Please excuse my ignorance in advance. I have been learning Argus, but haven't been able to figure out how to properly structure expense inputs/expense groups/etc to reflect the scenario below.
My primary question is: In Argus Enterprise, if a tenant that has an an expense cap on controllable expenses, but the expenses that make up controllable expenses have different recovery denominators, how do you create the structure to achieve this within Argus. My understanding is that you arent able to include the various expenses in one singular expense group due to the difference in denominators across recoverable expenses. Any help would be greatly appreciated. Example below.
Retail Tenant: 10,000 sf
Initial CAP on controllable CAM items: $3.50/sf (year 1 cap of $35,000)
Thereafter, CAP on controllable grows 3.5% non cumulative (Ie if expenses are 28,000 in year one, year 2 cap is 28,000 * (1+.035))
Controllable CAM consists of:
**Expense Group A **
Denominator: 135,000 sf
- Expense 1
- Expense 2
- Expense 3
Denominator: 122,000 sf
Denominator 107,000 sf
How do I input into Argus to reflect the CAP that applies against the aggregate total of Expense Group A, Expense B and Expense C, all of which have different denominators?