What does CAM stand for in real estate terms?

In real estate, CAM stands for Common Area Maintenance. This term refers to the expenses associated with the upkeep and maintenance of shared spaces in a property, particularly in multi-tenant buildings such as shopping centers, office complexes, and residential communities. CAM expenses can include costs for landscaping, janitorial services, repairs, security, and utilities for common areas.

Landlords typically charge tenants a pro-rata share of these costs, so understanding the concept of CAM is essential for both property managers and tenants. It directly impacts the overall cost of occupying space and is a critical aspect of commercial leasing agreements. Recognizing the significance of these common areas and their maintenance helps ensure that properties remain functional and appealing for tenants and visitors alike.