All of the major commercial real estate asset classes are showing improvement—with multifamily blazing the trail, the National Association of Realtors reports in its new quarterly Commercial Real Estate Market Survey.
In short, the worst really is over, NAR economist George Ratiu tells GlobeSt.com. “The commercial real estate industry has worked through its troubled properties much more efficiently than anyone would have expected a few years ago. Now we are seeing a steady improvement in property fundamentals, characterized by strengthened demand as measured by net absorption.”
The report holds bad news for at least one segment of the industry however—investors that have been lining up in the hopes of snagging distressed assets at opportunistic prices. It didn’t happen in the last two years, Ratiu says and such opportunities are unlikely to materialize this year or next, despite the fact that the majority of debt underwritten during the height of the market is now maturing.
Read more...GlobeSt.com - NAR: Commercial Real Estate Has Turned the Corner - Daily News Article
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