CAM, or common area maintenance, charges are a tenant’s share of the costs to operate shared areas of a commercial property. Understanding how they are calculated is just as important as understanding the base rent.
CAM charges commonly cover work and services that benefit more than one tenant, such as landscaping, parking lot upkeep, exterior lighting, security, and janitorial service for common spaces. The exact list should be defined in the lease.
Ask for a history of CAM charges, the current year budget, and an explanation of how your share is calculated. It is also worth asking whether the lease places a cap on annual controllable operating expense increases.
A lower base rent does not always mean a lower total cost. Compare base rent, CAM, taxes, insurance, utilities, and any other pass-through expenses across each option so you can evaluate the real annual commitment.
(689) 407-6831ashley@creaflorida.com
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