CRE Demand Cycle

TMC The Mahr Company Shares: Most feel that the recession officially ended back in 2009 and the economy has been growing ever since, yet it still feels like a recession to some people. Why is this and how long will it take to get back to normal? More importantly, what does this mean for commercial real estate? The CCIM Institute has a demand cycle flow chart that illustrates how employment drives demand for commercial real estate. As shown below, demand for commercial real estate is directly or indirectly driven by employment growth. Employment growth drives population growth and disposable income. Office and industrial demand is driven by employment growth. Industrial, residential, and hospitality demand is driven by population growth. And hospitality and retail demand is driven by disposable income. Contact us directly as to how we can assist you to best position your business/professional model to take advantage of these trends..