Special Report: RISING INSURANCE COSTS – August 2023
Rising Insurance Costs and New Policy Limitations Erode Commercial Real Estate Owners’ Margins
The accelerated cost of insurance is impacting the commercial real estate sector on multiple fronts. Heightened premiums are raising overall apartment expenses for owners, making it more difficult for developers to underwrite projects. Cost spikes are also altering property valuations, impacting deal flow in states with higher environmental risk factors.
Key Features Include:
- Impact of rising insurance costs on apartment expenses, property valuations and multifamily deal flow
- Identification of markets recording the most pronounced cost increases
- Analysis of commercial investment segments poised to benefit from accelerated premiums