for lease properties what is difference of $5/SF/Year vs $5/SF/Month

Is the calculation ($5 x SF) /12 = monthly lease $
does month mean you pay monthly and year mean you pay yearly or sign a years lease?
In Leasing Property - Asked by Cindy C. - Mar 6, 2009
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Answer(s)

Erik W.
Broker/Agent
Goodyear, AZ

Commercial real estate rental rates are typically stated in terms of $/sf/year. Your calculation of ($5 x SF / 12) is correct, and $5/sf is very inexpensive real estate unless it is an industrial property.
You would pay the landlord on a monthly basis. The typical lease term on commercial space is usually 3-5 years, however, with the current economic conditions, landlords are often willing to cut a short-term deal to generate income for their property.

Mar 7, 2009
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Gregory G.
Broker/Agent
San Francisco, CA

Yes you are correct.

Mar 9, 2009
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Sandy S.
Broker/Agent
Shreveport, LA

$5 per sft per month would cost $60 per sft per year.
$5 per sft per year would cost $5 per sft per year.
That's a big difference!

Mar 11, 2009
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