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A triple net lease is a type of agreement between a commercial property owner and tenant where the tenant is responsible for property insurance, real estate taxes, and common area maintenance. The costs of these "three nets" are estimated for the year and included in the monthly rent. If the costs are lower, the tenant receives a refund, and if higher, the tenant pays the difference. Tenants often request a cap on the triple net amount. Triple net leases are commonly seen in retail, industrial, and free-standing buildings.
