Category	Low	High

Long-term bond rate	21.4%	21.9%
Equity market risk premium	10.2%	11.2%
Adjusted beta	0.54	0.59

Additional risk adjustments	0.0%	0.5%
Cost of equity	26.8%	29.0%

Tax rate	21.2%	22.0%
Debt/Equity ratio	0.41	0.41
Cost of debt	19.2%	34.4%

After-tax WACC	23.4%	28.4%


Selected WACC	25.9%

NUGYO.IS WACC - Detailed calculations of Beta

		Debt/Equity		Unlevered
Peers	Company Name	ratio	Beta	beta

NUGYO.IS	Nurol Gayrimenkul Yatirim Ortakligi AS	0.41	1.07	0.81
CREI.L	Custodian REIT PLC	0.47	0.9	0.66
DGGYO.IS	Dogus Gayrimenkul Yatirim Ortakligi AS	0.42	0.36	0.27
IMDA.PA	Immobiliere Dassault SA	0.7	0.05	0.03
LEAS.BR	Leasinvest Real Estate Comm VA	1	0.6	0.34
PAT.PA	Patrimoine et Commerce SCA	1.11	0.31	0.17
PCTN.L	Picton Property Income Ltd	0.51	0.75	0.54
TRASTOR.AT	Trastor Real Estate Investment Company SA	0.76	0.29	0.19
YGOP.MC	Grupo Ortiz Properties SOCIMI SA	0.65	0.14	0.09
YTRA.MC	Trajano Iberia Socimi SA	2.08	0.44	0.17

	Low	High

Unlevered beta	0.18	0.3
Relevered beta	0.31	0.39
Adjusted relevered beta	0.54	0.59

NUGYO.IS's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for NUGYO.IS:

cost_of_equity (27.90%) = risk_free_rate (21.65%) + equity_risk_premium (10.70%) * adjusted_beta (0.54) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.