Expansion Example ScenarioIn this example there's expansion from 10,000 to 15,000 sf in the 39th month of the lease and the expansion needs be to be included in the analysis. This example also demonstrates the flexibility of LseMod in that the lease starts in May 2007, but for analysis purposes, we show reports starting in January of 2005. Sometimes you may need to evaluate a scenario that adds together properties with different lease start dates. With LseMod you can make the analysis start at the same time even though the actual leases start at different dates. We even give you the option of calculating the NPV and Net Effective Rate starting from the beginning of the lease term or, if necessary, in a scenario analysis, from the beginning of the analysis term. Cost in the bottom part of the analysis, i.e. where it shows the costs in the total amount per year have been adjusted based on the new square footage. Since LseMod does all calculations on a monthly basis, the numbers reflect the change in square footage in the exact month it occurs, month 39 in this case. Costs in the Cost/sf section are calculated based on the year-end square footage. Total costs/sf are based on the monthly weighted average square footage leased. We have included a back-up report, the Monthly NPV report, that shows the calculations for rent for each month. The Expansion (or contraction) feature is a part of the following products:
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