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The expense line items that you see in the left hand column are the same expenses you entered in the Operating Expense Set Up page. If you need to add or delete an expense - you must go back to the Operating Expense Set Up page and make the appropriate changes. Do not add or delete rows or data here. If you need to change an expense item's name, you must go back to the Operating Expense Set Up page and make the change there. Once the change is made there - the new line item's name will appear in all of the leases that you have entered so far.
If you specified that this particular lease begins on, say, 09/15/2010, and you elect to recover City Taxes as in the example above, the model will show the prorated amount of the expense recovery in 2010, and nothing for 2009.
 Recovering Expenses
Expense recovery in Realty Analytics is a very simple and straightforward process. If you want to recover an expense, just click on the checkbox next to the expense. The model will do all the math and pro rations. The model will not allow you to recover an expense in one year and not in the next. It assumes that the current tenant will always pay a particular expense for the life of that lease.
Notice that as you include an expense, that the row turns grey and the text appears in italics. This is to give you immediate visual feedback about which expenses have been recovered for this tenant.
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 Property Management
Notice that the Property Management row indicates "No Property Management". This is because the property management driver in the control area of the Operating Expense Set Up page is set to No Management. You cannot recover property management fees in this instance because there are no fees paid out. If you want to recover Property Management fees, you must go back to the Operating Expense Set Up page and choose the management type and enter a percentage. At that point, the Property Management row here will say "Property Management", and you can click the checkbox to recover the fee.
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 Base
Enter the amount of the "Base" for this expense. The base is the amount that the landlord will pay - any amounts over this entry will be paid by the tenant. For example, if City Taxes are 12,000 per year and you enter 0, this tenant will pay at the rate of 100% of the allocated costs of this expense. If this tenant occupies 10% of the total space, the amount allocated to the tenant would be $1,200 per year ($12,000 X 10%). If you were to enter $1,000 as a base number, then this tenant would only be responsible for $200.00 of the expense- of which, all $200.00 is recoverable.
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