New Year, New Commercial Real Estate Outlook!

January 1, 2025

After a tough few years for the office market—including industrial and multifamily sectors being brought back to reality—the commercial real estate industry is starting to see quite a positive outlook for the coming year.  Happy New Year to all of us (especially those of us in the office sector)!
 
Let’s break down the trends that matter most for CRE professionals right now:

— CRE owners are starting to be optimistic about 2025. 60% expect a 5% growth from last year.
— Interest rates continue to be the #1 issue on everyone’s mind.
— Office space remains out of favor and at the bottom of lenders and capital markets.
— Industrial is the most favored class and student housing the least favorable.

2025 is shaping up to be a nice transition year for the overall CRE market, but success won’t come without effort. With the right strategies, CRE professionals can turn optimism into real opportunity.  We will be here to talk strategy, just like we have been for the last 41 years.  Keep our names in mind for CRE advisory and brokerage services.
 
Check out the cool graph on 2025 trends below and read the full report linked here.

 

 

 

Click here to view the full-size graphic.

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