March 7 | Wall Street Journal

Apartments Losing Their Luster For Some Investors | by Matthew Strozier and Dawn Wotapka

The Wall Street Journal writes | Apartment buildings, one of the best-performing sectors of the commercial real-estate market in recent years, are starting to lose some of their appeal for investors ... But this year, the excitement is fading. Investors are pushing back on property prices, rent growth is slowing and yields are flattening in some markets.

Research by economist Sam Chandan of New York-based Chandan Economics, shows that multifamily buyers in competitive large metropolitan areas last year were often too optimistic about their future cash-flow growth. This could spell trouble if the owners don't meet these targets and then must refinance at higher rates.

Read the complete analysis at the Wall Street Journal's website: wsj.com.