ERE.UN.TO
European Residential REIT
Price:  
2.26 
CAD
Volume:  
81,119.00
Canada | Equity Real Estate Investment Trusts (REITs)
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ERE.UN.TO WACC - Weighted Average Cost of Capital

The WACC of European Residential REIT (ERE.UN.TO) is 6.6%.

The Cost of Equity of European Residential REIT (ERE.UN.TO) is 21.15%.
The Cost of Debt of European Residential REIT (ERE.UN.TO) is 6.65%.

Range Selected
Cost of equity 16.50% - 25.80% 21.15%
Tax rate 24.40% - 33.80% 29.10%
Cost of debt 4.00% - 9.30% 6.65%
WACC 4.7% - 8.6% 6.6%
WACC

ERE.UN.TO WACC calculation

Category Low High
Long-term bond rate 3.3% 3.8%
Equity market risk premium 5.1% 6.1%
Adjusted beta 2.6 3.53
Additional risk adjustments 0.0% 0.5%
Cost of equity 16.50% 25.80%
Tax rate 24.40% 33.80%
Debt/Equity ratio 7.06 7.06
Cost of debt 4.00% 9.30%
After-tax WACC 4.7% 8.6%
Selected WACC 6.6%