Irish Commercial Property Glossary: 40 Essential Terms (2026)

About this glossary

Forty terms used every day in Irish commercial property — by valuers, investors, landlords, tenants, developers and advisors. Each definition is short, practical and accurate as of 2026. Bookmark it; new terms are added as the market evolves. Where a term has its own dedicated article on this site, the article is referenced.

A

Agreement for Lease

A binding contract to enter into a lease at a future date, usually conditional on planning, fit-out completion or other milestones. Distinct from the lease itself, which is granted on satisfaction of the conditions.

All-Risks Yield

The Irish and UK term for cap rate. Net Operating Income divided by market value, expressed as a percentage. Synonymous with 'yield' in valuation reports.

Arbitration

A formal third-party dispute resolution process under the Arbitration Act 2010. Used for rent reviews where the lease specifies arbitration. Awards are binding with limited appeal rights.

B

BCAR

Building Control (Amendment) Regulations. Irish regime requiring certified design and construction compliance on new builds and major refurbishments. Assigned Certifier role is critical.

BER

Building Energy Rating. Mandatory energy performance certification for Irish buildings on sale or letting. Rated A to G; from 2026 a BER B is increasingly the institutional minimum for prime commercial stock.

Break Clause

A lease right (held by landlord, tenant, or mutual) to terminate the lease before its contractual expiry, on specified notice and conditions. Conditional breaks are perilous for tenants if conditions aren't perfectly met.

C

Cap Rate

Net Operating Income / Value, expressed as a percentage. Same as all-risks yield. See dedicated article on NOI, cap rates and IRR.

CGT

Capital Gains Tax. Applied to gains on disposal of Irish property at the prevailing rate. A probate valuation establishes the base cost for subsequent CGT.

CPO

Compulsory Purchase Order. A statutory power for a public body to acquire private land for a public purpose, against compensation set under the Land Clauses framework.

CRO

Companies Registration Office. The Irish registrar of companies and business names.

CSRD

Corporate Sustainability Reporting Directive. EU regime requiring large companies and listed entities to report on ESG metrics. From 2026 it materially affects real estate underwriting.

D

DCF

Discounted Cash Flow. A valuation method projecting future cash flows and discounting them to present value. See dedicated article on DCF valuation.

Dilapidations

Tenant repair obligations under the lease at end of term. A schedule of dilapidations is the landlord's claim; a counter-schedule is the tenant's response.

E

EPBD

Energy Performance of Buildings Directive (EU). The 2024 recast tightens minimum energy performance and is being transposed into Irish law through 2026 to 2030.

ERV

Estimated Rental Value. The open-market rent a property could be let for in current conditions, as estimated by a valuer. Compared to passing rent to identify reversion or over-renting.

Expert Determination

A binding third-party decision-making process used for rent reviews where the lease specifies it. Faster than arbitration but with much narrower appeal rights.

F

FRI Lease

Full Repairing and Insuring. A lease where the tenant takes responsibility for all repairs and insurance. The institutional standard for Irish commercial leases.

G

GRESB

Global Real Estate Sustainability Benchmark. A voluntary ESG assessment widely used by Irish institutional fund managers to benchmark portfolio ESG performance.

H

Headline Rent

The gross rent stated in the lease. Distinct from net effective rent. See dedicated article on headline vs net effective rent.

HNW

High Net Worth (individual). A common buyer/investor segment for mid-cap Irish commercial property.

I

ICAV

Irish Collective Asset-management Vehicle. A corporate fund vehicle widely used for Irish real estate funds. Tax-efficient and Central Bank-regulated.

IPAV

Institute of Professional Auctioneers and Valuers. An Irish professional body for property practitioners, alongside the SCSI.

IRR

Internal Rate of Return. The annualised total return on equity over a hold period. See dedicated article on NOI, cap rates and IRR.

M

MUD Act

Multi-Unit Developments Act 2011. Governs the establishment and operation of Owners' Management Companies (OMCs) for multi-unit developments.

N

Net Effective Rent

The economic rent the landlord receives after incentives are netted off and amortised over the lease term. See dedicated article on headline vs net effective rent.

NOI

Net Operating Income. Gross rental income plus ancillary income, minus operating expenses (excluding debt service, capex, depreciation and tax).

NPL

Non-Performing Loan. A loan in default or under significant stress, often acquired by specialist debt investors at a discount.

O

OMC

Owners' Management Company. The legal entity that owns and manages common areas in a multi-unit development, governed by the MUD Act 2011.

P

PRS

Private Rented Sector. The build-to-rent investment class, increasingly an institutional asset class in Ireland.

PSRA

Property Services Regulatory Authority. The Irish regulator of property service providers (auctioneers, letting agents, property managers, management agents). All practising firms hold a PSRA licence.

Q

QIAIF

Qualifying Investor Alternative Investment Fund. A flexible Irish fund vehicle for sophisticated investors, often used in real estate alongside ICAVs.

R

RZLT

Residential Zoned Land Tax. A 3 percent annual tax on residentially-zoned and serviced land. See dedicated article on RZLT.

Rent Review

Periodic adjustment of rent under a lease, conventionally every five years in Irish commercial leases. See dedicated article on how Irish rent reviews work.

Reversion

The difference between ERV and passing rent. A positive reversion indicates the property is under-rented; negative is over-rented.

RTB

Residential Tenancies Board. The Irish regulator and dispute resolution body for residential tenancies. All landlords must register tenancies with the RTB.

S

SCSI

Society of Chartered Surveyors Ireland. The Irish professional body for chartered surveyors, valuers, project managers and quantity surveyors.

Section 16

Section 16 of the Landlord and Tenant (Amendment) Act 1980 — the right of a commercial tenant of five years' standing to apply for a new lease. See dedicated article on commercial lease renewals.

Section 132

Section 132 of the Land and Conveyancing Law Reform Act 2009 — prohibits upwards-only rent reviews in commercial leases granted on or after 28 February 2010. See dedicated article on UORR.

Stamp Duty

Tax on Irish commercial property transactions, currently 7.5 percent of consideration, payable by the buyer on completion.

U

UORR

Upwards-Only Rent Review. Prohibited in post-2010 commercial leases. See dedicated article.

V

VAT on Property

Irish VAT applies to certain commercial property transactions depending on the property's VAT history. The treatment is complex; specialist tax advice is essential on any commercial acquisition or letting.

W

WAULT

Weighted Average Unexpired Lease Term. The income-weighted average remaining lease term across a portfolio or multi-let asset. A key KPI in institutional asset management.

WSA

Whole Sale Agreement / Wayleave / Whole Site Acquisition (context-dependent acronym). Always clarify context when this term is used.

About HPS Real Estate

HPS Real Estate is an Irish commercial property advisory and asset management firm based in Dublin and Galway. For deeper guidance on any term in this glossary or for an introduction to our services, contact info@hpsproperty.ie.