What is reconciliation?
The annual true-up comparing a tenant’s estimated monthly expense payments (e.g., CAM) to the landlord’s actual costs, resulting in an additional charge or credit to the tenant for the year.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.