Commercial Lease Calculator – Calculate Space Cost
Trying to figure out how to calculate your monthly warehouse, retail or office space rent can sometimes be confusing. Many landlords quote yearly triple net lease rates. Using the commercial occupancy cost calculator from Q4 Real Estate below can help you estimate these costs. If you want to know more about Q4 Real Estate commercial space for lease give us a call.
Commercial Occupancy Cost Calculator - Properties Quoting Yearly Rates
Calculate your space rental (occupancy) costs for properties quoting Yearly Rates (e.g. Retail, Office or Warehouse). For example: Rent could be quoted as a gross rate of $24 per square foot or a Triple Net (NNN) rate of $12 Base + $8 NNN. If estimated pass through expenses are included in the base rate (a gross rate lease) then enter $0 for Total Pass Thrus to calculate your monthly and annual occupancy costs for your commercial lease.
Annual Occupancy Cost:
Monthly Occupancy Cost:
Why Use the Commercial Occupancy Cost Calculator
This commercial rent (occupancy cost) calculator is a helpful tool for tenants who are leasing commercial real estate. Landlords will quote you lease rates on a price per square foot basis for base rent and pass thrus, usually on a yearly basis. If Tenants are not familiar with the calculation, it can be confusing to understand what the total monthly rent is going to be on the real estate you’re leasing whether it be office buildings, retail spaces, or warehouse space.
When leasing commercial space you may hear a lot of new Lease terms such as cash flow, cap rate, property taxes, gross leases, NNN lease, common area maintenance, etc. If you are not familiar with this terminology then it would be a good idea to hire an experienced agent. The team of professionals at Q4 Real Estate is here to help answer those questions and more.
Commercial leases are calculated on a price per square foot because most commercial rental properties can be divided or made into one larger space. The property owner or it’s real estate professionals can’t tell you what your total monthly lease payments will be however, until the size of the space is determined.
Understanding How Landlords Quote Rates
Most lease contracts will be triple net leases (NNN), meaning the business tenant must pay a base rate + NNN (taxes, insurance, common area maintenance). Landlords quote lease rates differently depending on the type of real estate investment, state/city located, or just their preference. In most cases retail space such as retail and office space will be quoted as yearly rates (e.g. $35 + $10nnn).