Renew Lease Wizard

Select the lease type for which you want to process: Revenue or Expense.

Select the category for the lease. Required.

Select the lease number that you want to process. Required.

Select a term type. The available options are created on the Term Types tab of the Property Lease Management Parameters page.

This value is used for reporting purposes only.

Displays the term end date of the last lease term on the lease. If the lease does not have any terms, the end date is the rent commencement date. Read only.

Displays the start date of the new term. The default date is the next date after the Previous term end date. The date can be changed as needed to any date after the previous term end date.

If you change the date, you can roll it down to the date for all lines in the list that have a previous end date earlier than this date. If the previous end date is later than this date, the date on the line becomes blank and must be manually entered.

Displays the term end date of the new term. The default value is blank. This date is updated based on the start date of the new term, and it rolls down to the date for all lines in the list.

This date must be later than the Extended term start date.

Displays the current lowest level combination of the line. Read-only.

Displays the leased area for the line. Read-only.

Displays all the lowest levels that have been selected for processing. The values for the units cannot be changed. If you want to edit the terms or change which lowest levels to process, go Back to Step 2: Select renewal terms.

Select a line to view the corresponding charges in the Charges list below.

Displays all corresponding charges for the lowest level selected in the Units list. You can edit or remove charges as needed.

All charges values are read-only except for the Amount. Edit the amount as needed.

Displays the charge ID.

Displays the item number.

Displays the item name.

Displays the meter number for the charge.

Available for consumption charges only.

Displays the end date of the last term on the lease for an existing charge.

Displays the extended start date of the charge.

Displays the extended end date of the charge.

This area is for setting up the charge account and financial dimension values.

• Charge account

Select the main account number for the charge.

This account is used for the invoice of the charge. You can change the account when applying a charge to a lease.

• Financial dimensions

Displays the default financial dimensions for the charge for the selected line, which can be changed as needed.

• BusinessUnit
• CostCenter
• Department
• ItemGroup
• Project

Financial dimension is a standard Microsoft Dynamics 365 for Finance and Operations feature. For more information on using financial dimensions, see Financial Dimensions.

When the financial dimension values are empty, the financial dimensions are from the lowest level, customer/vendor, or charge.

Displays the item sales tax group and sales tax group for the charge. The default item sales tax group and sales tax group are from the lowest level of the property.

• If the lowest level does not have an item tax group, the default value is from the charge.
• If the lowest level does not have a sales tax group, the default value is from the customer or vendor record.

The sales tax is a standard Microsoft Dynamics 365 for Finance and Operations features. For more information, see the Microsoft Dynamics 365 for Finance and Operations documentation.

• Sales tax overview
• Set up sales tax groups and item sales tax groups

Displays all the lowest levels that have been selected for processing. The values for the units cannot be changed. If you want to change the extended term start and end dates or which lowest levels you want to process, go Back to Step 2: Select renewal terms.

Select a line to view the corresponding charges in the Charges list below.

Displays all corresponding charges for the lowest level selected in the Units list. The values for the existing charges are read-only. If you want to edit any of the existing charges, go Back to Step 3: Review existing charges.

Select a line to view the corresponding escalations in the Escalations list below.

Displays the meter for the charge. This value appears for consumption charges only.

Displays the unit of measure used for item.

Displays the main account number for the charge.

This account is used for the invoice of the charge. You can change the account when applying a charge to a lease.

Item sales tax group

and

Sales tax group

Displays the item sales tax group and sales tax group for the charge. The default item sales tax group and sales tax group are from the lowest level of the property.

• If the lowest level does not have an item tax group, the default value is from the charge.
• If the lowest level does not have a sales tax group, the default value is from the customer or vendor record.

The sales tax is a standard Microsoft Dynamics 365 for Finance and Operations features. For more information, see the Microsoft Dynamics 365 for Finance and Operations documentation.

• Sales tax overview
• Set up sales tax groups and item sales tax groups

Displays the charge recoverable type.

• None: No charge recoverable type is used.
• Sales: Charge recoverables are based on sales reporting information.
• Contribution: Charge recoverables are based on contribution deduction calculations.
• Meter reading: Charge recoverables are based on meter reading information.

Indicates whether the period-by-period functionality is used (for example, the invoices for a lease are month to month):

• Yes: 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.
• No: The period-by-period functionality is not used.

Displays whether the leased item uses the lease accounting standard (e.g., ASC 842/IFRS 16).

• Yes: The leased item uses the lease accounting standard.

  When the option is selected, the main accounts for the lease components are displayed:

  • Direct Cost GL Account
  • Gain on Lease Account
  • Lease Liability Account
  • Lease Payable Clearing Account
  • Loss on Lease Account
  • ROU Asset Account
  • ROU Asset Adjustment Account
  • Tenant Incentive GL Account
  • Variable Rent Expense Account
  • Financial lease (does not apply to charges)
    • Interest Expense Account
    • Amortization Expense Account
  • Operating lease
    • Lease Expense Account
• No: The leased item does not use the lease accounting standard.

Displays whether to have the invoice line for the charge consolidated with other charges.

• Yes: The charge is not consolidated and appears as a separate line on a separate invoice. This option is usually selected for charges, such as sales based charges.
• No: The charge is consolidated with other lines on the invoice.

Displays the end date of the last term on the lease for an existing charge. Read-only. For a newly added charge, this date is empty.

Displays the extended start date of the charge. The default value is from Step 2: Select renewal terms, but can be changed as needed.

Displays the extended end date of the charge. The default value is from Step 2: Select renewal terms, but can be changed as needed.

Displays all corresponding escalation lines for the lowest level-charge combination selected. It also displays a new escalation line for the extended start and end date.

For charges that existed before the renewal, you cannot add or remove escalations. If needed, you can edit any of the values.

For charges added in this wizard, an escalation line with zero escalation is automatically added and available for editing. Also, you can add and remove escalation lines as needed. For new charges, at least one escalation line is required.

Displays the charge ID.

Displays the escalation start date. The default value is from the Extended start date of the charge.

Specify the start date for the term.

The default date is from Step 2: Select renewal terms.

Specify the end date for the term. Editing the end date changes the start date for the following line.

The default date is from Step 2: Select renewal terms.

Select an increase option on which to base escalations:

• Greater Of: Of the escalation methods entered, uses the method that has the largest value for the escalation.
• Lesser Of: Of the escalation methods entered, uses the method that has the smallest value for the escalation.

Specify a percent value to be used as the escalation.

Specify an amount to be used as the escalation.

Select a CPI (Consumer Price Index) schedule. CPI schedules are created on the CPI Schedule window.

If CPI escalation is selected, the percentage change for the charge is based on the percentage change between the CPI index values from the lease commencement date or the previous escalation date. CPI adjustments affect the revenue amount. The following formula gives you the percent change of the revenue amount: (Current CPI / Previous CPI value) - 1

Select a rate schedule. The first increase affects the entire amount of the schedule, further increases are incremental based on the amount affected.