NetLease Payment Uplifts
Payment Uplift Definition:
A payment uplift is a percentage increase in the amount of your lease payment calculated regularly. For example, assume you have a payment uplift of 5% annually and your lease payment is $100,000 monthly for the first year. At the onset of the second year, you would start paying $105,000 a month. The third year, this would increase to $110,250 a month, and so on until the end of the lease term.
How to Activate in NetLease:
Navigate to NetLease > NetLease Setup > System Setup > System Features. In the System Feature Selections section, check the box to activate "Payment Uplifts".
How to Configure in NetLease:
When you go to create a new lease, you will now see four new fields—1st Uplift Date, Uplift Frequency, Uplift Percentage, and Uplift Amount.
- 1st Uplift Date: The first date the uplift percentage is applied.
- Uplift Frequency: The frequency with which the uplift should be performed after the first uplift date.
- Uplift Percentage: The percentage the payment should be increased by during the uplift.
- Uplift Amount: The dollar amount the payment should be increased by during the uplift.
Once you fill in these fields and all other mandatory fields, the amortization schedule will be generated and you will see the payment schedule taking into account the uplift.
System Limitations and Considerations:
- This only works for uplifts, not for "downlifts". The "Uplift Percentage" field will only accept positive percentages between 0 and 100 percent.
- Uplifts need to be regular. The frequencies are monthly, bi-monthly, quarterly, semi-annually, and annually. If you will make occasional, sporadic payment increases, best practice is to add a new one-time payment to the payment schedule as they happen.
- The payment schedule that is generated on the lease creation page takes some time to generate. An uplift that occurs frequently over a long period of time may take some time to load.