What we're seeing in New England multifamily.

Across our own portfolio and the third-party leasing we oversee, we've watched insurance premiums, municipal water and sewer, and payroll all move materially higher over the last two years. On a 20-unit building, a shift of a few hundred dollars per door in operating expense reprices the asset by real dollars at any reasonable cap rate.

Where this shows up in a transaction: pro formas built on last year's T12 quietly overstate NOI. Buyers who underwrite the actual expense trajectory — not the trailing number — win the deal at the right basis. Sellers who don't understand it wonder why offers come in below expectations.

Our BOVs reconcile expenses line by line against what we're actually paying on comparable buildings we own or lease-up. That's the value of pricing a deal from an operator's ledger instead of a comp set.

Large institutional deals get priced against public REIT cost of capital and a deep bid stack. Private 10–75 unit deals in New Hampshire, eastern Massachusetts, Connecticut and Rhode Island trade on local buyer psychology, seller motivation, and financing that's almost always local-bank balance sheet.

That means the same rent roll can price very differently depending on who owns it, who's marketing it, and how it's marketed. Confidential owner representation and a curated buyer pool — not a public flyer — is how private sellers capture the top of that range.

For buyers, it's the reason a well-underwritten small-cap acquisition can still pencil to yields that institutional product hasn't offered in years.

Length of tenancy, concession patterns, delinquency, and the spread between in-place and market rent tell you more about the asset than the top-line number ever will. A building at 98% occupancy with five-year average tenancies and $200/door under market is a very different acquisition than the same headline occupancy with heavy turnover and concessions.

Because we sign leases in these submarkets every month, we know what actually clears at what price — and what doesn't. That's the underwriting filter we apply on every BOV and every buyer-side engagement.

The result: fewer surprises in diligence, tighter execution, and a defensible number both sides can close on.