Real Estate Math

A Wisconsin commercial tenant occupies 2,000 sq ft at $22/sq ft/year in a NNN lease. Annual property taxes are $8,000, insurance is $3,500, and maintenance is $4,500. What is the total annual cost to the tenant?

A$44,000
B$54,000
C$60,000✓ Correct
D$64,000

Explanation

Base rent: 2,000 × $22 = $44,000. NNN costs: $8,000 + $3,500 + $4,500 = $16,000.

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