A new Green Street report by Managing Director and Co-Head of Strategic Research, Daniel Ismail and Harsh Hemnan, analyst on the net lease and ground lease sector teams, looks at the Q2 CRE transaction results for 2023. The results are probably not surprising given all the news that has come out about industry trends: activity was down 50% year over year.

"Broader macro conditions are not supportive of CRE transactions right now," Ismail said in prepared remarks. "Credit availability has tightened, and that combined with higher interest costs, a persistently wide bid-ask spread, and the lack of forced sellers is limiting deal flow," said Ismail. "The decline remains fairly broad-based, as no markets appear to have avoided material slowdown in transaction activity."

Office saw the biggest drops, particularly in markets like Houston, New York, and Atlanta, relative to estimated market value. Multifamily and strip centers stood out with steep year-over-year volume declines. Net lease deal volume trended better.