What Defines The Best CRE Investments Today?
Fluctuating interest rates and shifting demand are key in today’s commercial real estate market, according to Integra Realty Resources’ latest trends report. The Viewpoint 2025 survey collected insights from nearly 600 valuation advisors across the U.S. and the Caribbean.
Anthony Graziano, CEO of Integra Realty Resources, emphasized that fundamental value is driven by cash flow, prime locations, and realistic tenant demand, not speculation. He urged investors to focus on effective management and sustainable rent levels for long-term value, especially in markets with strong job growth and favorable migration trends.
Private investors are diversifying into alternatives like senior housing, self-storage, build-to-rent single-family homes, and data centers. Graziano also highlighted that the best real estate investments go beyond returns and create lasting community impact. Mixed-use developments, such as Nashville Yards and Richmond’s Diamond District, are reshaping underutilized spaces and meeting market demand.
Regarding national policy, Graziano noted that President Trump’s “America First” approach favors real estate growth, but could disrupt previous policies. This includes a potential shift in the federal workforce’s office occupancy and a rise in domestic production due to reshoring trends.
Retail success hinges on consumer confidence, with potential impacts from tax policies and trade tariffs. Retail spaces focused on essentials, like grocery-anchored centers, are likely to perform better in economic volatility.
Multifamily properties remain steady, but affordability concerns could affect investment, especially in markets with high inventory. Graziano cautioned investors to remain flexible and focus on markets with strong job growth and steady population increases.
Source: CPE