Government-Owned Property

Definition of 'Government-Owned Property'


Assets owned by federal, state or local governments. This may include residential, commercial and industrial land, as well as other physical assets, such as machinery. Property may become government-owned property through normal purchases or if it is foreclosed on for failure to pay taxes, or for other reasons. Government-owned property may also refer to the property administered by the federal government, such as consulate buildings and embassies. Property that is owned by the government is typically exempt from being taxed.

Investopedia explains 'Government-Owned Property'


Investors interested in land can attend an auction of government-owned property, which may ultimately be sold at attractive prices. For example, the government may seize capital equipment from a manufacturer who declared bankruptcy and owed a substantial amount of taxes. It may auction this off to other manufacturers, who are likely to pay less for the used equipment than they would if they purchased brand new equipment.



comments powered by Disqus
Hot Definitions
  1. Benchmark Bond

    A bond that provides a standard against which the performance of other bonds can be measured. Government bonds are almost always used as benchmark bonds. Also referred to as "benchmark issue" or "bellwether issue".
  2. Market Capitalization

    The total dollar market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying a company's shares outstanding by the current market price of one share. The investment community uses this figure to determine a company's size, as opposed to sales or total asset figures.
  3. Oil Reserves

    An estimate of the amount of crude oil located in a particular economic region. Oil reserves must have the potential of being extracted under current technological constraints. For example, if oil pools are located at unattainable depths, they would not be considered part of the nation's reserves.
  4. Joint Venture - JV

    A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task. This task can be a new project or any other business activity. In a joint venture (JV), each of the participants is responsible for profits, losses and costs associated with it.
  5. Aggregate Risk

    The exposure of a bank, financial institution, or any type of major investor to foreign exchange contracts - both spot and forward - from a single counterparty or client. Aggregate risk in forex may also be defined as the total exposure of an entity to changes or fluctuations in currency rates.
  6. Organic Growth

    The growth rate that a company can achieve by increasing output and enhancing sales. This excludes any profits or growth acquired from takeovers, acquisitions or mergers. Takeovers, acquisitions and mergers do not bring about profits generated within the company, and are therefore not considered organic.
Trading Center