Property Management

A Texas property manager handling commercial properties should understand 'common area maintenance' (CAM) charges, which are:

AFees paid by the property manager to the owner
BCharges passed through to tenants for their proportionate share of maintaining shared areas (lobbies, parking lots, landscaping)✓ Correct
CCosts for improving individual tenant spaces
DThe property manager's management fee

Explanation

CAM (Common Area Maintenance) charges in commercial leases are costs for maintaining shared areas—lobbies, hallways, parking lots, elevators, landscaping, security, etc.—that are allocated among tenants based on their proportionate share of the building's occupied space. CAM charges are additional to base rent in NNN and modified gross leases.

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