Lease Commencement Rent Loss Calculator

Delayed commencement burns rent. This calculator sizes the hit.

Monthly rent

Delay days

Daily carry

Penalty $/day

Rent lost

$82,500

Carry cost

$42,750

Penalty accrued

$22,500

How the math works

Per-day rent loss multiplied by delay days, plus ongoing carry and any contractual penalties.

A 45-day commencement slip on a $55k/month rent costs the landlord ~$82k of rent plus carry, while the tenant may collect $22k of penalties. Outside-date provisions are where this math gets codified — negotiate sharp language on trigger dates, notice, and cure periods.

How to Use

Enter monthly rent.
Enter delay days.
Enter landlord carry during delay.
Enter penalty $/day if any.
Read rent loss and carry cost.

Frequently Asked Questions

Why commencement slips?

Permit delays, long-lead equipment, contractor scheduling, change orders mid-construction, material delays. 2-8 weeks typical slip beyond target. Impacts both landlord (deferred rent start) and tenant (operating plan disrupted).

Who bears risk?

Depends on lease clause. Landlord-delay clauses: landlord bears until delivery. Tenant-delay clauses: tenant charged during tenant-caused delays. Mixed delays negotiated. Documentation matters — daily logs, RFIs, change order dates.

Per-day penalties?

Some leases include outside-date penalties. Office: $2-10/day per 1k sf common. Retail anchor: $500-2000/day. Industrial: $1-5/day per 1k sf. Often capped at 10-30 days before tenant termination right triggers.