MANAGE · Budget vs actual
T-12 is 1.1% favorable — and that hides the story.
Variance in the wrong direction is a case. Variance in the right direction with a question mark is a case. The headline number is the least interesting thing on this page.
Budget · T-12
$11.0M
Actual · T-12
$11.0M
Variance
-0.3%
Favorable
Items requiring explanation
2
Payroll +2.7% · CAM true-up
Line
Budget
Actual
Variance
%
Note
Base rental revenue
$8.2M
$8.2M
-0.2%
On plan · lease-up lagging 2 suites
Expense reimbursements
$1.1M
$1.1M
+3.8%
CAM reconciliation true-up
Utilities
$290K
$268K
-7.6%
BAS optimization holding
R&M
$184K
$142K
-22.8%
Vendor renegotiation Q4 2025
Payroll
$412K
$423K
+2.7%
Overtime in Bldg B after-hours coverage
Insurance
$168K
$162K
-3.6%
Premium re-bid 2025
Taxes
$380K
$380K
0.0%
On plan
Management fee
$198K
$198K
0.0%
On plan
Janitorial
$38.4K
$38.4K
0.0%
Renegotiation in flight
Landscaping
$19.8K
$19.8K
0.0%
On plan
What the variance is hiding
Payroll +2.7% · needs explanation
Overtime in Bldg B after-hours HVAC coverage. Directly tied to the BAS recommissioning case — if we fix BAS, the overtime should drop.
R&M −22.8% · is this durable?
Tied to a 4-year vendor contract renegotiation in Q4 2025. Repeats through 2028. The 2026 plan assumes this holds — flagging as a durable assumption in the EXIT narrative.
Utilities −7.6% · partial evidence
BAS optimization is holding. Pre-period was abnormally high — savings claim being reset from 12% to 5.6% in the EXIT narrative.
Forward 12mo plan
Plan assumes $5.42M NOI for 2026. T-12 is tracking 4% above plan, with two open cases that could swing either way.
Upside (BAS + CAM audit)+ $173K/yr
Downside (HVAC replacement)− $80K/yr carry
Insurance rebid+ $22K/yr
Range 2026 NOI$5.34M – $5.61M