Amid rising interest rates, inflation concerns, and lifestyle trends that are generating a paradigm shift across the country, many investors are viewing the commercial real estate market with hesitancy.
In March, the Federal Reserve increased the interest rate on reserve balances to 4.9%, making it more expensive for those taking out a loan to borrow money. During the last 12 months, prices in some categories have gone up by more than 10%, with inflation rates hitting the highest level we’ve seen in 40 years, according to the Consumer Price Index. Nearly six out of 10 employees with a hybrid schedule spend at least three days a week working from home, as reported by the Pew Research Center (which is why you see so many office spaces that are locked into their leases sitting empty!).
Support authors and subscribe to content
This is premium stuff. Subscribe to read the entire article.