James Real Estate RE Inv Criteria Dnvr 2000 3rd Qtr Page 6
JAMES REAL ESTATE SERVICES, INC.
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Equity Dividend Rates
The American Council of Life Insurance (ACLI) publishes national, mortgage commitment data
quarterly. The mortgage commitments are in excess of $100,000 secured for apartments, office
buildings, retail, industrial hotel/motel, and other commercial properties. The commitments provide
sufficient information to calculate implied equity dividend (cash flow to equity) rates. The implied rates
are considered reasonably good indications of market rates. Irregularities of local markets may result in
different rates than those indicated. In general, equity dividend rates appear to have been reasonably stable
during the past few years.
Equity Dividend Rates (%)
1997
1998
1999
2000
1Q 2Q 3Q 4Q
Nat Den Nat Den Nat Den Nat Den Nat Den Nat Den Nat Den
Apartment
8.9
9.2
7.3
Office
8.6
9.6
8.1
Retail
8.2
8.5
9.6
Industrial
8.1
9.1
13.0
Hotel/Motel 7.9
11.3
12.6
Mixed-Use
4.8
7.3
Other
9.4
8.9
10.1
Data Source: American Council of Life Ins
