In plain English
Base rent is rarely the whole payment. Triple-net leases add taxes, insurance and maintenance. Loading docks, ceiling height and power matter more than square footage in a warehouse.
Term length is a commitment against uncertain revenue. Shorter terms with renewal options cost more per month and buy flexibility.
Example
A 6,000 sq ft bay at $9/sq ft NNN is roughly $4,500 base per month plus the NNN charges on top.
Why it matters
It is usually the largest fixed cost and the hardest one to reverse.
COMMON MISTAKESizing the building for peak season instead of average throughput.
Related
YOU'RE APPROACHING THE EDGE OF THE PUBLIC BLUEPRINT.