Acquisition Spread

Acquisition spread is the difference between an acquired property’s expected yield and the buyer’s associated cost of capital or financing.

Why this matters to income investors

The difference between property yield and funding cost influences whether growth adds per-share income.

How to use acquisition spread in your research

Check the company’s assumptions and the period used for the comparison. Compare the expected property income with financing and operating costs before treating a transaction or valuation change as dividend support.

This material is general education and information, not individualized investment, tax, or legal advice.