CHICAGO-Investing in commercial real estate was tough before Sept. 11. While the terrorist attacks on the US made making deals tougher, there are still opportunities to be had, a panel told the National Association of Industrial and Office Properties conference.
“Today's challenge will be for all of us to accept the fact we have to move from Easy Street to the Eisenhower Expressway at 5:30,” says Gary Kachadurian of RREEF Funds. He adds many aspects of the real estate business, particularly property management and financing, have become more difficult. However, he adds, “There could be some real good opportunities out there.” Those could include multifamily rental restorations, says Kachadurian, whose firm has closed $600 million worth of deals in that market segment.
Benjamin G. Gifford, managing director of JP Morgan Fleming Asset Management, notes supply and demand “are in pretty good shape,” even in the office sector, where 12% vacancy rates are considered equilibrium. “We as investors have a phenomenal opportunity to buy properties at fantastic returns at interest rates that are unprecedented,” Gifford adds.
Recommended For You
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
