{"id":9456,"date":"2026-09-21T15:16:03","date_gmt":"2026-09-21T09:46:03","guid":{"rendered":"https:\/\/www.whizconsulting.net\/us\/?p=9456"},"modified":"2026-09-21T16:25:44","modified_gmt":"2026-09-21T10:55:44","slug":"commercial-real-estate-accounting-checklist","status":"publish","type":"post","link":"https:\/\/www.whizconsulting.net\/us\/blog\/commercial-real-estate-accounting-checklist\/","title":{"rendered":"Commercial Real Estate Accounting: A Practical Checklist for US Businesses"},"content":{"rendered":"<p><span data-contrast=\"auto\">A commercial real estate accounting checklist helps property owners and finance teams <a href=\"https:\/\/www.whizconsulting.net\/us\/blog\/how-to-track-rental-income-and-operating-expenses\/\">keep track of rental income and operating expenses<\/a>, tenant deposits, capital expenditures, payables, and reconciliations. Unlike general bookkeeping, accounting for commercial real estate often requires financial records to be maintained at the property level, so each asset\u2019s performance can be measured accurately.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">This guide breaks down the key accounting tasks involved in managing commercial properties, from setting up the chart of accounts and recording transactions to reconciling accounts and closing the books. You can use the checklist to identify gaps in your current process, standardize recurring accounting tasks, and produce more reliable financial reports for each property.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n\t   <div class=\"blog-cta-card blog-cta-card-2\">\r\n    <img decoding=\"async\" src=\"https:\/\/www.whizconsulting.net\/us\/wp-content\/uploads\/2025\/05\/data-to-dollar.webp\" alt=\"costing | whiz consulting| image for blog\" title=\"\">\r\n    <div class=\"cta-content\">\r\n\t\t<div class=\"txt_lft\">\r\n\t\t\t   <h3 style=\"color:#fff\">Gain Clearer Financial Visibility<\/h3>\r\n        <p>Get Clear &amp; Accurate Financial Insights with Our Experts!<\/p>\r\n\t\t<\/div>\r\n     <div class=\"cta_rt\">\r\n\t\t<a class=\"mainbtn drk\" href=\"https:\/\/www.whizconsulting.net\/us\/real-estate-accounting-services\/commercial\/\"><span>Explore More<\/span> <svg height=\"24px\" viewBox=\"0 -960 960 960\" width=\"24px\"><path d=\"m256-240-56-56 384-384H240v-80h480v480h-80v-344L256-240Z\"><\/path><\/svg><\/a>\r\n\t\t<\/div>\r\n        \r\n    <\/div>\r\n<\/div>\r\n<style>\r\n.blog-cta-card {\r\n        display: flex;\r\n    align-items: center;\r\n    background: #2E277B; \r\n    border-radius: 10px;\r\n    overflow: hidden;\r\n    padding: 10px 20px;\r\n    margin: 20px 0;\r\n    box-shadow: 0 0 15px 0 #dddddd;\r\n    border-left: solid 8px #2e277b;\r\n}\r\n.blog-cta-card img {\r\n    width: 20%;\r\n    height: auto; max-height:100px; object-fit:contain;\r\n}\r\n.cta-content {\r\n    padding: 10px; display:flex; width:100%; justify-content:space-between; align-items:center;\r\n}\r\n.cta-content h3 {\r\n    margin:0 0 0px;\r\n    font-size: 32px;\r\n}\r\n.cta-content p {\r\n    font-size: 16px;\r\n    color: #fff; margin:0;\r\n}\r\n\t.mainbtn.drk::after{ background:#05d69f;}\r\n\t.mainbtn.drk:hover{ background:#05d69f;}\r\n.cta-button {\r\n    display: inline-block;\r\n    padding: 10px 15px;\r\n    background: #09D7A1;\r\n    color: #fff;\r\n    text-decoration: none;\r\n    border-radius: 5px;\r\n    margin-top: 10px;\r\n}\r\n.cta-button:hover {\r\n    background: #0056b3;\r\n}\r\n\t@media screen and (max-width: 767px) {\r\n\t\t.cta-content, .blog-cta-card{ flex-flow:wrap;}\r\n\t\t.cta-content{ padding:15px 0 0;}\r\n\t\t.cta-content h3{ font-size:28px;}\r\n\t\t.cta-content p{ margin:0 0 15px;}\r\n\t}\r\n<\/style>\r\n\t    \r\n\r\n\r\n\n<h2>What Does Commercial Real Estate Accounting Include?<\/h2>\n<p><a class=\"Hyperlink SCXW205065460 BCX8\" href=\"https:\/\/www.whizconsulting.net\/us\/real-estate-accounting-services\/commercial\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"TextRun Underlined SCXW205065460 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW205065460 BCX8\" data-ccp-charstyle=\"Hyperlink\">Commercial real estate accounting<\/span><\/span><\/a><span class=\"TextRun SCXW205065460 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW205065460 BCX8\"> covers the financial activities involved in owning, leasing, <\/span><span class=\"NormalTextRun SCXW205065460 BCX8\">operating<\/span><span class=\"NormalTextRun SCXW205065460 BCX8\">, and financing commercial properties. It includes recording property income and expenses, tracking tenant balances, managing payables, reconciling accounts, and preparing financial reports that show each property\u2019s financial performance.