Common use of Operating Costs and Taxes Clause in Contracts

Operating Costs and Taxes. In addition to Base Rent, Tenant shall pay to Landlord, payable monthly throughout the Term of this Lease (commencing on January 1, 2006), Tenant's Proportionate Share of those Operating Costs which exceed Landlord's Share of Operating Costs. The term "Operating Costs," as used in this Lease, shall comprise all real expenses and costs (other than special costs which are separately billed to and paid by specific tenants) of every kind and nature which Landlord shall pay or become obligated to pay because of or in connection with the ownership and operation of the Building and Common Areas, as determined on an accrual basis and in accordance with generally accepted accounting principles ("GAAP") consistently applied, which exceeds Landlord's Share of Operating Costs. Operating Costs shall include but not be limited to the following: (a) Wages, salaries, customary fringe benefit costs, payroll taxes, unemployment compensation payments, worker's compensation insurance premiums and other related expenses of all employees directly engaged in the operation, maintenance and security of the Building; costs of Building employee uniforms and the cleaning thereof; the cost of fair rental value of a Building management office; and the management fees payable by Landlord (except brokerage commissions for leasing) if management of the Building is contracted to a third party; provided, however, that such management fees shall not exceed five percent (5%) of the total Operating Costs for the Building; (b) All supplies and materials used in the operation, cleaning and maintenance of the Building and all of its machinery and equipment; (c) Utility Costs, including but not limited to, gas, water and electric power for heating, lighting, air conditioning and ventilating the entire Building (including all common and service areas), fuel adjustment charges, sewer use charges and any utility taxes actually incurred (but excluding late fees); (d) Cost of all maintenance and service agreements for the Building and the equipment therein, including, without limitation, alarm service, trash removal, window cleaning, elevator maintenance, snow removal, landscaping and sidewalks; (e) Accounting costs, including the costs of audits by certified public accountants, pertaining solely to the management and operation of the Building; (f) Cost of all insurance including, without limitation, fire, casualty, liability and rental value insurance applicable to the Building and Landlord's personal property to the extent used in connection with the operation and maintenance of the Building; (g) Costs of any and all repairs, maintenance and non-capital replacements of or additions to the Building and each part thereof (excluding repairs, replacements and maintenance paid by proceeds of insurance or by Tenant or other third parties, and repairs, replacements and maintenance attributable solely to other tenants of the Building); (h) Amortization of capital improvements, replacements and/or additions made to the Building subsequent to the Commencement Date of this Lease: (i) to the extent of any reduction in Operating Costs; or (ii) which are required to comply with any laws, rules, or regulations of any governmental authority or a requirement of Landlord's insurance carrier not in effect as of the Commencement Date. The cost of such capital improvements shall be amortized over the period of their useful life on a straight-line basis and in a manner that is consistent with GAAP and shall, at Landlord's option, include the cost of Landlord's financing, so long as commercially reasonable, (i) Real Estate Taxes; (j) Taxes on Landlord's personal property owned or used in connection with the operation of the Building; (k) Ground rent paid by Landlord to the owner of the Real Estate upon which the Building is constructed (Landlord represents and warrants to Tenant that said ground rent shall not increase during the Original Term or the First Extension Term); and (l) Insurance deductibles. Notwithstanding the foregoing, the term "Operating Costs" shall not include the following:

Operating Costs and Taxes. In addition to Base Rent, Tenant shall pay to Landlord, payable monthly throughout the Term of this Lease (commencing on January 1, 2006), Tenant's ’s Proportionate Share of those Operating Costs which exceed Landlord's ’s Share of Operating Costs. The term "“Operating Costs," ” as used in this Lease, shall comprise all real expenses and costs (other than special costs which are separately billed to and paid by specific tenants) of every kind and nature which Landlord shall pay or become obligated to pay because of or in connection with the ownership and operation of the Building and Common Areas, as determined on an accrual basis and in accordance with generally accepted accounting principles ("“GAAP"”) consistently applied, which exceeds Landlord's ’s Share of Operating Costs. Operating Costs shall include but not be limited to the following: (a) Wages, salaries, customary fringe benefit costs, payroll taxes, unemployment compensation payments, worker's ’s compensation insurance premiums and other related expenses of all employees directly engaged in the operation, maintenance and security of the Building; costs of Building employee uniforms and the cleaning thereof; the cost of fair rental value of a Building management office; and the management fees payable by Landlord (except brokerage commissions for leasing) if management of the Building is contracted to a third party; provided, however, that such management fees shall not exceed five percent (5%) of the total Operating Costs for the Building; (b) All supplies and materials used in the operation, cleaning and maintenance of the Building and all of its machinery and equipment; (c) Utility Costs, including but not limited to, gas, water and electric power for heating, lighting, air conditioning and ventilating the entire Building (including all common and service areas), fuel adjustment charges, sewer use charges and any utility taxes actually incurred (but excluding late fees); (d) Cost of all maintenance and service agreements for the Building and the equipment therein, including, without limitation, alarm service, trash removal, window cleaning, elevator maintenance, snow removal, landscaping and sidewalks;: (e) Accounting costs, including the costs of audits by certified public accountants, pertaining solely to the management and operation of the Building; (f) Cost of all insurance including, without limitation, fire, casualty, liability and rental value insurance applicable to the Building and Landlord's ’s personal property to the extent used in connection with the operation and maintenance of the Building; (g) Costs of any and all repairs, maintenance and non-capital replacements of or additions to the Building and each part thereof (excluding repairs, replacements and maintenance paid by proceeds of insurance or by Tenant or other third parties, and repairs, replacements and maintenance attributable solely to other tenants of the Building); (h) Amortization of capital improvements, replacements and/or additions made to the Building subsequent to the Commencement Date of this Lease: (i) to the extent of any reduction in Operating Costs; or (ii) which are required to comply with any laws, rules, or regulations of any governmental authority or a requirement of Landlord's ’s insurance carrier not in effect as of the Commencement Date. The cost of such capital improvements shall be amortized over the period of their useful life on a straight-line basis and in a manner that is consistent with GAAP and shall, at Landlord's ’s option, include the cost of Landlord's ’s financing, so long as commercially reasonable,. (i) Real Estate Taxes; (j) Taxes on Landlord's ’s personal property owned or used in connection with the operation of the Building; (k) Ground rent paid by Landlord to the owner of the Real Estate upon which the Building is constructed (Landlord represents and warrants to Tenant that said ground rent shall not increase during the Original Term or the First Extension Term); ): and (l) Insurance deductibles. Notwithstanding the foregoing, the term "“Operating Costs" ” shall not include the following: