Fast answerA lease structure commonly described as passing property taxes, insurance and maintenance or operating costs to the tenant, subject to the actual wording.
Why it matters
The shorthand varies and never settles the recoverable-cost definition.
What to request
Review every inclusion, exclusion, allocation, capital item, management fee, audit right and reconciliation process.
Planning example
Model the lease from its definitions and schedules instead of assuming three named cost categories are complete. The example organizes arithmetic or evidence only; the transaction documents and facts determine the result.
Related decisions
Connect this term to the area, cost, building, flexibility and document provisions elsewhere in the office decision file.
Evidence boundary: office availability and quoted economics change. Confirm current premises, authority, area, costs, permitted use and documents for the specific transaction. Read the methodology.