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Data Security and Compliance in Lease Abstraction
How to protect sensitive lease data during abstraction. Covers PII handling, access controls, vendor security, and compliance requirements for CRE firms.
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ComplianceVisual Lease
ASC 842 Data Preparation
By Angel Campa, Founder · Updated March 2026 · Saves 4–8 hours per lease for initial adoption
The Problem
ASC 842 requires companies to recognize right-of-use assets and lease liabilities on the balance sheet. Extracting the exact data points auditors need — payment schedules, option terms, commencement dates, and incremental borrowing rates — from lease PDFs manually is time-consuming and error-prone, with mistakes that can materially affect financial statements.
Step-by-Step Workflow
- 1Upload all leases subject to ASC 842Source
Upload every executed lease PDF in scope for ASC 842 — operating leases over 12 months. Batch processing allows multiple documents in a single session.
- 2Extract commencement dates, payment schedules, and escalationsLextract
Lextract identifies all fields required for ROU asset calculations: lease commencement date, expiration date, base rent by period, escalation triggers and rates, and any free rent periods.
- 3Review confidence scores on option fieldsLextract
Option fields — renewal terms, purchase options, termination rights — are critical to ASC 842 classification. Review any fields below 90% confidence before proceeding.
- 4Assess option exercise probabilityLextract
Use the extracted option terms and notice periods to determine whether renewal or purchase options are reasonably certain to be exercised, as required under ASC 842.
- 5Download data formatted for lease accounting softwareDestination
Export the extracted data in a format compatible with Visual Lease, LeaseQuery, or CoStar Real Estate Manager for ROU asset and lease liability calculations.
- 6Import and run ROU asset calculationsDestination
Load the extracted data into your lease accounting platform. The system calculates present value of future lease payments, ROU asset, and lease liability entries for each lease.
Who Uses This Workflow
Lease AdministratorsCompliance TeamsCorporate Real Estate TeamsAuditors
How Lextract integrates with Visual Lease
Learn about the full integration between Lextract and Visual Lease, including supported export formats and critical fields.
View Visual Lease integration →Frequently Asked Questions
Which ASC 842 fields does Lextract extract?
Lextract extracts commencement date, expiration date, base rent by period, CPI and fixed escalations, free rent periods, renewal option terms and notice periods, termination rights, purchase options, and variable lease payment provisions — all inputs required for the ASC 842 lease liability calculation.
Does Lextract distinguish operating leases from finance leases?
Lextract extracts the lease terms; the classification between operating and finance lease under ASC 842 requires judgment based on those terms and is made in your lease accounting software.
How do I handle lease amendments for ASC 842?
Upload lease amendments as separate documents. Lextract extracts the amended terms, and you can compare the original and amended abstracts to identify modifications that trigger lease remeasurement under ASC 842.
Can auditors access the extracted data?
Yes. Lextract provides source page references for every extracted field, so auditors can trace each value directly back to the lease PDF — a key requirement for audit documentation.
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Related Resources
Start the ASC 842 Data Preparation workflow
Upload your lease PDF and get 125+ structured fields ready to import into Visual Lease. Just $20 per lease — no subscription required.
Start Extracting — $20/lease