NAR Chief Economist, Dr Lawrence Yun, predicts high vacancy rates and ubiquitous commercial rent concessions. Slight employment improvements will help absorption rates for office/warehouse space, and SIOR’s (Society of Industrial and Office Realtors) recent survey confirms the forecast of easing in this sector. More than half the members of SIOR® expect an improvement in Q2 2010. Rents are down for Office, Industrial, Retail and Multifamily, but not by as much as in Q4 -2009, and the trends are improving slightly. To read the February Commercial Forecast and table on specifics of four commercial sectors. Read more…
COMMERCIAL PROPERTY VALUE CONUNDRUM – AN OPPORTUNITY
The impact of reduced property values has meant limited refinancing capacity and lending on new purchases will continue to put pressure on commercial real estate values. Yet, with significant equity, it’s simply the best buying opportunity for commercial real estate since 1988/89. Fortunes will be made by some in this market and it’s also a time for property owners to vigorously appeal property taxes. Read more…
