GlobeSt.com EXCLUSIVE: RECG Speakers Give Commercial Market Thumbs Up

CENTURY CITY, CA-The Real Estate Conference Group’s 2005 Speaker and Sponsor Breakfast was held at the Century Plaza Hotel on Tuesday, where approximately 30 commercial real estate leaders gathered to discuss market trends for 2005. The general consensus for the market in 2005 was optimistic, with several speakers noting that commercial real estate is becoming a “legitimate” investment in the minds of smart money people.”Real estate became the darling of Wall Street,” said Greg Shultz, managing director of First American Title Co. “We have seen smart, high-income people looking at real estate.”This move toward commercial real estate is not just limited to the US, with capital flowing to and from European and Asian countries. It was estimated at the conference that foreign capital is up $11 billion from $7 billion, a 40% increase over the last year, according to Scott Farb, principal with Gumbiner Savett Inc. “The worldwide acceptance of real estate is extraordinary,” he said. “2004 was an unbelievable year and I think 2005 will be a continuation of it.”Other topics included the growth of the Tenant in Common Market, which saw approximately $2 billion in growth in 2004 and expects more of the same in the upcoming year. “We are going to see a wave go through the Midwest, East and Northeast,” predicted Marc Paul of SCI Real Estate Investments. He added that a lot of the equity in those markets that has been tied up for decades will soon become available. Among those in attendance were Marty Stolzoff, founder of Real Estate Conference Group, Jonathan A. Schein, president and CEO of Real Estate Media Inc., and Michael G. Desiato, editor in chief for Real Estate Media. The 2005 Speaker and Sponsor breakfast is a precursor to the upcoming RECG Conference, Real Estate 2005 , on Feb. 14 at the Century Plaza Hotel. The conference will include commercial real estate industry experts from throughout the country and feature keynote speaker Douglas W. Shorenstein, chairman and CEO of Shorenstein Co. LLC.