In real estate terminology, ‘contract rent’ refers to which of the following?

In real estate, ‘contract rent’ specifically refers to the agreed-upon rent amount that is established in a lease agreement between the landlord and the tenant. This amount is the specific figure that both parties have consented to and is documented in the lease, outlining the obligations of the tenant to pay this amount typically on a monthly basis.

This term is distinct from other rental concepts such as market rent, which reflects the prevailing rental prices in the area, or potential maximum rent, which indicates the highest rental value that could possibly be achieved in the market under ideal circumstances. Additionally, discounted rent related to negotiations refers to situations where the rent agreed upon is lower than the market rate due to discussions between the landlord and tenant, which does not define contract rent itself but might affect the agreed contract rent. Therefore, the definition of ‘contract rent’ is specifically linked to the exact rental amount specified in an active lease agreement.