Decrypting the Jargon

Net Lease or Triple Net Lease: Refers to the Tenant's financial share of the operating expenses of the real estate. Lease Rates are often quoted on a dollar per square foot basis. Leases can be plus utilities; Net, Net, Net or a combination of the two. Generally Nets are made up of real estate taxes, insurance on the property and C.A.M.


Gross Lease: Leases can also be quoted at gross rates, meaning that all utilities are included and the only cost in addition to the square footage rate will be janitorial services within the Tenant space. However, some leases include janitorial fees as well. Class A office buildings are most often the sites where lease rates are quoted on a gross basis.


C.A.M.: Common Area Maintenance charges, or C.A.M. charges encompass everything from landscaping/snowplowing to parking lights, to janitorial services in common areas (entrances and hallways, elevators)


1031 Exchange: Tax de... Read more.»