Lease Type: Full Service-- What exactly does that mean and what does it include

In Leasing Property - Asked by heather p. - Oct 23, 2008
Report Abuse
Answer this Question

Answer(s)

Gene G.
Broker/Agent
Houston, TX

A full service lease most commonly means a lease in which the rent includes all building services/utilities, save the telephone lines(you will have to pay your provider to give you a number, hook up, and service.) You should be mindful of how the rent is calculated and ask for estimates/actual costs on all services of the landlord. You should also contrast this to a triple net lease, or NNN, in which all operating expenses of the landlord are passed through to the the tenant either as additional rent or built into the base.

Oct 24, 2008
Report Abuse
Juan G.
Broker/Agent
Ontario, CA

Full service leases are typical of executive suites or other office leases. The times when I have seen a full service lease was when I was an office broker and the landlord would charge a set fee which covered; rent, utilities, water, gas. Some times I saw landlords include internet, phone, drinking water, use of confrence room. Make sure you clarify before you sign as "full service" will vary in everyones perspective because some landlords are more generous than others.
In retail I only do NNN leases which are described by the other broker. Sometimes we do Modified Gross leases which are the Base Rent plus a Common Area Maintenance fee which is normally a set fee per square foot unless the lease term is long and then the fee may either increase annually at a predetermined amount or based on an index.

Oct 24, 2008
Report Abuse
Brian L.
Houston, TX

Lease Type: NNN-- What exactly does that mean and what does it include

Dec 6, 2011
Report Abuse

Welcome to Answers

LoopNet Answers is where the commercial real estate community shares what they know to help each other out. And it's all for free.

Ask a question to get advice from brokers, investors, professionals and local experts.

Answer questions to raise your visibility as a trusted advisor and build new relationships.

Ask a Question

Post Question