PropertyMetrics

When a Deed in Lieu is a Friend Indeed

Buying at the tail end of the housing bubble in early 2006, an old professor of mine bought more house than he should have. After a divorce and an expensive health issue, he just couldn’t make the loan payments anymore. In fact, he admitted that he was nearly insolvent. He’d taken a second loan secured …

Read More

Do You Know These Essential Zoning Terms?

The concept of zoning is fairly simple. A governing body enacts laws to create districts within its jurisdiction and regulations to govern the uses and structures inside those districts. The creation of these districts and regulations are designed to serve the jurisdiction’s general welfare by promoting growth and development in accordance with the body’s planning …

Read More

How The Equity Multiple Works In Commercial Real Estate

The equity multiple is a commonly used performance metric in commercial real estate, and yet it’s not widely understood. In this short article, we’ll take a look at the equity multiple as it’s used in commercial real estate, and we’ll also walk through several examples step-by-step. What Is The Equity Multiple? First, what exactly is the …

Read More

Mortgage Constant: A Calculation Guide

The mortgage constant, also known as the loan constant, the debt constant, or the mortgage capitalization rate, is an important concept to understand in commercial real estate finance. Yet, it’s commonly misunderstood. In this article, we’ll take a closer look at the mortgage constant, discuss how it can be used, and then tie it all …

Read More

Mezzanine Financing Basics and The Intercreditor Agreement

Financing short falls within the commercial real estate market have become a common occurrence. The great recession has made traditional lenders more sensitive to risk, frequently leaving developers and project investors with large financing shortfalls. Sponsors can seek family and friends financing or a larger joint venture (JV) equity injection, but occasionally this gap may …

Read More

U.S. Employment Growth Trends by State

Here’s our latest infographic on the jobs recovery. This infographic  shows job growth by state over the past month, year, 3 and 5 year periods. As visualized in the charts below, employment growth has been positive over the past few years, but in most states there’s still a long way to go.

Obtain Your CCIM Designation to Set Yourself Apart from the Crowd

A CCIM designation sets you apart from other commercial real estate professionals, establishes you as an expert in the field of commercial investment real estate and helps you achieve success in your chosen field. If you have been thinking of earning your Certified Commercial Investment Member designation but wanted to dig a little deeper before …

Read More

Understanding the Full Service Lease in Commercial Real Estate

The full service lease is a commonly used lease structure in the commercial real estate industry. Unfortunately the term “full service lease” can mean different things depending on who you talk to or what part of the world you are in. In this article we’ll take a deep dive into the full service lease and …

Read More

Difference Between Cap Rate and Discount Rate

What is the difference between a cap rate and a discount rate? Because these concepts are often confused, this article will discuss the difference between a capitalization rate and a discount rate in commercial real estate, and leave you with a clear understanding of the two concepts. As you follow along, you might also find …

Read More