Daniel LeBey, partner—real estate capital markets and mergers & acquisitions at Vinson & Elkins, sat down for a video interview during Nareit’s REITweek: 2025 Investor Conference in New York City on June 2-5.
LeBey reflected on how elevated interest rates since 2022 have cooled real estate markets, with REITs underperforming yet remaining stable. “The mantra for the last few years has been ‘survive till 2025,’” he said, noting a positive start to 2025 despite limited capital markets activity.
LeBey highlighted data centers as a standout sector, driven by AI and tech demands. “Data centers are dominating the real estate space right now,” he said, citing their capital-intensive nature and their role in spurring IPO efforts. Geographically, the Sun Belt states continued to attract investment, while niche assets like senior housing and retail centers showed promise.
LeBey also pointed to a rise in joint venture and private capital deals. Vinson & Elkins, with its strong real estate and energy platforms, is “uniquely positioned” to help clients navigate these complex, tax-driven structures through 2025 and beyond, he said.