- Five multifamily CEOs told Multifamily Executive that cybersecurity, affordable housing preservation, operational complexity, the cost of capital and stalled transactions deserve more attention than the usual rate and rent-growth debate.
- Waterton’s David Schwartz expects AI infrastructure demand, energy shocks and deficits to keep rates elevated, making capital hard for developers to raise but setting up stronger owner fundamentals in 2028 and beyond.
- Avenue5’s Walt Smith asks whether apartment values have reset or whether technology gains must close the gap between buyers and sellers, since deals remain scarce versus historical norms.
Everyone knows rates and rent growth will shape 2027. Multifamily Executive asked five industry leaders what else deserves attention, and their answers range from hackers to affordability covenants.
Here is the short version of what each told the magazine.
Get Smarter about what matters in CRE
Stay ahead of trends in commercial real estate with CRE Daily – the free newsletter delivering everything you need to start your day in just 5-minutes
Cyber Risk Rises With Automation
Village Green CEO Diane Batayeh told Multifamily Executive that cybersecurity is her top urgent issue. More automation and AI raise the threat level, she said, so operators must lock down proprietary data, money and residents’ personal information.
Her point is that the tools needed to stay competitive also widen the attack surface.
Preserve the Affordable Stock
Avanath Capital Management’s Daryl Carter said today’s affordable stock deserves far more attention. He pointed to NLIHC data showing a national gap of 7.2 million homes that are both affordable and available to extremely low-income renters.
Keeping restrictions in place beats new construction on speed and often on cost, Carter told the magazine, and resident services that keep families housed protect both tenants and returns.
Operations Get Harder
Bell Partners CEO Lili Dunn pointed to growing operational complexity as resident expectations climb. Volatile capital markets, heavier regulation and pockets of oversupply add pressure.
She told Multifamily Executive that teams still need the training and resources to deliver a standout resident experience.
Capital Stays Costly
Waterton’s David Schwartz said the Fed won’t be the only driver of financing costs in 2027. AI infrastructure demand, energy shocks tied to war and federal deficits will keep borrowing costs high and volatile, he told the magazine.
Raising capital will be tough, especially for developers. The flip side, in his view, is less new supply and stronger owner fundamentals from 2028 onward.
Deals Stay Stuck
Avenue5 Residential CEO Walt Smith said apartment investment activity remains far below historical norms. Values have kept sliding as rates rise and rental markets stay soft.
His open question: have prices reset for good, or must better technology bridge the return gap between sellers and buyers?
Zoom Out
The pricing worry has data behind it. Our brief on CBRE’s cap rate outlook reported cap rates rising 40 to 60 bps with the 10-year near 5%, and said multifamily and industrial face the most pressure because spreads there are under 100 bps.
Debt is the other pressure point. Our brief on multifamily maturities cited Yardi Matrix data showing about $116B of loans due by the end of 2027 and nearly $250B by 2028.
Why It Matters
These answers flag risks that don’t show up in rent comps. A breach, a lost affordability covenant or a hard-to-raise equity check can hit returns as surely as a rate move.
Schwartz’s view also cuts against the usual fear. Tight capital now could mean thinner pipelines and firmer fundamentals later.
What’s Next
Watch whether transaction volume returns before the 2027 maturity wall, and whether operators put cybersecurity and preservation on their budgets.
