Escalation & Pass-Through Provisions

F 800 450 Leasing REality | Commercial Real Estate Education

F

Façade: An exterior side of a building that is usually characterized as the front of the building. From an engineering perspective, the façade may have a significant impact on energy efficiency…

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E 800 450 Leasing REality | Commercial Real Estate Education

E

Early Access: A provision in a lease allowing the tenant access to the space prior to receiving possession, without the payment of rent, during the latter part of landlord’s construction in…

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C 800 450 Leasing REality | Commercial Real Estate Education

C

Capitalization Rate (a.k.a. “Cap Rate”): The rate of return on a real estate investment property based upon the income that the property is expected to produce. A capitalization rate can…

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B 800 450 Leasing REality | Commercial Real Estate Education

B

Base Rent: Base Rent is the minimum or base amount of rent payment as set out in a lease and is often referred to as “fixed rent.” Generally stated, base…

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Operating Expense Escalations and Percentage Rent Increases in a Commercial Lease 800 450 Leasing REality | Commercial Real Estate Education

Operating Expense Escalations and Percentage Rent Increases in a Commercial Lease

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Percentage Rent in a Commercial Lease 800 450 Leasing REality | Commercial Real Estate Education

Percentage Rent in a Commercial Lease

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Operating Expense Escalations and Percentage Rent Increases in a Commercial Lease 800 450 Leasing REality | Commercial Real Estate Education

Operating Expense Escalations and Percentage Rent Increases in a Commercial Lease

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Operating Expense Definition Exclusions 800 450 Leasing REality | Commercial Real Estate Education

Operating Expense Definition Exclusions

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Gross Up of Operating Expenses: Base Year (Pro-Tenant) 800 450 Leasing REality | Commercial Real Estate Education

Gross Up of Operating Expenses: Base Year (Pro-Tenant)

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Gross Up of Operating Expenses: Base Year and Any Calendar Year (Pro-Landlord) 800 450 Leasing REality | Commercial Real Estate Education

Gross Up of Operating Expenses: Base Year and Any Calendar Year (Pro-Landlord)

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