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WASHINGTON, DC-Next month, the US Financial Accounting Standards Board and its counterpart, the International Accounting Standards Board, are expected to issue an Exposure Draft of lease accounting changes. The rules, which will not go into affect before 2012, or possibly 2013, are for the most part a theoretical challenge lying in wait–but in some cases they are already starting to impact tenant behavior. At least that is one possible extrapolation from some of the most recent leasing data for the area.

In brief terms, there are two big changes companies have to think about under the new rules, Jones Lang LaSalle’s Mind Berman explained to GlobeSt.com in an earlier interview. One is that all lease obligations are going on the balance sheet. In other words, all rent obligations will be capitalized as a form of debt financing, which essentially means their debt load will increase–possibly by a significant amount depending on the circumstances. Currently that is not the case.

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