Triple Net (NNN) Clause
The lease structure that makes tenant responsible for property taxes, insurance, and maintenance in addition to base rent.
- Specific NNN cost categories
- Caps on tax and insurance increases
- Roof, HVAC, and structural responsibility
- Capital vs operating expense distinction
If this clause already feels aggressive in isolation, upload the full contract and see how it combines with payment terms, liabilities, and exit rights.
Analyze My ContractWhat this clause actually does
A triple net (NNN) lease passes three categories of costs to the tenant: property taxes, building insurance, and maintenance. It is common in retail and standalone commercial properties. Tenants often misunderstand the total occupancy cost on a NNN lease compared to a gross or modified gross structure.
Why people get burned by this clause
On a $40 per square foot NNN lease, the additional NNN cost can be $8 to $15 per square foot. A 2,500 square foot space at $40 NNN can cost $145K total annual occupancy ($40 base + $10 NNN per square foot).
What should make you slow down
- Tenant responsible for roof, HVAC, and structural repairs
- No cap on annual property tax increases
- Insurance scope unclear (tenant pays building plus liability)
- No exclusion for landlord-caused damage
- Maintenance includes capital replacements
Where you usually see it
- Commercial leases
- Standalone retail leases
What the platform checks in the live contract
- Specific NNN cost categories
- Caps on tax and insurance increases
- Roof, HVAC, and structural responsibility
- Capital vs operating expense distinction
- Tenant audit rights
What stronger language usually looks like
- Operating expenses pass through; capital remains landlord
- Tax increase caps at 3% to 5% per year
- Roof, HVAC structure remain landlord responsibility
- Tenant maintains interior and trade fixtures only
NNN is fair when capital remains with the landlord. NNN with capital pass-through is a triple-net-with-extras structure that costs more than the rent number suggests.
See how this clause behaves in the real contract.
The clause library gives you judgment. The full review shows how this clause combines with the rest of the agreement, then quotes the exact language, scores the risk, and explains what to push on next.