2014 is looking to be a great year for Commercial real estate in Monroe as well as globally. Overall confidence in businesses are improving and very strong corporate balance sheets look to push the already successful 2013 into the new year as well. From Jones Lang LaSalle's Global Market Perspective Report, the fourth quarter of 2013 is featuring nearly every major market with record growth in terms of sales volume. Lending and the weight of money have increased eluding to a continuation on this upcoming year.
Globally, commercial real estate is looking to surpass $500 billion for the entire 2013 year, with a predicted 10% growth for the 2014 year. Look as well for office rentals to be a strong component of the expected increase this year as office rentals are slated to move from 1% to 3.5% in 2014. With these predicted increases, you can see a new change to the Monroe commercial real estate environment as multiple new constructions are taking place as we speak.
To bring even more excitement for the year end, as well as the new 2014 beginning, JLL expects the entire global sales volume to be 20 to 25 percent lower than the 2006/2007 boom years. The recovery of this economy boosting market is well under way and these statistics just add to the idea that commercial real estate is back in the United States.
The report as stated that momentum is consitently building in the United States where office leasing has the potential to pick up dramatically over the 2014 and 2015 years. Look for more leases, rentals and construction to occur over the next few years as businesses are starting to build and grow throughout the country.
Even with all of these positive outlooks though, "Commercial real estate is now being utilized more efficiently, leading us to the view that the upswing in occupier demand is likely to be less pronounced than in previous cycles. Even so, the majority of major leasing markets should be on a more solid footing in 2014", the report stated.
Look for a slow but positive increase over the next year as the Monroe commercial real estate market starts to make an even bigger comeback from the boom of 2006/2007. With the economy turning around and businesses back on their feet, these facts just add even more to the statistics that 2014 will continue the trend of progression that 2013 is ending on.
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