Basis Point

A basis point is one one-hundredth of one percent (0.01 percent). Thus, a one-basis-point increase in the yield of a 10-year bond would result in a yield increase from, for instance, 5.49 precent to 5.50 precent.

Base Year

In a commercial lease, the year used as a reference against which revenues or expenses in subsequent years are measured to determine additional rent charges or the tenant's share of additional operating expenses of the building.

AFFO (Adjusted Funds from Operations)

AFFO is FFO (Funds from Operations), less normalized recurring expenditures that are capitalized by the REIT and amortized, but which are necessary to properly maintain and lease the property.

Cap Rate

Cap rate or capitalization rate is the unleveraged return expected by the buyer of a property, expressed as a precentage of an all-cash purchase price. It is normally determined by dividing the property's expected net operating income (before depreciation) by the purchase price.

What is Mixed Use?

Mixed-use development refers to the practice of containing more than one type of use in a building or set of buildings. In zoning terms, this can mean some combination of residential, commercial, industrial, office, institutional, or other uses.

Background

Mixed-used development was the most prominent style of development during the large majority of the history of human cities and towns. Because people walked for daily transportation, it was most convenient to locate the uses in proximity. People often made a living from their own homes. This was particularly true in cities, where the bottom floor was often devoted to some sort of commercial use, and living space was upstairs.

Mixed-used development fell out of favor during the Industrial Age in favor of more efficient manufacturing in dedicated structures. Many of these buildings produced substantial industrial pollution, detrimental to those who lived nearby. These factors were important in the push for Euclidian zoning that separated land uses.

Another impetus for Euclidian zoning was the birth of the skyscraper. Fear of buildings blocking out the sun led many to call for zoning regulations, particularly in New York City. Zoning regulations, first put into place in 1916, not only called for limits on building heights, but eventually called for separations of uses. This was largely meant to keep people from living next to polluted industrial areas. This separation however, was extended to commercial uses as well, setting the stage for the suburban style of life that is common in America today. This type of zoning was widely adopted by municipal zoning codes.

Benefits

Throughout the late 20th century, it began to become apparent to many urban planners and other professionals that mixed-use development had many benefits and should be promoted again. As American cities deindustrialized, the need to separate residences from dangerous factories became less important. Completely separate zoning created isolated "islands" of each type of development. In many cases, the automobile became a requirement for transportation between vast fields of residentially zoned housing and the separate commercial and office strips. Jane Jacobs' influential The Death and Life of Great American Cities argues that a mixture of uses is vital and necessary for a healthy urban area.

Zoning laws attempt to address these problems by using mixed-use zoning. A mixed use district will most commonly be the "downtown" of the community. The mixed use guidelines often result in residential buildings with streetfront commercial space. Retailers have the assurance that they will always have customers living right above and around them, while residents have the benefit of being able to walk a mere number of yards to get groceries and household items, or see a movie.

This description of mixed-use is copyleft the Wikipedia.