Prospects for real estate investment in 2022
In the year ahead, the commercial real estate market will continue to be affected by the changes wrought by the COVID-19 pandemic, but there will continue to be strong interest from investors.
Anthony Graziano, CEO of Integra Realty Resources, a national market research, consulting and valuation firm, expects continued strong interest in acquisitions through second quarter 2022 as investors navigate the changing debt landscape and expect interest rates to rise.
“This may continue past Q2, as equity seeking deals still far exceeds available sensible deals in the market,” says Graziano. “Market conditions in the coming two years are where mistakes are made on pricing because the trading market is currently frothy in most markets. These conditions should stabilize toward the end of 2022 if the market acts rationally.”
Graziano suggests the opportunities to outperform will be in the office and hotel sectors, as well as retail in some markets, “as these thr