Market Analysis Flashcards
The financial means that people (either by household or by market area) possess to purchase durable and non-durable goods.
Purchasing power
Pyschographics
Information on lifestyles, interests, hobbies, consumer preferences, and shopping habits of households residing in a market area, used in retail tenanting and housing design.
A hotel’s revenue per available room, calculated by multiplying the annual occupancy by average room rate.
RevPAR
Property life cycle – The three periods in the life of a building:
Development
Stability
Decline
Net absorption
The change in square feet of occupied inventory over a specified period of time, including the addition or deletion of that period of time.
Market niche
A subgroup within a market segment that is distinguishable from the rest of the segment by certain characteristics.
Market penetration
The percentage of total demand in a market area that a project captures.
Marquee tenants
Major tenants in an office building.
Move-up housing
Typically, larger, more expensive homes that homeowners buy as their incomes increase. First homes, or “starter homes,” are generally more modest in size and price.
Market area
The goegraphical region from which the majority of demand the majority of competitors are located.
Inflow
Retail spending from consumers living outside the trade area.
Leakage
The portion of aggregate spendable income that is unsatisfied by existing retail offerings that “escapes” to retailers beyond the local trade area.
Gross lease
An agreement whereby the landlord pays for taxes, insurance, repairs, and other costs (including some or all utilities and trash removal) for space occupied by the tenant.
FAR
FAR (floor/area ratio) – The ratio of floor area to land area, expressed as a percentage or decimal.
FAR = Total SF of floor area/ Total SF of lot
Cash flow analysis
The analysis of income and expenditures, usually on a year-by-year basis, from the project’s inception to completion.
