Overview
The Future Minimum Rents Report shows rent that has already been paid, and rent to-be paid, for each lease. By default, the report shows rent due for the next five (5) years, by year. Then, all remaining rent is shown in the "Total remaining" section.
The number of years shown in the report can be updated from five (5) by changing the Number of separate years in future rent commitment report on the Selections tab of System Options (this change effects all users).
Additionally, you can choose whether a "year" should be defined as 12 months from the end date of the report, or as the next fiscal year end. For example, if a report ends on June 30, and you have fiscal year ending 12/31, a selection of 12 Months will cause the first year of the minimum rents to include 12 months of rent, whereas selecting Fiscal Year will cause the first year to include 6 months. Years 2 through 5 always include 12 months of rent, but the start and end of the year is derived from the end of the first year.
Note: The information from the Future Minimum Rents Report is also displayed in the Income Statement/Balance Sheet Detail.
Report Options
For more information on standard report parameters, please see the following article: Report Options. For report options specific to this report, please see below:
As of date
Only leases that are booked on or before the date specified are included in the report (that is, the lease’s booking date is on or before this date, and its end date or early termination date, is after this date).
Note: By default, only leases active as of the report end date are included. To include leases that are booked before the report end date, but have a begin date after the report end date, check the "Include future leases in future minimum rent commitments" box in System Options.
Include only contracted options
If checked, renewal options which have the Recognize but not the Contract box checked (on the Terms/Options tab) are excluded from the report.
Special options
Click this button to get a secondary screen which allows you to select special groups of leases and make other alterations to a report. For more: Reporting - Special Options
Report Output
Like most other reports, the Future Minimum Rents report can be run in PDF [Preview] or Spreadsheet output (.xlsx).
Leases that terminate on or before the As Of date specified are excluded from this report, since by definition they have no future rent payments. Leases that have already expired but have a month-to-month extension past the As Of date are listed, but show no future rents (since any rents paid during the month-to-month extension period are not part of the minimum lease payments).
If you have selected Include future leases in future minimum rent commitments in System Options, leases that are booked on or before the As Of Date, but begin after the report end date, are included in the report. In such a case, all rent is in the future.
Preview/PDF Output
Spreadsheet Output
Separate columns are displayed for operating and finance rents. The rent is broken into its constituent parts: executory costs, non-lease components, interest, and liability. For each column, the report shows the future rents scheduled to be paid by year for the number of years you have specified in System Options (usually 5), then all remaining years in a “Thereafter” group, with a total for all future rents. Immediately following that, the rents paid from the inception of the lease to the report date are shown, and a grand total of all rents for the lease. “Year” may be either 12 month periods from the report As Of Date, or fiscal years, depending on your “Rent commitments” selection in System Options. Executory costs are shown combined on the text report, separately by type on the spreadsheet report.
For GASB 87, the schedule is shown by year for the number of years specified in System Options (usually 5), then in groups of 5 years to the end of the last active lease.
ASC 842/IFRS 16/GASB 87 reports include at the end the weighted average lease term and discount rate for all leases, separated between finance and operating leases. The lease term is weighted by the remaining rent; the discount rate is weighted by the remaining liability. This is a required disclosure for ASC 842; it is provided as a courtesy for IFRS 16 and GASB 87.
Related Links
All EZLease Reports | Report Options | Reporting - Special Options | Choosing Report Types