J Terms
Joint Venture – An investment entity formed under contract by two or more parties to pursue a specific business opportunity, such as purchase or develop and manage real property and/or other assets, and share…
I Terms
Implied Cap Rate – Net operating income divided by a property’s amount of equity market capitalization and outstanding debt. Improvements – In the context of a lease, the improvements made to or inside a property, but can…
A Terms
Abandonment – The voluntary relinquishment of an interest, claim, privilege or possession of property. Abatement – A period of time when a renter takes possession of real property prior to or outside the time…
B Terms
Bankrupt – The state of an entity or individual that is unable to repay its current obligations and debts. Base Rent – A fixed amount of rent used as a basis for increasing…
C Terms
Common Area Maintenance (CAM) – Maintenance charges for the upkeep of a building’s common areas, such lighting, insurance, and property taxes. Capital Appreciation – A property’s or a group of properties’ change in market value adjusted…
D Terms
Deal Structure – How a financing package for an acquisition is designed. Deals can be unleveraged or leveraged; traditional, participatory, or convertible debt; or joint venture. Dedicate – To convert privately owned property…
E Terms
Earnest Money Deposit – The monetary deposit against the purchase of a property to show the buyer’s intention to fulfill a contract. Earnest money becomes part of the down payment if the offer…
F Terms
Furniture, Fixtures & Equipment – Personal or business property which is used in the real property but which is not valued as part of the real property. Facility Space – The floor area…
G Terms
General Contractor – The contractor who contracts with the property owner for the overall construction of a building or project. A subcontractor contracts with the general contractor for a portion of the construction…
H Terms
HVAC – Heating, Ventilation and Air Conditioning. The HVAC contractor installs the heater, or air conditioning system in a building. Hard Cost – Actual cost of building property improvements or building structure not including the land. Hazard Insurance – Insurance against losses…