ULI: Consensus of Economists Sees Promising CRE Outlook Through 2014

CMBS, Investment Transaction Volume Likely To Jump Sharply As Economy Gains Steam

By Randyl Drummer
March 28, 2012: Even among the stream of positive real estate surveys and forecasts recently, the one issued this week by the Urban Land Institute (ULI) stands out. Expressing the consensus views of 38 leading real estate economists and analysts from across the U.S., ULI reported commercial real estate market conditions and the overall economy is expected to see broad improvement over at least the next two years as the recovery cycle kicks into overdrive and shifts into growth mode.

In other key highlights. the ULI forecast expects CRE transaction volume to increase by nearly 50% over the next three years, while issuance of commercial mortgage-backed securities (CMBS) is expected to more than double. Institutional real estate and real estate investment trusts (REITs) are expected to provide returns ranging from 8.5% to 11% annually through 2014.

Courtesy of Lee Whistler, Realtor for Century 21 M&M Clovis

Consensus of Economists Sees Promising CRE Outlook Through 2014

CMBS, Investment Transaction Volume Likely To Jump Sharply As Economy Gains Steam
By Randyl Drummer
March 28, 2012

Even among the stream of positive real estate surveys and forecasts recently, the one issued this week by the Urban Land Institute (ULI) stands out. Expressing the consensus views of 38 leading real estate economists and analysts from across the U.S., ULI reported commercial real estate market conditions and the overall economy is expected to see broad improvement over at least the next two years as the recovery cycle kicks into overdrive and shifts into growth mode.

In other key highlights. the ULI forecast expects CRE transaction volume to increase by nearly 50% over the next three years, while issuance of commercial mortgage-backed securities (CMBS) is expected to more than double. Institutional real estate and real estate investment trusts (REITs) are expected to provide returns ranging from 8.5% to 11% annually through 2014.

Courtesy of Lee Whistler, Realtor for Century 21 M&M Clovis

Investors See Good Prognosis for Health-Care Real Estate Despite Market Uncertainty

Developers Will Increasingly Need to Partner With Well-Capitalized Players to Get Projects Built
By Randyl Drummer

March 14, 2012
The health care industry and its real estate providers are literally caught between two eras as the 2012 elections and a key U.S. Supreme Court decision that will determine the future of health-care reform play out against the backdrop of a strengthening, yet far from robust, economic recovery.

Courtesy of Lee Whistler, Realtor for Century 21 M&M Clovis

 

Banks Returning to CRE Lending via Multifamily, Owner-Occupied Properties

By Mark Heschmeyer
It’s not a big hook to hang a hat on, but the small increase in some commercial real estate loan balances on bank books at the end of the year serves as yet another indication of thawing lending markets for property investors. Overall loan balances on bank books posted their largest real growth in four years, according to year-end numbers released this past week by the Federal Deposit Insurance Corp. (FDIC).

Courtesy of Lee Whistler, Realtor for Century 21 M&M Clovis

Developers Turning To Adaptive Reuse; Eye Excess U.S. Property

By Randyl Drummer
What’s a developer to do? With development financing still very tough to come by and construction levels at all-time lows, many are turning to redevelopment, adaptive reuse and jump-starting stalled projects ahead of an expected broader recovery as a potentially less expensive and more lucrative alternative to ground-up development.

Courtesy of Lee Whistler, Realtor for Century 21 M&M Clovis