what is cam in real estate

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Common area maintenance

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  • What is a CAM charge in real estate?

  • CAM in real estate is a charge that tenants must pay in addition to their base rent to share a portion of a building. Understanding what CAM charges are and how to calculate them may help you to accurately assess your business?operating expenses and save your company money.

  • Where do I find Cam expenses on a commercial lease?

  • You can find CAM expenses in the lease abstract portion of a commercial lease. Lease abstracts are summaries of individual leases that outline things such as renewal rights, rent increases, parking and CAM charges. Are CAM expenses reassessed each year?

  • What are common area maintenance charges (Cam)?

  • Some CAM charges may include: The landlord maintains the common areas of a property using the CAM fees they collect each month. Common area maintenance charges may also be anything the landlord and tenant agree to on the CAM charges section of the lease.

  • How are cam costs calculated?

  • CAM structures are calculated on a pro-rata basis. This means the more square footage a tenant leases, the more CAM expenses they are expected to pay. The expenses correspond with the percentage of the property your space takes up such as 10% or 45% of the total property space.

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