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PLM Lease

Use this page to create a lease or edit an existing lease.

Note icon. Note: It is recommended to use a dedicated batch and journal for all PLM transactions.

Add a Lease

Tip: Select Action > Wizards > Create Lease to use the PLM New Lease Wizard, which simplifies the process for creating a lease.

To add a lease, follow these steps:

From the Leases list, select New.
In the Lease FastTab, specify the Name of the lease, and select the values for the following:
- Category Name
- Type
- Customer or Vendor account number (Vendor field editable only for Expense Lease type)
- Lease Commencement Date
- Rent Commencement date

Depending on the category name selected, the Level FastTab(s) appears.

In the Lease Terms FastTab, select the terms to apply to the lease.
In the Level FastTab(s), select the levels.
In the Lease Line (Lowest Level) FastTab, select the lowest level.
For leases that do not have any levels, add charges to the Lease Charges FastTab.
For the selected lowest level line, select Charges > Lease Charges, and on the PLM Lease Charges page, select the charges to apply to the lowest level.
To attach documents to the record, do the following:
1. Select to expand the FactBox pane.
2. Select the number to open the details for the documents and attach the files you want.
3. Select Close to return to the main page.

Vendor Change Audit Inquiry

A log entry will be created for each vendor change, displaying the lease details, previous and new vendor information, and the user who made the change.

There are two ways to access the log:

From the Expense Lease page
1. Navigate to the Expense Lease.
2. Click the ellipsis (...) in the action pane.
3. Select Vendor Change Log.

From the PLM Inquiries dropdown
1. From the action pane, click the PLM Inquiries dropdown.
2. Select PLM Lease Vendor Change Audit Inquiry.

The audit inquiry will display the lease number, old and new vendor account numbers, new vendor name, user ID, and the date and time of the change.

This feature is available to users with the following role centers and a valid PLM license:

PLM Administrator
PLM Full Administrator
PLM User

Add Accrual Lease

To create an Accrual Lease, follow all of the same steps as outlined above when adding a lease while meeting the following criteria:

Type = Expense.
Frequency = any option except Monthly.

Once this criteria is met, the Accrual Lines button will become available. When clicked this will direct you to the PLM Accruals page.

Charge Line Description on Posting Description

When Use Charge Line Description on Posting Description and Separate Invoice are enabled, the Lease Charge Name will be copied to the Sales Posting Description field when processing Revenue Leases.

Note: Only the first 100 characters of the Lease Charge Name will be used in the Sales Posting Description.

Workflow Example

Enable Use Charge Line Description under Group Revenue Lease on PLM Lease Management Setup.
Create a Revenue Lease.
Enter a charge and enable separate invoicing.
Update the Charge Name.
Create a Sales Invoice. The Charge Description will be copied to the Sales Invoice: Posting Description field.
Post the Invoice. The GL Entries will be displayed accordingly.

All Leases View

The All Leases list view is a read-only view of all leases. Apply a filter to see only the leases that you want to see.

Lease

The default values on this FastTab are set up on the PLM Property Lease Management Setup.

Fields

This FastTab contains the following fields:

