Net lease glossary
NNN Lease (Triple Net Lease)
A lease where the tenant pays base rent plus the property's real estate taxes, insurance, and maintenance costs.
A triple net (NNN) lease requires the tenant to pay base rent plus the three main property expenses: real estate taxes, building insurance, and maintenance, including common area costs. The landlord receives rent that is largely net of operating expenses. Many NNN leases still leave the landlord responsible for the roof, structure, or parking lot, so the exact split must be read in the lease rather than assumed from the label.