Home Services Commercial Real Estate CPI (Consumer Price Index) Rent Increases for Commercial Leases

PostHeaderIcon CPI (Consumer Price Index) Rent Increases for Commercial Leases

Here you go again, your property has multiple leases and each lease provides for an annual rent increase at a different time. Your leases have started in different years. Each of the leases provide that the rent will be increased as a percentage over the base year, CPI. Some leases use the All Urban Consumers index, some leases use the Urban Wage Earners and Clerical Workers index, some use the US all cities index, and sometimes they use different regional indexes published by the United States Department of Labor. Further, some leases provide lease increase less than annually, maybe every 18 months or every 5 years.

Keeping up can be a hassle. Let us help. We will set up all your tenants on a calendar that includes the proper base years, the proper indexes, and the calculations as necessary provided need each of their leases, so we can bill them accurately and on time. We have found that when they receive the calculated statement from third-party the number of potential objections and questions are significantly reduced for the property owner. We previously owned a commercial real estate brokerage and property management company for over 30 years. Don’t miss any increase and keep your tenants up to date so your investment is returning the maximum income provided by your leases. Let our experience make this less painful and more productive. Give us a call today and we can get the ball rolling for you!


Call Us at 707-845-5333