Real Estate Glossary

The party that contracts for the construction of an entire building or project, rather than a portion of the work. The general contractor hires subcontractors, (e.g., plumbing contractors, electrical contractors, etc.), coordinates all work, and is responsible for payments to the subcontractors.

A member of a partnership who has authority to bind the partnership. A general partner also shares in the profits and losses of the partnership. See Also: Limited Partnership

A lease, generally long term in nature, with varied rental payments and usually based on periodic appraisal or simply the passage of time.

To transfer an interest in real property; either the fee or a lesser interest, such as an easement.

One to whom a grant of property or property rights is made; generally, the buyer.

One who grants property or property rights; generally, the seller.

Absorption is a measure of the amount of office space leased over a period of time. Gross absorption is a measure of the total square feet leased over a period of time with no consideration for office space vacated in the same area during the same period. See Also: Net Absorption

The total floor area in an office building measured in square feet or square meters that is associated with that building's use as office building. The area extends to the outer surface of exterior walls and windows and includes office area, retail area, and other rentable areas such as vending machine space and storage area, but excludes parking and roof space.

A lease that provides that that the landlord shall pay all expenses of the leased property, such as taxes, insurance, maintenance, utilities, etc.

A lease covering the use of land only, with the lease sometimes secured by improvements installed by the tenant. Also called a "Land Lease."

Rent paid for vacant unimproved property. If the property is improved, ground rent is that portion of the total earnings attributable to the land only.

One who makes a guaranty. See Also: Guaranty

Agreement whereby the guarantor agrees to pay the debt or perform the obligation of another who fails to do so. Differs from a surety agreement in that there must be a failure to pay or perform before the guaranty can be in effect.