CPI Lease Calculator
Result:
Commercial Lease CPI Calculator
Understanding CPI Increase in Commercial Leases:
As a tenant or landlord in the commercial real estate market, it’s essential to have a solid understanding of how CPI (Consumer Price Index) increase impacts commercial leases. In this informative page, we address some of the most commonly asked questions about CPI increase in commercial leases to help you navigate this aspect of your lease agreements confidently.
How is CPI Calculated?
New Rent = Base Rent * (1 + (CPI Change / 100))
To calculate the CPI increase, you take the base rent and multiply it by 1 plus the CPI change divided by 100. This adjustment ensures that the new rent reflects the percentage change in the Consumer Price Index, allowing for adjustments to rental payments based on changes in the cost of living over time.
Key Questions and Answers
| All groups | Excluding volatile items | Weighted median | Trimmed mean | |
|---|---|---|---|---|
| Date | Non-seasonally adjusted | Non-seasonally adjusted | Seasonally adjusted | Seasonally adjusted |
| 2019/2020 | ||||
| Sep | 1.7 | 1.9 | 1.3 | 1.5 |
| Dec | 1.8 | 1.7 | 1.3 | 1.5 |
| Mar | 2.2 | 2.1 | 1.6 | 1.7 |
| Jun | −0.3 | 0.4 | 1.2 | 1.3 |
| 2020/2021 | ||||
| Sep | 0.7 | 0.9 | 1.2 | 1.2 |
| Dec | 0.9 | 1.5 | 1.3 | 1.2 |
| Mar | 1.1 | 1.4 | 1.2 | 1.1 |
| Jun | 3.8 | 3.1 | 1.5 | 1.6 |
| 2021/2022 | ||||
| Sep | 3.0 | 2.5 | 2.2 | 2.1 |
| Dec | 3.5 | 2.6 | 2.6 | 2.7 |
| Mar | 5.1 | 4.0 | 3.3 | 3.8 |
| Jun | 6.1 | 5.3 | 4.3 | 5.0 |
| 2022/2023 | ||||
| Sep | 7.3 | 6.7 | 4.9 | 6.1 |
| Dec | 7.8 | 7.6 | 5.6 | 6.9 |
| Mar | 7.0 | 7.3 | 5.8 | 6.6 |
|
Sources: ABS Cat No 6401.0 |
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