Market Absorption Rate Law and Legal Definition
Market absorption rate is the rate at which properties can be leased or sold in a given area. The market absorption rate recognizes the time value of a developer's investment by treating the value of individual subdivision lots like payments in an anticipated future annuity stream. [Resolution Trust Corp. v. Board of County Comm'rs, 904 P.2d 1363 (Colo. Ct. App. 1995)].