Capital flows in the second quarter of 2009 dipped to a new low as investment managers focused on shoring up existing portfolio assets or decided to sit tight until property values adjust even lower. Managers reported acquisition activity of only $3.29 billion during the three-month period, according to Institutional Real Estate, Inc.’s Investment Manager Capital Flows Survey Results. Of the 39 firms that responded to the survey, only 13 completed acquisitions during the second quarter. The quarterly deal volume represents the lowest activity level since the survey’s inception in 2005. On the dispositions side of the ledger, 15 firms were involved in property sales totaling $2.45 billion.

Nearly 62 percent of the 154 property acquisitions completed during the quarter were categorized as core or core-plus investments. Approximately 67 percent of the dispositions were made by opportunity funds.

Office properties accounted for $1.23