Average cap rates for 25 major US metros across multifamily, office, retail, industrial, and mixed-use — sourced from CBRE, Marcus & Millichap, and NAR research. Use these ranges to benchmark deals and evaluate markets before you underwrite.
| Metro | Multifamily | Industrial | Retail (NNN) | Office | Mixed-Use |
|---|---|---|---|---|---|
| New York City | 3.5–5.0% | 4.5–6.0% | 5.5–7.0% | 6.5–9.0% | 4.0–5.5% |
| Los Angeles | 3.5–5.0% | 4.5–5.5% | 5.5–7.0% | 6.0–8.5% | 4.0–5.5% |
| San Francisco | 3.5–4.5% | 4.5–5.5% | 5.5–7.0% | 7.0–10.5% | 4.0–5.5% |
| Miami | 4.0–5.5% | 5.5–7.0% | 5.5–7.5% | 6.5–8.5% | 4.5–6.0% |
| Dallas–Fort Worth | 5.0–6.5% | 5.0–6.5% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
| Austin | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
| Houston | 5.5–7.0% | 5.5–7.0% | 6.0–7.5% | 7.5–10.0% | 5.5–7.0% |
| Atlanta | 5.0–6.5% | 5.0–6.5% | 6.0–7.5% | 7.0–9.5% | 5.0–6.5% |
| Phoenix | 5.0–6.5% | 5.0–6.5% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
| Chicago | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.5–10.0% | 5.0–6.5% |
| Seattle | 4.0–5.5% | 4.5–6.0% | 5.5–7.0% | 7.0–9.5% | 4.5–5.5% |
| Denver | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.0–9.5% | 5.0–6.5% |
| Nashville | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
| Charlotte | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
| Tampa–St. Pete | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
| Washington DC | 4.0–5.5% | 5.5–7.0% | 5.5–7.0% | 7.0–10.5% | 4.5–6.0% |
| Boston | 3.5–5.0% | 5.0–6.5% | 5.5–7.0% | 6.5–9.0% | 4.0–5.5% |
| Minneapolis | 5.5–7.0% | 5.5–7.0% | 6.0–7.5% | 7.5–10.0% | 5.5–7.0% |
| Indianapolis | 5.5–7.5% | 5.5–7.5% | 6.5–8.0% | 7.5–10.0% | 5.5–7.5% |
| Kansas City | 5.5–7.5% | 5.5–7.5% | 6.5–8.0% | 7.5–10.0% | 5.5–7.5% |
| Columbus | 5.5–7.5% | 5.5–7.5% | 6.5–8.0% | 7.5–10.0% | 5.5–7.0% |
| Detroit | 6.0–8.0% | 6.0–8.0% | 6.5–8.5% | 8.0–11.0% | 6.0–8.0% |
| Memphis | 6.0–8.0% | 5.5–7.5% | 7.0–9.0% | 8.0–11.0% | 6.0–8.0% |
| San Antonio | 5.5–7.0% | 5.5–7.0% | 6.0–7.5% | 7.0–9.5% | 5.5–7.0% |
| Salt Lake City | 5.0–6.5% | 5.5–7.0% | 6.0–7.5% | 7.0–9.0% | 5.0–6.5% |
Sources: CBRE H1 2026 Cap Rate Survey, Marcus & Millichap 2026 National Investment Forecast, NAR Commercial Real Estate Market Conditions. Ranges represent typical traded transactions; outliers excluded.
Quick snapshots on cap rate drivers, recent trends, and what's moving the market in each major metro.
Multifamily cap rates remain among the tightest nationally (3.5–5.0%), driven by persistent housing shortage and rent stabilization complexity. Industrial in the outer boroughs has compressed as last-mile logistics demand absorbs scarce land. Office vacancy has improved slightly from 2024 peaks but fundamentals remain challenged in Class B/C product — expect cap rates to stay elevated at 6.5–9.0%+ until absorption proves durable.
LA multifamily continues to trade at premium cap rates (compressed, 3.5–5.0%) despite rent control risk in rent-stabilized units. Industrial has been the standout performer in the Inland Empire corridor — cap rates for Class A logistics have compressed to near-coastal levels. Office in downtown LA and Century City remains under pressure with vacancy elevated post-pandemic, pushing cap rates higher.
DFW industrial cap rates have compressed 30–50bps over the past 12 months driven by sustained logistics and e-commerce demand. Multifamily supply deliveries spiked in 2023–2024, creating near-term softness, but population growth supports a strong long-term demand floor at 5.0–6.5% cap rates. Retail in suburban corridors has outperformed, particularly grocery-anchored centers with sub-7% cap rates for well-leased product.
Miami has transitioned from a COVID-era pricing outlier to a permanently elevated market. Multifamily cap rates (4.0–5.5%) reflect strong international demand and continued in-migration from the Northeast. Office in Brickell and the Design District has outperformed most US gateway markets. Retail on premium corridors — Lincoln Road, Wynwood — commands the tightest retail cap rates in the Southeast.
Atlanta industrial is one of the top logistics corridors nationally, with cap rates tightening to 5.0–6.5% for Class A product along the I-85 and I-20 corridors. Multifamily absorbed significant new supply in 2023–2025 — rent growth has normalized but occupancy has held, keeping cap rates in the 5.0–6.5% range. Office in Midtown has stabilized; suburban office remains under pressure.
Chicago offers some of the more attractive risk-adjusted cap rates among major US metros. Industrial in the O'Hare and I-55 corridors trades at 5.5–7.0%, competitive with smaller Sunbelt markets but with deeper tenant pools. Office fundamentals remain challenged downtown — vacancy is above 20% for Class B/C, pushing cap rates above 7.5%. Multifamily in the North Side and transit-served neighborhoods continues to attract institutional capital at 5.0–6.5%.
Phoenix multifamily absorbed a historic wave of deliveries in 2024 — rent growth paused but values held as investors priced in long-term demand. Industrial in the Southeast Valley and West Valley has seen steady demand from semiconductor supply chain and distribution, with cap rates at 5.0–6.5% for Class A. Retail has been a quiet outperformer — Phoenix suburban retail has among the lowest vacancy in the Sun Belt.
Nashville remains one of the highest-conviction secondary markets for multifamily investment. Cap rates at 5.0–6.5% are justified by continued population and employment growth. Industrial demand has been driven by Midwest regional distribution expansion. Office in the CBD has outperformed most secondary markets, with tech and healthcare tenant demand keeping vacancy below the national average.
Denver multifamily has weathered elevated supply better than Austin — population growth and tech employment have absorbed units faster than most forecasts. Cap rates at 5.0–6.5% reflect a market that never saw the extreme compression of coastal peers. Industrial in the I-70 corridor and airport submarket has attracted strong investor interest, with cap rates near 5.5–7.0%. Office in downtown Denver has stabilized but suburban office remains challenged.
Indianapolis is one of the most accessible major US markets for investors targeting 6%+ returns across all asset classes. Industrial is the standout — Indy sits at a major logistics node (I-65, I-70, I-74 convergence) with Fortune 500 distribution tenants driving demand. Cap rates of 5.5–7.5% offer a significant yield premium over coastal industrial. Multifamily fundamentals are steady with consistent job growth and minimal supply overhang.
Enter any commercial address and get instant AI-powered analysis — cap rate, NOI, comps, and more. Any market, any property type.
Analyze a Deal Now →Or get weekly CRE market insights: