Commercial property types, lease structures, and cap rate analysis concepts distinct from residential real estate licensing.
About this set
35 basic cards for Commercial Real Estate Real Estate. It opens with "What does NNN stand for in commercial real estate?" and "In a triple net lease, who pays property taxes, insurance, and CAM?". More Professional Certifications decks are listed below.
35 cards · basic cards · AI-written, checked twice. Edit anything.
- What does NNN stand for in commercial real estate?
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Triple Net- In a triple net lease, who pays property taxes, insurance, and CAM?
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The tenant- What is a gross lease?
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Tenant pays one rent amount; landlord covers most operating expenses- What is a modified gross lease?
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A hybrid lease where tenant and landlord share certain operating expenses- What is percentage rent?
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Tenant pays base rent plus a percentage of gross sales revenue- What is cap rate, also called capitalization rate?
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Net Operating Income divided by property purchase price- How do you calculate NOI (Net Operating Income)?
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Gross rental income minus operating expenses- What does a higher cap rate generally indicate?
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Higher risk or lower property value relative to income- What is DSCR (Debt Service Coverage Ratio)?
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Net Operating Income divided by total annual debt payment- What is LTV (Loan-to-Value ratio)?
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Loan amount divided by property value, expressed as a percentage- What is cash-on-cash return?
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Annual cash flow divided by the initial cash investment- What is multifamily property?
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Residential buildings with 5 or more units- What is industrial property in commercial real estate?
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Warehouses and distribution centers used for manufacturing, storage, or logistics- What is retail property?
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Commercial property used for selling goods or services directly to consumers- What is office property in commercial real estate?
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Space leased to businesses for administrative, professional, or corporate operations
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