Hedging against materials/cap rate/interest rate inflation
What are some ways you all think about hedging against inflation? Obviously materials inflation is easy to point to - I am assuming you can either tie your contracts to an index or just long lumber/materials on the commodities market.
What about cap rate inflation? This directly erodes your exit value - is the assumption that general market inflation will push rents which will maintain your value indirectly?
Interest rate inflation seems only applicable to floating rate. Is there a way to hedge this as the fed starts pushing rates?
Locking in long-term fixed rate debt?
It Is really expensive to do at this point
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