Cap Rate Expansion In Multifamily/Development?

Hello all, I am trying to get my head around how people are thinking about cap rates in the multifamily sector in the coming years. I have found a lot of investor presentations, proformas, etc for mid-rise multifamily development deals from the last 24 months across the U.S that are contemplating scenarios with cap rate compression, no change, or only slight expansion. Given how low-interest rates are, and the distance rumblings of a possible recession looming, it is so crazy to assume a 5 basis point expansion per year? 10 basis points? Click to read more at