RCA in the commercial property press:

Retail Investment Sales Make Progress

Retail Traffic reports: Data from commercial real estate research firm Real Capital Analytics (RCA) reveals that the climate for investment sales continues to improve for all property types.

Quarterly sales volume reached $15.4 billion, representing a 50% year-over-year increase from the first quarter of 2009, which marked the bottom of the sales downturn. All property types registered higher volume, and core sales (rather than distressed sales) were the primary factor behind the volume gains. However, RCA did point out an important caveat: in spite of the gains, the first quarter posted the fourth lowest volume of sales of any quarter in the past decade.

Moreover, some assets even experienced drops in yields as buyers began to get more aggressive and debt has become more available. Average cap rates for retail assets were relatively unchanged for the first quarter, but certain strip centers saw some compression. Significant retail property sales reached $3.1 billion in the first quarter — a 40% increase from a year ago.

Articles related to this topic:

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 Retail Center Sells for $50 Million in Cash
 ICSC and Real Capital Analytics Launch Global Shopping Center Directory
 Aussie I-Bank Taking Offers over $3.5 bn for Commercial-REIT Spirit Finance
 Retail Sales Down in the first half of 2010

Posted by: Matthew Stone

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