A net charge (NNN) is a type of charge that comes in conjunction with a net lease that requires the tenant to take on some of the expenses which would typically be paid by the owner. If you are a broker and are representing an owner, a net charge is the owner’s best friend. If you are representing a tenant it is something to be made sure to be regulated or avoided altogether.
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Finding the right commercial real estate agent for your specific needs can be incredibly difficult. What qualities in a commercial real estate agent should you be looking for to find the BEST DAMN one for you?
First and foremost, you have to decide which side of the negotiations table you are on
There are 2 common transactions:
- SALE: The property owner vs. the buyer
- LEASE: The landlord vs. the tenant
A commercial real estate agent that represents property owners are involved in “Agency Leasing”. These agents are also known as “Listing Agents”. “Listing Agents” are specialists in a certain territory (regions) and product type (Industrial, Office, Retail and Land). They also work to maximize the benefits for their client – the property owner. Continue reading
Updated: January 23, 2019
Sample Letter of Intent (LOI) for commercial leases. The Letter of Intent is very important negotiation instrument that you will need when renting or buying commercial space. LOIs are used to negotiate Office Space Leases, Industrial leases, Retail Leases, etc.
If you’re looking for the purchase version of a letter of intent, please visit: Letter of Intent to purchase commercial real estate PDF
If you’re in the process of searching for commercial real estate or negotiating a commercial lease, you will need access to a letter of intent to start negotiating with Landlords and Sellers of commercial property. There are 2 main variations of Letter of Intent (LOI) documents. One is for leases and one is for purchases. In this post we will give you access to the Lease version of the Letter of Intent.
MG also known as “Modified Gross” lease rent is a rent type often used in commercial real estate transactions. Commercial Real Estate has all sorts of terms and acronyms for rent and industry terms. It is very important to familiarize yourself with these terms if you’re a prospective tenant, a property owner, or even a Commercial Real Estate Agent or Broker. One term or acronym that many people are not familiar with is MG.
LOI is an abbreviation that can mean different things depending in the industry in which it is used. In commercial real estate “LOI” stands for “Letter of Intent”.
LOIs or Letters of Intent are negotiation instruments used during the initial stages of a commercial real estate transaction to reach an agreement on the terms of the lease or sale of a property. The transaction can be a purchase or a lease of a property or space.
An LOI is a non-binding proposal, offer or agreement between the Buyer and Seller or Tenant and Landlord of a commercial property. The LOI is the 1st formal step between the property owner and tenant (or buyer) to negotiate the terms of a commercial real estate transaction.
Updated: January 23, 2019
FSG rent… what on God’s green Earth does that mean?
When renting commercial real estate there are 3 types of leases, Full Service Gross (FSG), Triple Net (NNN) and Modified Gross (MG).
What does FSG stand for?
FSG stands for “Full Service Gross” rent. FSG rents are most typically found in leases with Office Space buildings where there are multiple Tenants and there is no way to separately meter the utility usage of their respective spaces. In this case, the Landlord pays all expenses including property taxes, insurance, common area maintenance, utility & janitorial costs and bakes these expenses into the Tenant’s monthly rent. This means that if the landlord quotes you an FSG monthly rent, the property taxes, insurance, common area maintenance, utility & janitorial costs are already included into the price, so typically you should not experience any additional rental charges.
NNN or Triple Net Leases – The Pros and Cons For Tenants
Written by Digsy Expert: Jamie Kim, CA Real Estate License #01869347
NNN or Triple Net Leases are one of many unique terms. Understanding commercial real estate leases can be daunting, as the terminology used may have a common or general meaning, but exact definitions can vary widely and differ by property or may be specific to each landlord. Assume that nothing is uniform, and everything should be verified. Trying to understand NNN or Triple Net, for example.
Updated: May 26, 2020
Complete List Free Commercial Real Estate Listing Search Engines
Free commercial real estate listings websites sites service different niche markets, but don’t cost 100s of dollars to use. Taking the time to find commercial real estate websites with reliable listing data that doesn’t cost money can take hours. And really, who doesn’t love free? So we’ve created a list of a bunch of free search sites to really help you get informed and ready when it comes time to get your dream space.
Here are some options you can try:
Warehouse space for rent and Industrial space for rent
Warehouse Space and Industrial Space is one thing that we see folks commonly conflating. I’m guilty of it too, but there is a difference. That difference lies in how the space will be used and, generally speaking, the level of occupancy on behalf of the tenant.
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Top Commercial Real Estate Agents do all the work for Free
In a previous post I went over the value of getting top commercial real estate agents (CRE agents) to help you find your ideal commercial space. Not only is it free, but letting a pro handle your search is the sole way to do everything in your power to get the right space for you. It’s what they do for living, after all.
In that post, I included 3 tips on getting the best commercial real estate agents and getting the most out of the experience. You can find that post here.
Well, without further adieu, here are tips 4 through 9: