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Seasonal Guide

Q1 Reconciliation Season: The 90-Day Sprint That Determines Your NOI

January through March is when landlords settle the difference between what tenants paid and what they owed. Here's how to run it without errors.

Q1 reconciliation season runs from January 1 through March 31 for most commercial properties with calendar-year leases. During this window, property teams must finalize GL data, run CAM calculations, issue reconciliation statements, and collect settlement payments — all while managing ongoing operations. Most errors that become tenant disputes originate in this 90-day window.

Key Dates (4)

Date / TimeframeWhat Happens
January 1–15GL close and final accrual postings for prior year
January 15–31Run initial reconciliation calculations, identify data gaps
February 1–28Issue reconciliation statements to tenants
March 1–31Collect settlement payments, respond to tenant disputes

Phase Checklist (9 items)

Confirm GL is fully closed for prior fiscal year before running reconciliation
Verify all year-end accruals and adjustments are posted
Confirm recovery pool GL account assignments match current chart of accounts
Review tenant pro-rata denominators for mid-year changes
Validate gross-up threshold settings against each tenant lease
Check CAM cap configurations for each tenant with cap provisions
Run independent verification before sending statements
Issue statements by lease deadline (typically 60-90 days after year end)
Document all calculation assumptions for audit readiness

Common Mistakes

1Running reconciliation before the GL is fully closed — corrections after statements are sent create disputes
2Missing lease deadlines for statement delivery, which can reduce or eliminate settlement rights
3Applying the prior year's pro-rata denominator after mid-year tenant changes
4Failing to update recovery pool GL account assignments after chart of accounts changes

Where CapVeri Fits

CapVeri integrates into Q1 reconciliation season as an independent verification layer. Upload your Yardi or MRI GL export, and CapVeri recalculates every tenant's reconciliation independently — catching errors before statements go out. Errors found before delivery cost a revised statement. Errors found by tenants cost disputes, legal fees, and relationship damage.

Related Resources

Year End CAM ReconciliationCAM Reconciliation Season 2026 GuideWhat Is CAM Reconciliation

Free Tools for This Phase

Cam Gross Up CalculatorPro Rata CalculatorReconciliation Statement Generator

Catch Errors Before They Become Disputes

Upload your GL export and CapVeri independently recalculates every tenant's reconciliation — flagging errors before statements go out. First audit is always free.

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