Periodic painting, pressure washing, caulking, and surface treatment of the building exterior, including walls, trim, soffits, and facade panels.
Key Takeaways
| Lease Type | Recoverable? | Controllable? |
|---|---|---|
| NNN | Yes | Yes |
| Modified Gross | No | Yes |
| Full-Service Gross | No | Yes |
CapEx Risk: This line item is commonly used to disguise capital expenditures as operating expenses. Verify all invoices against GAAP standards.
Approximate budget share: 1-3% of total CAM pool.
Exterior painting and facade maintenance covers the periodic surface treatment of the building exterior. Routine work includes pressure washing, painting on a standard 5-7 year cycle, caulking replacement around windows and joints, and minor trim and soffit repairs. These costs maintain the current appearance of the building and are operating expenses recoverable through CAM, often as a controllable expense subject to annual caps. The dispute risk arises when landlords perform a full facade renovation, which may include curtain wall panel replacement, structural cladding repair, window system overhaul, or a complete exterior re-skinning, and characterize the cost as routine maintenance. These projects can cost hundreds of thousands of dollars and extend the building's useful life by decades. Under GAAP, they are unambiguously capital expenditures. Tenants should verify the painting cycle and compare current-year costs against the expected range. Any exterior maintenance charge that significantly exceeds a standard paint job, or that includes architectural or structural engineering fees, warrants a detailed invoice review.
Overcharge Risk
$2,000-$15,000/year
typical annual overcharge when this line item is disputed
Landlords pass through a full facade renovation, curtain wall replacement, or structural facade repair as "painting and maintenance," converting a major capital project into a single-year CAM charge.
This line item is commonly used to disguise capital expenditures as operating expenses. Capital expenditures must be excluded from CAM or amortized over their useful life per GAAP. If you see unusually high or one-time charges in this category, request all invoices and scope-of-work documentation before paying.
| Legitimate Charge | Suspicious Charge |
|---|---|
| Exterior painting on a 5-7 year cycle at market rates for the building size | Curtain wall replacement or facade panel installation billed as "exterior painting" |
| Pressure washing and caulking replacement around windows and joints | Structural cladding repair costs included in a "facade maintenance" line item |
| Minor trim and soffit repairs as part of a scheduled maintenance cycle | Architectural or engineering fees bundled into the exterior maintenance line item |
Request vendor invoices and project scope documentation. Distinguish between routine painting and surface treatment (operating expense) and facade renovation or structural repair (capital expenditure). Facade replacements must be amortized over their useful life.
Check Your Exterior Painting / Facade Maintenance Charges
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