Skip to main content

What is CPI adjustment?

A rent escalation tied to changes in the Consumer Price Index (an inflation measure), often subject to caps, floors, or both, so rent rises roughly with inflation over the lease term.

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.