The Road to Recovery: Investors Follow a Slow and Winding Path
How will recovery from the Great Recession likely play out over the coming year? Several industry experts shared their thoughts and forecasts for the general economy, real estate capital markets, and property supply-demand fundamentals. The consensus: Economic and employment growth might stall a bit but aren’t likely to recede. Plentiful equity will chase investment opportunities, as debt markets broaden collateral preferences. And already rising property values should continue upward, as rents and occupancies bottom out and slowly reverse course with recovering user demand.
Based on the amount of North American income-producing properties institutional investors are buying these days — and the prices they’re paying — the apparent consensus is that recovery in domestic commercial real estate markets is just around the corner.
Or at least the general perception within the institutional community is that investment conditions won’t get any worse — no