{"id":30417,"date":"2022-02-24T10:45:20","date_gmt":"2022-02-24T17:45:20","guid":{"rendered":"https:\/\/hughesmarino.com\/orange-county\/blog\/2022\/02\/24\/operating-expense-reconciliation-season-is-here-what-should-businesses-be-looking-for\/"},"modified":"2022-02-24T14:55:49","modified_gmt":"2022-02-24T22:55:49","slug":"operating-expense-reconciliation-season-is-here-what-should-businesses-be-looking-for","status":"publish","type":"post","link":"https:\/\/hughesmarino.com\/orange-county\/blog\/2022\/02\/24\/operating-expense-reconciliation-season-is-here-what-should-businesses-be-looking-for\/","title":{"rendered":"Operating Expense Reconciliation Season is Here: What Should Businesses Be Looking For?"},"content":{"rendered":"

By Michael Cavell<\/strong><\/p>\n

This is the time of year when you can expect to receive your landlord\u2019s operating expense reconciliations<\/a> for the prior year. You have likely noticed in previous years that these reconciliation statements are often lacking in detail or they are sometimes presented in a way that doesn\u2019t give you the information you need to understand the \u201cwhere\u201d and \u201cwhy\u201d regarding the prior year\u2019s property operating expenses.<\/p>\n

I expect that the reason these statements are lacking in detail is that the landlord would rather you not dig into their books and ask a bunch of questions. But while most landlords are highly skilled and run professional operations, the fact remains that errors are regularly occurring, because even landlords and their property managers sometimes have difficulty interpreting proper expense treatments or tracking and following myriad individually negotiated lease terms and conditions.<\/p>\n

Life would be much simpler for your landlord if you would just accept the statement as-is and pay what they<\/em> say you owe. However, in almost all leases you are provided an opportunity to analyze the charges every year. You bargained for the inclusions and exclusions in the lease, and if not properly examined, how will you know whether the terms have been followed?<\/p>\n

Luckily, you don\u2019t have to go it alone (or feel overwhelmed) while reviewing your operating expense reconciliations. By utilizing a team with the right experience<\/a> and technology, your business can leverage a trusted third-party partner to ensure any errors are caught, and that you are only paying for what was agreed to!<\/p>\n

Here are a few key details<\/a> our team reviews for our clients, and items all companies should look out for. At a minimum, you should:<\/p>\n