08/04/2026
One question that changed how a property management team runs their December.
They managed eight buildings - a mix of NNN, gross, and modified gross leases. One reconciliation template. One calendar. One team.
When a tenant called in December about a five-figure year-end adjustment, the manager pulled the file. The math was right. The process was wrong. The building ran on a gross lease. The reconciliation had been built on the NNN template they used everywhere else.
The distinction matters more than most operators realize until it's too late to fix it cleanly.
Triple net tenants pay operating costs directly and receive a detailed CAM reconciliation each year. Gross tenants pay one flat rent that already assumes those costs; there's nothing left to true up. Modified gross sits between the two, reconciling only the growth above a base year, which means the base year expense schedule needs to be documented precisely in year one because every subsequent year inherits whatever was in it.
Here's the operational consequence: a team running one reconciliation process across all three lease structures will eventually misclassify expenses, misapply caps, and generate exactly the kind of dispute that ends with a phone call in December.
The fix doesn't start at reconciliation. It starts at abstraction- the moment a lease enters the system of record. Tagging NNN, gross, or modified gross as a discrete, operational field right then is what tells every downstream team which rules apply.
QTREN's new lease abstraction capability is built precisely around this: capturing lease structure at ingestion so it drives reconciliation logic automatically, rather than depending on someone remembering to check a clause reference three pages into the document.
If your portfolio runs more than one lease structure - how does your team currently track which reconciliation process applies to which building?
NNN and gross leases don't just split rent differently. They require entirely different CAM reconciliation processes, different escalation mechanics, and diffe…