Recoveries

Recoveries are Market Items used as Input Type expedites in pane 2 on the Rent Roll tab, in addition to, Market Leases and Template Leases. They are global, typically used for speculation on Market Lease scenarios to identify the Recovery Pool, stop amount (if any), and admin. fees %.

Recovery Building Blocks:

1. Charge Codes - Identify where the estimate is to be booked.
2. Formulations - For Recoveries, Formulations are almost always maintained at the Budget level; they are the building blocks of Recovery Pools.
3. Recovery Pools - Identify which accounts are included and which are subject to a Gross-Up % and/or Cap.
4. Area Measures - Denominators; default = Net Rentable Area

Pane 1

Name - Unique title

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

Status

• Active - Available wherever applicable.
• Inactive - Disables applicability throughout the application; removes it from drop-down lists.

Portfolio - The buildings that can use it.

• All Portfolios - Available to all buildings in the budget
• Client Admin Portfolios - Filters the availability of the named item to only the buildings included in the assigned Portfolio.

Pane 2

Recovery Pool - List of Active Recovery Pools

Stop Type

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

Note: If a 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 - The amount of recoverable expenses which will be borne by the landlord before a tenant is required to pay their proportionate share of such expenses. It may be stated as an absolute dollar amount, a $/SF or a Base Year (the recoverable expenses incurred in a defined calendar or fiscal year).

Admin Fee % - Percentage value; defaults to 100%

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 Pro Rata Share Type

Denominator - List of system default and custom Area Measures.

Cap Type - Building level only as caps are tenant specific

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 - Client Admin Charge Increases whose Input Type = Simple and Amount Type = % Increase/Yr. Applicable when Cap Type = *Growth. 

Edit

Alert: Careful attention is required when editing named items as the changes will affect all using the named item(s). Edits to named items (Financial Components and Market Items with the exception of Template Leases) flow through to other Financial Components and Market Items and update all tenants that are assigned these named items on the Rent Roll tab.

Delete

Note: In use named items (Market Items and Financial Components) cannot be deleted. In order to delete a named item, it must not be assigned to any other named items, budgeting tabs, and/or tenants on the Rent Roll tab.

Using

Recoveries are Input Type expedites in pane 2 of the Rent Roll Tab grid, in addition to, Market Leases and Template Leases.

1. Click "Recoveries;" pane 2 appears.
2. Click "Add" on the pane 2 toolbar; a row appears.
3. After selecting the Charge Code, click in the Input Type field. A list of available Recoveries appears pertaining to the selected Charge Code.
4. Select the Recovery and click "Save" on the pane 2 toolbar or right-click select from the menu.

View Calculated Recovery Amounts

1. Click the "Recoveries" button on the pane 1 toolbar to calculate all recoveries for all tenants in the building or the "Calc Recoveries" button on the pane 2 toolbar for a single tenant. This will calculate the recoveries and add a line in the Charges section on the Rent Roll tab.
2. Go to the Charges section, click on the recovery charge in pane 2 and right-click select "View Monthly Amounts;" a popup window appears displaying monthly amounts.
3. Run Leasing Reports.

Disable Recovery Calculations

Recovery calculations can be controlled/disabled at:

1. Budget Admin General page for an entire budget:
   1. Status > Budget Status:
      • Active/Recovery Calc Locked
      • Active/Recovery Calc - Spec Only
   2. Status > Recovery Calculation:
      • Calc - All
      • Calc - Spec Only
      • Calc - Contractual Only
      • No Recovery Calc (Locked)
2. Building Admin General page for a single building:
   1. Status > Status:
      • Active/Recovery Calc Locked
      • Active/Recovery Calc - Spec Only
   2. Status > Recovery Calculation:
      • Calc - All
      • Calc - Spec Only
      • Calc - Contractual Only
      • No Recovery Calc (Locked)