ニューマーク（NMRK）2026年第3四半期決算説明会：過去最高の売上高、見通しを改定

主な要点

• ニューマーク・グループ（NMRK）が発表した第3四半期決算は、売上高が前年同期比12.7%増の9億7320万ドルとなり、過去最高を記録しました。調整後EBITDAは14.6%増の1億6640万ドル、調整後EPSは14.3%増の0.48ドルとなりました。
• マネジメントサービス、サービシング、その他の売上高は18.3%増加し、これらの事業として5四半期連続で過去最高を更新しました。リーシング売上高は26.5%増加し、第3四半期として過去最高水準を達成しました。
• キャピタル・マーケット売上高は4.4%減少しました。投資用不動産売買高が33.4%増加したものの、ローン組成活動の低下や第3四半期における政府支援機関（GSE）関連の市場全体の取引が約30%縮小したことにより相殺されました。
• ニューマークはマクロ経済のボラティリティと取引完了に関する不透明感を理由に、2026年の業績見通しを修正しました。修正後の売上高予想は37億ドル〜38億ドル、調整後EPS予想は1.80ドル〜1.90ドルとなっています。
• 経営陣はリカーリング（継続型）事業が2027年も2桁成長を維持すると見込む一方、キャピタル・マーケット活動は少なくとも上期を通じて低調が続く可能性があるとしています。新規買収を除く2027年業績の暫定見通しは、2026年実績の±10%以内となる見込みです。
• バリー・ゴーシン最高経営責任者（CEO）は2026年末で退任する予定です。ニューマークは社内外の候補者を検討しており、年内に後任を決定する見込みです。

主要財務データ

ニューマークは四半期終盤に5940万ドルで390万株の自社株買いを実施しました。2026年10月28日、取締役会は4億ドル規模の自社株買いプログラムを再承認し、経営陣はさらなる自社株買いを見込んでいると述べました。

事業および営業業績

マネジメントサービス、サービシング、その他の売上高が主な成長要因となりました。18.3%の増加は、ニューマークのアウトソーシング事業における自律的な拡大、評価・アドバイザリー業務の既存部門の成長、および2025年第3四半期以降に完了した6件の買収の寄与を反映しています。

年初来売上高に占めるリカーリング事業の割合は約40%となり、2017年の24%から上昇しました。経営陣は、マネジメントおよびサービシング事業が2029年までに年間売上高で20億ドル以上を創出できるとの確信を維持しており、これは2桁成長を意味します。

リーシング売上高は26.5%増加しました。これは西海岸の主要市場およびテキサス州における産業用・オフィス用の取引がけん引したものです。人工知能（AI）、データセンター、テクノロジー、製造業、法務サービス、航空宇宙、防衛、ヘルスケア分野の顧客から需要がありました。経営陣は、2026年の力強い拡大を経て、2027年のリーシング事業も1桁台の成長ペースで拡大が続くと予想しています。

キャピタル・マーケット売上高は、投資用不動産売買高が33.4%増加したものの、4.4%減少しました。高齢者向け住宅、手頃な価格の住宅（アフォーダブル・ハウジング）、産業用、リテール（商業用）が売買高の成長に寄与した一方、ローン組成額は前年同期（2025年第3四半期）の総負債取引量が129.1%急増した反動に直面しました。

ニューマークは、ファニーメイおよびフレディマックを合わせた市場シェアが直近12ヶ月間で70ベーシスポイント以上拡大したと発表しました。しかし経営陣は、2026年のGSE取引活動が年間上限に達することはないと見ており、第4四半期の市況も引き続き軟調に推移していると指摘しました。

現在、海外売上高はニューマークの総売上高の約13%を占めています。経営陣は、今後18〜24ヶ月間でほぼすべてのサービスラインにわたって事業を拡大し、グローバルなテナント向け（オキュピア）業務やアウトソーシング委託の獲得競争力を高める計画です。

