Value in commercial real estate is derived, at the most basic level, from the leases. Therefore, it’s critical to manage lease information in order to maximize asset value. That’s where "Lease Abstracts" are invaluable.

WHAT’S A LEASE ABSTRACT?

Basically, a lease abstract is a summary of the financial and non-financial critical key points and amendments contained in a lease. They are valuable tools that help various levels of professionals make timely and critical decisions. In addition, the concise nature of lease abstracts makes data exchange among various users very easy and uncomplicated. After compilation, the key is to maintain all lease abstracts, tracking changes and updates, removing expired leases and adding new abstracts.

Example – A 60 page lease containing critical lease information and critical dates can be abstracted and saved in a small application file or printed out in a concise 4 - 6 page summary. A small database directory or a typical 3 ring binder may hold all of a buildings abstracts, turning it into an extremely valuable tool for property and asset management purposes. Easy to add and update on a regular basis.

WHO CAN BENEFIT?

Everyone who relies on information contained in a lease will appreciate the value of lease abstracts. Those who will typically benefit include: Owners, Property Managers, Asset Managers, Lenders, Investment Bankers, Accountants, Leasing Brokers, Property Brokers, Appraisers, Law Firms and Consultants.

Lease abstracts are important documents that save time and money. Please review the attached lease abstract checklist that Realogic has produced as a guideline for your abstracting needs.