Findings Point To Improving Market Conditions Across The Entire Commercial Property Market, Not Just Trophy Assets In Top Metros
CRE investors are stepping up their efforts to find value outside the best buildings in the top U.S. metros, casting their nets in a growing number of secondary markets and asset types as price growth slows for the highest-end properties, according to this month's CoStar Commercial Repeat Sale Indices (CCRSI) report.
For the past two years, pricing gains in the value-weighted composite index have been consistently stronger than its equal-weighted counterpart, suggesting that prices have recovered more rapidly among the larger and more expensive assets. Market fundamentals have also recovered more quickly at the top end of the market, where demand for Four-Star and Five-Star office buildings, luxury apartments, and modern big-box warehouses has outpaced the overall market.
Read more...Recovery Pace Quickens in Lower-End CRE Properties - CoStar Group