Archive for July, 2008

31 Jul

How do you square local cap rates with national recommendations?

NetGain provides national cap rate recommendations via its Nation Income Property Index (NIPI). There are times when local markets exhibit numbers that exceed the recommended rate. The foundations for NIPI are predicated on avoiding negative spread, the economic outlook (using the Consumer Confidence Index), and the current unemployment rate. Those components are factored into a […]

30 Jul

Where does one find commercial property with a 20 percent return?

The scenario: A small group of partners has been assembled to buy and operate a retail strip mall. The lead investor is looking for a property that will generate 20% cash-on-cash earnings and does not want to go below 18%, but sellers’ prices seem unrealistic compared to the real NOI.
The reality: The two main characteristics […]

29 Jul

How does one find owner information for income property?

The most efficient approach for getting the names and information of income property owners is to identify where there are lists available. NetGain offers two suggestions.
(1) There are list companies that will search and design lists of names and addresses for you. NetGain doesn’t endorse vendors, but if you google “mail list companies” and “international […]

28 Jul

Commercial Real Estate Reflections and 1,000 Cities

During the past two years NetGain has tackled and analyzed every major issue that directly or indirectly affects the value of income property. Each day we reach and interact with professionals in over 1,000 cities around the globe. The result is an invaluable educational archive available to all NetGain visitors.
Our archives include over 50 focused […]