The Escalation Handbook for Office Buildings: A Guide to Understanding, Preparing and Grossing Up Expense Escalations (Third Edition)
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Escalations are a fact of life for property managers. Getting them right is critical to maintaining the profitability of your building and solid relationships with your tenants. BOMA's Escalation Handbook is the industry standard for understanding the complex concepts and methodology for preparing escalation billings. This step-by-step handbook cuts through the complexities to provide straightforward, easy-to-understand explanations of the methodologies used for calculating your annual escalation billings. Now in its Third Edition, this updated handbook tackles the latest issues facing property managers with a particular emphasis on the fact that escalations are a partnership between the landlord and tenant. It includes a comprehensive Q&A section offering additional insights and tips for navigating through the gross-up process, plus three new chapters:

• Expense Caps: Understand the different types of expense caps-annual and cumulative-and how to properly calculate them for escalation billing.

• Managing an Escalation Audit: Successfully manage the audit process while maintaining positive relationships with tenants.
• Escalating Building Rating System Costs: Learn who should pay the costs associated with "going green" with building rating systems such as LEED, BOMA 360 and others.

The Escalations Handbook is authored by Bill Brownfield, CRE, CCIM and Larry Mayerhofer, CPA, who wrote BOMA's first escalation handbook in 1990 under the title How to Adjust Operating Expenses for Occupancy Changes in Office Buildings: The Gross Up Process. In 1998, Bill and Larry updated the publication to reflect current industry practices under the title The Escalation Handbook for Office Buildings: A Guide to Understanding, Preparing and Grossing Up Expense Escalations. Today's Third Edition continues to be considered the industry standard for calculating escalation expenses.

ALPHA Office Escalations software uses the same methodology as the Escalation Handbook for Office Buildings, giving you the tools you need to manage the entire escalation process for your property. With AOE's dashboard and reports, you'll immediately see the overall picture for the building year-to-year, plus the details behind each tenant's invoice and cover letter. Learn more at
This publication is available in the following formats:

Print-on-Demand Edition
  • Print-on-demand publications are shrink-wrapped, 3-hole punched pages that can be placed in a binder for easy access..
  • This publication is 130 pages including appendices.
  • Print-on-demand publications are shipped to U.S. and Canada via UPS Ground at no cost to the customer. Shipping charges will apply when an expedited shipping option is chosen during check out. 
  • For print-on-demand orders shipped outside of the U.S. and Canada, please place your order with our customer service center by calling +1-770-280-4089 or by emailing
  • BOMA International print-on-demand publications may be returned for a full refund within 30 days of receipt as long as the shrink wrap is still intact.
eBook Edition
  • eBook orders include a full digital edition of the publication, plus an unlocked, printable PDF of the supplemental information and appendices. The publication and supplemental materials may be delivered via two separate emails.
  • This eBook can be viewed through Adobe Digital Editions (ADE) software. You will receive a link to download free reader software upon purchase. ADE is compatible with personal computers, tablets and smartphones.
  • This eBook cannot be printed, copied or transferred, but can be viewed on up to six devices over its lifetime.
  • eBooks sold by BOMA International bookstore are not eligible for return and refund.
Copyright 2014 by the Building Owners and Managers Association (BOMA) International. All rights reserved. No portion of this document may be reproduced without permission.