Finance category
Mortgage, loan, investing, tax, and money calculators.
Stabilization Burn Rate Calculator
Stabilization burn = interest reserve depletion rate.
Monthly burn
$120,000
Total stabilization cash need
$1,440,000
Annualized burn
$1,440,000
How the math works
Monthly burn = debt + OpEx − rent. Total need = burn × months. Annualized = burn × 12.
$135k + $75k − $90k = $120k/mo burn. × 12 months = $1.44M total need. Annualized $1.44M — reserve must cover.
How to Use
- Enter monthly debt service.
- Enter monthly OpEx.
- Enter monthly rent at current occupancy.
- Enter expected months to stabilization.
- Read monthly burn and total stab-period need.
Frequently Asked Questions
What is stabilization?
Industry definition: 90-95% occupancy sustained for 3-6 consecutive months. Commercial: often requires 85% occupancy + DSCR > 1.25. Lenders define precisely in loan docs. Before stabilization, loan may be in IO; after, amortization begins or perm takeout triggers.
Typical burn?
Garden multifamily 200 units: $50-150k/mo burn during lease-up. Urban Class A: $200-400k/mo. Senior housing: longer lease-up (9-15 months). Industrial build-to-suit: minimal burn (pre-leased). Plan burn carefully — under-reserved projects fail.
Reduce burn?
Pre-lease commercial before CO. Faster lease-up velocity. Lower OpEx during lease-up (not fully staffed). Extended IO provisions in debt. Mezzanine or pref equity to fund burn gap. Early close on anchor tenant moves needle significantly.
Related Calculators
More Finance Calculators
Browse all finance →AI Cost Calculator
Compare token costs across OpenAI, Anthropic, and Google AI models. Calculate monthly API spending for GPT-4o, Claude, Gemini, and more.
Tip Calculator
Calculate the perfect tip and split the bill between friends. Choose preset percentages or enter a custom tip amount.
Bill Splitter Calculator
Split an uneven restaurant bill by item, divide tax and tip proportionally, and see exactly who owes whom.
Discount Calculator
Calculate sale price, discount amount, stacked discounts, sales tax, and total savings for any markdown.
Gas Mileage Calculator
Calculate MPG or km/L, estimate trip fuel cost, and compare annual fuel expenses between two vehicles.
Sales Tax Calculator
Add sales tax to a price, reverse-calculate the pre-tax amount from a total, and estimate tax for multiple items on one receipt.
Keep exploring