The U.S. economy is entering 2026 in a transitional phase marked by easing inflation, gradually supportive monetary policy, and expectations for accelerating growth, according to Ryan Severino, BGO’s chief economist, in his recent blog post. Despite challenges in 2025, including tariff-driven inflation pressures and a slowing labor market, household spending and strong capital investment, particularly in technology and infrastructure, helped sustain economic momentum. Commercial real estate is following a similar path, shifting from a period of repricing and sector-specific stress toward stabilization and early recovery. Property fundamentals are expected to improve unevenly across sectors, with healthcare, data centers, and industrial positioned for stronger growth, while office recovery will likely be slower and more segmented. As interest rates ease and investor confidence improves, capital markets are also expected to normalize, supporting broader investment activity across co
