Hot Sectors for Commercial Real Estate Investment
According to a "State of the Market" real estate survey conducted in 2007, most senior real estate executives singled out the multifamily market as the most promising for investment. Roughly 25% of respondents chose the multifamily market as the most attractive sector for investment in 2007. Downtown office came in second with 22% of the vote, followed by hotel and retail at 13.65%. The least popular sector for investment was suburban office, which only 9.49% of the executives viewed favorably.
As long as there still exists an overabundance of capital along with cheap debt, there is going to be continued great desire to deploy capital, fueling the commercial real estate market.