An acquisition loan is a type of loan used specifically for the purchase of real estate properties. These loans are generally utilized by buyers to acquire commercial, residential, or undeveloped land.
An Acquisition, Development, and Construction (ADC) Loan is a specialized type of loan used to fund the acquisition of land, the development of building sites, and the construction of residential or commercial properties.
An advance in real estate is a form of loan disbursement given to real estate developers or builders. This is sometimes referred to as a 'draw,' where funds are released based on the completion of certain stages within a real estate project.
Air rights refer to the legal ability to use, control, or occupy the vertical space above a given piece of property. These rights can be leased, sold, or transferred to another party, often significantly impacting property development, urban planning, and real estate markets.
An informal, unincorporated organization of educational institutions established in 1983 to advance common interests in real estate administration, including management, leasing, investment, development, acquisition, and disposition.
Attached housing refers to dwelling units that are connected to each other on at least one side, often separated by firewalls or other physical partitions. This stands in contrast to detached housing, where structures are standalone.
Cost new rent refers to the minimum market rental rate needed to justify new construction projects in a real estate market.
A development loan is a type of commercial loan designed to finance the construction or renovation of buildings primarily for commercial use. It is sometimes interchangeably referred to as a construction loan.
End Loan, often referred to as a Permanent Mortgage, is a financing process that replaces a construction loan or interim loan when a property is completed. This loan facilitates long-term financing once the project transitions from the construction phase.
In real estate, 'entitlement' refers to the legal rights granted to a developer for the approval of certain land uses, as well as the term associated with the VA loan guarantee available to eligible veterans.
In real estate, a gradient, also known as a slope, refers to the rate of increase or decrease in the elevation of a specific surface or land area. It is often expressed as a percentage and is crucial in the planning and construction phases of property development.
A ground lease is an agreement in which a tenant leases land for a long period, usually spanning several decades. The tenant can develop and use the land during the lease term, but at the end of the lease, ownership and any improvements revert to the landowner.
Land Use Intensity (LUI) refers to the extent to which a land parcel is developed, considering the conformity with zoning ordinances and regulations.
Leased land, also referred to as leasehold land, involves leasing a parcel of land from a landowner for a specified time period, often for development or long-term residency. This arrangement grants the tenant certain property rights without transferring land ownership.
In real estate, a model often refers to a prototype or example property that is used to simulate potential outcomes of a real estate project. Utilizing models helps developers, investors, and other stakeholders visualize and anticipate project results.
In real estate, a moratorium is a temporary prohibition or suspension on specific activities, often put in place to allow for further planning, analysis, or policy formulation.
A professionally derived estimate of property value based on some expected future event, commonly used in real estate development and financing.
A Real Estate Operating Company (REOC) is a business entity engaged in the direct ownership, operation, management, and development of real estate properties. Unlike Real Estate Investment Trusts (REITs), REOCs do not necessarily have to distribute a significant portion of their earnings as dividends and are not subject to the same regulatory requirements.
A Rolling Option provides the right to extend the term of a purchase option by offering some form of compensation. The option holder can delay purchasing the property under specified terms.
A plot of land prepared for or underlying a structure or development. This term refers to the specific location of a property, including its geographic, environmental, and infrastructural features.
Speculation in real estate refers to investment decisions made based on predictions about the future value of property. This can involve acquiring property with the expectation of selling it off at a higher price after a favorable market change or development.
Spot Zoning refers to the act of rezoning a specific parcel of land to a use that differs from the zoning classification of its surrounding area. This practice is often scrutinized for creating inconsistencies in land use and is generally disallowed by courts.
A structure refers to any constructed improvement to a site. This term encompasses a wide range of edifices such as buildings, fencing and enclosures, garages, gazebos, greenhouses, kiosks, sheds, and utility buildings.
The fundamental economic concept of Supply and Demand dictates that market prices are determined at an equilibrium point where the quantity supplied matches the quantity demanded. In real estate, this principle is complicated by the slow adjustment of supply due to lengthy planning and development periods.
A large area of land, usually subdivided into smaller parcels for the purposes of development or sale.
A Transfer of Development Rights (TDR) is a zoning ordinance mechanism that allows property owners in low-density or conservation areas to sell their development rights to other property owners. This system supports low-density development, such as historic preservation or open space conservation, while permitting higher density developments elsewhere, effectively balancing real estate utilization.
A turnkey project is a type of development where the developer completes the entire project on behalf of a buyer, turning over the keys upon completion. This comprehensive approach includes all necessary activities such as land purchases, permits, planning, and construction.
Undeveloped land, also referred to as raw land, represents parcels of property that have not been built upon, subdivided, or improved. This type of real estate offers a range of investment opportunities but also comes with various risks and considerations.
Zero lot line development refers to houses built directly on the boundary of the lot, leaving little to no yard space. This construction style maximizes land use and is often seen in densely populated urban areas.
