Feds say CRE is an overheated asset class

Put the Federal Reserve Bank squarely in the camp of that believes commercial real estate values have become overheated, particularly for multifamily communities and industrial properties — two of the hottest sectors along the Gulf Coast and in Central Florida.

In a Feb. 23 report on monetary policy presented to Congress, the Fed notes that many economic measures continue to be favorable: Labor markets are tight, gross domestic product is increasing, consumer confidence is strong and business investment has rebounded from recessionary levels.