Commercial Real Estate Loans & Investment Sales

Abatement

Abatement - A reduction or decrease. Usually applies to a decrease of assessed valuation of ad valorem taxes after the assessment, and levy.

See our full commercial real estate financing related glossary of terms.

Abandonment

Abandonment:  The voluntary relinquishment of rights of ownership or another interest (such as an easement) by failure to use the property, coupled with intent to abandon (give up the interest). More commercial real estate finance glossary terms can be found on the PSC Glossary of Real Estate Terms page.

AAA Tenant

A tenant with a top credit rating. This type of tenant is often critical to the developer’s ability to arrange both construction and permanent financing for a major commercial project, such as a shopping center or office building. See our full commercial real estate financing related glossary of terms.

1031 Exchange

Section 1031 of the Internal Revenue Code allows for the disposition of interests in commercial real estate assets on a tax free basis so long as the proceeds from sale are transferred into "like kind" assets within a time period certain in compliance with section 1031. For more information on 1031 exchanges you can contact the Internal Revenue Service or a professional advisor.