TO: Ranjit Dhaliwal
FROM: Morgan Brandt
DATE: September 26, 2019
SUBJECT: Peer Review of your Expanded Definition of “Capitalization Rate” on Our Team Forum
The first draft of the expanded definition of Capitalization Rate demonstrates a keen background in real estate and strong explanations. Below are a few suggestions to improve the clarity for a broader readership.
Audience and Jargon:
- the prospective reader would have no difficulty with the terminology used in this context.
- To further define capitalization rate, expand on the terms “valuation metric,” under What is capitalization rate, and “net operating income,” under How is it used. Provide a simple sentence definition or a short glossary to make the definition accessible to most readers.
- For clarity purposes, using a clear range of values when describing properties than “extremely old properties,” provides a better context for the reader.
Focus:
- The document is well organized with thoughtful examples to translate concepts into practice.
- Mathematical examples of how to calculate cap rate is a great way to translate the description further, creating a strong foundation for application purposes.
Citations/Visuals:
- The document is well researched but in-text citations are required to recognize which ideas are being integrated from outside sources.
- Figures also require in-text citations accompanied by signal phrases to communicate the significance of figures to the context of documents.
Overall, the definition for Capitalization rate is well formulated, requiring only citations and slight expansion on certain terms. I look forward to seeing how these suggestions can be incorporated in the final draft, and if you have any questions for clarification, do not be afraid to ask me.
link to definition draft 1