An underwriting-grade Skill that turns the concessions a property is actually giving away (free rent, reduced rent, renewal credits, and waived fees) into an annual cost, a % of gross potential rent, and a net effective rent per package. It shows today’s specials’ costs next to what the T12 reports, rather than taking a broker’s concession line at face value.
From there, it triangulates a concession rate from the property’s own history, the packages offered today, and market evidence. It gives a specific recommendation along with the seller, neutral, and buyer view of the rate. For office, retail, and industrial, it weights free rent at each rollover by renewal probability, at an escalated market rent, carries the weighted TI and leasing commissions, and averages the cost over the hold. Before anything reaches the stabilized NOI, it tests durability: supply-driven concessions stay in the direct cap pro forma, while lease-up and one-time concessions move to a cost to stabilize, with total basis, yield on cost, and the spread to the cap rate. A direct-capitalization sensitivity shows exactly what each point of concessions is worth at your cap rate, and a lender view shows the DSCR and debt yield when trailing concessions are carried forward. Audit Mode tests a broker’s OM against the evidence and the T12, flagging Year-1 burn-offs, face rents with no concession line, and allowances below even the seller lens. It shows the NOI and value impact of each finding, a single total overstatement, and a verdict. The core math runs through a bundled calculator rather than freehand estimation, so the numbers come out reliably, not approximately.
Works on a quick read (units, market rent, and the specials being offered) or a full rent roll, T12, and OM, in Claude chat. Initial lease-up free rent on vacant space is kept out of the recurring concession automatically, and the concession allowance is handed to the Vacancy and Credit Loss Skill so it is never counted twice. If code execution isn’t available in your environment, the Skill tells you it’s estimating rather than presenting the same numbers as verified. Includes a practice case study, Sierra Vista Commons, so you can test it on a realistic deal before using your own. (Read more about the skill here)
Note: No copy-pasting required, and it runs consistently every time.
