Hodes Weill & Associates reports on impact of COVID-19 on global institutional sentiment for commercial real estate

While COVID-19 and the resulting economic slowdown have brought much of the world to a standstill, the pandemic’s long-term impact on commercial real estate remains to be seen, according to recent discussions with more than 100 global institutions conducted by real estate advisory firm Hodes Weill & Associates.

The firm found investors are taking a measured, cautious approach to new investments and focusing on portfolio management. While 59 percent of investors anticipate a slowdown in investment activity over the next six to 12 months, with impacts dissipating by mid-2021, many are beginning to focus on allocating capital to take advantage of anticipated distress and the evolving demand for real estate over the coming years. Overall, investors are demonstrating continued commitment to the asset class, and the majority of investors remain underallocated to real estate.

“There is uncertainty as to how the pandemic will impact commercial real estate over the medi