Adding a new recovery structure
When creating a new recovery structure, please observe the following guidelines:
• Unique Identification
Each recovery structure must have a unique code and name. Both fields are mandatory.
• Default Status
The recovery structure is active by default.
• Recovery Lines
You can add one or more recovery lines to the structure.
◦ Each recovery line is selected from a pick list.
◦ The pick list is managed via Application settings > Pick list.
◦ A recovery line can be selected only once per recovery structure.
• Pro Rata Share Options
For each recovery line, you can specify how the operating expense is distributed. The available options are:
◦ Occupied area: Operating expenses are recovered from other lessees even during vacancy (including single-tenant properties).
◦ Total area: Operating expenses are not recovered during vacancy periods triggered by events such as:
- On privatization
- Start privatization
- During vacancy
- Calculated cash flow events like perpetuity or variable
• Operating Expenses
You can assign operating expenses to a recovery line.
◦ Each operating expense can be selected only once per recovery structure.
◦ The operating expense pick list is also managed via Application settings > Pick list.