Real Estate Math

A triple net lease in Indianapolis requires the tenant to pay $24,000 annual base rent plus the tenant's pro-rata share of $60,000 in operating expenses. The tenant occupies 25% of the building. What is the tenant's total annual payment?

A$30,000
B$33,000
C$39,000✓ Correct
D$45,000

Explanation

Tenant's NNN expenses = 25% × $60,000 = $15,000. Total annual payment = $24,000 + $15,000 = $39,000.

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