It is common for landlords to increase the base rent on retailers 3% annually. To understand how this would impact the rent over time, it’s important to complete the lease calculations in the entirety. The below retailer occupies 2,600 square feet and pays $30.92 per square foot in the base year and is charged 3% escalations thereafter on a 10 year lease.
| Annual Amount | Annual PSF | Monthly Amount | Monthly PSF | |||
| $80,400.00 | $ 30.92 | $ 6,700.00 | $ 2.58 | |||
| $82,812.00 | $ 31.85 | $ 6,901.00 | $ 2.65 | |||
| $85,296.36 | $ 32.81 | $ 7,108.03 | $ 2.73 | |||
| $87,855.25 | $ 33.79 | $ 7,321.27 | $ 2.82 | |||
| $90,490.91 | $ 34.80 | $ 7,540.91 | $ 2.90 | |||
| $93,205.64 | $ 35.85 | $ 7,767.14 | $ 2.99 | |||
| $96,001.80 | $ 36.92 | $ 8,000.15 | $ 3.08 | |||
| $98,881.86 | $ 38.03 | $ 8,240.15 | $ 3.17 | |||
| $101,848.31 | $ 39.17 | $ 8,487.36 | $ 3.26 | |||
| $104,903.76 | $ 40.34 | $ 8,741.98 | $ 3.36 |