Conventional wisdom has long said: where interest rates go, cap rates soon follow. In other words, when the cost of capital is high, so too is the ratio of a property’s net operating income to its ...

Ask a broker what they sold a property for, and the answer is just as likely to be a percentage as a dollar figure. Commercial real estate lives and dies by the capitalization rate. The simple ...

Cap rates are one of the best indicators of forward returns in REITs. It is not 1 for 1 in the sense that a 5% cap rate does not translate to a 5% forward return, but a higher cap rate at purchase ...

The US Federal Reserve lowered its benchmark interest rate by 25 basis points on Wednesday – marking its first rate cut since December 2024. Ahead of the announcement, the CME FedWatch Tool ...