Commercial Real Estate Investing is Stalled
NEW YORK, (GlobeNewswire via COMTEX) - Buyers and sellers of commercial real estate remain on the sidelines, putting commercial real estate investments on hold in the short term despite an optimistic long-term investment outlook, according to the third quarter 2008 PricewaterhouseCoopers Korpacz Real Estate Investor Survey(r), released today.
In the year since the onset of the national credit crunch, the availability of debt for real estate has practically vanished, fundamentals have weakened in all property sectors and the economy has shown few signs of rebounding, according to the PricewaterhouseCoopers report. However, commercial real estate investors view industry fundamentals as stronger than in previous downturns, which bodes well for a healthy recovery once the current correction ends.
Stricter lending practices, lingering doubts about the economy in the wake of rising joblessness, the Wall Street crisis and the uncertainty of near-term tenant demand and space needs are all making investors more nervous about new investments and, in turn, limiting acquisition activity.
According to the report:
The lack of available debt for commercial real estate and disheartening economic news is causing buyers to be less...
