Nashville Among Top Targets for Commercial Real Estate Investment in 2024, CBRE Survey Finds

A recent survey of commercial real estate investors ranked Nashville as a top 10 target among U.S. metros. The metro jumped one spot to #4 in CBRE’s 2024 U.S. Investor Intentions Survey.

Investors continue to favor large Sun Belt cities and high-performing secondary markets for their property investments in 2024. Dallas retains its position as the most preferred market for the third consecutive year, followed by Miami, Raleigh, Atlanta, Nashville, and Charlotte. Additionally, major gateway markets such as Boston, New York City, and Washington, D.C., are also recognized as top markets for property returns.

“Nashville’s vibrance and sustained growth continues to attract strong interest from investors,” said Morgan Hillenmeyer, a Senior Vice President with CBRE in Nashville. “Many investors are excited to deploy capital in Nashville but have been patiently waiting for market conditions to improve. We believe higher yields and improving debt markets will be a catalyst for increased investor activity this year.”

Other Key Findings from the 2024 Survey:

• Investor sentiment has significantly improved, with 60% planning to expand their real estate portfolios in 2024 versus just 16% in the previous year.
• Despite lower property values, 40% of investors also anticipate selling more assets in 2024, compared with only 14% in last year’s survey.
• The multifamily and industrial & logistics sectors continue to be the most sought-after property sectors among commercial real estate investors in 2024.
• Higher-for-longer interest rates, tight credit conditions, and differing buyer and seller expectations are identified as the biggest challenges for commercial real estate investment activity in 2024.
• Investors are increasingly adopting opportunistic and core-plus strategies, indicating a focus on higher yields, stable income, and reduced risk.