Why Investment Volumes Are Trending Down This Year

Peter Muoio is the chief economist for Ten-X.

Investment volumes overall are trending lower this year compared to 2018. According to a new report from Ten-X Commercial, second quarter sales volumes increased over the sluggish first quarter; however, overall, investment volumes are down over last year. For experts, the trend isn’t a surprise. 2018 was marked by an increase in merger-and-acquisition activity, which helped to drive substantial increases in year-over-year investment sales.

“Last year was so backed up by merger and acquisition activity, so the 2018 numbers were really supercharged,” Peter Muoio, chief economist at Ten-X Commercial, tells GlobeSt.com. “It wasn’t surprising to us that in 2019, coming off of that merger and acquisition activity, the numbers would be lower. From an overview perspective, the numbers are too far off of where they were before the M-and-A activity. They are at a high level, and it only looks odd compared to the second half of 2018.”