In a triple net lease, the tenant pays base rent plus a pro rata share of common area maintenance, property taxes, and building insurance directly.
How it works
Base rent, CAM charges, property tax pass-through, and insurance pass-through — all expressed per square foot per year — sum together and multiply by the leased square footage to find the total annual occupancy cost.
What this does not include
This assumes flat per-square-foot rates for the full lease term — many commercial leases include annual escalations on these components (this site’s separate rent escalation calculator models that compounding growth).
How to use this calculator
- Enter square footage and per-square-foot rates for base rent, CAM, property tax, and insurance.
Frequently asked questions
What does “triple net” refer to?
The three “nets” are property taxes, building insurance, and common area maintenance — all three are passed through to the tenant on top of base rent, unlike a gross lease where the landlord covers them.
Is a triple net lease cheaper than a gross lease?
Not necessarily — the base rent on a triple net lease is typically lower than an equivalent gross lease specifically because the tenant is absorbing those additional costs separately.
Do CAM charges vary year to year?
Yes — CAM charges are often estimated and reconciled against actual expenses annually, meaning a tenant may owe a true-up payment or receive a credit once actual costs are known.
