What term describes a building intended for sale or lease before occupancy?

What term describes a building intended for sale or lease before occupancy?

• A. Proposed
• B. Planned
• C. Leased
• D. Speculative

Answer: (D)

The main idea here is the status of a building during its development in relation to occupancy. A building built with no tenant or buyer secured, intended to be sold or leased after completion, is described as speculative (often called a spec building). This term specifically captures the pre-occupancy intent to market the space, rather than there being a signed lease or a defined occupant yet. The other terms describe different stages or commitments: proposed and planned refer to planning or design stages without indicating occupancy status, while leased means a tenant has already committed to occupy. So speculative is the correct description because it means the project is developed to be sold or leased before anyone actually moves in.

The main idea here is the status of a building during its development in relation to occupancy. A building built with no tenant or buyer secured, intended to be sold or leased after completion, is described as speculative (often called a spec building). This term specifically captures the pre-occupancy intent to market the space, rather than there being a signed lease or a defined occupant yet. The other terms describe different stages or commitments: proposed and planned refer to planning or design stages without indicating occupancy status, while leased means a tenant has already committed to occupy. So speculative is the correct description because it means the project is developed to be sold or leased before anyone actually moves in.