Operating Expenses and services contracts
- Pro rata share miscalculations
- Base year inadequacy
- Expense stop inadequacy
- Charging of excluded costs
- Improper charging of capital expenditures
- Incorrect calculation of savings for allowable cost-saving capital items
- Misallocation of costs among buildings
- Failure to bid service agreements
- Charging above-market fees for non-arms-length services
- Excessive management fees
- Inclusion of profits for building materials
- Improper allocations of expense pools
- Marketing fund charges
- Excessive administrative fees
- Improper calculation of association dues
- Improper inclusion of unrelated costs
Base Rent
- Per square foot rent miscalculations
- CPI miscalculations
- Rent commencement errors
Space Measurement
- Improper inclusion of vertical penetrations
- Use of incorrect BOMA standard for the building’s classification
- Improper inclusion of exterior building areas
- Measurement to incorrect interior surface
- Mismeasurement of rentable and common areas
Real Estate Taxes
- Failure to apply tax refunds
- Failure to pursue tax certiorari consistently from year to year
- Improper inclusion of personal property taxes
- Improper inclusion of income taxes
- Failure to properly account for costs of tax professionals
Electric and Other Utility Charges
- Misapplication of rates
- Use of incorrect rate schedules
- Addition of surcharges to utility costs
- Wiring of meters to unrelated spaces
- Misreading of meters
- Miscalculation of multipliers
- Incorrect assumptions as to usage
- Incorrect counting of equipment for surveys
- Failure to properly notify tenant of survey results
- Excessive charges for chilled water and condenser water.