Am I interpreting this commercial RE quote correctly?
I was given this quote for 1173 sq ft:

&gt;The rate is $65.00psf/NNN. The NNN is $8.95psf.

Am I correct that this is a $1,040,920.20 per year lease @ $73.95psf (inclusive of triple net)?
[{"id": "ie7ghhw", "text": "Rents are typically quoted yearly - you\u2019d be looking at $86,743.35", "replies": [{"id": "ie7gzai", "text": "Wow, it's a prime location next to one of the most iconic areas of the city. If I completely misinterpreted, we can actually secure the location. Thank you!", "replies": [{"id": "ie7k0lw", "text": "What city?", "replies": [{"id": "ie7ojg1", "text": "Downtown Seattle, next to Pike Place Market. Quoting my comment below:\n\n&gt;It's for a downtown Seattle location, next to Pike Place Market. Heavy, heavy foot traffic for a restaurant, but the city has also been beaten up by the riots. Getting a working capital loan from the bank for expansion, remodel, etc.", "replies": [{"id": "ie8jpti", "text": "You should try to negotiate TI (tenant improvements) from the landlord. Generally (and this varies by market) landlords will give tenants a upfront sum to buildout their space upon signing a lease. Your space may be too small but it\u2019s worth inquiring about. $65 PSF NNN sounds probably about right for what you\u2019re describing. NYC is roughly $100 - $150 PSF depending on locations.\n\nRecommend you speak with a tenant rep in your market before signing anything, they will let you know if it\u2019s a good deal for the market and help you negotiate.", "replies": [], "depth": 5}, {"id": "ie91o8r", "text": "Check recent tenant space sales numbers.  They're off the charts.  The market  has a new director of operations, they've spent shitloads of money on the property during the pandemic.\n\nAnything with 2 blocks will likely do well.", "replies": [], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}, {"id": "ie7wdio", "text": "I've seem them listed monthly in CA.", "replies": [{"id": "ie7zqo3", "text": "Ca does it differently than the rest of the world.", "replies": [], "depth": 3}, {"id": "ie8a9g4", "text": "California is crazy but not quite $780/SF/Year crazy", "replies": [{"id": "ie8cegd", "text": "Maybe not, but that's not unheard of in Manhattan.", "replies": [{"id": "ie91y56", "text": "Manhattan just wrote the first office lease a few months ago that topped $300.00 (not sure what retail goes for).", "replies": [{"id": "ie9ev7u", "text": "Soho will top $1,000psf, and tourist areas of Midtown (Times Square, 30 Rock, 5th Ave) can top $2,000psf.", "replies": [{"id": "ie9qj8v", "text": "That doesn't seem accurate.... I've seen those as sale price, but a NNN lease is closer to $100/sf in soho. \n\n$1k-2k/sf sale price is accurate though.", "replies": [{"id": "iea4nbk", "text": "Lol at $100. Maybe on a side street. There are office deals higher than that.\n\nBroadway, Prince, Spring, anywhere between $500-$1500. Some pandemic deals lower, but that's the high end. [\"Asking retail rents on Broadway in Soho can range anywhere from $550 to $1,667\"](https://nypost.com/2017/01/19/from-nike-to-zara-nyc-shopping-has-never-been-better/)", "replies": [], "depth": 8}, {"id": "iea4r8x", "text": "\"Sutton and Sandeep Mathrani of General Growth Properties were even able to pull in $5,500 per foot from Bulgari for their corner lease at 730 Fifth Ave. at 57th Street.\"", "replies": [], "depth": 8}, {"id": "iea7gpx", "text": "You have no idea what you\u2019re talking about.", "replies": [{"id": "iealgk3", "text": "I actually know everything.\n\nGo ahead....ask me....anything.\n\nAnything at all.