As we closed out 2018 we were confronted with increased equity market volatility, rising interest rates and geopolitical uncertainty that caused some to revisit whether we were in store for a more substantive correction from a real estate perspective. However, as we analyzed the final numbers for 2018 and spoke with a diverse group of our clients and other market participants we are of the view that 2019 will see deal activity that is comparable to 2018 levels or higher. This, from our perspective, will be driven by a decoupling of deal activity from economic activity, market participants continued search for scale, the convergence of real estate with other sectors (particularly technology), and a simplification of business models to focus on those areas where firms have a competitive advantage or core competency.
”We believe that 2019 will bring deal activity that is comparable to 2018 levels or higher as deals decouple from economic activity, market participants stretch to scale, our sector converges with other sectors and business models are simplified. Today, is arguably one of the most exciting times to be a real estate professional.”
Real Estate Deals Leader, PwC US
Tel: +1 (202) 841 0059
Real Estate Acquisitions Leader, PwC US
Tel: +1 (617) 530 5256