Every CAM charge, read against the lease
One year of charges, checked line by line, with a findings letter.
- Length
- 10 business days
- Price, indicative
- From $1,500 per property year
A CAM reconciliation is the landlord’s year-end bill for common area maintenance, the shared costs of snow, parking lots, lighting, insurance and management. The lease decides what can go in it and how each tenant’s share is figured. The review reads both side by side and lists every place they disagree, in dollars.
One property year, ten business days
- Day 0
Lease and statement
The lease and amendments, the reconciliation, last year’s statement and any ledger detail or invoices.
- Days 1 to 3
Rules from the lease
Every expense term abstracted: inclusions, exclusions, caps, gross-up, management fee and the share formula.
- Days 4 to 7
Charges against the rules
Each line of the reconciliation tested against the lease and, where available, the invoices behind it.
- Days 8 to 9
Findings rechecked
A second reader confirms each finding, its lease section and its dollar effect.
- Day 10
Findings letter
A letter listing each finding with its lease section and amount, then a 30-minute call.
What lands on your desk
- Who it is for
- Landlords before sending, tenants after receiving
- Format
- Remote review of the lease, statement and invoices
- A findings letter, each item tied to a lease section and a dollar amount
- A summary of the lease’s expense rules: inclusions, exclusions, caps, gross-up and share
- A line-by-line worksheet of the reconciliation with each finding marked
- A list of records to request where the file is thin
- A 30-minute call to go through the findings
Who it suits, and who not
Right for you if
- Landlords checking a reconciliation before it goes to tenants
- Tenants holding a year-end bill larger than they planned for
- Leases with caps, exclusions or a gross-up clause nobody has reread
- New owners who inherited the last owner’s billing method
Look elsewhere if
- Disputes already in litigation (that is your attorney’s work)
- A financial audit of the landlord’s books (that is a CPA’s work)
Example: a retail tenant’s year-end bill
A tenant leasing 2,400 square feet in a 30,000 square foot neighborhood retail center in Loveland receives a reconciliation asking for $6,800 more. The lease sets its share against the whole center: 2,400 of 30,000 square feet, or 8.0%. The statement divides by the 26,000 square feet currently leased, which makes it 9.2%. It also books a full parking lot replacement in one year, a capital cost the lease excludes. The findings letter cites the section for each.
CAM reconciliation review questions, answered
Is this for landlords or tenants?
Both. Landlords order it before the statement goes out, so mistakes are fixed before a tenant finds them. Tenants order it after a statement arrives, usually when the bill jumps. The work is the same either way: the lease language set against the charges. Only the letter’s reader changes.
What do you need from me?
The lease and every amendment, the reconciliation statement and the prior year’s statement for comparison. Landlords also send the general ledger detail and invoices. Tenants often hold only the statement; if your lease gives you a right to review the landlord’s records, we list exactly what to ask for.
How long do I have to question a statement?
As long as your lease allows, and the window can be short. The review finds that clause first and puts the deadline at the top of the findings letter, so you know how much time is left. If the lease is silent on timing, we say so and suggest asking your attorney.
Is this an audit?
Not in the accounting sense. We are not CPAs and we do not certify anyone’s books. We read the lease, test each charge against what it allows and document the differences in dollars. If the findings point to a wider accounting problem, the letter says so and suggests bringing in a CPA.
What happens after the letter?
You decide what to do with it. A landlord can correct the reconciliation before billing; a tenant can send the letter to the landlord and ask for a written response. If a finding turns into a dispute, the letter and worksheet go to your attorney as they are, with every source cited.
Read on before you call
Scope this with us
A free 30-minute call to see whether the cam reconciliation review fits your property, your dates and your budget.