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ARGUS Question: General Vacancy on a Portfolio
Here's an Argus question for y'all - I'm hoping this is a dumb question with an easy fix. I'm running a 2% General Vacancy assumption on each of 7 properties in an Argus portfolio. I'm not grossing up revenue by absorption & turnover, and I'm reducing the General Vacancy Result by absorption &...
Steady vacancy ---> absorption & new supply cancel out????
Quick question... Let's say over a 5 year time the vacancy rate for office space in a given market has remained stead at say 10%. Would this result in the absorption rate and amount of new supply canceling each other out? Appreciate all input!
Vacancy loss formula
Have you guys ever modeled things and incorporated parts of a template, but had no idea what the logic was behind some of the parts? I'm incorporating a vacancy/rollover into the expected revenue. Building in a 25% chance of 6 months of down time in the year, I have ((new rent*size)/12)*25% chance...
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