Top Ten Issues Affecting Real Estate

The Changing Global Economy, Debt Capital Market Retrenchment, and Demographic Shifts Lead the New List of The CRE 2016-17 Top Ten Issues Affecting Real Estate The Changing Global Economy The IMF has revised GDP growth downward for much of the globe in 2016-17, as economic uncertainties continue and intensify. Currency issues, declining exports, and soft energy prices add to volatility (as reflected in the stock markets in early 2016 and Moody’s recent downgrade of Saudi Arabia). Political issues and conflict undermine stability as well 2. Debt Capital Market Retrenchment Debt markets for commercial real estate are slowing sharply. Regulators are telling bank lenders to curtail CRE lending (that’s 50% of the debt market), and the CMBS markets are slowing down, with no legislative fixes to retention rules that are due to go into effect in the summer of 2016. Many insurance companies that traditionally invest in real estate are approaching their real estate allocation limits....