The U.S. Commercial Real Estate Investable Universe
Estimated $26.8 T U.S. CRE investable universe
- Institutional-quality represents $11.7 T (44%).
- Residential sectors dominate.
- Alternative sectors represent over 30%
WHY MEASURE THE INVESTABLE UNIVERSE?
The objective of this analysis is to supply investors with a criteria for the size and scale of the U.S. commercial realty (CRE) market, individual residential or commercial property sectors and the "institutional" quality part of the market. Approximately this point, released quotes on the size of the commercial property investable universe mostly focus on country-level global contrasts, taking a top-down method to approximate the size of the general business property market in each region. Existing literature does little to estimate the value of specific residential or commercial property types, let alone alternative residential or commercial property sectors. This report intends to fill this space in the business realty details landscape. Focusing exclusively on the United States, this report takes a bottom-up method, aggregating price quotes for the size of specific industrial property residential or commercial property types to reach a worth for the overall commercial realty market. This technique permits for segmentation in between traditional and alternative residential or commercial property types, along with the capability to estimate the share of "institutional" realty by sector.
Just how big is the U.S. industrial realty market? Although an apparently straightforward concern, approximating the size of the marketplace is challenging for several factors: absence of information and transparency (particularly for smaller sized, less-liquid and historically tracked residential or commercial property sectors), the widely varied nature of the variety of investible residential or commercial property types, and irregular industry definitions/classifications.
Estimated $26.8 T U.S. CRE investable universe
- Institutional-quality represents $11.7 T (44%).
- Residential sectors dominate.
- Alternative sectors represent over 30%
WHY MEASURE THE INVESTABLE UNIVERSE?
The objective of this analysis is to supply investors with a criteria for the size and scale of the U.S. commercial realty (CRE) market, individual residential or commercial property sectors and the "institutional" quality part of the market. Approximately this point, released quotes on the size of the commercial property investable universe mostly focus on country-level global contrasts, taking a top-down method to approximate the size of the general business property market in each region. Existing literature does little to estimate the value of specific residential or commercial property types, let alone alternative residential or commercial property sectors. This report intends to fill this space in the business realty details landscape. Focusing exclusively on the United States, this report takes a bottom-up method, aggregating price quotes for the size of specific industrial property residential or commercial property types to reach a worth for the overall commercial realty market. This technique permits for segmentation in between traditional and alternative residential or commercial property types, along with the capability to estimate the share of "institutional" realty by sector.
Just how big is the U.S. industrial realty market? Although an apparently straightforward concern, approximating the size of the marketplace is challenging for several factors: absence of information and transparency (particularly for smaller sized, less-liquid and historically tracked residential or commercial property sectors), the widely varied nature of the variety of investible residential or commercial property types, and irregular industry definitions/classifications.