All Leases View Table
Field	Description
No.	Displays a lease number for a record. Automatically generated lease numbers are set up on the No. Series FastTab on the PLM Property Lease Management Setup page.
Name	Specify a name for the lease.
Category Name	Select the category for the lease. Required. Note: After you select the category and move to the next field, the category cannot be changed. If you wanted to select a different category during the lease creation, delete the lease and start again. The category selected determines the FastTabs that appear. No required levels are required, no Lease Line or Level FastTab appears One required level, only the Lease Line (Lowest Level) FastTab appears Two or three required levels, the Level and Lease Line (Lowest Level) FastTabs appear When one to three levels are required, the PLM Lease Charges is accessed by selecting Charges > Lease Charges for the lowest level line selected.
Type	Select the lease type you want to create. The default value is from the Lease Type on the PLM Property Lease Management Setup page.
Lease Classification	For expense leases, select the classification for the lease. Financial Lease: The lease is a financial (or capital) lease. Operating Lease: The lease is an operating lease. Short Term Lease: The lease is for a period of 12 months or shorter. Non-Lease: The lease is similar to a Short-Term Lease where it is for a period of 12 months or shorter, but is only available for the PLM Non-Lease Summary Report (and no other type of reports). For revenue leases, select the classification for the lease. Sales type lease Direct financing lease Operating lease Exempt lease: Select the exempt type for the charge where the recognition exemption is applied. For example, if you have a low value asset or short-term lease or non-lease components.
Payment option	For revenue type leases only, select the payment option. Advanced: Payment is received at the start of the lease period. Arrears: Payment is received at the end of the lease period.
Customer/Vendor Posting Group	Visible when you have Allow Multiple Posting Groups turned on in the Sales & Receivable Setup and Service Mgt. Setup pages, and the Purchase & Payables Setup page for vendor posting group changes. For more information about working with posting groups, see Set Up Posting Groups.
Customer/Vendor	Select the customer (for revenue) or vendor (for expense) account number for the lease. Note: After you select the customer or vendor and move to the next field, the lease type cannot be changed. If you had wanted to change the lease type during the lease creation, delete the lease and start again.
Customer/Vendor Name	Displays the customer or vendor name. Read-only. The label that appears is based on the lease type and category selected.
Currency Code	Select the currency for the lease. Required. The default value is from the customer or vendor record.
Align To Month	Select whether to align the billing period for a lease to the end of a month when the lease is created: On: Aligns the billing period of a lease to the end of a month. For example, a lease is created on April 15, the end of the first billing cycle is April 30. Each subsequent billing cycle then starts on the 1st of the month and ends on the last day of the month. Off: Does not align the billing period for a lease to the end of a month. For example, this option is selected and the billing frequency is monthly. For a billing cycle that starts on April 15, the end of the billing cycle is May 14. Each subsequent billing cycle starts on the 15th of the month and ends on the 14th of the month. Caution: Changing the setting for this option recreates meter reading lines. As a result, data for unprocessed lines will be lost.
Lease Commencement Date	Specify the start date for the lease. If this date is empty, the date is updated with the start date of the first lease term.
Rent Commencement Date	Specify a rent start date for the lease. The default date is the lease commencement date, but you can change it.
Lease Execution Date	Specify the execution date for the lease. The default date is the lease commencement date, but you can change it.
Consolidate	Select whether invoices for multiple leases are combined into a single invoice. On: Creates a single invoice that combines the billing details for a customer or vendor. Invoices can be consolidated when the separate invoices have the same customer or vendor and the same currency. This feature is available for sales order, invoice journal, and vendor invoices. Off: Separate invoices are always created.
Prorate Partial Periods	Select whether to prorate the partial billing periods: On: Calculates partial amounts for first or last periods that are not full billing periods. The amounts for partial billing periods is a fraction of the full billing period amount. Off: Does not calculate partial amounts when the first or last periods are not full billing periods. Partial billing periods are charged the same amount as full billing periods.
Area Unit	Displays the unit of measure used for area. Read-only.
Status	Displays the status of the lease: Active, Hold, or Terminated. Only leases that have an Active status can be billed and invoiced. A new lease is automatically set to Active. The lease status cannot be manually edited and is updated by actions applied to the lease. For example, the status of a lease is Terminated when the lease is terminated by using the Move Out Wizard or the PLM Batch Termination/Reverse Termination page.
Termination Date	Displays the termination date of the lease. Read-only.
Period by Period	Indicates whether the period-by-period functionality is used (for example, the invoices for a lease are month to month): On: The period-by-period functionality is used. Invoices are created on a period-by-period basis, and lines are added based on the billing frequency of the lease. Off: The period-by-period functionality is not used. The default setting is from the PLM Property Lease Management Setup page.

Lease Terms

Use this FastTab to select the terms for the lease. The start and end dates in a lease term are used as the default dates when adding the levels and charges.

