Search
 

Jones Lang LaSalle Offers Investment Strategies for 2006

CHICAGO-Despite declining capitalization rates, prices for commercial real estate are not so outrageous when compared to appreciation of homes in hot residential markets or the Nasdaq, says a new report.

By Mark Ruda | Updated on January 05, 2006

(To read more on the debt and equity markets, click here.)

CHICAGO-While LaSalle Investment Management does not see any bubbles on the horizon for commercial real estate, investors will need to take on greater risk to boost returns. “When viewed through the twin lenses of the broader capital markets and 25 years of history, however, current pricing does not seem so outrageous,” authors of the firm’s Investment Strategy Annual note.

While hard charging price appreciation in most housing markets has fueled talk of a real estate bubble, LaSalle Investment Management’s report dismisses the notion commercial real estate sectors are in jeopardy of bursting. The firm’s research shows that while home prices in Miami have taken off in recent years, the Nasdaq still is running ahead of REIT prices as well as the private real estate market.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 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.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.