Search
 

Institutional Players Keep Holding Out

NEW YORK CITY-The dearth of distressed sales is boosting confidence that opportunities will open up, says the Korpacz Real Estate Investor Survey.

By Paul Bubny | Updated on September 15, 2009

NEW YORK CITY-Far from losing interest as the expected flood of distressed opportunities remains a trickle at best, institutional investors are patiently biding their time. They expect that their patience will be rewarded eventually, according to the third-quarter PricewaterhouseCoopers Korpacz Real Estate Investor Survey, released Tuesday.

“Many of these investors had been expecting opportunities to arise before now, and many are surprised that there has been such a lack of forced sales and more motivated sales on the part of distressed lenders and distressed property owners,” PwC’s Susan Smith tells GlobeSt.com. At the same time, she notes, they’re seeing fundamentals continue to decline and the economy continuing to struggle.

The still-shaky economic outlook “is actually giving them more confidence, for lack of a better word, that opportunities for distressed sales are going to open up,” says Smith, director of PwC’s real estate advisory practice and editor-in-chief of the survey. “If anything, they’re looking at the distress in the market as a positive. It’s kind of a weird time, as they realize that they can capitalize on the pain of other owners.” And their positions to do so only grow stronger as they raise more funds.

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.