While macro volatility continues to make headlines and keep commercial real estate professionals guessing, March saw strong movement in the $100M+ deal space, led by a diverse set of buyers and property types. From a landmark multifamily buy in Manhattan to a $700M industrial portfolio acquisition, major CRE players are still making bold moves—just with a more targeted, fundamentals-driven approach.
The pace of nine-figure deals slowed slightly in March, with 28 deals pulling in more than $100M, compared to 31 in February. However, activity picked up further down the ladder, with 56 deals between $50M and $100M—up from 49 the previous month. This shift reinforces the broader trend we’re seeing: Selectivity is in, and CRE investors are targeting highly leased assets with strong tenant retention and predictable income.
“March data confirmed what we’ve been seeing in conversations across the market—capital is still flowing, but it’s more cautious and concentrated,” said Manus Clancy, head of Data Strategy at LightBox. “The LightBox CRE Activity Index hit its highest reading since 2022, signaling real momentum. But make no mistake—investors are under no illusions. They’re looking for assets that can weather the next storm.”
Multifamily Outpaces Other Asset Classes—Again
Multifamily led the pack in March, pulling in a significant share of CRE’s biggest transactions. Of the 28 nine-figure deals last month, nearly one-third were multifamily. The trend extended to the $50M–$100M tier as well, where almost half of the deals targeted multifamily assets. That kind of activity makes one thing clear: investors are still betting big on multifamily.
- New York, NY: Naftali Group made headlines with its $800 million acquisition of 800 Fifth Avenue, a 33-story, 208-unit luxury residential tower overlooking Central Park. In March 2025, Manhattan’s median net-effective rent remained at a record high of $4,471, according to The Elliman report, matching February’s all-time peak, with lease signings surging across the city. That momentum is fueling renewed appetite for prime, income-producing urban assets.
- Malden, MA: Rockpoint acquired Altitude Apartments for $268 million, a 919-unit, 41-acre community just nine miles north of downtown Boston. It’s a move that shows investors are still drawn to large-scale, high-quality suburban product.
- Midwest: Morgan Properties made a $500 million bet on the region, acquiring 3,054 units across 11 properties in eight states from Trilogy Real Estate Group. With new construction struggling to keep up with demand, the play taps into rising investor interest in the Midwest’s severely undersupplied multifamily market.
Industrial: Big Plays and Bigger Portfolios
The industrial real estate sector, once the darling of the pandemic era, is navigating a new landscape in 2025. While demand remains robust, the market is adjusting to a surge in supply and evolving tenant preferences. National industrial vacancy rates have risen to 8.2% as of February 2025, doubling over the past two years due to stabilizing demand and a historic influx of new supply. At the same time, uncertainty around tariffs and trade policy is prompting some occupiers to reassess logistics networks, adding a layer of caution to site selection. Despite these challenges, investors are zeroing in on high-quality, well-leased assets in strategic locations, signaling confidence in the sector’s long-term fundamentals.
- Warehouse Portfolio: Starwood Capital Group made one of the month’s largest moves with its $685 million purchase of a 38-property warehouse portfolio spanning Dallas, Atlanta, Austin, and Nashville. The 89% leased portfolio includes tenants like Amazon, Kroger, and Walgreens.
- Northern VA: Just outside Data Center Alley, The BlackChamber Group acquired a 65-acre data center development site in Northern Virginia for $190 million. Marketed as one of the last large-scale, by-right development opportunities in the region—with capacity for up to 2 million square feet—the site attracted strong investor interest. The $2.9M-per-acre price tag signals just how competitive the race for digital infrastructure sites has become.
Office Deals Reflect Strategic Positioning
Despite the well-documented challenges facing the office sector, Q1 2025 offered glimmers of stabilization in key markets. Even in challenged sectors like office, deal volume is up when the asset is right: Manhattan logged 11.39 million square feet of leasing activity—its strongest quarter since Q4 2019—driven by a flight to quality and growing demand for modern, amenity-rich buildings. In Dallas-Fort Worth, leasing surpassed 1.1 million square feet, signaling a shift in sentiment. Investors are increasingly targeting well-leased, Class A properties with long-term tenants, reflecting a disciplined approach amid broader market uncertainty.
On the land side, 2025 is shaping up to be a seller’s market. Low inventory is fueling competition among buyers, and as interest rates begin to ease, previously delayed projects are coming back online. For well-located parcels with redevelopment or ground-up potential, investor interest is heating up.
- Fifth Avenue Land Sale: Extell Development closed on a $175 million land acquisition at 576 Fifth Avenue, up from $101 million in 2021. The full-block assemblage will support a new 29-story office and retail tower, anchored by Ikea along a stretch of Fifth Avenue. The site previously sold for $101 million in 2021, a notable appreciation in just four years.
- New York, NY: B&H Photo, under SV333 Realty LLC, acquired 333 West 34th Street for $150 million—a 41% discount from its $255 million sale in 2018. The transaction is one of several indicating recalibrated office valuations.
- Raleigh, NC: Highwoods Properties acquired the 20-story Advance Auto Parts Tower in Raleigh for $138 million. The 346,000 SF, LEED Gold-certified tower is 100% leased with a weighted average lease term of 8.2 years, underscoring investor appetite for stabilized, well-located office assets in high-growth metros.
Retail Sees Resurgence in Select Markets
Retail real estate held steady in Q1 2025, fueled by tight supply, resilient consumer demand, and strong investor interest in necessity-based and experiential retail. Vacancy rates remain near historic lows, particularly in open-air centers anchored by grocery and service tenants, driving activity in both suburban and Sun Belt markets.
- Nashville, TN: Regency Centers Corp. acquired Brentwood Place Shopping Center for $118.5 million—nearly doubling its 2007 purchase price. The 320,000 SF open-air center is 95% leased and anchored by retailers like Nordstrom Rack and TJ Maxx.
- Newnan, GA: CTO Realty Growth acquired the 559,000 SF Ashley Park lifestyle center for $79.8 million. Anchored by Best Buy, Regal, and Dick’s Sporting Goods, the property sees over 6 million visits annually.
CRE Investment Trends to Watch
LightBox data continues to suggest a shift toward smaller, lower-risk deals. Investors are leaning into industrial, flex, and neighborhood retail—while nine-figure transactions remain concentrated among assets with stable cash flow or redevelopment upside.
“We’re seeing a flight to quality across the board,” said Clancy, “Investors are being more selective, focusing on assets that offer stable cash flows and long-term value, especially in markets with strong fundamentals.”
March’s nine-figure deals reflect a market defined by caution and creativity. As interest rates stay elevated and valuations reset, investors are getting strategic—targeting high-conviction plays rather than chasing volume.
Subscribe to LightBox Insights to get the full list of $500M+ CRE buyers and future updates delivered straight to your inbox. Stay tuned for next month’s edition—and catch our podcast, The CRE Weekly Digest, for expert analysis on deal trends across the market.
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