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.
Breakpoint
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.
