Over the last eight years private equity real estate has witnessed some of the best total returns in its history. This has also coincided with the longest stock bull market in U.S. history. Some investors feel as if the current expansion can continue unabated. More disturbingly than that, and perhaps spoiled by the astounding returns in this cycle, many investors are still reaching for IRRs they achieved in the near past, blithely ignorant of the fact that most of the appreciation was the result of mean reversion and record low interest rates. Investors remain aggressive today when they should be defensive.Read More
Real estate investment trusts that specialize in industrial properties, such as Prologis Inc., Rexford Industrial Realty Inc. and Terreno Realty Corp., are outperforming REITs that focus on malls, residential rentals and office buildings.
"Portland's jump into the top 10 illustrates the tremendous amount of growth we've seen over the past few years," said Jason Green, CBRE's managing director for Oregon and Southwest Washington. "The biggest indicator of new investor interest is growth in office-using jobs and continuously shrinking unemployment rates, and that trend is likely to continue in our region."Read More
Corporations are taking advantage of what remains a “pretty hot market” for sale-leaseback transactions.Read More