There are 20 names in this directory beginning with the letter D.
Debt instrument evidencing the holder_s right to receive interest and principal installments from the named obligor. Applies to all forms of unsecured, long-term debt evidenced by a certificate of debt.
The amount of the required periodic payments of principal and interest on a loan or other obligation.
Debt Service Coverage Ratio (DSCR or DSC)
The amount of cash flow available to meet annual principal and interest payments on business loans and investment real estate loans. Formula: Debt Service Coverage Ratio = Net Operating Income _ Debt Service
Debt Service Coverage Ratio (or Debt Coverage Ratio)
Measures a mortgaged property_s ability to cover monthly payments defined as the ratio of net operating income over the periodic payments (principal and interest) made on a loan. A DSCR of less than 1.0 means that there is insufficient cash flow generated by the property to cover required debt payments.
Debt to Worth Ratio or Debt to Equity Ratio
Ratio of the business_s debt to net worth. It is calculated by dividing liabilities by shareholders' equity or the company's net worth. The lower this ratio, the greater the size of buffer available to creditors/lenders, the higher the ratio the greater the potential risk.
Deed of Trust
A document under seal which, when delivered, transfers a present interest in property. May be held as collateral.
Default Interest and Late Charges
Default Interest is a higher rate of interest that is charged to a business borrower while their loan is in default (the default rate of interest will be set forth in the loan documents). Late charges are amounts that will be charged if a borrower is late in a payment that is due even though the loan is not in default.
A form of Prepayment Penalty on commercial mortgage loans. Defeasance is technically not a prepayment but is a substitution of collateral. Generally, Treasury bonds are purchased and used as substituted collateral with maturity dates geared to provide the same return to the mortgagee. If treasury returns are low the cost to the borrower can be quite high. If treasury rates are high the borrower could potentially get a discount on prepayment.
Generally this refers to maintenance of business property that is required but has not been performed or has been put off to a later date.
In accounting, an expense recorded to deduct a business_s tangible asset's cost over its useful life. Because depreciation is a non-cash expense, it does not impact cash flow but it does decrease reported earnings.
A charge against the reproduction cost (new) of an asset for the estimated wear and obsolescence. Depreciation may be physical, functional or environmental.
(Also called Light Industrial) Generally the least intense industrial use. Office use is limited to management tasks for the distribution or warehouse facility, or about 15 percent of total space.
A mobile home consisting of two units which have been fastened together along their length.
The part of the purchase price paid in cash up front, reducing the amount of the loan or mortgage.
The legal definition: a measure of prudence, activity or assiduity, as is properly to be expected from, and ordinarily exercised by, a reasonable and prudent person under the particular circumstances. In CMBS due diligence is the foundation of the process because of the reliance securities investors must place on the specific expertise of the professionals involved in the transaction.