A method of calculating all or part of the rent of commercial premises, by reference to the Tenant’s turnover. Exact terms vary between Leases, but usually this is based on a percentage of Gross Receipts. The tenant will typically pay a Base Rent “on account”, either based on the previous year’s rent or a percentage (e.g 80%) of Open Market Rental Value, with a balancing charge at year end. Most common in “destination retail” locations such as Regional Shopping Centres, and the Licensed and Leisure sectors.