Profitable alternative to an office market with a cloudy future

Does anyone actually know what "multi-family" means when it comes to real estate? Well foreign investors didn't until recently. According to the NY Times, international investors now spend just as much money, if not more, on apartment buildings as they do on regular old office buildings.

Foreigners aren't used to the way American's live in apartments or condos or town homes. They are slowly learning about the benefits and profibility of these large investments. Now that the idea has been brought to their attention, these outside commercial investors are loving adding these multifamily buildings to their financial portfolio.

"In 2019, the share of overseas investment into real estate in the U.S. that was going into office properties was at 43%. That is now reduced to 31%. Then you have the corresponding increase in the same period of time into multifamily from 25% of the total to 31%." says Alex-Foshay, vice chairman and head of Newmark Captial Markets' International Captial Markets Division (based in NYC) "But as we move out of the pandemic and office stabilizes as an investment class, we are going to see more investment … there will be a leveling off in terms of these percentage allocations. I don’t see multifamily correcting dramatically in the allocation of overseas capital. It will probably move somewhere in the high 20s to mid-30s percent allocations going forward."