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OCCUPANCY TRANSITION STRATEGY · CANADA

Renew the premises?
Or fund the move?

Compare the full renewal and relocation paths after lease economics, construction capital, overlap, moving, old-space restoration and business disruption.

NO MARKET RENT ASSUMEDNO OPTION VALIDITY INFERREDCAD · BEFORE GST/HST
Commercial lease renewal or relocation decision desk with two floor plans, two key sets and a branching transition timeline
OCCUPANCY TRANSITION CONTROL · BY COMMERCIALLY
01 · COMMON DECISION FRAME

Put both occupancy paths on one horizon.

The opening scenario is illustrative—not market data. Replace every lease, capital and operating assumption with evidence for the actual renewal and relocation alternatives.

DECISION HORIZON60 monthsBoth proposals normalized
CONTROL STATUSNo critical conflicts0 total review items
STRATEGY A · RENEW

Continuity economics at the existing premises.

STRATEGY B · RELOCATE

New-premises economics before the transition stack.

02 · TRANSITION COST STACK

Price the change, not just the new rent.

Lease economics and transition economics stay separate so allowances, capital, overlap and operational disruption cannot quietly disappear into one blended number.

RENEWAL TRANSITION$87,000
RELOCATION TRANSITION$598,000
03 · DECISION READOUT

See what the move has to overcome.

The lower entered result is arithmetic—not a recommendation. Building fit, labour access, operational resilience, option validity and execution risk remain separate decisions.

PV DIFFERENCE · RELOCATION MINUS RENEWAL+ $624,045Renewal is lower PV
RENEWAL$1,754,146 PV
$2,110,833Total nominal economic and transition cost
Lease $2,023,833Transition $87,000$35/SF/YR
RELOCATION$2,378,191 PV
$2,747,464Total nominal economic and transition cost
Lease $2,149,464Transition $598,000$39/SF/YR
BREAK-EVEN RELOCATION BASE RENT$7.98/SF/YR

Starting relocation rent that reaches the renewal PV, all other entered terms held constant.

MAXIMUM AFFORDABLE OVERLAP0 months

Whole double-occupancy months before relocation exceeds the renewal PV.

MAXIMUM AFFORDABLE DOWNTIME0 days

Entered daily business impact only; this is not an operational forecast.

REMAINING RELOCATION HEADROOM$0

PV advantage still available for additional entered relocation cost.

04 · COMMON-HORIZON EVIDENCE

Follow the cost through time.

Annual bars use nominal cost. The downloadable schedule preserves every month, present value, cumulative result, review item and model boundary.

YEAR 1+$579,833
YEAR 2+$13,773
YEAR 3+$14,052
YEAR 4+$14,339
YEAR 5+$14,633
MonthRenew occupancyRenew transitionRelocate occupancyRelocate transitionCumulative difference
01$9,950$127,000$10,908$672,000+$545,958
02$9,950$0$10,908$33,000+$579,917
03$31,950$0$10,908$33,000+$591,875
04$31,950$0$10,908$0+$570,833
05$31,950$0$33,075$0+$571,958
06$31,950$0$33,075$0+$573,083
07$31,950$0$33,075$0+$574,208
08$31,950$0$33,075$0+$575,333
09$31,950$0$33,075$0+$576,458
10$31,950$0$33,075$0+$577,583
11$31,950$0$33,075$0+$578,708
12$31,950$0$33,075$0+$579,833
13$32,848$0$33,995$0+$580,981
14$32,848$0$33,995$0+$582,129
15$32,848$0$33,995$0+$583,276
16$32,848$0$33,995$0+$584,424
17$32,848$0$33,995$0+$585,572
18$32,848$0$33,995$0+$586,720
58$35,697$0$36,917$0+$634,191
59$35,697$0$36,917$0+$635,411
60$35,697$0$36,917$0+$636,630
05 · DECISION CONTROL QUEUE

Resolve what the arithmetic cannot.

Review prompts identify missing or normalized evidence. They do not validate the option, premises, schedule or transition plan.

NO ENGINE CONFLICTSContinue operational and document review.

The numbers are internally consistent; the transaction evidence still controls.

MODEL BOUNDARY

Decision support—not a notice or recommendation.

START BEFORE THE DEADLINE

Protect optionality while the economics develop.

Use the Canadian playbook to separate the contractual option notice from the earlier planning, property search, construction and move decisions.

Read the renewal playbook