In the 1990s, when regional malls held sway in American culture, the mega-sized Galleria and NorthPark Center were prominent features of Dallas’s retail landscape. Fast forward 20-30 years, and retail real estate has followed Dallas’s explosive population growth northward.

Our analysis uncovers a more evolving understanding of how domestic production or onshoring influences the industrial real estate market. It challenges sector stakeholders to abandon broad-stroke assumptions and further examine the impacts of shifting trade dynamics on warehouse demand.

For the first time since 2006 the retail availability rate across America’s central business districts (CBD) today is higher than in the suburbs. Chalk it up to another enduring effect of the rise of remote work.

With record home prices and rising interest rates, more and more people have chosen to rent. It is likely that mortgage rates will ease in coming quarters providing some relief to homebuyers.

Multifamily vacancy rates, currently hovering near pre-COVID levels, are poised to increase. A moderate recession—which we believe will begin later this year—will temper household formation and lead to higher vacancy in every major market.

Multifamily vacancy rates, currently hovering near pre-COVID levels, are poised to increase. A moderate recession—which we believe will begin later this year—will temper household formation and lead to higher vacancy in every major market.

It is widely believed that Industrial real estate clusters along highways. We analyzed metro Atlanta, an important logistics hub serviced by multiple interstates and state highways, to test this hypothesis.

Transaction activity is down due to wide bid-ask spreads. Meanwhile, REIT implied cap rates have increased sharply, particularly for office space, as manifested in significant discounts to NAV.

Between 2023-2025, CBRE Econometric Advisors (CBRE EA) forecasts office owners will face a financing gap of $72.7 billion (26.4% of the lending volume originated in 2018-2020). This will likely lead to distress for some property investors and force others to inject more cash into their properties.

The industrial sector saw a 70-basis-point increase in availability in the first quarter. Nevertheless, availability should remain below historic norms for the foreseeable future, a fact that distinguishes industrial from most other property types.

Is every real estate deal unique? Or does each deal provide a point in a broader spatial pattern? To answer these questions, CBRE Econometric Advisors (CBRE EA) mapped all the industrial property sales in Southern California over the past two years and then applied geospatial analytics to identify trading patterns.

Many multi-asset investors use real estate investment trusts (REITs) to gain or supplement their exposure to property without purchasing the underlying asset. However, over short time-horizons REITs can often mirror the volatility of the broader securities market rather than the steadier, income-driven performance of private equity real estate.

Commercial real estate (CRE) is facing cyclical headwinds. Asset values have eroded this year due to the impact of rising interest rates and cap rates on equity and debt availability and underwriting. The stark interest rate risk has overshadowed CRE fundamentals for the time being. But we expect values will begin stabilizing later this year.

As a subscriber of CBRE Econometric Advisors, you have exclusive access to the underlying data of our recently published H2 2022 Cap Rate Survey. The survey, reflecting 3,600 cap rate estimates, sheds light on how investor sentiment is changing amid uncertain market conditions.

Had retail space been overbuilt in previous cycles? Is it just now reaching supply-demand equilibrium?

Fiscal stimulus is in the rear-view mirror, excess savings are quickly dwindling and consumers must contend with higher interest rates.

Products manufactured in the U.S., and the markets where they are manufactured, continues to evolve. Looking at how each metro’s share of U.S. manufacturing employment has changed since 2010 provides a glimpse into this evolution.

With the release of the 2020 Census data, we can compare actual versus expected population growth for the 2010-2020 period.

When it comes to cutting carbon emissions at commercial buildings, timing may not be everything, but it means a great deal. The longer a property owner waits to begin lowering emissions, the higher an asset’s carbon budget will be.

Just how vulnerable are real estate markets to natural hazards? We looked to Miami—a city associated with strong tropical storms and at the frontier of climate change—to analyze vulnerability. Going forward, CBRE Econometric Advisors will be using the power of maps to view real estate in a new dimension.

The United States office sector faces a large aggregate future funding gap in the near-term due to lower LTVs and substantial value erosion.

The sooner commercial properties begin the process to become net zero by 2050, as called for in the Paris Climate Agreement, the sooner property owners can realize the benefits of limited carbon footprints and lower energy costs.

Working toward net zero is not elective. Climate change will prove disruptive for property owners and occupiers. In this Viewpoint CBRE EA will share some of our views on transition risk.