Office Space for Lease in Kansas City: Understanding and Negotiating CAM Fees

Office Space for Lease in Kansas City: Understanding and Negotiating CAM Fees

No matter what size business you are or how much commercial real estate in Kansas City you are looking to rent, it is always worthwhile to ask for a better deal before signing your commercial lease. One area that can be confusing for businesses leasing a space is CAM fees, although this is an area that deserves attention in negotiations, as these make up a notable portion of the expenses you will be responsible for during your lease term. Here is some information on what CAM fees are and how to deal with them, as outlined in the article “Tips on How to Negotiate CAM Fees in Commercial Leases”:

  • Understanding CAM Fees – The most basic step is to understand what these fees are and what they cover. CAM fees typically cover the maintenance and repair of common areas that affect all tenants, including elevators, stairways, lobbies, restrooms and hallways, plus sometimes even the parking lot, sidewalks and landscaping of the property. Make sure your business’s CFO understands how to factor these fees into your budget.
  • Administrative CAM Fees – If you see this in your lease, these fees are something you definitely have grounds to reject. These are the fees that are related to operational or management expenses and should usually be taken care of by the landlord.
  • Beware of CAM Fees for the Exterior – Another aspect of CAM fees that you should push back against is exterior building maintenance. In theory, the landlord is making money from these buildings through the rent that you pay, so maintenance of this aspect of the property should be paid for by the landlord through the rent you pay.
  • Review the Bills – If your landlord won’t budge on your refusal or negotiation of certain CAM fees, you can ask to see proof of these expenses. Write it into your lease that you have permission to review these bills to make sure the expenses are being calculated correctly and appear reasonable.
  • Cap the Increases – Make sure that you negotiate for a cap to how much CAM fees can be raised annually. This could either be a percentage or a stipulated maximum amount. Make sure that you address this specifically, separate from other rent increase clauses.

In order to be prepared to negotiate the best lease possible for your business, it is important to know what you are dealing with in a commercial real estate lease. CAM fees are a major expense you will be responsible for beyond your regular rental payments, so it is important to understand how these work and how to make sure that your portion of these expenses is fair and reasonable. Do the due diligence on how to deal with CAM fees for office space for lease in Kansas City and save your business some money in the long run!

If your business is looking for commercial office space for rent in Overland Park, KS, give one of our commercial real estate agents in Kansas City a call at 913-685-4100 to learn more about the spaces our commercial property management in Overland Park, KS, has available!


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