Each time we enter into a new time or phase on the clock, investors face a whole new array of risks. But how do you best manage those risks? With respect to risk management, probably as many approaches exist as there are risks. The one that makes the most sense to me — and that has the added advantage of actually working — is Potential Problem Analysis.
From the Current Issue
Value investing has been developed and applied successfully to public markets for more than 80 years. Its lessons are important and can be applied to real estate.
In the next five years, commercial real estate is likely to perform strongly, according to an optimistic series of reports published by Deutsche Asset & Wealth Management.
Investing in real estate typically is viewed as a long-term strategy. But the longer-term approach required for property investment can conflict with the short-term gains needed by pension fund investors.
The United States has overtaken China to become the world’s largest real estate investment market, according to research published by Cushman & Wakefield.
The U.S. commercial real estate market is firmly into the expansion phase of the property cycle — and that means construction activity is strong across the country.
The apartment sector has produced some fat gains over the past several years, putting a smile on investors’ faces. For many tenants, however, turn that smile upside down.
The commercial structures we inhabit started as little more than a protective shell, separating us from the elements. Much has continued to improve but, in technological terms, compare how little the edifice has advanced IQ-wise when compared with, say, computers, telephones, automobiles and industrial robotics.
The Asian insurance market has been shaken by regulatory changes, and the outward flow of capital has begun to wash ashore in specific gateway cities of the West, most notably London and New York City.
Being Uncle Sam’s landlord is not always easy. Do the benefits of investing in assets leased by the GSA outweigh the uncertainties clouding this sector? The short answer is, “yes,” but the long answer is a lot more interesting.
The multifamily sector led the recovery in commercial real estate over the past several years, as occupancy remained buoyant and U.S. housing markets began a secular shift toward renting that is still under way. The asset class continues to offer significant long-term potential, however, and an innovative value-add strategy can deliver an institutional-scale platform for investing in one of the most compelling segments of the multifamily market: workforce housing.
A series of international property measurement standards, or IPMS, is being developed by a coalition of more than 60 organizations in the property field.
Steve Dyer is real estate portfolio manager with Colorado Public Employees’ Retirement Association.