When multiple charges are applied to a lease, the term start and end dates are used as the start dates and end dates for the price adjustment lines. The term dates are also used for calculating the charge price adjustment details. Adding new terms does not update existing charge billing details and charge price adjustment pages. You must manually process the price adjustment.

The terms added cannot have overlapping dates. However, a date gap can occur between terms. For example, one term has a start date of January 1 and an end date January 15. The following term cannot have a start date on or before January 15. However, it can have a start date on January 16 or later. When a gap occurs between terms, the settings of the previous term are used until the next term begins.

Add the First Term to a Lease

To add a first term for a lease, follow these steps:

In the header, select whether to use the Period By Period functionality.
In the terms list, select the Code.
Specify the Start Date, Frequency, and Number of Periods of the term.
The End Date is automatically updated based on the values of the start date and frequency and number of periods.
If the term is to be renewed, specify the Lead Time (Days) and Notice Required.

After a term starts, only the end date can be changed. Also, only the end date of the last term line in the list can be changed.

Add the Subsequent Terms to a Lease

To add a subsequent terms for a lease, follow these steps:

If needed, change the End Date for the last term line.
For the new line, select the term Code and specify the other values for the term line.

After a term line is added, the end date can be updated for the lease lines or the lease charges.

When the prompt asking you to update the lease lines or charges with the new end date appears, select Yes.
On the Roll Down Lease Term Dates page, do the following:
1. Select the Roll Down Type (lease lines or charges).
2. In the list, select the lines that you want to update with the new end date.
3. Select Actions > Roll Down.

If the end date for a charge is updated that results in a price adjustment end date that is after the end date of a lease line, the end date of the lease line is also updated.

Note icon. Note: A term cannot be added between two existing terms. Terms can be added only after the last term in a lease. To add a term in the middle of the terms list, delete all terms that are after the last term line you want keep, and then add subsequent terms as needed.

Terms can be deleted only when no price adjustment or abatement lines for the term exist.

Fields

This FastTab contains the following fields:

Lease Terms Table
Field	Description
Code	Select a term code. The available options are created on the PLM Term Codes Setup page.
Start Date	Specify the start date for the term. The default date is the lease commencement date. For the first line, specify the start date. For subsequent terms, the default date is the next date after end date of the previous term. If you change the start date, the date must be later than the end date of the previous term.
Frequency	Select a frequency for lease term. The options are: Monthly, Weekly, Bi-weekly, Quarterly, Annually, and One Time.
Number of Periods	Specify the number of periods for the term when a lease is created. The default value is from the PLM Property Lease Management Setup.
End Date	Specify the end date for the term. The date is automatically updated based on the start date and the number of periods.
Term Type	Select the term type for the lease. Executed: The lease term has been finalized and is ready to start. The first term line must always be executed. Also, this type of term can be selected only after a line that has the Executed type. Optional: The lease term is optional, which means it might not be used during the duration of the lease. Billing lines for this type of term appear in the Billing Details Lines FastTab of Charge Details. These billing lines are not available in the PLM Invoice Creator since invoices cannot be created for this term type. Renewed: The lease term is for renewing the lease. This type of term is added at the time the lease is to be renewed and can be selected only after a line that has the Executed type.
Lead Time (Days)	Specify the number of lead days required for notices.
Notice Required	Specify customer or vendor notification requirements for when a term is due for renewal.

Level

This FastTab appears when the lease category name selected has two or three required levels. Use this tab to select the property level 1 or 2. Property options are set up on the PLM Properties page.

Lease Line (Lowest Level)

This FastTab appears for lease categories that have 1, 2, or 3 levels. Use this FastTab to select the lowest level for the lease of the category name selected. The options available are based on the values selected in the Level FastTabs.

Add a Lowest Level to a Lease

To add a lowest level, follow these steps:

Depending on how many required levels are needed for the selected Category Name, select the Level 1 and Level 2 values as needed.
For each line added, do the following:
1. Select the lowest level value.
2. If needed, change the Lease Area and Chargeable Area.
3. Change the start and end dates as needed.

Fields

For lease categories that have Area Unit set to None on the PLM Categories Setup page, the list shows columns only for the lowest level and start and end date.

