Paul Fiorilla, Yardi: Make Sure Whatever Deals You Do Can Endure a Downturn

NEWARK, NJ – CapRE’s 2018 New Jersey Apartment Summit kicked off with a deep dive into the investment sales arena, courtesy of Paul Fiorilla of Yardi Matrix. “10 Minutes with Yardi’s Paul Fiorilla: The Real Impact of Interest Rate Hikes on Investment Sales and Three Factors to Watch for in 2019” included some thoughts on where the commercial real estate market is headed in the next couple of years. “Recently, we’ve seen some stock market volatility,” began Fiorilla. “Which I think shows investor nervousness about potential trouble spots. And there’s a lot of political tension here in the United States. I don’t know what’s going to happen with the – I keep seeing news stories everyday about the Russia investigation. Whether you think that’s important or not, it’s something that is a monkey wrench in the political system and it will take the policy maker’s attention.” Plus there is a lot of tension out there with China, Russia, Europe and the Middle East, and according to Fiorilla, that holds a lot of potential for negative outcomes. “And all of those things, if you look at what could go wrong, like an event that would be a global political situation or even a war or something like that, that is probably still the biggest potential cause of a downturn,” he explained. “So, combining that with some other softening in the next couple of years, maybe that’s when we get to the…