U.S. Multifamily has not historically been a common investment vehicle for global commercial real estate investors, largely due to the differences in how residential real estate is conducted around the world. Despite this unfamiliarity, inbound capital to the U.S. multifamily sector has increased significantly in recent years, with total volume from 2014 to 2018 up by 241% over the previous five-year period.
Including assets acquired through entity-level deals, inbound capital to U.S. multifamily in H1 2019 reached nearly $6 billion. Since 2008, the share of global capital relative to total U.S. multifamily investment volume has nearly tripled, indicating a shift in attitude toward investment in this asset class.