Global property advisor, CBRE, said increased investor demand from both international and domestic buyers contributed to further capitalisation rate compression in the United States industrial real estate sector over the first half of 2017.
Industrial remains the strongest performer out of the five sectors, given the especially robust fundamentals, record low vacancy rates, tangible rental rate growth and strong tenant demand.
According to World Property Journal, the CBRE North America Cap Rate Survey provides insights on movements for the major property asset classes. Cap rates for US commercial real estate assets were little changed in H1 2017, with slight increases or decreases in pricing depending on asset type. Cap rates for stabilised assets generally held firm for both the industrial and multifamily sectors, further testimony to their pricing strength.
“With the exception of B and C retail in secondary markets, there was limited movement in cap rates for US commercial real estate during H1 2017. At the same time, we have seen a decline in sales transaction volume during the first half of 2017. Instead, many would-be sellers are choosing to refinance rather than sell in an increasingly uncertain market, particularly in multifamily,” said Spencer Levy, Senior Economic Advisor and Head of Americas Research, CBRE.
No comments:
Post a Comment