How Markets Across the U.S. Are Fairing
The economic uncertainty brought on by COVID-19 is unlike anything the real estate industry has experienced. The effects have been wide-ranging and have caused massive disruption to daily lives and businesses, including commercial real estate.
Just a couple months ago, the economy was doing great, unemployment was at an all-time low, and real estate fundamentals were solid. The pandemic has already led to the fourth largest decline in global GDP in the last century.
The good news, pandemics cause a decline in borrowing costs and a rise in private savings, and CRE economists don’t think the downturn will be as bad as the 2008 financial crisis. The Urban Land Institute’s latest Real Estate Economic Forecast shows a short-lived recession and above-average GDP growth in 2021 & 2022.
The following article will look at how regions across the United States are faring relative to commercial real estate sectors. Here’s a peak the West Region’s performance.