Multifamily Investment Sales Broker at Marcus & Millichap
P: 630.570.2246
Randolph Taylor

 

Will Transaction Activity Accelerate in 2021?

 

  • Prospects for a strong rebound in investment activity in 2021 are positive
  • There is tremendous capital on the sidelines in the form of consumer savings and money market funds
  • With the election behind us and the vaccination roll out in progress, uncertainty will likely abate in the new year
  • As a result, this unprecedented wave of pent-up demand could be released into the marketplace
  • The re-engaging of this capital will support commercial real estate and the broader economic recovery

 

Metrics Point to a Positive 2021 Outlook

  • CRE transactions in 4Q 2020 are estimated to be significantly above the level of the 2Q 2020 trough
  • The ongoing vaccine rollout and recently passed $900 billion fiscal stimulus will boost this momentum

Fiscal Stimulus Key to Sustain Economy and Real Estate

  • The new stimulus includes a $284B infusion to the PPP, giving small business forgivable loans for re-hiring staff
  • Additionally, $600 in stimulus checks and $300 enhanced unemployment will bolster spending and rent collections
  • The new stimulus and health solution will also work to help alleviate investor uncertainty

As Uncertainty Abates, Investment Activity Will Rise

  • Reduced uncertainty could unlock the approximate $5T in Money Market Funds and $16T in saving deposits
  • Capital will initially flow to properties like Apartments, Single-Tenant Retail, Self-Storage, and Industrial
  • Urban Office, business-catering Hotels, and properties in vacation markets will take longer to reap these benefits

Over $2.5 Trillion in Savings Waiting on the Sidelines

* Through December 23
Sources: Marcus & Millichap Research Services, Board of Governors of the Federal Reserve System

Multifamily Investment Sales Broker at Marcus & Millichap
P: 630.570.2246
Randolph Taylor

Has the Apartment Real Estate Market Changed Forever?

The Health Crisis has structurally changed life in America and many facets of the multifamily investment market. But will the changes continue once a medical solution stems from the life-or-death risks of the pandemic? Will things return to normal or has the definition of normal been rewritten?

  • Metros that have gained and lost because of the pandemic
  • Why suburban apartments have outperformed and what that means for investors
  • The role public policies like stimulus and eviction moratoriums will play
  • How apartment pricing, distress, and the transaction market will evolve

General Information

  • Wednesday, December 9, 2020
  • 1:00 p.m. Pacific/4:00 p.m. Eastern
  • 60-Minute Live Video Webcast 
  • REGISTER NOW

 

Hosted by

  • John S. Sebree, Senior Vice President, Multifamily Division

 

Featuring  

  • Diane Batayeh, Chief Executive Officer, Village Green
  • Bob Nicolls, Chief Executive Officer, Monarch
  • John Chang, Senior Vice President, Research Services