Most everything can be left alone.
Based On: None
Reimbursement Method: Switch to Calendar reimbursement under calendar inflation
Inflation Month: Analysis Start
Below you will see a table where you will input the inflation rates you want.
In the General Row you will see 0% in each of the years. Miscellaneous Revenues, Reimbursable, Non-Reimbursable, etc, all have nothing in the rows. This means they will default to the General Inflation.
Typically the assumption is 3% inflation. This means every year everything will grow at 3%.
Input 3% into the first General box under Dec-2016.
We want all the years to be 3%. Pressing enter will move your icon across and you can manually enter 3% into each of the boxes OR on the right is a button called "Extend" push it and the 3% will extend across the row. OR ALT+E will do the same.
I leave the rest of the boxes empty so they default to the General Inflation EXCEPT for Market Rent
Growing up in a brokerage house, I'm of the belief market rent must grow at a better rate than 3%, right?!?!
Let's assume the Sparkle palace is right in the middle of a CBD that fell on hard times during the recession and is Hot hot hottototot! Grow market rent at the following rates:
2016: 5% 2017: 7% 2018: 5% 2019: 4% 2020+: 3%
So if Market rent is $20.00 /SF/YR then in 2016 it will be $21.00, in 2017 it will be $22.47, 2018 it will be $23.59 etc.
We're done with the property Description. The other tabs aren't important. Press ok and exit out. Next we'll go into options and change a few things about the setup of the argus.
