Understanding Projected Sales

The Projected Sales Generation program (R1542) provides reliable data that supports sales forecasting for overage rents. The R1542 program estimates future sales based on a variety of calculation methods.

The JD Edwards EnterpriseOne Real Estate Management system provides seven forecasting methods for comparable and noncomparable leases. Regardless of the method you use, you must meet certain conditions. If a lease is considered noncomparable, you must run the Seasonality Generation program (R1547) to generate the values required by the forecasting methods. Typically, sales data has to be available for a certain number of months.

The annual projection for a lease is the same as the amount for 12 months if the lease has 12 months of actual sales data. If the lease does not, it is considered noncomparable, in which case the system uses seasonality values to calculate the annual projection. The system uses the following calculation to determine seasonality values: (Monthly Sales ÷ Seasonality) ÷ Number of Months.

You can generate either a month-by-month detail report or a summary report. The detail report includes the calculations for each month of the year and indicates estimates with an asterisk (*). The summary report includes the rolling sales, year-to-date sales, and annualized sales. The summary report also includes sales per square foot and percent changes and indicates estimates with an asterisk (*).