Industry News

Commercial real estate activity to flatten

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Commercial real estate market activity is expected to level out, suggesting stable business opportunities for commercial practitioners in the months ahead, according to a forward-looking index for the commercial real estate sectors published by the National Association of Realtors. The Commercial Leading Indicator for Brokerage Activity slipped 0.1 percent to an index of 120.6 in the third quarter from a record reading of 120.7 in the second quarter, but remains 0.7 percent higher than the third quarter of 2006 when it stood at 119.7. The dip follows nine consecutive quarterly increases; NAR's track of the index dates back to 1990 when the index registered 100. Lawrence Yun, NAR chief economist, said in a statement that momentum in the commercial market appears to be leveling at a high plateau. "Commercial real estate has been performing quite well over the past few years, and the flattening index means net absorption of space in the industrial and office sectors is likely to contrac...