業績見通し（ガイダンス）

経営陣は、修正後のレンジであってもニューマークにとって通期の売上高、調整後EBITDA、および調整後EPSの過去最高業績になると述べました。この見通しには今後の買収は含まれておらず、2026年10月28日の終値から同社株価の大幅な変動がないことを前提としています。

同社は2027年の公式なガイダンスを発表していません。暫定的な見解としては、リカーリング事業が2桁成長を維持し、リーシング事業は1桁台の増益を記録すると見込んでいます。新規買収を除くと、経営陣は現在、2027年の利益が過去最高となる2026年実績の±10%以内に収まると見ています。

リスクと注視事項

• 経営陣は2026年の業績見通し修正の主な理由としてマクロ経済のボラティリティを挙げ、取引の時期や完了に関する不透明感を強調しました。
• 高水準でボラティリティの高い金利が取引の完了を遅らせ、案件価格の再交渉を促し、還元利回り（キャップレート）の上昇圧力をかけており、これが不動産価値の下落要因となっています。
• ニューマークは、業界全体のキャピタル・マーケット取引高が少なくとも2027年上期を通じて圧迫され続けると見込んでいます。
• 経営陣の下振れシナリオでは、金利のボラティリティ長期化と米10年債利回りのさらなる上昇により、2027年のキャピタル・マーケット活動が20%〜30%減少する可能性があります。
• 経営陣によると、主要市場におけるクラスAオフィスの空室率はすでに1桁台となっており、テナント需要が健全であってもリーシングの伸びが制約される可能性があります。
• データセンタープロジェクトは地域の反対運動や政治的不透明感に直面していますが、経営陣によれば顧客はプロジェクトを中止したのではなく延期しただけであり、案件パイプラインは引き続き堅調であると説明しています。

アナリスト質疑応答の要点

キャピタル・マーケットの見通し： 経営陣は、近年の金利上昇により取引期間が長期化し、買い手や売り手が取引価格を再交渉する機会が生じていると述べました。基本シナリオでは状況の改善を見込んでいますが、下振れシナリオでは2027年を通じて金利ボラティリティが継続することを想定しています。

データセンター： ニューマークは、データセンターのリーシング活動の拡大と受電済み用地に対する継続的な需要を報告しました。経営陣は第3四半期における同セグメントの貢献度を数値化しませんでしたが、データセンター事業が拡大していると述べました。

投資戦略： ニューマークは、キャピタル・マーケット環境が弱含む可能性があるものの、マネージドサービス、海外展開、クロスセルへの投資を継続する計画です。経営陣は、既存の固定費に対して売上規模が拡大するにつれ、マネージドサービスの利益率が改善すると見込んでいます。

資本配分： 同社は、米国におけるキャピタル・マーケット・プラットフォームの構築をほぼ完了したため、より多くの資本を買収、特にリカーリング収益を生むマネジメントおよびサービシング事業にシフトさせています。2026年最初の9ヶ月間における従業員向け融資実行額は36.9%減少しました。

フリー・キャッシュ・フロー： 前年同期の約4200万ドルの和解益を除くと、第3四半期の調整後フリー・キャッシュ・フローはタイミングの理由から約10%減少しました。経営陣は、より好調な直近12ヶ月の実績を強調しました。

決算説明会トランスクリプト全文

決算説明会の完全なトランスクリプト

経営陣による説明

Operator

Good day, and welcome to the Newmark 3Q 2026 Public Financial Results Call. Today's conference is being recorded.

At this time, I'd like to turn the conference over to Jason McGruder, Head of Investor Relations. Please go ahead.

Jason McGruder

Operator, good morning. Newmark issued its third quarter 2026 financial results press release earlier today. Unless otherwise stated, the results provided on today's call compare only the 3 months ended September 30, 2026, with the earlier period. Except as otherwise stated, we will only refer to results on a non-GAAP basis, including terms of Adjusted EBITDA, adjusted earnings and adjusted free cash flow.

