NAR Commercial Real Estate Outlook
Expanding at a Strong Pace
NAR’s latest Commercial Real Estate Outlook offers overall projections for four major commercial sectors and analyzes quarterly data.
- With economic output and employment trends continuing on an expansionary path, commercial fundamentals are expected to exhibit solid demand and increasing cash flows.
- Vacancy rates will likely provide mixed results, with multifamily undergoing growing availability from an expanding supply pipeline.
- Office and retail properties will likely see vacancies move sideways, while industrial spaces will find rent growth advancing at a steady pace.
Condo Deconversion Wave Hits Chicago
Condos are becoming rental properties at a brisk pace in Chicago, with more than 20 deconversions in the city over the two years from July 2016 to July of this year, Bisnow Chicago reports.
The deconversions have been in buildings ranging from quite small — fewer than 10 units — to more than 300 units, according to the midyear Condo Deconversion Report by Avison Young’s Chicago office, citing Real Capital Analytics data.
Demand by investors for rental apartments is driving the trend, Bisnow notes. Also, as many older buildings are facing significant capital investments for repairs and upgrades, a deconversion might obviate the need for a special assessment.
Prairie Title has been involved in several condo deconversion projects in the Chicago area recently. For more information about how we can help you with a deconversion, contact Steve Gillum at 630-450-0093, or email@example.com.
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This story first appeared in the fourth quarter 2018 edition of Assurance News from Prairie Title.
Download Assurance-4th Quarter-2018