What does nnn mean in real estate?

Answer 1

In commercial leases, this term means that in addition to rent, the tenant must pay all expenses for the use and operation of the property, including all taxes, utilities, maintenance and insurance charges. A "gross" lease is one where the landlord is obligated to pay such expenses.
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A triple net lease is one in which the tenant pays all of the ongoing operating expenses. The landlord receives a net rent, because the tenant pays the property taxes, utilities, insurance premiums, maintenance and repairs. Most net-leases are long term (10-25 years) with cost-of-living increases in the rent. Triple net properties are considered by many to be the most liquid and secure real estate investments available. Nearly all such properties tend to sell very quickly, especially those with solid, credit-worthy tenants.

Many successful regional and national companies would rather lease the property they occupy for their trade or business, than own it. Leasing frees up corporate funds for further business expansion, rather than tying up capital in "brick and mortar." Because their company name and logo are typically on the building they are leasing, and the public perception is one of ownership, they have a vested interest in assuring the taxes are paid, the building is in good repair and the grounds and facilities are clean and maintained. Leasing the building on a triple-net lease basis gives the companies the control they desire over their physical environment without the capital commitment of ownership.

Some examples of net-lease tenants are: Walgreens, Arby's, Sherwin Williams Paint, Staples, U.S. Government, Hollywood Video, Taco Bell, Checker Auto Parts, Goodyear Tire, Barnes and Noble, Radio Shack, Microsoft, Circuit City, PetsMart, Jiffy Lube, Carl's Jr., Gart Brothers, HomeBase, Federal Express, Hartford Insurance Co., Applebees, and Marie Calendars.

Answer 2

What Does Nnn Mean

Answer 3

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NNN stands for Triple Net. That means you will pay $2800 per month plus pro-rata share of expenses (insurance, taxes, common area maintenance (CAM) and so on). Pro-rata is your percentage portion of the overall building. if the building is 5600 square feet then you are 50% pro-rata share and will be obligated to pay 50% of the said expenses. This is a very common form of leasing office space. Other methods would be a Gross Lease in which you have one flat amount (that amount typically estimates the expenses so your rent amount would be higher, instead of $2800 it might be $3800 as an example). Also there is Percentage Rent which is not very common anymore and is typically associated to retail and not office. It usually has a smaller flat rate plus a percentage of the tenants sales would be included in the rent. Once again, NNN is very common just make sure that your rent amount (the $2800 portion) is in line with market prices per square feet.

Answer 4

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What does nnn mean in real estate?

Answer 5

I wrote about this a while back. Here is the best way to figure out what NNN means and what it means to you in rent at the end of the day: http://www.getdigsy.com/blog/commercial-real-estate/what-the-heck-does-nnn-mean/

Answer 6

NNN is used in a commercial context and means "triple net."

If the commercial lease tenant is paying a portion of the NNN expenses (taxes, insurance, common area maintenance), this is typically in addition to the monthly rent amount.

Answer 7

nnn real estate

Answer 8

Triple net lease

Answer 9

I believe that means triple net in lease terms.

Answer 10

I've never seen it before ,

What form is it on ? (maybe a clue there)

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