Build-to-suit
A project where a developer builds a property to a specific tenant's needs, and the tenant signs a long-term lease or buys it at completion. Common for retail chains, distribution centers and medical users.
Also called: BTS, build to suit lease, custom build
Related terms
Changes made to a space to fit a tenant's needs, such as walls, flooring and wiring. Landlords often offer a TI allowance per square foot, which is negotiated as part of the lease.
A lease where the tenant pays base rent plus its share of property taxes, insurance and maintenance. The landlord's income is more predictable, and the tenant takes on rising operating costs.
A home that is newly built or still being built, usually sold by the builder. Builder contracts differ from resale contracts, and the sales rep works for the builder.
A deal where a business sells property it uses and then leases it back from the buyer, usually on a long-term net lease. It frees up cash while the business keeps operating in place.
Property used for manufacturing, storage, distribution and logistics, including warehouses and flex buildings. Clear height, loading docks, power and highway access matter most to tenants.