Definition
Common in commercial leases as a fixed percentage annually (e.g., 3%) or tied to CPI. Residential leases rarely escalate mid-term.
Common in commercial leases as a fixed percentage annually (e.g., 3%) or tied to CPI. Residential leases rarely escalate mid-term.
A commercial lease starting at $30/SF escalates 3% annually — year 2 rent is $30.90/SF.
Charges beyond base rent that the lease treats as rent for enforcement purposes.
Verifying credit, eviction history, income, and references for a rental applicant.
Net operating income divided by property value, expressed as a percentage.
The pro-rata share of shared-space upkeep charged to commercial tenants.
The state of a resident being past due on rent or other lease charges.
Money held by a third party until a specific condition is met.