topic Renting office space in Investors & landlords

Renting office space

geemonee — Mon, 09 Mar 2026 08:55:31 GMT

My wife and I rented a 4-office business suite under an LLC. We rent 1 office to her business ( a separate single-member LLC) and sublease the other 3 offices to independent contractors. Do we report the rent we pay for the entire suite and any expenses unrelated to the actual physical property like toilet paper, paper towels, waiting room furniture, etc on Form 1065 and then report rent we collect from the sublessees and things like maintenance and office cleaning on Form 8825? So basically page 1 of Form 1065 will show a loss and then Form 8825 will show a gain that then nets out on Schedule K of Form 1065 ?

Re: Renting office space

AliciaP1 — Mon, 07 Mar 2022 02:41:28 GMT

All the activities for the Office Rental operations (including supplies and furniture) get reported on Form 8825 and then flows forward as a net number to the1065 as Income from Rental Activities.

Re: Renting office space

geemonee — Sat, 12 Mar 2022 18:24:06 GMT

Thanks. So to clarify, the rent we pay our landlord for the entire space AND the rent we receive from tenants both go on Form 8825? Really anything related to running the entire office like toilet paper & paper towels, the fridge, furniture, printer, etc all goes on 8825, correct?

And since Line 2 is Gross Rent, I assume that is for rent we collect from the tenants and I assume the rent we pay the owner and anything that doesn't have a category on the 8825 just gets put in the Other Expense category with an attached statement?

Re: Renting office space

AliciaP1 — Sun, 13 Mar 2022 01:33:09 GMT

Both your assumptions are correct!

@geemonee