US Commercial Property Outlook Substantial upgrades to industrial and apartments this year The economic recovery continues in earnest, but this is raising questions about quite how transitory the current high rates of inflation are. We think that core inflation will stay elevated, which... 10th June 2021 · 24 mins read
US Commercial Property Data Response US Metro Employment (Apr.) Employment growth in the three-months to April was positive in all 30 of the largest metros. However, the rate of growth remains slow as labour shortages weigh on the jobs recovery. As a result, total... 2nd June 2021 · 2 mins read
US Commercial Property Update Austin and Seattle set to slide down the office rankings Although office values have held up well in tech hubs such as Seattle and Austin, they have also seen some of the largest falls in occupier demand. Further substantial reductions in floorspace by tech... 1st June 2021 · 3 mins read
US Commercial Property Update How far could industrial yields fall? Industrial yields look likely to reach our end-2021 forecasts by mid-year, leading us to re-evaluate the outlook for pricing. Although gains in rents and capital values are driving increased... 26th May 2021 · 3 mins read
US Commercial Property Valuation Monitor Rising Treasury yields to squeeze valuations further Following a sharp increase in Treasury yields, property valuations worsened for the second consecutive quarter in Q1. And we expect 10-Yr Treasury yields to resume their upward trend to reach 2.25% by... 21st May 2021 · 6 mins read
Canada Data Response Retail Sales (Mar.) After reaching a record high in March, the preliminary estimate suggests that the lockdowns caused retail sales to slump in April. There is likely to be only a small rise this month given stores have... 21st May 2021 · 3 mins read
US Commercial Property Update ULI Consensus Forecast (Spring 2021) Consensus forecasts for the next two years have been revised upwards, largely driven by a more upbeat view on the industrial sector. As a result, we are now more downbeat than the survey respondents... 19th May 2021 · 2 mins read
Canada Data Response Consumer Prices (Apr.) The large 0.6% m/m seasonally-adjusted rise in prices in April shows that the jump in inflation to 3.4% was not due to base effects alone. With firms’ selling price expectations elevated, we expect... 19th May 2021 · 2 mins read
Capital Daily Assessing the market implications of slower growth in China We think slowing economic growth in China – highlighted again by today’s economic data – has several key implications for the country’s financial markets. 17th May 2021 · 6 mins read
US Commercial Property Data Response Commercial Property Lending (Apr.) Outstanding commercial real estate debt nudged higher in April. And with the vaccine rollout allowing more of the economy to reopen and lending standards set to loosen, we expect to see further gains... 14th May 2021 · 2 mins read
US Housing Increased demand for larger apartments to persist Increased demand for larger apartments to accommodate working from home is already evident in NYC, where the inventory of units with two or more bedrooms has seen a sharper decline compared to smaller... 14th May 2021 · 3 mins read
US Commercial Property Chart Pack Apartments starting to recover; offices deteriorating The economic recovery looks well-set, which should support occupier markets. However, structural change in the office sector means that occupier demand continues to fall, even while the beleaguered... 13th May 2021 · 13 mins read
US Commercial Property Update Is there scope for office to residential conversions? There currently appears to be little economic scope for conversions to residential across the six major office markets. But our forecasts of falling values and rising vacancy in the office sector... 7th May 2021 · 3 mins read
US Commercial Property Data Response RICS Commercial Market Survey (Q1) Weakness in office and retail occupier demand weighed heavily on market sentiment in Q1. Commercial property agents are therefore downbeat about rental and capital values in these sectors over the... 29th April 2021 · 2 mins read
US Commercial Property Data Response US Metro Employment (Mar.) Employment growth in the three-months to March was positive in almost all metros, but those in southern states tended to be the better performers. With Miami’s hospitality sector performing... 28th April 2021 · 2 mins read
US Commercial Property Data Response NCREIF Property Index (Q1 2021) All-property total returns rose again in Q1, driven by improvements in all sectors, although retail and hotel returns were again negative. But the industrial sector boom continued, with six-month... 27th April 2021 · 3 mins read
