Master commercial real estate (CRE) terminology with our comprehensive glossary. Explore key terms, definitions, and industry jargon essential for navigating property transactions. From cap rates to lease types, empower your understanding of CRE intricacies for informed decision-making and successful ventures.
Note: The information contained in this section is for general information purposes only and is provided without warranty of any kind.
- Abatement
- Above Building Standard
- Absorption
- Absorption Rate
- Acre
- Adjusted funds from operations
- Ad valorem
- Anchor
- Anchor Tenant
- Appraisal
- ''As Is'' Condition
- Assessment
- Asset management
- Asset management fee
- Assets under management
- Asset turnover
- Assignee name
- Assignment
- Attorn
- Available Office Space
- Average common equity
- Average downtime
- Average free rent
- Average occupancy
- Average Rent Per Square Foot
- Average total assets
- Balloon Payment
- Balloon risk
- Bankrupt
- Bankruptcy
- Base principal balance
- Base rent
- Base Year
- Below-grade
- Beneficiary
- Beta
- Bid
- Book value
- Broker
- Brokerage
- Buildable acres
- Building Classifications
- Building code
- Building standard plus allowance
- Build-out
- Build-to-suit
- Bullet Loan
- Call date
- Capital appreciation
- Capital expenditures
- Capital Expenses
- Capital gain
- Capital improvements
- Capitalization Rate
- Capital markets
- Cap Rate
- Carrying Charges
- Cash flow
- Cash-on-cash yield
- Cash (or Funds) Available for Distribution
- Certificate of occupancy
- Chapter 7
- Chapter 11
- Circulation factor
- Class A
- Class B
- Class C
- Clear-Span Facility
- Closed-end fund
- Closing
- CMBS (commercial mortgage-backed securities)
- CMO (collateralized mortgage obligation)
- Co-investment
- Co-investment program
- Collateral
- Commercial real estate
- Commercial real estate broker
- Commercial real estate fund
- Commingled fund
- Commodity Pool Operator (CPO)
- Common area
- Common area maintenance
- Comparables
- Concessions
- Condemnation
- Conduit
- Construction loan
- Construction Management
- Construction Starts
- Consultant
- Consumer Price Index ("CPI")
- Contiguous space
- Contract Documents
- Contract rent
- Convertible debt
- Convertible preferred stock
- Conveyance
- Core
- Core Investment
- Core-plus
- Core properties
- Cost-approach improvement value
- Cost of Capital
- Cost-of-sale percentage
- Coupon
- Covenant
- Covenant of Quiet Enjoyment
- Coworking
- Co-working
- Credit enhancement
- Creditworthy Tenant
- Cross-collateralization
- Cross-defaulting
- Cumulative discount rate
- Current occupancy
- Current yield
- Deal structure
- Debt service
- Debt service coverage ratio (DSCR)
- Dedicate
- Deed
- Deed in lieu of foreclosure
- Deed of trust
- Default
- Deferred maintenance account
- Deficiency judgment
- Defined-benefit plan
- Defined-contribution plan
- Demising wall
- Depreciation
- Derivative securities
- Design/Build
- Discount rate
- Discretion
- Distraint
- Diversification
- Dividend
- Dividend-ex date
- Dividend yield
- Dollar stop
- DownREIT
- Drag-Along Rights
- Due diligence
- Due on sale
- Earnest money
- Easement
- EBITDA
- Economic feasibility
- Economic rent
- Effective date
- Effective gross income (EGI)
- Effective gross rent (EGR)
- Effective rent
- Efficiency Factor
- Elective Stock Dividend
- Electronic Authentication
- Encroachment
- Encumbrance
- Endowment
- Entity Investing
- Environmental impact statement
- Equitization
- Equity
- Equity Market Cap
- Equity REIT
- ERISA (Employee Retirement Income Security Act)
- Escalation clause
- Escrow agreement
- Estoppel certificate
- Exclusive Agency
- Exclusive agency listing
- Exclusive Right to Sell or Lease
- Exclusive Use Clause
- Exit strategy
- Face rental rate
- Facility space
- FAD (funds available for distribution)
- FAD multiple
- Fair market value
- Fannie Mae (FNMA)
- Fee simple interest
- FFO (funds from operations)
- FFO multiple
- Fiduciary
- Finance Charge
- First Generation Space
- First-loss position
- First Mortgage
- First Refusal Right or Right Of First Refusal (Purchase)
- Fixed Costs
- Fixed rate
- Fixture
- Flat fee
- Flexible Office Space
- Flex Space
- Floor area ratio (FAR)
- Force majeure
- Foreclosure
- Forward commitments
- Foundation
- Four quadrants of the real estate capital markets
- Freddie Mac (FHLMC)
- Full Recourse Loan
- Full-service rent
- Fully diluted shares
- Future proposed space
- General contractor
- General Partnership
- GICS
- Glide Path
- Going-in capitalization rate
- Graduated lease
- Grant
- Grantee
