Rate of Return Study
Historical Rates of Return
Rate of Return Study
The Partnership Profiles Rate of Return Study is a comprehensive 15-page report detailing historical return rates for real estate entities such as publicly-held limited partnerships and REITs. This tool is useful in calculating discount rates under the Income Approach.
Detailed Description
The report offers detailed return rate information for limited partnerships and REITs, covering distributing and non-distributing entities with varying debt levels. It also includes calculations for real estate risk premiums using the latest available data. The report provides empirical data needed to estimate the required rate of return for non-controlling interests in real estate-holding entities.
Key Features
- Historical rate of return data for real estate partnerships and REITs
- Includes risk premium calculations using up-to-date data
- Supports valuation of non-controlling interests under the Income Approach
For more information, visit Partnership Profiles.
Detailed Description
This 15-page study provides detailed information about historical rates of return for real estate entities such as publicly held limited partnerships and REITs. The report not only provides the detailed information, it also explains the basis for the calculations. The information provided in this report is useful when calculating a discount rate using the Income Approach to value FLPs that hold real estate. The rates of return for limited partnerships and non-listed REITs include expected returns for distributing, non-distributing, high debt and no debt partnerships. The calculation of the real estate risk premium using the most current data is also included.
This report provides empirical rate of return data needed for valuing a non-controlling interest in an entity owning real estate under the Income Approach. Also, this report provides real estate risk premium data that is essential for developing a required rate of return under this valuation approach.
Empirical rate of return data is provided for real estate limited partnerships and REITs.
This study is updated annual and is provided in PDF format by email.