Even, as Chief Executive Jim McCaughan says, considering the "well-known refinancing issue" hiding around the corner, he feels the yields "are attractive" for brick and mortar investments and that "it's about time for commercial real estate." We couldn't agree more! Unfortunately, we're not seeing the deals at the opportunistic pricing everyone expected. Global Investors has even published a "why you should by CRE" paper meant for non-US investors. It has nice information, but fundamentally relies on under priced assets being available. While there are buying opportunities, we have yet to see the kind of value-added deals everyone assumed would be on the market by now. Sellers just haven't been playing ball unless someone takes their ball and gives it away. That just isn't happening to create real velocity. But we like Mr. MCaughan's enthusiasm and recommendation to start buying.
0 comments:
Post a Comment