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Lease Commencement Delay Calculator

Delivery delays trigger lease penalties. This calculator sizes exposure.

$
$

Total exposure

$656,250

Abatement value

$468,750

Liquidated damages

$187,500

How the math works

Abatement = rent × delay × multiplier. Liquidated = daily × delay days. Total = both.

Lease commencement delay exposure compounds when construction and mechanical delays stack. Build 45-60 days of schedule cushion into commencement dates at LOI stage — it's free to give in negotiation and expensive to lose at delivery.

How to Use

  1. Enter monthly base rent.
  2. Enter delay months.
  3. Enter abatement multiplier (1 day = 1 day, 1.5, 2).
  4. Enter liquidated damages daily.
  5. Enter termination threshold days.
  6. Read total exposure.

Frequently Asked Questions

Delay remedies?

Rent abatement: 1:1 for delay days (market). Commercial often 1.5:1 or 2:1 for landlord-caused delays beyond outside date. Liquidated damages: $500-5,000/day on specific large tenants. Termination right: usually 90-180 days past target.

Outside dates?

Target commencement (expected): smooth abatement begins if missed. Outside date (hard deadline): tenant can terminate + collect relocation costs + expenses. Usually 90-180 days past target. Negotiate outside date + extensions in drafting.

Mitigation?

Realistic schedule commitment in lease. Long outside date (180+ days). Force majeure protection. Tenant delay carveouts (their change orders, their delays). Specific causation language — who caused what.

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