Unless otherwise stated, any figures discussed today with respect to cash flow from operations refer to net cash provided by operating activities, excluding the impact of GSE/FHA loan originations and sales. We may also use the term cash generated by the business, which is the same operating cash flow measure before the impact of cash used for employee loans.

Please refer to today's press release, the supplemental tables and the quarterly results presentation on our website for complete and updated definitions of any non-GAAP terms, reconciliations of these items to the corresponding GAAP results and when, how and why management uses them. For additional information on our cash flow measures as well as relevant industry or economic statistics.

The outlook discussed today excludes the potential impact of any future acquisitions and assumes no meaningful changes in Newmark's stock price compared with yesterday's close. Our expectations are subject to change based on various macroeconomic, social, political and other factors. None of our targets or goals beyond 2026 should be considered formal guidance.

Also remind you that information on this call contains forward-looking statements, including, without limitation, statements concerning our economic outlook and business. Such statements are subject to risks and uncertainties, which could cause our actual results to differ from expectations. Except as required by law, we undertake no obligation to update any forward-looking statements.

For a complete discussion of the risks and other factors that may impact these forward-looking statements, see our SEC filings, including, but not limited to, the risk factors and disclosures required regarding forward-looking information in our most recent SEC filings, which are incorporated by reference.

I'm now happy to turn the call over to our host and Chief Executive Officer, Barry Gosin.

Barry Gosin

Good morning. In advance, I'll apologize, I'm a little bit under the weather, but I'm happy to be here. Good morning, and thank you for joining us. With me today are Newmark's Chief Financial Officer, Mike Rispoli; and our Chief Operating Officer, Luis Alvarado.

Newmark once again generated strong top and bottom line improvement, including record third quarter revenues. Our growth was led by management and servicing, which increased 18%, leading to the company's fifth consecutive record quarter for these resilient businesses. We increased leasing by 26%, resulting in its all-time best third quarter. This was led by higher demand across artificial intelligence, data centers and other technology sectors as well as manufacturing, legal services, aerospace, defense and health care.

Our transaction pipelines remain active and robust. We continue to expect double-digit growth in revenues, adjusted EBITDA and adjusted earnings per share and anticipating achieving the best annual results for each of these metrics. However, the volatility in the macroeconomic environment creates challenges with regard to the timing and certainty of deal closings. And as a result, we are revising our 2026 outlook.

We remain confident that our investments in resilient service lines, ongoing international expansion, the strength of the company's brand and the continuing collaboration between our industry-leading professionals will together drive Newmark's long-term growth and market share gains.

I want to take a moment to talk about our accomplishments over the past 15 years. Newmark had a simple plan, elevate our brand by recruiting the industry's best talent, provide them with a differentiated platform, build credibility and earn our way into the rooms where decisions are made.

Starting in 2014, we chose to lead with capital markets because when you are advising a client on capitalizing the most important asset and portfolios, you are helping key decision-makers fully realize their business plans, and our strategy has worked. Newmark took its share of U.S. commercial and multifamily originations from under 2% then to around 10% now. We also moved up from #10 in U.S. investment sales in 2014 to #2 for the first 9 months of 2026.

Our success stems from our relentless focus on talent and from our professionals being innovative and entrepreneurial in everything they do. You have seen the same focus and market share gains across all of our businesses, including our recent strong growth in leasing and valuation and advisory. Over the last few years, we have used the sturdy foundation laid by these service lines to build out a growing suite of recurring revenue businesses.

As a result, we have successfully driven growth in the following areas: property, project and facility management, loan servicing and asset management, consulting, technology, advisory and lease administration and most recently, our fast-growing managed services solution for real estate lenders and investors. That is why recurring businesses increased from 24% of our total revenue in 2017 to around 40% year-to-date. We remain confident that management and servicing will produce more than $2 billion of annual revenue in 2029, which implies double-digit growth.

