Discover the A-Z in ‘must know’ Commercial Real Estate Terms. These are essential for anyone looking to buy a commercial real estate, lease a property or are just interested in the property industry.
Abatement: Often and commonly referred to as free rent or early occupancy and may occur outside or in addition to the primary term of the lease. Above Building Standard: : Upgraded finishes and specialised designs necessary to accommodate a tenant’s requirements.
Absorption: The amount of inventory or units of a specific commercial property type that become occupied during a specified time period (usually a year) in a given market, typically reported as the absorption rate. Accumulated cost recovery: Total cost recovery deductions taken throughout the holding period of a property. Active income: Income from salary, wages, tips, commissions, and activities in which the taxpayer materially participates. Also see passive income. Adjusted basis: The original cost basis of a property plus capital improvements, less total accumulated cost recovery deductions, and partial sales taken during the holding period. Amortization: The repayment of loan principal through equal payments over a designated period of time consisting of both principal and interest. Annuity: Regular fixed payments or receipts over a designated period of time. Appraisal: An estimate of opinion and value based upon a factual analysis of a property by a qualified professional. Appreciation: An investment’s increase in value. Assessed value: The value of real property established by the tax assessor for the purpose of levying real estate taxes
Assignment: A transfer by lessee of lessee’s entire estate in the property. Distinguishable from a sublease where the sublessee acquires something less than the lessee’s entire interest. B
Balloon payment : The final payment of the balance due on a partially amortised loan. Submit appeal to unban it, here’s how download & install pokemon go for ios https://celltrackingapps.com / android in any region right now, here’s how pokemon go++ 1. Base rent: The minimum rent due to the landlord. Basis: The amount paid for a property, including equity capital and the amount of debt incurred. Build Out: The construction or improvements of the interior of a space, including flooring,walls, finished plumbing, electrical work, etc. Building Permit: Written government permission to develop, renovate, or repair a building. Business risk : The uncertainty associated with the possible profit outcomes of a business venture.