Commercial Lease & CAM Calculator

Calculate monthly and annual commercial rent payments, price per square foot, NNN property taxes, insurance, and CAM fees across multi-year leases.

Space & Lease Specifications

Property Benchmarks
Rentable Square Footage (RSF)2,500 sq ft
sq ft
$
yrs
%
Operating Expenses (NNN & CAM)
$/sf
$/sf
$/sf
$
Total Monthly Out-of-Pocket Rent (Yr 1)
$10,000/ month
$48.00 / sq ft / yr

Base Rent / Mo

$7,500

NNN Opex / Mo

$2,500

Year 1 Total

$120,000

Full 5-Yr Value

$627,822

Commitment Schedule (5 Years @ 3% Escalation)
Effective Rate / Sq Ft / Mo:$4.00 / sq ft
Annual Base Rent (Yr 1):$90,000
Annual CAM & Opex Pass-Through:$30,000
Total 5-Year Financial Commitment:$627,822

Confidential Commercial Analysis

Your lease square footage, rates, and CAM pro-forma data are calculated 100% locally in your browser.

Commercial Rent Mathematics & NNN Escalation Formulas

Commercial lease calculations combine base rate amortizations with proportional operating expense pass-throughs:

1. Monthly Base Rent Formula
Monthly Base Rent =
Rentable Sq Ft × Base Rate ($/sq ft/yr)12 Months
2. Triple Net (NNN) Operating Pass-Through Check
Monthly NNN Opex =
Sq Ft × (Property Taxes + Building Insurance + CAM)12 Months
+ Utilities
3. Multi-Year Lease Total with Escalation
Total Lease Value = Σ [ Year 1 Base × (1 + Escalation %)^(t - 1) + Annual Opex(t) ]
Step-by-Step Commercial Rent Breakdown
Step 1: Compute Base Rent Outlay
2,500 sq ft × $36/sq ft = $90,000 / year ($7,500 / month).
Step 2: Calculate Operating & CAM Maintenance Pass-Through
Taxes ($4.0) + Insurance ($1.5) + CAM ($6.5) = $12.00/sq ft/yr = $2,500 / month (including $400 utilities).
Step 3: Total Year 1 Monthly Check & Term Commitment
Monthly Check=$10,000 / mo ($627,822 over 5 yrs)

Commercial Lease Structures Comparison

Lease StructureTenant ResponsibilityLandlord ResponsibilityTypical Asset Class
Triple Net (NNN)Base rent + Taxes + Insurance + CAMStructural roof & foundation onlyRetail strips, Industrial warehouses
Full Service GrossFixed all-inclusive monthly base rentTaxes, Insurance, Utilities, JanitorialClass A Multi-Tenant Office Buildings
Modified GrossBase rent + Tenant utilities + Expense stopsBase year taxes, building insuranceMedical suites, Flex office properties

Frequently Asked Questions

What is the difference between a NNN (Triple Net) lease and a Full Service Gross lease?
In a Full Service Gross lease, the tenant pays one fixed rent amount, and the landlord pays all building operating expenses (property taxes, insurance, and CAM maintenance). In a Triple Net (NNN) lease, the tenant pays a lower base rent PLUS their proportional share of all three operating expense buckets: 1. Real estate taxes, 2. Building insurance, and 3. Common Area Maintenance (CAM).
How do you calculate monthly commercial rent from price per square foot?
In the United States, commercial lease rates are quoted as an annual rate per square foot. To calculate monthly rent: (Square Footage × Annual Rate Per Sq Ft) ÷ 12. For example, a 2,500 sq ft office space quoted at $36/sq ft/year costs (2,500 × $36) ÷ 12 = $7,500 per month base rent.
What expenses are included in CAM (Common Area Maintenance) fees?
CAM fees cover operating, maintaining, and repairing shared building areas: lobby cleaning, hallway lighting, HVAC maintenance, parking lot snow removal and repaving, landscaping, elevator maintenance, security systems, and property management administration fees (typically 3%–5% of gross revenues).
What is an annual rent escalation clause?
Most multi-year commercial leases include an annual rent increase to account for inflation and property appreciation. Standard escalations range between 2.5% and 3.5% per year, or are tied to the Consumer Price Index (CPI).
What is the difference between Usable Square Footage (USF) and Rentable Square Footage (RSF)?
Usable Square Footage (USF) is the actual private floor area occupied exclusively by your business. Rentable Square Footage (RSF) includes your usable area PLUS your proportional share of shared building common areas (lobbies, restrooms, hallways). You pay rent on Rentable Square Footage.

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