Real estate development terms

Pre-sale threshold

In plain terms

The share of units that must be reserved or sold before construction can start.

Technical meaning

A requirement set by the lender financing construction, expressed as a percentage of units or of sales volume. Every month below the threshold costs the developer financing charges and delay. That is why Contrast measures a real estate campaign in reserved units and time saved, not in website visits.

See the Arboréa case

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