More distress: office or apartments? It's complicated... Office vacancy rates are 20%+, values are down 50%+, and delinquency rates are higher than the GFC. Apartments have been more of a slower burn, but total estimated distress in apartments exceeds total office distress. Key question: will 'potential' distress turn into actual distress? [Consistently impressed with MSCI's real estate insights.]
Office vs Apartments: Which is in More Distress?
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Two key sectors have driven the Ottawa and National Capital Region office market over the past several decades, the federal government and the tech industry. Questions about both were front and centre during the 2025 Ottawa Real Estate Forum, reported Real Estate News Exchange (RENX). "In particular, a sense of unease remains about the federal government’s return-to-office plans, and whether the feds could even accommodate and enforce a four- or five-day-a-week return mandate if it is firmed up either via the Nov. 4 budget or a separate announcement." https://lnkd.in/gqYZMt7K #ottawa #office #leasing
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The residential market is showing signs of recovery, while office demand continues to demonstrate resilience under shifting conditions. 🔗 Read more: https://lnkd.in/gbqQjaQA
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With rents holding steady and incentives still strong, now could be the smartest time to negotiate your next office move. In H1 2025, 7 of 21 Central London office markets recorded no Grade A rent increases. Occupiers have a window of cost stability as landlords hold off on rent hikes and offer incentives instead. 📈 Download Devono’s Q2 2025 London Office Market Snapshot to access the full insights: https://lnkd.in/e9sRrkTq #OfficeSpace #LondonOffices #BusinessRelocation #PropertyMarketTrends #WorkplaceStrategy
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Charlotte’s office sector is showing both resilience and recalibration. 📈 Deliveries are up 177% year-over-year. 🏢 Vacancy remains below the U.S. average, and sales volume is climbing. What does this mean for investors, developers, and tenants? Find out in the latest office report from CPE: https://lnkd.in/eP5Snc8M
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𝗟𝗼𝗻𝗱𝗼𝗻 𝗥𝗲𝗮𝗹 𝗘𝘀𝘁𝗮𝘁𝗲 𝗔𝗹𝗲𝗿𝘁: 𝗢𝗳𝗳𝗶𝗰𝗲𝘀 𝗧𝗼𝗼 𝗖𝗼𝘀𝘁𝗹𝘆 𝘁𝗼 𝗥𝗲𝗳𝘂𝗿𝗯 — 𝗖𝗵𝗶𝗻𝗲𝘀𝗲 𝗢𝘄𝗻𝗲𝗿𝘀 𝗘𝘅𝗶𝘁🇨🇳 In recent reports, Chinese investors are considering pulling out of major London office properties rather than sinking costs into refurbishments to meet stricter energy rules. Bloomberg The building at 33 Holborn is a key example — it already has planning permission for upgrades, but one owner may exit to avoid the expense. 🔍 𝗞𝗲𝘆 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆𝘀 𝗳𝗼𝗿 𝗟𝗼𝗻𝗱𝗼𝗻 𝗣𝗿𝗼𝗽𝗲𝗿𝘁𝘆 𝗦𝘁𝗮𝗸𝗲𝗵𝗼𝗹𝗱𝗲𝗿𝘀 • The push for 𝗵𝗶𝗴𝗵𝗲𝗿 𝗲𝗻𝗲𝗿𝗴𝘆 𝗲𝗳𝗳𝗶𝗰𝗶𝗲𝗻𝗰𝘆 standards is forcing major capital expenditure — not everyone is willing or able to pay. • Commercial real estate (offices) is under pressure; some investors may prefer to exit rather than upgrade. • For residential investors, this could shift focus and capital away from offices and into housing / mixed-use projects. • Opportunities may emerge in converting old office spaces into residential or co-working uses — those who act early may profit. 💬 𝘞𝘩𝘢𝘵 𝘥𝘰 𝘺𝘰𝘶 𝘵𝘩𝘪𝘯𝘬 𝘵𝘩𝘪𝘴 𝘵𝘳𝘦𝘯𝘥 𝘮𝘦𝘢𝘯𝘴 𝘧𝘰𝘳 𝘓𝘰𝘯𝘥𝘰𝘯’𝘴 𝘱𝘳𝘰𝘱𝘦𝘳𝘵𝘺 𝘧𝘶𝘵𝘶𝘳𝘦? 𝘞𝘰𝘶𝘭𝘥 𝘺𝘰𝘶 𝘣𝘦𝘵 𝘰𝘯 𝘳𝘦𝘴𝘪𝘥𝘦𝘯𝘵𝘪𝘢𝘭 𝘤𝘰𝘯𝘷𝘦𝘳𝘴𝘪𝘰𝘯 𝘰𝘷𝘦𝘳 𝘰𝘧𝘧𝘪𝘤𝘦 𝘪𝘯𝘷𝘦𝘴𝘵𝘮𝘦𝘯𝘵 𝘯𝘰𝘸? — 𝗙𝗮𝗿𝗵𝗮𝗻 𝗞𝗵𝗮𝗻 | 𝗛𝗼𝗺𝗲 𝗦𝗼𝗹𝘂𝘁𝗶𝗼𝗻𝘀 𝗟𝗼𝗻𝗱𝗼𝗻 #londonrealestate #propertyinvestment #ukcommercialproperty #realestateinsights #investinlondon
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Walnut Creek Office Market Shows Signs of Stabilization Despite 23.9% Vacancy - https://lnkd.in/gjReTSXB Rents edge up to $3.05 per square foot as North I-680 Corridor absorbs tenant downsizing The East Bay office market is entering a new phase as landlords test pricing power amid persistent vacancy, betting that the worst of the post-pandemic adjustment has passed. In Walnut Creek’s North I-680 Corridor, vacancy climbed to 23.9 percent in […]
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Northern Nevada’s office market fundamentals showed resilience at the close of Q3. - Vacancy dropped to 8.7%, a record low - Net absorption of 34.7k SF marked a second consecutive quarter of positive occupancy gains - Overall availability rate increased 50 basis points during the quarter to 9.1% but was still 200 basis points below a year ago - Overall asking lease rates held steady at $1.79/SF (FSG) At the end of Q3, the office asset class experienced a sales volume of $91.7 million, surpassing the total annual sales volume recorded at the conclusion of the previous two years. Regional cap rates hovered around $6.50%. During its most recent meeting on September 17, the Federal Reserve reduced the federal funds rate by 25 basis points, with additional reductions expected at future meetings.
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Eastside Office Markets Diverge: Bellevue CBD Peaks While Suburbs Show Signs of Recovery - https://lnkd.in/g8GzA48R Broderick Group’s Q3 2025 analysis reveals stark contrasts across regional submarkets as vacancy rates vary from 7 percent to 42 percent The Eastside office market is telling multiple stories simultaneously, with downtown Bellevue reaching what appears to be peak vacancy while suburban corridors show tentative signs of stabilization, according to Broderick Group’s Q3 2025 Market […]
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Portland’s Office Market Sinks to Historic Lows as Vacancy Reaches All-Time High - https://lnkd.in/ghTtwhqe Leasing activity plummets while opportunistic investors circle distressed assets in a market transformed by remote work and economic headwinds Portland’s commercial office market has entered uncharted territory, with direct vacancy rates climbing to an unprecedented 15.2 percent in the third quarter of 2025, according to data released by commercial real estate firm Kidder Mathews. The […]
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Research shows office occupancy rates are up in some cities and down in others. Find out where and why: http://dlvr.it/TNMrSQ
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