Glossary

The rent shown on a lease document which may not include outgoings or the effect of incentives.

A complex of buildings, structures, roads and associated equipment, such as a hospital, school, shopping centre, manufacturing plant or the like, which represents a single management unit for financial, operational, maintenance or other purposes.

The purposes of planning, managing, maintaining, rationalising and accounting for facilities and associated services while simultaneously seeking to reduce the associated overall costs. The primary focus of facilities management is to provide the optimum level of facility for the least financial outlay.

(See Market Rent)

(See Market Value)

Accommodation which offers guests the opportunity to observe or become involved in farm life on a rural property. This type of accommodation offers a wide variety of standards and services.

A financial analysis usually included in a report of a proposal to change or develop an asset. A project is ‘feasible’ when analysis indicates that there is a reasonable likelihood of satisfying explicit objectives and when a selected course of action is tested for fit to a context of specific constraints and limited resources.

The fullest and highest possible interest one can possess in real estate. Ownership of unlimited duration. Upon owner’s death, real estate will pass to their heirs.

Deposit taking institutions including all approved deposit funds, superannuation funds, mutual funds, insurance companies and the investment operations of banks (except in the case of mortgagees).

The accounting year used by specific companies. Usually the twelve months to June 30.

Installed items that may be removed from real estate without causing irreparable damage to the land, structure or use of the premises.

Non-current assets intended for use on a continuing basis in the operations of an entity. Fixed assets include tangible assets (such as property, plant and equipment), intangible assets (such as goodwill, licences and contracts) and financial assets. The term is something of a misnomer as it includes ships, aeroplanes, locomotives, rolling stock and motor vehicles as well as land, buildings, plant and machinery.

Appurtenances affixed to structures or land, usually in such a manner that they cannot be independently moved without damage to themselves or the property housing, supporting or pertinent to them.

Generally means the useable floor space of a building. Can be defined in a number of different ways depending upon the type of building.

Value of an asset, assuming the vendor is obliged to sell without reservation. Defined by the IVSC as ‘the amount which may reasonably be received from the sale of (an asset) within a time frame too short to meet the marketing time frame of the market value definition’.

Investors, public or private, whose centre of operations or residence is outside Australia.

An arrangement between franchisor and franchisee through which the franchisee uses the company name of the franchisor and is provided specific business services in exchange for a franchise fee. The fee is usually an initial purchase requirement plus an ongoing percentage of gross sales of the business.

The highest form of interest in land, and the nearest the law allows a real property owner to approach property ownership. A freehold estate is one which is of unlimited duration, that is to say, it cannot be said of an estate of freehold at the time of its creation when it will come to an end.

Refers to the boundary of a lot that abuts a roadway.

Moveable articles, such as tables, chairs, desks, beds, cabinets, wardrobes, etc. required for functional or ornamental purposes in buildings.

The value of an asset at a specified date in the future. The value of an asset today is the Present Value of its future value discounted at an appropriate rate.