OFFICE LEASE AGREEMENT
 
         THIS OFFICE LEASE AGREEMENT (the "Lease") is made and entered into as
of the 19th day of December, ...., by and between XYZ .... .... IV,
L.L.C., A .... LIMITED LIABILITY COMPANY ("Landlord") and YYY
CORPORATION, A .... CORPORATION ("Tenant").
 
I.                    BASIC LEASE INFORMATION.


 
 
 
 
 
 

 
        
 
        A.       "Building" shall mean the two buildings in .... City,
                  ...., commonly known as .... Towers, and located at
                  4000 East 3rd Avenue ("4000 Building") and 4100 East 3rd
                  Avenue ("4100 Building").
 

IL DOCUMENTO È INCOMPLETO, A RICHIESTA SARÀ INVIATA UNA COPIA COMPLETA (artt.17 ss Cod.Deont.)

 

STUDIO

MISURACA & Associati/Associates

Studio Legale

Law Firm

www.smaf-legal.com

 

Il documento manca di molte parti, lo studio legale SMAF invia su gentile richiesta una completa copia a titolo di prestazione professionale a pagamento ex artt.17 ss. Cod. Deont. Forense / The document has missing parts; please, consider SMAF law firm allowed to send a you a payable copy according to Italian Forensic Deontology Code.

 

 

20123 MILANO (MI), Italia

Via Monti, 8

tel.:   +(39) 02 006 15 017  

fax:   +(39) 02 700 50 81 00

e-mail: info@smaf-legal.com

 

00198 ROMA (RM), Italia

Via Savoia, 78

tel.:  +39 06 92 938 008

cell.: +39 06 8928 10 51

e-mail: info@smaf-legal.com

 

40123 BOLOGNA (BO), Italia

Via Urbana 5/3

tel.:    +(39) 051 64 40 543

fax.:   +(39) 051 09 52 565

2°fax: +(39) 051 33 70 177

e-mail: misuraca@smaf-legal.com

 

 

 

 

 
 
 B.       "Rentable Square Footage of the Building" is deemed to be
                  261,674 rentable square feet.
 
 C.       "Premises" shall mean the entire 4100 Building. The "Rentable
           Square Footage of the Premises" is deemed to be 130,837
           rentable square feet. For so long as the Premises include one
           or more floors in their entirety, all corridors and restroom
           facilities located on such full floor(s) shall for all
           purposes be considered part of the Premises. Landlord and
           Tenant stipulate and agree that the Rentable Square Footage of
           the Building and the Rentable Square Footage of the Premises
           are correct and shall not be remeasured.
 
  D.       "Base Rent":
 
 
 
 ANNUAL RATE
 
  YEAR OF TERM         PER RENTABLE SQUARE FOOT            ANNUAL                 
 
  MONTHLY
 
  BASE RENT                       BASE RENT
 
                           1-5                       $15.00                 $1,962,555.00           $163,546.25
 
 
                                      -1-
 
E.       "Tenant's Pro Rata Share": 50% of Taxes and Expenses not
          specifically allocable to the 4000 Building or the 4100
          Building, and 100% of the Expenses allocable solely to the
          4100 Building.
 
                  "Tenant's Monthly Expense and Tax Payment": $130,837.00, which
                  is equal to the product of the Rentable Square Footage of the
                  Premises and $1.00 per rentable square foot per month, which
                  is Tenant's Pro Rata Share of the monthly estimated Expenses
                  and monthly estimated Taxes (as more fully described in, and
                  subject to adjustment as described in, Section IV below).
 
         F.       "Term": A period of 60 months. The Term shall commence on
                  [insert the "Closing Date" as defined in the Agreement of
                  Purchase and Sale With Escrow Instructions to which this Lease
                  is attached as Exhibit F ] (the "Commencement Date") and,
                  unless terminated early in accordance with this Lease, end on
                  [insert date immediately preceding fifth anniversary of the
                  Closing Date] (the "Termination Date").
 
