Joe DownsCEO & Co-Founder, Belrose Storage Group. Founder, Storage Moguls.

When Institutional Capital Hits, Cap Rates Compress

8 Apr 2026 · 1 min

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When institutional money floods real estate markets, cap rates compress hard. You need both capital and operational expertise to compete. The video walks through a five-step NOI model framework, starting with 24 months of monthly revenue data.

Chapters

And capital and operational skills are the price of entry here. These ranges, they reflect operator-to-operator transactions though. So when institutional capital arrives in force, they will compress the cap rates significantly. And part of that window is the argument from day 6. So you might want to go back and refresh yourself on that one. All right, here's 5 steps to build the NOI model that carries your valuation argument. So 1, 24 months of monthly revenue.