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CRE investing

Market Conundrum: CRE Investors Making Fewer Big Deals, but Raising More Money

Investors still have a lot of cash to burn through, but are searching for higher yields.

The amount of uncalled or undrawn real estate investment capital, or "dry powder," has grown to staggering levels. This increase has come at a time when the investment climate remains decidedly mixed, with top-quality assets in core markets commanding high valuations after a sustained up-cycle. As a result, investors are increasingly searching elsewhere for properties that offer potentially higher yields. The effects are showing up in deal volume.

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