While underlying fundamentals remain positive and continue to support all commercial real estate sectors, ongoing tight loan availability and a slowdown in job creation has softened growth in some areas, says the NAR quarterly commercial real estate forecast.
Exports and jobs
NAR Chief Economist Lawrence Yun finds mixed results among the commercial sectors. “Job creation in the second quarter was about half of what we saw in the first quarter, which is moderating demand in the office sector,” he said. “Industrial and warehouse space is holding on better because imports and exports have advanced. While exports to Europe generally are down, trade has been robust with India, China and other Asian nations, along with Brazil, Mexico and our strongest trading partner – Canada.”…Continue reading