         G.       Tenant allowance(s): None.
 
         H.       "Security Deposit": A Security Deposit in the amount of
                  $163,546.25 shall be provided in accordance with Section VI
                  below.
 
         I.       "Guarantor(s)": None.
 
         J.       "Broker(s)": Eastdil Realty Co., Inc.
 
         K.       "Permitted Use": General office use and administrative
                  purposes and ancillary office uses reasonably related thereto
                  (including, without limitation, electronic commerce research
                  and development and product support) and other legally
                  permitted uses consistent with the character of a first class
                  office building.
 
         L.       "Notice Addresses":
 
<TABLE>
<S>                                                                <C>
                 Tenant:                                           With a copy to:
 
                 YYY Corporation                               YYY Corporation
                 4100 Third Avenue                                 4100 Third Avenue
                 .... City, .... 94404                     .... City, .... 94404
                 
                 Attention:  Director of Real Estate               Attention:  Real Estate Legal Counsel
 
                  Landlord:
 
                 XYZ .... .... IV, L.L.C.               With a copies to:
                 c/o XYZ Street Capital
                 
Notices
</TABLE>
 
                                      -2-
<PAGE>
<TABLE>
<S>                                                                <C>
                                                                   (SCS/MCH)
                 
</TABLE>
 
                  Rent (defined in Section IV.A) is payable to the order of
                  XYZ .... .... IV, L.L.C. at the following address:
                  [TO BE PROVIDED] or such alternative order or address as
                  Landlord may provide to Tenant in writing.
 
         M.       "Business Day(s)" are Monday through Friday of each week,
                  exclusive of New Year's Day, President's Day, Memorial Day,
                  Independence Day, Labor Day, Thanksgiving Day and Christmas
                  Day ("Holidays").
 
         N.       Intentionally Omitted.
 
         O.       "Law(s)" means all applicable statutes, codes, ordinances,
                  orders, rules and regulations of any municipal or governmental
                  entity.
 
         P.       "Normal Business Hours" for the Building are 8:00 A.M. to 6:00
                  P.M. on Business Days and 8:00 A.M. to 1:00 P.M. on Saturdays.
 
         Q.       "Property" means the Building and the parcel(s) of land on
                  which it is located and the landscaping, the parking
                  facilities and all other improvements owned by Landlord and
                  serving the Building and the tenants thereof and the parcel(s)
                  of land on which they are located.
 
II.      LEASE GRANT.
 
         Landlord leases the Premises to Tenant and Tenant leases the Premises
from Landlord, together with the right in common with others to use any portions
of the Property that are designated by Landlord for the common use of tenants
and others, such as sidewalks, unreserved parking areas, common corridors,
elevator foyers, restrooms, vending areas and lobby areas (the "Common Areas").
Notwithstanding any contrary provision of this Lease, for so long as the
Premises consist of the entire 4100 Building, no interior portion of the 4100
Building shall be designated as part of the Common Areas.
 
III.     POSSESSION.
 
         A.       As Is Condition. Landlord and Tenant acknowledge that Tenant
                  is currently in possession of the Premises and, subject to
                  Section III.B. below, Tenant shall continue to accept the
                  Premises in its "as is" condition and configuration subject
                  to, without limitation, (a) the state of the title thereto
                  existing as of the Commencement Date, (b) any state of facts
                  which an accurate survey or physical inspection might show,
                  (c) all Laws, (d) any violations of Laws which
 
