According to senior managing director Eric Enloe at Partner Valuation Advisors, commercial real estate transactions are expected to increase in 2024 compared to the previous year. While interest rates and the 10-year Treasury are not expected to change significantly, Enloe predicts a stabilization in the market which will lead to an uptick in transaction activity.
Enloe notes that different sectors will experience varying levels of growth. Retail has shown surprising strength while office properties may see more distress.
Both Enloe and Steve Pumper, executive managing partner of Transwestern’s Capital Markets and Asset Strategies Group, anticipate a decrease in deal activity for 2023 compared to 2022. They expect the second half of the year to mirror the first half when there was a significant decline (60%) in volume from previous years.
In this video interview with Connect CRE, you can gain further insights from Enloe and Pumper who were featured speakers at Connect Investment & Finance event without mentioning specific names or brands.
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Commercial real estate transactions are projected by senior managing director Eric Enloe at Partner Valuation Advisors as likely increasing beyond those seen during 2023. Although no major changes are anticipated regarding interest rates or ten-year Treasuries according him: “Stabilization is on its way; thus we should witness heightened transactional activities.”
The rise observed within various sectors would be inconsistent as per what Mr.Enole pointed out – retail sector surprisingly strong but offices could face some distressing times ahead.”
Enole along with Steve Pumper- Executive Managing Partner for Transwestern’s Capital Markets & Asset Strategies Group both believe that upon conclusion it would be evident how much less active deals were made during ’23 than ’22.” I predict similar trends continuing throughout latter part just like earlier months where volumes dropped by almost sixty percent YoY basis.”
Gain additional insights through our video below featuring interviews conducted by Connect CRE between these two experts who spoke at the recent Connect Investment & Finance 2023 event.
