Grubb & Ellis Company, a leading real estate services and investment firm, released its 2011 Real Estate Forecast, which foresees the start of a slow recovery in the leasing market for all property types in the coming year. Highlights:
Office Market Lags as Jobs Remain Elusive. The office market will experience a half-speed recovery in 2011. After peaking at 17.9 percent in the second quarter – just 10 basis points shy of its all-time high in the past 24 years – the vacancy rate ended 2010 at 17.8 percent. Grubb & Ellis researchers expect the vacancy rate in 2011 and 2012 to drop to 17 percent and 15.9 percent, respectively.
Increased Trade to Spur Industrial Sector Recovery. With the weak dollar expected to boost exports and stronger consumer spending spurring imports, landlords are expected to see increased activity and demand for space. Manufacturers, wholesalers and retailers will continue to optimize their supply chains, and as a result, state-of-the-art distribution facilities in key logistics markets will win out among all industrial property subtypes.
Multi Housing Sector to Recover First in 2011. Foreclosures continue to add shadow supply to the availability of rentals, but modest job growth and lack of home buyers is causing the number of renter households to outpace that shadow supply. As a result, multi housing is the sector expected to recover first.
Retailers Repositioning for "New Normal." Like 2010, 2011 will see retailers repositioning stores to create leaner, more effective organizations and securing high-profile locations that are now available at lower rates.
Download the PDF to read the full report.
Related Stories
Urban Planning | Feb 5, 2024
Lessons learned from 70 years of building cities
As Sasaki looks back on 70 years of practice, we’re also looking to the future of cities. While we can’t predict what will be, we do know the needs of cities are as diverse as their scale, climate, economy, governance, and culture.
Giants 400 | Feb 5, 2024
Top 90 Shopping Mall, Big Box Store, and Strip Center Architecture Firms for 2023
Gensler, Arcadis North America, Core States Group, WD Partners, and MBH Architects top BD+C's ranking of the nation's largest shopping mall, big box store, and strip center architecture and architecture engineering (AE) firms for 2023, as reported in the 2023 Giants 400 Report.
Laboratories | Feb 5, 2024
DOE selects design-build team for laboratory focused on clean energy innovation
JE Dunn Construction and SmithGroup will construct the 127,000-sf Energy Materials and Processing at Scale (EMAPS) clean energy laboratory in Colorado to create a direct path from lab-scale innovations to pilot-scale production.
Architects | Feb 2, 2024
SRG Partnership joins CannonDesign to form 1,300-person design giant across 18 offices
SRG Partnership, a dynamic architecture, interiors and planning firm with studios in Portland, Oregon, and Seattle, Washington, has joined CannonDesign. This merger represents not only a fusion of businesses but a powerhouse union of two firms committed to making a profound difference through design.
Giants 400 | Feb 1, 2024
Top 90 Restaurant Architecture Firms for 2023
Chipman Design Architecture, WD Partners, Greenberg Farrow, GPD Group, and Core States Group top BD+C's ranking of the nation's largest restaurant architecture and architecture engineering (AE) firms for 2023, as reported in the 2023 Giants 400 Report.
Standards | Feb 1, 2024
Prioritizing water quality with the WELL Building Standard
In this edition of Building WELLness, DC WELL Accredited Professionals Hannah Arthur and Alex Kircher highlight an important item of the WELL Building Standard: water.
Luxury Residential | Feb 1, 2024
Luxury 16-story condominium building opens in Chicago
The Chicago office of architecture firm Lamar Johnson Collaborative (LJC) yesterday announced the completion of Embry, a 58-unit luxury condominium building at 21 N. May St. in Chicago’s West Loop.
Industry Research | Jan 31, 2024
ASID identifies 11 design trends coming in 2024
The Trends Outlook Report by the American Society of Interior Designers (ASID) is the first of a three-part outlook series on interior design. This design trends report demonstrates the importance of connection and authenticity.
Museums | Jan 30, 2024
Meier Partners' South Korean museum seeks to create a harmonious relationship between art and nature
For the design of the newly completed Sorol Art Museum in Gangneung, South Korea, Meier Partners drew from Korean Confucianism to achieve a simplicity of form, material, and composition and a harmonious relationship with nature. The museum is scheduled to open on February 14. It is the firm’s first completed project since restructuring as Meier Partners.
Luxury Residential | Jan 30, 2024
Lumen Fox Valley mall-to-apartments conversion completes interiors
Architecture and interior design firm Morgante Wilson Architects (MWA) today released photos of its completed interiors work at Lumen Fox Valley, a 304-unit luxury rental community and mall-to-apartments conversion.