GLOSSARY

Base Year
First year of the lease term.
Common Area Maintenance (CAM)
This includes maintenance of the roof, structure and common areas.
Flex Space
This is space that can be used for office and/or warehouse. Note: Sometimes there is dedicated warehouse and office space.
Full Service Gross (FSG)
All expenses based on the base year are included in the rental rate. Incremental expenses will be passed through to the tenant in subsequent years.
Full Service Gross Plus E
This is the same as Full Service Gross except that the tenant pays for electricity.
Industrial Gross (IG)
The Landlord covers taxes, insurance and CAM. Tenant covers janitorial, utilities and sometimes trash removal. The tenant is also responsible for repair and maintenance of the HVAC systems.
Industrial Space
Includes warehouses and manufacturing facilities. Typically this space will have 1-2 offices.
Modified Gross (MG)
The landlord covers roof and structure expenses, base year taxes and insurance. Tenant pays for CAM (roof and structure excepted), utilities and janitorial. Incremental expenses will be passed through to the tenant is subsequent years.
Neg
The lease rate is negotiable.
Net (N)
The landlord covers the roof, structure, taxes and insurance. The tenant pays for the utilities, janitorial and CAM (except roof and structure).
Retail Space
This space includes strip shopping centers, shopping malls and free standing structures (such as restaurants, banks, etc.)
Triple Net (NNN)
The tenant pays all expenses. The three N's stand for CAM, taxes and insurance.