Spacebase blog

Learn lease management and accounting with our expert advice.

Lease Accounting

Accounting for Tenant Improvement Allowances

Tenant improvement allowances (TIAs) are treated as lease incentives under ASC 842. Incentives always reduce the right-of-use asset, but their specific accounting treatment depends on when the incentive payment is received.

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Christian Vanderwall

VP Engineering

Lease Accounting

ASC 842 Commercial Real Estate Content Moved: See the updated guide

ASC 842 compliance requires accurate lease tracking, financial reporting, and proactive audits to ensure regulatory alignment. This guide walks commercial real estate accountants through key compliance steps, including gathering lease data, calculating liabilities, verifying disclosures, and avoiding common pitfalls. Automating lease management can streamline compliance, reduce errors, and improve financial transparency.

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Brooke Colglazier

Marketing Manager

Product Updates

OCR for Scanned PDFs

We’re excited to announce a powerful new feature that makes managing your lease documents easier than ever! Our software now includes automatic OCR (Optical Character Recognition) for lease documents, ensuring that every PDF you upload is instantly converted into searchable and editable text.

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Christian Vanderwall

VP Engineering

Lease Accounting

ASC 842 Lease Accounting Explained: Compliance, Recognition, and Reporting

For businesses managing commercial leases, compliance with accounting standards is critical to staying on the right side of regulators and ensuring accurate financial reporting. Two major standards, ASC 842 and IFRS 16, have reshaped how companies handle lease accounting, requiring lessees to recognize lease liabilities and right-of-use (ROU) assets on the balance sheet. If you’re managing leases, especially in a multi-location business, understanding and complying with these standards is essential.

Profile picture for Brooke Colglazier

Brooke Colglazier

Marketing Manager