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

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

The buyer

The seller's brokerage

The seller

A professional measurement company

2 / 30

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

Battery

Converter

Delimiter

Transformer

3 / 30

Surveys should be prepared by…?

The salesperson

An Ontario Land Surveyor

A building expert

The buyer

4 / 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 greatest benefit to the neighbourhood community

Will offer the most eco-friendly use of the land

Will provide the greatest tax return to the government

5 / 30

Brownfields sites are generally ones which…?

Were previously used for agriculture

Previously had industrial buildings on them

Were previously in a natural state

Previously had residential buildings on them

6 / 30

Bay depth in a property is what?

The distance between columns

The width of the loading dock

The distance between walls

The distance between floor and ceiling

7 / 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

8 / 30

Soil testing of industrial land is undertaken by…?

Third-party experts

The buyer

The seller

The salesperson

9 / 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

10 / 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 it has been in operation

Based on the number of years since it was built

11 / 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

12 / 30

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

Show them the properties offering the largest remuneration first

Refuse to show them properties that offer lower remuneration

Only show them properties that offer good remuneration

Show them all suitable properties without regard to potential remuneration

13 / 30

A hydrogeological report may be required if…?

The water supply has been cut off for some time

Changes to the water supply are needed

The property has no water supply

Water pressure is too low

14 / 30

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

Specialised warehousing building

Basic warehousing building

Oil refinery

Specialised manufacturing building

15 / 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

Minor variance

Zoning variance

Major variance

16 / 30

Checking employee records should be done as part of…?

Environmental due diligence

Financial and operational due diligence

Legal due diligence

Structural of due diligence

17 / 30

Accessory buildings on industrial lots are primarily used for what?

Staff restrooms

Generating plant

Raw material storage

Vehicle storage

18 / 30

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

Number of employees

Purpose of building

Height of building

Size of building

19 / 30

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

Power cables

Natural gas lines

Any/all of them

Storm sewerage

20 / 30

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

40%

10%

20%

30%

21 / 30

A grade level loading dock permits access for…?

Motorcycles

Saloon cars

Forklift trucks

Pickup trucks

22 / 30

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

40%

10%

30%

20%

23 / 30

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

Potential tenants

Customer surveys

The property owner

The existing tenants

24 / 30

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

Must end the nonconforming use immediately

Can apply for a continuation of nonconforming use

Have to demolish the building and rebuild

Will be heavily fined

25 / 30

Brownfields sites often attract…?

Accelerated planning/approval processes

Municipal tax relief

Municipal financial assistance

Any/all of these

26 / 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

Make sure that all property taxes are paid

Cover the salesperson against legal action

27 / 30

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

Any/all of these

Unfit for habitation

In a dangerous state

In violation of municipal/provincial regulations

28 / 30

Capital expense quotes for buyers should be…?

Prepared by the seller

Any of these

Prepared by the salesperson

Obtained from third-party professionals

29 / 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

Report them to the authorities

Refuse to market the property

30 / 30

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

Stored goods

Live loads

Vehicles

Structural weight

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