Scale. $5MM and up is typically 3-4%, with languange to split. Under that would be 5-6%. Below $1MM you'd have to pass on the deal because even at 8% it's not worth your time - especially in Boston since cap rates is still holding stronger than submarkets outside. The ranges account for variables and how much hair is on the deal. In addition to the type of product, location, economics, and other moving parts that may decrease the saleability of the project.
Jul 28, 2011