Tips for Effective Lease Abstraction
Lease abstract is the summary of important legal, financial, and business information in the CRE lease. According to the specific needs of client, every abstract varies in terms of length and details. It’s an outline of the lease that provides a summary of the selected information from the document. Keeping things simple and short is the key to a valuable lease abstract.
Why is a Lease Abstract Needed?
Lease abstract makes all the critical information readily and easily accessible by providing lease summary together with referenced section headings. It helps in making effective decisions prior to an acquisition, or merger. After a careful consideration and integration of all the significant documents, the experts extract important bottom line information. There is no need of checking each and every page of the complete lease document, the property manager, lease administrator, and leasing agent can easily review all the relevant lease information without wasting any time.
With the help of Lease Abstraction Services, the information can be compiled and the portfolio of leases can be managed properly. Some leases contain many amendments, some are of various formats, some landlords or tenants hold sizeable assets. Hiring lease abstraction services organizes the lease data.
In order to provide a solid foundation for due diligence, property investment and management, it is important to maintain the integrity of lease data regularly.
Lease abstraction is essential when there are multiple commercial leases that are to be managed. It can help in effective lease administration. The relevant information can be easily accessed as and when required by creating an abstract of the lease. There is no need of going through the entire lease when something comes up.
It is preferable to consistently follow a set format for all your leases. Lease abstract specialists ensure that all the useful information is included.
Following the tips written below can help in effective lease abstraction.
Be Careful With Dates and Figures
Lease commencement, renewal or expiring date, and amount of money to be exchanged for lease with other important dates and figures should be taken care of.
Concise Summary of the Lease
Abstract should be kept short and simple. It will then only serve the purpose of having an abstract. Double spaces between the references can make it easy for the reader to scan the information.
Plan What to Include and What Not
Knowing the purpose behind lease abstraction can help in deciding what to include in the abstract. While going through the entire lease, take notes of what you may want to reference.
With the help of references (page and section number), detailed information of any abstracted item can be found easily in the lease.
Effective lease administration requires organizing the leases properly. Assigning a number to every lease while abstracting can make it easy to track them.
This article is brought to you by SunTec India, one of the leading Lease Abstraction Services providers. If lease abstraction is wasting your valuable time that can be utilized on growing your business, hire the lease abstraction experts of SunTec India and increase the value of your lease data. Drop a mail at firstname.lastname@example.org to get a free quote.