Definition:
An overall indicator of both a property’s
physical condition and operating performance, where A
properties tend to be the best in the market, have above
average design, construction and finish, minimal or no
deferred maintenance, superior locations, achieve the
highest rents, and have tenants of strong credit quality; B
properties tend to be in good to above average condition,
have adequate construction but do not have design and
finish reflective of the latest standards and preferences,
have above average locations, are generally well
maintained, and command average rents; C properties
tend to be in average condition, exhibit some deferred
maintenance, provide functional space for tenants, have
less desirable locations, are usually managed by small
local companies with limited experience, command below
average rents, and have tenants of lower credit quality
that provide a less stable income stream.