Welcome to CBRE’s H1 2023 Cap Rate Survey (CRS). This survey was conducted in late May through early June 2023 and reflects transaction activity in the first half of 2023. While market conditions are fluid, the CRS provides a useful baseline and sheds light on how investor sentiment is evolving.
The CRS captures more than 3,000 cap rate estimates across more than 50 geographic markets to generate key insights from a wealth of data.
Please note that more than 200 CBRE real estate professionals completed the H1 2023 Cap Rate Survey. Given the current rapidly changing capital markets conditions, estimates may not reflect recent events or the most current market conditions. Readers should view all cap rate estimates within this context.
Retail saw the smallest cap rate increase aided by improved fundamentals, income growth and attractive pricing.
Multifamily cap rates’ upward expansion also slowed but worries persist about near-term oversupply in some markets.
Industrial underwriting has grown more conservative for a similar reason.
Office cap rates widened most sharply as investors demanded greater pricing discounts in light of an uncertain outlook.