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Tenant Retention Package Calculator

Retaining a tenant beats re-tenanting when package < turnover cost.

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Net retention savings

$480,000

Package gross PV

$280,000

Expected turnover avoided

$760,000

How the math works

Package PV = cost + rent reduction over term. Expected turnover avoided = turnover × probability. Savings = avoided − package.

$20k rent drop × 5 yrs + $180k package = $280k total. $950k × 80% = $760k avoided. Net $480k savings — strong retention economics.

Editorial noteMaintained by EveryCalc - Reviewed June 2026

EveryCalc calculators are designed for fast, practical estimates with transparent inputs and no required account. We use plain formulas, visible assumptions, and related tools so visitors can check the result from more than one angle.

Results are informational only. For financial, tax, legal, medical, construction, or other high-impact decisions, verify the output against primary sources or a qualified professional.

Learn more about our review process on the EveryCalc methodology page.

How this calculator works

What this page estimates

This Tenant Retention Package Calculator is built to give a quick, browser-based estimate for tenant retention package. Retaining a tenant beats re-tenanting when package < turnover cost. The inputs stay on the page during normal use, and the result should be treated as an estimate for planning, comparison, or education rather than professional advice.

Calculation approach

The calculator applies the standard relationship implied by the inputs, then formats the answer so it can be checked and reused. For finance tools, the most important step is using consistent units, rates, time periods, and assumptions before comparing the result with another calculator or outside quote.

Example workflow

For example, start with a realistic value you already know, change one input at a time, and watch how the answer moves. That makes it easier to tell whether the result is being driven by the main amount, the rate, the time period, or a unit conversion.

Practical checks

  • Use current, real-world numbers when the result affects money, health, tax, or legal decisions.
  • Run a low, base, and high case when the inputs are estimates.
  • Check the related calculators below when the next decision depends on a different assumption.

How to interpret the tenant retention package result

Best use

Use the result as a planning number for comparing payments, rates, returns, tax reserves, or cash-flow choices before you request a quote or make a commitment.

Cross-check

Compare the answer with the contract, lender estimate, tax form, brokerage statement, payroll record, or invoice that will control the real-world outcome.

Watch for

Do not rely on a single optimistic rate, return, or fee assumption. Money pages work best when you run low, base, and high cases and keep professional advice separate from the estimate.

This page belongs to the Finance calculator library, so the answer should be read in the context of the decision you are modeling rather than as a universal rule.

Before relying on this tenant retention package estimate

Most calculator mistakes come from the inputs, not the arithmetic. Use this short audit before you reuse the answer in a spreadsheet, quote, application, or important conversation.

Confirm source numbers

Match balances, rates, fees, taxes, income, and payment dates against the lender quote, payroll record, tax form, statement, invoice, or contract.

Separate cash flow from total cost

A lower monthly payment can still cost more over time if fees, interest, taxes, or a longer term are hidden in the structure.

Run conservative cases

Test at least one higher-cost or lower-return case before using the output for a purchase, refinance, investment, loan, or tax decision.

Rerun this page when the rate, price, term, fee, tax rule, income, expense, or expected holding period changes.

How to Use

  1. Enter existing rent.
  2. Enter renewal rent.
  3. Enter retention TI/concession.
  4. Enter renewal term years.
  5. Enter turnover cost if lost.
  6. Enter retention probability %.
  7. Read package NPV vs turnover.

Frequently Asked Questions

Why retain?

Retaining an existing tenant avoids downtime, full TI, leasing commission, and re-broker fees. Cost of retention (modest TI, small renewal LC, mild rent concession) typically runs 30-60% of full turnover cost. Retention is virtually always the financial winner.

What packages work?

Small refresh TI ($5-25/SF), lease extension for reduced years-1-2 rent, amenity upgrades allocated, signage rights, early termination flex. Must be cheaper than full turnover by ~40%+ to justify vs market test; often much cheaper.

When to walk?

Tenant credit deteriorated, space no longer fits market demand, conversion to different use has higher NPV, or tenant demands exceed retention economics (e.g., 25% rent reduction plus $100/SF TI). Sometimes letting them leave and releasing is better.

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