When calculating the commission for a property manager based on gross rental income, what additional expenses do tenants pay in a triple net lease?

In a triple net lease, tenants are responsible for several additional expenses beyond just the base rent. Specifically, these expenses typically include operating expenses, maintenance costs, property taxes, and insurance. This structure allows the property manager to have a clearer understanding of the gross rental income, as tenants directly cover many of the costs associated with property management.

The inclusion of operating expenses means that costs related to the day-to-day functioning of the property are also handled by the tenant, which can cover various utilities and services. Maintenance costs would address the upkeep of the leased space, with tenants taking on the responsibility for repairs and maintenance. Taxes and insurance are also essential components, as they are typically linked to property ownership and management.

Thus, when calculating a property manager's commission based on gross rental income, the comprehensive nature of a triple net lease ensures that all these expenses are accounted for, which underscores the accuracy and predictability of the rental income stream.