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Lease Co Terminus Gap Calculator

Matching lease expirations takes adjustments. This calculator sizes cost.

$
$

Adjustment cost

$32,400

Extension months needed

36

Concession value

$32,400

How the math works

Extension months = target − current term. Concession ≈ rent × extension × 5% typical rate cut.

Coterminus alignment is cheaper to do at renewal than mid-lease. Waiting until one lease is up for renewal to align others gives the landlord and tenant a natural negotiation window — mid-lease alignments usually cost 2-3x the renewal-window version.

How to Use

  1. Enter space A term months.
  2. Enter space B term months.
  3. Enter target coterminus months.
  4. Enter space A rent monthly.
  5. Enter space B rent monthly.
  6. Read coterminus adjustment cost.

Frequently Asked Questions

Why coterminus?

Tenant expanding into adjacent space wants same expiration. Portfolio manager aligning multiple leases for single renewal decision. Hospital/school consolidating campus. Each needs rate adjustment to align dates.

Adjustment mechanics?

Extend shorter lease: discount rent for extension months (concession). Shorten longer lease: buyout portion (premium). Extend with rate concession: typical approach. Buyout rare — usually better to extend short than shorten long.

Economics?

Rate concession of 3-8% typical for coterminus extension. Tenant gets matched dates; landlord gets certainty of rollover timing. Cost ~1 year of rent on extended portion. Usually worth it for operational simplicity.

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