<\/span><\/span><span class=\"EOP Selected SCXW205065460 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span class=\"TextRun SCXW59221359 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW59221359 BCX8\">The exact accounting process varies by property type and ownership structure, but most commercial properties require attention to:<\/span><\/span><span class=\"EOP Selected SCXW59221359 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Rental Income:<\/span><\/b><span data-contrast=\"auto\"> Record base rent, tenant reimbursements, late fees, and other property-related income accurately<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Operating Expenses:<\/span><\/b><span data-contrast=\"auto\"> Track costs such as property taxes, insurance, utilities, repairs, maintenance, and property management fees<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Tenant Accounts:<\/span><\/b><span data-contrast=\"auto\"> Maintain accurate records of amounts billed, collected, outstanding, and held as security deposits<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"4\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Capital Expenditures:<\/span><\/b><span data-contrast=\"auto\"> Separate major property improvements and other capitalized costs from routine operating expenses<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"5\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Accounts Payable:<\/span><\/b><span data-contrast=\"auto\"> Record vendor invoices, approvals, payment dates, and outstanding balances<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"6\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Account Reconciliations:<\/span><\/b><span data-contrast=\"auto\"> Compare bank, tenant, and other account balances with supporting records to identify discrepancies<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"7\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Financial Reporting:<\/span><\/b><span data-contrast=\"auto\"> Prepare property-level income statements, balance sheets, cash flow statements, and other reports<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:720,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279,&quot;335559991&quot;:360}\">\u00a0<\/span><\/li>\n<\/ul>\n<h2>Commercial Real Estate Accounting Checklist<\/h2>\n<p><span class=\"TextRun SCXW114719554 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW114719554 BCX8\">A commercial real estate accounting checklist helps finance teams manage property-level transactions consistently across tenants, vendors, projects, and legal entities. Use these checkpoints during monthly and year-end close to keep the books complete, reconciled, and ready for financial reporting.<\/span><\/span><span class=\"EOP Selected SCXW114719554 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><img decoding=\"async\" class=\"alignnone wp-image-9460 size-full\" src=\"https:\/\/www.whizconsulting.net\/us\/wp-content\/uploads\/2026\/09\/Commercial-Real-Estate-Accounting-Checklist.avif\" alt=\"Commercial Real Estate Accounting Checklist\" width=\"1413\" height=\"530\" title=\"\" srcset=\"https:\/\/www.whizconsulting.net\/us\/wp-content\/uploads\/2026\/09\/Commercial-Real-Estate-Accounting-Checklist.avif 1413w, https:\/\/www.whizconsulting.net\/us\/wp-content\/uploads\/2026\/09\/Commercial-Real-Estate-Accounting-Checklist-300x113.avif 300w, https:\/\/www.whizconsulting.net\/us\/wp-content\/uploads\/2026\/09\/Commercial-Real-Estate-Accounting-Checklist-150x56.avif 150w, https:\/\/www.whizconsulting.net\/us\/wp-content\/uploads\/2026\/09\/Commercial-Real-Estate-Accounting-Checklist-768x288.avif 768w\" sizes=\"(max-width: 1413px) 100vw, 1413px\" \/><\/p>\n<h3>1. Set Up a Property-Level Chart of Accounts<\/h3>\n<p><span data-contrast=\"auto\">Use a consistent chart of accounts that separates each property&#8217;s income, operating expenses, assets, liabilities, and equity. Include accounts for base rent, tenant recoveries, property taxes, insurance, utilities, repairs, management fees, capital assets, construction in progress, accounts payable, security deposits, mortgage debt, and owner contributions or distributions. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">For portfolios with multiple properties or entities, use consistent account structures and property or project dimensions so transactions can be reported at the property level.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>2. Record and Classify Property Expenses<\/h3>\n<p><span data-contrast=\"auto\">Post property expenses to the correct property, account, and accounting period, using vendor invoices and supporting documentation. Review property taxes, insurance, utilities, repairs, maintenance, landscaping, janitorial, security, and\u00a0management fees. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Check significant variances against budget and prior periods, and review major repairs or improvement projects under the company&#8217;s capitalization policy before determining whether to expense or capitalize them.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>3. Reconcile Tenant Billing and Security Deposits<\/h3>\n<p><span data-contrast=\"auto\">Compare the rent roll and tenant ledger with the executed leases to confirm base rent, escalations, CAM recoveries, reimbursements, concessions, late fees, and other tenant charges are billed correctly. Reconcile tenant AR to the general ledger and investigate amounts billed but not collected. