What Does Base Rent Mean in an Office Lease? By: Taylor McHargue, SIOR When looking at leasing office space for the first time, you may encounter a number of commercial real estate terms that you’ve never encountered before. If it seems confusing, it’s not your fault. The commercial ...
A rent free period isperiod of time during your lease where you don't have to pay any rent at all. Although rent free periods usually kick in at the start of the lease, you might find them at other points during the lease term. What does it mean if rent is abated? Rent abatement ...
Tenants in an NNN lease have more autonomy to pursue design, construction, and maintenance choices because they put more money in than with other leases. This is perfect for investors who don’t want the crushing responsibility of being a landlord but also want more control over their property....
What is the most common type of commercial lease? A Triple Net Lease (NNN Lease)is the most common type of lease in commercial buildings. In a NNN lease, the rent does not include operating expenses. Operating expenses include utilities, maintenance, property taxes, insurance and property manag...
Reading, accessing, or using the information provided in this blog does not create an attorney-client relationship between the reader and the author, and any reliance on the information is at your own risk. If you require legal advice or assistance, it is crucial to consult with a qualified ...
Zero Cash Flow in Triple Net Lease Zero Cash Flow Properties or zeros are a specific type of real estate structure and that do not generate any income since all rental income is directly applied to service the debt that is taken on to finance the investment(Triple Net NNN Lease terms ). ...
This does not mean the tenant will only be allowed to use 10% of the space, but rather that 10% of the common area square footage will be added on to the tenant’s square footage number in the lease. Rentable square feet is used to determine your annual base rent expense. To do th...
But this doesn’t mean that technology companies as rule don’t pay out dividends. IBM pays a dividend, but of course IBM is a much more mature company than say Google or certainly Facebook. Apple pays a dividend as well, but of course it does have something like $160 billion in cash...
How manyhuman genesdoes an animal need to have to gain human rights? Pigs have a tiny amount of human genes, but a richer mix could be made. Geep have already been born - half sheep and half goat. What about combining humans and monkeys to make a half and half breed? This is not ...
What The 2% Rule Does Tell You About a Rental Property The only thing the 2 percent rules tells you is the ratio of rent to sales price. There is no secret formula that gives investors an insight into how a property will actually perform. As investors, we must take what information we ...