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Every year NREI conducts surveys of commercial real estate professionals to gauge their outlook on various property sectors and investment fields. Here are the results of the surveys that have been completed in 2016, including outlooks on finance and investment, the net lease sector, REITs and high-net-worth investment strategies, among other things.
The commercial real estate market has enjoyed a prolonged period when debt capital has been both cheap and plentiful. Exclusive research from NREI’s latest finance survey shows that confidence remains high that those good times are likely to roll a bit longer.
The latest results from NREI’s exclusive retail real estate survey reveal that retail operators, investors and developers continue to tread carefully in a market that is fraught with challenges. Yet despite those challenges, the majority of respondents are maintaining a positive outlook for the coming year with expectations for stable and improving fundamentals, good access to capital and favorable views of retail as an attractive asset.
Industry pros expect continued improvement in the office sector. However, a closer look reveals that bullishness is starting to weaken. The latest cycle may have reached its peak, with an increasing number of insiders expecting momentum in fundamentals to stop or begin to reverse in the next 12 months.
Industrial real estate pros remain bullish on the prospects for their sector, but there is increasing sentiment that industrial real estate cycle may have reached its cyclical peak.
According to exclusive research findings from a survey conducted jointly by NREI and NIC, most survey respondents anticipate stable or improving fundamentals across the seniors housing sector in the coming 12 months. The majority of respondents (73 percent) believe rents will rise, while 56 percent expect a slight uptick in occupancies.
Publicly-traded REITs have enjoyed a robust recovery since the last recession. It’s a far cry from the days of plummeting stock prices, middling total returns and balance sheet woes. However, there are increasing signs that the current cycle has begun to run its course.
Despite interest rates rising, if only modestly, and the current commercial real estate cycle seemingly plateauing, sentiment remains largely bullish for the net lease sector.
Exclusive research from NREI’s survey on high-net-worth investors (HNWI) shows that these investors still hold real estate in high regard, although reaching them, educating them about the intricacies of investing in the sector and meeting their sometimes aggressive return expectations all pose challenges for commercial real estate pros.
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