More than anything else, real estate is a knowledge business. You make a profit or endure a loss based on what you know--or don’t know--about local market conditions, along with the national and global economic influences affecting it. To that end, Lee & Associates’ vice chairman Ed Indvik recently spoke to GlobeSt.com about changing market conditions and what to expect for 2011. While Indvik is based in the firm’s Los Angeles office (Lee & Associates boasts a large California presence), the company also retains an office in Little Falls, NJ, which is headed up by co-founder, president and principal Rick Marchisio.

GlobeSt.com: How does commercial real estate compare to one year ago?

Indvik: There is certainly more stability on the capital markets side. If you had to say on a relatively basis from the highs or lows, we’re closer to the lows than the highs in terms of the availability of capital. But there is a lot of money. I break it down into several divisions. The first is the institutional money--these investors are looking for dependable cash flow/yields on high-caliber multifamily, retail, office and industrial assets. If you have a well-located asset with good design characteristics and you can point to a dependable revenue source, then that will get scores of bidders. Not unlike 2005 to 2007, you will be in a position of what we call last and final. You’ll go back to a small select group and say give us your best offer and then you inform the successful party.