Commercial Real Estate Transactions

Commercial Real Estate Transactions - Test 07

If you are looking to get into the competitive world of commercial real estate in Ontario, it is essential to be prepared for the Ontario Commercial Real Estate Transactions Test. This exam is designed to assess your knowledge and understanding of Ontario’s laws, regulations, and practices concerning commercial real estate. The test comprises 200 multiple-choice questions, each taken from the official Ontario real estate course book. It is a tight and challenging exam that requires a deep understanding of the nuances of the Ontario commercial real estate market. Therefore, taking a practice test with 200 multiple-choice questions and answers that simulate the actual exam’s format is critical to acing it.

Commercial Real Estate Transactions - Practice Test 07

Ontario Commercial Real Estate Transactions - Course 4

1 / 20

If a buyer finances the purchase of a business using seller financing, the buyer must submit a business plan and an upfront downpayment of at least…?

45%

55%

35%

25%

2 / 20

A clause in a commercial lease which makes it compulsory for a tenant to maintain an active business in the leased property is known as a…?

Dark space clause

Continuous use clause

Always active clause

Continuous business clause

3 / 20

When purchasing a business, all fixtures, goods, chattels, assets and other items associated with it are considered part of the sale unless…?

They are specifically excluded in the seller's listing

They were hidden from sight during any viewings

They are customised with the seller's name or picture

Any reasonable person would consider them personal items

4 / 20

The return of a deposit to a tenant if a transaction is not closed must be by…?

Mutual verbal consent

Demand of the tenant

Consent of the landlord

Mutual written consent

5 / 20

HST may not apply to the sale of a business if the seller and buyer agree and the buyer acquires at least what percentage of the property to carry out the business activity?

70%

90%

60%

80%

6 / 20

If a commercial tenant fails to pay their rent the landlord may change the locks and evict them without notice how many days after the rent was due?

7 / 20

With offers on farm properties, the irrevocability (time given to accept, reject or make counter offers) is usually set at…?

Five days

One day

Three days

Seven days

8 / 20

When preparing a comparative market analysis for a commercial lease, the assessor should analyse the rental history for at least the previous…?

Nine years

Five years

Three years

Seven years

9 / 20

On fulfilment of certain conditions, Ontario farmers receive what reduction on municipal tax rates on their farm property?

50%

25%

15%

75%

10 / 20

If a landlord seizes a tenant's property when they have failed to pay their rent they must hold it for a minimum of how long to allow the tenant to have a chance to make payment?

Three days

Twelve days

Five days

Seven days

11 / 20

If a tenant has a "first right of refusal" clause in the lease, they have how long to decide if they wish to occupy adjacent vacant spaces to their property before it is released to a third-party?

48 hours

24 hours

96 hours

72 hours

12 / 20

The "places to grow" act does what?

Designates a geographical area as a growth area

All of these things

Promotes new housing and transportation options

Develops a growth plan with interested parties

13 / 20

Under the Employment Standards Act, when a business is sold employees of the business…?

Are automatically made unemployed

Are not entitled to any compensation

Do not have their employment terminated

Must reapply for their jobs

14 / 20

In a farm crop share lease situation, the most common division of income is that the landlord will get what share of the income from crop sales?

4-Jan

6-Jan

5-Jan

3-Jan

15 / 20

What is the "loss factor" in building measurements?

The difference between the rentable area and the gross leaseable area

The difference between the rentable area and the gross building area

The difference between the rentable area and the common area

The difference between the rentable area and the usable area

16 / 20

A listing salesperson for a business must provide a buyer with a profit and loss statement for at least the previous…?

12 months

24 months

6 months

18 months

17 / 20

A commercial lease does not compulsorily have to be in writing if it lasts for less than…?

Four years

Two years

Five years

Three years

18 / 20

REBBA defines the sale of a business as being…?

Any, or a combination of any, of these

The sale of shares

The sale of assets

The sale of real property

19 / 20

A holdover provision in a lease allows the landlord to charge how much per month if a tenant remains in a property after a lease has expired?

Three months' rent

Five weeks' rent

Six weeks' rent

Two months' rent

20 / 20

When listing a business for sale, a salesperson should consider…?

All of these things

Whether the seller's employees are aware that the business is for sale

Whether the seller is prepared for the business to be identified in listings

Whether any special precautions are needed to retain confidentiality for viewings

Your score is