NOTE: This course is a live webinar. You must attend the live course to receive verifiable CPD hours. We recommend you join five minutes prior to the scheduled starting time. To get the full experience of this interactive course, use a computer that has video and microphone capabilities.
Wednesday, August 17, 2022, 8:30am - 12:30pm
Thursday, August 18, 2022, 8:30am - 12:30pm
A deep dive into commercial premises leases for CPAs.
Commercial premises rents represent one of the largest expenses that enterprises incur, and a premises lease is one of the most binding financial agreements that many organizations ever enter into. This CPA Ontario webinar will provide you with an in-depth understanding of the monetary aspects of commercial leases, particularly with respect to additional rents.
The informative course is divided into two parts. To illustrate important concepts common to most leases Part I covers the monetary aspects of the widely used standard lease and serves as a foundation for the material covered in Part II. Part I also addresses how CPAs can play a bigger role in this significant part of business.
Part II examines further aspects of the standard lease, but primarily focuses on certain non-standard lease wordings that some tenants can negotiate. These include selected operating cost exclusions and cost capping that respectively reduces and/or limits the amount of additional rent due over the term of the lease, including any renewals.
After taking this practical and illuminating course, you will have a better understanding of how a standard and some non-standard leases operate, the significance and dollar impact of the different lease wordings, and the manner in which the applicable articles and sections of leases combine to bring about the amount of rent that a tenant pays.
Learn to take an analytical and disciplined approach in the review of any premises lease whether it applies to an office complex, enclosed shopping mall, commercial industrial centre or strip plaza. Participants may find it interesting to follow along with a lease agreement they currently oversee.
The subject matter is presented in a highly practical fashion, from both the tenant’s and landlord’s point of view.
- Understand the importance of the Offer to Lease and the critical monetary sections of a premises lease before agreeing to the terms. Recognize the impact on the rent of certain non-standard lease wordings
- Learn how to manage situations where the tenant is paying directly to service providers for certain premises services, such as HVAC, utilities and refuse removal
- Be able to review the dollar impact of the different lease wordings that have been developed and honed by lawyers, including how just one word can significantly affect the rent
- Discover how all of the operating costs and realty taxes can be recovered by a centre’s owner, regardless of the mix of tenants and leases in effect
- See why many existing tenants are obliged to make contributions to the costs that emanate from vacant space, both from an operating cost and realty tax standpoint
WHO WILL BENEFIT
CPAs and finance professionals who oversee the administration of any financial aspect of premises leases or sub-leases or will be doing so in the future.