Multifamily continues to be the top target asset class forinvestors. According to a new report fromAppFolio, most investors are planning to allocatecapital to multifamily investments this year, followed by officeand industrial asset classes. Of the investors surveyed, 68.3% saidthey are planning to put investment dollars in multifamily, while45.5% said office and 32.7% will put capital toward industrialassets.

“Right now, we're experiencing a housing shortage in the US, sothere is plenty of demand for multifamily housing,” NatKunes, SVP of investment management at AppFolio, tellsGlobeSt.com. “Where there is demand, investors follow. It's a safechoice for them and has a lot of return on capital. There's also agreat deal of incentives for development and investment in themultifamily space, with tax credits for affordable housing andgreen programs. Multifamily is also something that won't fluctuatethe way that commercial real estate might. When the economy is downand commercial businesses close, people still need places to live,that doesn't change. Of course there are market swings inmultifamily, but there's generally a demand for it on some level orin some market.”