Commercial Real Estate Transactions - Test 04

Taking the Ontario Commercial Real Estate Transactions Test is an essential step towards becoming a licensed real estate professional in Ontario. This rigorous test comprises 200 multiple-choice questions and is designed to evaluate prospective real estate agent’s knowledge of commercial property transactions. However, candidates need not worry, as our free Ontario Commercial Real Estate practice test offers an excellent opportunity to hone their skills and prepare for the exam. All questions featured in the practice test have been taken from the official Ontario real estate course book, ensuring that candidates gain a comprehensive understanding of the field’s fundamental concepts and principles.

Commercial Real Estate Transactions - Practice Test 04

Ontario Commercial Real Estate Transactions - Course 4

1 / 30

Brownfields sites are generally ones which…?

Were previously used for agriculture

Previously had residential buildings on them

Previously had industrial buildings on them

Were previously in a natural state

2 / 30

Floor load refers to the capacity of a floor to support…?

Vehicles

Live loads

Stored goods

Structural weight

3 / 30

The office area of an industrial building generally takes up what percentage of the total building area?

40%

10%

30%

20%

4 / 30

Measurements of industrial properties for sale should be taken by…?

The seller's brokerage

The seller

A professional measurement company

The buyer

5 / 30

A commercial brokerage asked to look for a property for a buyer must perform detailed analysis of their…?

Site requirements

All of these

Building requirements

Business requirements

6 / 30

The "highest and best use" of a building or vacant land is the one that…?

Will offer the most eco-friendly use of the land

Will produce the greatest financial/amenity return

Will offer the greatest benefit to the neighbourhood community

Will provide the greatest tax return to the government

7 / 30

Older industrial properties may be converted into "incubator" buildings, which are characterised by…?

Single use industrial purposes

Warehousing facilities for businesses elsewhere

Expensive substantial manufacturing units

Small low rent units

8 / 30

Brownfields sites often attract…?

Accelerated planning/approval processes

Municipal tax relief

Any/all of these

Municipal financial assistance

9 / 30

Industrial hydro services commonly use what to change the voltage of the electrical supply?

Converter

Transformer

Battery

Delimiter

10 / 30

If a seller does not wish to remedy any detrimental conditions on their property before selling, what should a salesperson do?

Warn them that it will adversely affect value

Insist that remedial measures must be taken

Refuse to market the property

Report them to the authorities

11 / 30

Surveys should be prepared by…?

The salesperson

A building expert

The buyer

An Ontario Land Surveyor

12 / 30

The ultimate goal of due diligence by a salesperson is to…?

Ensure that the seller gets maximum value

Place the buyer in full possession of all facts

Cover the salesperson against legal action

Make sure that all property taxes are paid

13 / 30

When a salesperson has received a buyer's criteria, the code of ethics demands that they should…?

Only show them properties that offer good remuneration

Refuse to show them properties that offer lower remuneration

Show them all suitable properties without regard to potential remuneration

Show them the properties offering the largest remuneration first

14 / 30

If a property falls under "nonconforming use" because its usage predates the passage of zoning bylaws, owners…?

Have to demolish the building and rebuild

Will be heavily fined

Can apply for a continuation of nonconforming use

Must end the nonconforming use immediately

15 / 30

A hydrogeological report may be required if…?

Water pressure is too low

Changes to the water supply are needed

The property has no water supply

The water supply has been cut off for some time

16 / 30

The tenant mix in a retail centre is ultimately determined by…?

The property owner

The existing tenants

Customer surveys

Potential tenants

17 / 30

Soil testing of industrial land is undertaken by…?

The buyer

The seller

Third-party experts

The salesperson

18 / 30

Checking employee records should be done as part of…?

Financial and operational due diligence

Structural of due diligence

Legal due diligence

Environmental due diligence

19 / 30

Accessory buildings on industrial lots are primarily used for what?

Vehicle storage

Generating plant

Raw material storage

Staff restrooms

20 / 30

Bay depth in a property is what?

The width of the loading dock

The distance between walls

The distance between floor and ceiling

The distance between columns

21 / 30

Whether or not a property is affordable for a specific buyer will depend on the purchase price and…?

Any/all of these

Management expenses

Potential returns

Current cost of borrowing

22 / 30

Capital expense quotes for buyers should be…?

Any of these

Obtained from third-party professionals

Prepared by the seller

Prepared by the salesperson

23 / 30

The Ontario Building Code sets the number of bathrooms required in an industrial building on the basis of…?

Number of employees

Size of building

Height of building

Purpose of building

24 / 30

The effective age of a building is…?

Based on the number of years since planning permission was requested

Based on the care and maintenance the building has received

Based on the number of years since it was built

Based on the number of years it has been in operation

25 / 30

A grade level loading dock permits access for…?

Forklift trucks

Motorcycles

Pickup trucks

Saloon cars

26 / 30

If a buyer wants to alter a building to meet their specific needs in a way that does not comply with local zoning bylaws, they must apply for…?

Change of use permission

Major variance

Zoning variance

Minor variance

27 / 30

Office space in industrial buildings is typically limited by zoning laws to a maximum of what percentage of the total area?

40%

30%

10%

20%

28 / 30

Failure to disclose known latent defects and material latent defects may leave a property…?

Unfit for habitation

In violation of municipal/provincial regulations

Any/all of these

In a dangerous state

29 / 30

Which of these could be granted an easement over industrial land?

Any/all of them

Power cables

Storm sewerage

Natural gas lines

30 / 30

Which of these is an example of a "single purpose" industrial building?

Basic warehousing building

Specialised warehousing building

Specialised manufacturing building

Oil refinery

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