This page contains the following fields:

Lease Line Lowest Level Table
Field	Description
Lowest Level	Select the lowest level.
Total Area	Displays the total area of the level. Read-only. This value is updated when the corresponding value on the PLM Properties setup is updated.
Leasable Area	Displays the total leasable area. Read-only. This value is updated when the corresponding value on the PLM Properties setup is updated.
Leased Area	Specify the area for the lease. This value must be less than or equal to the leasable area. The default value is the same as the leasable area. When this value is changed, the Area tracking dialog appears, where you specify the description and the effective date for the change. The leased area is used in calculations for the rate schedule and for reports and inquiries.
Chargeable Area	Specify the area that is part of the charge. This value must be less than or equal to the leased area. When this value is changed, the Area tracking dialog appears, where you specify the description and the effective date for the change. The chargeable area is used for calculating the CAM rate.
Start Date	Displays the start date for the lease for the level. The default is same as the start date for the first term, or if the terms are empty is the rent commencement date. You can change the value as needed.
End Date	Specify the end date of the lowest level. The default date is the end date of the last term. You can change the date as needed. For a lease that uses the period by period functionality, the default date is empty. When the level is considered to be occupied, the occupancy validation is Yes. The date is automatically updated when the customer moves out or the lease is terminated.

Lease Charges

This FastTab appears for lease categories that have no levels. Use this FastTab to add charges to the lease.

For lease categories that have 1, 2, or 3 levels, select Charges > Lease Charges to open the PLM Lease Charges page. Use the PLM Lease Charges page to added charges for the selected lowest level line.

FactBox

The FactBox shows the following information:

Attachments Displays the number of attachments for the lease. Adding an attachment is part of the standard Microsoft Dynamics 365 Business Central functionality.

Copy Lease

The Copy Lease feature enables users to create a new lease by copying details from an existing lease record.

Navigate to the desired lease.
Select the Copy Lease action available on the lease card page.
The PLM Copy Lease page opens and users can configure the following elements to be copied to the new lease:
- Options
- Filters
- Lease Charges

Notes:

Each time the page is opened, all fields reset to their default values. No previous entries are saved.
This feature can be used multiple times. Settings are not retained between sessions.
The PLM Copy Lease page is only accessible via the Copy Lease action on a lease page. It is not available elsewhere in the application.

Functionality

This section describes the behavior of the system when copying an existing lease to create a new lease record.

Header Information

Most information from the original lease header is transferred to the new lease.

Lease Number: The system automatically assigns the next available number from the configured series.
Lease Status: The new lease will be set to Active, regardless of the original lease's status.
Description: The new lease description will automatically be formatted as "Copy of Lease No: [Original Lease Number]".
Key Dates: All date fields (e.g., Commencement Date) are taken from the values entered on the Copy Lease page.
Dimensions: Dimensions are copied from the original lease to the new lease.
Category-Dependent Fields: If a new lease category is selected, fields like Area Unit will default from that new category.

Lease Terms

Copying of lease terms depends on the lease category and property settings.

Standard (Zero-Level) Category: All terms are copied. Their start and end dates are automatically adjusted based on the new lease's Commencement Date.
Category Requiring a Property:
- If the property does not validate occupancy: All terms are copied, with dates adjusted to the new Commencement Date.
- If the property does validate occupancy: Only one new Executed term is created using this logic:
  - Start Date: The Commencement Date from the Copy Lease page.
  - Frequency & Periods: Defaulted from system Lease Setup.
  - Term Code: Taken from the first term of the original lease.

Lease Lines

Lease lines for the new lease are created based on the levels selected on the Copy Lease page.

Start/End Date: Derived from the new lease's Commencement Date and the associated lease term.
Dimensions: Copied from the original lease line.
Area Fields: If the lease is copied to a new property, area information is taken from that property's defaults.
All other line details remain unchanged from the original.

Lease Charges

Consumption-Based Charges: The Meter Number is not copied automatically and must be set up for the new lease.
Dimensions: Charge dimensions are taken from the new lease's dimensions.

