Debt Service Coverage Ratio (DSCR) measures whether a property generates enough NOI to cover its loan payments with room to spare. Formula: DSCR =…

Start with GPI — the theoretical ceiling — and then subtract reality. That’s Effective Gross Income, or EGI.

A commercial lease defines who pays which expenses. The two poles of the spectrum are gross leases and net leases — and everything in between.

Every CRE analysis starts at the top of the income statement with one question: if every unit in this property were leased at full market rent, with…

The Gross Rent Multiplier (GRM) is a quickanddirty valuation tool — a first filter to determine whether a property’s asking price is in the right…

LoantoValue (LTV) is the ratio of the loan amount to the appraised value of the property. Formula: LTV = Loan Amount ÷ Appraised Value A lender…