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Rent Roll Tab

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rSquared Team
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The Rent Roll Tab is the primary screen for most tenant specific budgeting work in the application. Just like any rent roll, each row represents a suite in the building for which the budget is being built. The three panes of the Rent Roll Tab allow users to efficiently present multiple levels of budget data without pop-ups or jumping to different screens.For a big picture look at what can be done on the Rent Roll Tab, see the Typical Changes article.

Article contents:

 

Colors & Panes

Orange = Tenant row currently selected

Grey = Data imported from source accounting system

White = Input assumptions

Red = Highlighted expiration date that occurring within the budget cycle 

Blue: Links to pane 2 detail and notes

Pane 1 - List of tenants and assumptions

Pane 2 - List of Charges, Recoveries and Capital assigned to the selected tenant; loads upon by clicking on the corresponding link

Pane 3 - Dates & amounts when pane 2 Input Type = Detailed

 

Columns

Alert: The columns of the Rent Roll grid may be different or may be in a different order for your organization depending on organizational needs and/or additional modules or developmental changes in the application over time.

Floor(i) - Vertical location of the Suite. Hovering the cursor over the Floor (i) number/text returns a pop-up referencing the ID from the source budgeting system.

Suite(i) - Space number that will indent if line is assumptive data. Hovering the cursor displays a pop-up containing the Area and suite Begin and End dates from the source accounting system.

Suite Info (i) - Displayed when Budget Type = LTF. Concatenation of Floor (i) + Suite (i)

Suite Type - System default or custom. Assigned in the Suites section.

Tenant - Name/description

Lease Type - Application default types. Can be customized per request.

Lease Status - Identifies each row as one of these types:

1. Imported - Represents data as imported from accounting (grey row). For grey rows, only one of two status types will appear:

  • Contractual - Represents existing tenant data that was imported from the accounting system. Tip: To delete a Contractual grey row, edit change the Lease Status to Correction, Save, and then right-click select Delete Selected Tenant from the menu.
  • Vacant - Represents vacant space, as defined in and imported from the accounting system. This tenant information will appear on the cash flow and leasing reports. If a New Assumption is not added by the user, the revenue streams will stop upon expiration. The End date will appear in red if it occurs during the budget period. Tip: To delete a Vacant suite, go to the Suites section.

2. Edited - Overridden accounting data (formerly gray row becomes white). Describes user rationale for overriding grey row accounting data. A user can override the data sourced from the accounting system (grey row becomes white) by editing and updating the Lease Status field for the selected row.

Status options available for edited rows include:

  • Contractual - Contractual deals cannot be deleted unless you Edit and change the Lease Status to Correction and Save. Then reselect the assumption and right-click and select Delete Selected Tenant from the menu.
  • Month-to–Month
  • Holdover
  • Early Termination
  • Lease Buyout
  • Leased and Vacant
  • Amenity
  • Other
  • Correction
  • Early Renewal
  • Rent Relief
  • % in Lieu

This edited tenant information will appear on the cash flow and leasing reports replacing what previously showed as coming from the accounting system.

If a New Assumption is not added by the user, the revenue streams will stop upon expiration.

The End date will appear in red if it occurs during the budget period.

3. New Assumption

  • A user added row; grey row remains, a new white row built from grey row
  • New Assumption rows describe Suite activity on an additional row (new white row).
  • Clicking the button will add the white row (or right-click and select Add New Assumption). Users can then edit fields for this new row.
  • A user may add new assumptions to illustrate the expected treatment of space after expiration of a gray row (Contractual Suite) to indicate Future lease-up assumptions (Vacant Suite) or to project future cash flows.
  • Status options available when selecting Add New Assumption include:
    1. Contractual New
    2. Contractual Renew
    3. Speculative New
    4. Speculative Renew
    5. Approved New - Functions as Contractual, but denotes the source as other than the source accounting system.
    6. Approved Renew - Functions as Contractual Renew, but denotes the source as other than the source accounting system.

