Spencer and I are excited to introduce the A.CRE MBA Real Estate Profile series. This series is intended to provide prospective MBA students with a glimpse into some of the world’s top MBA real estate programs and what they have to offer those who intend to focus on commercial real estate while pursuing their MBA. The […]
San Francisco’s downtown area is currently going through an unprecedented, skyline redefining transformation. So many incredible developers and architects are in the process of leaving their mark on this city and it’s all happening or will be happening within roughly one square mile south of Market St in the downtown areas known as the Transbay District, Rincon […]
The PAL Rules – A Brief Background The PAL Rules, or Passive Activity Loss Rules, were enacted in 1986 to curb rampant abuses from people using real estate and businesses to generate huge losses to offset income taxes. It used to be that you could take any losses generated from passive income and use them to […]
I’ve just wrapped up a new JV waterfall model with catch up clause that I am excited to share on the site. This model was built as an addition to my back-of-the envelope retail/industrial/office acquisitions model I posted a few weeks back. And like the acquisition model, I made an attempt to make this as intuitive as possible for […]
Investing in real estate provides some tremendous tax incentives in the USA compared to other investments and is an important component to understanding real estate investing. Given the positive response I’ve received to my Understanding Leases Series, I thought I’d begin a new series on taxes in real estate. Part 1 – Real Estate Depreciation There are […]
Grossing Up Reimbursable Expenses in ARGUS This post and video are a follow up to a post written back in late October discussing grossing up reimbursable expenses. If you haven’t gotten to read that yet, you can do so by clicking here: https://www.adventuresincre.com/understanding-leases-office-buildings-part-2/ The purpose of this video is to help clearly explain how to […]
Grossing Up Operating Expenses – What, How, Why, and its impact on the Three Common Bill-back Methods A common practice in office leases is to gross up the variable portion of the reimbursable expenses. Grossing up expenses is when the owner of a property takes the annual actuals and figures out what the variable reimbursable […]
Billing Back Reimbursable Operating Expenses – Three Common Approaches for Office Buildings (ARGUS video example to follow next week) The three most common approaches to expense reimbursements in office leases are the (1) triple-net, (2) base-year, and (3) expense-stop approaches. In this post I hope to provide readers with a general understanding of each. In […]
We are rolling out a new segment this week called Understanding Leases. The aim is to help our readers learn about the more nuanced and unique concepts to commercial real estate leasing and provide general tips and understanding. Over time we will revisit this topic and add new content. If there is anything you would like us to cover about […]
After decades of being statistically one of the poorest cities in the country, it seems there are finally big changes coming to the city of Camden, NJ. With an extensive and generous state sponsored tax credit program luring big businesses to the ailing city, development has finally started to take off. The big question that […]