RT Journal Article SR Electronic T1 Income and Cap Rate Effects on Property Appreciation JF The Journal of Portfolio Management FD Institutional Investor Journals SP 70 OP 79 DO 10.3905/jpm.2005.593889 VO 31 IS 5 A1 Philip Conner A1 Youguo Liang YR 2005 UL https://pm-research.com/content/31/5/70.abstract AB The strong performance of real estate and other private market asset classes in the past several years has attracted considerable interest to alternative investments. While the evidence demonstrates that property and capital market forces drive real estate pricing and thus investment performance, measuring the contribution of these two forces is challenging. Examination of the historical relationship between real estate property market forces (which drive property earnings) and capital market forces (which largely determine cap rates) helps investors better understand the effect of the two forces on property values in the past and how changes in either might affect property values in the future.