Industrial Continues to Attract the Most Net-Lease Capital
The region’s office sector share of total net-lease investment volume increased by 5.2 percentage points from the year-earlier first quarter to 41.5 percent, with its largest first quarter volume on record at nearly $6 billion, according to research from CBRE. The industrial sector continued to attract the most net-lease capital with its share remaining relatively unchanged at 43.4 percent, while the retail sector’s share fell by 5.4 percentage points to 15.1 percent.
Institutional and equity funds, the largest net-lease buyers, increased acquisition activity by 40 percent year-over-year in first quarter 2021 to $6.7 billion. Private investment in net-lease properties grew by 6.7 percent during the same period to $6.3 billion. REIT net-lease investment volume was down by 44 percent year-over-year in first quarter 2021 to $1.4 billion, says CBRE.