Pricewaterhouse Coopers Korpacz Real Estate Investor Survey says,
“Even though the underlying fundamentals of commercial real estate are still sound, there are noticeable cracks forming in the foundation … As a result, there is a palpable sense of uncertainty among investors we spoke with and surveyed this quarter.”
The report is concerned with the following areas:
Retail: “Regions with significant population growth report relatively strong results, including West Coast markets such as Orange County, Los Angeles, Seattle, San Francisco and San Diego, as well as certain infill areas such as Suburban Maryland and Northern Virginia.”
Warehouse: New York City, San Diego , Los Angeles, Orange County California are of concern because the high costs per square foot.
"Unexpected job losses in January and February -- particularly in the financial industries -- are beginning to have an impact on office space demand in a number of markets," said Tim Conlon, U.S. real estate leader for PricewaterhouseCoopers. "At the same time, widespread cutbacks in consumer spending are causing more pain for the nation's retail sector."
Comments