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Separately reconcile security deposits held for each tenant to the security deposit liability and document any refunds or permitted applications against tenant obligations.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>4. Review Capital Expenditures and Fixed Assets<\/h3>\n<p><span class=\"TextRun SCXW3986732 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW3986732 BCX8\">Review significant property expenditures to <\/span><span class=\"NormalTextRun SCXW3986732 BCX8\">determine<\/span><span class=\"NormalTextRun SCXW3986732 BCX8\"> whether they should be expensed or capitalized under the company&#8217;s accounting policy and <\/span><span class=\"NormalTextRun SCXW3986732 BCX8\">applicable<\/span> <\/span><a class=\"Hyperlink SCXW3986732 BCX8\" href=\"https:\/\/www.whizconsulting.net\/glossary\/g\/gaap\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"TextRun Underlined SCXW3986732 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW3986732 BCX8\" data-ccp-charstyle=\"Hyperlink\">US GAAP<\/span><\/span><\/a><span class=\"TextRun SCXW3986732 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW3986732 BCX8\">\u00a0requirements<\/span><span class=\"NormalTextRun SCXW3986732 BCX8\">. Track major projects such as roof replacements, HVAC upgrades, renovations, structural improvements, and tenant build-out through construction in progress and transfer completed assets to the fixed asset register when placed in service. <\/span><\/span><span class=\"EOP Selected SCXW3986732 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>5. Control Accounts Payable and Vendor Payments<\/h3>\n<p><span data-contrast=\"auto\">Review invoices before payment for the correct property, legal entity, vendor, expense account,\u00a0 approval, and supporting documentation. Pay particular attention to vendors serving multiple properties, since shared costs may require allocation based on the applicable agreement or documented method. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Review the AP aging reports for old balances, duplicate invoices, credit balances, and unusually large amounts before each close or payment run.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<h3>6. Reconcile Bank and Balance Sheet Accounts<\/h3>\n<p><span data-contrast=\"auto\">Complete monthly reconciliations for each property operating, trust,\u00a0or <\/span><a href=\"https:\/\/www.whizconsulting.net\/glossary\/e\/escrow-account\/\">escrow account<\/a><span data-contrast=\"auto\">. Investigate outstanding checks, deposits in transit, returned tenant payments, unidentified deposits, bank fees, and inter-account transfers rather than carrying unexplained items forward. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Reconcile other key balance sheet accounts, including tenant accounts receivable, security deposits, prepaids, mortgage balances, accrued interest, capital assets, owner balances, and intercompany accounts.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<h3>7. Review Accruals, Prepaids, and Lease-Related Adjustments<\/h3>\n<p><span class=\"TextRun SCXW18128884 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW18128884 BCX8\">Before closing the period, <\/span><span class=\"NormalTextRun SCXW18128884 BCX8\">identify<\/span><span class=\"NormalTextRun SCXW18128884 BCX8\"> expenses incurred but not yet invoiced, including utilities, repairs, management fees, professional services, property taxes, and insurance. Review contracts, recurring services, and available invoices to support accruals. Reconcile prepaid balances to their supporting schedules and recognize expenses over the <\/span><span class=\"NormalTextRun SCXW18128884 BCX8\">appropriate periods<\/span><span class=\"NormalTextRun SCXW18128884 BCX8\">.<\/span><\/span><span class=\"EOP Selected SCXW18128884 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>8. Review Debt, Reserves, and Owner Balances<\/h3>\n<p><span data-contrast=\"auto\">Reconcile mortgage principal and interest to lender statements and loan amortization schedules. Record principal payments, interest, and applicable financing costs correctly, and review required tax, insurance, or replacement reserves.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Where loan agreements contain financial covenants, such as <\/span><span data-contrast=\"auto\">Debt Service Coverage Ratio (DSCR)<\/span><span data-contrast=\"auto\"> requirements, prepare the required calculations using the definitions and measurement dates specified in the loan documents.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>9. Complete the Month-End and Year-End Close<\/h3>\n<p><span data-contrast=\"auto\">Before finalizing the accounting\u00a0period, confirm that rent, tenant AR, AP, bank accounts, security deposits, accruals, prepaids, capital assets, debt, owner balances, and intercompany accounts have been reconciled.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">At year-end, also review fixed assets, depreciation, CAM reconciliations,\u00a0and\u00a0related-party transactions,\u00a0retaining supporting schedules for tax, audit, and lender requirements.