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

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

40%

10%

20%

30%

2 / 30

A hydrogeological report may be required if…?

The property has no water supply

Water pressure is too low

Changes to the water supply are needed

The water supply has been cut off for some time

3 / 30

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

Will provide the greatest tax return to the government

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

4 / 30

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

20%

10%

40%

30%

5 / 30

Capital expense quotes for buyers should be…?

Any of these

Obtained from third-party professionals

Prepared by the seller

Prepared by the salesperson

6 / 30

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

Purpose of building

Number of employees

Size of building

Height of building

7 / 30

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

Expensive substantial manufacturing units

Single use industrial purposes

Warehousing facilities for businesses elsewhere

Small low rent units

8 / 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

9 / 30

Accessory buildings on industrial lots are primarily used for what?

Staff restrooms

Generating plant

Vehicle storage

Raw material storage

10 / 30

Brownfields sites are generally ones which…?

Were previously used for agriculture

Previously had industrial buildings on them

Previously had residential buildings on them

Were previously in a natural state

11 / 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…?

Zoning variance

Major variance

Minor variance

Change of use permission

12 / 30

A grade level loading dock permits access for…?

Forklift trucks

Pickup trucks

Motorcycles

Saloon cars

13 / 30

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

The buyer

A professional measurement company

The seller

The seller's brokerage

14 / 30

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

In violation of municipal/provincial regulations

Unfit for habitation

In a dangerous state

Any/all of these

15 / 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

Only show them properties that offer good remuneration

Show them the properties offering the largest remuneration first

Show them all suitable properties without regard to potential remuneration

16 / 30

Surveys should be prepared by…?

An Ontario Land Surveyor

The salesperson

The buyer

A building expert

17 / 30

Soil testing of industrial land is undertaken by…?

The seller

The salesperson

The buyer

Third-party experts

18 / 30

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

Site requirements

Business requirements

Building requirements

All of these

19 / 30

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

Potential returns

Current cost of borrowing

Management expenses

Any/all of these

20 / 30

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

Battery

Delimiter

Transformer

Converter

21 / 30

Checking employee records should be done as part of…?

Structural of due diligence

Financial and operational due diligence

Environmental due diligence

Legal due diligence

22 / 30

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

Potential tenants

Customer surveys

The existing tenants

The property owner

23 / 30

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

Basic warehousing building

Specialised manufacturing building

Specialised warehousing building

Oil refinery

24 / 30

Brownfields sites often attract…?

Municipal financial assistance

Municipal tax relief

Accelerated planning/approval processes

Any/all of these

25 / 30

The effective age of a building is…?

Based on the number of years it has been in operation

Based on the number of years since it was built

Based on the number of years since planning permission was requested

Based on the care and maintenance the building has received

26 / 30

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

Vehicles

Live loads

Stored goods

Structural weight

27 / 30

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

Will be heavily fined

Must end the nonconforming use immediately

Can apply for a continuation of nonconforming use

Have to demolish the building and rebuild

28 / 30

Bay depth in a property is what?

The width of the loading dock

The distance between columns

The distance between floor and ceiling

The distance between walls

29 / 30

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

Cover the salesperson against legal action

Place the buyer in full possession of all facts

Make sure that all property taxes are paid

Ensure that the seller gets maximum value

30 / 30

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

Storm sewerage

Any/all of them

Power cables

Natural gas lines

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