Business Monitor International (BMI) just released its United States Real Estate Report for the second quarter of 2012 and optimism is definitely in the air. The report notes that although conditions looked bleak at the end of 2011, a positive outlook has buoyed the market and that commercial real estate continues improvement.
BMI’s Findings
Things are definitely looking up!
- Industrial is leading the recovery, with vacancy rates declining and new developments rising
- Office and retail rental rates are at healthy levels
- The U.S. GDP growth should increase about 2 percent by the fourth quarter of 2012
- Prime office markets remain popular
- Employment in the commercial real estate sector is improving, particularly in the office market
- Tourism levels are increasing, resulting in a plethora of new hotel projects
- Europe’s unpredictability is driving investors stateside
- Speculative development is picking up
These trends are likely to hold steady through the end of 2012, which will hopefully result in stabilization across the commercial real estate board. The only question now is where do you get started?