Beyond the Cap Rate: 6 Advanced Metrics Sophisticated LPs Use to Evaluate Deals
Cap rate is a blunt instrument—useful for a quick vibe check, dangerous as a decision rule. Sophisticated limited partners (LPs) dig deeper, focusing on metrics that connect business plan, leverage, timing, and downside control. Here are six advanced lenses to evaluate opportunities with rigor. 1) Equity Multiple (and Duration-Aware IRR) What it shows: Total cash […]
