Is Core Still King?: As Core Property’s Popularity Grows, a Projected Decline in Returns May Force Wary Investors to Explore Other Options
Core properties are not only king but are becoming more regal, as yields on other assets perceived as safe continue to slide. In a still-stuttering global economy, investors like the steady rents, the security and, in many Asian markets, the prospects for medium- and long-term appreciation of core property. But eventually, market participants predict even risk-averse institutions will start nibbling at more speculative or noncore properties as projected returns on core shrink.