By Wyatt Avery on March 25th, 2021
The annual pace of U.S. commercial property price growth reached 6.8% in February, a rate comparable to the months preceding the country’s initial coronavirus lockdowns, the latest RCA CPPI: US summary report shows. The US National All-Property Index rose 0.9% in February from January.
The office index increased 2.0% year-over-year in February. Prices in the office market have slowly crept back from the middle of last year when the index was flat, but are still only increasing at half the rate seen a year ago. Suburban office prices kept the office index afloat last month, gaining 2.2% year-over-year.
The retail sector was again the only major property type with declining prices, dropping 1.4% over the last year. Apartment prices rose 7.2%, posting annual growth similar to the pace seen in the last seven months.
Prices in the industrial sector rose the fastest in February, up 8.1% year-over-year. Investor interest in industrial property has jumped because of logistics demand and, more recently, demand for cold storage space.
To learn more about the RCA CPPI (Commercial Property Price Indices) and to sign up for reports, visit rcanalytics.com. If you are an RCA client you can access RCA CPPI and US Capital Trends reports and conduct your own pricing analysis on the RCA client website.
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