U.S. commercial real estate has strong second quarter
The U.S. commercial real estate market experienced strong momentum across all property types during second quarter 2015, according to recent data from CBRE Group.
The office market has gone 21 consecutive quarters without an increase in vacancy rates. In the second quarter 2015, office vacancy rates dropped 40 basis points to 13.5 percent, according to CBRE, the lowest since third quarter 2008, when office vacancy was 13.2 percent.
“Economic fundamentals are pointing to a sustained U.S. office expansion in 2015, as companies are hiring workers at a robust pace, and investment in commercial real estate continues to show a positive trend,” said Jeffery Havsy, Americas chief economist for CBRE, in a statement.
The West and South were the strongest performing regions. The country’s lowest office vacancy rates were in San Francisco (6.7 percent), Austin (8 percent), Nashville (8.4 percent), Pittsburgh (9 percent) and New York City (9.1 pe