It takes guts to say, "I don't know." As a lawyer I have to do that sometimes. Yes, the answer to a question is just not always in my head or at my fingertips and I may have to look in a book to make sure my gut instinct (if I have one) is right. I'd rather be right than shoot from the hip and be wrong.
That's probably why this story made me chuckle, as a net real estate fund said this in a report: "The market," it asserts in the first paragraph, "is difficult to make sense of at the moment." Why? According to Boulder Net Lease Funds, you have pressure on one side from tough debt markets, rising oil prices and decreased demand, but you also have cap rates shifting as well. (You also have lower interest and bank borrowing costs that can play a factor.)
Before you just discount the source, let me tell you that the Boulder folks are smart. I have had them on the other side of deals in the past and I know they know what they are doing. So, if you are befuddled by the market, I guess you should not feel bad. And if someone tells you that s/he has this all figured out, check the hip for a gun.
