RCA in the commercial property press:

Institutional Investors Ramp-Up Retail Spending in 2011

National Real Estate Investor reports: Using data aggregated and presented in Real Capital Analytics’ (RCA) Trends & Trades interactive digital market reports, National Real Estate Investor (NREI) recently stated that, “…institutional investors have increased their appetite for commercial real estate, overtaking publicly traded real estate investment trusts (REITs) as the leading purchasers of retail and office properties in the first quarter of 2011…Institutions pumped nearly $14 billion into the retail sector from January through April of this year.”

Specifically, institutional buyers have craved acquiring single-tenant retail properties, and have accounted for one-quarter of all single-tenant retail sales in the US so far this year. RCA Founder and President Robert White explained to NREI that, “There have been more portfolios trading…But many of the recent REIT/institutional deals have been portfolio sales where there is much more activity this year. Those [deals] were pretty tough to finance a year ago…So some of the rise in institutional and REIT investment is just because portfolios are trading again.”

NREI also discovered using RCA’s Trends & Trades that office sales of $10.2 billion in the first quarter of 2011 were more than double the level of last year’s first quarter.

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Posted by: Nina Turner

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