Commercial real estate outlook

Fundamentals have been impressively resilient in the face of higher rates and new supply, but financing costs are driving a wedge between buyers and sellers.

CRE investor sentiment seems to be perking up, even as high rates continue to challenge the market.

The U.S. commercial real estate market enters 2024 balancing hopes for a better year with fears of a more significant downturn.

Countervailing forces continue to define today’s CRE market, with the push of higher interest rates opposed by the pull of impressively resilient fundamentals.

Will the CRE correction continue until prices normalize or is the downturn taking us for a bumpier ride?

The correction in U.S. commercial real estate continues, with ultra-low interest rates and abundant liquidity coming to an abrupt end. The market now must come to grips with a world in which capital is more expensive.