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A triple net lease is a type of lease agreement between a property owner and tenant for commercial space. The three nets refer to property insurance, real estate taxes, and common area maintenance, which the tenant is responsible for paying. Costs for these expenses are estimated for the year and factored into the monthly rent. Any difference in actual costs at the end of the year may result in a refund or additional payment from the tenant. Most tenants will often request a cap on the triple net amount.
