Calculator inputs
Example data table
| Example Input | Value | Example Output | Value |
|---|---|---|---|
| Rentable area | 2,500 sq ft | Monthly occupancy cost | $11,700.00 |
| Monthly base rent | $9,500.00 | Face rent per sq ft / month | $4.68 |
| Monthly operating charges | $2,200.00 | Effective rent per sq ft / month | $4.75 |
| Lease term | 36 months | Total lease spend | $427,062.60 |
| Annual escalation | 3% | Cash needed at signing | $17,200.00 |
Formula used
Rentable area = usable area × (1 + load factor ÷ 100), when the entered area is usable.
Monthly occupancy cost = monthly base rent + CAM + taxes + insurance + other fees.
Base rent per square foot per month = monthly base rent ÷ rentable square feet.
Face rent per square foot per year = monthly occupancy cost × 12 ÷ rentable square feet.
Effective lease cost = (total recurring payments across the term + one-time fit-out cost) ÷ lease months.
Escalation model = base rent × (1 + annual escalation)^(lease year − 1). Free rent removes base rent during the earliest selected months.
How to use this calculator
- Enter the suite area and select whether it is rentable or usable space.
- Choose square feet or square meters. Square meters convert automatically.
- Add the monthly base rent from the draft lease or proposal.
- Include CAM, taxes, insurance, and any other monthly charges.
- Set lease term, annual escalation, and any free rent months.
- Add deposit, fit-out cost, and an optional market benchmark.
- Click the calculate button to show results above the form.
- Download the results as CSV or PDF for records or negotiation notes.
Frequently asked questions
1. What does rent per square foot measure?
It measures how much rent you pay for each rentable square foot. This helps compare spaces with different sizes, charge structures, and lease terms more fairly.
2. Why is rentable area different from usable area?
Usable area is the space your team occupies directly. Rentable area adds a share of common spaces, such as lobbies, corridors, and shared facilities.
3. Should CAM and taxes be included?
Yes. Many leases look cheaper until operating charges are added. Including CAM, taxes, insurance, and other fees gives a more realistic occupancy rate.
4. What is the difference between face rent and effective rent?
Face rent reflects the listed monthly charges. Effective rent adjusts for concessions, escalation, and one-time costs to show the practical average cost over the full term.
5. How does free rent affect the result?
Free rent lowers the average lease cost by removing base rent during selected months. Operating charges usually still apply, so total occupancy cost does not fall to zero.
6. Does escalation apply to all charges?
This calculator applies escalation to base rent only. That mirrors many lease summaries, while operating charges are entered as steady monthly estimates for comparison.
7. Can I use square meters instead of square feet?
Yes. The calculator converts square meters into square feet automatically, then uses the converted rentable area to calculate monthly and annual pricing metrics.
8. Is this calculator legal advice?
No. It is a financial comparison tool for lease review. Always confirm lease language, pass-through clauses, and escalation terms with a qualified professional.