Category Archives: Capitalization Rates

Rates of Return on Office Buildings in Manhattan vs Other CBDs

By James R. MacCrate, MAI, CRE, ASA  Introduction No one can deny that Manhattan is an interesting city that attracts real estate investors from all over the world. Properties in Manhattan command higher prices per square foot and lower capitalization … Continue reading

Posted in Capitalization Rates, Discount Rates, Office Buildings | Tagged , , , , | 1 Comment

MALLS, ANCHORS & CAPITALIZATION RATES: AN EXCELLENT QUESTION

By Maxwell O. Ramsland, Jr., MAI, CRE Ramsland & Vigen, Inc., 302 W. Superior Street, Duluth, MN 55802 E-mail: Maxrams@aol.com   Shannon M. Luepke Ramsland & Vigen, Inc., 302 W. Superior Street, Duluth, MN 55802 E-mail: Sluepke@ramslandvigen.com    Introduction Malls … Continue reading

Posted in Appraisal Process, Capitalization Rates, Discount Rates, Real Estate Valuation Methodology | Tagged , , , , , | 1 Comment

Manhattan Property Values and Capitalization Rates

By James R. MacCrate, MAI, CRE, ASA Overview In a previous post in 2008, What Has Happened to Manhattan Property Values?, the factors that would affect real property values in New York City were discussed. It was pointed out that … Continue reading

Posted in Capitalization Rates, Real Estate Investments, Real Estate Valuation Methodology | Tagged , , , , | 2 Comments

A Little Bit of History – Gross Rent Multipliers in New York City over Time?

By James R. MacCrate, MAI, CRE, ASA Often investors estimate the price that they are willing to pay for apartment projects in New York City by using a gross rent (income) multiplier or an effective gross rent (income) multiplier.  The … Continue reading

Posted in Capitalization Rates, Real Estate Investments, Real Estate Valuation Methodology | Tagged , , , , | 2 Comments

Hints to Determine Accurate Capitalization Rates

By James R. MacCrate, MAI, CRE, ASA The Joint Economic Committee Hearing in Congress on Commercial Real Estate: Do Rising Defaults Pose A Systemic Threat?  heard testimony that lack of credit has negatively affected the number of real estate transactions … Continue reading

Posted in Capitalization Rates, Discount Rates, Real Estate Investments | Tagged | 8 Comments

Investor Surveys & Weaknesses

Investor Surveys & Weaknesses By James R. MacCrate, MAI, CRE, ASA – MacCrate Associates LLC Analyzing actual property transactions should provide the basis for discount rates and capitalization rates selected by real estate appraisers but this information is often difficult … Continue reading

Posted in Capitalization Rates, Discount Rates, Real Estate Investments, Real Estate Litigation Support, Real Estate Valuation Methodology, Real Property Tax Assessments | Tagged , , , | 4 Comments

Ellwood – A Beautiful Mathematical Formula But – Often Misused

Ellwood – A Beautiful Mathematical Formula But – Often Misused By James R. MacCrate, MAI, CRE, ASA I have had the opportunity to review many real estate appraisal reports over the last two years and I am amazed by the … Continue reading

Posted in Capitalization Rates | Tagged , , , , , , , , , , , , | 1 Comment