Investor interest in purchasing commercial real estate surpasses 2019 levels

Investor inquiries (confidentiality agreements signed by prospective buyers) through the first week of December 2021 have surpassed the total for all of 2019, according to CBRE Deal Flow — the company’s proprietary digital marketing hub for U.S. commercial property sales. Robust investor interest in the second half of the year fueled this strength, with inquiries up 40 percent year-over-year from July 1 through Dec. 8 and up 14 percent compared with the same period in 2019.

Strong investor interest continued despite increased uncertainty due to rising COVID-19 infections and a reduction in the Federal Reserve’s bond purchasing program.

Investor activity picked up in the most challenged sectors. Retail inquiries surged more than 87 percent since 2020 and were slightly above 2019 levels. The hotel and office sectors also saw increases from 2020 but were down by 5 percent and 20 percent, respectively, from pre-pandemic 2019 levels. Multifamily and industrial inquiri