Data Definition: Decimal Amount
Form Label (Field Label): Escalation Frequency Term Length
# of Characters: Not applicable
Where to use it: Lease BPs
Use this element for: Specifying how often the escalation should occur, time-wise (such as every 12 months).
Note: Not applicable if None is chosen for the Escalation Method.
This element works in conjunction with these elements:
- uuu_lse_esc_freq_type
- uuu_lse_esc_method
- uuu_lse_esc_value
Examples
For a lease that escalates by 2% every 5 years:
- uuu_lse_esc_method = %
- uuu_lse_esc_value = 2
- uuu_lse_esc_freq_len = 5
- uuu_lse_esc_freq_type = Years
For a lease that escalates by $200 every 5 years:
- uuu_lse_esc_method = Fixed
- uuu_lse_esc_value = 200
- uuu_lse_esc_freq_len = 5
- uuu_lse_esc_freq_type = Years
Note: Escalation will differ slightly, depending on the frequency used. Over a 10-year lease term, an escalation frequency of 1 year will differ from a frequency of 52 weeks or 365 days because of leap years. Years with 366 days will make a difference; and a frequency of 52 weeks might be a day, or two, short of a full year.