Posts tagged Market Trends
They report that rates compressed among retail, office and industrial as the focus on core assets in primary market combined with a limited supply was the main driver. Investors did not, as insiders expected, “seek opportunistic yields in secondary markets and private credits.” [download report]
Following sharp declines and painful deleveraging in the wake of financial and economic turmoil, commercial real estate (CRE) is showing signs that the deterioration of industry transactions and fundamentals has begun to plateau, and that early stages of recovery may be imminent. In this article, Commercial real estate outlook: Top ten issues in 2011, get a closer look at market trends and developments, with a focus on the outlook for recovery. [read more]
A review of recent macroeconomic data on the Corporate Real Estate (CRE) front provides for substantially mixed news regarding value trends. [more]
CoStar data shows that three of the five worst multifamily markets for distressed sales at a percentage of total sales were in the south. Atlanta led the way with 72% and two Florida markets, Jacksonville (#2) and Tampa-St. Petersburg (#5) were at 62% and 49% respectively. Stockton-Modesto, CA (#3) and Las Vegas (#4) rounded out the bottom five.
Keat Foong, executive editor of Multihousing News Online, discussed the potential impact of the proposed change from Generally Accepted Accounting Practices (GAAP) to International Financial Reporting Standards (IFRS) on valuation of real estate assets. The changeover, proposed by the SEC and scheduled for fiscal years ending on or after December 15, 2014, will require a “Fair Value” for real estate. Changes in value, either losses or increases, will impact the P&L. While it may increase transparency, it will also require real estate be “marked to market” with potentially devastating impact to profitability during down years and severe tax consequences during up years. For the full article and discussion of other impacts [click here].
Have you determined which commercial real estate facilities are strategic assets to your company? [click here]