What property types does RealtyRates.com survey?
The Investor Survey encompasses a total of 32 income producing property types in 11 categories including: apartments, golf courses and country clubs, health care and senior housing, industrial buildings, lodging facilities, mobile home and RV parks, office buildings, restaurants, special purpose properties, retail centers. and self-storage facilities. The Developer Survey encompasses a total of 22 sell-out property types in three major categories including: Subdivisions and PUDs, Condominiums and Co-OPs, and Business and Industrial Parks. The Market Survey encompasses a total of seven income-producing property types in four major categories including: Apartments, Industrial, Office, and Retail.
Where does RealtyRates.com get its data?
Data for all surveys are provided by more than 300 appraisers, real estate brokers, direct lenders, mortgage brokers, conduits, developers, investors, and government agencies nationwide. They range from individuals to very large corporations but long experience indicates they are all extremely reliable. In fact, some of our relationships go back more than 30 years.
What is the quality of the properties surveyed?
Our information providers are instructed to provide data on Class A and B properties as those terms are defined in their respective markets.
How are surveyed OAR's derived?
Surveyed OAR's are calculated by dividing actual NOI at the time of sale by the actual sale price.
Do NOI's include reserves?
No. However, we do survey lender-specified reserves by property type and this information is included in the Investor Survey.
How are equity dividend rates derived?
Surveyed returns to equity represent current required target rates reported by investors. This information is included in the Investor Survey.
How are surveyed discount rates derived?
Investor Survey discount rates are actual internal rates of return reported by investors and property owners on consummated transactions and re-capitalizations; new construction are proforma rates. Developer Survey discount rates are presented in two forms, actual (historical) and proforma (forward-looking).
What relevance do national rates have to local markets?.
National rates devolve from many local markets thus, there is a clear relationship and, while national rates do not mirror any given local market, they encompass virtually all of them. We have twice at client request (1994 and 2001), analyzed our Investor Survey data on a regional basis. Not only were no significant variations noted with regard to the classes and property types we survey but, largely due to the growing influence of large national and regional banks, as well as the development and growth of the commercial secondary market, the variations that do exist are becoming less pronounced. It should be noted that Developer Survey data is presented both nationally, as well as for 13 geographical regions encompassing all 50 states, Puerto Rico, the U.S. Virgin Islands, and Guam, and Market Survey data is presented nationally, for 11 regions encompassing the continental United Sates in its entirety, and for 41 metro market areas. And finally, the infered cap rates presented in the Market Survey tend to support the absence of significant geographical variations in cap rates for the type and quality of properties involved.
Do Developer Survey Discount Rates Include Developer's Profit and Interim Financing?
With regard to Subdivisions and PUDs and Business and Industrial Parks developer's profit is not expensed and is therefore incorporated into the discount rates. With regard to Residential and Commercial/Industrial Condominiums, developer's profit is treated as an expense. In all cases, interim interest is treated as an expense.
Is historical data availble and what is the cost?
All online subscribers have free access to all previously published editions. However, PDF versions were not always produced and therefore are not available for all editions.
As a subscriber, can I put the charts on my own Web site?
No. As a subscriber, you may insert the charts in appraisals and other business reports but may not reproduce them for general circulation such as Web sites, newsletters and so on.
