What is concentration risk?
Exposure created by too little diversification across assets, tenants, markets, property types, lenders, vintage years, or business plans. It compounds when several exposures point the same way.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.