STANDARD INDUSTRIALCOMMERCIAL MULTI TENANT LEASE MODIFIED NET Form
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People also ask
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What does nnn mean on a lease?
Primary tabs. Triple net lease (NNN) is normally a commercial lease where the lessee pays rent and utilities as well as three other types of property expenses: insurance, maintenance, and taxes.
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What is the difference between industrial gross and NNN?
NNN leases are not like the industrial gross leases offered by manufacturers. These leases are typically shorter in duration and are usually for shorter periods of time. They are also typically less in price.
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What is a net-net lease in commercial?
What Is a Net Lease? The term net lease refers to a contractual agreement where a lessee pays a portion or all of the taxes, insurance fees, and maintenance costs for a property in addition to rent. Net leases are commonly used in commercial real estate.
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What is the difference between NNN and industrial gross lease?
The primary difference between an Industrial Gross (IG) lease and a Triple Net (NNN) AIR CRE lease is the definition of the responsible party for paying property tax and property insurance. In an Industrial Gross lease, the Lessor/Owner is responsible for paying the property tax and property insurance.
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What is an industrial gross lease?
Industrial Gross (IG) Lease. Lease type in which tenant pays most but not all operating expenses in the base rate. In addition to base rent, tenant pays utilities, common area maintenance, and often the increase in property taxes and insurance over base year.
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What does "modified net lease" mean?
A modified net lease is a negotiated middle ground between the gross lease and the triple net lease that can be used to make deals more favorable for tenants and still protect the interests of the investor by splitting some of the property expenses.
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What is the difference between a triple net lease and a gross lease?
The general difference between a triple net and a gross lease is that in a gross lease, the lessor is responsible for paying the operating expenses, whereas in a triple net lease, most of the operating expenses instead fall on the shoulders of the lessee.
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How to tell if a lease is triple net?
Single net leases charge rent plus one of those three categories of expenses, usually property taxes. Double net leases charge rent plus two of the categories, often property taxes and insurance. And, of course, triple net leases charge rent plus all three additional categories; taxes, insurance, and maintenance.
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