CRE Investment Metrics and BON Method
The BON Method is similar to using a cap rate because both are designed to give you a quick estimate of value. Cap rates help investors ballpark a property’s value today based on NOI; the BON Method does the same for future value once the building is stabilized. In that sense, BON is an overly simplistic reversion analysis.
Sacramento Rents: A Correction That Was Bound to Happen
Sacramento’s rental market has finally hit the brakes. After years of runaway rent growth — up roughly 30–35% since 2020 — prices are softening as unita sit, incomes lag, and development slows under high construction costs and interest rates. Average rents have dipped to around $1,850, and effective rates are even lower. This isn’t a crash, it’s a long-overdue correction — the market finally catching its breath and finding its rhythm again.
Sacramento’s Office Market Comeback: The $6M Turnaround at 3900 Lennane
Occupancy Creates Value – Vacant buildings sell at discounts; stabilized assets command premiums. 3900 Lennane shows the power of executing a clear leasing and repositioning strategy.
Deal or No Deal – There is always something!
Our clients’ needs constantly change, so it’s crucial to adapt and anticipate – even if they are unaware, they need help. Most clients or soon-to-be clients don’t know what they don’t know.