"The US transition of government has prompted expectations in the industrial and infrastructure sectors and we're seeing this impact in the survey results," said Richard Kalvoda, Executive Vice President at Altus Group. "Anticipated tax cuts and increased spending from the New Administration is expected to further strengthen the commercial real estate market in 2017."
According to Marketwired, The Real Confidence Executive Index survey polled industry leading C-suite level CRE decision makers on how they would each allocate a theoretical $1 billion in commercial real estate investments to get the best returns for 2017. The Real Confidence Executive Index is based on these allocations and represents a total theoretical investment of $65 billion in a variety of commercial real estate investment opportunities. This year's index allocation saw 43% of the total capital allocated to direct real estate investments or private equity, followed by 30% to public equity, commonly known as REITs. On the debt side, private debt received a 20% allocation while public debt received 7%.
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