National CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
Nadji at NAIOP CRE.Converge: “Don’t Underestimate the Power of Interest Rates”
In one of two keynote sessions featuring Marcus & Millichap CEO Hessam Nadji at the recent NAIOP CRE.Converge conference in Miami, he sat down with Jon Paul Pérez, president of Related Group. Pérez shared his insights into how the pandemic has affected Miami commercial real estate, the growth potential in the Miami market and his efforts to elevate the area into the “Silicon Valley of the Southeast.”
Those efforts appear to be paying off. “We’re seeing an increase in tenants who were historically not coming to Florida – venture capitalists, hedge funds, financial firms – leasing space with us,” Pérez told Nadji and the CRE.Converge audience. “I don’t think the office market is dwindling, I see it growing in areas like South Florida, while other areas like Chicago are close to 20% vacancy.”
In another keynote session, Nadji took the stage to cover the state of the U.S. economic recovery and the investment outlook for commercial real estate. “Don’t underestimate the power of interest rates and how they can be leveraged, ” he said. “The current broad-based downward pressure on cap rates is a result of two things: the incredibly low cost of debt and the resounding release of pent-up demand, supporting job growth and economic expansion.”
- ◦Development
- ◦People
- ◦Economy
