Both Recent and Long-Term Trends Reshape the Landscape of Office Investment Sales
From the vantage point of 2024, it is easy to forget that office space was once the crown jewel of the commercial real estate investment market. That picture was changed considerably by the long-rising fortunes of other property types, combined with the uncertainty about the future of office demand.
In 2007, as the industry unwittingly hovered on the brink of a severe downturn, office properties made up $187 billion, or 44% of all commercial property sale transactions, by far the most among the five major property types. By comparison, multifamily trades constituted 20% of activity, while retail deals accounted for 16%, outpacing industrial at 13% and hospitality at 8%...
In 2007, as the industry unwittingly hovered on the brink of a severe downturn, office properties made up $187 billion, or 44% of all commercial property sale transactions, by far the most among the five major property types. By comparison, multifamily trades constituted 20% of activity, while retail deals accounted for 16%, outpacing industrial at 13% and hospitality at 8%...
RSK: They say the trend was on its way before the pandemic...probably because office space was a bit over built at the time. Covid was just the nail in the tire that let all the air out.
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- - Volume: 24 - WEEK: 13 Date: 3/26/2024 2:38:34 PM -