05/23/2026
One of the biggest mistakes commercial tenants make?
Focusing only on the Base Rent and ignoring the TMI. 🚨
In many commercial leases, TMI is open-ended — meaning the landlord can increase certain operating costs over time, and the tenant ends up paying much more than expected.
That’s why one of the smartest things a tenant can negotiate is a CAP on TMI increases. 💡
A “cheap rent” is not always a cheap lease once TMI, maintenance costs, insurance, management fees, and other hidden expenses start increasing.
Before signing any commercial lease in Ontario, make sure you fully understand:
✔️ What is included in TMI
✔️ What can increase
✔️ Whether capital expenses are excluded
✔️ And whether the lease has a reasonable TMI cap
These details can save a business thousands of dollars over the lease term.
Reza Bahmani
Real Estate Broker | Business Sale Specialist
RE/MAX Hallmark York Group Realty Ltd.
📞 647-669-9915