                                      -3-
<PAGE>
                  may exist at the commencement of the Lease Term, and (e) the
                  presence of any Hazardous Materials at or under the Building
                  or at or under any property in the vicinity of the Building.
                  Tenant agrees that the Premises are in good order and
                  satisfactory condition, and that there are no representations
                  or warranties by Landlord regarding the condition of the
                  Premises or the Building or any understandings or obligations
                  on the part of Landlord to perform any alterations, repairs or
                  improvements with respect to the Premises or the Building,
                  except as may be expressly set forth in this Lease. AS OF THE
                  COMMENCEMENT DATE, LANDLORD HAS NOT MADE, NOR SHALL BE DEEMED
                  TO HAVE MADE, ANY REPRESENTATION OR WARRANTY, EXPRESS OR
                  IMPLIED, AND LANDLORD SHALL NOT BE DEEMED TO HAVE ANY
                  LIABILITY WHATSOEVER AS TO THE VALUE, HABITABILITY, COMPLIANCE
                  WITH ANY PLANS AND SPECIFICATIONS, CONDITION, DESIGN,
                  OPERATION, LOCATION, USE, DURABILITY, MERCHANTABILITY,
                  CONDITION OF TITLE, OR FITNESS FOR USE OF THE BUILDING (OR ANY
                  PART THEREOF) FOR ANY PARTICULAR PURPOSE, OR ANY OTHER
                  REPRESENTATION OR WARRANTY WHATSOEVER, EXPRESS OR IMPLIED,
                  WITH RESPECT TO THE BUILDING (OR ANY PART THEREOF); AND NONE
                  OF LANDLORD, ANY MORTGAGEE OR THEIR RESPECTIVE SUCCESSORS OR
                  ASSIGNS SHALL BE LIABLE FOR ANY LATENT, HIDDEN, OR PATENT
                  DEFECT THEREIN OR FOR THE FAILURE OF THE BUILDING TO BE
                  CONSTRUCTED IN ACCORDANCE WITH ANY PLANS AND SPECIFICATIONS
                  THEREFOR, FOR THE COMPLIANCE OF THE PLANS AND SPECIFICATIONS
                  FOR THE BUILDING WITH APPLICABLE LAWS OR FOR THE FAILURE OF
                  THE BUILDING, OR ANY PART THEREOF, TO OTHERWISE COMPLY WITH
                  ANY APPLICABLE LAWS. Tenant owned and operated the Building
                  for a substantial period of time prior to the Commencement
                  Date and is more familiar than Landlord with the Building, and
                  Tenant is willing to accept, and hereby accepts, all risks
                  incident to the matters discussed in the preceding sentence.
                  Furthermore, Tenant inspected the Building prior to Tenant's
                  acquisition thereof and Tenant was satisfied with the results
                  of such inspections, and Tenant is entering into this Lease
                  solely on the basis of Tenant's own knowledge concerning the
                  condition of the Building on the Commencement Date. The
                  provisions of this Lease have been negotiated, and the
                  foregoing provisions are intended to be a complete exclusion
                  and negation of any representations or warranties by Landlord
                  or Mortgagee, express or implied, with respect to the Building
                  as of the Commencement Date, that may arise pursuant to any
                  law now or hereafter in effect, or otherwise and specifically
                  negating any warranties under the Uniform Commercial Code.
 
         B.       No Diminution of Landlord's Lease Obligations. Nothing in
                  Section III.A. above shall be construed to diminish or
                  otherwise alter or affect Landlord's express obligations under
                  this Lease including, without limitation, those imposed by
                  Sections VII, IX.B., XI, XVII.B., XXIII and XXXI.G.
 
IV.      RENT.
 
         A.       Payments. As consideration for this Lease, Tenant shall pay
                  Landlord, without prior notice, demand, setoff or deduction
                  (other than as expressly provided in this Lease), the Base
                  Rent and Additional Rent due for the Term. "Additional Rent"
                  means all sums (exclusive of Base Rent) that Tenant is
                  required to pay
 
