Big Deals Dominate Q3

Sizeable portfolio buys and M&A activity pushed overall transaction volume to a remarkable $29.8 billion in the third quarter, according to Real Capital Analytics.
Source: Real Capital Analytics

Large portfolio and entity-level transactions lifted real estate transaction volume in the third quarter to $29.8 billion, according to Real Capital Analytics. That is record-breaking since the next most active third quarter for entity-level volume was $17.0 billion in Q3 of 2017, says RCA. The sector that saw the biggest growth in entity and portfolio activity in the third quarter was retail, largely due to Brookfield’s acquisition of GGP.

While the portfolio and entity-level data may lead some executives to ask if the market is at its peak, RCA’s figures show single-asset transactions (the “bedrock” of the industry) exhibit no signs of falling off. Third quarter single-asset volume was $152.7 billion―up 17 percent from a year ago. Prices were up 7.2 percent.