Calculator Inputs
Example Data Table
| Scenario | Usable Sq Ft | Load Factor | Rentable Sq Ft | Annual Base Rent | Operating Costs | Free Months | Base Rent / Sq Ft | Gross Cost / Sq Ft |
|---|---|---|---|---|---|---|---|---|
| Office Renewal Draft | 1,800 | 12% | 2,016 | $60,480.00 | $10,080.00 | 2 | $30.00 | $35.00 |
| Retail Proposal | 2,400 | 8% | 2,592 | $84,240.00 | $15,552.00 | 1 | $32.50 | $38.50 |
Formula Used
Rentable Sq Ft = Direct Rentable Sq Ft, if entered.
Otherwise, Rentable Sq Ft = Usable Sq Ft × (1 + Load Factor ÷ 100)
If rent is monthly: Annual Base Rent = Monthly Rent × 12
If rent is annual: Annual Base Rent = Entered Annual Rent
Annual Base Rent / Sq Ft = Annual Base Rent ÷ Rentable Sq Ft
Monthly Base Rent / Sq Ft = Monthly Base Rent ÷ Rentable Sq Ft
Gross Annual Cost = Annual Base Rent + CAM + Taxes + Insurance + Utilities + Parking + Other Costs
Net Lease Term Cost = Total Escalated Base Rent + Total Escalated Operating Costs + Document Fees − Credits − Free Rent Savings
Effective Annual Net Rent / Sq Ft = Average Annual Net Cost ÷ Rentable Sq Ft
How to Use This Calculator
- Enter usable square feet and load factor, or type a direct rentable square feet value from the lease draft.
- Add the base rent amount and choose whether that figure is monthly or annual.
- Fill in operating expenses such as CAM, taxes, insurance, utilities, parking, and other recurring charges.
- Add free rent months, term years, and escalation percentages to model future rent growth.
- Include one-time items such as rent abatements, tenant credits, document fees, and the security deposit.
- Press the calculate button. Results will appear below the header and above the form.
- Review the summary table, yearly schedule, and Plotly graph to compare lease language and pricing.
- Use the CSV and PDF buttons to export the calculations for internal review or attachment to working papers.
FAQs
1) What does rent per square foot mean?
It shows how much rent applies to each rentable square foot. This lets you compare different lease drafts, building layouts, and pricing structures using one consistent measurement.
2) Should I use usable or rentable square feet?
Use rentable square feet when the lease bills on rentable area. If the draft only shows usable area and a load factor, this calculator can derive rentable area automatically.
3) Why are CAM, taxes, and insurance included?
These items affect the real occupancy cost. Base rent alone can understate the lease burden, especially in net leases or proposals with separate pass-through charges.
4) What is effective rent?
Effective rent spreads concessions and one-time adjustments across the full term. It gives a truer average cost than the first-year quoted rent alone.
5) How do free rent months change the result?
Free rent lowers total base rent paid during the term. The calculator converts those months into savings and reduces the net lease term cost accordingly.
6) Why enter escalation percentages?
Escalations increase future rent or operating costs. Adding them helps you estimate later-year pricing and avoid comparing proposals only on first-year numbers.
7) Are document fees treated as rent?
No. They are shown as one-time costs that affect total economics. This helps legal, finance, and operations teams review a fuller transaction picture.
8) Can this calculator compare draft lease options?
Yes. Enter each proposal separately, then export results. The summary metrics and yearly schedule make side-by-side comparison easier during negotiation and review.