Market Insights & Education

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Power Your Portfolio

Explore Concepts, Research, & Market Insights

All Categories

logos
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Trending

February 6, 2024

7 min read

Financial Analysis in Multifamily Syndication

In multifamily syndication, where investors pool their resources to invest in...

At its core, financial analysis in real estate is about dissecting and understanding the financial health of an investment. It involves a detailed examination of various financial metrics and tools to gauge a property's profitability, assess its financial stability, and determine its long-term viability as an investment. This process is particularly critical in multifamily syndication, where the stakes are high, and the investment is often substantial.

Example Property

Trending

November 29, 2017

5 min read

An Overview of Core, Core Plus, Value-Add and Opportunistic Investments

If you spend any time around commercial real estate...

If you spend any time around commercial real estate, you’re bound to hear the terms core, core plus, value-add and opportunistic real estate thrown around. These terms are used to define the level of risk and return potential of an investment property. Not only are the physical attributes of the property used to define an investment but the amount of debt financing to support the project is also imperative.

To explain why the debt financing has such an important role, I find it easy to understand if you look at a single-family property. If a property has a long-term lease in place, it can sound attractive to a conservative investor who wants to play it safe. However, if the same property has been primarily financed through debt with very little equity, it can paint a very different picture. Should the property value decrease, the owner could end up owing more on the property than it’s worth.

As a commercial real estate investor, you should know about each of these terms. Let us take you through them one by one to help you understand them better.

scroll-arrow
Market Insights
Case Studies
Concepts
Trending