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What is a capitalization rate, and how is it used to value commercial real estate? Describe the following market distortions and define which government power

  1. What is a capitalization rate, and how is it used to value commercial real estate?
  2. Describe the following market distortions and define which government power is used to control each distortion.
  1. Holdout
  2. Negative externalities
  3. Incomplete information
  4. Uncertainty of residential values

  1. Identify and briefly describe the three main characteristics of rights

  1. What is the main difference between Appurtenant Easements and Easement in Gross?

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