The Moody’s Commercial Property Price Index (CPPI) data reported Aug. 29 for Q2 2011 indicates commercial real estate prices showed a 5% uptick from the Q1 low. I’d previously stated in my 2011 Forecast I felt the bottom had been hit in Q3 of 2010, but the continued lack of CMBS issuance hampered closing for several very large deals, negatively affecting the index. The chart above depicts a market bouncing along the bottom, and I anticipate these are conditions we will face for some time to come.
The CPPI data is confirmed by the CoStar CCRSI, which I will post pater today.