\n\nGo ahead. Anything.", "replies": [], "depth": 9}], "depth": 8}], "depth": 7}, {"id": "ieald7v", "text": "Dayum.", "replies": [], "depth": 7}], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "ie7h591", "text": "those NNN's seem really low but no way to say without knowing the details, I'd verify them though with someone who understands how to look at them and make sure you aren't about to get screwed there (broker, attorney, cpa).", "replies": [], "depth": 1}, {"id": "ie7j272", "text": "Where are you located?   Rents and NNN\u2019s are typically quoted annually, but I understand some areas (Southern California I\u2019m told, as an example) quote rents monthly.    \n\nThat being said your number seems like an annual number as a Base rent of $780/ foot annually would be insane unless you are on 5th Avenue in Manhattan (or a comparable location).   \n\nThe NNN\u2019s do seem low given the rent.  That feels like a CAM number without taxes.", "replies": [{"id": "ie7jotb", "text": "It's for a downtown Seattle location, next to Pike Place Market. Heavy, heavy foot traffic for a restaurant, but the city has also been beaten up by the riots. Getting a working capital loan from the bank for expansion, remodel, etc.", "replies": [{"id": "ie7ouie", "text": "Seattle typically quotes them annually.\n\nRent seems high, which is probably why everyone is saying that the CAM sounds low.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "ie7ktq1", "text": "It sounds like it would be the annual price per square foot but it shouldn't be ambiguous.  They might have not been clear in the email but during the next stage, LOI, it should be very clear that it's an annual rate and even have written out the actual monthly rent.", "replies": [], "depth": 1}, {"id": "ie7laow", "text": "If you can\u2019t interpret the basic vocabulary it\u2019s probably best for you to have a broker to represent you.", "replies": [{"id": "ie853gj", "text": "This", "replies": [{"id": "ie854ni", "text": "Hey there IAmIsCool! If you agree with someone else's comment, please leave an **upvote** instead of commenting **\"This\"**! By upvoting instead, the original comment will be pushed to the top and be more visible to others, which is even better! Thanks! :)\n***\n ^(I am a bot! Visit) [^(r/InfinityBots)](https://reddit.com/r/InfinityBots) ^(to send your feedback! More info:) [^(Reddiquette)](https://www.reddithelp.com/hc/en-us/articles/205926439#wiki_in_regard_to_comments)", "replies": [{"id": "iea1fm9", "text": "Bad bot", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "ie7mz23", "text": "You're correct that it's $73.95 psf but not sure how you're getting to $1.04m....\n\n73.95 x 1173 = 86,743 \n\nYou'll also want to make sure the 8.95 actually includes all additional rent like utilities", "replies": [{"id": "ie7rt55", "text": "I think he multiplied it out by 12 months", "replies": [{"id": "ie923rh", "text": "And then by 32.", "replies": [{"id": "ie9282b", "text": "He multiplied the $86,743 by 12", "replies": [{"id": "ie92rk9", "text": "*^((It was humor).)*", "replies": [{"id": "ie98adr", "text": "\ud83d\ude02 Sorry dude. No jokes allowed in this sub", "replies": [{"id": "ie9bpkl", "text": "I blame myself.\n\nI feel so small now.", "replies": [{"id": "ie9bupk", "text": "Don\u2019t feel down. It wasn\u2019t the joke, it was me.\n\nI\u2019m the villain in this story.", "replies": [{"id": "ie9cymf", "text": "It was the delivery.\n\nI'm going to kill myself now.", "replies": [{"id": "ie9fdgw", "text": "I can\u2019t let you do that. It\u2019s my fault this whole thing fell apart\n\n*takes a lap*", "replies": [], "depth": 10}], "depth": 9}], "depth": 8}], "depth": 7}], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}, {"id": "ie9ryt8", "text": "Oh I'm dumb haha", "replies": [], "depth": 3}], "depth": 2}, {"id": "ie7ze8n", "text": "I would assume that OP would be responsible for their own utilities on top of rent and it wouldn\u2019t be included in the NNN?", "replies": [{"id": "ie90kyg", "text": "Definitely if separately metered.