Calkain Research, in conjunction with Sage Policy, published its semi-annual edition of the Net Lease Economic Report this week. The report takes a look at the economy over the past year and where it’s trending, while providing insight as to its impact on the commercial real estate marketplace, with particular focus on the net lease sector.
“This report quantifies some of the recent economic moves, and along with continued improvement in employment and GDP growth, the recent tax bill will certainly be a catalyst for change that everyone needs to pay attention to,“ stated Patrick Nutt, Managing Partner at Calkain. He continued, “Volatility will appear in both bond and equity markets, and how that translates to real estate and net lease specifically will require careful calculation by industry professionals. If ever there was a time where seeking the advice of an industry veteran was important, now is that time.”
This economic expansion, expected to continue, will become the longest in U.S. economic history. This bodes well for many, and certainly benefits the net lease sector of commercial real estate. We are seeing caps rates increase slightly as they follow the federal fund rate. As a counterbalance, there is liquidity surging through the financial markets providing plenty of buying power. With the strong economy, the stage seems to be set for a profitable net lease investment arena – a net positive going forward. You can download the full report here.
Calkain Companies is a commercial real estate brokerage firm which specializes in assisting buyers and sellers with single and multi-tenant net leased properties through all aspects of the transaction including advisory, brokerage, debt placement, equity placement, asset management and research. Calkain has a national platform with multiple office locations throughout the entire East Coast. Additional information about the firm and listings may be found at calkain.com.