IRETO
This week, IRETO (The International Real Estate Trade Organization) released its Global Commercial Real Estate Outlook Report. The report reviews major trends and looks at global economic trends that affect commercial real estate.
The top 5 trends noted in the report:
1) Real estate financial markets will continue to be more structured & productive
2) New capital will continue to flow into real estate, but at a slower pace
3) Buyers will continue to expand outside local markets and around the globe
4) Increasing rents worldwide
5) More REITS worldwide & less REITS in USA
The report’s author international real estate expert Bryan Shaffer stated, “We see 2006 as a different type of year for commercial real estate in that for most people and asset types it will be a good year. However, people will have to have a well structured strategy for acquisition and exit, because the simple process of buying an asset will not lead to price increases as we have seen in the last 4 years.”