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Triple net lease

A lease in which the tenant pays operating costs, maintenance and insurance in addition to rent.

Net and triple net structures are common in logistics, often excluding the roof and structure. Returns become more predictable for the owner, while the tenant takes more responsibility for the building's condition.

Terms in Germany

The terms come from Anglo-American practice. In Germany, a distinction is usually made between gross rent, net rent with recoverable service charges, and leases in which the tenant also bears maintenance and repair. What exactly is transferred follows solely from the lease wording.

Roof and structure

By law, the landlord is responsible for maintaining the premises. In commercial leases, part of this can be transferred to the tenant. In standard form leases, however, case law sets limits, particularly for roof and structure and for uncapped costs. Individually negotiated terms and clear cost caps create legal certainty.

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