Real Estate in 2026: Why We’re Moving Toward a New Value Cycle

What the 2026 Landscape Looks Like for New Investment

The strength of our portfolio and strategy lies in our asset-by-asset approach, which allows us to be very selective yet aggressive where we see opportunity.

Looking ahead at 2026, we see a few specific reasons to be optimistic about new acquisitions: 

• Real Price Discovery: For a long time, there was a gap between what sellers wanted and what buyers could actually justify. We are finally seeing that gap close, and that may be in part due to the previously discussed debt maturity wall. Assets are being priced based on actual cash flows rather than future speculation or prior market pricing, which creates a much healthier entry point for new equity.
• The “Supply Gap” is Real: Because it has been so difficult to get new construction off the ground over the last two years, we are heading toward a period where very little new inventory will be delivered. Acquiring quality, existing buildings today allows us to have prime positioning ahead of that shortage.
• Operational Discipline Always Matters: In a low-rate environment, a lot of mistakes were hidden by market growth. Today, the success of an investment may come down to the day-to-day operations—controlling expenses, retaining tenants, and managing the P&L. Experienced operators will outperform those new to the market.

Looking Forward

We aren’t suggesting that the road ahead is without its bumps. Rising costs remain a challenge, and the lending environment is still finding its footing.

However, we believe we are entering a new cycle where value is created through discipline rather than just timing the market. For us, 2026 is about being selective. It’s about looking at each deal on its own merits and finding the opportunities that make sense not just for today, but for the next several years.

We believe the best way to build wealth in this climate is to stay grounded in the data, be transparent about the risks, and move forward only when the fundamentals are in our favor.

We invite you to schedule a call to explore our current view of the value cycle and see how our independent co-investment model aligns with your investment goals.