6 Gross rental income and service charge income
2023 | 2022 | |
Theoretical rent | 294,163 | 276,209 |
Incentives | (774) | (608) |
Vacancies | (3,412) | (4,369) |
Total gross rental income | 289,977 | 271,232 |
The Fund leases its property investments in the form of non-cancellable operating leases. The nature of the theoretical rent has an indefinite duration because there are no fixed contract periods. Service charge income amounted to € 10.1 million (2022: € 7.6 million) receivable from tenants for the services utilities, caretakers, etc. when the Fund acts as a principal.