EveryCalc

Finance category

Mortgage, loan, investing, tax, and money calculators.

Browse finance

Lease Renewal Probability Calculator

Renewal assumption drives cash flow projections. This calculator estimates probability from tenancy and market signals.

%

Renewal probability %

82.0%

Classification

Very likely

Expected renewal value

Underwrite at renewal

How the math works

Probability = f(tenure, rent vs market, business health, alternatives). Higher = more confident renewal.

Conversations with tenant in last 6 months outweigh scorecard math. Ask about growth plans, expansion needs, local presence. Scorecard is the starting point; tenant conversation is the fact-check.

How to Use

  1. Enter years tenured.
  2. Enter rent vs market %.
  3. Rate business health (1-5).
  4. Rate market alternatives (1-5).
  5. Read renewal probability.

Frequently Asked Questions

Baseline renewal rates?

Multifamily 55-65%. Office 65-75%. Industrial 80-90%. Retail 70-85%. Triple-net 85-95%. Use as starting point and adjust for specific tenant factors.

Tenure effect?

Long-tenured tenants (5+ years) renew at 80%+. New tenants (first term) renew at 45-60%. Renewal improves with build-out invested, on-site infrastructure, or community embedded.

Rent vs market?

Under-market tenants renew at 85-95% (tough for them to find equal deal). Over-market renew at 40-55%. Market-rate renewal probability sits in 65-75% zone.

What documentation matters here?

Written leases, move-in/move-out inspections with photographs, ledger entries showing every payment and charge, served notices with proof of service, and contemporaneous emails or texts. Courts weigh written evidence heavily; informal understandings rarely stand. Institutional operators run a monthly file audit to catch gaps before they matter. Good paper trails recover most of what's owed.

Related Calculators

More Finance Calculators

Browse all finance

Keep exploring

Next steps in Finance

View finance hub →