Crain's Chicago Business / June 13th, 2016
Crain’s Chicago Business reports: Through the first four months of 2016, Chicago-area commercial property sales were up 7 percent from this point in 2015. Not only is this is surprising because 2015 ended with a record volume at $22.64 billion, but also because overall sales volume was down 18 percent through April.
Jim Costello from Real Capital Analytics, a commercial real estate data and analytics firm, said that investors are hungry for yield, and when they see pricing in other major markets they become cautious. The six major U.S. markets together have a considerably lower first-year rates of return and bigger price increases than the Chicago areas. Cap rates fall as prices rise.
View the full article in Crain’s Chicago Business: Strong Start for Chicago-area Property Sales Continues (Login Required).