What Capital Migration Trends Mean for CRE
Interstate CRE Investment on The Rise
Capital Movement Between States On the Rise
Increased out-of-state buyer activity
Secondary and tertiary markets claiming larger share of total CRE sales volume
Advantages of Out-of-State Investing
Geographic diversification may mitigate risk
Wider range of assets and yields available
Unique market forces may create opportunities
Considerations for CRE Investors
Influx of out-of-state capital has contributed to yield compressions across market types
Out-of-state buyers may have different decision drivers and objectives, could pay premium
Marcus & Millichap provides:
Buyers with access to nationwide inventory
Sellers with a national pool of buyers
*As of trailing 12 months through 2Q 2022
Sources: Marcus & Millichap Research Services, MNet