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Alternative rent

A lease provision that allows rent to be calculated using a different methodology — often reduced rent — when specified conditions occur.

Alternative rent is a lease provision that allows rent to be calculated using a different methodology when specified conditions occur. Depending on the lease, this may involve percentage rent, reduced rent, market rent or another predetermined calculation.

Why it matters

Alternative rent provisions can change the economics of a location when triggering events occur. Teams need to understand:

  • What triggers the alternative rent provision.
  • How the new rent amount is calculated.
  • When the alternative rent begins and ends.
  • Whether notice is required.
  • How it interacts with co-tenancy, kickout or other lease rights.

How REAL helps

REAL identifies alternative rent provisions, their triggers and calculation rules directly from the lease so teams can evaluate them across the portfolio.

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See how alternative rent is handled across 2,236 leases.

REAL extracts and structures this field from your documents so your team can act on it — no manual abstraction required.

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