Real estate investors, developers and operators are facing a number of headwinds — inflation, rising interest rates, labor shortages, supply-chain constraints and geopolitical risks — which have created uncertainty in the capital markets. Despite the headline buzz, some expect these market aberrations to be short-term. After all, cycles come and go; they create opportunities, and they also create risks. Because real estate is a medium- to- long-term asset class, experts say these short-term events could even make the opportunity set more attractive for joint venture ( JV) partnerships — both new and existing.
The road ahead may be riddled with uncertainty, but existing JV partners that have a strong foundation of trust, as well as an alignment of interest on business plans and a clear understanding of downside/upside exposure, may be well-positioned to ride it out. Experts say the
