Which of the following may be used as a market leasing assumption (including a renewal probability)in an analysis related to a lease renewal?
A)Market rent paid after the existing lease ends
B)Vacancy after the existing lease ends.
C)Leasing commissions paid after the existing lease ends
D)All of the above

Question

Quizplus · Accepted Answer

All of the options (market rent, vacancy, and leasing commissions) are relevant factors in analyzing a lease renewal. These factors help in estimating the future cash flows and profitability of renewing a lease, taking into account the costs and revenues associated with the property once the existing lease ends.

Which of the Following May Be Used as a Market