Real estate trends mixed forecast
RealShare reported today that the sixth annual RealShare Net Conference that sale-leasebacks will increase due to the slow economy.Â Panelist on the Town Hall Meeting titled, “State of the Net Lease Market,” made many predictions going forward:
1. “We will see a return to fundamentals with strong tenants and strong locations,” said Andrew Kroll, a director of the investment banking group at SunTrust Equity Funding. ”
2. Robert Micera, SVP and national head of net lease investments at First Industrial Realty Trust,Â noted that “the slower the economy, the more sale-leasebacks pick up, so I think you will see more opportunities going forward.”
3.Â Lorissa Belova, a VP at Lexington Realty Trust, said that, “looking ahead one year from now, I still don’t thing we are going to be smiling. I think we will be the same.”
4. Robert Micera, also said,Â “that cap rates will creep up and those who have resources will get things done.
Additionally, The Dallas Morning News reported today that J.C Penny Co. CEO Myron Ullman predicted 10 to 20 retail chains will fail before the ecomony turns around.
Finally, Bloomberg reported that Sam Zell chairman of Equity Residential said,“I believe the overall market has already started to ease,”Â and that Â “Is it in large volumes? No. Is it the first natural step in the evolution? Yes.”