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Public-record case study

AMC Burbank Town Center CA: pro-rata share overcharge case study

A public-record retail CAM case study showing $27,000 in pro-rata share overcharges: landlord applied 13.5% instead of the lease-specified 12.0%.

AMC Entertainment Holdings Inc2021 statementNNN leaseRetail

Apparent overcharge

$27,000

Findings

1

High confidence

$27,000

Source

LA County CA Superior Court, Case #22STCV19847
Statement applied 13.5% pro-rata share.
$1,800,000 operating expense base × 1.5% discrepancy = $27,000 overcharge.

What happened

AMC's lease at Burbank Town Center fixed its pro-rata share at 12.0% (36,000 SF / 300,000 SF). The 2021 reconciliation applied 13.5%, a 1.5-point discrepancy that, applied to $1,800,000 in operating expenses, produced a $27,000 overcharge. The lease contains no "subject to adjustment" language, making this a fixed-share violation.

Findings from the pipeline

Rule 4: Pro-Rata Share Error

high confidence

$27,000

Statement applies 13.5000% pro-rata share but lease specifies 12.0000%, resulting in an estimated overcharge of $27,000.00. Lease specifies a fixed share with no adjustment language.

Lease evidence

Tenant's Pro-Rata Share of Common Area Maintenance Costs: 36,000 RSF / 300,000 RSF = 12.00%. Exhibit A, Section 4.1.

Exhibit A, Section 4.1, page 7

Math proof

lease_share=0.12, stmt_share=0.135, difference=0.015, total_opex=1800000.00, overcharge=27000.00

Lease evidence

  • Pro-rata share fixed at 12.00% (36,000 SF / 300,000 SF).
  • No subject-to-adjustment language.

Why this matters

Pro-rata share errors are easy to make and easy to overlook: a transposed digit or outdated RSF figure in a spreadsheet template can persist for years. For high-operating-expense properties, even a small percentage point error creates substantial dollar overcharges.

Dispute letter draft excerpt

Request for Cooperative Review of Certain Line Items. The automated review flagged a pro-rata share discrepancy of $27,000.00 : statement applied 13.5% versus the lease-specified 12.0%.

Related Resources

Detection guidePro-rata share error guide

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Public-record note

This page summarizes public-record documents and CAMAudit output for educational and marketing purposes. It does not imply endorsement by CVS, Target, or any third party. Readers should review the underlying lease, statement, and dispute timeline for their own facts.

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