---
title: "Broken-deal cost — Class A Atlas glossary"
description: "Costs incurred on an investment that fails to close."
canonical: https://classa.info/glossary/broken-deal-cost
pageType: glossary
lastUpdated: 2026-04-01T00:00:00.000Z
license: "CC BY 4.0 with attribution to Class A Atlas (https://classa.info)."
---

> Costs incurred on an investment that fails to close.

## TL;DR

- Costs incurred on an investment that fails to close.
- Legal, due-diligence, environmental, and engineering fees not recovered.

# Broken-deal cost

*Investment · Global*

## Short definition

Costs incurred on an investment that fails to close.

## Full definition

Legal, due-diligence, environmental, and engineering fees not recovered. Standard [Class A](/glossary/class-a) institutional buyer absorbs as part of pipeline cost; some funds pass to LPs.

## Why this matters for Class A leasing

Broken-deal cost is part of the investment vocabulary that institutional Class A occupiers, landlords, and advisers use across Global 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/broken-deal-cost), updated 2026-04-01T00:00:00.000Z.