Market Measure

By Suzann D. Silverman

Editorial Director Suzann D. Silverman

Midway through 2017, the commercial and multifamily markets are characterized by a mix of caution and confidence: Caution, because the economic cycle appears to be past its peak and multifamily rent growth has slowed as a glut of supply has been delivered. Confidence, because unemployment is lower than ever, multifamily demand promises to keep performance positive and investors continue to seek opportunity across multiple property sectors.

Challenging? Yes. Inspiring? That, too. While this is no time to proceed without sufficient due diligence, a combination of information, analysis and strategy can help uncover possibilities in untapped or changing submarkets, assets ripe for conversion, technological innovations that produce greater efficiency or improve occupancy, and new groups of investors seeking to deploy capital.

With the market constantly changing, it is vital to stay current. For that reason, we have compiled an update to our Guide to 2017. The Mid-Year Update 2017 offers a mix of information and insight from Multi-Housing News, Commercial Property Executive and Yardi Matrix that should prove to be a valuable reference you’ll want to keep nearby.

The Mid-Year Update begins with a market overview, offering a particular focus on the changing investment landscape and areas ripe for opportunity. You’ll also find closer examinations of the office investment and multifamily development markets in later pages.

A Capitol Hill report reviews policy issues of greatest concern to real estate, while we tapped leading financiers for a Q&A on interest rates, transaction volume and what keeps them up at night. And if you’re in search of a property manager, look no further than this year’s ranking of the Top 50 Property Management Firms.

You may also be interested in the latest entry in our Mission: Success profile series on executives who have surmounted challenges—in this case, Glenn Rufrano, whose latest undertaking is the turnaround of the one-time beleaguered REIT now known as VEREIT Inc. And be sure to catch up on the latest advances in short-term rentals with “Short Stays,” an evaluation of both the temporary office and Airbnb multifamily spaces.

Finally, gain insights from Yardi Matrix into the performance of specific markets, including snapshots of its newly released office reports, complete with a submarket-by-submarket look at lease rates, construction activity, vacancy rates and asset sales prices. These are followed by updates on 20 leading multifamily markets, including data on rent growth, total sales and property completions.

We think you’ll find these pages informative. But we hope you enjoy them, too.

Originally appearing in the Mid-Year Update 2017.