Glossary

Reforecast (Budget Reforecast)

Also known as: Latest Estimate, Re-forecast, LE

A revised projection of a property's full-year financial performance, prepared partway through the fiscal year by combining actual year-to-date results with an updated outlook for the remaining months, superseding the original static budget as the operative benchmark.

Reforecasts are typically produced on a quarterly cadence — commonly labeled a 'Latest Estimate' in investor reporting — and are distinguished from the annual operating budget, which is fixed at the start of the year as the original approval baseline, and from run-rate, a mechanical annualization tool rather than a judgment-based full-year re-projection that incorporates known upcoming events. Reforecasts are the primary vehicle by which asset managers tell investors and lenders whether original budget assumptions on rent growth, occupancy, or a specific capital project timeline are tracking on, above, or below plan, and reforecast commentary typically restates variance against both the original budget and the prior reforecast, not just the current period alone. A pattern of successive downward reforecasts on the same line item across a hold period is treated very differently in portfolio-level asset management review than a single-period unfavorable variance, since it signals a structural rather than transient issue.