Also referred to as Cap Rate, is the percentage rate utilised to capitalise the net income to arrive at the current value of the property or its indicative selling price.
Let the buyer beware. It also applies to a lease.
Change of Use
Refers to the development application to the Council by the lessee, to change the use of the property in order to carry out their specific type of business.
Price – Median
The middle number when data is arranged from lowest to the highest in sequence. If there are two median scores, they are averaged to provide the true median. The median is also known as the 50th percentile.
Security – After Hours
Forms part of the building’s operations and will be the responsibility of the building manager. Key card access, concierge hours of operation, security guard contractors for after-hours patrolling for example, are all matters which the property manager should be consulted for clarification.
A term when used during a negotiation, means any suggestion, plan put forward by one party cannot be used by the other party as evidence if the negotiation falls down.
A common ratio used to measure the tenant efficiency of individual buildings floor plates. This ratio is calculated by dividing the total net lettable area by the number of people who occupy the floor space.
The instance when a vendor is prepared to offer the buyer finance or other assistance such as staged payments.