An industrial real estate lease is a rental agreement between a commercial space owner (landlord) and a business (tenant). These agreements typically come in three different forms: full-service leases, net leases and modified gross leases.
Unlike residential leases, industrial real estate leases can be negotiable. They also often include costs in addition to the base rent, such as common area maintenance (CAM) fees, utilities, maintenance and repair costs, and more. These inclusions vary by country and market, so a business should work with a trusted advisor to be familiar with market norms. The information presented in this section reflects US standards.