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Glossary
Future value (FV)
The amount to which money grows over a designated period of time at a specified rate of interest.
FV
See future value.
Gap analysis
An evaluation of the difference in the demand and supply of space (measured in terms of square footage) for a particular type of commercial property in a given market area where gaps are expressed as the amount of square footage demanded less the amount of square footage available in a given time period. Note that if demand exceeds supply, the gap will be positive. A positive gap indicates that potential opportunities exist for successful commercial real estate transactions. However, transactions might be avoided when supply exceeds demand (or when a negative gap occurs), as there is an oversupply of available space in the market.
General market area gap analysis
A gap analysis that is carried out for a city or several cities (simultaneously) to identity one or more general market areas where a positive gap exists for a particular type of commercial real estate. Also see gap analysis.
General market factors
Factors influenced by the demographic, economic, and locational characteristics and the organizational aspects of a market.
Generic space
Commercial space that can be used for a variety of purposes, such as multiple-use office space.
Geographic Information System(s) (GIS)
System(s) (usually computer-based) used for capturing, handling, storing, retrieving, managing, manipulating, and displaying geographic information or geo-coded data.
Geographic submarket
The total number of households or housing units within a given area as defined by tenure, income, and other socio-economic attributes that are known to exist or estimated to be within specific geographic units or divisions (for example, in various census tracts).
Globalization
The condition of being or becoming globalized. A concept used to recognize cross jurisdictional interdependencies and the continuing integration of local, regional, and national economies which now form a larger economic and production system that is worldwide in scope and application; a trend that has greatly affected local economic change and real estate values.
Government incentives
Concession given or measures taken by local or regional government to attract firms or investment dollars to a given locality for the purposes of promoting economic growth and encouraging development.
Gravity model
A model that is used to account for a wide variety of flow patterns in human/economic systems, based on Newton's gravity equation which defines gravity or the flow potential (between two sites or locations) as directly proportional to the product of their masses (or size) and inversely proportional to the square of the distance between them: gravity = (mass × mass) ÷ distance2.
Gross area
The entire floor area of a building or the total square footage of a floor.