Multifamily Executive is reporting that land sales have plummeted in 2008 – down nearly 75 percent as compared to the same time last year. As you’d expect, with the decline in sales volume there has also been a drop in price – in some area approaching a 60 to 80 percent decline in price.
Real Capital Analytics reports that total land sales were $37.07 billion in 2007, and are only an anemic $7.17 billion through August of this year, with the financial / credit markets worsening significantly thereafter.
Some groups are “land banking” – think hedge funds (though many are on the ropes currently) and private equity firms.
If your team has been looking for land to develop a project, now might be a great time to buy……
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