Lenders' Insatiable Appetite for Commercial Real Estate
Cap Rates Continue to Drop for Net Lease Properties | by Erika Morphy
Erika Morphy writes: The dominant story line for credit tenant net lease assets—the decline of cap rates in this space—continues, according to the latest quarterly report by locally-based Calkain Cos., and New York City-based Chandan Economics. Cap rates for retail net lease properties tracked by Chandan declined to a rolling average of 7.1% in June. Also, preliminary data for July and August show the compression continuing into the third quarter--even as spreads over the risk-free benchmark widened.
Read the article at the GlobeSt website.