Replacement Cost Rent (RCR) is a tool that calculates replacement cost rent based on development cost inputs and capitalization rate inputs. A prospective developer could use this to evaluate the feasibility of a development site. The developer could also use this to calculate the highest and best use of a property. The developer would compare the replacement cost rent output with the actual ...

The Annual Urban Land Institute’s Emerging Trends in Real Estate publication is a superior information source that provides invaluable market data for industry professionals. The sector-specific ULI annual report covers U.S. and Canadian real estate markets, providing in-depth market reports, tables and graphs that show interest rates, vacancy rates, cap rates, building starts and absorption ...

Net operating income (NOI) is what remains after one subtracts all the operating expenses on the pro forma. As simple as it sounds, NOI is perhaps the most important line item on a pro forma because it is used to calculate the cap rate, which determines the value of the property and DSCR. NOI does have its failings; specifically, it does not reflect account reserves for essential capital expe ...

The cash on cash yield is a return measure that expresses the cash flows paid to the investor of an income-producing property as a percentage of the asset’s value at the beginning of a certain period. This performance metric is used to measure periodic returns because it involves the cash flows paid back within a certain period of time. For example, the distributions of a real estate asset mi ...

The capitalization rate or overall rate (OAR) is a fundamental metric used by investors, brokers, and lenders to determine transaction pricing (the price at which the deal gets done).  The cap rate is determined by dividing the NOI by the transaction price or projected value (cap rate =NOI/value).  Moreover, a property value can be determined by dividing the NOI by the cap rate (val ...

Retail space available in the high-traffic pedestrian-friendly Hastings-Sunrise Village. Dynamic amenity-rich location with a 14,791 daily vehicular count (Vancouver.ca). Vibrant shopping district serving a population of 34,575 with an average family income of $112,000 (Vancouver.ca). Flexible C-2C zoning with future development potential. Ideal for an investor or owner user. Check out all o ...

The Real Estate System is a tool that creates a general framework in which to understand the connections between the space market, the asset market and the development industry and how these connections affect the demand for commercial real estate. The space market is the driving force in forming the asset market and development industry since it is from the space market that the cash flow to ...

Positive and negative leverage.  “Real estate is nothing more than a positive spread investing game” (Sam Zell, Bergsman) Positive and negative leverage are two sides of the same coin, with positive leverage occurring when the investment property’s yield is higher than the mortgage which increases the investor return.  Conversely, negative lavage is exactly the opposite, where the loan amou ...

Premier south facing corner development lot in sought after Kits location one block from all the amenities along Broadway with direct transit to UBC and downtown. RT-7 zoning allows for two dwellings on site. Solid revenue property with rental income in place while you wait for development plans and permits. Bayview Elementary school and Kitsilano Secondary school catchment, and General Gordo ...

Welcome to Shangri-La, One of Vancouver's most iconic towers. Featuring 5-star hotel living accommodations. This 31st floor, corner unit is bright and spacious. A good functional layout with stunning city and corridor water views. Floor to ceiling windows, brand new German engineered hardwood floor, California Closets, Miele and Sub Zero appliances, gas range, granite counters, air conditioni ...