is a lease that includes on top of the basic rent, a share of the real property taxes, insurance, and maintenance. "Triple-net-leases' are standard in commercial property leases in shopping centers and malls. Usually done under a limited partnership, resulting in lower risk for investors.
Rental type in which the tenant pays rent to the landlord and additionally assumes all costs regarding the operation, taxes and maintenance of the premises and building.
A lease requiring the tenant to pay in addition to a fixed rental, the expenses of the property such as taxes, insurance, maintenance, utilities, cleaning etc. The terms "net net", "net net net", "triple net", are used.
lease A lease providing that the tenant pay for all maintenance expenses, plus utilities, taxes, and insurance. This results in lower risk for investors, who usually form a limited partnership.
Refers to the requirement for the lessee to pay for its share of the property's taxes, insurance and operating expenses.
Lease rate under which tenant pays all taxes, insurance and maintenance expenses in addition to rent to landlord.
Rent stipulated in a lease which requires the tenant to pay it's proportionate share of real estate taxes, insurance and operating expenses. In the real estate industry, the terms Triple Net and Net are often used with the same meaning. EXAMPLE: ABC Industrial Tenant occupies 100% of the rentable area of ABC Industrial Building. Their lease requires them to pay Base Rent of $7.50/sq. ft. triple net. In this instance, rather than the Landlord making real estate tax, insurance and operating expense payments to the appropriate taxing authorities/vendors and being reimbursed by ABC, ABC is responsible for making such payments directly to the taxing authorities/vendors.
Rent A lease in which the tenant pays, in addition to rent, certain costs associated with a leased property, which may include property taxes, insurance premiums, repairs, utilities, and maintenance. There are also "Net Leases" and "NN" (double net) leases, depending upon the degree to which the tenant is responsible for operating costs. See also "Gross Lease".
