Hidden Traps, Hidden Benefits in CAM Reconciliations

“Hidden Traps, Hidden Benefits in CAM Reconciliations”
GlobeSt – September 13, 2019

When property managers convene here later this month for IREM’s (Institute of Real Estate Management) annual Global Summit, they’ll hear about something most believe they already know…common area maintenance (CAM) or operating expenses. They might be surprised. Session presenter Colleen Nemeth, CPM, CSM, says there are enough hidden traps in reconciliations to keep managers on their toes, and enough benefits to doing it right to keep everyone happy – property owner, manager, and tenant. “Some of those expenses can be shared, let’s say in a shopping center; the landscaping, parking lot, entrances, drives. And there are other expenses that are exclusive to certain tenants,” such as the trash collection in a net-leased Starbucks on that same site.