Our #RealEstate team led by the Lead Advisory and Corporate Finance & Transactions partner; Emilio Venegas, the Corporate Finance & Transactions manager; Catalina Chávez, and the Senior Analyst; Carolina Ciucani at @BDOChile, has prepared a new edition of the Discount Rates Report, corresponding to the first quarter of 2023.
During the analysis period corresponding to the first quarter of 2023, an average increase of 10 basis points is observed in the discount rates of the Real Estate sub-industries analyzed in relation to the previous quarter.
The main cause of the variations in Real Estate discount rates is due to changes in the market credit spread and variations in the beta, given that the risk-free rate remained practically stable. The impacts by sub-industry were diverse, with negative effects in Offices, Strip Center and Development and positive in Residential, Commercial and Industrial.
During the analysis period corresponding to the first quarter of 2023, an average increase of 10 basis points is observed in the discount rates of the Real Estate sub-industries analyzed in relation to the previous quarter.
The main cause of the variations in Real Estate discount rates is due to changes in the market credit spread and variations in the beta, given that the risk-free rate remained practically stable. The impacts by sub-industry were diverse, with negative effects in Offices, Strip Center and Development and positive in Residential, Commercial and Industrial.