Commercial Real Estate Rental | General Information Blog

So you're a little confused by all the terms that real estate agents throw around like that?Well do not worry, I can ensure you're in good company. We'll have some of the basics out of the way and then we can pass some of the details. One of the first things you have to understand is that there are several components to the overall rate of rent you ultimately end up paying. It is the rent you pay the landlord for the use of their space, but also as a commercial tenant who also purchase the following articles, and general building maintenance, property taxes, building insurance and management the property. (I know, I know, does not seem fair that you pay for the management and maintenance of the property of another person, but that's the real world, so get used to it.) There are basically two types of rents that are listed on the search for commercial space. This is the gross income and net income. They are two separate ends of the spectrum of what is included in the rent. Gross income is all rental. An actual gross income includes all the above expenses (property taxes, insurance, maintenance, administration, utilities, etc, etc) and any other expenses that may be given to a specific property. Net rent is a type of rent does not include anything else. Net rent is simply the amount you pay the landlord the right to use their space for a period of time. In a single leased property the tenant only pays all additional costs themselves. In multi-occupied properties, such as office buildings or shopping centers to multi-tenant retail net income is often accompanied by additional income (also called CAM / Taxes which means common area and maintenance, plus property taxes) . The additional revenue covers the expenses mentioned above. The additional revenue is usually based on an estimated value of the previous years operating expenses. The total cost of ownership are added together and divided by the square of material cost of the building. The costs are then allocated to each tenant in proportion to the amount of space with the building. So if a building has 10,000 square feet of rentable space, and the tenant has 1,000 square feet of retail store, then pay 10% of total expenditures. The additional revenue is quoted in a Ft per square meter basis as well. In different parts of the country, the income may be quoted differently. In Winnipeg rents quoted are usually cited as a price per square foot per year. In other parts of the country where you can be cited as the price per square foot per month. If in doubt, ask.

Source: http://hvfsc.org/commercial-real-estate-rental

medifast sinead oconnor braylon edwards jimmer fredette mall of america mennonite smokey robinson