The Tenant information reflected in these assumptive white rows will appear on the cash flow and leasing reports.

If a New Assumption is not added by the user, the revenue streams will stop upon expiration.

The End date will appear in red if it occurs during the budget period.

Input Type - Becomes available on a tenant row only when the Lease Status is edited or is a new assumption. Use Detailed (manual input), Suite Market (as defined at the Building Tab) or a predefined Template Lease or Market Lease.

  • Detailed - Creates a new row that allows you to manually adjust tenancy details.
  • -- Suite Market -- Applies the Market Lease assigned to the Suite in the Market Lease column in Building Admin Suites.
  • -- Template Leases -- Similar to Market Leases. Input Type is set to Detailed which allows for subsequent editing of charges, capital, recoveries, etc.
  • -- Market Leases -- Similar to the --Suite Market--. List of applicable Budget & Building level Market Leases.

Note: The Input Type field is not applicable for grey rows (sourced from accounting system) unless the Lease Status is edited and changed to Correction. This will allow the assumption to be edited or deleted.

Execution - For use in custom Occupancy Metrics. Calculating occupancy based on Space Begin Date vs. Space Execution Date.

Begin, End, & Term

  • Begin (lease commencement) and End (lease termination) date fields are either populated from the accounting system or entered by the user on edited or assumption rows.
  • Input uses MM/DD/YYYY format.
  • End dates with red highlighting indicate that a tenant expires during the budget period and space may need to be addressed.
  • In edit mode, dates can be keyed in manually or via a calendar, available by clicking the calendar icon to the right of the date.
  • The Term is the calculated number of months based on the entered Begin and End dates.
  • Enter number of months in the Term field and the End date will automatically populate.

Area - Value populated based on Rentable Area in the Suites section. It can be edited on a new assumption, but it does not update the Rentable Area in the Suites section.

Alert: The Suites section is for the physical suites themselves. Rentable Area and Usable Area in the Suites section are the actual suite SF. The Area column on the Rent Roll tab can be adjusted on a new assumption if the lease terms call for a different SF. The only time to end a suite and create a new suite is if it was remeasured or reconfigured.

Charges

Pane 2:

Charge Code - Charge Codes excluding Type(s) = Capital

Input Type - Available Charges, Simple, or Detailed (variable or changing) rates. If Detailed, pane 3 of the Rent Roll grid will be activated where Begin Date, End Date, Amount and Amount Type can be edited. If Simple, the Simple Charge - (dollar amount), Amount Type (unit), and Charge Increase (inflation/escalation) fields will become applicable.

Charge Freq - Assign Monthly, Annual, Quarterly or Semi-Annual payment timing to your charges

Simple Charge - Applicable when Input Type = Simple (enter amount)

Amount Type - Applicable when Input Type = Simple. Options include: 

  • $Amount/Month, $Amount/Year, $/SF/Month, $/SF/Year

Charge Increase - Read more: Charge Increases

Abatement - Read more: Abatements

Free Months - Applicable when Abatement = Enter Free Months

Mgmt Fee % - COMING SOON - NOT YET RELEASED

Notes - Read more: Notes

Pane 3 when Input Type = Detailed

Begin Date & End Date - Charge start & end dates

Amount - Value based on selected Amount Type

Amount Type - $/SF/Year, $/SF/Month, $Amount/Year, $Amount/Month

Run Wizard

  1. Clicking the "Run Wizard" button opens the "Recurring Charge Wizard" window:
    1. Charge Begin: Begin date
    2. Term (mos): Enter number of months
    3. Step Offset (mos): Enter offset (if any). Adjust 1st step date if less than a year (5 = steps after 5 months). Annual increases thereafter.
    4. Charge: $/SF/Year value
    5. Increment: Increase value that relates to $/SF/Year or %/Year
    6. Abate (mos): Checking the box opens further field detail: enter number of months, Rent Concession (if any), and whether it is Continuous or Per Year
  2. Click "Preview" and the charge details: Term (year), Begin Date(s), End Date(s), and Amount(s) appear in the grid.
  3. Click "Insert" to apply the charge details. The user will be prompted if overriding existing charge detail.
  4. Click "OK" to save new detail.

