Not every lender in U.S. commercial real estate is at risk over their exposure to the sector. We illustrate how the timing of loan originations and the property types of the collateral can make a difference for lenders.  

A drop in commercial-property prices has led to concern about the loan losses of U.S. lenders. We analyze the collateral for the loans by property type and location to identify what has hurt — or boosted — loan books.  

Investors are still waiting for a recovery in commercial real estate. We outline the state of play in early 2024 and identify potential signposts for an upturn in the asset class.  

How impactful will the coming wave of U.S. property-loan refinancing be? Two significant shifts have characterized the real-estate debt market over the past 18 months: a drop in property values and a corresponding change in the availability of debt financing. 

For many real-estate investors, property-type and geography segmentations are the primary lens through which they measure and manage their portfolios. But could real-estate style factors play a role in helping investors manage their portfolios more systematically? 

European listed real estate has fallen in 2022, weighed down by myriad challenges. Core, residential and office indexes have sunk beneath their lows during the early COVID-19 market turmoil.   

With economic pressures mounting, we examine the importance of analyzing rental income across all tenants in real estate funds, and not just the biggest tenants. 

Although real estate income returns have tended to be stable in aggregate, the right-hand chart below illustrates the extent to which they have varied across individual properties in the MSCI Pan-European Quarterly Property Fund Index (PEPFI).

For real estate investors, property type and geography segmentations are the primary lens through which they measure and manage their portfolios. Testing five potential real estate style factors, however, were we able to better explain asset-level variation.

COVID-19 has weighed heavily on the financial positions of companies that hold leases for commercial real estate. Property investors can track the covenant quality of their tenants and translate it into a probability of default over the length of the lease.

With new COVID-19 lockdowns and swaths of white-collar workers working from home, many office tenants are contemplating whether the future of work includes office space. This could have significant impact on office demand and income from leases.

This new condensed version of ‘Listed and Private Real Estate: Putting the Pieces Back Together’ explores whether a property owned by a listed real estate company, such as a Real Estate Investment Trust (REIT) or a real estate management and development company, produces returns close to those of an equivalent asset that is privately owned. Specifically, how do equity market factors, financial structures and individual properties contribute to performance? This research paper uses MSCI’s...

Many real estate markets were showing signs of a slowdown even before COVID-19’s negative impact on property portfolios. Has this correction been similar to previous ones? We looked at dispersion of returns, within and across real estate sectors, for the answer.