The Net Equivalent Lease Rates for the Comparable Transactions shall then be used to reconcile, in a manner usual and customary for a real estate appraisal process, to a conclusion of Market Rent which shall be stated as a “NNN” lease rate applicable to each year of the Option Term. The...
Control of an asset:Having a triple net lease (NNN) can allow you to maintain control of an asset without having to tie up cash in equity. So, when the lease term ends it can provide some additional options. You could either repurchase the asset, return and relinquish it, or even negot...
Triple Net Lease definition Open Split View ShareCite Triple Net Lease means a Lease under which a single tenant leases all or substantially all of the rentable area of a Property where the tenant is responsible for payment of real estate taxes and assessments, repairs and maintenance, insurance...
Of what good is negotiating an awesome lease, with tenant-friendly operating expense language, if the tenant does not hold the landlord accountable to the lease language during the term of the lease? Having the ability to audit the landlord’s books and records is extremely important. In our...
Lease Type: Absolute or triple-net (NNN) preferred. Double-net and modified gross leases are also considered. Lease Term: 9+ Year Weight Avg. Lease Term target. Rent Escalations: Rent escalations required. Physical Occupancy: Must possess strong daily utility and physical occupancy characterist...
• Term: 10 – 25 years • Lease Type: NNN • Renewal Options: Yes • Purchase Options: At fair market value Operating Leases vs. Capital Leases • Capital Leases –Appear on the Balance Sheet as assets and liabilities –Incur interest and depreciation expenses on the Income ...
However, the more leverage you have as a tenant, such as a long-term lease requirement, a large size requirement, good credit, etc., the more you should be able to negotiate that rate down. Find out why you should hire a tenant representation broker to help lead these negotiations: 7 ...
Definition.The term “Common Areas” means all areas and facilities that are provided and designated from time to time by Landlord for the general non-exclusive use and convenience of Tenant with other tenants and which are not leased or held for the exclusive use of a particular tenant. Commo...
and all overhead costs associated with owning the property: taxes, insurance, operating expenses, utilities, etc. As a result, the base rental amount can become a key negotiating term. Because the tenant is taking on the risk of the landlord's overhead, they may be able to negotiate a mo...
In the case of an automobile lease, the monthly payment on the vehicle is based on the car's expected depreciation and residual value—a predetermined amount that the car will be worth at the end of the lease term—as well as the lease rate, which is usually stated as a percentage. Thr...