Recoveries

Pane 2:

Charge Code - Active Charge Codes of Type = Recovery. Where the estimate should be booked.

Input Type

  • Recoveries
  • Non-editable detail in pane 3, or Detailed (pane 3 editable)

Abatement - Read more: Abatements

Free Months - Applicable when Abatement = Enter Free Months

Date Range - All Periods or Date Range. If using the Date Range, enter the start and end date in Begin Date and End Date fields.

Notes - Read more: Notes

Calc Recoveries

The Calc Recoveries button (pane 2) calculates and updates the monthly Charges(#) amounts for the selected Recoveries(#). If it is the first time being calculated, the system will add a Charges(#).

Note: Calc Recoveries can be disabled at the Budget Admin General and/or Building Admin General pages. Statuses > Budget/Building Status: > Active/Recovery Calc Locked (completely disables calculating recoveries) or Active/Recovery Calc - Spec Only (calculates speculative deals only).

Pane 3:

Recovery Pool - Read more: Recovery Pools

Stop Type

  • None - Net lease
  • Amount - Enter dollar amount in Stop Value field
  • $/Area / $/SF Amount - $/SF basis
  • Occup Yr
  • Occup Yr+1
  • Occup Yr-1
  • Enter Base Yr - Enter year in the Stop Value field

Note: If Stop Type is assigned a year that the application does not have data for, the app will assign the first year that has data.

Stop Value - For Stop Type = Amount or $/Area, enter value; N/A for Occup Yr +1, and -1.

Admin Fee % - Percentage value (typically for retail)

Pro rata Share Type

  • Natural (default) - Tenant SF divided by the Denominator
  • Specified % - Enter value in Specified Share field
  • Specified SF - Enter value in Specified Share field

Specified Share - Value based on selected Prorata Type

Denominator - Budget & Building level Area Measures; default = NRA

Cap Type - Add Cap opens the Constraint window:

Cap On

  • Pool - All detail set to Cap = Yes
  • Recovery Amt

Cap Type

  • Percent
  • Static Amt
  • Amt w/ Growth
  • PY-Amt w/ Growth
  • Detailed - Opens Details section where Date, Amount, and Amount Type can be added.

Value - Per selected Cap Type

Amt Type - Amt, Amt/Area

Amt Increase - Applicable when Cap Type = *Growth

% Rent

Percentage Rent is a form of rent paid in addition to, or in lieu of, Base or Minimum Rent. It is almost exclusively reserved for retail tenants and is based upon a percentage of the tenant’s gross sales, with or without a breakpoint. Breakpoints may be 'natural' or a fixed dollar amount. A 'natural' breakpoint reflects the amount of Gross Sales which, when multiplied by the Overage Percentage, equals Base Rent (stated differently, a natural breakpoint is calculated as Base Rent divided by the Overage Percentage). The Overage Percentage is stated in the lease. If a breakpoint is not natural, then the amount of the breakpoint (stated as an absolute Gross Sales amount or Gross Sales per square foot) is arbitrarily determined based upon negotiation between the landlord and tenant.

Pane 2:

Charge Code - Charge Codes of Type = Percentage Rent

Sales Category - Application defaults: None, Food Sales, Gross Sales, Ticket Sales

Sales Amount - Annual sales as of the budget begin year

Amount Type - $/Area/Yr, $/Area/Mo, $/Yr, $/Mo

Sales Growth - Budget & Building level Inflation

Breakpoint Type

  • Natural (default)
  • $/Area/Yr
  • $/Area/Mo
  • $/Yr
  • $/Mo
  • Detailed - Enables Breakpoint Amount - Edit Breakpoints which opens Breakpoint Detail window to enter Date, Amount & Amount Type

Breakpoint Amount - Not applicable when Breakpoint Type = Natural. When = $/*, enter amount and when = Detailed enter Date, Amount & Amount Type in pop-up window.

