The asset was acquired for $49,500,000 at a 5.28% acquisition cap rate. Total acquisition cost with reserves is $58,128,580, resulting in an appraisal-to-offering ratio of 83.67%.
Valuation ladder
Acquisition price$49.50M
Offering price$61.06M+23.4%
Cap rate spread & load
Acquisition cap rate5.28%
Upfront load on offering4.80%
Load on equity9.35%
Load net of reserves-3.96%
Acquisition Price
$49,500,000
Offering Price
$61,060,817
Appraised Value
—
Upfront Load
—
Load on Equity
—
Load on Offering Price
—
Acquisition Cap Rate
5.28%
Syndicated Cap Rate
—
Premium / Discount
—
Appraisal / Offering %
83.67%
Less Reserves %
—
Strengths
- Acquisition price of $49,500,000 at a 5.28% cap rate
Concerns
- Total acquisition cost with reserves rises to $58,128,580