Too many services of adult beverages can land a person in a hangover the next morning. In a way, that is the U.S. capital trend that MSCI sees in its 2023 Q1 report. Except that the overdoing for the CRE industry was a “period of excess liquidity” that is requiring a downward adjustment.

It reports that deal activity shrank by 56% in the first three months of the year compared to a year ago. At the same time, cap rates rose across all major property types by 30 basis points to 60 basis points.

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