Investment in US net-lease properties increased by 24.4% quarter-over-quarter in Q3 2020 to $11.7 billion, according to the latest research from CBRE.

Still, Q3 total net lease volume declined by 50.6% year-over-year in Q3 2020. CBRE says the decline for total US commercial real estate over the same period was 59.5%.

The average net-lease cap rate was unchanged at 6.2% in Q3, which CBRE attributed to limited investment activity. It noted that COVID-19 led to a disconnect between buyer and seller expectations, which stalled price discovery and slowed investment activity.

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Leslie Shaver

Les Shaver has been covering commercial and residential real estate for almost 20 years. His work has appeared in Multifamily Executive, Builder, units, Arlington Magazine in addition to and Real Estate Forum.