Lease and Property Details
Last updated
Last updated
The lease and property details page allows users to record all the leases and other income and cost streams related to the property. Care must be adopted when entering the information as the leases will be used as a basis to value the property using the income methods available.
Add: Use this button to add a new lease. Leases will be valued either on an individual basis through capitalisation methods or through a DCF
#: this field indicates the number of the lease.
Tenant’s name: this column indicates the name of the lessee as identified in the lease
Classification: this field shows the classification type of the property associated to the lease, for instance an apartment or office premises.
Start date: this column indicates the start date of the lease as indicated in the rental contract.
Duration: this field displays the total duration of the lease.
Size: this column shows the size of the premises rented as identified in the lease contract.
Amount: this entry shows the total rental amount contracted along with the timing of payment.
Rent review: this column display whether or not the lease contains a rent review clause or not.
Type: This column shows whether or not the lease is an existing one or one assumed by the valuer for this specific valuation (which may require making appropriate assumptions).
Actions: Users can either edit an existing lease (blue edit icon) or delete it (red bin icon)
Add: Use this button to add a new revenue or expense. Leases will be valued either on an individual basis through capitalisation methods or through a DCF
#: this field indicates the number of the revenue or cost stream.
Name: this column indicates the name of the revenue stream or cost (for instance maintenance & operations or management expenses, annual membership fees) linked to the property but not related to a specific tenant lease.
Classification: this field shows the classification type of the property associated to the revenue or expense, for instance an apartment or office premises.
Start date: this column indicates the start date of the revenue or expense as indicate din the rental contract.
Duration: this field displays the total duration of the revenue or expense.
Size: this column shows the area covered or included in the generation of the revenue or expense stream (i.e. maintenance & operation expenses for the whole size of the property or 100 sqm).
Amount: this entry shows the total amount along with the timing of payment.
Rent review: this column display whether or not the revenue or expense take into account review mechanisms.
Type: This column shows whether or not the revenue or expense is an existing one or one assumed by the valuer for this specific valuation (which may require making appropriate assumptions).
Actions: Users can either edit an existing revenue or expense (blue edit icon) or delete it (red bin icon).
Currency: indicate here the currency adopted in the lease. It can be different than the country or reporting currency.
Headline rent / effective rent: Headline Rent is the actual contracted periodic rental payment under the lease, which becomes payable after all the initial incentives or concessions in the letting have ended. It is sometimes referred to as the ‘face rent’. Effective Rent is the rent that would be agreed between the parties for a letting of the premises on the relevant terms and conditions, but without incentives forming part of the transaction. The net effective rent is sometimes referred to as the ‘equivalent rent’.
Tenant’s name: use his field to indicate the lessee’s name.
Property sub-type: use this field to link the lease to a specific asset class.
Leased area: use this field to indicate the surface rented.
Type: use this field to indicate whether the lease considered is an actual lease or assumed one. Be mindful or wirting the appropriate assumptions if needed.
Start date: indicate the starting date of the lease.
Duration: entre the total duration of the lease, whether in years or in quarters.
Rent free period: if applicable, entre here the period of time for which the premises can be occupied rent free. They are assumed to be taking place at lease commencement.
Fitting out period: a fit out period is the time required to fit out the property to suit the tenants' needs. In some market, it is market practice to give such period to the tenants, and as such should not be considered as an incentive (part of the rent free period given).
Write off period after: if applicable, use this field to enter the period after which a write off clause comes into effect.
Break off option: : if applicable, use this field to enter the period after which a break off clause may come into effect.
Capital payment: a capital payment by the landlord to the tenant or conversely may be considered as an incentive and must be carefully analysed
Unexpired lease terms (years): field automatically calculated based on the lease start date and current date.
Input amount: user can either entre the rent amount as a whole or per unit (per square metre or foot).
Rent basis: use this field to selct the basis of payment for the rent. It can be either annually in arrear, quarterly in advance or monthly.
Rent review type: if applicable, use this field to choose from a variety of rent review mechanisms for the lease, including fixed rent increase, upwards only market rent, upwards/downards market rent or CPI & RPI linked.
Input amount: user can either entre the amount as a whole or per unit rented out (per square metre or foot).
Recoverable / non recoverable: Use this section to entre all subsidiary costs linked to the lease such as recoverable expense paid by the tenant to the landlord (to cover property management fees, utilities, or maintenance & operations fees for instance) or non-recoverable (out of pocket expenses incurred directly by the landlord) usually not part of the lease contract itself.
Notes: use this field to enter any additional relevant information you may have on the lease such as particular covenants or easements for instance that are not directly captured by Interval.
