BPO

PSF: Per Square Foot in Commercial Real Estate

PSF: Per Square Foot in Commercial Real Estate

PFS, or per square foot, is the way that many commercial real estate rental and sale transactions are calculated. For example, many annual leases will be set at a specific PFS rate, for example, $15 PFS. If a store is leasing 1,000 sq. ft. at $15 PFS, then their annual leasing cost would be $15,000. Broken up into 12, one-month increments, that comes out to $1250 a month. 

GLA: Gross Leasable Area in Commercial Real Estate

GLA: Gross Leasable Area in Commercial Real Estate

Gross leasable area, or GLA, is the amount of space in an a commercial building that can actually be rented by a tenant. In most cases, this includes any basements, mezzanines, or upper floors that a tenant can potentially utilize. Typically GLA is measured from the center of a wall or other partition that separates tenants (such as retail stores in a shopping mall), from the lease line in common areas, and fully takes into account any walls that are not shared with other tenants. 

BPO/BOV: Broker Price Opinions in Commercial Real Estate

BPO/BOV: Broker Price Opinions in Commercial Real Estate

A BPO, or broker price opinion, also known as a BOV, or broker opinion of value, is an estimate provided by a real estate broker to help a potential investor get a better idea of how much they should bid for a property. A BPO/BOV is not held to the same standard as an appraisal, but it is typically much faster and much less expensive.