7.27.21
The Wall Street Journal reports that commercial real-estate (CRE) sales this year have rebounded to pre-pandemic levels fueled by historically low interest rates and improved investor economic outlook. Multifamily properties have taken the lead with the largest sales volume this year at $92 billion, and overwhelmingly outside large cities. Investors see rents and occupancy levels remaining strong amid demand from people locked out of the housing market due to rising prices. However, the CRE rebound has largely passed by sectors like shopping malls and particularly office buildings. Market observers have found that investors have lost interest due to diminishing tenant demand amid many Americans shifting to work from home on a regular basis.