Others

Escalations:
- Commencement Date Unchanged: All escalations are copied exactly.
- Commencement Date Changed: Escalations are not copied. They will be reset to their default, new-charge state.

Abatements: Copied only if the Commencement Date is not changed.
Amortization Schedules: For accounting-standard leases, amortization-related fields from charges are copied. Items such as Incentives or Direct Cost will be copied to the new lease if the commencement date is not changed.
Accruals & SBS Deferrals: These follow the standard system default behavior for new charges. If the SBS module is installed, SBS information from the original charge will be copied.

Lease CAM Pools

When CAM pools are enabled on the Copy Lease page, any CAM pools linked to lease lines will be automatically transferred to the new lease.

When there are multiple CAM pools linked to the lease lines, all the CAM pools will be copied to new lease.

Fields

The following fields and options are available:

Field	Description
Customer/Vendor No.	Specifies the customer/vendor number. Its value will be defaulted from the current lease. This field is editable.
Lease Type	Specifies the lease type. Its value will be defaulted from the current lease. This field is not editable.
Accounting Standard Lease Type	Specifies the accounting standard lease type. Its value will be defaulted from the current lease and filtered out based on lease type. This field is editable.
Lease Commencement Date	Specifies the start date of the lease term. Its value will be defaulted from the current lease. This field is editable.
Rent Commencement Date	Specifies the date when rental payments begin. Its value will be defaulted from the current lease. This field is editable.
Lease Execution Date	Specifies the date the lease agreement is signed. Its value will be defaulted from the current lease. This field is editable.
Category Name	Specifies the category name. Its value will be defaulted from the current lease. This field is editable. If the category has properties, the system will display Level 1, Level 2, and Level 3 fields based on the required levels defined for the selected category. Level 1, 2, and 3 No.: Visibility depends on the required levels of the selected category. Property values will be filtered based on availability on the Lease Commencement Date on the page. If the current property has Validate Occupancy, by default this filed will be blank.
Copy Additional Options	Escalations: If enabled: Escalations will be copied from existing lease to new lease. Cam Pools: If enabled: CAM pools will be copied from existing lease to new lease. Sales based: If enabled: Sales Based information will be copied from existing lease to new lease. User Defined Fields: If enabled: UDFs will be copied from existing lease to new lease.
Lease Charges	Displays all the charges that can be copied over to the new lease. The charges list is for selection only; the charge details themselves cannot be edited. By default, all charges are selected for copying.

Notes:

When copying a lease with component charges, no journals are copied over. As a result, any copied escalations can be placed before or after a re-measurement, and the resulting amortization table may differ from the original lease. Since no initial journals are created, users may manually update escalations or billing details to align the copied lease with the original.
Leases with recognized accrual lines typically cannot have their type changed. However, in newly copied leases—where no lines are yet recognized—the lease type may be changed during the copying process.
For sales based charges, the newly copied leases should have no lines recognized.

PLM Lease Hold

The PLM Lease Hold Functionality enables users to temporarily pause lease-related transactions for Revenue and Expense leases. Hold functionality is supported at both the Lease Level and Lease Charge Level, with corresponding history logs and validation rules for accuracy and accountability.

Place Hold

To place a hold at the lease level, follow the steps below:

From the Lease page, select the Hold action from the header.
The PLM Hold Process window will appear. Enter the following information:
1. Hold Date
2. Reason Code (Required)
3. Description
4. Hold Notes
Select Close.
All existing charges under that lease will have the Hold status, with the history logged in the Lease Hold History table.

Note icon. Note: The Lease Hold Functionality at the header level applies only to charges with an Active status. Charges in Terminated or Last Billing status will be disregarded. As such, for the header-level Lease Hold status to switch to Hold, all associated charges must also be in the Hold status.

Remove Hold

From the Lease page, select the Hold action from the header, then select Remove Hold.
Enter a Removal Date and Resumption Date.
Select OK.
The lease status is returned to Active, and a history of the removal is logged in both charge and lease level history tables.

