Calculate the effective rent for a five-year lease.

Gross Lease with Expense Stop

Rent will be $59.00 per rentable square foot each year with the lessor responsible for payment of recoverable operating expenses as identified in the lease, up to an expense stop of $26.00 per square foot. Lessee pays all expenses in excess of $26.00 per square foot. Expenses are estimated to be $25.00 during the first year and will increase by $1.00 per year.