The Employment Market’s Impact on CRE
What The Latest Jobs Data Release Means For CRE Investors
Job Market Sustains Momentum
The economy added more than 260,000 positions in October, putting the country on pace for the second strongest job growth year on record
While the Fed has mentioned the need to cool job growth, current wage gains are a small part of inflationary pressure
Nuances in The Competition For Workers
Small businesses and large companies expanded their payrolls since February 2020, but mid-sized firms shrunk
Despite high profile layoffs at tech firms, the labor market is gaining in aggregate, supporting CRE space demand
How this impacts CRE Looking Forward
Small business employment growth is poised to support suburban space demand
Cooling job numbers in future months may restrain household formation, but the long-term outlook is positive once uncertainty clears
*Through October
Sources: Marcus & Millichap Research Services, BLS
