Coveted core real estate — existing Class A properties well located in the leading real estate markets — provides a more consistent income stream from durable rent rolls and steady, if unspectacular, appreciation. These assets hold value better in down markets and have accelerated rent growth in up markets.  However, investor demand for yield is creating incredible demand for core real estate and led to an unprecedented accumulation of investment “dry powder” that began during the latter stages of the GFC and continues today.  This yield supply/demand imbalance, coupled with very low interest rates, has created opportunities where there is a material spread between the cost to build core projects and the valuations for those core projects once built and stabilized.