This is the act of investing to protect finances and other investments by applying market strategies.
Latest Posts
Cash Flow After Tax/es (CFAT)
Also known as after-tax cash flow, CFAT measures the financial performance of a company exhibiting its ability to generate the operations cash flow. This is calculated by adding the non-cash charges like as depreciation...
Guaranteed Maximum Price (GMP)
This is a cost-plus contract wherein reimbursments are paid to the contractor for all costs associated with construction plus a fixed fee. The accepted costs and fees are capped, so the cost risks are transferred to the...
Expected Value (EV)
This is the foreseen value for an investment at a certain point in the future. It is estimated by multiplying all possible outcomes by the probability that each outcome will happen and then adding up all of those values.
Average free rent
Indicated in months, this is the span of time the rent abatement concession is anticipated to be granted for the tenant. This is part of the leasing incentive under the current market conditions. Average free rent may increase or...
Contract
Under the U.S. judicial system, a contract is a document that provides each party with a right that is enforceable. It is a legal agreement between individuals or entities that requires one another to conduct specified and...
Core Investment
This is an investment made for a high quality real estate asset or site that is usually located in an accessible and desirable sub-market. For an asset to be considered this, it must command among the sub-market's highest rents...
Hard Money Loan
With this asset-based loan, the borrower acquires funds secured by the value of a piece of real estate that is often at a higher interest rate than a traditional commercial property loan. Hard money loans are used for turnaround...
Economic Sectors
These are the divisions or branches of an economy on the local or regional scale where particular activities take place. There are three sectors: primary (retrieval and production of raw materials), secondary (transformation of...
Distribution Building
This is a warehouse facility specifically made to accommodate the efficient movement of goods.