Inflation

Investment activity has not rebounded despite flattening interest rates and strong economic indicators, say PERE’s US roundtable participants.

Mergers and acquisitions are down as the market stalls, but stake sales are still happening, albeit more slowly than usual, says Drew Murphy, partner and head of real estate at Berkshire Global Advisors.

Interest rate increases have raised credit spreads but reduced dealflow in the US. Real estate lenders say it is time for buyers and sellers to have a meeting of minds to reactivate the market.

Japan’s GPIF is the latest institution to look to private real estate’s mega-managers for making proxy plays at any point in the cycle.

PERE speaks with real estate borrowers across the globe about how they are surmounting the wall of loan maturities.

In the world’s largest property market, insurance companies are stepping in for retrenching banks, while cash is king in refinancings.

Some borrowers in the region, particularly South Korea, have to seek new lender relationships amid spiking interest rates.

Banks remain a major part of Europe’s refinancing picture, but insurers are also becoming more active.

Warning signs are appearing, but the net lease sector remains stable.

In an environment where credit is tight and liquidity needs are growing, sale-leasebacks, build-to-suits and net lease acquisitions each have their own set of headwinds and tailwinds.