…analysis? In commercial real estate the discount rate is used in a discounted cash flow analysis to compute a net present value. Typically, the investor’s required rate of return is…

…return. What You Should Know About Commercial Real Estate Leases Fill out the quick form below and we’ll email you our free eBook on What You Should Know About Commercial…

…and non-institutional investors when estimating investment value. It is typically used in combination with a discounted cash flow analysis. Comparable Sales (Comps) This is the same sales comparison approach mentioned…

…two categories: basic economic activities and non-basic activities. Basic economic activities are a form of regional competitive advantage in which the regional output exceeds the regional needs. Thus, basic activities…

Effective gross income is a line item on a real estate proforma that is commonly used by appraisers, investors, and other commercial real estate professionals. Although the effective gross income is…

The sales comparison approach is a popular and common valuation methodology for real estate. Yet, there are many nuances to the sales comparison approach for commercial real estate that are…

…they reduce the company’s taxable income and leasing relieves the company of the burden of property management and does not tie up capital that could be otherwise used to fund growth….

Depending on the complexity of a real estate project, financing can come from many sources. Collectively, the sources are often referred to as the “capital stack” where “stack” is an…

Loss to lease is a commonly used calculation in a commercial real estate analysis. However, loss to lease can also be one of the most confusing calculations to understand, especially…