“The increased optimism being expressed by REIT investors and the decreased skittishness evidenced in the high-yield market should eventually find their way into property valuations,” the Newport Beach, California-based research firm said today in a report introducing its Commercial Property Price Forecast. “That’s a notable improvement over the outlook a few months back.”
Property values were little changed during the past several months after a two-year rally that brought them to within 10 percent of record highs reached in 2007, Green Street said in a Jan. 6 report on its Commercial Property Price Index.
Apartment values have been the strongest, while office and lodging properties are still below their past highs, the firm said last month. Office buildings in Manhattan, the largest U.S. market for such properties, are 20 percent below their prior peak, according to Green Street.
To contact the reporter on this story: Hui-yong Yu in Seattle at hyu@bloomberg.net
To contact the editor responsible for this story: Daniel Taub at dtaub@bloomberg.net
http://www.bloomberg.com/news/2012-02-02/u-s-commercial-property-prices-to-climb-6-green-street-says-in-forecast.html
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