HOUSTON, Jan. 14, 2014 /PRNewswire/ -- Many investors are frustrated by today's frothy pricing of commercial real estate. Non-institutional investors, in particular, are finding themselves outbid on acquisition targets. Those investors can best compete for mid-cap, value-add investments and are most likely to find those deals outside of primary markets, according to Transwestern's first-quarter edition of "Ask the Expert," featuring Steven Orchard and Michelle Lee, leaders of the firm's structured finance group in the West.
Investors should look at what they already own as their best investment opportunity instead of overpaying for new assets. Investing capital to upgrade or reposition current assets can create value and maintain a lower comparative cost basis than developing or acquiring new assets.
Investors should also be thinking about debt as an asset in 2014. One has to use leverage advisedly, but with debt this cheap and strong inflationary pressure looming in the long-term, procuring long-term fixed-rate debt is a smart investing strategy.
"Ask the Expert" is a Q&A with Transwestern experts and leaders. Download the full version here: http://www.transwestern.net/public/corporate/AskTheExpert/AsktheExpert_1Q2014_LL.html
Transwestern is a privately held real estate firm specializing in agency leasing, property and facilities management, tenant advisory, capital markets, development, research and sustainability. The fully integrated global enterprise leverages competencies in office, industrial, retail, multifamily and healthcare properties to add value for investors, owners and occupiers of real estate. Transwestern facilitates better decision-making for clients by combining penetrating local market intelligence and macro-market research through its affiliate, Delta Associates. Transwestern has 34 U.S. offices and assists clients through more than 181 offices in 40 countries as part of a strategic alliance with Paris-based BNP Paribas Real Estate. For more information, please visit www.transwestern.net and follow us on Twitter: @Transwestern.