§ 19.10 Summary
Jurisdiction | United States |
Publication year | 2022 |
§ 19.10 Summary
Office rent is made up of many components, including base rent; escalations, such as taxes and operating expenses; rent inclusion electricity charges; and inflation-hedging multipliers. While complicated, in an ideal world, the application of a simple math formula would enable a prospective tenant to make a very good estimate of what it would be paying under an office lease for a space it is considering leasing. Unfortunately, this is not an ideal world. It may be very difficult for the unwary to make reasoned comparisons of one space to another and make an informed choice within its budget.
Perhaps more critically, once a lease is signed, the tenant may not be totally aware of the ramifications of the language of its lease. The complex office lease document, for example, may not readily reveal that the tenant is paying more than its proportionate share of the taxes and...
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Request your trial- Negotiating and Drafting Commercial Leases
- CHAPTER 19 Rent
- CHAPTER 19 Rent
- § 19.01 Office Lease Rent
- § 19.02 Base Rent
- § 19.03 Escalations
- § 19.04 Consumer Price Index
- § 19.05 Rent Concessions
- § 19.06 Rent Deferral Arrangements
- § 19.07 Using the Accounts Stated Doctrine to Establish that Rent Is Owed
- § 19.08 Sale-Leaseback Arrangements—An Alternative to the Traditional Lease
- § 19.09 Owning vs. Leasing—Factors to Consider
- § 19.10 Summary
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