Asset Classes
Office
Institutional office underwriting in 2026 — lease structure, TI/LC, medical, the Trophy-to-Class B stratification, and a market-analysis framework that respects sublease as the leading indicator.
Office in 2026 is no longer a single asset class. The Trophy / Class A / Class A-minus / Class B stratification governs every input before underwriting even starts — rent PSF, occupancy, TI/LC, concessions, and cap rate all separate by tier in ways that the pre-2020 office vocabulary masked. On top of that, lease structure (full-service gross vs modified gross vs NNN), the expense-stop and base-year mechanics that decide who actually pays OpEx inflation, and the sublease overhang as the leading demand indicator have each become more consequential, not less.
These five articles walk the institutional office stack from the smallest underwriting unit up to the market. Start with the lease analysis piece if you are reading a single rent roll. Start with the stratification piece if you are pricing a Class B repositioning. Medical office is its own discipline — included for institutional buyers crossing into MOB from generic office — and the market-analysis piece is the BOV-grade synthesis layer that ties the rest together.
5 articles
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Office Lease Analysis: Gross vs NNN vs Modified Gross + Expense Stops
The institutional multi-tenant office reading of full-service gross, modified gross, and triple-net leases — base year mechanics, expense stops, gross-up provisions, CAM pass-through math, and the 2026 OpEx inflation overlay. Worked on a 200,000 SF Class A Boston CBD building with three tenants on three structures producing a $21M valuation delta at a 7% cap.
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Office Underwriting: TI/LC, Free Rent, and the Effective Rent Discount Cascade
The institutional reading of an office lease — face rent less amortized TI, less amortized LC, less abated rent, equals effective rent. Walks the 2026 concession environment by class and submarket, the tenant-by-tenant rollover schedule, and a worked 250,000 SF Boston Seaport Class A acquisition with the IRR drag explicit.
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Medical Office: Single-Tenant Credit vs Multi-Tenant — WALT, On-Campus Premium
The institutional MOB underwriting discipline at the bifurcation that defines the sector: single-tenant credit MOB vs multi-tenant MOB. The 2026 cap-rate range table walked across credit tenancy and on-campus/off-campus, WALT computed both unit-weighted and space-weighted on a worked rent roll, the credit-tenant lease framework specialized for medical, and two worked deals end to end.
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Trophy vs Class A vs Class B Office: 2026 Stratification & Repositioning Math
Class A office stopped being one category in 2026. The four-tier reality — Trophy, Class A, Class A-minus, Class B — governs every underwriting decision before any other input. Walks rent PSF, occupancy, and cap-rate spreads by tier, then runs a 350,000 SF Sun Belt CBD Class B building through three paths side-by-side: reposition to Class A-minus, convert to multifamily, sell at land basis.
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Office Market Analysis: Sublease, Hybrid Work, and the 2026 Submarket Spread
The institutional framework for reading the 2026 office market. Sublease as the leading demand indicator, the four ways to measure vacancy, hybrid work translated to a demand curve, the Q1 2026 submarket spread between gateway CBDs and the Sun Belt, the shadow-vacancy three-form taxonomy, the 2026 distress wave, flight to quality, the conversion pipeline, and a 9-step BOV-grade workflow.
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