F.I.P.
Fire Indicator Panel that identifies to building management and fire brigade where alarms have occurred.

F.I.T.
It is an acronym with multiple meanings: foreign individual traveler, frequent individual traveler, or fully independent traveler. F.I.T. often applies to an international pre-paid unescorted tour that includes several travel elements such as accommodations, rental cars, and sightseeing.

F.O.C.
An acronym for Free of Charge. Includes any goods or services provided gratis.

façade
The front face of a building.

face rent
The quoted rent without taking out the effect of rent-free periods, rebates or incentives, if any.

face rental
Nominal gross market rental as represented on a lease.

facilities management
The management of owned and occupied corporate real estate and the services provided for the occupants.

facility
The building or area constructed specifically to accommodate the occupiers’ needs.

fair market value
The amount at which an item could be exchanged between willing unrelated parties, other than in a forced liquidation. It is usually the quoted market price when a market exists for the item.

fair rent
The market rent of a property.

far (THA)
Plot ratio or the building to land ratio.

fee
Remuneration paid to a professional adviser or real estate agent.

fee simple
1) The highest form of freehold land tenure under English law, in which “fee” signifies heritability of the tenancy and “simple” that there is no qualification as to the heirs who may succeed to do it. 2) Commonly, though wrongly, used as a synonym for freehold tenure, which has a wider meaning in law.

fengshui
Feng Shui or fengshui is the ancient Chinese practice of placement and arrangement of space to achieve harmony with the environment. The practice is estimated to be more than 3,000 years old. It is also known as Geomancy and is still actively practiced and observed by individuals and companies in many parts of Asia, especially in Hong Kong and China.

FF&E
Furniture Fittings and Equipment not fixed to the structure that are required in the fit out of a facility (commonly used in hotel construction i.e., beds, lamps, desk, etc.).

final account
The agreed amount to be paid to the contractor/s for works completed including any adjustments for variations, delay costs, etc.

final completion
The date following the defects liability period when a project is deemed complete and all final payments have been paid.

financing costs
The rate of interest and other service charges needed to obtain a loan.

finder’s fee
A fee paid to an unlicensed broker for an introduction.

fire sprinkler system
A system installed in the ceiling of buildings that automatically sprinkle water (in order to douse flames) if the ambient temperature crosses a given threshold.

fire wall
Wall that prevents fire from spreading to other parts of a building.

firm commitment
An irrevocable and legally binding statement agreeing to do or not do something.

first mortgage
The mortgage that has priority over all others when there is a second charge on the mortgaged asset.

first partial month’s payment
If the rent commencement date for the first month of the initial term is other than the first day of a calendar month, then the rent for such partial month is prorated on daily basis, based on the actual number of days in such calendar month.

first refusal right
A right given by one party to another whereby the first party is obliged to give the second party a chance to acquire an asset before he offers it to anyone else.

first-level market
The land market where developers obtain land from the government via auction or bid.

fit-out
The physical components included in a facility constructed to enable the occupier to utilize the space.

fit-out costs
Expenses incurred in fitting out premises prior to occupancy.

fit-out period
Period wherein lessee may perform fit-out works.

fittings
Items which are affixed to land or buildings and which are easily removed.

fixed assets
Assets of a permanent nature the benefit of which is expected to be enjoyed beyond the current financial year.

fixed price contract
A building contract in which the total price is fixed at the outset usually subject only to changes due to subsequent variations in statutory undertakers’ charges.

fixed rate mortgage
A mortgage where the rate of interest remains constant throughout.

fixed rent
A rent which cannot be changed during the entire period of a lease or, at the date when the lease is being valued, will be unaltered for such a length of time that no change in capital value would be attributed to the prospect of a different rent during the remainder of the lease.

fixtures
Items that are fixed to property and treated as part of that property. Unless specifically excluded, sale of property includes the sale of fixtures as well.

flagship store
A large, signature store that showcases the best and widest variety of merchandise for a particular brand. It may serve as a mini-anchor in a shopping mall or may take the form of an iconic standalone building.

flat
A separate set of premises, normally all on the same floor, forming part of a building, divided horizontally from some other part of the building, constructed or adapted for the purposes of a private dwelling and occupied wholly or mainly as a private dwelling.

flat lease
An agreement where the same amount of rent has to be paid throughout the life of a lease.

flatted factory
A high-rise industrial building that accommodates light industry that is non-pollutive. It may be located close to residential areas because of its non-pollutive nature.

flexible interest rate
Same as variable interest rate and flexible interest rate. A rate that can move up and down between due payment, as opposed to a fixed interest rate that is set for the life of the loan or a predetermined period.

floating charge
A charge where the lender has security for a loan spread over all, or a defined class of, the borrower’s assets.

floor area
The aggregate superficial area of a building, taking each floor into account.

floor load
The live or superimposed load on a floor, usually expressed in pounds per square foot (lb/sq. ft.) or kilo-Newtons per square meter (kN/m_).

floor plan
An architectural sketch of various rooms, balconies, bathrooms, etc.

floor space
The total area covered by a building. It includes external walls, partitions, stairwells, plant rooms and enclosed car parking areas.

Floor Space Index (FSI)
The quotient of the ratio of the combined gross floor area of all floors, to the total area of the plot.

flowage easement
An easement by convention that allows water from lands at higher levels to flow into and through lands located at lower levels even though there may be no agreements to such effect.

Flying freehold
A part of building owned freehold where the structure below is in different ownership.

force majeure
An act of god (natural calamities), or an act of man (war, riots) beyond the control of the parties to a contract which makes it impossible for one of the parties to fulfill the terms of that contract. Many contracts have a force majeure clause.

forced sale
Sale , which is made without the voluntary consent of the owner, such as when properties are sold for defaults on loans.

foreclosure
The act of taking away the right, title and interest of the owner of a property or asset in default of due payments.

foreclosure sale
The sale of a property following foreclosure.

foreign investor
Investor who purchases/sells property in an overseas jurisdiction.

forfeit
The loss of a right, privilege, property, or money because of a crime, breach of obligation, or neglect of duty.

franchise
A system of business in which a company is owned by one or more persons, but other people are allowed to use its name and good will to sell some centrally approved products and services in return for a franchise fee. Franchise agreements often make it mandatory for franchisees (persons taking a franchise) to buy certain items from the franchisors.

fraud
An act that is done with the intent of acquiring property or money by deceit.

free and clear
Property that is not encumbered.

free standing building
A standalone building which is not attached to any other building.

freehold
A tenure in perpetuity.

front elevation
Height. Also means frontal face of a building.

full house
A hundred per cent occupancy in a commercial or residential property or hotel.

Full Rental Value (FRV)
The best possible rental that might reasonably be expected in the open market for a particular property at a given time, having regard to the terms of the actual or notional lease, eg., responsibility for repairs rights of assignment or subletting, or basis of review.

functional obsolescence
Something that is no longer useful because it is outdated, though it may still have some residual economic life.

funding
Commonly used to refer to the financing of property development.

furniture and fixtures
Accounting term covering furniture and other items that are used in an office or home but not part of the property.