent. In order to avoid distortion and inequity, the following items shall be considered operating expenses and amortized over the life of the items: (i) capital items made after the commencement of this Lease that produce a reduction in energy consumption or Operating Costs; (ii) capital items caused by governmental requirements imposed after the commencement of this Lease.