The National Association of Realtors, Deloitte and Real Estate Research Corporation released a joint report that details how strong the commercial market has been in recent years, and how it will likely be the foundation for the overall real estate market for the foreseeable future.
According to property data cited in the groups' report, "Expectations & Market Realities in Real Estate 2012 - New Foundations in an Uncertain World," solid growth and high amounts of capital available for investment point to a solid year for CRE.
"Commercial real estate does not have the major swings that we have been seeing in the stock market, it is a tangible asset in this world of surprises, it has the needed income component, and still provides for upside once this world gets its act together," said RERC chairman and president Kenneth Riggs Jr.
Additionally, Matthew Kimmel, a valuation leader for Deloitte, stated long-term investors would be wise to look to the commercial sector for stability in their portfolios.
Further forecasts for the CRE market are likely on the way, as many industry members are meeting from February 5-8 in Atlanta for the Mortgage Bankers Association's Commercial Real Estate Finance/Multifamily Housing Convention & Expo 2012.