What does CAM mean in real estate?

Answer 1

Common area maintenance (CAM) charges remain a critical issue in any commercial lease negotiation.

Fixed CAM or CAMs with caps are rare, even though it reduces unpredictability for tenants, this type of CAM cost is not preferred in a commercial lease contract.

CAM reconciliation services in real estate are to:

• Analyze lease documents, calculate admin fees and accurate tenant’s share of expenses
• Identify relevant exclusions in expense grouping
• Calculate appropriate cap based on controllable and non-controllable expense categories
• Apply Anchor Tenant contribution if any
• Compare tax and insurance amounts with respective parcels
• Validate escrows paid by each tenant
• Prepare variance analysis to find year-on-year variance
• Notify landlord on any unusual building expenses and update reconciled amount on client database
• Prepare and send invoices to the tenants
• Ensure proactive and seamless client communication and data management

Springbord has extensive experience working with global real estate companies has helped us build a deep understanding of the industry dynamics.

Answer 2

CAM : Certified Apartment Manager ,