"Distribution Per Unit" refers to the amount of rent or
income generated by a property divided by the number of units in the property. This metric is used to compare the profitability of different properties and to assess the potential return on investment for a property investment.
For example, if a property has 10 units and generates $100,000 in rent per year, the distribution per unit would be $10,000. This means that each unit in the property generates $10,000 in rent per year.
Distribution per unit is a useful metric for investors to consider when evaluating potential property investments. A high distribution per unit indicates that a property is generating a lot of income relative to the number of units in the property. This can be a sign that the property is well-managed and that the rental market in the area is strong.
However, it is important to note that distribution per unit is not the only factor to consider when evaluating a property investment. Other factors, such as the purchase price, the cost of maintenance and repairs, and the potential for capital growth, should also be considered.