By Monica Tapia |AZBEX
According to a new report, commercial real estate investors, brokers and lenders are expecting a potential surge of activity in Phoenix and other U.S. markets in the first half of 2020, ahead of the U.S. election. Participants in the 2020 RCM LightBox Investor Sentiment Report noted the strong market fundamentals, available investor capital, the potential for a slowing economy, and the impending presidential election as contributing factors in boosting investment levels before the election.
After being particularly hard hit during the Great Recession, Phoenix has emerged as an economic leader, especially within the multifamily and industrial sectors. “Phoenix may be the hottest multifamily market in the country,” says Brian McAuliffe, president, CBRE | Capital Markets. “It is the market that on various levels is outperforming almost any other across the country. Investment and development activity is strong there; rent growth is occurring at a rate of approximately eight percent annually.”
According to CBRE’s Q4 2019 report, Phoenix had the highest year-over-year rent growth (8.0 percent) among major markets, followed by Tucson (6.1 percent), Colorado Springs (5.8 percent) and Las Vegas (5.8 percent).