SOVEREIGN WEALTH FUNDS

Last week's national GlobeSt.com Quick Poll asked readerswhat they thought about sovereign-wealth funds. A majority ofrespondents, 56%, said the funds are a growing presence and arehere to stay. 26% responded that the foreign money is a passingfancy, and 18% said the funds are a national-security threat. CalumWeaver is an associate of the multifamily private client group ofCB Richard Ellis in South Florida. The group recently released areport focusing on foreign buyer interest in commercial realestate, especially multi-family properties. Weaver gives his takeon sovereign wealth funds below;

"I think in general they are increasingly looking over here.That being said, despite a favorable exchange rate, that is notgoing to get the deals done. Deals have to pencil out in dollarterms. Anyone that thinks they're going to come in and buy allkinds of properties based on a favorable exchange rate is mistaken.These are very sophisticated groups that are going to underwrite adeal no different from someone that has U.S. dollars and is nottaking advantage of a favorable exchange rate. However, I do thinkthey are increasingly coming and are here to stay.