By: Jeffrey Havsy, Chief Economist, Americas Research and Managing Director, Econometric Advisors

Serguei Chervachidze Ph.D., Head of Forecasting, Americas Research and Senior Economist, Econometric Advisors

What does a rising interest rate environment mean for CRE values? How much can we expect cap rates to increase, and in which markets? Over the next five years, cities’ current levels of industrial cap rate compression will be the primary factor in how cap rate movements influence their asset values.