DSCR (Debt Service Coverage Ratio)

Cash available for debt service divided by the debt service due in the same period. The period test every project and property lender monitors: a covenant is set on it, distributions are locked up below a threshold of it, and project debt is sized so that it holds a target (1.30x to 1.45x for contracted assets) in every period. Reported as a minimum and an average across the loan; the minimum is the one that matters.