---
title: "Appraisal clause — Class A Atlas glossary"
description: "Mechanism for setting renewal rent via independent appraisal."
canonical: https://classa.info/glossary/appraisal-clause
pageType: glossary
lastUpdated: 2026-04-01T00:00:00.000Z
license: "CC BY 4.0 with attribution to Class A Atlas (https://classa.info)."
---

> Mechanism for setting renewal rent via independent appraisal.

## TL;DR

- Mechanism for setting renewal rent via independent appraisal.
- If the parties cannot agree on FMR, each appoints an MAI/MRICS appraiser; if those two cannot agree, they appoint a third, and the median wins.

# Appraisal clause

*Legal · US, UK*

## Short definition

Mechanism for setting [renewal](/topics/lease-renewal-strategy) rent via independent appraisal.

## Full definition

If the parties cannot agree on FMR, each appoints an MAI/MRICS appraiser; if those two cannot agree, they appoint a third, and the median wins. Slow and expensive — used as a backstop, not a first resort.

## Why this matters for Class A leasing

Appraisal clause is part of the legal vocabulary that institutional [Class A](/glossary/class-a) occupiers, landlords, and advisers use across US, UK markets. Understanding it correctly affects how you read lease documents, model occupancy economics, and benchmark deal terms across cities. Class A Atlas tracks regional variation alongside the global standard so [cross-border](/topics/cross-border-expansion) occupiers can translate quickly.

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Citation: Source: Class A Atlas (https://classa.info/glossary/appraisal-clause), updated 2026-04-01T00:00:00.000Z.