CCIM 101
Two major decision makers - correct answer Users and investors
Users - correct answer Those who make decisions regarding space that they need to use for
their business
Investors - correct answer Those who make decisions regarding investments in properties that
are or could be leased to users
Can a user also be an investor? - correct answer Yes. Even so it is useful to separate the decision
to use the real estate from the decision to invest in the real estate. A property can have great
use but maybe a bad investment.
User decisions - correct answer Users want space that meets the needs of their business in
terms of location, size and layout of the space, quality of building and perhaps proximity to
other business suppliers and customers
Users decisions part two - correct answer Should space be acquired?
What type and how much space should be acquired?
Where should the space be acquired?
What should the space acquisition entity be?
Should the space be a purchase or lease?
What should the acquisition process be?
User decision leased space - correct answer Should discretionary capital expenditures be made?
Should the capital structure of acupuncture be changed?
Should the space utilization be changed?
Should the user continue to occupy the space?
Should any lease options be exercised?
, CCIM 101
Should the lease be renegotiated?
Should the space be disposed of?
User decisions owned space - correct answer Should discretionary capital expenditures be
made?
Should the capital structure be changed?
Should the space utilization be changed?
Should the user continue to occupy the space?
Should the property be sold or exchanged?
User disposition decisions - correct answer What should the disposition price be?
Should should the disposition method be?
Should should the disposition process be?
Investor decisions - correct answer Investors are primarily interested in receiving a return on
investment (yield) that is commensurate with the risk that they will incur by making an
investment.
Rate of return - correct answer The rate of return is the percentage return on each dollar
invested for each period it is invested. Rates of return can be estimated on before tax or an after
tax basis
Acquisition decisions - correct answer Should investment real estate be acquired?
What type of investment real estate should be acquired?
When should investment real estate be acquired?
Where should investment real estate be acquired?
Which of the available investment real estate alternatives should be acquired?
Two major decision makers - correct answer Users and investors
Users - correct answer Those who make decisions regarding space that they need to use for
their business
Investors - correct answer Those who make decisions regarding investments in properties that
are or could be leased to users
Can a user also be an investor? - correct answer Yes. Even so it is useful to separate the decision
to use the real estate from the decision to invest in the real estate. A property can have great
use but maybe a bad investment.
User decisions - correct answer Users want space that meets the needs of their business in
terms of location, size and layout of the space, quality of building and perhaps proximity to
other business suppliers and customers
Users decisions part two - correct answer Should space be acquired?
What type and how much space should be acquired?
Where should the space be acquired?
What should the space acquisition entity be?
Should the space be a purchase or lease?
What should the acquisition process be?
User decision leased space - correct answer Should discretionary capital expenditures be made?
Should the capital structure of acupuncture be changed?
Should the space utilization be changed?
Should the user continue to occupy the space?
Should any lease options be exercised?
, CCIM 101
Should the lease be renegotiated?
Should the space be disposed of?
User decisions owned space - correct answer Should discretionary capital expenditures be
made?
Should the capital structure be changed?
Should the space utilization be changed?
Should the user continue to occupy the space?
Should the property be sold or exchanged?
User disposition decisions - correct answer What should the disposition price be?
Should should the disposition method be?
Should should the disposition process be?
Investor decisions - correct answer Investors are primarily interested in receiving a return on
investment (yield) that is commensurate with the risk that they will incur by making an
investment.
Rate of return - correct answer The rate of return is the percentage return on each dollar
invested for each period it is invested. Rates of return can be estimated on before tax or an after
tax basis
Acquisition decisions - correct answer Should investment real estate be acquired?
What type of investment real estate should be acquired?
When should investment real estate be acquired?
Where should investment real estate be acquired?
Which of the available investment real estate alternatives should be acquired?
