CRE Providing Foundation in Uncertain World
Commercial real estate may provide a foundation for educated investors seeking to balance portfolio risk during these uncertain times, as stated in Expectations & Market Realities in Real Estate 2012—New Foundations in an Uncertain World,, a new annual report published jointly by Real Estate Research Corporation (RERC), Deloitte, and the National Association of REALTORS® (NAR).
Shelter from the Storm
With weak business and consumer confidence, investors are increasingly turning to the relative safety of commercial real estate, as outlined by RERC's Ken Riggs in the January/February 2012 feature article for Commercial Investment Real Estate magazine. In "Shelter from the Storm," Mr. Riggs explains how commercial real estate is able to deliver what cannot be delivered by various investment alternatives in these stormy times.
Riggs Named 2012 Chair of The Counselors of Real Estate
Kenneth P. Riggs Jr., CRE®, chairman and president, Real Estate Research Corporation (RERC), was recently named 2012 Chair of the Board of The Counselors of Real Estate®, an international organization of top-level commercial real estate advisors headquartered in Chicago, at their annual convention in Washington, D.C. Riggs has served as president of RERC since 1991. Under Ken's leadership, the firm provides research services, valuation management, strategic consulting, independent fiduciary services, and web-based management services for property portfolios.
Commercial Trends in a World Unhinged
As the world focuses on the sovereign debt crisis in Europe, it is becoming clearer that the global economy is in danger. Commercial real estate has traditionally provided a sense of relative stability in the market and returns have been reasonable, but in this precarious investment environment, risk is increasing. RERC's institutional investment survey respondents continue to rate commercial real estate highest among the investment alternatives, however, the ratings for cash and bonds are increasing. As demonstrated in the fall 2011 issue of the RERC Real Estate Report, World Unhinged, RERC's required capitalization rates are generally stable....
Search for Clarity...In a Dangerous World
With words like "contagion," "austerity programs," and "sovereign debt crisis" now part of our lexicon, there is the realization that our world is in increasing financial danger. But as Ken Riggs, chairman and president of RERC, explains in Commercial Property Executive, the pull back by real estate investors in this environment should also serve to prevent the market from getting too far ahead of fundamentals, and will help to benefit the long-term success of real estate as a primary asset class....
Avoiding Risk in Today's Market
In this podcast, RERC CEO Kenneth P. Riggs Jr., who also serves as chief real estate economist for the CCIM Institute, discusses investor confidence, risk aversion strategies, and the outlook for the smaller tertiary markets. Listen to Ken as he notes that investors are doing their homework and due diligence, and are buying right and buying for the long term....
A Bifurcated Market
With more capital available from select sources and increased demand for less volatile investments, institutional-level commercial property prices are on an upward trend, states Ken Riggs, president and CEO of Real Estate Research Corporation and chief real estate economist for the CCIM Institute. However, in this CCIM Institute-sponsored podcast, he further explains that the commercial real estate market is increasingly divided, with some historically high prices being paid for institutional properties in top-tier markets, while other markets are seeing little or no transaction activity other than distressed property sales. Listen to Mr. Riggs discuss the challenges for investors in this bifurcated market...
Continuing on the Path to Recovery
In an abbreviated edition of his semi-annual podcast to members of the CCIM Institute, RERC's Ken Riggs noted that while investors remain nervous about the volatility we are seeing in the stock and bond markets, much equity is still sitting on the sidelines "looking for a home." Commercial real estate—and the reduced amount of risk associated with this investment alternative—is looking decidedly more attractive. Even so, investors are taking the time to “get it right” during this prolonged recovery period…
Tough Times Continue
RERC's Ken Riggs notes that while institutional real estate has been forced to mark to market and prices are close to bottoming out, the broader commercial real estate market still has a ways to go and it will take some time to "come clean." Listen to Riggs' view of what the industry and investors should expect in 2010 and beyond.