How to Find Commercial Real Estate Comparables

Key Takeaways

• Accurate comps are more important than ever due to higher interest rates, tighter lending and slower transaction activity, making accurate valuations not only essential but critical for allowing CRE professionals to move with confidence. 
• CRE professionals are in need of purpose-built tools designed specifically to capture complex transaction details like lease structures, tenant information and property specific metrics that generic platforms miss. 
• AI-enabled platforms are transforming comp analysis by providing access to larger datasets, real-time market insights, and automated valuation tools that help professionals make faster, more informed decisions.

In a year marked by higher interest rates, tighter lending, and slow-moving transactions, comparables (comps) have never been more important. Whether you're an investor, broker, appraiser, or lender, accurate comps give you the confidence to set prices, underwrite loans, and guide client decisions. 

Comps are harder to track these days given the slower pace of market activity. However, CBRE predicts U.S. CRE investment will grow by 10% in 2025, bringing more deals and more data. As activity returns, technology will be key to turning that new information into clear insights.

We’re starting to see the rollout of AI-based advancements which include upgraded valuation models and predictive analytics, all helping professionals access better, more reliable comps than ever before.

CRE Comparables vs. Residential Real Estate

Residential comps are relatively straightforward. Comparing homes with similar size or location tends to yield consistent results. 

Commercial real estate is a different story. With fewer transactions, private deals, and varied property types, finding reliable CRE comps can be complex. Because deal activity hit a low in 2024 - with global sales volume dropping 5% from 2023 - fresh comps have become even harder to come by.

Who Uses Commercial Real Estate Comparables?

Commercial real estate comparables are the foundation for confident decision-making. Everyone from buyers to lenders relies on comps to benchmark value, reduce risk, and move deals forward.

Property Buyers

Buyers use comps to make sure they’re paying a fair price in today’s market. Reviewing recent transactions helps them understand value benchmarks and spot opportunities.

Property Sellers

Sellers rely on comps to price properties competitively. Having clear data on similar deals makes it easier to attract offers without leaving money on the table.

Appraisers

Appraisers depend on comps to back up valuations. In a shifting market, comps give them the context they need to adjust for rents, yields, and other performance factors.

Lenders

Lenders use comps to underwrite loans, checking metrics like Loan-to-Value (LTV), Debt Service Coverage Ratio (DSCR), and Debt Yield. Strong comps help them gauge risk more accurately.

Institutional Investors and Brokerages

For institutional investors and brokerage teams, comps are central to building pitch decks, raising capital, and defending valuations. With increased scrutiny on pricing, reliable comps give these groups credibility when presenting opportunities. This is especially true when structuring deals through syndication or other pooled investment strategies.

Essential Data for Lease and Sales Comparables

Core Data for Both Lease and Sales Comparables

• Property name and full address
• Type and classification of building
• Property size (rentable/building square footage and lot size)
• Property condition and age
• Tenant type (local, regional, national, credit, etc.)
• Number of tenants (where applicable)
• Zoning and land use
• Location details, access to amenities, and surrounding market conditions
• ESG/sustainability data (green certifications, energy efficiency features)
• Geospatial/foot traffic analytics (pedestrian counts, nearby transit access)
• Demographic and migration data (population shifts, remote work trends)

Data Specific to Commercial Lease Comparables

• Tenant name
• Space type and use
• Transaction type (new lease, renewal, sublease, etc.)
• Lease type (NNN, full service, etc.)
• Rent per square foot and total rental rate
• Tenant improvements and concessions
• Landlord concessions (work value, free rent, etc.)
• Starting rent and net effective rent
• Lease term (start and expiration dates)

Data Specific to Commercial Sales Comparables

• Buyer and seller details
• Transaction date
• Sale price and price per square foot
• Cap rate
• Net operating income (NOI) and NOI per square foot
• Operating expenses (OpEx) and OpEx per square foot

Challenges With Using MLS and Residential Platforms for CRE Data

Residential platforms and MLS systems are useful for tracking home sales. However, they don’t work as well for commercial real estate. CRE includes offices, retail centers, warehouses, and multifamily properties, all with unique details that MLS systems aren’t built to capture. Because of this, the data often lacks the depth needed for accurate analysis.

Commercial transactions are also more complex. They involve larger deal sizes, long leases, zoning rules, and tenant information that most residential platforms don’t record. Without this, it’s hard to get a full picture of a property’s value.

By 2025, some local markets have started sharing more CRE data, giving professionals a bit more visibility. Still, the overall market remains fragmented. Brokers, investors, and lenders usually have to pull information from several sources. This slows them down and increases the chance of gaps in the data. 

Until CRE-specific platforms are the standard, MLS alone will remain an incomplete option.

