As used in this Article, the following words shall have the definitions ascribed to them, unless otherwise provided:

Affordable housing units means dwelling units restricted to the housing size and type for individuals meeting asset, income and occupancy guidelines approved by the Town Council and/or the Housing Authority, whichever shall apply.

Consideration means the gross consideration paid for the real property affected by the transfer and includes actual cash paid, the fair market value of real and personal property delivered or conveyed in exchange for the transfer, or contracted to be so paid or delivered or conveyed in return for the transfer, and includes the amount of any lien, mortgage, contract indebtedness or other encumbrance or debt, either given to secure the purchase price or any part thereof, or remaining unpaid on the property at the time of the transfer. Consideration does not include as an addition to gross consideration the amount of any outstanding lien or encumbrance in favor of the United States, the State or a municipal or quasi-municipal corporation or district for taxes or special or local benefits or improvements. In the event the transaction or transfer is by lease agreement not specifically exempted in Section 4-3-60 below, the consideration is the capitalized value of the average annual rental unit of the lease, computed as follows: the average annual rental over the entire term of the lease (including any renewal term, plus the actual consideration, other than rent, paid or to be paid) shall be computed and the average annual rental shall be ten percent (10%) of the capitalized value. The payment of ad valorem real property taxes, insurance and the assumption of maintenance obligations under any lease agreement shall not be included in the annual rent-capitalization computation; however, capital improvements required to be made shall be part of the actual consideration. When the average annual rental cannot be determined for a lease agreement, or at the election of the Town Manager, the consideration therefor shall be based upon the appraised total value of the property covered by the lease as determined by an independent appraisal obtained by the Town Manager and paid for by the purchaser, or the capitalized value of the rentals or other consideration in terms of the present worth of the stream of rentals and other consideration under the lease, and any other economic considerations to reflect the capitalized value of the transferred or leased property.

Deed in lieu of foreclosure means a conveyance by a property owner to a secured party which is the subject of a mortgage, deed of trust or other security instrument in consideration of the cancellation of all or part of the indebtedness secured by such security instrument.

Purchaser means any person to whom a transfer of real property is made.

Real estate transfer tax means the tax imposed by this Article on the transfer of real property.

Real property means real property as defined by and under the laws of the State.

Taxable lease means any lease of real property with a term, or initial term and all renewal terms, which aggregate in length twenty-nine (29) years or more; provided that the lessee has possession or the right to possession on payment of rents. Taxable lease also means any lease of real property for less than twenty-nine (29) years of term, or initial term and all renewal terms aggregated, if the lessee has a clause which would permit the lessee at his or her discretion to extend the lease beyond twenty-nine (29) years or if the lessee has an option to purchase some or all of the real property leased. If the lessee has a lease with such an option to purchase which option may be exercised only within three (3) years after the date the lease and option is entered into, then the real estate transfer tax shall not be due and payable unless and until the exercise and consummation of such option. If any other lease with such an option to purchase is entered into, the real estate transfer tax is due and payable at the time of such transfer as transfer is defined in this Section.