BlackRock: Now Is the Time to Invest in CRE

A report from BlackRock Real Estate Research says that investments after periods of downturns tend to perform well afterwards. Specifically, the period starting in 2022 where the Federal Reserve tightened interest rates, which led to lower transactions volumes and declining property values may be one of those times.

“Vacancy rates have remained solid, particularly in the living and logistics sectors,” they wrote. “Higher construction costs and interest rates as well as tighter lending conditions will likely keep the number of development projects low, exacerbating the undersupply of prime property. This will only lessen any downside risk for future real estate performance.”