Glossary

Comparable (Comp) Store Sales Adjustment

Also known as: Comp sales adjustment, Same-store sales adjustment

A lease or underwriting adjustment that normalizes a tenant's reported sales figures to account for store relocations, remodels, temporary closures, or partial operating periods, so that sales trends reflect comparable operating conditions.

Retailers report comparable, or 'comp,' store sales industry-wide as same-store sales excluding locations open less than a full prior comparable period, and landlords and lenders apply an analogous adjustment when evaluating a specific tenant's trailing sales performance for percentage rent projections or renewal underwriting, since a store that was closed for a remodel for several months or newly relocated within the center will show a misleading sales trend if compared on a raw, unadjusted basis. This adjustment matters practically in co-tenancy and kick-out clause disputes as well, where a tenant's sales-based termination right or a breakpoint proration calculation can turn on whether a partial operating period is treated on a comparable, annualized basis or taken at face value.