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h2>What Financial Reports Should Commercial Real Estate Businesses Review?<\/h2>\n<p><span class=\"TextRun SCXW120853635 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW120853635 BCX8\">Commercial real estate businesses <\/span><span class=\"NormalTextRun SCXW120853635 BCX8\">in the US\u00a0<\/span><span class=\"NormalTextRun SCXW120853635 BCX8\">should regularly review property-level income statements, balance sheets, cash flow statements, rent rolls, <\/span><span class=\"NormalTextRun ContextualSpellingAndGrammarErrorV2Themed SCXW120853635 BCX8\">accounts<\/span><span class=\"NormalTextRun SCXW120853635 BCX8\"> receivable aging, <\/span><span class=\"NormalTextRun SCXW120853635 BCX8\">and\u00a0<\/span><span class=\"NormalTextRun SCXW120853635 BCX8\">budget-to-actual reports. Together, these<\/span><span class=\"NormalTextRun SCXW120853635 BCX8\">\u00a0financial\u00a0<\/span><span class=\"NormalTextRun SCXW120853635 BCX8\">reports show whether a property is generating expected income, controlling operating costs, collecting tenant balances, and meeting its financial obligations.<\/span><\/span><span class=\"EOP Selected SCXW120853635 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The most useful reports include:<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Income Statement:<\/span><\/b><span data-contrast=\"auto\"> Shows rental and other property income against operating expenses for a specific period, helping assess the property\u2019s operating performance<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Balance Sheet:<\/span><\/b><span data-contrast=\"auto\"> Shows the assets, liabilities, and equity associated with the property or ownership entity at a specific date<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Cash Flow Statement:<\/span><\/b><span data-contrast=\"auto\"> Tracks cash generated and used through operating, investing, and financing activities, and helps distinguish accounting income from actual cash movement<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:720,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279,&quot;335559991&quot;:360}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"4\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Rent Roll:<\/span><\/b><span data-contrast=\"auto\"> Lists tenants, leased space, rental rates, lease terms, and other relevant lease information, providing\u00a0a detailed view of scheduled rental income <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:720,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279,&quot;335559991&quot;:360}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"5\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Accounts Receivable Aging:<\/span><\/b><span data-contrast=\"auto\"> Shows outstanding tenant balances by how long they have remained unpaid, helping identify collection issues and overdue accounts<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"6\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Budget vs. Actual Report:<\/span><\/b><span data-contrast=\"auto\"> Compares budgeted income and expenses with actual results, making significant variances easier to investigate<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<h2>Key Commercial Real Estate Accounting Metrics to Track<\/h2>\n<p><span class=\"TextRun SCXW181033703 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW181033703 BCX8\">The key commercial real estate metrics to track include NOI, operating expense ratio, DSCR, cap rate, occupancy rate, and tenant collection rate.<\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">\u00a0The most <\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">essential\u00a0<\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">metrics depend on the property\u00a0<\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">management<\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">\u00a0strategy, but several measures are widely used <\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">for <\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">accurate<\/span><span class=\"NormalTextRun SCXW181033703 BCX8\">\u00a0<\/span><\/span><span class=\"TextRun SCXW181033703 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW181033703 BCX8\">real estate<\/span><span class=\"NormalTextRun SCXW181033703 BCX8\"> accounting<\/span><\/span><span class=\"TextRun SCXW181033703 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW181033703 BCX8\">.<\/span><\/span><span class=\"EOP Selected SCXW181033703 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<h3>Net Operating Income (NOI)<\/h3>\n<p><b><span data-contrast=\"auto\">NOI =\u00a0Gross Operating Income \u2212 Operating Expenses<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">NOI measures the income a property generates from its normal operations before interest, income taxes, depreciation, amortization, and certain other non-operating items. It is commonly used to evaluate property-level operating performance.