Commercial Real Estate Pricing Drops Nationally For Ninth Month Straight In January

Commercial real estate pricing entered 2018 on a low note. Nationwide prices fell 0.3% last month, representing the ninth consecutive month of declines. “We edged off historic highs. The declines over the last three quarters have been mild and more of a stagnation than a decline,” Ten-X Senior Quantitative Strategist Chris Muoio said. “Prices have plateaued.”

As prices continue to fall, the industry’s aggressive fundraising efforts have left an abundance of dry powder — cash reserves set aside for investment purposes — in the market.  Billions in capital that is not deployed, coupled with a lack of attractive investment opportunities, has contributed to the slight drop in commercial real estate valuations. 

Read more at: //www.bisnow.com/national/news/capital-markets/commercial-real-estate-pricing-drops-nationally-as-the-search-for-attractive-assets-persists-84666?utm_source=CopyShare&utm_medium=Browser