Commercial Mortgage Terms Glossary V - Ocean Capital Lending

“If you have dreams …
… we have the solutions ”

Commercial Mortgage Terms Glossary V

Vacancy
The number of units or space (of a specific commercial type) that are vacant and available for occupancy at a particular point in time within a given market (usually expressed as a vacancy rate).

Vacancy allowance
A desirable level of vacancy that is known to facilitate transactions and turnover in a housing market (for example, a vacancy rate that allows the market to operate smoothly and efficiently by enhancing household mobility); an index used for estimating housing demand.

Vacancy rate
The percentage of the total supply of units or space of a specific commercial type that is vacant and available for occupancy at a particular point in time within a given market.

Variable
A measurable attribute of a person, place, property, location, or other phenomenon of interest, whose value may vary from observation to observation.

Variable expenses
Costs, such as utilities, that vary with a building’s occupancy rate.