                                      -4-
<PAGE>
                  Landlord. Additional Rent and Base Rent are sometimes
                  collectively referred to as "Rent". Tenant shall pay and be
                  liable for all rental, sales and use taxes (but excluding
                  income taxes), if any, imposed upon or measured by Rent under
                  applicable Law. Base Rent and recurring monthly charges of
                  Additional Rent shall be due and payable in advance on the
                  first day of each calendar month without notice or demand. Any
                  other amounts payable by Tenant under the terms hereof shall
                  be due and payable by Tenant on or before 20 days after
                  billing by Landlord. All payments of Rent shall be by good and
                  sufficient check or by other means (such as automatic debit or
                  electronic transfer) reasonably acceptable to Landlord. If
                  Tenant fails to pay any item or installment of Rent when due,
                  Tenant shall pay Landlord an administration fee equal to 2% of
                  the past due Rent. If the Term commences on a day other than
                  the first day of a calendar month or terminates on a day other
                  than the last day of a calendar month, the monthly Base Rent
                  and Tenant's Pro Rata Share of Expenses (defined in Section
                  IV.C.) and Taxes (defined in Section IV.D.) for the month
                  shall be prorated based on the number of days in such calendar
                  month. Landlord's acceptance of less than the correct amount
                  of Rent shall be considered a payment on account of the
                  earliest Rent due. No endorsement or statement on a check or
                  letter accompanying a check or payment shall be considered an
                  accord and satisfaction, and either party may accept the check
                  or payment without prejudice to that party's right to recover
                  the balance or pursue other available remedies. This shall be
                  a "triple net lease" and Rent shall be paid to Landlord
                  without deduction for any costs and expenses, except as
                  specifically provided to the contrary in this Lease. The
                  provisions for payment of Expenses and Taxes are intended to
                  pass on to Tenant and reimburse Landlord for all costs and
                  expenses of such nature incurred in connection with the
                  ownership, management, replacement, repair, maintenance,
                  restoration and operation of the Building and its supporting
                  facilities and such additional facilities now and in
                  subsequent years as may be determined by Landlord to be
                  necessary or desirable to the Building.
 
         B.       Payment of Tenant's Pro Rata Share of Expenses and Taxes.
                  Tenant shall pay Tenant's Pro Rata Share of the total amount
                  of Expenses (defined in Section IV.C.) and Taxes (defined in
                  Section IV.D) for each calendar year during the Term. Landlord
                  shall provide Tenant with a good faith estimate of the total
                  amount of Expenses and Taxes for each calendar year during the
                  Term. On or before the first day of each month, Tenant shall
                  pay to Landlord a monthly installment equal to one-twelfth of
                  Tenant's Pro Rata Share of Landlord's estimate of the total
                  amount of Expenses and Taxes, which initial monthly sum is
                  defined in Section I.E. above as the "Tenant's Monthly Expense
                  and Tax Payment". If Landlord determines that its good faith
                  estimate was incorrect by a material amount, Landlord may
                  provide Tenant with a revised estimate. After its receipt of
                  the revised estimate, Tenant's Monthly Expense and Tax Payment
                  shall be based upon the revised estimate. If Landlord does not
                  provide Tenant with an estimate of the total amount of
                  Expenses and Taxes by January 1 of a calendar year, Tenant
                  shall continue to pay monthly installments based on the
                  previous year's estimate until Landlord provides Tenant with
                  the new estimate. Upon delivery of the new estimate, an
                  adjustment shall be made for any month for which Tenant paid
                  monthly installments based on the previous year's estimate.
                  Tenant shall pay Landlord the amount of any underpayment
                  within 30 days after receipt of the new estimate. Any
                  overpayment shall be refunded to
 
                                      -5-
<PAGE>
                  Tenant within 30 days or credited against the next due future
                  installment(s) of Additional Rent; provided, however, if the
                  Term has expired, then any overpayment shall be refunded to
                  Tenant within 30 days after receipt of the new estimate.
 