Overage Type

  • Simple (default)
  • Tiered - Opens Overage Tier window to add Breakpoint %, Pay %, Ceiling, and Amount Type

Breakpoint (%) - When Overage Type = Simple, enter a percentage amount. When = Tiered, add Breakpoint %, Pay %, Ceiling, and Amount Type in the Overage Tier window

Pay (%) - Percentage value. Applicable when Overage Type = Simple.

Notes - Read more: Notes

Capital

Pane 2:

Charge Code - Charge Codes of Type = Capital - Tenant Commission, Capital - Tenant Inducement, & Tenant - Building

Input Type - Available Tenant Capital expedites, Simple or Detailed (variable or changing) rates. If Detailed, the pane 3 of the Rent Roll grid will be activated where Date From, Amount and Amount Type can be applied. If Simple, the Single Amount and Amount Type fields will become applicable.

Single Amount - Dollar amount when Input Type = Simple.

Amount Type - Applicable when Input Type = Simple. Options include: % of Total Rent, $/SF, $Amount

Payout - Allows users to assign timing to simple expenses. Select Cashed Out to incur the expense in the first month of the tenant’s lease or select an available Payout.

Notes - Read more: Notes

Pane 3 when Input Type = Detailed:

Date From - Start date

Amount - Value that relates to selected Amount Type.

Amount Type - $/SF, $Amount, % of Total Rent

Renewal Type (for Long Term Forecasting) - Blue link (e.g., Speculative) opens the "Suite MLA Edit" pop-up window.

suite-mla-edit-ltf-rentroll.JPG

  • Speculative
    • When the base lease ends, auto-generate or create weighted average speculative renewals (blended rates).
    • If the Suite does end, the application will not allow auto-generated renewals.
    • All Tenant/Suites that do not have any re-demising but are ending will default to Renewal Type = Speculative.
    • Applies weighted average renewal based on Market Lease Assumptions
  • Renew
    • The first time a lease comes up to a speculative renewal, assume that the tenant is going to stay for that cycle only; 1st roll-over without downtime.
    • No downtime, grab the renewal rates.
    • Assumes current tenant renews, no downtime, then applies MLA renewal assumptions
  • Vacate
    • Assume for the first auto-generated rollover that the tenant is going to vacate: New rate plus full downtime.
    • Assumes current tenant vacates, uses full downtime period in MLA, then applies MLA new lease assumptions
  • None
    • Nothing happens to the Suite.
    • Similar to being 'reabsorbed' in Argus.
    • Commonly, re-demised Suites.
    • Assumes no lease-up after current tenant expires; space goes vacant.

Market Lease (for Long Term Forecasting) - The assigned Market Lease in the Market Lease column of Building Admin Suites and/or Floors sections.

MLA (for Long Term Forecasting) - The assigned Market Lease in the Market Lease column of Building Admin Suites and/or Floors sections.

Reference

NPV & NER  - Net Present Value & Net Effective Rent

  1. Select the tenant within the grid.
  2. Right-click and select "Calc NPV/NER."
  3. The results are populated in the corresponding columns.

Notes - Read more: Notes - Notes added here appear on Rent Roll Leasing reports.

 

Toolbar Utilities

Add New Assumption

Adds a new line to enter lease terms.

Alert: A new assumption cannot be added while in edit mode, i.e. the button and right-click functionality are disabled while in edit mode.

Calc Recoveries

Calc Recoveries can be disabled at the Budget Admin General and/or Building Admin General pages. Statuses > Budget/Building Status: > Active/Recovery Calc Locked (completely disables calculating recoveries) or Active/Recovery Calc - Spec Only (calculates speculative deals only).

For a Building:

The "Recoveries" button (pane 1) calculates and updates all recovery amounts for tenants within the building and posts the calculated amounts into the charge accounts. If being calculated for the first time, the system will add Charge(s) to the tenants.

