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Add all expenses and divide by the GLA.

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17y ago

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What is the difference between NNN charges and CAM charges?

NNN charges (Triple Net charges) typically refer to a lease agreement where the tenant is responsible for property taxes, insurance, and maintenance costs in addition to the base rent. CAM charges (Common Area Maintenance charges) specifically pertain to costs associated with maintaining common areas in a commercial property, such as landscaping, janitorial services, and utilities for shared spaces. While NNN encompasses a broader range of expenses, CAM is a subset focused on shared property maintenance.


Is mortgage included in common area maintenance?

The mortgage is not included in the Common Area Maintenance. Common Area Maintenance (CAM) expense is considered the expense for taxes, insurance and maintenance and operation of the Common Areas of a property including but not limited to, shared utilities, community lighting, parking lot repairs, landscaping, etc. A mortgage is not considered an operations expense. Leases will usually specify what constitutes CAM charges reimbursable by the tenant (lessee) to the owner (lessor).


We have yearly CAM charges that are estimated at 65 cent per square foot and are charged monthly after 2007 ended we received a bill for 3500 more dollars Is this common?

Depending on your location, another large bill may be incurred at the end of the year for your common area maintenance charges. This is not unheard of.


How Common area maintenance CAM charges to be treated in tds?

Common Area Maintenance (CAM) charges are typically treated as part of the rent for tax deduction purposes under the Income Tax Act in India. When making payments for CAM charges, Tax Deducted at Source (TDS) is applicable if the total payment exceeds the prescribed threshold. The applicable TDS rate for CAM charges generally aligns with the rate for rent, which is currently 10% for residents. It's essential for landlords to issue TDS certificates to tenants for the deducted amount for their tax records.


What is CAM in a rent rool?

In rent roll CAM means "common area maintenance". CAM charges are expenses incurred in maintaining the common areas of a building. They include everything from property taxes and insurance to landscaping and janitorial.


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Is common area maintenance cost part of rental expense?

Yes, common area maintenance (CAM) costs are typically considered part of rental expenses for tenants in commercial leases. These costs cover shared expenses such as cleaning, landscaping, and maintenance of common areas. Landlords usually allocate these costs to tenants based on their lease agreements, which may specify how CAM charges are calculated and billed. Therefore, tenants should account for CAM costs as part of their overall rental expenses.


What are CAM charges?

CAM charges, or Common Area Maintenance charges, are fees paid by tenants in a commercial property to cover the costs associated with maintaining shared spaces and facilities. These expenses typically include landscaping, cleaning, security, utilities, and repairs for common areas like lobbies, hallways, and parking lots. CAM charges are usually calculated based on the proportionate share of the leased space and can vary depending on the property’s management and operational needs. They are often detailed in the lease agreement and can be adjusted annually.


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Is painting part of common area maintenance?

Yes, painting is part of common area maintenance. This is done in cases of people moving out of apartments and such.