Given that the economy and the real estate market have had a rocky past few months, what’s the mood in the investment marketplace today?

Investors are generally optimistic. They are focusing on capitalizing on the current conditions. We’ve had a long and successful run in the asset class, reaching back all the way to the early ’90s. It was an exceptionally long period of time of favorable returns where risk was being rewarded.

The current data is not robust as to the amount of valuation loss there may be. The public markets indicate there should be some. I believe when we have more clear evidence later this year, the extent of a correction may impact investor sentiment. But bear in mind several recent events in the asset class: Real estate has earned a permanent allocation in an increased number of institutional portfolios as a diversifier, a source of alpha and in some respects an inflation hedge. It is now global, both in where capital is sourced and