Commercial Real Estate Investment Outlook for 2023

We speak with Aaron Jodka, National Director of Capital Markets Research for Colliers, about the state of commercial real estate investing, including its trends and how interest rate hikes are impacting the commercial real estate market. Jodka also shares the outlook for commercial real estate investing.

What are some of the top trends shaping commercial real estate investing?

There is a near record amount of uninvested capital that remains on the sidelines targeting commercial real estate investment. Investors are shifting their focus to debt strategies and value-add and opportunistic plays. With the market undergoing an adjustment, theyre pursuing opportunities across asset types. Some are seeking preferred equity and mezzanine debt strategies, and others are looking to value-add, conversion and redevelopment. Defensive assets, such as multifamily and industrial, which have benefitted from strong fundamentals, are the top two asset types domestically in our recent Global Investor Outlook Survey.