Real Capital Markets, the online marketplace for commercial real estate, has released its third Annual National Investor Sentiment Report. The report looks at market dynamics and investor activity to provide real estate investors with insights and advice for the upcoming year. The reports general focus is on the Retail, Industrial, and Multifamily sectors. Real Capital Markets is a subsidiary of C-III Capital Partners, founded and run by Andrew Farkas.
The 2019 report is generally optimistic, but with a cautionary tone. Sentiments by investors and survey participants in the report show that nearly two thirds of investors think that the market is somewhere in between boom or bust, largely due to the presence of strong market fundamentals. The report also identified multifamily homes as the most attractive asset class due to the central need for housing. 36% of the survey participants named multifamily homes as their top choice for investment, with industrial real estate as a close second.
One important takeaway from the report is that interest rates are a key factor for the market this year, and investors will have to adapt their strategies to fit the ever-changing market conditions. It is critical that real estate investors continue to look ahead for new opportunities for long-term growth.
Real Capital Markets has been a constant leader in innovation in the real estate market since its founding in 1999. It was acquired by C-III Capital Partners, and fits seamlessly into C-III’s portfolio of asset management and commercial real estate services. Andrew Farkas has successfully established C-III as a leader in the industry, leveraging the individual power of the different subsidiaries to deliver higher returns for investors.
Real Capital Markets, an organization acquired by C-III Capital Partners under the leadership of Andrew Farkas, published a report detailing expected industrial investment trends in 2018.
The healthy growth the industry has seen this year will continue next year, according to the report. Real Capital Markets found that 90.3 percent of brokers and investors believe that investment activity will remain comparable to current levels. 47.8 percent believe that activity will increase, even if just nominally.
The expected growth comes off a strong trend that began in 2011 with expansion in leasing, construction, and capital market sales. Demand currently outweighs supply in core markets, and according to respondents of the survey that will continue for at least another 12-18 months.
The report also identified a number of threats that investors and brokers see in the industry, which include overbuilding and oversupply, the lack of quality assets for investing, and the unrealistic expectations of sellers.
Respondents also identified a number of reasons that were impacting industrial investment the most. 37.4 identified e-commerce as having the greatest impact, with general economic strength following at 34.5 percent.
Pricing of industrial assets has remained strong for several years, and is currently hitting record levels in certain core markets.
Real Capital Markets was founded in 1999 and became the leading commercial real estate disposition platform for property and note sales. It enables to customers to market, manage and track assets throughout the entire real estate life cycle. Under the direction of chairman and CEO Andrew Farkas, C-III Capital Partners acquired Real Capital Markets to expand the organization’s assets, which in total now exceed $8 billion.