SouthPoint

About


The Atlanta Fed's SouthPoint offers commentary and observations on various aspects of the region's economy.

The blog's authors include staff from the Atlanta Fed’s Regional Economic Information Network and Public Affairs Department.

Postings are weekly.


« Moderately happier holidays from the Southeast PMI! | Main | Happy holidays? »

12/13/2011


Regional commercial real estate survey reveals some improvement

On December 8, the National Association of Realtors published a blog post in which Lawrence Yun, the organization's chief economist, expressed his outlook for commercial real estate (CRE). His overall message was one of cautious optimism.

In November, we performed a short survey of our regional commercial real estate contacts to ascertain where this sector stood with regard to actual and expected performance. The results, which also show some cautious optimism, are summarized below.

We asked how contacts evaluated conditions in the CRE sector relative to the first part of 2011. A bit less than half of the respondents indicated that conditions in the commercial real estate sector have remained "about the same" relative to the first part of 2011. Approximately a third felt conditions were either "much or somewhat better" than earlier in the year, whereas about 20 percent said conditions were "somewhat worse." No one reported that conditions were "much worse."

Approximately 61 percent of survey respondents expect commercial real estate conditions to remain the same for the next few quarters, while 28 percent expect conditions to improve and 11 percent expect things to worsen.

In terms of purchases of existing properties since the first part of the year, 67 percent say financing has remained the same, while an equal number of respondents reported conditions were either better or worse. As for development and construction of new properties, 61 percent indicated that financing conditions were the same, while 31 percent felt things were worse and only 8 percent said they were better. The majority of respondents indicated that the availability of credit, the ability to refinance, and the loan terms have not changed.

All in all, our survey revealed some modest progress in the region's CRE sector, but it’s also clear that optimism in the Southeast and nationally is modest as well.

By Shalini Patel, senior economic analyst in the Atlanta Fed's research department

December 13, 2011 in Real Estate | Permalink

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a011572565d3f970b0162fdbf9178970d

Listed below are links to blogs that reference Regional commercial real estate survey reveals some improvement:

Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

I've been hearing that the market there is starting to rebound nicely. Any statistical data out there to back this up? We sure would love to see an end to the pain in the real estate and building community.

Posted by: Homes For Sale Richmond VA | 02/24/2012 at 11:10 PM

Post a comment

Comments are moderated and will not appear until the moderator has approved them.

If you have a TypeKey or TypePad account, please Sign in

Google Search



Recent Posts


December 2014


Sun Mon Tue Wed Thu Fri Sat
  1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31      

Archives


Categories


Powered by TypePad