Need Help Valuating Commercial Lease Property

[Brad Carver]

Hello,

I was looking for some information/help valuating whether leasing a space to a tenant will benefit the owner. I have familiar with how to do this on the entire property, but am not really sure what adjustments I need to make if it is just one suite.

Some info:

Building: 12,138sf

Suite to lease: 2,366sf

Rate: $14.5

Term: 3 years

Build out/commission to be paid in year 1

My question to be answered is how do I incorporate the operating expenses, debt service, and mortgage for the entire building with the benefit of leasing only a portion of the suite.

Would appreciate any help! Thanks

Brad