Updated about 6 years ago on . Most recent reply
#AskBP Clarification on ROI calculation
#AskBP I have heard the BP guys say in a number of webinars that when evaluating apartments, it should have a ROI of at least 12%. Is that on Y1 profoma numbers only? Is that an average across all five years not including proceeds from sale? Is that average across all five years proforma including proceeds from sale? Note that this is for looking at apartments of 100 units or more. Please clarify.
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@Marcus House - ROI Is normally measured over the life of an investment. So to answer your question, it would include all five years including sales proceeds. However, I think @Greg Dickerson provided an excellent answer to you.