This office lease clause states the conditions under which the landlord can and can not furnish any particular item(s) of work or service which would constitute an expense to portions of the Building during the comparative year.
Oregon Clause for Grossing Up the Tenant Proportionate Share is a provision commonly found in commercial lease agreements in the state of Oregon. This clause addresses the allocation and adjustment of operating expenses among tenants in multi-tenant buildings, ensuring fair distribution of costs. The term "grossing up" refers to the process of accounting for potential changes in operating expenses when a building is not fully occupied. It allows the landlord to estimate and include the expenses that would have been incurred if the building were fully occupied, thus avoiding a disproportionate burden on individual tenants. There are two main types of Oregon Clauses for Grossing Up the Tenant Proportionate Share: 1. Full Grossing Up Clause: This clause ensures that the tenant's proportionate share of operating expenses is based on the assumption that the building is fully occupied, regardless of the actual occupancy levels. The landlord is allowed to adjust the expenses to reflect what they would have been if all spaces were leased. This ensures that tenants pay their fair share, even if the building has vacancies. 2. Partial Grossing Up Clause: Unlike the full grossing up clause, this provision only allows for partial adjustment of operating expenses to account for potential vacancies. The landlord is permitted to include a certain percentage of the estimated expenses that would have been incurred if the building were fully occupied. This percentage is typically specified in the lease agreement and can vary depending on the building's historical vacancy rates or market conditions. The Oregon Clause for Grossing Up the Tenant Proportionate Share serves to protect all parties involved by promoting equitable distribution of operating expenses. It ensures that tenants are not unfairly burdened with excessive costs due to vacancies and maintains a level playing field for all tenants. Additionally, this clause provides transparency and clarity in the leasing process, allowing tenants to have a clear understanding of their financial obligations. In conclusion, the Oregon Clause for Grossing Up the Tenant Proportionate Share is an essential provision in commercial lease agreements. By considering potential vacancies and adjusting operating expenses accordingly, this clause ensures fair allocation of costs among tenants. Whether it is a full grossing up clause or a partial grossing up clause, the intention remains the same — to create a balanced and mutually beneficial leasing arrangement for all parties involved.Oregon Clause for Grossing Up the Tenant Proportionate Share is a provision commonly found in commercial lease agreements in the state of Oregon. This clause addresses the allocation and adjustment of operating expenses among tenants in multi-tenant buildings, ensuring fair distribution of costs. The term "grossing up" refers to the process of accounting for potential changes in operating expenses when a building is not fully occupied. It allows the landlord to estimate and include the expenses that would have been incurred if the building were fully occupied, thus avoiding a disproportionate burden on individual tenants. There are two main types of Oregon Clauses for Grossing Up the Tenant Proportionate Share: 1. Full Grossing Up Clause: This clause ensures that the tenant's proportionate share of operating expenses is based on the assumption that the building is fully occupied, regardless of the actual occupancy levels. The landlord is allowed to adjust the expenses to reflect what they would have been if all spaces were leased. This ensures that tenants pay their fair share, even if the building has vacancies. 2. Partial Grossing Up Clause: Unlike the full grossing up clause, this provision only allows for partial adjustment of operating expenses to account for potential vacancies. The landlord is permitted to include a certain percentage of the estimated expenses that would have been incurred if the building were fully occupied. This percentage is typically specified in the lease agreement and can vary depending on the building's historical vacancy rates or market conditions. The Oregon Clause for Grossing Up the Tenant Proportionate Share serves to protect all parties involved by promoting equitable distribution of operating expenses. It ensures that tenants are not unfairly burdened with excessive costs due to vacancies and maintains a level playing field for all tenants. Additionally, this clause provides transparency and clarity in the leasing process, allowing tenants to have a clear understanding of their financial obligations. In conclusion, the Oregon Clause for Grossing Up the Tenant Proportionate Share is an essential provision in commercial lease agreements. By considering potential vacancies and adjusting operating expenses accordingly, this clause ensures fair allocation of costs among tenants. Whether it is a full grossing up clause or a partial grossing up clause, the intention remains the same — to create a balanced and mutually beneficial leasing arrangement for all parties involved.
