Thought Leadership | May 03, 2023

Corporate Capital Outlook - Q1 2023

This report covers detailed updates about the global economy, corporate debt capital markets and European net lease transactions

"The first quarter of 2023 saw significant financial events continuing to cause stress in financial markets, with the Silicon Valley Bank's collapse and Credit Suisse's emergency takeover major contributors. Expected to compound the issue, there is over $2.5tn in commercial real estate debt which will mature in the next five years, with smaller regional U.S. banks holding 70% of outstanding loans to the CRE sector. Rising interest rates and reduced sales volumes will likely cause further defaults in the CRE and banking sector, but overall the global financial system is less exposed compared to the 2008 crash.

Q1 2023 experienced the lowest volume of corporate net lease transactions for the past 3 years. The most popular asset class continues to be industrial & logistics followed by office. Despite the sharp rise in European base rates, we have not necessarily seen the mirror image in real estate yields.

A map of the world is on top of an image of stock data

Written by Colliers Corporate Capital Solutions, the report details the current state of the global economy and capital markets and how that’s impacting the net lease sector. The report also features contributed content from Christopher Mertlitz, Head of European Investments at W. P. Carey, on how corporates can leverage real estate to unlock capital on attractive terms while the debt markets are in flux. Download below to read the full report.

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Photo of Christopher Merlitz
Christopher A. Mertlitz
Managing Director
Head of European Investments
View bio

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