What are CAM Fees?
Common Area Maintenance (CAM) charges cover the cost of maintaining shared spaces in a commercial property. These fees are usually distributed proportionally based on the square footage each tenant occupies (pro-rata share).
Typical CAM Inclusions
- Parking lot maintenance, sweeping, and snow removal.
- Landscaping and exterior lighting.
- Security patrols and shared alarm systems.
- Janitorial services for common lobbies and bathrooms.
- HVAC maintenance for shared areas.
Negotiating CAM Caps
Tenants should always attempt to negotiate a 'CAM Cap', which places a strict limit on how much CAM fees can increase year-over-year. Without a cap, a major parking lot repaving could severely spike your monthly overhead.