Among the five different investment types—core, secondary, value-add, opportunistic and distressed—value-add remains the preferred strategy at 40%. However, the preference for value-add declined in the 2016 survey, while the preference for core rose, indicating some reversion to a more conservative strategy. Similarly, investors' risk for secondary assets edged down.

“We expect investment in US real estate will increase in the year ahead, driven by the relative strength and stability of the US economy and good property fundamentals,” says Brian McAuliffe, president of Institutional Properties, Capital Markets at CBRE. “Weak domestic economic performance is considered the number one threat to the property markets in the Americas in 2016—approximately the same as in the 2015 survey. Weakness in the global economy, particularly as related to China, is perceived as the second largest threat to Americas' property markets in 2016.

Multifamily (28%) is the most attractive property type to investors in 2016, replacing the industrial sector, which was last year's favorite. Office (24%) and industrial (23%) came in almost tied for second. Retail (17%) still lags behind the other sectors, but this percentage reflects a slight strengthening in preference from 2015.

“Multifamily, office, and industrial will continue to be the products of preference,” McAuliffe says. “However we anticipate more capital will pivot in the year ahead towards retail than compared to 2015. Core and top-tier value-add will be best positioned to maintain high pricing and low yields, while second-tier assets and markets will feel some downward pricing pressure.”

ATLANTA—Most real estate investors in the Americas plan to increase commercial real estate property acquisitions in 2016. So says the CBRE Americas Investor Intentions Survey 2016.

The study points to Los Angeles as the top target market ahead of New York City and Dallas-Ft. Worth. Atlanta moved up to the sixth position in 2015 after placing 15th in 2014. Atlanta is also considered a favorite non-gateway market for investors.

The 2016 survey results reveal that investment sentiment regarding commercial real estate purchasing activity is still positive, even in a more uncertain economic and capital markets environment. The survey reveals 65% of investors intend to be net buyers—up from 60% in 2015—with 81% intending to maintain or increase their purchasing activity in 2016.

“Value-add remains the preferred strategy among investors, which presents incredible opportunity for Atlanta,” David Lanier, senior managing director of CBRE Atlanta, tells GlobeSt.com. “With established Opportunity Zones, an overall low cost of living and low business operations, coupled with a growing population of young talent and increasing office job growth, Atlanta is positioned in a way for investors to minimize their risk factors in choosing to buy in Atlanta.”

Among the five different investment types—core, secondary, value-add, opportunistic and distressed—value-add remains the preferred strategy at 40%. However, the preference for value-add declined in the 2016 survey, while the preference for core rose, indicating some reversion to a more conservative strategy. Similarly, investors' risk for secondary assets edged down.

“We expect investment in US real estate will increase in the year ahead, driven by the relative strength and stability of the US economy and good property fundamentals,” says Brian McAuliffe, president of Institutional Properties, Capital Markets at CBRE. “Weak domestic economic performance is considered the number one threat to the property markets in the Americas in 2016—approximately the same as in the 2015 survey. Weakness in the global economy, particularly as related to China, is perceived as the second largest threat to Americas' property markets in 2016.

Multifamily (28%) is the most attractive property type to investors in 2016, replacing the industrial sector, which was last year's favorite. Office (24%) and industrial (23%) came in almost tied for second. Retail (17%) still lags behind the other sectors, but this percentage reflects a slight strengthening in preference from 2015.

“Multifamily, office, and industrial will continue to be the products of preference,” McAuliffe says. “However we anticipate more capital will pivot in the year ahead towards retail than compared to 2015. Core and top-tier value-add will be best positioned to maintain high pricing and low yields, while second-tier assets and markets will feel some downward pricing pressure.”