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>Operating Expense Ratio (OER)<\/h3>\n<p><b><span data-contrast=\"auto\">OER\u00a0= Operating Expenses \u00f7 Gross Operating Income\u00a0\u00d7100<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">This ratio shows how much of the property\u2019s operating income is consumed by operating expenses. Tracking it over time can help identify rising costs or changes in operating efficiency.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>Debt Service Coverage Ratio (DSCR)<\/h3>\n<p><b><span data-contrast=\"auto\">DSCR = Net Operating Income \u00f7 Debt Service<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><a href=\"https:\/\/www.whizconsulting.net\/glossary\/d\/debt-service-coverage-ratio-dscr\/\">Debt Service Coverage Ratio (DSCR)<\/a><span data-contrast=\"auto\"> compares property-level operating income with required debt payments. Lenders may use different definitions of NOI and debt service, so the calculation should follow the applicable loan agreement or underwriting methodology.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3>Capitalization Rate<\/h3>\n<p><b><span data-contrast=\"auto\">Cap Rate = NOI \u00f7 Property Value\u00a0\u00d7100<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The capitalization rate, or cap rate, expresses a property\u2019s NOI as a percentage of its value. It is commonly used in commercial real estate valuation and investment analysis. Since the\u00a0value can change with market conditions, the metric should be interpreted alongside other property and market information.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<h3>Occupancy Rate<\/h3>\n<p><b><span data-contrast=\"auto\">Occupancy Rate = Occupied Space\u00a0\u00f7 Total\u00a0Rentable Space\u00a0\u00d7100<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Occupancy rate\u00a0measures how much of a property\u2019s rentable space is occupied. Tracking occupancy alongside rental rates and tenant collections provides more context about the property\u2019s income performance.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h3 aria-level=\"3\"><span data-contrast=\"none\">Tenant Collection Rate<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3>\n<p><b><span data-contrast=\"auto\">Tenant Collection Rate = Rent Collected \u00f7 Rent Billed \u00d7 100<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">This metric shows how effectively billed tenant charges are being collected during a given period. A declining collection rate can warrant a closer review of receivables aging, tenant payment patterns, and collection procedures.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<h2>When to Outsource Commercial Real Estate Accounting?<\/h2>\n<p><a class=\"Hyperlink SCXW44095118 BCX8\" href=\"https:\/\/www.whizconsulting.net\/us\/real-estate-accounting-services\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"TextRun Underlined SCXW44095118 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW44095118 BCX8\" data-ccp-charstyle=\"Hyperlink\">O<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\" data-ccp-charstyle=\"Hyperlink\">utsource\u00a0<\/span><\/span><\/a><a class=\"Hyperlink SCXW44095118 BCX8\" href=\"https:\/\/www.whizconsulting.net\/us\/real-estate-accounting-services\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span class=\"TextRun Underlined SCXW44095118 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW44095118 BCX8\" data-ccp-charstyle=\"Hyperlink\">real estate accounting<\/span><\/span><\/a><span class=\"TextRun SCXW44095118 BCX8\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><strong><span class=\"NormalTextRun SCXW44095118 BCX8\">\u00a0<\/span><\/strong><span class=\"NormalTextRun SCXW44095118 BCX8\">functions\u00a0<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\">when<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\">\u00a0<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\">property-level transactions become too complex or time-consuming for an internal team to manage consistently. It can be particularly useful for<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\">\u00a0business<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\"> owners and property managers handling multiple properties, tenants, or <\/span><span class=\"NormalTextRun SCXW44095118 BCX8\">entities<\/span><span class=\"NormalTextRun SCXW44095118 BCX8\">\u00a0 without a large in-house accounting team.