June 12, 2008
Though likely not surprising to anybody, year over year investment sales both in the United States and on a worldwide basis are down dramatically. According to a Jones Lang LaSalle (NYSE:JLL) report cited by NREI, first quarter investment sales in the US came in at $39.2 Billion, a number which is down 69% from the year ago period.
Internationally, investment sales during the first quarter were $154 Billion, which is down 46% less than the $283 Billion number from a year ago. This statistic was provided by Real Capital Analytics.
There is a lot of money currently waiting on the sidelines to acquire assets, but for the time being sellers are not conceding much on price. That might change though over the course of the next one to two years as loans mature. As Macklowe Properties found out, refinancing a short term loan in this market is difficult to do. If owners don’t can’t meet the heightened equity requirements currently facing those looking to acquire or refinance assets, they might be forced to sell.
- Sale of Macklowe’s GM Building Looking Likely
- Commercial Maturities Update from First American CoreLogic
- Boston Properties, Goldman Sachs Acquire GM Building; Macklowe Son To Take Over
- Broadway Partners Runs Into Trouble – San Francisco Holdings On The Table?
- Details of Macklowe’s EOP NYC Portfolio Acquisition Shed Light on Underwriting Standards