Fields

Lease Charge History


Field	Description
Hold Date	The date a lease charge was placed on hold.
Applied by User ID	Identifies the system user who initiated an action.
Removal Date	The date a hold is lifted, allowing transactions to resume processing.
Resumption date	The date a lease charge resumes normal processing.
Removed by User	Indicates the person who removed a record.
Reason Code	Identifies the category for a system action.
Description	Provides details about the associated record.
Hold Notes	Provides the reason or details for placing a lease on temporary hold.
Lease No	Unique identifier assigned to each lease.
Category Name	Identifies the classification group for a record.
Lease Level 1 No	Unique identifier assigned to the Level 1 property.
Lease Level 2 No	Unique identifier assigned to the Level 2 property.
Lease Level 3 No	Unique identifier assigned to the Level 3 property.
Charge No	Unique identifier assigned to each charge.

Lease History


Field	Description
Hold Date	The date a lease was placed on hold.
Applied by User ID	Identifies the system user who initiated an action.
Removal Date	The date a hold is lifted, allowing transactions to resume processing.
Resumption date	The date a lease resumes normal processing.
Removed by User	Indicates the person who removed a record.
Reason Code	Identifies the category for a system action.
Description	Provides details about the associated record.
Hold Notes	Provides the reason or details for placing a lease on temporary hold.
Lease No	Unique identifier assigned to each lease.
Category Name	Identifies the classification group for a record.
Charge No	Unique identifier assigned to each charge.

Header Actions

The following actions are available:

Lease Header Actions Table
Action	Description
Participants	Opens the Participants page, which allows users to add vendor(s) other than the lease vendor for an Expense Lease or add customer(s) other than the lease customer for a Revenue Lease.
Deposits	Opens the PLM Depositspage.
Deposits Return	Opens the PLM Deposit Return page.
Deposit History	Opens a read-only page where you can review the deposits and returned deposits for the selected line. When this page is opened from the PLM Lease, the list shows the history of all deposits and deposit returns for the lease. In addition to the information from the from the PLM Deposits and PLM Deposit Return pages, the list shows the user who processed the deposit or return deposit, the date on which the action occurred and they type of action.
Termination	Opens the PLM Batch Termination/Reverse Terminationpage, where you terminate the lease.
Reverse Termination	Reverses the termination of the lease currently displayed on the page.
Termination History	Opens the Termination Historypage.
Create Invoice	Opens the PLM Invoice Creator.
Lease Sales Reporting	Opens the PLM Sales Reporting page.
Action > Insurance	Select an action: Insurance: Opens the PLM Insurancepage.
Action > Wizards	Select an action: Create Lease: Opens the PLM New Lease Wizard for creating a lease. Change Space: Opens the PLM Space Change Wizard for switching the property lowest level a lease uses.
Reports > Print > Lease Summary Report	Opens the PLM Lease Summary Report dialog.
Create General Journal	Determines whether the Invoice Creator will create invoices or journal entries for each billing period. When enabled, transactions will be processed as journal entries only. If disabled, the transactions will be processed as invoice documents. By default, it will be the same value as entered in the PLM Setup table, but can be overridden at the lease level. This option is only available for the Financing or Operating Expense Lease Type.
Actions>Hold>Hold	Puts all charges under a lease on hold and updates lease status. Note: A lease must be active in order to apply a hold.
Actions>Hold>Remove Hold	Resumes all held charges under a lease and updates the lease status to active.
Actions>Hold>Remove Hold History	View history log at lease level.

Lease Line Actions

The following actions are available:

Lease Line Actions Table
Action	Description
Charges > Lease Charges	Opens the PLM Lease Charges page.
Charges > CAM Pools	Opens the Lease CAM Pools page, where you can review the CAM expense pools that are applied to the lease. These settings can be changed as needed. For a description of all field boxes on this page, see the description for the PLM CAM Pools page.
Dimensions > Dimensions	Opens a page where you can edit the dimension set entries for the line.
Open in Excel/Edit in Excel	Select to download an Excel file which displays information about the lease. For more information about using Excel in Business Central, see Viewing and Editing in Excel From Business Central.