Common use of Operating Expense Clause in Contracts

Operating Expense. (a) Tenant shall pay as Additional Rental its proportionate share of any increase in operating expenses for the Premises of which the Subleased Premises are a part which may be sustained by Sublessor during the term of this lease which exceed the sum of the operating expenses of the calendar year 1995 (base year). Sublessee's proportionate share of any increase shall be that percentage determined by dividing the rentable number of square feet hereby subleased by Sublessee (21,996 square feet) by the total number of rentable square feet in the Premises (151,800 square feet), which percentage is 14.49%. Notwithstanding the foregoing, for any period of this Sublease not constituting a full calendar year, Sublessee shall pay only a fractional part of its proportionate share of any applicable increase in the operating expenses based upon the number of days of its occupancy of the Sublease Premises for such year divided by 365. (b) The term "operating expenses" shall mean all expenses, costs and disbursements of every kind and nature (including but not limited to "Capital Costs" as hereinafter defined and to the extent stated herein and reasonable management fees, which fees shall be included in base year 1995), excluding however, taxes, expense of alternations of premises for the accommodation of a specific tenant, brokers fees, and expenditures made for capital investment or improvements, which the Sublessor shall pay or become obligated to pay in connection with the operation of the Common Areas (as hereinafter defined) and the Premises which, in accordance with generally accepted principles of sound accounting practice, apply to the operation and maintenance of comparable buildings.

Appears in 2 contracts

Sources: Sublease (Mastech Corp), Sublease (Mastech Corp)