Understanding the Differences: IRR vs. XIRR in Commercial Real Estate Investments
Understanding the Differences: IRR vs. XIRR in Commercial Real Estate Investments When evaluating the profitability of commercial real estate investments, two commonly used metrics are the Internal Rate of Return (IRR) and the Extended Internal Rate of Return (XIRR). While both functions aim to provide insight into the potential returns of an investment, they can […]
Investment Strategies for Commercial Real Estate: Value-Add Opportunities, Triple Net Leases, and Syndication Models
Investment Strategies for Commercial Real Estate: Value-Add Opportunities, Triple Net Leases, and Syndication Models Investing in commercial real estate (CRE) offers various strategies, each with its own risk and return profile. Understanding these strategies can help investors make informed decisions that align with their financial goals and risk tolerance. Here, we explore three popular investment […]
How to Invest in Commercial Real Estate: A Guide for Arizona Investors
How to Invest in Commercial Real Estate: A Guide for Arizona Investors Investing in commercial real estate can be a lucrative endeavor, offering both steady income and long-term appreciation. For those considering entering this market, particularly in regions like Scottsdale and the surrounding areas, understanding the fundamentals and strategies is crucial. This article will guide […]
The Economic Impact of Sports and Entertainment Venues on Surrounding Commercial Real Estate
The Economic Impact of Sports and Entertainment Venues on Surrounding Commercial Real Estate Sports and entertainment venues have long been considered catalysts for economic development in urban areas. The construction of a new stadium, arena, or concert hall can bring a multitude of benefits to the surrounding commercial real estate market. Let’s examine the various […]
How to Boost Your Property’s Cap Rate
How to Boost Your Property’s Cap Rate The capitalization rate, or cap rate, is a key metric in commercial real estate, reflecting the expected return on an investment. It is calculated by dividing the net operating income (NOI) by the property’s current market value. A higher cap rate indicates a more attractive investment. Here are […]
When to Sell Commercial Real Estate: Timing and Strategy
When to Sell Commercial Real Estate: Timing and Strategy Deciding when to sell commercial real estate involves various factors, from market conditions and economic trends to personal and strategic goals. Whether you’re an investor, developer, or business owner, timing plays a crucial role in achieving financial objectives. Here, we explore the considerations involved in this […]
TSMC’s $65 Billion Campus: Transformative Impact on Arizona’s Commercial Real Estate Market
TSMC’s $65 Billion Campus: Transformative Impact on Arizona’s Commercial Real Estate Market Taiwan Semiconductor Manufacturing Company (TSMC), one of the world’s largest and most advanced semiconductor manufacturers, is investing $65 billion to build a new campus in Arizona. This significant development will have far-reaching implications for Arizona’s commercial real estate market, particularly in and around […]
Economic Occupancy and Physical Occupancy in Self-Storage
Economic Occupancy and Physical Occupancy in Self-Storage When evaluating the performance of a self-storage facility, two critical metrics often come into play: economic occupancy and physical occupancy. While both provide insights into the property’s usage and revenue potential, they measure different aspects of the business. Understanding the distinction between these metrics is essential for making […]
4 “Centers” in Commercial Real Estate: Gateway Fulfillment, Multi-Market, Edge Data, and Colocation Data Centers
4 “Centers” in Commercial Real Estate: Gateway Fulfillment, Multi-Market, Edge Data, and Colocation Data Centers Commercial real estate is a constantly changing and ever-evolving sector, continually adapting to technological advancements and changing market demands. Understanding the fundamental aspects of this field is crucial for investors, developers, and businesses alike. Let’s explore four critical terms in […]
How to Secure Financing for Commercial Real Estate
How to Secure Financing for Commercial Real Estate Securing financing for commercial real estate can be a complex and daunting task. Unlike residential real estate, commercial properties often require substantial capital, and the financing process involves different considerations and challenges. Whether you’re a seasoned investor or a first-time buyer, understanding the nuances of commercial real […]