IRVINE, Calif., April 30, 2024 /PRNewswire/ -- LightBox, a
leading provider of commercial real estate (CRE) information and
technology, released its first quarter CRE Activity Index, which
highlights a modest uptick in deal activity from the previous
quarter's low and provides insights into an expected, gradual
recovery for the rest of 2024.
The LightBox CRE Activity Index provides an aggregate view of
the market with information on property listings and due diligence.
In an average year, LightBox customers complete thousands of
transactions over the LightBox platform to support commercial real
estate dealmaking offering a preview of potential market
performance. In Q1 2024, the LightBox Index rose to 78.7, an
increase of 13.4 points from the three-year low in Q4 2023. Year
over year, the Index is just slightly weaker than the 81.3
reading.
According to the report commentary, intelligence from LightBox
suggests guarded optimism for a thaw in property transactions
although heavily dependent on the Federal Reserve policy. Sellers,
previously hesitant due to market conditions and rising interest
rates, are showing signs they are testing the waters. This cautious
optimism also stems from a growing sense that the pricing gap
between buyers and sellers could finally be narrowing.
"The uptick in the first quarter is confirmation that activity
was increasing and a sign that hesitant investors and lenders were
slightly more willing to put money to work than they were in Q4
2023," said Manus Clancy, head of LightBox Data Strategy.
For the remainder of 2024, LightBox analysts forecast a
continued upward trajectory albeit at a slightly slower pace than
projected in the first quarter of this year.
"With immediate rate cuts stalled, investment may be limited to
opportunistic equity investors who are increasingly eager to deploy
capital, focusing on distressed assets and refinancing activity as
loans mature throughout the remainder of the year," said
Dianne Crocker, LightBox principal
analyst.
While the market expectation for interest rate cuts has moved
from midyear to at least September, transactions in the second half
of the year could rebound modestly as tighter risk spreads and
seller capitulation deliver an uptick in market velocity.
Read the full report: Q1 2024 LightBox CRE Activity
Index
About LightBox
At LightBox, we are at the forefront of delivering advanced and
precise solutions for commercial real estate intelligence. Our
dedication to innovation propels real estate professionals forward
by providing them with the essential tools required to navigate
complex decisions, minimize risk, and boost productivity across the
spectrum of real estate operations. LightBox is renowned for its
commitment to promoting excellence and fostering connections in the
industry, serving an extensive clientele of over 30,000 customers.
Our diverse client base spans commercial and government sectors,
including but not limited to brokers, developers, investors,
lenders, insurers, technologists, environmental advisors,
appraisers, and other businesses that depend on geospatial
information. To discover more about how LightBox can illuminate the
path to informed real estate solutions, visit us at:
www.LightBoxre.com
Media inquiries: media@lightboxre.com
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SOURCE LightBoxRE