Estimate
The landlord sets a budget for taxes, insurance, and CAM under the lease.
The annual NNN true-up
Make sense of the year-end bill.
An NNN reconciliation compares what you paid in estimates with your calculated share of actual property taxes, insurance, and common area costs. The statement shows the math; your lease and supporting records show what should be included.
One annual comparison
Actual allocated NNN
Lease-defined share of allowed costs
− Estimated payments
Amounts already paid during the year
= Balance or credit
The statement's true-up result
The result does not, by itself, establish that a charge is correct or incorrect.
Your annual bill, clearer next steps
Got your annual CAM or NNN statement?
Bring your signed lease and the landlord's annual statement. See the lease terms and initial billing questions before deciding whether to buy a full report.
Start free · No credit card for the preview · You can begin with the lease alone.
Bring these two PDFs
1. Signed lease with amendments, as a text-readable PDF.
2. Annual CAM or NNN statement from your landlord. Add it with the lease or on the preview page.
Free preview
See extracted lease terms and initial statement checks when you provide the bill.
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Get page-referenced questions, conditional calculations, a records checklist, and a PDF to keep.
A flagged charge is a question to verify against invoices and other source records, not a confirmed refund.
From budget to balance
Four steps behind the statement.
A reconciliation is a calculation to inspect. Follow each stage to see where a question may arise.
Pay
You make estimated payments during the year, often alongside base rent.
Compare
The annual statement allocates actual costs and credits your payments.
Resolve
The result may be an additional balance or a credit, subject to the lease.
Illustrative example
See exactly what a true-up changes.
Suppose a tenant paid $60,000 in estimated NNN charges during the year. The statement calculates $63,000 as its share of actual costs. The difference is $3,000 before any lease-specific adjustments or review of the underlying charges.
These numbers demonstrate the calculation only. They are not a typical bill, an identified error, or a savings estimate.
Example year-end statement
Actual allocated costs$63,000
Estimated payments− $60,000
Statement balance$3,000
Next: verify the allowed expense pool, allocation, and payment credits before deciding what the balance means.
Your review checklist
Four places to ask better questions.
Read the statement alongside your signed lease. An unusual line item may be allowed, excluded, capped, or allocated differently depending on the agreement.
Expense categories
Compare tax, insurance, CAM, and fee lines with the lease definitions, exclusions, and caps.
Your share
Check the premises area, denominator, cost pools, and any change in allocation method.
Payment credits
Match the estimated payments you made with the credits shown on the statement.
Supporting records
Request the ledger, invoices, tax bills, policies, and area schedules needed to test a question.
Keep the clock in view
Find your lease's review procedure.
Records-access and objection rights vary. Check the notice method, required documents, and deadlines soon after the annual statement arrives.
Continue the review
Related guides.
NNN expenses explained
Understand the three cost groups before reading your statement.
Read the guide ↗Common questions
Before drawing a conclusion.
What is an NNN reconciliation?
It is an annual comparison of estimated NNN payments with the tenant's calculated share of actual taxes, insurance, and CAM costs under the lease.
Does an additional balance mean there is an overcharge?
No. A balance shows a difference between estimated payments and the statement's calculation. Check the lease and underlying records before drawing a conclusion.
How long do I have to review a statement?
Review and notice periods vary by lease. Read the signed agreement's timing and procedure promptly after receiving the statement.
Your next step
Bring your lease and statement together.
Start with a free lease preview. Add an annual statement if you have one, then review the initial questions before deciding whether a full report is useful.