<\/span><\/span><span class=\"EOP Selected SCXW44095118 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Consider outsourcing when:<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Growing Portfolio:<\/span><\/b><span data-contrast=\"auto\"> More properties mean more leases, bank accounts, vendors, invoices, and property-level reconciliations to manage<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:720,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279,&quot;335559991&quot;:360}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Lengthy Month-End Close:<\/span><\/b><span data-contrast=\"auto\"> Reconciliations, accruals, adjusting entries, and financial reporting can create a recurring workload for a small finance team<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Complex Tenant Accounting:<\/span><\/b><span data-contrast=\"auto\"> Tracking rent, reimbursements, receivables, security deposits, and tenant adjustments requires consistent recordkeeping<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:720,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279,&quot;335559991&quot;:360}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"4\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Limited Accounting Capacity:<\/span><\/b><span data-contrast=\"auto\"> Commercial property accounting involves property-level reporting, capital expenditure tracking, and complex expense allocations<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:720,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279,&quot;335559991&quot;:360}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"5\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Delayed Financial Reporting:<\/span><\/b><span data-contrast=\"auto\"> Outsourced support can help establish standardized processes for recording transactions, reconciling accounts, and preparing recurring reports<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"6\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Time-Consuming Bookkeeping:<\/span><\/b><span data-contrast=\"auto\"> Routine transaction processing and reconciliations can consume time that could otherwise be used for financial analysis and property-level decision support<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<ul>\n<li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559683&quot;:0,&quot;335559684&quot;:-2,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"7\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Higher Workload Periods:<\/span><\/b><span data-contrast=\"auto\"> Acquisitions, dispositions, year-end close, or portfolio expansion can temporarily increase accounting requirements<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li>\n<\/ul>\n<h2>Get Clearer Financial Visibility Across Properties with Expert Accounting Support<\/h2>\n<p><span data-contrast=\"auto\">Use this checklist at every month-end rather than as a one-time review. During closing, verify that property income and expenses are recorded, tenant balances and security deposits are reconciled, capital expenditures are properly classified, and bank, loan, AP, and AR accounts agree with the supporting records. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">If these tasks are becoming difficult to complete on time,\u00a0consider whether additional accounting support could help.\u00a0At\u00a0<\/span><a href=\"https:\/\/www.whizconsulting.net\/us\/\"><span data-contrast=\"none\">Whiz Consulting<\/span><\/a><span data-contrast=\"auto\">, we\u00a0support commercial real estate businesses with day-to-day bookkeeping, AP and AR management, account reconciliations, financial reporting, and month-end closing. Our dedicated accounting professionals work within your existing processes and help keep property-level records accurate, organized, and ready for review, so you can focus on growing your portfolio.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:240,&quot;335559739&quot;:240,&quot;335559740&quot;:279}\">\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A commercial real estate accounting checklist helps property owners and finance teams keep track of rental income and operating expenses, tenant deposits, capital expenditures, payables, and reconciliations. Unlike general bookkeeping, accounting for commercial real estate often requires financial records to be maintained at the property level, so each asset\u2019s performance can be measured accurately.\u00a0 This&hellip; <a class=\"more-link\" href=\"https:\/\/www.whizconsulting.net\/us\/blog\/commercial-real-estate-accounting-checklist\/\">Continue reading <span class=\"screen-reader-text\">Commercial Real Estate Accounting: A Practical Checklist for US Businesses<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":9459,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[16,11],"tags":[],"class_list":["post-9456","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate","category-industries","entry"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/posts\/9456","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/comments?post=9456"}],"version-history":[{"count":10,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/posts\/9456\/revisions"}],"predecessor-version":[{"id":9468,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/posts\/9456\/revisions\/9468"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/media\/9459"}],"wp:attachment":[{"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/media?parent=9456"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/categories?post=9456"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.whizconsulting.net\/us\/wp-json\/wp\/v2\/tags?post=9456"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}