RCA in the commercial property press:

Commercial Developers, Lenders In ‘Stare Down’

Las Vegas Sun reports: Property owners are doing what they can to cut prices to lure buyers, but the market for office buildings, retail parks and other commercial development is at a standstill.

As of June 4, New York-based Real Capital Analytics reports 53 sales worth $17.7 billion have closed in the past 12 months out of 185 for sale.

The worst rate has been in retail: 13 out of 71 on the market sold for a total of $143 million or $198 per square foot.

Hotels have fared the best with 13 of 16 properties on the market selling in the past 12 months at an average price per square foot of $256,854. The sales volume was $17.2 billion.

Sales of office and industrial buildings have been tepid. Of the 29 office properties on the market, nine have sold with an average price per square foot of $227,000. Eight of 38 industrial buildings have sold with an average price per square foot of $109.

Prospective buyers are waiting for prices to fall more before jumping in. Price drops are expected once a wave of commercial foreclosures hits in the market in the coming months. Commercial-zoned land is expected to be the first to hit the market.