Best Sources for Finding Commercial Real Estate Comps

Since MLS and residential platforms don’t provide the full picture, CRE professionals need better tools for accurate data. In 2025, new technology makes comps easier to find, but the best results still come from trusted sources:

• Crexi Intelligence: Crexi now offers more than 153 million comps, along with tools to compare prices, rents, and trends. It’s one of the easiest ways to see what’s happening in the market right now.
• AI Data Tools for CRE: Some platforms use AI to scan large sets of property data. They can quickly spot pricing patterns and predict shifts in rent or demand.
• Market Reports on Listing Platforms: Many sites now combine active listings with local market reports. This makes it simple to view comps and current trends all in one place.
• Tax Records: Public tax data can confirm sales history, ownership, and property details. It’s basic, but useful as a cross-check.
• Broker Connections: Local brokers often know about deals that haven’t been published yet. Staying connected helps you get access to these insights.
• Appraisers: Appraisers are trained to evaluate properties and use comps every day. Their reports are especially valuable for lenders and investors who need accurate valuations.

Key Metrics for Valuing Commercial Real Estate

To make sense of comps, CRE professionals rely on a few key numbers. These metrics help investors, brokers, lenders, and appraisers understand value, risk, and potential returns. 

Net Operating Income (NOI)

NOI shows how much income a property makes after operating expenses, but before taxes and financing. Keep in mind that lease structures can also change these numbers significantly. For example, properties with triple net (NNN) leases often pass most expenses to tenants.

Example: If a retail center brings in $750,000 in rent each year and has $250,000 in expenses, its NOI is $500,000.

Capitalization Rate (Cap Rate)

Cap rate measures return based on income versus property value. It’s a quick way to compare deals.

Example: If the same property has an NOI of $500,000 and is worth $6.25 million, the cap rate is 8%.

Gross Income Multiplier (GIM)

GIM compares a property’s sale price to its total rental income. It’s simple but effective for spotting value.

Example: A property selling for $5 million with $1 million in annual rent has a GIM of 5.

Debt Yield

Debt Yield shows how well a property’s income covers a lender’s risk, no matter the loan terms.

Example: If a property’s NOI is $500,000 and the loan is $5 million, the Debt Yield is 10%. Lenders often want this above a set threshold before approving financing.

Sensitivity Analysis

This looks at how changes in interest rates or rent growth affect a property’s value.

Example: If rates rise by 1%, the cap rate might move from 7% to 8%, lowering value even if NOI stays the same.

Risk-Adjusted Returns

Not all returns carry the same risk. This metric weighs income against factors like market volatility, tenant strength, or property type. Investors use it to compare safer but lower-yield assets (like medical offices) to riskier, higher-yield ones (like new retail developments).

Approaches to Valuation: Cost, Market, and Income Capitalization

When using comps, professionals often combine several approaches to get the most reliable number. Each method has its own strengths. In 2025, investors are layering in AI and alternative datasets to produce more accurate valuations and spot risks earlier.

• Cost Approach: Looks at what it would cost to rebuild the property today, minus depreciation. Useful for new or unique assets.
• Example: If land is worth $2M and rebuilding costs are $8M, but depreciation is $1M, the property value is $9M.
• Market Approach: Compares the property to recent comparable sales, adjusting for differences. Transaction data can be limited, so pooled national datasets and predictive tools help.
• Example: If three nearby office buildings sold for $250–$275 per SF, a similar property might be valued at $265 per SF.
• Income Approach (Capitalization): Values a property based on income. Divide Net Operating Income (NOI) by a cap rate to estimate value, often tested with scenarios like rent changes or rate hikes.
• Example: A property with $600,000 NOI and a 7.5% cap rate is valued at $8M.

Additional Considerations for CRE Valuation

• Impact of lease structures
• Tenant diversification
• Environmental assessments and property inspections
• Future development potential and zoning restrictions
• Proximity to key locations
• Foot traffic and commute times
• Days on Market (DOM)
• Economic and market trends
• Impact of rising construction costs (affecting replacement value)
• Remote work and hybrid office impacts
• Market volatility influencing hold/sale decisions

Streamlining Your Approach in 2025

In a market where every data point matters, high-quality comps are essential. Looking ahead, comps in 2025 will increasingly draw on real-time, AI-enhanced data and integrated CRE platforms. 

With tools like Crexi Intelligence, you can cut through fragmented data, tap into over 153 million verified comps, and evaluate opportunities with confidence. Pairing strong comps with effective commercial real estate marketing can also give brokers an edge when pitching clients or bringing properties to market.

Want to see how it works in real time? Schedule a demo and discover how Crexi Intelligence was built to help you make smarter, faster decisions in 2025 and beyond.