Percentage Rent
Percentage rent is additional rent calculated as a percentage of sales, typically applied only after a breakpoint is reached (though some structures use "percent-in-lieu" formats). It is most commonly used in retail leasing to align landlord economics with tenant revenue performance.
- Where it applies
- Generally, not specific to New York
- When it comes up
- Lease Negotiation
- Property types
- Retail
Related terms
Retail-Specific Leasing Terms
- Anchor Tenant
- Breakpoint (Percentage Rent)
- Co-Tenancy Clause
- Exclusive Use Clause
- Go-Dark Provision
- Gross Sales (as Defined in Lease)
- In-Line Tenant
- Kick-Out Clause
- Radius Restriction
General information, not legal, tax or financial advice.