Summary
The recent SIOR commercial real estate index findings on national industrial and office transactional data clearly points to continued weakening. Optimism for practitioners as well as expectations for the rest of 2008 has to be tempered with market realities.
Analysis
Given the data from the report, things look weaker for the rest of 2008, and perhaps beyond. With the CMBS market virtually dried-up, continued credit tightening from other sources along with most end-users in a wait and see attitude, market leasing transactions will be significantly lower than in the recent past. Investment sales will also take a hit.
I agree that by all metrics, the commercial real estate market is on a downward slope. For practitioners in the leasing and sales side, better tighten your seat-belts, were in for a bumpy ride.
This author consults with leading institutions through GLG
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