Our next chapter involves additional international growth. Over the coming 18 to 24 months, we anticipate further expansion of our global footprint across nearly all service lines. Today, we derive approximately 13% of our top line from outside the U.S., while our large full-service peers generate more than double or triple that percentage internationally. We view that gap as an opportunity. As we expand our geographic footprint, we also make Newmark a more credible alternative to win outsourcing assignments from large global occupiers. This has led to our occupier solutions teams competing in more pitches and being awarded more mandates.

Over time, our goal is for Newmark to be invited into every room with key decision-makers across nearly all of our service lines globally. Not only in New York and San Francisco, but in Berlin and London and Milan and Paris and Seoul and Sydney and Toronto and dozens of other major markets around the world. Based on our track record, I would not have bet against us.

Before I turn the call over to Mike, I want to briefly address Newmark's leadership. As previously announced, after 47 years, I am stepping down as CEO at the end of this year. I love this company. I will continue to be here to help through the transition. Both internal and external candidates are being evaluated, and we currently still expect to identify a new -- our new CEO by the end of the year. I'm confident in Newmark's senior leadership who collectively have decades of experience.

And with that, I'm happy to turn the call over to Mike.

Michael Rispoli

Thank you, Barry, and good morning. Total revenues were up 12.7% to an all-time third quarter best of $973.2 million compared with $863.5 million. We increased management services, servicing and other by 18.3%. This was led by robust organic growth from Newmark's expanding suite of outsourcing businesses as well as strong same-store improvement for valuation and advisory. Management services fees also reflect 6 acquisitions completed since the third quarter of last year.

Leasing was up 26.5%. This reflected higher fees from industrial and office across several key West Coast markets and Texas. Capital markets revenues declined by 4.4% as Newmark's 33.4% rise in investment sales volumes was offset by lower origination activity. Our investment sales growth was led by senior housing and affordable housing as well as higher industrial and retail volumes.

Our origination business faced a difficult comparison due to the 129.1% rise in our total debt volumes in the third quarter of last year. In addition, GSE industry activity declined by approximately 30% in the third quarter. Over the trailing 12 months, Newmark gained over 70 basis points of combined Fannie Mae and Freddie Mac market share year-on-year.

Moving on to expenses. Total expenses were up 13.5%. Without pass-through items, total expenses would have increased 10.8%, with a large majority tied to the increase in commission-based revenues and our global growth initiatives. Regarding taxes, the company's tax rate for adjusted earnings was 12.9% compared with 12.1% last year.

Turning to earnings. We increased adjusted EPS by 14.3% to $0.48 compared with $0.42. Adjusted EBITDA was $166.4 million, up 14.6% versus $145.2 million. With respect to share count, our fully diluted weighted average share count was 252.7 million, up 0.4% year-on-year. We repurchased 3.9 million shares for $59.4 million towards the end of the quarter. On October 28, 2026, Newmark's Board reauthorized the company's $400 million buyback program. Given our strong financial position and recent share price, we anticipate further share repurchases.

Turning to the balance sheet. We ended the quarter with $240 million of cash and cash equivalents, $877.5 million of total corporate debt and 1x net leverage. On a trailing 12-month basis, the company increased adjusted free cash flow by 16% to $336.8 million. A key reason we have improved our cash flow metrics has been our increased focus on M&A. In the first 9 months of this year, our employee loan issuance dropped 36.9% compared with a year earlier. We expect this trend to continue for the foreseeable future.

Turning to guidance. We have revised our outlook due to the challenging macroeconomic environment and its anticipated impact on transaction volumes. Our full year guidance for 2026 compared with a year earlier is now as follows: we expect total revenues between $3.7 billion and $3.8 billion, an increase of 12% to 15%. We anticipate Adjusted EBITDA in the range of $629 million to $667 million, an increase of 12% to 19%.

We continue to expect our adjusted earnings tax rate to be between 13% and 15% versus 11.4%. And we anticipate adjusted EPS between $1.80 and $1.90, up 11% to 17%. These results would be Newmark's best ever full year revenue, adjusted EBITDA and adjusted EPS performance.