  1. Clicking "Recoveries" opens the "Calculate Recoveries" window: All suites within the building appear in the Status grid.
  2. Click "Calculate;" the Status field shows the number of Calc Iterations: and tenant results.
  3. "Close" when complete.

For a Single Recovery:

The Calc Recoveries button (pane 2) calculates and updates the monthly Charge(#) amounts for the selected Recovery(#). If it is the first time being calculated, the system will add a Charge(#).

Calc Vacancy Credit

  1. Click "Vacancy Credit."
  2. Click Begin Calc;" the Status field shows the results.
  3. "Close" when complete.

Note: Calc Recoveries and Calc Vacancy Credit buttons are not available when Budget Type = LTF.

Vacancy Credit in Long Term Forecasting Budgets

  • In LTF, the current budget vacancy/gross potential functionality does not apply – impact is that if you have assumptions from Budget that copied into LTF, they should be deleted.
  • In LTF, the vacancy/credit loss is managed at the Building Admin General page on the bottom of the pane.
  • The functionality assumes that you lease-up using the Market Leases and then you apply a general vacancy or credit loss to the building

Reconcile

The Reconcile Rent Roll utility, located on the Rent Roll tab and the Budget Admin General toolbar, allows users to take their latest RISE data (accounting or pipeline) to compare, delete speculative, and/or truncate existing contractual deals.

  • Flags lease changes between RB and source accounting system based on changes to one of eight fields: Floor, Suite, Tenant, Status, Begin date, End date, Term, and Area.
  • User has option to maintain speculative assumptions or update rent roll with current information from accounting system
  • All lease data replaced for the lease if reconciled except recovery definitions

Alert: The Reconciliation Wizard looks for changes in Floor, Suite, Tenant, Status, Begin & End dates, Term, and Area, not charges or recovery definitions.

Read more: Reconcile

Filter By:

Provides a method for restricting returned rows by specific criteria. Filters include: Suite, Suite Type, Tenant, Status, Begin Date, End Date, and Area

  1. Assign the parameter.
  2. Enter corresponding text in the adjacent box.
  3. Click "Filter" and the items appear in the grid.

 

Suite Market Renewal

Apply a Market Lease to a Suite:

  1. Select the Building Tab from top left hand menu.
  2. In the tree view pane, expand Suites under Building Operations General.
  3. Select appropriate Suite. Click "Edit" on the toolbar or right-click and select from the drop-down menu.
  4. In the Market Lease field, select from the drop-down menu.
  5. Click "Save" on the toolbar or right-click and select from the menu.

Apply a Suite Renewal to a Tenant:

  1. Identify the base case tenant - red will highlight the End date field, which indicates that a tenant is expiring during the budget period; highlight the grey base case tenant.
  2. Click "Add New Assumption" or right-click on the row and select.
  3. A new indented line appears; in the Lease Status field select Contract Renew (or apply appropriate status).
  4. In the Input field, select Suite Market.
  5. Click "Save" or right-click and select.

 

Typical Changes

Typical changes made by users involve addressing: vacant space, existing leases requiring modification, and treatment of leases at expiration.

Vacant Space

  • Use the Add New Assumption button at top of screen or right-click the row.
  • All vacant suites should be reviewed.
  • If a space is not addressed, it will remain as Permanent Vacant Space.

Existing Leases Requiring Modification

  • Use Edit Tenant (right click on the rent roll record) to change the Lease Status and modify the terms of an existing lease.
  • For example: You want to terminate a tenant early as you know they are going bankrupt or they are doing a Lease Buy Out.
  • The contractual Tenant row changes from gray to white when user assumptions are input.

Existing Leases at Expiration

  • Use the Add New Assumption button to address what happens to a suite after it expires.
  • For instance, add an assumption if you know a tenant will renew or a new tenant will take the space or you feel that the space will have more downtime than the weighted average assumption from the market lease.
  • If no assumptions are added, the suite will use the market lease in the right-hand column to lease the space.

Alert: Don’t forget to address tenants with historical end dates (e.g., 01/31/18), no related renewal records or are vacant; they will need a new assumption added.

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