Originally published on March 6, 2022 by Michael Tucker for Mortgage Bankers Association.
Real Capital Analytics, New York, reported U.S. commercial property price growth continued to appreciate at a double-digit pace in January.
Originally published on February 16, 2022, by Michael Boonshoft for Cushman & Wakefield.
Cushman & Wakefield, a leading global real estate services firm, today released a construction report, surveying 24 select office projects currently under construction in 12 major U.S. markets and Toronto. The report finds that new construction is commanding a significant rent premium of 64% over average Class A submarket rents, and 20% over existing top-tier trophy assets.
Originally published on February 16, 2022, by Cole Mortland for CBRE.
Investment in U.S. life sciences real estate increased by 62 percent last year, with further growth of at least 10 percent expected in 2022, according to a CBRE research report.
Originally published on February 8, 2022 by Rose Quint for NAHB.
Supply-chain bottlenecks that put upward pressure on home prices along with rising interest rates contributed to housing affordability falling to a 10-year low. The likelihood of higher interest rates in the months ahead (as the Federal Reserve moves to tighten interest rates) along with ongoing production challenges threaten to drive housing affordability even lower in 2022.
Originally published on January 20, 2022, by Haley Luther for STR Global.
The U.S. hotel sector reported an average daily rate of $124.67 per available room in 2021, which is still 4.8% lower than what was reported pre-pandemic, but an improvement over 2020, STR reported Jan. 20. In terms of occupancy, Tampa, Florida, reported the nation’s highest annual rate of 68.4% while Minneapolis had the lowest rate of 44.4%
Originally published on January 11, 2022, by Michael Tucker for Mortgage Bankers Association.
Green Street, Newport Beach, Calif., said its commercial property price index increased 24 percent in 2021 with robust price appreciation occurring in virtually every corner of the CRE market.
Retail real estate continues to recover, with growing interest in the Sunbelt states and the suburbs; urban retail is expected to rebound once office workers return and tourism picks up, JLL reported Dec. 6 in its Retail Recovery report. Open-air shopping centers remain the sector’s strongest assets, and as for indoor malls — the good ones are here to stay.
Originally published Q3 2021 by the Boulder Group.
Cap rates for the single-tenant, net lease medical sector compressed 55 basis points during the third quarter to 5.95% when compared to the same point a year ago, The Boulder Group reported Dec. 2 in its Q3 Net Lease Medical Report. The overall net lease market, comprised of retail, office and industrial, was down 23 basis points year-to-year.
Originally published on November 30, 2021, by Patrick Sisson for Bisnow National.
A majority of commercial real estate employees expect to be working “completely or partially virtually going forward,” according to a new survey and report released by Deloitte.
Originally published on November 17, 2021, by Michael Tucker for Mortgage Bankers Association.
CBRE, Dallas, reported commercial real estate lending activity surged in the third quarter, reflecting rebounding property acquisitions activity.
Originally published on November 17, 2021 by Prashant Gopal for Bloomberg | Quint.
(Bloomberg) -- U.S. apartment building sales have jumped to record levels, outpacing all other forms of commercial real estate. Deals totaled $241.9 billion in the 12 months through September, up 27% from the same period in 2019, according to a RealPage Inc. analysis of data from Real Capital Analytics Inc. going back to 2001. Apartments accounted for 44% of all transactions, the most for any commercial-property type.
Commercial real estate tenants say they are more likely to increase their space next year than decrease it, with around 70% reportedly looking to expand, the Visual Lease Data Institute reported Nov. 10 in its new commercial real estate outlook. Most tenants and landlords expect rent prices to be the same or slightly higher next year.
Originally published on November 1, 2021, by Frank Nothaft for CoreLogic.com.
Much like other parts of the U.S. economy, commercial property sales fell when the pandemic began. By the second full month of the pandemic, settlements on commercial real estate transactions were about one-half the prior year’s level, hitting a 10-year low in May 2020 and down nearly 50% from one year earlier.
Originally published on October 27, 2021, by the Urban Land Institute.
The Fall 2021 ULI Real Estate Economic Forecast for 2021 to 2023 gives high-level projections of recovery to pre-pandemic levels for many U.S. real estate indicators by 2023, but with reasons to celebrate for equity REIT investors and significant disappointments for the hotel sector.
Originally published by The Boulder Group in Q3 2021.
Cap rates in the single-tenant drug store sector decreased by 59 basis points to a new historic low rate of 5.80% in the third quarter of 2021. New historic low cap rates levels for CVS and Walgreens of 5.15% and 5.40% respectively were the primary driver of the compression. Rite Aid cap rates were compressed by 40 basis points to 7.40% but did not reach their prior historic low (2008). Investor demand for essential retailers carried over from 2020 into 2021, propelling cap rates for all three major tenants in the single-tenant drug store sector lower.
Originally published by Michael Tucker on October 26, 2021, for Mortgage Bankers Association.
CBRE, Dallas, said the flex-office sector is poised to benefit as companies adapt their office portfolios to accommodate more flexible work practices.
Originally published on October 20, 2021, by Joy Wiltermuth for MarketWatch.com.
Here comes more trouble for embattled U.S. shopping malls.
Originally published on October 17, 2021, by Michael Tucker for MBANewslink.com.
No property type’s fundamentals have rebounded as swiftly as the hotel sector’s, reported Colliers, Toronto.
Originally published by Paul Fiorilla on October 14, 2021, for CommercialSearch.com.
Low-interest rates, increasing transaction volume and pent-up demand for short-term debt on transitional properties have contributed to a surge in mortgage origination in 2021.
Originally published on October 14, 2021, by the Urban Land Institute.
PwC US and the Urban Land Institute (ULI) today released Emerging Trends in Real Estate® 2022, highlighting the evolving trends shaping the real estate industry. The report, which includes proprietary data and insights from nearly 1,700 leading real estate industry experts, explores how the property sector has seen encouraging and unprecedented recovery from the Covid-19 pandemic.
