If someone wanted to invest in real estate with the goal of producing cash flow now (as opposed to longer term goals of achieving future value), how would one determine the most appropriate property type? Reading 47, Page 10, in CFAI book lists the different options. They all seem fairly obvious until a practice question comes along and I can’t see an obvious choice. Thank you.
It would be warehouses. They are long leased and have lower management costs and vacancy when compared to other income producers ie office, multi-family, shopping centres and hotel so retain high CF.