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Managing CAM Reimbursement
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- 2. The term commonarea maintenance (CAM) refers to the cost of maintaining common areas in commercial buildings that are accessed by all tenants. By including CAM charges, landlords are able to recoup certain expenses incurred when owning and managing properties from CAM reimbursements
- 3. Common Areas The building’scommon areas are located outside of your leased space but are accessible to you and other tenants.
- 4. Usable Areas The squarefootage in a building that you specifically use as a tenant is the usable area. In addition to individual offices or other facilities your business requires, this area can include restrooms within the space, closets, break rooms, and a reception area.
- 5. What Is Covered byCAM Fees? PThe cost of repairing, maintaining, and cleaning the common areas of commercial real estate property is included in CAM expenses. The exact costs are determined by the real estate landlord and detailed in the property’s tenant leases. They can differ greatly from one property to the next, but there are a few common examples:
- 6. Maintenance of Parking Lots The costsof sealing parking lots, repairing cracks, and resurfacing them when necessary are covered by CAM charges.
- 7. Landscape and Lawn Care Maintaininga commercial real estate property with significant landscaping can be costly. Mowing the grass, pulling weeds, trimming the trees, and maintaining the sprinkler/irrigation system are all examples of CAM charges for landscaping.
- 8. Business Roadmap 02 It is asafety issue to keep sidewalks clear of snow and ice and to repair any broken sections. It is in both the tenants’ and the owner’s best interests to keep them in good working order for the comfort and enjoyment of all customers.