Chapter I

Commercial Real Estate Overview

What is Commercial Real Estate?

Commercial real estate is property used for business purposes including offices, retail stores, restaurants and industrial units.

What are Commercial Real Estate Property Types?

Commercial real estate property types include office, industrial, retail, flex, multi-family, student, land, hospitality, health care, specialty, sports and entertainment.

What are Commercial Real Estate Tenants?

Commercial real estate tenants are individuals or businesses that lease property for the purposes of conducting business or commercial activity.

What are Commercial Real Estate Lease Comps?

Commercial real estate lease comps (comparable properties) provide information for determining the current market value of leased properties.

  
Chapter 2

Commercial Real Estate Data and Analysis

What is Commercial Real Estate Market Data?

Commercial real estate market data is comprised of three main information components: Property-level data, transaction data and demographic data. Property-level data includes basic building information like owners, tenants and other relevant physical location information. Transaction data provides a historic summary of sales and lease agreements for the property. Then demographic data details population-focused statistics like household income or traffic patterns.

What is Commercial Real Estate Market Analysis?

Commercial real estate market analysis provides a history summary of qualitative information to generate reasonable assumptions for financial models and trend forecasts.

What are Commercial Real Estate Trends?

Commercial real estate trends are shaped by several economic and behavioral factors including interest rate volatility, the rise of e-commerce, the continued demand for coworking spaces, the shift towards urbanization, the increasing demand for healthcare space, the rise of technology, the push towards sustainability, and the trend towards mixed-use development.

What are Commercial Real Estate Markets?

Commercial real estate markets are organized by five main categories: office, industrial, multifamily, retail and hospitality.

What are Commercial Real Estate Submarkets?

Commercial real estate submarkets are smaller sections of larger geographic or metropolitan areas where values in demographics or property values may be higher or lower than the broader section.

  
Chapter 3

Office Markets

What is an Office Market?

An office market is a geographic or metropolitan area of real estate with buildings for use in connection with commercial businesses, corporations or entities, governmental agencies or entities and nonprofit corporations.

What are Office Market Trends?

Office market trends are shaped by several economic and behavioral factors including interest rate volatility, the continued demand for coworking spaces, the shift towards urbanization, the increasing demand for healthcare space, the rise of technology, the push towards sustainability, and the trend towards mixed-use development.

What are Office Building Trends?

Office market building trends include collaborative workspaces for employees with added features like social areas, food courts, health and wellness facilities, childcare and electric car charging stations.

  
Chapter 4

Retail Markets

What is a Retail Market?

A retail market is a geographic or metropolitan area of real estate with buildings for use in connection with activities that involve the sale of goods or services by a company directly to the consumer that are usually purchased for personal or family use.

What are Retail Market Trends?

Retail market trends are shaped by several economic and behavioral factors including interest rate volatility, the rise of e-commerce, the shift towards urbanization, the increasing demand for healthcare space, the rise of technology, and the trend towards mixed-use development.

What are Retail Industry Trends?

Retail industry trends include omnichannel retail (online stores in offline spaces), social commerce, experiential retail, personalized shopping experiences, and frictionless shopping.

  
Chapter 5

Commercial Real Estate Resources

Read more articles on Commercial Real Estate.

Contributors:

Sources:

1) CoStar (costar.com)
2) National Retail Tenants Association (retailtenants.org)
3) CoreNet Global (corenetglobal.org)
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