Legendary value investor Seth Klarman is eyeing opportunities in real estate ahead of a potential economic slowdown, he said in a Tuesday interview with CNBC.

“We think real estate is an area that is full of so many fundamental challenges, but the fundamental challenges have caused urgent selling. You can see a pullback in lending, you can see vacancies in office, troubles in retail for years and years. And so that doesn’t automatically make it interesting. But it may mean that as other people abandon it… there may be opportunities to buy,” he said.

Klarman’s Baupost Group, which manages about $25 billion in assets, is uniquely positioned to take advantage of the situation amid heightened volatility and a crisis in commercial real estate, according to Klarman.

Source: Business Insider