Understanding a Landlord’s Ability to Increase the Tenant’s Share of Operating Expenses

In a commercial lease setting, in addition to the monthly rental payment, the tenant is often obligated under the lease agreement to reimburse the landlord for the tenant’s “Pro Rata Share” of certain “Operating Expenses” (sometimes called Common Area Maintenance expenses or CAM), which share is commonly determined by comparing the rentable square footage of the tenant’s leased space to … Continue reading »