RCA Insights

Chart: Global Activity Tracker, Deal Count Fades

By on May 15th, 2020

The volume of completed commercial real estate transactions shows activity slowing across all regions, the latest Real Capital Analytics data reading indicates. Looking at the count of closed deals the picture is even gloomier, as the Covid-19 crisis takes its toll on commercial property markets worldwide.

Based on the dollar volume of transactions, activity in the Americas has dropped 7% in the first 125 days of the year versus the same period in 2019, and in Europe, Middle East, Africa (EMEA) volume has fallen 14% from a year ago. A string of large M&A-type deals and portfolio transactions in the U.S. and Europe had put a gloss on headline activity figures in those markets in the first quarter.

Looking at the count of deals, the tally in the Americas is 32% lower for the first 125 days of 2020 versus 2019. For EMEA, the count is 40% down from a year ago.

In Asia Pacific, both transaction volume and the count of deals have been thumped in 2020. Entity-level and portfolio deals were largely absent in the first quarter of the year, as reported in the latest edition of Asia Pacific Capital Trends, and several large transactions have collapsed.

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Data analysis by Alexis Maltin and Beatrice Ginieis

The deal volume analysis uses a deal price floor of $10 million for comparability between global zones. The price threshold used for RCA’s US Capital Trends and Europe Capital Trends reports is lower.

Real Capital Analytics clients can access full analysis of April 2020 U.S. data on May 20 with the new edition of US Capital Trends. If you would like to learn more about how to receive Real Capital Analytics data and reports, please contact us.  

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