Preparing for Global Leasing Standards: Implications for the real estate industry
Real estate companies and other lessor organisations around the world - and especially their lessees - face the prospect of fundamental changes in how they account for leases. New lease accounting standards proposed by the International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB) are expected to become International Financial Reporting Standards (IFRS) by the end of 2011. They could create costly process changes for some real estate firms and reshape the accounting models of others - and they have all the firms looking for potential real estate market side effects. Reaction within the real estate sector to the proposed standards and initial deliberations has ranged from annoyance to concern.
We are pleased to bring you this publication from Grant Thornton International which provides an overview of how these proposed changes in the leasing standard could impact the real estate industry.