- Grantor
- Gross building area
- Gross investment in real estate (historic cost)
- Gross Leasable Area (GLA)
- Gross lease
- Gross real estate asset value
- Gross real estate investment value
- Gross returns
- Ground rent
- Guarantor
- Guaranty
- Hard cost
- Highest and best use
- High-rise
- Holdbacks
- Holding period
- Hold Over Rent
- Hold-over tenant
- HVAC
- Hybrid debt
- Hybrid REIT
- Implied cap rate
- Implied Equity Market Cap
- Improvements
- Incentive fee
- Income capitalization value
- Income property
- Income return
- Indirect costs
- Individual account management
- Industrial Building
- Inflation
- Inventory
- Joint venture
- Judgment Lien
- Just compensation
- Kiosk
- Landlord’s Lien
- Landlord's warrant
- Lead manager
- Lease
- Lease agreement
- Lease commencement date
- Lease expiration exposure schedule
- Leasehold interest
- Lease renewal
- LEED® (Leadership in Energy and Environmental Design)
- Legal description
- Legal owner
- Letter of credit
- Letter of intent
- Leverage
- LIBOR (London InterBank Offered Rate)
- Lien
- Lien waiver
- Lifecycle
- Like-kind property
- Limited partnership
- Liquidity
- Listing agreement
- Loan-to-value ratio (LTV)
- Lock-box structure
- Lockout
- Long-term lease
- Loss severity
- Lot
- Low-rise
- Lump-sum contract
- Magic page
- Maker
- Mandate
- Manufacturing Building
- Marketable title
- Market capitalization
- Market rental rates
- Market study
- Market value
- Mark to market
- Master Lease
- Master Limited Partnership - MLP
- Master servicer
- Maturity date
- Mechanic's lien
- Metes and bounds
- Mezzanine financing
- Mid-rise
- Minority Investment
- Mixed-use
- Modified Gross Lease
- Mortgage
- Mortgage broker
- Mortgage constant
- Mortgage REIT (mREIT)
- Negative amortization
- Net assets
- Net Asset Value (NAV)
- Net asset value per share
- Net cash flow
- Net investment income
- Net investment in real estate
- Net operating income (NOI)
- Net present value (NPV)
- Net purchase price
- Net returns
- Net sales proceeds
- Net square footage
- Nominal yield
- Non-compete clause
- Non-discretionary funds
- Non-investment-grade CMBS
- Non-performing loan
- Non-recourse debt
- Non-Recourse Loan
- Non-residential buildings
- Normal Wear and Tear
- Offer
- Office Building
- Office Condo
- Open-end fund
- Open Space
- Operating Cost Escalation
- Operating Expenses
- Opportunistic
- Option
- Originator
- Out-parcel
- Overallotment
- Parking Ratio or Index
- Partial sales
- Participating debt
- Pass-through certificate
- Payout ratio
- Pension fund
- Performance Bond
- Plat (Plat Map)
- Pop-up Retail
- Portfolio management
- Portfolio turnover
- Positive Spread Investing (PSI)
- Power Of Sale
- Precast Concrete
- Preleased
- Pre-let agreement
- Prime Space
- Prime Tenant
- Private Debt Real Estate
- Private Equity Real Estate
- Private REITs
- Pro rata
- Punch list
- Qualified plan
- Raw Land
- Raw Space
- Real Assets
- Real Estate Investment Trust Act of 1960
- Real Property
- Recapture
- Recourse
- Rehab
- REIT
- REIT Modernization Act of 1999
- Renewal Option
- Rent
- Rentable Square Footage
- Rentable/Usable Ratio
- Rental Concession
- Rent Commencement Date
- Rent-Up Period
- Representation Agreement
- Return on Investment (ROI)
- Sale and Leaseback
- Second Generation or Secondary Space
- Second Mortgage
- Securitization
- Security Deposit
- Seisen (Seizen)
- Setback
- Setback Ordinance
- Shell Space
- Single-tenant Office Building
- Site Analysis
- Site Development
- Site Plan
- Slab
- Soft Cost
- Space Plan
- Special assessment
- Specific Performance
- Speculative Space
- Step-Up Lease (Graded Lease)
- Straight Lease (Flat Lease)
- Straight-lining
- Strip center
- Subcontractor
- Subdivision Plat
- Subordination Agreement
- Surety
- Surface Rights
- Taking
- Tax Base
- Tax Lien
- Tax Reform Act of 1986
- Tax roll
- Tenant at will
- Tenant Improvements
- Tenant Improvement (“TI”) Allowance or Work Letter
- Tenant (Lessee)
- “Time Is Of The Essence”
- Title
- Title Insurance
- Title Search
- Total Inventory
- Total Market Cap
- Total Return
- Trade Fixtures
- Triple Net (NNN) Rent
- Turn Key Project
- Under construction
- Under Construction
- Under contract
- Unencumbered
- Unimproved Land
- Unimproved Land
- UPREIT
- Usable Square Footage
- Use
- Vacancy factor
- Vacancy rate
- Vacant Space
- Valuation
- Value-added
- Variance
- Warehouse
- Warranty of Possession
- Weighted-average coupon
- Weighted Average Rental Rates
- Working Drawings
- Workletter
- Yield
- Yield maintenance premium
- Yield spread
- Zoning
- Zoning ordinance
