Flashcards to revise Key Definitions and Concepts
The area, expressed in m², which is physically empty but otherwise occupiable.
Vacancy
Positive absorption
Demand for space is higher than supply.
The aggregation of all commercial real estate transactions (lease and sale), construction, and demolition concerning space in a given market.
Total Gross Activity
The aggregation of all commercial real estate transactions (lease and sale), construction, and demolition concerning space in a given market.
Total Gross Activity
A sublet lease (sublease)
A lease agreement signed between the current tenant and a new tenant. tenant + tenant.
A lease in which all operating costs on the property are included in the rental charged rather than charged as a separate amount.
Gross Lease
Outgoings
The expenses of maintaining and operating basic building functions that the owner will divide among tenants who will bear costs.
(a) the parties involved in a sale do not have any special or other business relationship which may influence the concept of a willing buyer (b) when a sales transaction is conducted strictly on a commercial basis, despite mutual association between parties concerned.
Arm’s Length Transactions
Vacancy Rate
The percentage of unoccupied space in a commercial real estate property or market.
NOI
Net Operating Income
