Lease Audit and Administrative Services
On any annual basis, most tenants have the burden of millions of dollars above and beyond their base rental, in additional rent, operating expenses or tax overages billed by their Landlord. It is fair to…
On any annual basis, most tenants have the burden of millions of dollars above and beyond their base rental, in additional rent, operating expenses or tax overages billed by their Landlord.
It is fair to say that “not all Landlords were created equal”, neither are the ‘checks and balances’ on the tenant’s side, to confirm or contrast these potential liabilities. Davco has been in the business of review and confirmation of leaseholds for clients for decades. Knowing where to look, and how to approach these potential expenses are a delicate task. Through a combination of accounting errors, inappropriate spending, and inconsistent accounting practices, confirmation of these expenses as a valid practice is one of the most effective ways to promote transparency and confirm justified expenses, vs. the opposite.
The process begins with a review of your lease documents and back up billing and operating expense budgets, and reconsolidation statements. As needed, we assist in the request for additional back-up with specific line items.
We provide a complimentary review of these operating expense and property tax charges, CAM charges, and whether further investigation is warranted. Our review essentially is an evaluation against market standard practices and comparable buildings, all against your actual lease documentation and agreements. This process is expediential in that its effects are ongoing as reoccurring expenses throughout the term of your leasehold.