# How Is Nnn Calculated

Nnn Is How Calculated – Snapmilwaukee – NNN Real Estate Blog: How to Calculate Leasing Commissions – For retail, medical office and industrial, a percentage of rent is typically paid for a commission. A common structure is to pay 6% of the total rent for the first 5 years of the lease, 3% of the total rent for the next 5 years, and 1.5%.

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A triple net lease (or "nnn" lease) is a form of real-estate lease agreement where the tenant or lessee is responsible for the ongoing expenses of the property, Common Area Maintenance charges, or CAM for short, are one of the net charges billed to tenants in a commercial triple net (NNN).

Nnn Is How Calculated – Snapmilwaukee – nnn real estate blog: How to Calculate Leasing Commissions – For retail, medical office and industrial, a percentage of rent is typically paid for a commission. A common structure is to pay 6% of the total rent for the first 5 years of the lease, 3% of the total rent for the next 5 years, and 1.5%.

The NNN Lease, often just called the triple net lease, is a common lease structure used in commercial real estate. Despite the popularity of the NNN lease, the triple net lease structure is still commonly misunderstood by many commercial real estate professionals.

A triple net lease is an agreement between a tenant and landlord that makes the tenant responsible for all costs of the property in addition to rent. This style of lease is common for commercial properties, and according to The Money Alert, the tenant will pay rent, taxes, insurance and maintenance on the building.

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NNN Real Estate Blog: How to Calculate Leasing Commissions – For retail, medical office and industrial, a percentage of rent is typically paid for a commission. A common structure is to pay 6% of the total rent for the first 5 years of the lease, 3% of the total rent for the next 5 years, and 1.5% for the remaining term.

Landlords of most retail properties typically require that their tenant’s pay both a base rental rate and their pro rata share of operating expenses (aka nnn or CAM). I will explain more about operating expenses, NNN, and CAM in another session. Below are a couple of examples on how to calculate the monthly cost of renting retail space for lease.