What costs does a tenant pay in a Triple Net (NNN) Lease?

In a Triple Net (NNN) Lease, the tenant is responsible not only for paying rent but also for covering additional expenses associated with the property. Specifically, this includes property taxes, insurance premiums, and maintenance costs.

The key feature of a Triple Net Lease is that the tenant takes on these additional financial responsibilities, which typically means they handle the operating expenses related to the property. This differs from other leasing structures where landlords might retain responsibility for these costs.

In your answer, stating that the tenant pays rent plus property taxes, insurance, and maintenance costs accurately reflects the comprehensive nature of financial obligations under a Triple Net Lease, distinguishing it significantly from other types that might limit the tenant's responsibilities to just the base rent or select costs. This structure is common in commercial real estate, allowing landlords to have a more predictable income stream while transferring certain risks and responsibilities to the tenant.