While it is too early to discuss guidance for 2027, we wanted to provide some additional color on how we view the market moving forward. We expect the fundamentals of our recurring businesses to remain strong and continue to expect double-digit growth. We also expect leasing volumes to improve, albeit with single-digit gains as compared to this year's strong double-digit improvement.

We expect industry capital markets volumes to be down through at least the first half of next year, given the recent rise in the level and volatility of rates. Given that market view, there could be a wide range of outcomes in terms of Newmark's 2027 results. Excluding any new acquisitions, we currently believe our 2027 earnings will be plus or minus 10% as compared with our record 2026 results.

With that, I would now like to open the call for any questions.

Operator

[Operator Instructions] And the first question will come from Alexander Goldfarb with Piper Sandler.

質疑応答

Alexander Goldfarb

Barry, obviously, wishing you the best in -- I don't want to say retirement because I know you're going to stay busy and you love the business.

But your comment about the firm looking outside and inside, obviously, we've gotten to know a number of the inside folks, but you guys have a particular culture, very competitive, but very collegiate. How does the Board think about trying to bring in an outsider who would be new to Newmark versus promoting from within in terms of keeping that robust culture and the tightness intact?

Barry Gosin

We're basically evaluating all those things at the moment. And in the next certainly by 60 days, choice will be made.

Alexander Goldfarb

Okay. The next question is on the data center front, it continues to be a hot topic. As you guys speak with your clients, and we've seen more pushback politically across the country, how is this tangibly manifesting into deal flow? Are you seeing projects being pulled? Or is this more about future deals that aren't even near coming to fruition being pulled back? I'm just trying to understand the practical implication on the field versus what all the headlines are.

Barry Gosin

I mean the fact that the election is next week has some impact on what's happening. The NIMBYism that is occurring around the country, I believe, will be temporary. Whether it's community development agreements, data centers deploying additional power to the grid in local communities, dealing with creating more jobs. I mean, things are just being pushed.

Our pipeline is incredibly robust. I mean the pipeline is there. We -- obviously, we -- the macro environment is a little confusing. So we're just being conservative about what the certainty is. But nothing has been -- nobody has walked from the table. They've just moved the table.

Alexander Goldfarb

Okay. And then finally, Mike, on the free cash flow, I may have -- you talked about broker loans, I think, or something of that sort, but can you just walk back through ex settlement, why the adjusted free cash flow declined in the third quarter year-over-year?

Michael Rispoli

Yes. In the third quarter alone, the -- if you remember last year, we had the settlement, which is about $42 million that was a positive impact last year. We're down about 10% if you take that out, and that's really just timing. There's nothing specific going on, on a trailing 12-month basis. We're up almost 36% free cash flow, and we always look at that metric on an annual basis. So there'll be quarters where it might be down a little or it might be up a little. But when you look at it on a trailing 12 basis, it's performing better than our earnings performance.

Operator

And our next question will come from Jade Rahmani with KBW.

Jade Rahmani

Just wanted to ask about the 2027 comments. I mean, what scenarios would push earnings to be down 10% because you've got 40% of the business management services and about 30% leasing. So that's the preponderance of it. And capital markets could be down, you said in the first half, but maybe it stabilizes and then grows in the second half. So I guess what's the -- are we in a much worse scenario that gets earnings to be down by that magnitude?

Michael Rispoli

Sure, Jade. It's all about the capital markets business because as you rightfully noted, we have a management business, the servicing business that will continue to grow double digits. The leasing business, we think will be -- will grow, it will just grow at a little bit of a slower pace than this year. And it's really all about capital markets.

So a downside scenario would be a sustained interest rate volatile environment, continued increase in the 10-year treasuries and volatility in that rate that sustains through the balance of next year, that could drive capital markets down probably in the 20% to 30% range. That's a downside scenario.

