Cap rate

Capitalization rate: net operating income divided by price, the yield a property-like business is bought at. An 8% cap rate on $200k of NOI is a $2.5M price.

Self-storage, car washes, and anything priced on its real estate trade on a cap rate rather than a multiple of earnings, and the two are not interchangeable. A searcher who quotes an SDE multiple at a storage seller is speaking a different language from the person across the table.