Investors have become more cautious since the real estate market debacle in 2008. A great many high-risk property fund managers that relied heavily on debt financing ended up in collapse during this period.
One response has been for investors to take a greater interest in core real estate. Though the increased demand for “core” buildings has resulted in lesser returns, many investors are looking at core real estate due to inflationary concerns. JP Morgan Chase & Co. has in place a $21 billion core fund. Blackstone Group LP has also been moving into the core business.
While the commercial real estate market in South Florida appears to be improving, lenders are still hesitant to finance a number of real estate transactions. A number of critics feel that federal regulators and lenders are in fact slowing down recovery by turning away borrowers that are creditworthy. The tighter restrictions came about in part […]
Despite rising home prices, the Florida real estate market appears to remain strong. While nine percent of home purchases in Florida were made by institutional investors in 2012, this number rose to 12 percent in 2013. On a national scale, seven percent of purchases in 2013 involved investor sales. There were 5.8 percent of sales […]