When investors first consider investing in commercial real estate, their initial thoughts often stray toward properties located in highly competitive primary markets such as New York City, Boston and Los Angeles. After all, the old mantra of “location, location, location” still rightly holds a great deal of sway over real estate market investors. However, between capitalization rates and rental trends, the secondary and tertiary cities that represent commercial real estate’s middle-market can potentially outpace the historical trends within primary markets.
