A headline rent is the rent that is paid under a lease, after the end of any rent-free periods or any period of reduced rent. It creates an artificially inflated rent by ignoring the rent-free period, period of reduced rent or any other concessions the landlord may have given to the tenant in return for a higher headline rate. Headline rent is most commonly associated with open market lettings, but increasingly at lease renewal and lease re-gearing / restructuring. Headline rent usually also forms the benchmark for any "upward only" rent review in the lease.

A heads of terms agreement identifies and highlights the requirements of both the transacting parties in a property deal. Its advantage is that both parties will fully understand what they are subject to, and reduce or abolish any misunderstandings from each party. The heads of terms will form the basis of the contract and be forwarded to the parties' solicitors to draft the contract or lease.

The unit of assessment for rating, defined in statute merely as a building which is or could be subject to a rate. A proper understanding of what comprises a hereditament relies on case law precedent developed over 400 years. Any decision on rateable occupation requires the existence of a hereditament, that is a physical unit capable of use or occupation or a ‘right’ to advertise, the latter being expressly mentioned in the main enabling act, the Local Government Finance Act, 1988.

The period over which the investment is assumed to be held.

The target return or IRR from an investment.

The basis of valuation under a rent review clause. In most commercial property Leases, rent is reviewed periodically to an open Market rent level - the rent review clause will prescribe the exact terms to be assumed and matters to be disregarded, in a hypothetical letting of the subject property at the review/valuation date. Usually based on the terms of the actual lease, but can vary e.g., length of term, whether break options are imported/included, assumptions as to permitted user etc.