Chapter 8

Kasper Hovannisian

Chapter 8

1. What is it called when a developer commits significant resources to a project?

A. Postcommitment

B. Precommitment

C. Commitment

D. Phase 1

2. Who contracts with a developer to construct real estate improvements?

A. Analysis

B. Broker

C. General Contractor

D. Agent

3. A short term loan issued to a developer to fund the construction stage of a project is:

A. Takeout Loan

B. Construction Loan

C. Bridge Loan

D. Permanent Loan

4. A marketability study is an analysis that aims to estimate how much of the total demand can be captured by a particular property.

T / F

5. The economic and locational enviorment in which a particular property competes and trades is the competitive market.

T / F

6. There is no need to obtain a permit when beginning a construction project.

T / F One must obtain a permit on most construction projects.

7. The process which occurs before the developer has committed significant resources to a project is the precommitment stage.

T / F

8. The use that results in the greatest productivity for a site is called highest and best use.

T / F