Question 1

What CAM issues are common in Silicon Valley tech office leases?

Accepted Answer

Silicon Valley tech campus leases frequently include shared data center infrastructure, raised flooring systems, enhanced HVAC, and specialized generator backup. These costs are sometimes allocated across all campus tenants rather than only those with specialized needs.

Question 2

How does California SB 1103 affect San Jose commercial tenants?

Accepted Answer

SB 1103 (effective January 1, 2025) gives qualified commercial tenants - small businesses (5 or fewer employees), nonprofits (fewer than 20), and restaurants (fewer than 10) - statutory CAM itemization rights. Larger tech tenants must rely on contractual audit rights.

Question 3

How long do I have to dispute CAM charges in San Jose?

Accepted Answer

California has a 4-year statute of limitations for written contracts (Cal. Code Civ. Proc. § 337). Under the discovery rule, the clock may begin when you discovered the overcharge. Most leases specify a 60-180 day audit window after receiving the reconciliation.

Question 4

What is the average CAM rate per SF in San Jose/Silicon Valley?

Accepted Answer

San Jose and Silicon Valley office CAM charges run $9-12/SF annually. Total NNN occupancy costs average $28-35/SF. Campus buildings with specialized infrastructure carry the highest CAM rates, especially in North San Jose and Santa Clara tech corridors.

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