Moodyb s Investors Service and Green Street Advisors are offering commercial real estate price statistics that differ completely.
Moodyb s indicated Tuesday that CRE prices nationwide decreased 3.3 percent in August, which still offers a bleak outlook since these prices for offices, apartments and shopping centers are down 45 percent from the peak in 2007.
But Green Street Advisors recently reported property values have increased by almost 30 percent since the lows of 2009.
Why the conflicting data? Both companies depend on price indexes they developed from within, according to the Dow Jones Newswires. Moodyb s looks at sales of $2.5 million and up that have already closed, whereas Green Street Advisors looks at 47 REITs with assets of about $400 billion.
To learn more about the differing data, read this Dow Jones article posted by The Wall Street Journal, then be sure to let us know your thoughts. How do you think the price index should be measured?
Photo: citta-vita on flickr
Tags: commercial real estate, CRE, office buildings, property values, REITS, shopping centers
