Question

A tenant with a triple net lease rents a building that has the following yearly operating expenses: Property taxes $5,000, Utilities $7,000, Repairs & Maintenance $1,500. The tenant would be responsible for how much of these expenses?

Answer 1

Answer: $13500

Explanation:

The triple net lease refers to a lease agreement whereby the tenant pays all the property expenses such as property taxes, building insurance, utilities, repairs and maintenance.

Therefore, based on the question given, the expenses to be paid will be:

Property taxes = $5,000

Add: Utilities = $7,000

Add: Repairs & Maintenance = $1,500

Total = $13500