During the past 3-4 months the Southeast Commercial Real Estate Market (primarly major metros) has seen its biggest inflow of capital since 2006. There is clearly a LOT of money chasing yield, which has caused cap rates to not only begin to compress, but to drop to levels near to the height of the market. Most product types (industrial, multi-family, office, retail) have experienced unprecidented investor demand. I am hearing the same thing out of other major markets across the country.
The Govt pumped a lot of money into the system to avert a depression..... We are just starting to see that money do what it was supposed to do.... There is WAY too much of it out there.... Get long and hold on for the ride.