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "ie84tzd", "text": "SoCal rents are different than the rest of the country, they are calculated on a per-month basis. I don't know about Seatle. I'd imagine based on the confusing metrics you provided that your year 1 rent is approx $86,743.35 Gross.\n\nnet rent: $65/ft\n\nAdditional Rent or OPEX (maybe excluding taxes?): 8.95/ft\n\nGross Rent: $73.95/ft\n\nGross rent/ft \\* Sq.ft. (1173)\n\n73.95\\*1173= 86,743.35", "replies": [], "depth": 1}, {"id": "ie87c38", "text": "Base rent = $65 x 1173 sq.ft. = $76,245 per year or $6,353 / month\n\nAdditional Rent = $8.95 x 1173 = $10,498 per year or $874/month\n\nWithout knowing the Seattle market it appears to me that the CAM charges/additional rent is too low . You may want to check if this was quoted on an annual basis / monthly basis or what exactly the landlord has included in this rate.\n\nIf the tenant is responsible for paying insurance and taxes , this might explain the lower Op Cost.", "replies": [], "depth": 1}, {"id": "ie8b9yo", "text": "itd be great if you could update when you confirm.", "replies": [], "depth": 1}, {"id": "ie8di9h", "text": "Was just sifting through some posted NNN rates and 8-10 looks in line with the posted estimate.  Would be worth getting representation as rest leases can be tricky. Happy to refer (I'm not in brokerage, but am in Seattle area so yearly rates make sense). DM", "replies": [], "depth": 1}, {"id": "ie8k3ps", "text": "Keep in mind that Amazon in Seattle is still mostly remote and may never come back to office. \n\nIf you are relying on tourist foot traffic you may be ok, but the amount of business professionals in the area during the week is very low on days that aren\u2019t the 1-2 days that people come into the office.", "replies": [], "depth": 1}, {"id": "ie8wwo8", "text": "Does the lease proposal include percent rent?Retail leases usually require paying the landlord a percentage of your gross sales above a set annual amount of annual sales. Like 6% of any gross sales above $1M, or something like that. So if you sold $1.2m, you pay the LL 6% of that $200K.\n\nYou should also ask for historical operating/real estate tax amounts to confirm the anticipated $8.95/sf. Grossed up, ideally. \n\nI\u2019ve managed commercial properties that brokers tout as $x/sf but in reality are $x+1.5/sf.   Unless it\u2019s formally capped at $8.95/sf a year for year 1, don\u2019t be shocked if its higher.  \n\nAlso, see if you can get a non-cumulative, non-compounding controllable cost cap of 3-4% on all of OpEx or your total cost pool. Then you\u2019ll know your annual increases on base rent and pass throughs.\n\nNNN means the only cost to the landlord are the vacancies. We also have ways to manipulate expenses within reason.\n\nYou should be prepared to cover $.50-$1 more per sqft in Op/RET just in case.", "replies": [{"id": "ie927u2", "text": "Down there....no doubt the lease would call for % rent over and above.", "replies": [], "depth": 2}], "depth": 1}, {"id": "ie91hau", "text": "Your rent at $65.00 + NNN a year per sf = $86,743.35.\n\nHowever, I do have a space that I believe I could let go of for $1,040,920.20 per year if you're interested.", "replies": [], "depth": 1}, {"id": "ie96uzk", "text": "Get a broker. Call some other for lease signs nearby, when someone picks up the phone that you like tell him/her you\u2019d like them to represent you and there\u2019s a space you like. Unrepresented you are going to get a bad deal.", "replies": [], "depth": 1}, {"id": "ie9tikm", "text": "You should ask your broker or whoever is helping you what the local market quotes, whether it\u2019s per sf per month or per sf per year", "replies": [], "depth": 1}, {"id": "iea2qhq", "text": "why don\u2019t you have a broker? The landlord pays them.", "replies": [], "depth": 1}]