10 Commercial Real Estate Terms Every Small Business Should Know








Those who cannot remember the past are condemned to repeat it.

~George Santayana (1863-1952)


Whether you’re looking to start your business in a commercial location or you’re finally moving a home-based business out of your garage, acommercial real estate agent can be your best friend — or a source of endless frustration. To start the relationship off on the right foot, it’s a good idea to learn a little of the language commercial real estate agents speak. Here are some of the commercial real estate terms you may come across:

  1. Gross lease: A property lease whereby the landlord pays for all property costs usually included in ownership. These include costs such as utilities, taxes, and maintenance.
  2. Triple net lease (also known as an NNN lease): A property lease whereby the lessee (you) pays a fixed rental charge and expenses on the property, including maintenance.
  3. Tenant improvements: These are improvements done on the interior of a space, which can be paid for by the landlord and/or the tenant, depending on the lease.
  4. Usable area: The part of an office or a building floor that can be occupied, permanent wall to permanent wall.
  5. Rentable area: The usable area within the office, including shared areas of the floor and building such as lobbies, corridors, closets, and restrooms.
  6. Common area maintenance (CAM): This is the additional rent charged to the tenant to maintain the common areas of the property. These are the areas that are available for use by more than one person and are usually owned by all the tenants.
  7. Percentage lease: A lease in which the costs are based on the percentage of the sales volume made at the property.
  8. Letter of intent: An informal agreement between landlord andlessee indicating their intent to move forward with negotiations.
  9. Latent defect: A fault in the property that could not have been revealed through reasonable inspection before the agreement.
  10.  Work letter: An agreement between a landlord and a tenantregarding all the issues related to the build-out (construction) of the interior of a space.

Want to learn more about commercial real estate and your small business? Check out these articles: Real Estate Considerations When Buying a Business and How to Select a Realtor or Real Estate Broker.

A little about me and my expertise – video


commercial / investment real estate / Arizona land specialist



I go to great heights to sell or purchase your land






Facts of Arizona – year 1848 to 2013




Feel free to contact Walter regarding any of these stories, the current market, distressed commercial real estate opportunities and needs, your property or your Investment Needs for Comercial Investment Properties in Phoenix.



View my listings and my profile at:





What is a CCIM?


Join My Mailing List



Please go to my web-site and get all the newsflashes and updates in Commercial Investment Real Estate in Phoenix and Commercial Investment Properties in Phoenix daily





Check out my professional profile and connect with me on LinkedIn.



Follow me on Facebook:



Follow me on Twitter:




Follow Me on Google+



Walter Unger CCIM, CCSS, CCLS

I am a successful Commercial Investment Real Estate Broker in Arizona now for 20 years and I worked with banks and their commercial REO properties for 3 years. I am also a commercial landspecialist in Phoenix and a Landspecialist in Arizona.





we are at on the a rise of the cycle in Commercial Real Estate.  so there is only one way and it’s called we are going up and now is the time for you to expand, upgrade or invest in Commercial Properties in Phoenix.  The prices on deals I may get you will not be around forever.


If you have any questions about Commercial Investment Properties in Phoenix or Commercial Investment Properties in Arizona,  I will gladly sit down with you and share my expertise and my professional opinion in Commercial Properties in Phoenix or Commercial Properties in Arizona with you.Obviously I am also in this to make money, but it could be a win-win situation for all of us. 


Please reply by e-mail walterunger@ccim.net or call me on my cell 520-975-5207 or Office:480-948-5554




Thank You


Walter Unger CCIM

Associate Broker,  West USA Commercial Real Estate Advisers

7077 E. Marilyn Road, Bldg 4, Suite 130

Scottsdale, AZ 85254

Cell:      520-975-5207   

Office :  480-948-5554

Fax: (480-658-1172  



View my listings and my profile at:





a little about me and my expertise – video


commercial-investment real estate adviser-land specialist




What is a CCIM?



Delivering the New Standard of Excellence in Commercial Real Estate 


  • Commercial Real Estate Scottsdale
  • Commercial Real Estate Phoenix
  • Commercial Real Estate Arizona
  • Commercial Investment Properties Phoenix
  • Commercial Investment Properties Scottsdale
  • Commercial Investment Properties Arizona
  • Land Specialist Arizona
  • Arizona Land Specialist
  • Land Specialist Phoenix
  • Phoenix Land Specialist
  • Land For Sale Phoenix
  • Land for sale Arizona
  • Commercial Properties For Sale Phoenix
  • Commercial Real Estate Sales Phoenix
  • Commercial Properties Phoenix
  • Commercial Properties Arizona
  • Commercial Land Specialist Phoenix
  • Commercial Land Phoenix
  • Multifamily land Phoenix
  • Retail Land Phoenix
  • Industrial Land Phoenix
  • Land Commercial Phoenix
  • Land Retail Phoenix
  • Land Industrial Phoenix
  • Land Multifamily Phoenix
  • Industrial Land for sale Phoenix
  • Land Industrial
  • P
  • Investment Real Estate


Disclaimer of Liability

The information in this blog-newsletter is for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.