On Commercial Real Estate Investments here is how we calculate Rent Per Unit & Per Square Feet of Improvements Apartments: 100 Apartment Units, 750 Sq.Ft. Unit with Rent of $800 per Unit per Month 100 Units X 750 Sq.Ft. = 75,000 Sq.Ft.$800 Rent X 100 Units = $80,000 X 12 Months = $960,000 When a
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09/27/2013
According to ICSC Redevelopment is the new development in retail real estate, as landlords renovate and rehabilitate existing assets rather than building new ones, said speakers at ICSC’s NOI+ Asset Management Conference this week in Washington. Rockville, Md.–based Federal Realty Investment Trus
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09/26/2013
Financial Indicators For Commercial Income Properties: Gross Rent Multiplier (GRM) Price of the Property Divided by the Gross Potential Income (GPI) PRICE ÷ GPI = GRM What Does This DOWN & DIRTY INDICATOR Tell You ??? For Apartments: 3.5X to 4.5X = Low Income Property 4.5X to 6.5X = Median Income
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09/24/2013
Commercial Real Estate has Financial Indicators that are generally used in determining the value of Real Estate… “What Is It Worth” Financial Indicators: SUMMARY OF CALCULATIONS Price Per SqFt: Price ÷ SqFt Price Per Apartment Unit: Price ÷ # of Units Gross Rent Multiplier: Price ÷ Gross Poten
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09/24/2013
Mortgage rates remained steady last week with Retail Sales coming in lower than expected. This will be an interesting week with the Federal Reserve meeting scheduled to decide whether or not to begin the expected bond tapering. The markets celebrated Larry Summers taking his name out of the runni
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09/17/2013
Senior housing investment sales, which have been slowly creeping up this year, could see a big boost in activity in the near future. Investors in the sector see senior living assets continuing to benefit from the ongoing recovery in housing, which is making it easier for older owners to sell thei
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09/17/2013
WASHINGTON, D.C. — In a win for big-box retailers looking to expand in the District of Columbia, Mayor Vincent Gray has vetoed the controversial Large Retailer Accountability Act. The city council voted in July to pass the act, which would have imposed a $12.50 hourly living wage on businesses th
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09/16/2013
COMMERCIAL REAL ESTATE INVESTMENT FUNDAMENTALS NOI is also used to calculate the value of a property. The value is often expressed through the Capitalization Rate (Cap Rate). The Cap Rate expresses the relationship between NOI and value (price). The relationship between NOI and Cap Rate is an inv
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09/16/2013
Cap Rate, which is a very commonly used measurement and comparison tool, reflects a one-year relationship between Net Operating Income (NOI), and price (or value). NOI, which is a very key figure in investment analysis of all types, is defined as rents received from all sources, minus owner-paid
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09/13/2013
Investment analysis information is critical in assisting the investor in their decision whether to buy a particular investment, and if so, at what price. Investment analysis provides vitally important tools for assisting investors in evaluating various investment alternatives. The Internet and th
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09/12/2013