Office and Retail Rental Rates
Rental rates for office and retail space are typically quoted in terms of money per floor-area–time, usually money per floor-area–year. For example, the rate for a particular property may be 290 dollars per square-meter–year ($290/m2·a) (or $29/ft2·a), and rates in the area could range $200/m2·a–$500/m2·a.
In many countries, rent is typically paid monthly even if usually discussed in terms of years.
Example: A particular 200 m2 space is priced at $150/m2·a: (200 m2) × ($150/m2·a) / (12 mo/a) = $2500/month
In a gross lease, the rate quoted is an all-inclusive rate. One pays a set amount of rent per time and the landlord is responsible for all other expenses such as costs of utilities, taxes, insurance, maintenance, and repairs.
The triple net lease is one in which the tenant is liable for a share of various expenses such as property taxes, insurance, maintenance, utilities, climate control, repairs, janitorial services and landscaping.
Office rents in the United States are still recovering from the high vacancy rates that occurred in the wake of the 2008 recession.
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Famous quotes containing the words office and, office, retail and/or rates:
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—Gloria Steinem (20th century)