The month-end close in commercial real estate is not a single day. It is a 30-day cycle that starts on the first of the month and ends when the financial package is delivered to owners.
This checklist breaks the close into daily and weekly tasks. It is designed for property managers, controllers, and accountants who want a repeatable process, not a monthly crisis.
Use this as a working document. Print it. Share it. Check items off. The goal is not to add work. The goal is to eliminate the last-minute scramble.
Week 1: Days 1–7 — Data Collection and Rent Roll
Day 1: Rent Roll Confirmation
- Generate the current month rent roll
- Confirm all tenant charges (base rent, CAM estimates, NNN estimates, percentage rent if applicable)
- Verify lease changes from prior month (new tenants, move-outs, expansions, contractions)
- Apply any scheduled rent escalations effective this month
- Flag delinquent accounts for follow-up
Day 2–3: Collections and Cash Application
- Record all rent payments received
- Apply payments to the correct tenant and invoice
- Identify partial payments and short payments
- Record late fees and interest if applicable
- Process security deposit applications or credits
Day 4–5: Accounts Payable Intake
- Collect all vendor invoices received during the month
- Verify invoice accuracy (vendor, amount, date, description)
- Code invoices to correct general ledger accounts
- Flag recoverable vs. non-recoverable expenses
- Identify any missing invoices for recurring vendors
Day 6–7: Accrual Review
- Identify expenses incurred but not yet invoiced
- Record monthly accruals for utilities, management fees, payroll, and other recurring items
- Reverse prior month accruals that have been resolved
- Adjust prepaids and deferrals
Week 2: Days 8–14 — Expense Processing and Reconciliation
Day 8–10: Expense Classification
- Review all coded expenses for accuracy
- Confirm recoverable expenses are flagged correctly
- Separate capital expenses from operating expenses
- Verify expense pool allocations (CAM, tax, insurance, non-recoverable)
- Check for duplicate invoices or double payments
Day 11–12: Bank Reconciliation
- Download bank statements for all property accounts
- Match bank activity to general ledger entries
- Identify outstanding checks and deposits in transit
- Investigate unmatched or unidentified transactions
- Reconcile all accounts to zero variance
Day 13–14: CAM and NNN Updates
- Update CAM expense pools with current month activity
- Update tax and insurance expense pools
- Verify tenant pro-rata percentages are current
- Check controllable expense caps for the month
- Review gross-up calculations if applicable
Week 3: Days 15–21 — Lease Administration and Adjustments
Day 15–17: Lease Escalations and Adjustments
- Review lease escalation schedules for the month
- Apply fixed percentage increases
- Calculate CPI-based adjustments if applicable
- Process percentage rent calculations if applicable
- Update rent roll for all changes
Day 18–19: Lease Compliance Review
- Check for lease amendments or modifications effective this month
- Verify insurance certificates are current
- Review any tenant improvement allowances or concessions
- Confirm compliance with use restrictions or exclusive provisions
Day 20–21: Variance Analysis
- Compare current month actuals to budget
- Identify variances exceeding threshold (e.g., 5% or $1,000)
- Investigate significant variances
- Document explanations for owner reporting
Week 4: Days 22–30 — Reporting and Close
Day 22–24: Financial Statement Preparation
- Generate income statement (P&L)
- Generate balance sheet
- Prepare budget vs. actual variance report
- Calculate key metrics (NOI, occupancy, collections rate)
- Review draft statements for accuracy
Day 25–27: Exception Review and Adjustments
- Review all flagged exceptions from the month
- Resolve outstanding reconciling items
- Make final adjusting entries
- Obtain controller or manager approval for adjustments
Day 28–30: Package Assembly and Distribution
- Assemble the monthly closing package
- Include income statement, balance sheet, variance report, and supporting schedules
- Include CAM/NNN reconciliation summary
- Include lease activity summary
- Distribute to owners and stakeholders
- Archive the package with complete documentation
The Automated Alternative
This checklist assumes a manual process. Each item is a task that someone has to remember, execute, and verify.
- Rent roll updates happen when the lease changes, not on Day 1
- Invoices are coded when they arrive, not on Day 4
- Escalations are applied on schedule, not on Day 15
- The package is generated on demand, not on Day 28
The checklist is still useful. It defines what has to happen. The automation defines when and how it happens.
Conclusion
The 30-day close checklist is a control framework. It ensures that rent is billed, expenses are recorded, reconciliations are completed, and reports are delivered. The checklist works if it is followed every month, without exception.
The problem is that manual checklists depend on memory, discipline, and the presence of the person who knows the process. Automation removes the dependency.
Komod.ai is an AI-native operating layer for the commercial real estate back office. The platform reads leases, invoices, and bank activity; performs deterministic calculations; and stages completed work for human approval. Nothing posts without you.