APARTMENTS : One of the most desirable product types with very high demand due to affordability of consumer and lack of down payment and qualification for single family homes. The following CAP rates apply relative to location on class. Personally I have sold over 6,000 units in my career.
Class A: 4.5% to 5%
Class B: 5% to 6%
Class C: 6% to 6.75%
Class D: 7.5% to 9%
After selling all of the above mention products types through out my 30 year career, I have expertise in each of them. If you or your company is interested in acquiring product in our market I strongly urge you to get in contact with me directly for on and off market offerings. As most sophisticated investors will know it is all about the numbers and current lease rates in order to determine the actual Net Operating Income (NOI) for proper values. We have many years of experience to determine what the proper expenses are to determine the actual NOI. Please don't hesitate to call me for a confidential meeting in order to determine your acquisition parameters.
Product Types and Pricing for the Las Vegas Market
INDUSTRIAL & SELF STORAGE : This product type is still under occupied but it appears to be recovering due to the favorable tax structures in the State of Nevada. Self Storage facilities are in high demand hence CAP rates are low.
Class A: 6.5% Class A Self Storage: 5%
Class B: 7% Class B Self Storage: 6%
Class C: 7.5% to 8% Class C Self Storage: 7%
OFFICE : This produce type is still under occupied due to the past recession, however there are exceptions to the rule depending on location and class of product. CAP rates are as follows:
Single Tenant with credit 6%
Single Tenant without credit 7% to 7.5%
Multi Tenant Class B 7%
Multi Tenant Class A 6.5%
RETAIL/ MULTI TENANT & SINGLE TENANT : Retail happens to be the most active product type for our market currently. Due to the high demand for retail CAP rates have dropped significantly. Retail sub types are listed below along with CAP rates that they are currently yielding. This product type and it's sub-categories is where we have the most sales and expertise. Personally I and have sold over $35,000,000 in 2019 of retail and multi-family.
Single Tenant NNN with credit 5%
Single Tenant NNN without credit 6%
Multi-Tenant Strip Centers 6.25% to 7%
Multi-Tenant Anchored Centers 6%
Multi-Tenant Shadow Anchored 6.5 to 6.75%
LAND : There is now high demand for well located land deals depending on location, current development zoning and size. We have tried to break down the categories below as best we can. We have sold many acres of land for investment and development.
Single Family Residential Development: $400,000/acre
Multi Family Development: $500,000 to $700,000
Retail Development: $500,000 to $800,000/acre
Office Development: $400,000 to $500,000/acre
Industrial Development: $200,000 to $500,000/acre
Hotel Development: $500,000 to $4,000,000/acre