Analyzing the 2021 CRE Investment Climate & Investor Impact

December 2021

 
 

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The investment climate is very active with transaction volume through 3Q21 exceeding 2019 levels.

Nearly all types of CRE are outperforming. Only office faces uncertainty and slower transaction velocity.

This strong activity is supported by elevated liquidity and access to affordable financing.

Inflation concerns have brought new sources of capital to CRE, which tends to perform better than other asset classes in a high inflation environment.

Aggressive buyer demand continues to put upward pressure on prices and compress cap rates.