Quote:
Originally Posted by jyl
Looking at MMI
The CRE brokers and property managers are working because CRE owners who didn’t want to sell at lower prices can’t hold on any more, because big institutional funds are getting back into buying, because even REO property still needs to be managed, and because investors are betting on the Fed cutting rates regardless of inflation or employment data.
The biggest names have run away, like CBRE. I bought some NMRK but it has run too. So sifting through the laggards.
|
The more I look, the more I like the theme.
To be specific, thesis is prices have hit clearing level, either weakening economy or political pressure or both will force Fed into a major rate cut cycle and potentially even resuming QE to bring long rates down, and a new CRE cycle starts from the extremely depressed levels of 2023-2024.
I have little idea if this thesis is
actually going to be true . . . but the more relevant near-term question is do enough other investors
think it is going to be true.