A few key trends are positioning commercial real estate investment activity to accelerate as signs point to improving capital liquidity across the sector, according to a report by Marcus & Millichap. After several years of constraints, the market is beginning to stabilize, with transaction volumes showing meaningful recovery. In the first half of 2025, the number of commercial real estate properties traded was only about 10 percent to 15 percent below the pre-pandemic average from 2014 to 2019, and preliminary data suggests total deal flow for the year will align closely with 2016 levels. The slowdown in recent years largely stemmed from the sharp rise in interest rates during 2022 and 2023, which compressed yield spreads between cap rates and borrowing costs, pushing many assets into negative leverage. Additionally, tighter lending standards and a more challenging fundraising environment further limited sales activity. However, as these headwinds begin to ease, market liquidity
