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Real Estate Glossary

Breakpoint

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Richard Wilson
Written by Richard Wilson

The breakpoint or percentage rate is a kind of lease wherein the rental charge is based on the gross income of the tenant as opposed to fixed monthly or annual value. It is calculated by dividing the annual base rent by the negotiated percentage applied to the tenant’s gross sales.

The breakpoint or percentage rate is a kind of lease wherein the rental charge is based on the gross income of the tenant as opposed to fixed monthly or annual value. It is calculated by dividing the annual base rent by the negotiated percentage applied to the tenant’s gross sales.

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Richard Wilson

Richard Wilson

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