Property Management

Which of the following is a common component of a Massachusetts commercial lease's 'operating expense stop' clause?

AA cap on the tenant's rent increases
BA base year after which the tenant pays their pro-rata share of expense increases above the base✓ Correct
CA requirement to stop operations after a certain hour
DA limit on the building's operating hours

Explanation

An expense stop clause in a Massachusetts commercial lease establishes a base year for operating expenses. The tenant pays their proportionate share of operating costs that exceed the base year level, protecting the landlord from expense increases.

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