Investment in US net-lease properties increased by 24.4% quarter-over-quarter in Q3 2020 to $11.7 billion, according to the latest research from CBRE.

Still, Q3 total net lease volume declined by 50.6% year-over-year in Q3 2020. CBRE says the decline for total US commercial real estate over the same period was 59.5%.

The average net-lease cap rate was unchanged at 6.2% in Q3, which CBRE attributed to limited investment activity. It noted that COVID-19 led to a disconnect between buyer and seller expectations, which stalled price discovery and slowed investment activity.

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

Once you are an ALM Digital Member, you’ll receive:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
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.

Leslie Shaver

Les Shaver has been covering commercial and residential real estate for almost 20 years. His work has appeared in Multifamily Executive, Builder, units, Arlington Magazine in addition to GlobeSt.com and Real Estate Forum.