Commercial Real Estate Transactions

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

Accessory buildings on industrial lots are primarily used for what?

Staff restrooms

Generating plant

Raw material storage

Vehicle storage

2 / 30

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

Must end the nonconforming use immediately

Have to demolish the building and rebuild

Can apply for a continuation of nonconforming use

Will be heavily fined

3 / 30

Bay depth in a property is what?

The distance between floor and ceiling

The distance between columns

The width of the loading dock

The distance between walls

4 / 30

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

Current cost of borrowing

Any/all of these

Potential returns

Management expenses

5 / 30

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

Purpose of building

Size of building

Number of employees

Height of building

6 / 30

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

40%

10%

30%

20%

7 / 30

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

Building requirements

Site requirements

All of these

Business requirements

8 / 30

A hydrogeological report may be required if…?

The property has no water supply

Changes to the water supply are needed

The water supply has been cut off for some time

Water pressure is too low

9 / 30

Capital expense quotes for buyers should be…?

Prepared by the seller

Obtained from third-party professionals

Prepared by the salesperson

Any of these

10 / 30

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

Customer surveys

The property owner

The existing tenants

Potential tenants

11 / 30

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

Insist that remedial measures must be taken

Warn them that it will adversely affect value

Refuse to market the property

Report them to the authorities

12 / 30

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

Natural gas lines

Power cables

Any/all of them

Storm sewerage

13 / 30

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

Small low rent units

Expensive substantial manufacturing units

Warehousing facilities for businesses elsewhere

Single use industrial purposes

14 / 30

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

Will produce the greatest financial/amenity return

Will offer the most eco-friendly use of the land

Will offer the greatest benefit to the neighbourhood community

Will provide the greatest tax return to the government

15 / 30

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

Basic warehousing building

Specialised warehousing building

Oil refinery

Specialised manufacturing building

16 / 30

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

A professional measurement company

The buyer

The seller

The seller's brokerage

17 / 30

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

Ensure that the seller gets maximum value

Cover the salesperson against legal action

Make sure that all property taxes are paid

Place the buyer in full possession of all facts

18 / 30

Brownfields sites are generally ones which…?

Previously had residential buildings on them

Were previously in a natural state

Were previously used for agriculture

Previously had industrial buildings on them

19 / 30

Surveys should be prepared by…?

An Ontario Land Surveyor

The buyer

The salesperson

A building expert

20 / 30

Soil testing of industrial land is undertaken by…?

The buyer

The salesperson

The seller

Third-party experts

21 / 30

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

Refuse to show them properties that offer lower remuneration

Show them all suitable properties without regard to potential remuneration

Only show them properties that offer good remuneration

Show them the properties offering the largest remuneration first

22 / 30

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

Unfit for habitation

In a dangerous state

Any/all of these

In violation of municipal/provincial regulations

23 / 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…?

Major variance

Minor variance

Change of use permission

Zoning variance

24 / 30

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

20%

40%

30%

10%

25 / 30

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

Live loads

Vehicles

Structural weight

Stored goods

26 / 30

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

Converter

Delimiter

Battery

Transformer

27 / 30

The effective age of a building is…?

Based on the care and maintenance the building has received

Based on the number of years since planning permission was requested

Based on the number of years since it was built

Based on the number of years it has been in operation

28 / 30

Brownfields sites often attract…?

Accelerated planning/approval processes

Municipal tax relief

Any/all of these

Municipal financial assistance

29 / 30

Checking employee records should be done as part of…?

Structural of due diligence

Legal due diligence

Financial and operational due diligence

Environmental due diligence

30 / 30

A grade level loading dock permits access for…?

Pickup trucks

Motorcycles

Forklift trucks

Saloon cars

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