                  As soon as is practical following the end of each calendar
                  year, Landlord shall furnish Tenant with a statement of the
                  actual amount of Expenses and Taxes for the prior calendar
                  year and Tenant's Pro Rata Share of the actual amount of
                  Expenses and Taxes for the prior calendar year. In lieu of
                  providing one Statement covering Taxes and Expenses, Landlord
                  may provide separate statements, at the same or different
                  times. No delay by Landlord in providing the Statement (or
                  separate statements) shall be deemed a default by Landlord or
                  a waiver of Landlord's right to require payment of Tenant's
                  obligations for actual or estimated Taxes or Expenses, so long
                  as Landlord delivers such revised Statement to Tenant by no
                  later than the earlier of (i) two (2) years after Landlord
                  becomes aware of such errors or receives such new information
                  or (ii) two (2) years after the end of the particular Expenses
                  or Taxes year to which such modification would apply. If the
                  estimated amount of Expenses and Taxes for the prior calendar
                  year is more than the actual amount of Expenses and Taxes for
                  the prior calendar year, Landlord shall apply any overpayment
                  by Tenant against Additional Rent due or next becoming due,
                  provided if the Term expires before the determination of the
                  overpayment, Landlord shall refund any overpayment to Tenant
                  after first deducting the amount of Rent or any other payments
                  due. If the estimated amount of Expenses and Taxes for the
                  prior calendar year is less than the actual amount of Expenses
                  and Taxes for such prior year, Tenant shall pay Landlord,
                  within 30 days after its receipt of the statement of Expenses
                  and Taxes, any underpayment for the prior calendar year.
 
         C.       Expenses Defined.
 
                  1.       Subject to Sections IV.C.2. and IV.C.3 below,
                           "Expenses" shall mean all expenses, costs and amounts
                           of every kind and nature which Landlord shall pay
                           during any calendar year because of or in connection
                           with the ownership, management, maintenance, repair,
                           replacement, restoration or operation of the
                           Property, including, without limitation, any amounts
                           paid for (i) the cost of supplying all utilities, the
                           cost of operating, maintaining, repairing, replacing,
                           renovating and managing the utility systems,
                           mechanical systems, sanitary and storm drainage
                           systems, and any escalator and/or elevator systems,
                           and the cost of supplies and equipment and
                           maintenance and service contracts in connection
                           therewith; (ii) the cost of licenses, certificates,
                           permits and inspections and the cost of contesting
                           the validity or applicability of any governmental
                           enactments which may affect Expenses, and the costs
                           incurred in connection with the implementation and
                           operation of a transportation system management
                           program or similar program required by law; (iii) the
                           cost of insurance carried by Landlord, in such
                           amounts as Landlord may reasonably determine or as
                           may be required by any Mortgagee; (iv) the cost of
                           landscaping, relamping, and all supplies, tools,
                           equipment and materials used in the operation, repair
                           and maintenance of the Property; (v) the cost of
                           parking area repair, restoration, and maintenance,
                           including, but not limited to, resurfacing,
                           repainting, restriping,
 
