As the economic recovery continues in the 2 to 3 percent range rental rates are projected to increase in both the residential and commercial sectors. Commercial space completions have been below absorption, and demand for commercial space has started to increase. Based on the currently available economic forecast, a modest rent growth for the commercial sector is projected. Additional details are available here.

George Ratiu, Research Economist

George Ratiu, Research Economist, writes regular economic columns and conducts research in the areas of commercial real estate, international investments, mortgage performance and foreclosures. He produces NAR’s Commercial Real Estate Outlook and manages quantitative surveys, including the Commercial Real Estate Quarterly Market Survey.