Practice Test Geeks(ASC) Argus Software Certification Practice Test
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Lease Modeling Flashcards

7 cards from real ASC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. In ARGUS Enterprise, what does the 'CPI' rent adjustment method use as its basis?

    Answer: Consumer Price Index changes over a defined period

    CPI adjustments in ARGUS tie rent escalations to the Consumer Price Index, reflecting real-world inflation-linked lease structures.

  2. When modeling a lease with a blend-and-extend scenario in ARGUS Enterprise, what typically changes in the cash flow?

    Answer: Below-market rent is blended toward market with an extended term

    Blend-and-extend combines current below-market rent with market rent into a blended rate while the tenant commits to a longer term.

  3. What is the function of the 'Base Year Stop' in a modified gross lease within ARGUS?

    Answer: The landlord pays all expenses up to the base year amount; tenant pays increases above it

    A base year stop means the landlord absorbs operating expenses up to the base year level and the tenant pays any expense growth beyond that.

  4. In ARGUS Enterprise, which input field controls how much free rent a new tenant receives at lease commencement?

    Answer: Months Free Rent

    The 'Months Free Rent' field in ARGUS specifies the number of months at the start of the lease where the tenant pays no base rent.

  5. When a tenant has a co-tenancy clause, how does ARGUS Enterprise typically model the rent impact if the anchor tenant vacates?

    Answer: Rent is reduced to a specified alternative rate or percentage of sales

    Co-tenancy provisions often allow a tenant to pay a reduced or percentage-of-sales rent if an anchor tenant leaves, which ARGUS can model as an alternative rent scenario.

  6. What does 'market leasing assumptions' (MLA) in ARGUS Enterprise define?

    Answer: Default lease terms applied to vacant spaces upon re-leasing

    MLAs set the template terms—market rent, lease duration, TIs, free rent—that ARGUS applies automatically when modeling future re-leasing of vacant or expiring spaces.

  7. In ARGUS Enterprise, if a lease is structured with 'percentage rent,' what additional data input is required?

    Answer: Tenant sales volume and breakpoint threshold

    Percentage rent requires entering the tenant's reported sales and the natural or artificial breakpoint above which the percentage rent kicks in.