Glossary of terms
This glossary of terms has been composed by FIRST STRATA to provide you with an easily accessible and comprehensive description of the many terms frequently used in all aspects of land sales.
We trust you will find it both useful and informative.
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Royal Institute of British Architects, The (RIBA)
Royal Institution of Chartered Surveyors, The (RICS)
Royal Town Planning Institute, The
Running yield (straight yield)
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Descriptive of property to the extent that it is alongside a river or stream.
Rights held by a person owning a property abutting a non-tidal watercourse. The rights may relate to the water itself, the bed of the watercourse or both and may extend to such matters as taking water for traditional domestic and agricultural purposes. For navigation or fishing.
A rent which will increase by predetermined amounts at given times during the term of a lease. Cf UPWARD ONLY RENT REVIEW.
In insurance terms, the item(s) or subject(s) against which the protection is provided.
Cash or cash equivalent subscribed to support a commercial venture such that the whole or part of it may be lost if the venture fails, and if it succeeds the subscriber becomes entitled to his share of the profits, whether by way of income and/or capital appreciation, eg an ordinary share in a company. The degree of risk as estimated is reflected in the yield expected if the venture succeeds. See EQUITY 3 AND 4; EQUITY CAPITAL; VENTURE CAPITAL.
A percentage by way of interest which is not paid at customary intervals but instead is added to the principal amount of a loan as it accrues. In effect it is converted into capital on which interest continues to accrue, thereby increasing the amount of debt outstanding which latter sum is repayable at a predetermined date. See FRONT MONEY.
A right to postpone the payment of capital gains tax in cases where the proceeds or part of the proceeds of a disposal of business assets are used to acquire other assets.
In conveyancing of unregistered land, a document which forms a solid basis to establish the title of the land. It must go back at least 15 years, sufficiently for identification, showing a disposition of the whole interest contracted to be sold and containing nothing throwing any doubt on the title.
A set of valuation tables complied by Jack Rose MPhil FSVA, based on the assumption that income is to be received quarterly in advance and interest is paid annually.
The consent given on behalf of the sovereign to a Parliamentary Bill, which has been passed by both Houses of Parliament. Such consent converts the Bill into an Act of Parliament.
The principal professional body in the British Isles concerned with architecture. Founded in 1834, the purposes of the RIBA were expressed in the Royal Charter, granted in 1837, as the general advancement of civil architecture and for promoting and facilitating the acquirement of the knowledge of the various arts and sciences connected therewith. The RIBA now has than 27,000 members, of which some 5,800 are overseas members.
The principal professional body in the British Isles concerned with surveying. It was founded in 1868 by the amalgamation of three surveyors' clubs and has since been joined by, among a number of bodies, the Chartered Land Agents' Society, the Chartered Auctioneers' and Estate Agents' Institute (both in 1970), and the Institute of Quantity Surveyors (1982). The institution was granted a Royal Charter in 1881 and now (1988) has over 80,000 members, including overseas members, in seven divisions. The present divisions are Building Surveyors; General Practice; Land Agency and Agriculture; Land Surveyors; Minerals; Planning and Development; and Quantity Surveyors.
The professional body in the UK chartered to promote the art and science of town planning. Established in 1914, it had by 1988 a membership of over 14,000. Members work in local government, central government, in private practice, or as academics in planning education or research.
A method of valuing mineral bearing land by which the royalties likely to be derived from extracting minerals over the life of the workings are estimated and capitalised.
See MINERAL ROYALTY.
Statutory provisions whereby certain relatives or dependants of an intestate are entitled to specific shares of the deceased's estate. If there are no beneficiaries under these rules, the estate passes to the Crown under escheat.
On death the rules governing the distribution of the estate (real and personal) to beneficiaries under a will or on intestacy. See RULES OF INTESTACY.
1. A non-retained agent who makes his business from obtaining advance information on propositions and introducing them to other agents ahead of formal marketing. The intention is to establish a position entitling him to a share of any fee subsequently earned by any one of those agents in respect of such propositions. See FINDER'S FEE.
2. A prospective purchaser for a property.
The present income from a property expressed as a percentage of the present market value.
A scale of valuers' fees for work done in preparing claims for compensation and negotiating their settlement following the compulsory acquisition of land. The scale was originally drawn up during the railway boom in mid-Victorian times by Edward Ryde, one of the founders of the Royal Institution of Chartered Surveyors and its president in 1880-83. For many years the scale was one of the official RICS scales of professional charges (Scale 5), but as a result of the abandonment of most of these scales in 1982 responsibility for it was taken over by the Chief Valuer, Valuation Office, Inland Revenue, who issued the present revised scale in 1984.
