What operating expense is often paid by the tenant in logistics?

In the context of logistics and commercial leases, tenants typically bear the responsibility for certain operating expenses, one of which is utilities. This category encompasses essential services such as electricity, water, and gas, which are critical for the daily operations of a logistics facility. These costs can vary significantly based on usage and are generally included in the lease agreement as part of the tenant's obligations.

Logistics operations often require significant energy consumption for running machinery, heating, and cooling large spaces, making utilities a substantial portion of the operating expenses. By having tenants pay for their utilities, landlords can maintain a clearer separation of responsibilities and align operating costs directly with the tenant's specific consumption levels.

While other costs such as property management fees, insurance, and maintenance might also be allocated in various leasing arrangements, utilities are commonly identified as a direct and variable expense that falls to the tenant in logistics leases.