International accounting standard requiring on-balance-sheet lease recognition.
Accounting · Global
International accounting standard requiring on-balance-sheet lease recognition.
Effective 2019. Tenants recognise a right-of-use asset and a lease liability for nearly all leases. Materially affects EBITDA, leverage ratios, and ROIC for tenant-occupier businesses with large real-estate portfolios.
IFRS 16 is part of the accounting vocabulary that institutional Class A occupiers, landlords, and advisers use across Global markets. Understanding it correctly affects how you read lease documents, model occupancy economics, and benchmark deal terms across cities. Class A Atlas tracks regional variation alongside the global standard so cross-border occupiers can translate quickly.