What are CAM charges?
Common area maintenance (CAM) charges recover the cost of running the shared parts of a commercial property — lobbies, lifts, security, housekeeping, common electricity, landscaping and facility management. In Indian office buildings and malls CAM is usually charged per sq ft per month, either as a fixed amount or an estimate that is reconciled with actual costs at year-end.
How LeaseHub360 handles CAM
- Add CAM to the lease. Record the CAM amount, whether it is fixed or variable, and the dates it applies from and to.
- Bill it every month. Monthly invoices include CAM as a separate line with SAC code 997221 and GST — prorated for part months.
- Split it where needed. Co-owned properties split CAM by each landlord's share; premises shared by several occupiers bill each one its share.
- Reconcile at year-end. Compare total CAM billed for the year with the actual cost. If actual costs were higher, raise a debit note for the shortfall; if lower, issue a credit note. Both go through maker–checker approval and update the tenant's dues.
CAM reconciliation, step by step
Year-end CAM reconciliation answers one question: did tenants pay their fair share of what the common areas actually cost? Total the actual CAM expenses, work out each tenant's share (usually by area), compare it with the CAM billed during the year, and settle the difference. LeaseHub360's invoice history gives you the "billed" side per lease, and credit and debit notes settle the difference with a proper GST trail.
Frequently asked questions
What is included in CAM charges?
Typically security, housekeeping, lifts and escalators, common-area electricity and water, facility management staff, repairs to common areas and landscaping. The lease defines exactly what is included.
Is GST charged on CAM charges?
Yes — CAM charges are a taxable service and attract GST, generally at 18%. LeaseHub360 adds GST to CAM on the invoice, as CGST + SGST or IGST depending on the states of the two parties.
What is CAM reconciliation?
At the end of the year, the CAM actually spent is compared with the CAM billed to tenants. Tenants who underpaid receive a debit note for the difference and those who overpaid receive a credit note.
Can CAM be split between co-owners?
Yes. On co-owned properties each landlord's share of rent and charges follows the share recorded on the lease.
See it with your own leases
Book a free demo — send us a few leases and we'll show you your own rent roll.