IAAO 102 Exam/IAAO 102 Exam Study Guide/ Questions & Answers/Updated Solution

What's a lease? (Ans- Considered both a contract and conveyance 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. Percentage Lease (Ans- a contract which calls for a fixed minimum base rent and a variable rent. Gross Lease (Ans- the landlord is required to pay all operating expenses associated with the real estate. Net Lease (Ans- the tenant is required to pay all or part of the operating expenses associated with the real estate. Tenant improvements (Ans- Terms of lease where it explains the extent of the work that the landlord is willing to do in the form of a building or improvement allowance. Types of Rents – (Ans- 1. Market Rent 2. Contract Rent 3. Excess Rent 4. Percentage Rent 5. Deficit Rent 6. Effective Rent Gross Leasable Area (GLA) (Ans- includes the entire area of the building Net Leasable Area (NLA) (Ans- includes only the floor area occupied by the tenant. Gross Income Multiplier (Ans- relationship between Effective gross income