The Real Deal Miami

Commercial real estate prices dip, transactions rise in June: Moody’s

August 19, 2010 04:30PM

Commercial real estate prices dropped 4 percent nationwide in June, according to the latest data from Moody’s, which pegged prices at 41.4 percent below their October 2007 peak but 4.2 percent above their October 2009 bottom. The dip — based on repeat sales transactions — comes after two months of price increases in the commercial property sector. Meanwhile, the dollar volume of those sales transactions has increased $2.1 billion in June from $800 million in April. The number of repeat sales deals was also up, by 43 percent, in June. The sales uptick “may be an early indication that buyers and sellers are starting to agree on market-clearing prices,” said Nick Levidy, managing director for Moody’s. “If this is in fact occurring, we would expect
transaction volumes to rise steadily and price volatility to ebb in the months to come,” he said. TRD