Development Spread in Commercial Real Estate
One of the challenges in commercial real estate development is speed. Well-located parcels or repositioning opportunities often require a decision within days or weeks, leaving little time for a detailed underwriting model. In these situations, developers rely on simple metrics to determine whether a project is even worth pursuing. One of the most common is the development spread, which […]
Understanding the Capital Stack: Definition, Examples, & More
A typical commercial real estate asset is quite expensive, which means that most investors do not have the resources to purchase it with cash. While this may seem like a negative, it is actually an opportunity. In fact, one of the major benefits of a commercial real estate investment is the wide availability of debt […]
