Estimated Per Square Foot Calculations

If you generated estimated expense participation billings using the Estimated E.P. PSF Generation program, when the system generates the recurring billing record, it uses the area billings value from the lease, not the area that is assigned to the expense participation information record. The system uses this area and the annual billing amount (which is calculated using the area from the expense participation record) to derive the rate per square foot that appears on the Recurring Billing Revisions form.

For example, if the expense participation information record specifies an area of 6,000 square feet and the log record specifies an amount per square foot of 310.00, the system calculates the annual estimated billing amount as 1,860,000.00. However, if the area on the lease is 5,000 square feet, the system divides 1,860,000 by 5,000 to derive a rate per square foot of 372 (not 310), which appears on the recurring billing information record.