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ABATEMENT
A reduction or decrease; usually applies to the forgiveness of rent or a decrease of assessed valuation of ad valorem taxes after the assessment and levy.
ABSENTEE OWNER
A landlord that is based in a city other than the one where the property is located.
ABSORPTION RATE
The estimate of the rate at which office space will be leased or occupied in a given market within a specified period (usually one year).
ADDENDUM
The part of the lease document that contains the custom features of a Lease Agreement. Synonymous with Rider.
AGENT
A person or entity that is licensed under the applicable real estate board(s) to represent a party. Due to the nature of compensation, often the party is the landlord.
AMENITY
A feature of a building or neighborhood that supplements and eases the daily tasks of an office tenant.
AMORTIZE
To spread debt or leasehold improvement costs or other monetary inducements over a defined period of time. Normally an agreed upon interest rate is applied to the costs.
ANCHOR TENANT
The largest tenant in an office building. Synonymous with Cornerstone Tenant.
ANSI
(American National Standards Institute) A collaborative effort to involving a consensus for the measurement of leased premises on a uniform basis.
APPRAISAL
An estimate of value for an asset based upon the opinion of a certified professional.
APPRECIATION
The increase in value of an asset.
ARBITRATION
A legal method for settling disputes between a landlord and a tenant using a mutually agreed upon third party. Often used as a means of avoiding court actions.
ARCADE SPACE
Retail space, generally found in a larger office building that supplements the building or acts as an architectural transition from one part of the building to another.
AS IS CONDITION
An acknowledgement and agreement by a tenant that a location or property is accepted in its current condition as inspected, including any known or unknown defects or deficiencies.
ASSESSMENT
A charge levied on a property, intended to compensate for public improvement costs such as streets, street lights, sewers, etc.
ASSIGNMENT
An agreement conveying the leasehold interests, including the financial responsibilities, from one tenant to another. Not synonymous with Sub-lease.
ATTORNMENT
A legal term describing a tenant's consent to pay rent to a third party when the landlord has pledged rent as collateral security. For example, the bank may have the right to collect rent directly from a tenant if the landlord fails to make a mortgage payment. Also applies when payment of rent changes due to a change in ownership of a property. Also known as assignment attornment.
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