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Research we've conducted indicates correlation between CAP rates and Interest rates is 0.7. So not 1 to 1 but there's a relationship there. Like all markets they're not perfect, fluctuations in supply & demand, tax structures, etc. all play into it.
This is very interesting. It's logical that there should be a correlation but there obviously hasn't been. I don't expect it return in the immediate future, but eventually, it should regulate...
 

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