Common Terms on Industrial Real Estate Leasing - Episode 15

Thanks for following! This is Episode 15 of our Industrial Real Estate Podcast. We are discussing the most common terms used by Landlord and Tenants in the Leasing of warehouse space. You can read the entire article and see all terms in out blog: https://www.warehousesmarket.com/blog Leasing a warehouse space can sometimes be a complicated process and there are many terms tenants might not be familiar. Our blog outlines most of the common terms used by landlord and tenants. Here are the top 5 that are more important to remember:  Base Rent: Very common on NNN leases. This is the rent that goes to landlord and separate from operating expenses and property taxes. Common Area Maintenance (CAM): These are the expenses the landlord pays for maintenance on the building. Includes but not limited to Property Taxes, Property Insurance and exterior maintenance.   Gross Lease vs. NNN Lease: Most landlords are now moving towards NNN leases. The big difference is that a gross lease, the lease rate include all operating expenses, and the NNN lease separates the “Base Rent” vs. “CAM”. Build-out/Leasehold Improvements: These are improvements that Landlord plans to do for the space to the benefit of the tenant. Also might increase the value of the building. This includes Office buildout, warehouse lights, refrigeration equipment and others. Lease Concessions: This can also be seen as incentives from Landlord to help the tenant during the transition.  It can a simple month of free rent or cash to tenant to build out specific office or others. Featured Property: 1800 NW 89th PL. Industrial Tip: Have landlord deliver turnkey space, even if paying a bit more.   Featured Property: 1800 NW 89th PL: +/- 106,046SF building with refrigeration on Doral. For sale or Lease.   Industrial Tip: Consider having the landlord deliver the space in turn-key condition. Even if it’s a bit more expensive on rent. This will help with headaches of coordinating contractors and build-out. Plus, tenants can concentrate on their business.   Thanks for watching us. Hope this is helpful. Please subscribe and leave us your comments. You can find more about us at: www.WarehousesMarket.com   Follow us on social media at: Instagram: @edisonindustrial Twitter: @edisoncre LinkedIn: Edison Vasquez PA.