Your question: What is PPPM in rental property?

PPPM. Preservation, Packaging, Packing and Marking. PPPM.

What is PPPM in real estate?

A private placement memorandum (PPM) is an offering document provided by a private company that lays out the details and disclosures of a private real estate offering. A private placement memorandum is often referred to as an offering memorandum or a disclosure document.

What is down space in real estate?

Also expressed as average space downtime, downtime is the general term used to describe the typical amount of time expected between the expiration of a lease and the commencement of a replacement lease for a particular property.

What is a PPM fee?

A PPM is a disclosure document used to raise money. PPM’s or “Private Placement Memorandums” can be used to disclose all the important risk factors, fees, investment criteria, and other details related to an investment.

What is a plus e lease?

For background purposes, generally a “plus electric” rate is an indication that the electricity to the tenant’s space is separately metered. … Instead, per the fine print in their lease, the landlord is permitted to pass through the cost of electricity for the entire building.

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What is included in a PPM?

The PPM describes the company selling the securities, the terms of the offering, and the risks of the investment, amongst other things. The disclosures included in the PPM vary depending on which exemption from registration is being used, the target investors, and the complexity of the terms of the offering.

What is PPM in private equity?

Also known as an Offering Memorandum or “PPM”. A document that outlines the terms of securities to be offered in a private placement. Resembles a business plan in content and structure.

What is a shadow lease?

The difference between vacant and available space is often referred to as “shadow space.” Shadow space is space that is currently occupied but is still being marketed for lease. The tenant does not have to physically occupy the space, they simply must be paying rent and have a lease on the space.

What is home vacancy rate?

The homeowner vacancy rate is the proportion of the homeowner inventory that is vacant for sale.

How do you calculate core factor?

The core factor can be calculated by dividing the rentable square footage by the usable square footage. It is imperative that we, as Tenant Rep’s educate our clients on understanding this number in order to allocate costs and compare different options.

What is the purpose of a PPM?

The primary purpose of a PPM is to disclose to prospective investors the terms of a potential investment and primary risk factors involved in making the investment. A PPM also usually contains a considerable amount of information about the business opportunity, structure and management.

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Do I need a PPM?

A PPM is not required for every capital raise. While Rule 506 of Reg D and the antifraud provisions of the federal securities laws mandate that issuers disclose truthful and accurate information to investors, there is no requirement to provide any specific information or disclosures to accredited investors.

Is a PPM legally binding?

The PPM is a self-contained disclosure document consisting of everything that an investor will need to fund your business. The PPM also operates as legal protection that allows you to raise capital from investors while closing the loop on legal exposure and regulatory issues.

Why would you want a triple net lease?

The most obvious benefit of using a triple net lease for a tenant is a lower price point for the base lease. Since the tenant is absorbing at least some of the taxes, insurance, and maintenance expenses, a triple net lease features a lower monthly rent than a gross lease agreement.

How much is triple net usually?

For example, a landlord advertises a rent of $30 NNN per sq. ft. The NNN indicates that it’s a triple net lease. Therefore, the base rent amount per year for a 1,000 square foot space is $30,000 a year or $2,500 a month.

Who pays for a new roof in a triple net lease?

As the triple net property owner (unless otherwise specified in the NNN lease), you’ll generally be responsible for maintaining and repairing these 3 main aspects of your building: Roof (repairs, maintenance, upgrades) Exterior Walls. Utility Repairs and Upkeep (for major things such as plumbing and electricity)