Lease acquisition cost

Lease acquisition cost

The legal fees and other expenses incurred when acquiring a lease.

Lease Acquisition Cost

The cost to either party when entering a lease agreement. It often refers to legal fees, but it can be any cost related to the lease.
References in periodicals archive ?
If a landlord provides a tenant with a build-out allowance used for improvements owned by the tenant, the landlord generally treats the allowance as a lease acquisition cost, amortizing it over the lease tenn.
If the lessor has made the economic outlay necessary to construct the tenant improvements, but it is dear under the lease agreement that the lessee/tenant is the owner of the improvements, the lessor should be able to treat the cost of the improvements a a lease acquisition cost and recover the investment through amortization deductions over the lease term.
Conversely, the landlord has a deferred lease acquisition cost asset amortizable over the term of the lease, including renewal periods, which is usually substantially less than the 31.
In addition, the year 2002 includes loan fee and lease acquisition cost write-offs of $720,000 associated with the four-community refinance, previously discussed, and the conversion of one leased community to a managed community.
Under the joint venture agreement, Gastar will pay 45% of the lease acquisition cost for a 50% interest.
Typically, the landlord will capitalize the cash payments as a lease acquisition cost and amortize them over the lease term.
When a lessee acquires a lease along with other intangibles, the House Report limits the portion of the purchase price allocable to the amortizable lease acquisition cost to prevent the shifting of costs from Sec.
Under the theory of the Grinalds footnote, the unrecovered cost of the old improvements and the amount of the payment would be treated as a lease acquisition cost and written off over the term of the new lease.
The companies will share equally present and future lease acquisition costs, seismic exploration and analysis costs, and drilling and operating costs as well as in the proceeds of production.
9 million in the drilling of one successful exploratory gas well, one exploratory dry hole and various oil and gas lease acquisition costs.
We calculate Adjusted AFFO ("AFFO") as FFO adjusted to include cash paid for direct lease acquisition costs as such costs are generally amortized over a period ranging from four weeks to one year and therefore are incurred on a regular basis.