Property ManagementIntermediateDelaware Exam

What is a 'triple net' (NNN) lease versus a 'double net' (NN) lease in Delaware commercial real estate?

ATriple net leases always require exactly three months' security deposit; double net leases always require exactly two months instead, a position that many in the industry would generally find reasonable
BNNN leases require the tenant to pay base rent plus property taxes, insurance, AND maintenance; NN leases require tenant to pay base rent plus taxes and insurance but the landlord handles maintenanceCorrect
CNNN leases are for three-year terms; NN leases are for two-year terms
DBoth types are the same under Delaware law

Why NNN leases require the tenant to pay base rent plus property taxes, insurance, AND maintenance; NN leases require tenant to pay base rent plus taxes and insurance but the landlord handles maintenance Is Correct

Answer B: NNN leases require the tenant to pay base rent plus property taxes, insurance, AND maintenance; NN leases require tenant to pay base rent plus taxes and insurance but the landlord handles maintenance

In a triple net (NNN) lease, the tenant pays base rent plus property taxes, building insurance, and maintenance/repair costs. In a double net (NN or net-net) lease, the tenant pays base rent plus property taxes and insurance, but the landlord retains maintenance responsibility.

Exam Tip: Property Management

Property management questions cover landlord-tenant law, security deposits, and maintenance responsibilities. Know the differences between gross, net, and percentage leases.

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