May 6, 2011
Manager of Lucernex Lease Analysis products, Mike Hammerslag, discusses his recent trip to CoreNet’s annual conference.
Good Morning! I have just returned from the CoreNet Global Summit in Chicago and I am glad to report that it was a fantastic event.
Perhaps the highlight for me was none other than the Monday morning keynote speech by Greg Lindsay. Mr. Lindsay did the finest presentation on agglomeration (under the guise of changing social dynamics) that I have ever seen! And remember that compliment comes from a former academic who actually taught the topic for 10 years. (more…)
Tags: CoreNet, CoreNet Global Summit Chicago, FASB, FASB 13, FASB 13 changes, FASB/IFRS, Greg Lindsay, Lease Administration FASB 13, Lease Analysis FASB 13, Sarbanes Oxley, SOX :: 1 Comment »
January 31, 2010
Lucernex expert Jim Duport (see Jim’s management summary here) provides this response:
In essence, GAAP (Generally Accepted Accounting Principals) rent is an averaging of the rent over the term taking into account rent abatement and fixed/known rent increases. The rent cost calculated based on GAAP is then charged/booked to the Income Statement / Profit & Loss (P&L) statement. The P&L statement is what is reported to the Securities and Exchange Commission (SEC) and is used for tax purposes. In many corporations, the GAAP rent is also the cost that is charged to the real estate department’s or end-user’s budget.
CPI & GAAP — a CPI GAAP analysis
What happens if there is free rent and rent increases are based on the Consumer Price Index (CPI), a “CPI GAAP analysis”? Since increases are not a “known” value, it is difficult to apply GAAP to a lease with CPI increases.
(more…)
Tags: Commercial real estate analysis, commercial real estate software, CPI GAAP Analysis, GAAP, GAAP Accounting, GAAP impact on SOX, GAAP rent, lease accounting blog, Lease Administration software, SOX :: 6 Comments »
