The REALTORS® Commercial Real Estate Market Survey measures quarterly activity in the commercial real estate markets. The survey collects data from commercial REALTORS®. The survey is designed to provide an overview of market performance, sales and rental transactions, along with current economic challenges and future expectations
2015.Q1 Survey Highlights
- 60% of commercial REALTORS® closed a sale.
- Sales volume rose 11% from a year ago.
- Sales prices increased 4% year-over-year.
- Cap rates averaged 7.8% during Q1.2015.
- Leasing volume advanced 5% from previous quarter.
- Leasing rates increased 3% over previous quarter.
- Concession levels declined 4% on a quarterly basis.
- Inventory shortage topped the list of current challenges, followed by buyer-seller pricing gap and local economies.
- The estimated average transaction increased from $1.6 million in Q4.2014 to $1.7 million in Q1.2015.
The REALTORS® Commercial Real Estate Market Trends measures quarterly activity in the commercial real estate markets, as reported in a national survey. The survey collects data from REALTORS® engaged in commercial real estate transactions The survey is designed to provide an overview of market performance, sales and rental transactions, along with information on current economic challenges and future expectations.
Real gross domestic product (GDP) clocked an annual rate of $16.3trillion in the first quarter 2015, based on the first estimate of theBureau of Economic Analysis. On an annual basis, the economy grewat 0.25 percent. As revisions to the figure are expected in the followingmonths, possibly crossing into negative territory, the bottom line is thateconomic growth for the first quarter was flat at best. On the upside,employment trends and consumer confidence continued on an upwardcurve during the quarter.
Commercial real estate proved resilient during the quarter, withREALTORS® reporting continued improvement in fundamentals andinvestment sales. Sales of commercial properties rose 10.6 percent ona year-over-year basis, a quickened investment pace compared withthe 9.5 percent increase from the prior quarter.
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By: George Ratiu (National Association of REALTORS®)
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