Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 16%
$32.50 /mo
$390 billed annualy
MONTHLY
$39 /mo
billed monthly
7 day free trial. Cancel anytime

Let's keep in touch

Subscribe to our newsletter for timely insights and actionable tips on your real estate journey.

By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions
Followed Discussions Followed Categories Followed People Followed Locations
Buying & Selling Real Estate
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 11 years ago on . Most recent reply

User Stats

27
Posts
4
Votes
Juan Covarrubias
  • Real Estate Broker
  • Murrieta, CA
4
Votes |
27
Posts

What "net" cap rate do you seek?

Juan Covarrubias
  • Real Estate Broker
  • Murrieta, CA
Posted

The 2% rule, often discussed here, peaked my curiosity as to what returns BP members seek and achieve. On my side of things, California retail caps trend anywhere from 3.5% to 6.5% for investment grade Tenants. 

Most Popular Reply

User Stats

8,666
Posts
4,015
Votes
Jon Klaus
  • Developer
  • Garland, TX
4,015
Votes |
8,666
Posts
Jon Klaus
  • Developer
  • Garland, TX
Replied

Investment grade tenants are commercial large companies with strong balance sheets and credit ratings. There won't be 2% gross monthly returns in that arena. 

Loading replies...