Location- being the most important factor when it comes to performance of real estate investments, should be the first consideration. Old strongholds no longer appeal to most. Cyprus is in a shambles. Paris has lost its ability to romance investors. Switzerland is dealing with its own variety of issues, and what has been home to some of the world's most in demand real estate in the past; Hong Kong now faces a deflating market itself. A few will still point out the strength of high-end central London property, but with area apartments now going for an average of almost $2 million a pop, entry isn't a wise option for many. The one market in the world that really continues to show strength and post solid growth is Alberta, with the Edmonton region now taking the lead. When it comes to property types, commercial real estate continues to trump residential single family housing for security and value, even though homes in the area continue to go up in price and sales volume rises. On the surface, all commercial real estate sectors in Alberta and Edmonton appear to be performing quite well and offer great prospects looking forward for the next 5 to 10 years. However, when looking for the best possible investment option for wealth preservation, stable yield and capital growth prospects retail property continues to stand out. Retail is frequently favored among investors for its reputation of being the first to rebound when things pick up and last to suffer in down cycles; making it the perfect pick for cautious real estate investors. However, in contrast to what is going on in the rest of the globe, Edmonton's commercial real estate investors aren't investing out of fear. They are seizing on incredible opportunities for reaping appealing yields and appreciation thanks to a surge in development and a continued healthy rise in fundamentals including population and wage growth, without having to take unnecessary risks to achieve it. Digging in further, top commercial real estate experts with in-depth knowledge of the Edmonton market report the optimal choice for individual investors remains smaller multi-tenanted shopping plazas.
- March 12, 2018
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