About turnover rent
In addition to lease contracts based on a fixed rent per month, Planon supports turnover-based rent—a rental model where the amount due is partially or fully based on the lessee’s reported turnover. This model is common in retail leasing, where the lessee pays a percentage of gross sales to the lessor.
Turnover rent can be used:
• On its own (as a substitute for fixed rent),
• Or in combination with a fixed base rent.
Typically, turnover rent applies once the lessee’s turnover exceeds a breakpoint. Any turnover beyond that point is charged at an agreed percentage rate.
 | Planon allows turnover rent to be calculated from both the lessee’s and the lessor’s perspective. |
Before using turnover rent in Planon, some setup is required:
• The rent agreements between lessor and lessee must be configured per lease contract.
• A turnover profile must be created to define the rules for rent calculation, prepayments, and settlement periods.
Once the profile is linked to a contract, Planon can:
1. Calculate turnover rent based on reported turnover.
2. Settle the amount as a one-time charge at the end of each settlement period.
The Turnover rent solution in Planon consists of the following TSIs:
• Turnover rent - configuration
Here you can set up lease contracts, turnover types, turnover profiles, turnover groups and breakpoints.
• Turnover rent - input data
Here you can register the turnover results reported by the lessees.
• Turnover rent - settlement
Here you can perform a (trial) turnover settlement for a specific period.
For more information, see the relevant sections in Working with...
| | Turnover rent is sometimes also referred to as ‘percent rent’, ‘percentage rent’, or 'sales-based rent'. |