Return on Equity in Commercial Real Estate: A Guide by FNRP

A typical commercial real estate investment is financed with a combination of debt and equity.  In most cases, debt comes from a loan and equity comes from one or more investors who inject capital into the deal.  Naturally, these investors will want to know what their potential return on investment is.  This is measured using […]

Introduction to Equity Waterfalls

Introduction to Equity Waterfalls

Commercial real estate (CRE) assets are expensive, which means that they are unlikely to be purchased by a single individual investor.  Instead, they are likely to be purchased by a group of investors who pool their money and contribute it as equity in a real estate deal.  In such cases, it is necessary for the […]