Iaao 102 Exam Questions And Answers

Percentage Lease {Ans: a contract that requires a fixed minimum base event based on volume of business, sales, productivity, or use of the property by the tenant is called ___________}Month to Month Lease {Ans: short term lease that May or may not me in written form. This type of lease provides no security for the tenant or landlord.}What's a lease? {Ans: Considered both a contract and conveyance}Gross Leasable Area (GLA) {Ans: includes the entire area of the building}Leverage {Ans: borrowing of funds in hopes of earning a greater return than the cost of the borrowed funds. This amount can be be negative, positive, or neutral.}Net Leasable Area (NLA) {Ans: includes only the floor area occupied by the tenant.}Four factors to capture overall yield rate (Yô) - {Ans: 1. Safe rate 2. Risk Rate 3. Rate for non-liquidity 4. Rate for Management}Percentage Lease {Ans: a contract which calls for a fixed minimum base rent and a variable rent.}Junior Mortgage {Ans: typical a second mortgage}Effective Gross Income (EGI) {Ans: obtained after determining the potential income for the property}Five Methods of Developing an overall capitalization rate - {Ans: 1. Derivation from comparable