Straight Line Rent

To enable Straight Line Rent (SLR) calculations, specific configurations are required at the Property Level and in the Recurring Charges setup.

🔧 SLR Setup Requirements

1. Enable SLR on the Property

   • Go to the Property setup and check the Enable Straight Line Rent box.

   • Ensure that the SLR GL Accounts are completed.

2. Recurring Charges Requirements

   • SLR only runs for Recurring Charges marked as Base Rent in the Charge Control tab.

   • Each Recurring Charge should have a Terminate Date.

     • If no Terminate Date is provided, the system uses the Lease End Date instead.

   • If neither a Terminate Date nor a Lease End Date is available, SLR will not process for that Lease.

📅 SLR Date Logic

• Start Date ("From"):
  The earlier of:

  • Recurring Charge Effective Date

  • Lease Commencement Date

• End Date ("To"):
  The earlier of:

  • Recurring Charge Terminate Date

  • Lease End Date

⚙️ Running SLR

• When Generate Scheduled Charges is run:

  • The system checks if SLR is enabled for the Property.

  • If enabled, SLR will automatically calculate based on the eligible Base Rent items.

  • No additional steps are required to activate SLR during this process.

🧾 Journal Preview and SLR Calculation

In the Recurring Charges Journal Preview, you will see a new column labeled Straight Line Rent for each line item marked as Base Rent.

Example:

• Base Rent Item: CAM

• Original Charge: $1,000

• Total SLR for Term: $4,000

• Charge Period: 120 days

• Month Duration (e.g., March): 31 days

SLR Calculation for March: 1000-4000/120x31 = 33.33

📤 Export Option

Just like the standard Generate Scheduled Charges process, an Export option is available to download the results, including SLR values in Excel or PDF.

Excel Example:

SLR Excel export example.xlsx

PDF Example:

SLR PDF export example.pdf

🧾 GL Journal Entry

When Straight Line Rent is enabled, a GL Journal Entry is automatically created in Intacct for each Property and Lease.

• The GL Journal Entry summarizes the total SLR amounts per Tenant and Unit.

• All amounts are grouped into the same GL account, as defined in your Property’s SLR setup.

This ensures that SLR adjustments are properly reflected in your financial reporting, without requiring manual journal entries.

Example: