Research

Commercial mortgage brokers hold a central role in commercial real estate, as almost every deal goes through them during the financing process. Brokers must understand investors’ and property owners’ needs, the lenders and financing programs available, and how to match the right borrower with the right lender.

If you have financial acumen and are interested in commercial real estate, this can be a promising way … Read More

Owning commercial real estate can be a solid investment strategy, but it’s not right for every business or situation. Sometimes businesses find themselves owning a building, but wanting to focus on their core competencies. A sale leaseback may be advantageous in these situations, allowing businesses to focus on what they do while also freeing up capital. What is a Sale Leaseback?

A real estate sale … Read More

Investing frequently requires substantial capital, and it’s not uncommon to secure funds from multiple sources. Capital stack refers to the various layers of funding used to purchase, develop, and operate a commercial property. If you’re doing any of these things with commercial real estate, and especially if you’re purchasing, you must understand the property’s capital stack.

What is Capital Stack in Real Estate?

Capital stack … Read More

Various situations in commercial real estate may call for earnouts, an opportunity to pull additional money from a real estate asset when specific steps or strategies are completed. There are various situations where property owners may need to refinance their existing loan, but their business plan has not yet reached its expected goals. That is, they may put additional value into the property through … Read More

Wholesaling commercial real estate lets knowledgeable investors leverage their expertise more than their capital. This is a proven and long-established commercial real estate investment strategy, one that can be especially useful for investors who don’t want to risk large amounts of capital.

What is Wholesaling in Commercial Real Estate?

A commercial real estate investor who wholesales essentially acts as a middleman (or person). They find … Read More

Commercial real estate asset management is the method used to determine how effective a project or property is in achieving the goals the investor sets. In short, it is one of the most important ways to gather information to make a decision about assets before purchase or, in some cases, in the decision to liquidate.

What is Asset Management in Commercial Real Estate?

Asset management … Read More

Commercial real estate investors are generally responsible for the maintenance and repair of the buildings they purchase unless there’s an absolute net lease in place. Using an absolute net lease shifts these responsibilities onto the tenant, which can result in easier operations, more lenient financing, and several other benefits.

What is an Absolute Net Lease?

An absolute net lease is one of the strictest commercial … Read More

Commercial real estate can be a profitable mid- to long-term investment, and it’s a good option when looking to diversify a portfolio. Whether heavy in bonds, equities or even smaller residential real estate, commercial properties offer exposure to different markets, stability during downturns in other markets, and some excellent opportunities.

Of course, it’s essential to purchase promising properties at advantageous properties. Here’s how to go … Read More

Real estate investors must consider how much rent they can charge for a property prior to investing in the property. However, there is often a difference between what this estimate is and what the actual rent earned occurs. This is called the loss to lease, or LTL. It is an important calculation for all property investors to consider.

What Does Loss to Lease Mean?

Loss … Read More

Before tax cash flow (BTCF) is a metric all commercial real estate investors must understand. It provides an analysis point that can be essential in understanding the potential cash flow a property can produce. It is one of numerous metrics considered before investing in real estate.

Understanding Before Tax Cash Flow (BTCF)

BTCF represents the cash flow the real estate investor will attain after paying … Read More