Vael Creative
What does a leasing film have to earn?
Modeled example: on a 20,000 square foot floor at $70 per square foot a year, the film pays for itself if the floor leases about 9 days sooner.
How NOI sets a building's value
Net operating income (NOI) is a building's rental income minus its operating expenses.
Each month a floor leases sooner adds a month of rent to NOI.
Concessions such as free rent lower the rent a lease actually pays over its term.
Value is NOI divided by the cap rate, so at a 7% cap rate each dollar of annual NOI is worth about $14.29.
The modeled inputs
Price of a leasing film: $35,000. That is the starting price for new engagements.
Floor size: 20,000 square feet. Swap in your own.
Rent: $70 per square foot a year. It sits below the $84.79 Class A average Cushman & Wakefield reported for Manhattan in Q2 2026.
Cap rate: 7%. It sits above the 6.89% average Cushman & Wakefield reported for core New York City property in Q2 2026, and a higher cap rate gives a lower value.
The arithmetic
One month of rent on the floor (20,000 square feet at $70 a year, divided by 12): $116,667.
The time that covers the film ($35,000 divided by $116,667, at 30.4 days a month): about 9 days.
The NOI from $1 per square foot a year more in rent, or less in concessions (20,000 square feet times $1): $20,000 a year.
The value of that NOI at a 7% cap rate ($20,000 divided by 0.07): $285,714.
Written by Brian Hughes. Published September 27, 2026.