Category Archives: Rent

Rent

Is Remote Work the “Netflix” for office buildings?

Jim Kramer on CNBC Squawk Box recently rhetorically asked: will this mandated “work from home” be the Netfix for office buildings as Netflix was for movie theatres?  I don’t think the analogy fits.  Pre-COVID 19, tenants were laser-focused on collaborative … Continue reading

Filed under: Company Culture, Confidentiality, Coronavirus, Cost Savings, COVID-19, Disaster, Distraction, Employee Satisfaction, Environment, Flexibility, Health, Office Space Trends, Open Floor Plan, Pandemic, Productivity, Remote Work, Rent, Shared Office Space, Telecommuting, WFH, Work From Home, Work Life Balance, Workers' Compensation | Tagged , , , , , , , , , , , , , , , , , , , | Leave a comment

Area MeasurementBuilding ServicesLease Audit

Is it Fair That My Landlord can Artificially Inflate Operating Expenses?

Most office leases allow landlords to recoup from tenants on a pro rata basis the operating expenses and taxes that the landlord pays to operate the building.  When a building is not fully occupied and where a landlord is collecting … Continue reading

Filed under: Area Measurement, Building Services, Lease Audit, Other Lease Terms, Pre-lease Issues, Rent, Transparency | Tagged , , , , , , , , , , , , , | Comments Off on Is it Fair That My Landlord can Artificially Inflate Operating Expenses?

Lease AuditPre-lease IssuesRent

Tenants: Are You Ready for the New Lease Accounting Standard?

2019 is a big year in lease accounting.  In 2019 (which began December 15, 2018 for fiscal year reporters), publicly traded companies are required to comply with the new accounting standard (ASC 842) and are required to recognize leases greater … Continue reading

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Lease AuditOther Lease TermsPass-throughs

Limiting the Hidden Costs of Office Rent: Operating Expenses & Taxes

A major component (30% or more) of an office tenant’s rent bill is property taxes & operating expenses (“T&O”) which today is on the rise and where tenants have limited control under landlord-favorable leases.  In Chicago, T&O is rising significantly … Continue reading

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Options, Rights, and RenewalsPre-lease IssuesRent

Tenant’s Lease Renewal Strategies

Lease renewals are one of the most profitable leasing transactions for landlords.   As most tenants look to renew their lease to avoid the disruption associated with a relocation and as landlords perceive existing tenants as a “captive audience”, I’ve outlined … Continue reading

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Lease AuditOther Lease TermsRent

Operating Expense & Tax Reconciliation Season: Don’t leave Money on the Table

Now that the holiday season is over, ‘tis the season for Operating Expenses and Tax reconciliation for office tenants.  As most office leases allow the landlord to recapture increases in Operating Expenses and Taxes (which tenants commonly pay on an … Continue reading

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