Contact Us

CBRE Chief Economist: Slow Improvement Is Extremely Healthy For Commercial Real Estate

CBRE Econometric Advisors Chief Economist Jeffrey Havsy

US commercial real estate showed strong demand in Q4 across all asset classes, continuing a six-year trend of declining office vacancy and industrial availability, a CBRE report says.

Both office vacancy and industrial availability dropped 20 bps over Q413.2% and 9.4%, respectively, with neither seeing a rise in those numbers over the past 23 quarters. 

“Commercial real estate remains in a ‘goldilocks’ state with both demand and supply neither too hot nor too cold,” CBRE chief economist Jeffrey Havsy (pictured) tells Bisnow.

Retail availability dropped 10 bps, to a total of 210 bps below its post-recession peak of 13.3%. Jeff says a slow, stable improvement is "extremely healthy for the sector."