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Commercial Real Estate Trends for 2016

The Commercial Real Estate (CRE) industry now seems to be in a solid grip when compared to the previous years. While the US economy continues to progress, the investors are seeing incredible performance across most of the property types and markets.

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Commercial Real Estate Trends for 2016

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  1. Commercial Real Estate Trends for 2016

  2. Trends • Global Urbanization • Rise in Interest Rates • Increased Capital Flows • Limited Supply Additions Furnished Office Bangalore

  3. Global Urbanization

  4. Global Urbanization: ● It looks like the global urbanization trend continues in US as it does in the other parts, as the Millennials and boomers lookout for enhanced access to jobs and amenities, from shopping to healthcare. ● It’s been noted that, the US urban population has increased by 12.1% from 2000 to 2010, outpacing the nation’s overall growth of 9.7% Furnished Office Bangalore

  5. Rise in Interest Rates

  6. Rise in Interest Rates: ● The interest rates seem to rise for sure this year; the forecasts may vary, but it’s more likely that, the Federal Funds Rate (FFR) will rise at least to 1% in 2016, with the treasuries of 10 years pushing fractionally higher towards 3% mark. ● But, the Federal is more likely to weigh the effects of each and every move before it adds an additional friction to the current economic growth trends. Furnished Office Bangalore

  7. Increased Capital Flows

  8. Increased Capital Flows ● US property market is the most stable and transparent market in the world because of which it has been an easy choice for many investors. ● According to Real Capital Analytics (RCA), a research firm, just the foreign purchases of US real estate properties rose up to $62 billion with Norway, Canada, China and Singapore leading the wave. ● Looking at this statistics, a substantial proportion among the Association of Foreign Investors. Furnished Office Bangalore

  9. Limited Supply Additions

  10. Limited Supply Additions: • Limited supply additions seem to continue with only modest supply growth in the sectors like multifamily housing, student and senior housing, single tenant industrials and so on. • As the last recession was a bit deep and protracted, the lending sources were extremely doubtful about funding new constructions. • Also, many local and regional banks were hit by the residential mortgage crisis, and both the commercial and residential real estate were seen as highly risky sectors. • • Furnished Office Bangalore

  11. Thank You More Info: | Furnished office Bangalore | | Blog | contact@furnishedofficebangalore.com Furnished Office Bangalore

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