Stacking Plans in Commercial Real Estate
2019-07-22 · Jeff Hamann
A stacking plan is a visual representation of a commercial structure that shows the tenants on each floor, the square footage of each floor, when each tenant’s lease will expire, and sometimes other information. They are most commonly used for office buildings, but can sometimes be used for apartment or retail properties.
Key takeaways
- A stacking plan is a visual representation of a commercial property that shows the tenants on each floor, the square footage of each floor, and when each tenant’s lease will expire.
- Stacking plans can make it easier to sell or lease space in a commercial building, as they show potential buyers or tenants more about the building in an easy-to-digest way.
- In addition to simply showing square footage and lease expiration dates, stacking plans can also show a building’s entire rent roll, complete with leasing terms and other data, as well as occupancy/vacancy rates.
- A building owner can generally create a stacking plan via software or can hire a firm to create one for them.
What is a Stacking Plan?
Stacking Plans Help Buyers, Sellers, and Tenants Visualize Commercial Properties
A stacking plan is a visual representation of a commercial structure that shows the tenants on each floor, the square footage of each floor, when each tenant’s lease will expire, and sometimes other information. They are most commonly used for office buildings, but can sometimes be used for apartment or retail properties.
Stacking plans can make it easier to sell or lease space in a commercial building, as they show potential buyers or tenants more about the building in an easy-to-digest way. In addition to simply showing square footage and lease expiration dates, stacking plans can also show a building’s entire rent roll, complete with leasing terms and other data, as well as occupancy/vacancy rates. A building owner can generally create a stacking plan via software or can hire a firm to create one for them.
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Frequently asked questions
What is a stacking plan in commercial real estate?
A stacking plan is a visual representation of a commercial structure that shows the tenants on each floor, the square footage of each floor, when each tenant’s lease will expire, and sometimes other information. They are most commonly used for office buildings, but can sometimes be used for apartment or retail properties. Stacking plans can make it easier to sell or lease space in a commercial building, as they show potential buyers or tenants more about the building in an easy-to-digest way. In addition to simply showing square footage and lease expiration dates, stacking plans can also show a building’s entire rent roll, complete with leasing terms and other data, as well as occupancy/vacancy rates. A building owner can generally create a stacking plan via software or can hire a firm to create one for them.
What are the benefits of a stacking plan in commercial real estate?
A stacking plan can make it easier to sell or lease space in a commercial building, as they show potential buyers or tenants more about the building in an easy-to-digest way. In addition to simply showing square footage and lease expiration dates, stacking plans can also show a building’s entire rent roll, complete with leasing terms and other data, as well as occupancy/vacancy rates. A building owner can generally create a stacking plan via software or can hire a firm to create one for them.
What are the drawbacks of a stacking plan in commercial real estate?
A stacking plan can be a useful tool for buyers, sellers, and tenants to visualize a commercial property, but there are some drawbacks to consider. For one, stacking plans can be time-consuming and expensive to create, as they require a lot of data to be collected and organized. Additionally, stacking plans can be difficult to update, as they are often created as static documents. Finally, stacking plans may not provide a complete picture of a property, as they may not include information about the capital stack or other important details.
How does a stacking plan affect the value of a commercial real estate property?
A stacking plan can help to increase the value of a commercial real estate property by making it easier to sell or lease space in the building. It can show potential buyers or tenants more about the building in an easy-to-digest way, such as square footage, lease expiration dates, rent roll, leasing terms, occupancy/vacancy rates, and more. This can help to make the property more attractive to potential buyers or tenants, which can increase its value.
What are the most common types of stacking plans used in commercial real estate?
The most common types of stacking plans used in commercial real estate are for office buildings, apartments, and retail properties. Stacking plans can help buyers, sellers, and tenants visualize commercial properties by showing the tenants on each floor, the square footage of each floor, when each tenant’s lease will expire, and sometimes other information. Source
What are the best practices for creating a stacking plan in commercial real estate?
The best practices for creating a stacking plan in commercial real estate include:
- Using software or hiring a firm to create the plan.
- Including the tenants on each floor, the square footage of each floor, when each tenant’s lease will expire, and other information.
- Including the building’s entire rent roll, complete with leasing terms and other data, as well as occupancy/vacancy rates.
For more information, please see Stacking Plans in Commercial Real Estate.