GSA Cincinnati federal building: dollar-cap management fee overcharge case study
A public-record CAM case study showing $25,500 in management fee overcharges on a GSA lease: landlord billed $67,500 against a $42,875 absolute dollar cap.
What happened
The GSA lease at 36 E. 7th Street, Cincinnati fixed the management fee at a hard dollar cap of $42,875 per year. The 2022 reconciliation billed $67,500, which is $25,500 above the cap. No percentage formula applied; the dollar ceiling was absolute. The discrepancy was identified through FOIA Request #2023-GS-0081.
Findings from the pipeline
Rule 3: Management Fee Overcharge
high confidence
$25,500
Management fee of $67,500.00 exceeds the dollar cap of $42,875 Overcharge: $25,500.00.
Lease evidence
Management Fee shall not exceed $42,875 per calendar year. Section 8.2(b).
Section 8.2(b), page 15
Math proof
billed=67500.00, dollar_cap=42000.00, overcharge=25500.00
Lease evidence
- Management fee capped at $42,875 per calendar year (absolute dollar cap, Section 8.2(b)).
- NNN lease: tenant responsible for 8% pro-rata share of operating expenses.
Why this matters for your firm
Dollar-cap management fee violations are harder to spot than percentage caps because they require knowing the cap amount and comparing it to the absolute dollar billed, not just checking the rate. Federal leases are a rich source of these overcharges because the cap amounts are fixed at execution and rarely indexed.
Correction package excerpt
Request for Cooperative Review of Certain Line Items. The automated review flagged an apparent discrepancy of $25,500.00 for the 2022 reconciliation year: management fee exceeds the $42,875 annual dollar cap.
Frequently asked questions
What findings did CAMAudit surface in the General Services Administration case?
CAMAudit flagged 1 finding with an apparent overcharge of $25,500. Each finding cites the specific detection rule, dollar amount, and the lease provision that grounds the dispute.
Can my firm reproduce these findings on a live client engagement?
Yes. Your firm uploads the lease and CAM bill. CAMAudit checks them against the same rule set. Your firm reviews the findings. Then your firm sends the branded report to the client.
Is Office a common property type for CAM audit engagements?
CAMAudit handles all commercial property types: retail, office, industrial, mixed-use, and specialty. The detection rules apply wherever a tenant pays CAM or operating expenses under a lease with specific definitions, caps, or exclusion lists.
What is a correction package and does CAMAudit generate one?
A correction draft is a factual starting point that specifies each overcharge by rule, dollar amount, and lease provision. CAMAudit generates a draft grounded in the specific audit findings for advisor and counsel review.
Run these same detection rules on your client engagements
Upload a client lease and CAM bill. CAMAudit applies the same rule set used in this case study. Your firm reviews the findings and sends the branded report to the client.
Book a partner walkthroughPublic-record note
This page summarizes public-record documents and CAMAudit output for educational and marketing purposes. It does not imply endorsement by General Services Administration or any third party. Readers should review the underlying lease, statement, and dispute timeline for their own facts.