                                      -6-
<PAGE>
                           and cleaning; (vi) fees, charges and other costs,
                           including consulting fees, legal fees and accounting
                           fees, of all contractors engaged by Landlord or
                           otherwise reasonably incurred by Landlord in
                           connection with the management, operation,
                           maintenance and repair of the Property; (vii) any
                           equipment rental agreements or management agreements
                           (including the cost of any management fee and the
                           fair rental value of any office space provided
                           thereunder); (viii) wages, salaries and other
                           compensation and benefits of all persons engaged in
                           the operation, management, maintenance or security of
                           the Property, and employer's Social Security taxes,
                           unemployment taxes or insurance, and any other taxes
                           which may be levied on such wages, salaries,
                           compensation and benefits; provided, that if any
                           employees of Landlord provide services for more than
                           one project of Landlord, then a prorated portion of
                           such employees' wages, benefits and taxes shall be
                           included in Expenses based on the portion of their
                           working time devoted to the Property; (ix) payments
                           under any easement, license, operating agreement,
                           declaration, restrictive covenant, underlying or
                           ground lease (excluding rent), or instrument
                           pertaining to the sharing of costs by the Property;
                           (x) operation, repair, maintenance and replacement of
                           all plant, machinery, transformers, duct work, cable,
                           wires, and other equipment, facilities, and systems
                           designed to supply heat, ventilation, air
                           conditioning and humidity or any other services or
                           utilities, or comprising or serving as any component
                           or portion of the electrical, gas, steam, plumbing,
                           sprinkler, communications, alarm, security, or
                           fire/life safety systems or equipment, or any other
                           mechanical, electrical, electronic, computer or other
                           systems or equipment which serve the Building in
                           whole or in part; (xi) the cost of janitorial
                           service, alarm and security service, window cleaning,
                           trash removal, replacement of wall and floor
                           coverings, ceiling tiles and fixtures in lobbies,
                           corridors, restrooms and other common or public areas
                           or facilities, maintenance and replacement of curbs
                           and walkways, repair to roofs and re-roofing; (xii)
                           amortization (including interest on the unamortized
                           cost) of the cost of acquiring or the rental expense
                           of personal property used in the maintenance,
                           operation and repair of the Property; and (xiii) the
                           cost of any capital alterations, capital additions,
                           capital repairs and capital improvements (1) which
                           are intended as a labor-saving device or to effect
                           other economies in the operation or maintenance of
                           the Property, (2) made to the Property after the
                           Commencement Date that are required under any
                           governmental law or regulation not in effect on the
                           Commencement Date, or (3) which are reasonably
                           determined by Landlord to be reasonably required to
                           maintain the functional character of the Property as
                           a first-class office building project; provided,
                           however, that such cost shall be amortized (including
                           interest on the unamortized cost at a rate equal to
                           the floating commercial loan rate announced from time
                           to time by Bank of America, or its successor, at its
                           prime rate, plus one percent (1%) per annum, herein
                           called the "Interest Rate") over its useful life as
                           Landlord shall reasonably determine. If Landlord is
                           not furnishing any particular work or service (the
                           cost of which, if performed by Landlord, would be
                           included in Expenses) to a tenant who has undertaken
                           to perform such work or service in lieu of the
                           performance thereof by Landlord, Expenses shall be
                           deemed to be increased by an amount equal to the
                           additional Expenses which would reasonably have been
                           incurred during such period by Landlord if it had at
                           its own expense furnished
 
                                      -7-
<PAGE>
                           such work or service to such tenant. If the Buildings
                           are not fully occupied during all or a portion of any
                           calendar year, Landlord shall make an appropriate
                           adjustment to the variable components of Expenses for
                           such year or applicable portion thereof, employing
                           sound accounting and management principles, to
                           determine the amount of Expenses that would have been
                           paid had such Buildings been fully occupied; and the
                           amount so determined shall be deemed to have been the
                           amount of Expenses for such year, or applicable
                           portion thereof.
 
