Commercial Real Estate Prices Grow, Led by Industrial and Multifamily Properties
Originally published on July 7, 2022, by Michael Tucker for Mortgage Banker's Association.
Real Capital Analytics, New York, reported U.S. commercial property price growth held steady in May, supported by price gains in the industrial and apartment sectors.
The RCA CPPI National All-Property Index rose 1.1 percent in May. It is now up 18.6 percent from a year ago, slightly below the record-high annual price growth seen in early 2022.
RCA said industrial prices have climbed 28.6 percent from a year ago, a record annual rate for this sector, and rose 1.8 percent from April. “Prices on traded properties have remained robust even amid signs of a potential cooling in the market, as industrial deal volume retreated for a second straight month in May,” RCA said in its monthly CPPI report.