What to Expect for CRE in 2024
2024 FORECAST RELEASE; WHERE ARE PROPERTY TYPE FUNDAMENTALS HEADED IN 2024?
Federal Reserve Increasingly Likely To Achieve Soft Landing
Slower GDP and labor market growth are expected in 2024
Easing but positive growth should help bring wages and inflation to more sustainable levels next year
New Supply Pressuring Industrial and Apartment Vacancy
Rising vacancy in the industrial and apartment sectors is largely driven by new supply, but both property types are expected to record heightened absorption in 2024
Construction starts are trending lower, a positive for both asset types once the current pipeline begins to clear
Retail and Office Markets Moving in Opposite Directions
Office vacancy is anticipated to rise sharply in 2024, but some types and locations will still outperform the average
Retail vacancy is close to record lows entering 2024, and limited supply growth will keep occupancy near that level
Sources: Marcus & Millichap Research Services
