It is my understanding , that operating margins for multifamily range from 50% to 70% given variables such as number of units, payroll, tax rate, etc.
I'm looking at a deal where the GPs operating margin is slightly north of the high end of the range listed above. This GP has a fantastic track record so I want to take what they're giving at face value, but this operating margin seems far too aggressive.
Has anyone, either personally or anecdotally achieved margins north of 70%...? Would love to hear people's thoughts on this.