An upside scenario is there's some pain in the first half of the year and things get better in the second half. As you know, fourth quarter is usually the largest capital markets quarter. So if things improve in the second half of the year, we could perform towards the higher end of our range.

Jade Rahmani

Wow, down 20% to 30%, that seems quite stark when you look at office has gone through a multiyear cycle and fundamentals are improving. Industrial is seeing a secondary use case with data center storage of all the components, advanced manufacturing, retail doing quite well, hospitality as well. So multifamily seems to be the main challenge, about 35% of the market. So I think your capital markets comments seem a bit severe.

Michael Rispoli

Again, that's -- we gave a pretty wide range because I think there's a pretty wide range of outcomes that could happen in the market. And the base case is that things get better, and we have a pretty good year next year.

Jade Rahmani

Good luck to you, Barry. Hope to still be in touch, too.

Operator

And the next question will come from Julien Blouin with Goldman Sachs.

Julien Blouin

Yes, I wanted to go back to the capital markets comment. I guess what are you seeing on the ground so far in October that sort of maybe informs this view of sort of a wide range of potential outcomes certainly to the downside. Are you seeing real signs of pause in activity levels? Because I do feel like we've heard sort of differing takes across your peer set in terms of how much of an impact we should expect?

Lou Alvarado

Yes, Julien, this is Lou. Look, we definitely saw deals taking longer to close. I think when -- there are attack -- rates moved up another 50 basis points and the 10-year went up, it gives people either an opportunity to retrade deals or to wonder whether they should go to the market. We do believe that and we'll continue to advise our clients that I think we're living in the rate level that it's going to be, and therefore, this is a good -- is as good a time as anything if you're going to go to the market to go to the market.

But definitely, the spike in rates has also had a spike on cap rates, right, which then also on top of everything, the values go down. So that's primarily where we're looking at. We're looking at probably a little slower first and second quarter depending on how the elections go and how the rates go, and then also that continued pressure on cap rates because everybody is looking now on even the lenders on, hey, what's the exit cap rate going to be if I make this loan, right? So those are really what's driving a lot of the decision making.

Julien Blouin

That makes sense. And as we enter sort of a more choppy period potentially for capital markets, does that change at all how you're thinking about reinvesting into the business? And if not, how should we think about the potential for decremental margins sort of on the way down if we do sort of hit more severe scenarios in capital markets?

Lou Alvarado

Yes. I mean, look, I don't think it changes our -- how we invest in the business. We've said that we're going to continue to invest in growing our managed services, which work hand-in-hand, frankly, with capital markets and leasing, right? It's primarily about driving that cross-selling of the services that we provide and driving our platform. As we drive that business more, that margin improved significantly because there's -- we've spent a fair amount of money.

So there's some fixed costs related to that business that as we continue to grow the revenue, we will further enhance the margin. Capital markets is not going away. It will still be a driver, and there will still be a way of how we get in front of the folks. And leasing will continue to help drive the cross-selling of our managed service platform, whether it be facilities, lease admin, workplace and so forth.

So I'm not really as concerned about that overall for the plan, and I'm not really worried that we're going to change our investment. We're going to continue to invest. We're going to continue to grow the platform. We're going to continue to grow globally. And I think we're in a really good path. And sometimes these things create tremendous opportunities for us to invest and grow the business.

Julien Blouin

All right. Great. Feel better, Barry.

Barry Gosin

Thank you.

Operator

And we'll take a question from Brendan Lynch with Barclays.

Annabelle Ayer

This is Annabelle on for Brendan. Thank you for your commentary on leasing expectations for 2027. How do you think about the contribution from different subsectors as availability in office and industrial start to tighten, but you start winning more data center leasing deals?

Lou Alvarado

Yes. I mean I think we have been doing more data center leasing deals. I still think there's a lot of running room still for powered land and so forth. As far as leasing, we've been driving our leasing has continued to grow, and that's also helped grow our managed services, right, the support that goes with it. The challenge for leasing, frankly, is going to be that the demand is still at the Class A level and the vacancy rates at the Class A level are in the single digits across all the major markets.

