Three Significant CRE Trends for the Rest of 2022

Written By Christian Desnoes

3 Significant Trends That CRE Investors Can Capitalize On

Employment Recovery to Guide CRE Performance

  • U.S. recovered over 95% of jobs lost during pandemic, but recovery has varied by market

  • Cities that re-opened later, such as NYC, Los Angeles, Chicago and Boston, now seeing largest job gains

  • CRE momentum to follow job recovery

Ongoing Migration Patterns Benefit Suburban Properties

  • Much focus was placed on state-to-state migration, but most moves were local and towards suburbs

  • Suburban flight was already in place due to aging Millennials forming families; Accelerated by pandemic

  • Office, Retail and other property types expected to follow

Lifestyle Changes Support Leisure and Entertainment

  • Spending on travel and entertainment expected to increase; Not yet fully recovered but momentum present

  • Led by leisure travel, Hotel occupancy climbed above 60%; Business travel still recovering

*As of May 2022
Sources: Marcus & Millichap Research Services, BLS

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Christian Desnoes
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