JG Capital

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-P-

Pad - Ground Tenant Type - Characterizes the tenant type based on usage of the leased area; a parcel of land subdivided from a larger parcel upon which a lessee constructs a building; pad sites are typically located around shopping malls and in high-scale retail areas. Generally, pad sites are located close to a street or freeway or close to an entrance or exit of a mall or shopping center.

Pad - Improved Tenant Type - Characterizes the tenant type based on usage of the leased area; a parcel of land subdivided from a larger parcel upon which is improved a freestanding building or buildings; pad sites are typically located around shopping malls and in high-scale retail areas. Generally, pad sites are located close to a street or freeway or close to an entrance or exit of a mall or shopping center.

Pad Sites - Individual freestanding sites or parcels of land comprising the property; often adjacent to a larger shopping center. Pad sites are typically leased by national retailers and fast food restaurants; usually structured as long-term ground leases in which the improvements (buildings) are commonly leasehold improvements (owned by the tenant).

Partial Recourse - Identifies whether the lender accepts partial-recourse loan requests.

Partially Sprinklered - Identifies whether only portions of the property are sprinklered; a sprinkler system is typically an automatic fire-suppression system with an audible alarm and that disperses an area with water or fire retardant from overhead sprinklers when excessive heat and/or smoke is detected. Fire systems are typically wet, dry or chemical systems.

Passenger Elevator - An elevator used to carry people, typically separate from a freight elevator. Elevators should be adequate in terms of speed, load capacity, safety, number, and they should be able to meet peak period demands. Appraisers judge the adequacy of elevators using established standards (e.g. one elevator per 25,000-40,000 square feet of GBA). Elevator service impacts the overall functionality of the property.

Percentage Lease - Commonly used for large retail stores. Rent payments include a minimum or “base rent” plus a percentage of the gross sales “overage”. Percentages generally vary from one to six percent of the gross sales depending on the type of store and sales volume.

Percentage Rent - Rent, computed as a percentage of retail sales above a breakpoint, paid by tenants under typical retail leases. Usually paid instead of or in addition to a specified minimum base rent; commonly used for large retail stores. Rent payments include a minimum or "base rent" plus a percentage of the gross sales "overage." Percentages generally vary from 1% to 6% of the gross sales depending on the type of store and sales volume. Overage rent is percentage rent paid over and above the guaranteed minimum rent or base rent; calculated as a percentage of sales in excess of specified breakeven sales volume.

Percentage Subsidized - Identifies the percentage of scheduled gross rental income that is subsidized.

Permanent Loan - A mortgage loan, usually covering development costs, interim loans, construction loans, financing expenses, and marketing, administrative, legal, and other costs. This loan differs from the construction loan in that financing goes into place after the project is constructed and open for occupancy. It is a long-term obligation, generally for a period of 10 years or more.

Phase I - An assessment and report prepared by a professional environmental consultant which reviews the property - both land and improvements - to ascertain the presence or potential presence of environmental hazards at the property such as underground water contamination, PCB’s, abandoned disposal of paints and other chemicals, asbestos and a wide range of other potentially damaging materials. This Phase I Environmental Site Assessment ("ESA") provides a review and makes a recommendation as to whether further investigation is warranted (a Phase II Environmental Site Assessment). This latter report would confirm or disavow the presence of an environmental hazard and, should one be found, will recommend additional review and/or mitigation efforts that should be undertaken.

Physical Property Inspection (Property) - Identifies whether the property has been physically inspected by the originator.

Playgrounds - Identifies the number of playgrounds located on the property.

Points - Points are a one time charge assessed at closing by the lender to increase the lender's earnings on mortgage loans. One point equals 100 basis points, or 1% of the loan. Referred to as a "par loan" if no points are charged by the lender.

Pooling and Servicing Agreement - A legal contract defining the responsibilities and the obligations for management of a CMBS particularly for the Master Servicer and the Special Servicer. This primary document governs and controls much of the CMBS process. Also abbreviated as PSA, not to be confused with the Public Securities Association which is also known as PSA.

Power Shopping Center - Open shopping center of 100,000 - 325,000 square feet. Tenants: At least two (usually more) anchor stores.

Preliminary Title Fee - A quoted or estimate fee to cover the cost of the title documents and services required by the lender to obtain a mortgage.

Prepayment Lockout - The number of periods during which the borrower is restricted from prepaying the mortgage loan; typically expressed in years or months. In order to reduce prepayment risk, commercial mortgages commonly have lockout periods and/or prepayment premiums or yield maintenance. A prepayment penalty is paid by the borrower for any prepayments made on a mortgage loan if required under the loan documents. The premium is usually set at a fixed rate which, at times, decrease in steps as the loan matures. For example, a mortgage loan can have a premium of 5% for the first seven years and during the next five years the premium decreases at a rate of 1% per year (4% in year eight, 3% in year nine); after year twelve, there is no prepayment premium.

Prepayment Privilege - The privilege or right given by the mortgagee (lender) to the mortgagor (borrower) that allows prepayment all or part of a mortgage debt before it is due.

Primary Guest Type - For hotels, identifies the primary type of guests. Options include Business, Government, Traveler, Business or Vacation, Business/Economy, Extended Stay, Other.

Prime Rate - An index rate; a published interest rate (or interpolation of rates) usually corresponding to the current yield of a US Treasury note or bond, Prime Rate, LIBOR, etc. The Final Note Rate is typically equal to the sum of the index rate plus the spread. Index rate yields are typically published in daily papers by financial information services (e.g. Wall Street Journal, Bloomberg).

Private Pay - Income from patient beds occupied by patients paying with cash or private insurance.
Processing Fee - A fee, charged by a lender, to prepare all the documents associated with your mortgage.

Property Class - A general classification of real property based on design, construction and finish. Options include Class A, Class B, Class C and Class D.

Property Insurance - An expense line item that includes all fees relating to property and casualty and other related insurance costs associated with the property.

Property Name - Identifies the property name that is displayed on the Property List; an easily recognizable or descriptive name; typically a street address or property name (e.g. "100 Main Street" or "Commerce Center Mall"). The default name is the Loan Name.

Property Subtype - Identifies the property or "building" subtype; subcategorization that further describes the building type.

Property Type - Indicates the general property type. Options include Office, Multifamily, Mobile Home Park, Retail, Industrial, Healthcare, Self Storage, Hotel and Mixed Use.

Proposed DSCR - Identifies the debt service coverage ratio that is being quoted on the requested loan.

Proposed LTV - Identifies the loan to value ratio that is being quoted on the requested loan.

Prorata Expense Reimbursement - Identifies that the cost of the associated item is allocated between the lessor and lessee based on the lessee's proportionate share of net rental area (e.g. to prorate real property taxes or insurance).

Public Sewer Service - Identifies whether the property is serviced with public sewer.

Public Water Service - Identifies whether the property is serviced with public water.