The fixed minimum monthly or annual payment a commercial tenant owes the landlord, before any additional charges for operating expenses, taxes, or insurance. Base rent is the starting point for calculating total occupancy cost.
Base rent is usually expressed as a dollar amount per rentable square foot (RSF) per year. For example, a lease at $30/RSF on a 5,000 RSF space means $150,000 per year, or $12,500 per month. Most commercial leases include scheduled increases to base rent over the term, either as fixed dollar bumps, fixed percentage increases, or CPI-linked adjustments. Accurate extraction of base rent is critical because it serves as the foundation for calculating holdover penalties, security deposit requirements, and overall lease value.
Lextract extracts these fields directly from your lease PDF:
Base rent is the fixed minimum payment a commercial tenant owes the landlord each month, expressed as a dollar amount per rentable square foot per year. Total rent includes base rent plus additional charges such as CAM fees, property taxes, insurance, and utilities. In a triple-net (NNN) lease, total occupancy cost can exceed base rent by 30% to 50% depending on the property.
Base rent is calculated by multiplying the annual rate per rentable square foot (RSF) by the total leased square footage, then dividing by 12 for the monthly amount. For example, a lease at $30 per RSF on a 5,000 RSF space equals $150,000 per year or $12,500 per month. The RSF figure includes the tenant's proportionate share of common areas, which is typically 10% to 20% higher than the usable square footage.
Base rent typically increases over the lease term through scheduled escalations. Common methods include fixed percentage increases of 2% to 3% per year, fixed dollar-amount step increases at defined intervals, or adjustments tied to the Consumer Price Index (CPI). A 3% annual escalation on a $50,000 starting rent compounds to over $67,000 by year 10 — a 35% increase from the initial rate.
Free rent escalation calculator for commercial leases. Model CPI-indexed, fixed annual %, and step rent schedules. See exactly how much your base rent will grow over years 1–10.
A complete reference for commercial lease financial terms. Covers base rent, escalations, NNN vs gross, TI allowances, and percentage rent with examples.
A practical 15-point checklist covering every major negotiation lever in a commercial lease — from base rent and TI to CAM caps, renewal options, and exit rights.
Upload a commercial lease PDF and get 126 structured fields — including all the terms defined in this glossary — extracted in minutes. $15 per lease.
Try It Free — No Signup Required