Leasing Commercial Buildings

Types of Leases

Full Service Lease

Lease that takes care of all expenses including:• Janitorial• Maintenance• Utilities• Taxes

Typically found in large buildings with limited entrances.

NNN Lease• Also known as the “Net Lease”, commonly found in smaller shopping

centers or strip malls. You are responsible for paying the three most common expenses along with your rent:• N – Property Tax• N – Insurance• N – Maintenance

• Typically the rent is based on a per sq. ft. cost

Modified Gross• Typical with industrial or commercial buildings.

• Lease includes full services + actual electrical and/or water usage. This is due to the high utility demands of industrial businesses.

% Lease• This is typical with a shopping center or mall lease. Rent is based on a

set amount (and includes all services) + a percentage of the business profit. The more you make in profit, the more you pay in rent.

Find a commercial lease for your business

• Go to HAR.com• Search Commercial (towards bottom right)• Click on Map • Find a retail lease/sale that will fit your needs based on

frontage and size (must be a close match in size)• See what type of lease it is and how much or is it for sale• See if the property you select has a flyer link for additional

information

On a separate document (Word, Publisher, PPT)• Make a two page document with your buildings information:

• Picture(s)• Address & Map• Type of Lease and Cost (or Sales Price)• Sq. Footage – Lot Size – Age – Number of Parking• Any special features• Any demographic information• Make it neat, like a flyer but it must be your own creation.• Drop it in N: drive as Lease Last Name Due Thursday