Richard Litton, president of Harbor Group International, highlights the impact of declining interest rates on commercial real estate investment and transaction volumes. He discusses the increasing investor appetite for commercial real estate assets, particularly in sectors like multifamily and class A+ office properties, where strong fundamentals and demand are driving opportunities. Litton also addresses institutional investors’ shifting allocations, the evolving commercial real estate debt market, and potential distress in certain asset classes, particularly in the office sector.
With declining interest rates, how do you expect transaction volumes to change, particularly in more challenged sectors like office real estate?
Transaction volume is growing for office real estate – with a preference for select class A+ assets in top-tier markets. Lower interest rates would certainly help propel this activity. Class A properties are leading the
