Costs for on-site security personnel, cameras, access control systems, and monitoring services for common areas. Security is a controllable operating expense included in most CAM cost pools.
Security service costs include guard labor, monitoring contracts, and equipment service (not equipment purchase/installation, which is CapEx). Landlords sometimes bundle security system upgrades - new cameras, access control hardware - with service costs as operating expenses.
A landlord upgraded the property's entire surveillance system ($180,000 in hardware and installation) and included the full cost as 'security services - operating expense' in the CAM pool. The prior year's security line item had been $45,000.
Flag any security cost line item that is 3x or more above prior-year levels. Request the security service invoices and distinguish between service contracts (operating) and capital equipment purchases (CapEx).
Worried about security services in your lease?
Need to extract lease terms before your audit?
A CAM audit is only as accurate as your lease data. lextract.io extracts 126 structured fields from any commercial lease PDF: CAM definitions, pro-rata share, caps, base year, and audit rights. So you have the exact terms your landlord is supposed to follow.
Go to lextract.ioUpload two PDFs. 14 detection rules. Under 15 minutes. Free.
Find My OverchargesThis page provides general educational information. It is not legal advice and may not reflect the most current law in your state. Consult a licensed attorney for advice specific to your situation.
