The capitalization rate (cap rate) is a metric used to determine the potential return on investment for a commercial property. It’s calculated by dividing the net operating income by the property’s current market value.
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The capitalization rate (cap rate) is a metric used to determine the potential return on investment for a commercial property. It’s calculated by dividing the net operating income by the property’s current market value.
Published on: December 31, 2024
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