Tenant Improvement Allowance Accounting: Capitalize, Amortize or Expense?
The same $300,000 TI allowance can be a fixed asset or a reduction of rent, depending on who owns the improvements. Here is how to tell and how to book it.
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Lease accounting, CAM reconciliation, straight-line rent and lease administration for commercial owners.
4 articles
The same $300,000 TI allowance can be a fixed asset or a reduction of rent, depending on who owns the improvements. Here is how to tell and how to book it.
Most CAM reconciliation pain is created in February by decisions made the previous March. A monthly cadence keeps recoverable costs clean all year.
Free rent and annual bumps mean cash rent and reported rent rarely match. A five-year worked example of straight-line rent and the receivable it creates.
A missed renewal notice can cost an anchor tenant. Here are the lease dates worth abstracting and a simple system for never missing them.
Talk to a Vertex property accountant about your portfolio, your software and the current state of your books.