So it's really more of a, where is the product that we can put people in. There's certainly a lot more investment going in and taking B buildings to A level so that they can become an attractive option for tenants. But that's really where we see the potential slowdown, not slowdown, but just bump in the leasing and why we think it won't grow as fast as it has in the past.

Annabelle Ayer

Okay. Great. And then can you just quantify how much data centers contributed to the leasing volume in the third quarter, given that they can be a bit lumpy?

Michael Rispoli

Yes, we had some nice data center leases in the quarter. That part of the business for us seems to be ramping up, but we haven't put any specific numbers around it at this point.

Operator

And the next question will come from Patrick O'Shaughnessy with Raymond James.

Patrick O'Shaughnessy

How would you compare kind of the current market impact from the move higher in interest rates versus what the industry saw in 2022?

Lou Alvarado

Yes. I mean I think in 2022, everybody was saying stay alive until '25, I think today, we're looking at a market where this is what it's going to be, here it move 50 basis points here and there, but there's no -- unless you have a really well-leased building that's got long-term and you want to hold, I think everybody is going to have to play in this arena. It's just getting the price discovery between where the sellers and the buyers are to kind of meet, right? So there's -- it's very different than it was in '23.

Patrick O'Shaughnessy

Got it. That's helpful. And then can you remind us why the capital allocation philosophy has kind of shifted away from hiring and lift-outs and towards M&A?

Michael Rispoli

Sure. We probably started talking about this 18 to 24 months ago. The main reason is we spent a lot of time building out our U.S. platform, in particular, and filling a lot of the major gaps that we had on the capital market side. When we got to the end of that, and we're never completely done, but when we got towards the end of that, and we had enough talent to execute business in all major asset classes, we shifted more towards M&A and M&A mainly has been in the recurring revenue businesses.

As we mentioned, we've acquired 6 companies in the past almost year, and all of them, I believe, have been in the management and servicing business. So that shift started. It doesn't mean we're not hiring talent. It just means that the majority of our capital will go towards M&A and the recurring businesses.

Operator

[Operator Instructions] Our next question comes from Mitch Germain with Citizens Bank.

Mitch Germain

I'm curious, I think, Mike, you might have mentioned that GSE has seen a reduction there. Do you expect a bit of a pickup in 4Q? I know that there are certain levels that they have each year. So I'm curious how you think that plays out.

Michael Rispoli

Yes, we're not seeing that. It's interesting. If you look at our volumes in multifamily debt, in particular, our volumes overall were up. It's just that the activity shifted from GSE to non-GSE debt. So I don't really see the GSEs getting to their caps this year. And the market seems to be -- continue to be a little bit down in the fourth quarter. We'll see what happens next year. I know they have a mandate to push more volumes through the GSEs. But hopefully, that will pick up as we move into '27.

Mitch Germain

Great. And obviously, you've got this dynamic playing out in -- within the investment sales market, given what's happened in the interest rate environment. But I'm curious, like, when you look at some of the M&A deals that you guys are in the midst of negotiating, does this sort of backdrop create an opportunity? Or does it create a repricing and maybe delay deals there as well?

Barry Gosin

I mean, we are incredibly ensconced in the large institutional size portfolios, M&A and deals. And that's probably one of the -- some of those deals just take longer. And in a volatile time, they're not -- they're going. They continue to go forward. And that side of the business is a little lumpy, but it's hard exactly to predict when they close. And -- but nothing has left the field.

Operator

Thank you. And that does conclude the question-and-answer session. I'll now turn the conference back over to Barry Gosin, CEO.

Barry Gosin

So thank you for joining us, and I really look forward to seeing all of you next quarter.

Operator

Thank you. That does conclude today's conference. We do thank you for your participation, and have an excellent day.