Use this form to evaluate the financial potential of a commercial property. Enter the Net Operating Income (NOI), Cash-on-Cash Return, and Capitalization Rate (Cap Rate) to assess profitability. Each field has a brief description to guide you. Submit the form to calculate and analyze the property's financial performance.
Use this simple formula to estimate the value of a property based on the Net Operating Income (NOI) and the Capitalization Rate (Cap Rate).
The formula is:
Property Value = Net Operating Income / Cap Rate
Net Operating Income (NOI) is the potential income generated by the property after deducting operating expenses. The Capitalization Rate (Cap Rate) is the ratio of NOI to the property's value or purchase price.
Simply input the Net Operating Income and the Cap Rate below, and the estimated Property Value will be calculated automatically.