                  2.       Notwithstanding any contrary provision of this Lease,
                           Expenses shall not include: (i) leasing commissions;
                           (ii)expenses which relate to the preparation of
                           rental space for a tenant; (iii) depreciation,
                           interest and principal payments on mortgages, and
                           other debt costs, if any, except as specifically
                           included in Sections IV.C.1(xii) and (xiii) above;
                           (iv) costs of correcting defects in, or significant
                           design error relating to, the initial design or
                           construction of the Building; (v) advertising and
                           promotional expenditures; (vi) costs of any items
                           (including, but not limited to, costs incurred by
                           Landlord for the repair of damage to the Building for
                           items which are reimbursable under any contractor,
                           manufacturer or supplier warranty) to the extent
                           Landlord receives reimbursement from insurance or
                           condemnation proceeds or from a contractor,
                           manufacturer, supplier or any other third party
                           (other than reimbursement by tenants pursuant to the
                           Expenses pass-through provisions of their leases);
                           such proceeds shall be credited to Expenses in the
                           year in which received, except that any deductible
                           amount under any insurance policy shall be included
                           within Expenses; (vii) the expense of services
                           provided to other tenants in the Building which are
                           made available to Tenant at cost or for which Tenant
                           is separately charged and collected; (viii) costs and
                           legal expenses relating to negotiating or enforcing
                           leases; (ix) the wages and benefits of any employee
                           who does not devote substantially all of his or her
                           employed time to the operation and management of the
                           Building or Property unless such wages and benefits
                           are prorated to reflect time spent on operating and
                           managing the Building and Property vis-a-vis time
                           spent on matters unrelated to operating and managing
                           the Building and Property; (x) compensation
                           (including benefits) of any employee of Landlord
                           above the grade of Building manager or Building
                           engineer; (xi) costs of capital additions, capital
                           alterations, capital repairs or capital improvements,
                           except those set forth in Section IV.C.1(xiii) above,
                           and except as provided in Section IV.C.2(xix) below;
                           (xiv) rentals and other related expenses for leasing
                           heating, ventilation and air conditioning systems,
                           elevators, or other items (except when needed in
                           connection with normal repairs and maintenance of the
                           Building and/or to an ameliorate an emergency
                           condition in the Building) which if purchased, rather
                           than rented, would constitute a capital improvement
                           not included in Expenses pursuant to this Lease; (xv)
                           costs and overhead and profit increment paid to
                           Landlord or to subsidiaries or affiliates of Landlord
                           for goods and/or services in the Building to the
                           extent the same exceeds typical costs and overhead
                           and profit increment of such goods and/or services
                           rendered by qualified unaffiliated third parties on a
                           competitive basis; (xvi) any costs for which Landlord
                           has been reimbursed or receives a credit, refund or
                           discount; (xvii) costs of signs (other than the
                           Building directories) in or on the Building
                           identifying the owner of the Building or other
                           tenants' signs; (xviii) costs of Landlord's
                           earthquake insurance and
 
                                      -8-
<PAGE>
                           flood insurance premiums in excess of those generally
                           being charged to institutional owners of other first
                           class office buildings in San Mateo County,
                           .... ("Comparable Buildings") for such
                           insurance; (xix) costs of capital repairs to the
                           extent that such repairs are necessary as a result of
                           a casualty, except for commercially reasonable
                           deductible amounts not exceeding deductible amounts
                           ordinarily obtained by institutional owners of
                           Comparable Buildings (such deductible amounts shall
                           be amortized [including interest on the unamortized
                           cost at the Interest Rate] over the useful life of
                           the item(s) being repaired, as reasonably determined
                           by Landlord); (xx) costs of cleanup, removal and/or
                           remediation of any Hazardous Materials (as such term
                           is defined in Section V below) in, on or under the
                           Property required to comply with Environmental Laws
                           which are incurred as a result of (a) the
                           introduction by Landlord or any tenant of the
                           Property of any such Hazardous Materials in, on or
                           under the Property in violation of Environmental Laws
                           in effect at the time of such introduction, or (b) as
                           a result of the presence of Hazardous Materials in,
                           on, or under the Property as of the Commencement
                           Date, to the extent such Hazardous Materials are in
                           violation of Environmental Laws in effect as of such
                           date; (xxi) any costs expressly excluded from
                           Expenses elsewhere in this Lease; or (xxii) any other
                           expenses which are not specifically identified herein
                           as being included in Expenses, where such expenses
                           would not normally be treated as a cost of operation
                           (to be reimbursed by tenants) by landlords of
                           Comparable Buildings.
 
                  3.       Landlord agrees that since the purpose of Expenses is
                           to allow Landlord to require Tenant to pay for the
                           Operating Expenses attributable to the Building,
                           Property and Premises, Landlord agrees that (a)
                           Landlord will not collect or be entitled to collect
                           Expenses from Tenant in an amount which is in excess
                           of Tenant's pro rata share of the of the Expenses
                           actually paid by Landlord in connection with the
                           operation of the Building, Property and Premises and
                           (b) Landlord shall make no profit from the collection
                           of Expenses from tenants of the Building.
                           Furthermore, the parties acknowledge that the
                           Building consists of both the 4000 Building and the
                           4100 Building and that the Expenses are to be
                           equitably allocated, to the maximum extent possible,
                           between the 4000 Building and the 4100 Building.
                           Accordingly, although Expenses shall be determined