Welcome back to What's Hot & What's Not CRE — your daily pulse on commercial real estate in America.Today we're wrapping up the week with the big picture: where is institutional capital and smart money investing in 2026?

🔥 What's Hot:

• Private RE Allocations Surging — 82% of wealth managers increasing allocations over next 3 years
• Data Centers #1 — 100% of new construction pre-committed in 9 major markets; AI/ML driving demand
• Industrial & Logistics Strong — E-commerce, onshoring, cold storage; last-mile and big-box favored
• Multifamily Resilient — Sun Belt, workforce housing, BTR where supply gaps are acute
• CRE Debt Opportunity — Loan volume up 90%+ YoY; CMBS up 110%; spreads down 183 bps

• Generalist Strategies Out — Sector specialists (data centers, life sciences, last-mile) preferred
• Commodity Office Passed Over — Only trophy Class A or deep-discount conversion plays
• Class B/C Retail Under-Allocated — Only necessity-anchored, grocery getting capital
• High Leverage Out — Lower LTVs, fixed/hedged debt now standard

❄️ What's Not:

Theme for 2026: Selective, thematic investing around AI, demographics, and housing undersupply.Thanks for tuning in — and thanks for a great week. See you Monday! 
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