4 weeks ago
Hi, I have an RE-FX Contract "A" that calculates and pays sales-based rent (SBR) quarterly to landlord A. I have another RE-FX Contract "B" that is supposed to pay 10% of Contract A's quarterly SBR to landlord B.
In Contract B, I've added a condition with the standard Calculation Formula (E2), "% Share in Source Condition". I've input the required condition parameters (e.g., 10% Share, source from Contract A, assigned SBR condition from Contract A).
I don't have the access to run RESRSE settlement, so I don't currently see the 10% amount in my Contract B cashflows. I know that when I point to a non-SBR condition in the calculation formula, I will see the 10% amounts in my cash flows.
Can someone please confirm that the "% Share in Source Condition" calculation formula works for SBR conditions? For example, when Contract A is settled, the 100% SBR appears in the cash flows of Contract A, and the 10% amount appears in the cash flows of Contract B? Has anybody set this up and processed it successfully?
Thanks in advance.
Hi,
The calculation formula 'E2 % Share in Source Condition' uses the source condition's amount for its calculation.
In your case, the sales-based rent condition is the source, which uses the calculation formula "U." This will not work because the formula "U" does not calculate the condition amount instead, it serves as a technical parameter for the sales-based settlement.
Please use a source condition that calculates the condition amount.
Best regards,
Achyuth reddy.
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