Commercial Lease Guide

Commercial leases dictate the value of the asset. A strong building with a weak lease is worthless.

NNN vs Gross

In a Triple Net (NNN) lease, the tenant pays the base rent PLUS property taxes, insurance, and maintenance. In a Gross lease, the landlord pays these out of the rent collected.

A NNN lease protects the landlord from inflation, as rising insurance and tax costs are passed through. Use the Cap Rate Tool to see how outgoings affect valuation.