Global CRE Markets: Downturn Talks Intensify

Tarrant Parsons, Economist, RICS. Image courtesy of RICS
Tarrant Parsons, Economist, RICS. Image courtesy of RICS

The results of the survey conducted by the Royal Institution of Chartered Surveyors show a bit more caution and pessimism in the third quarter of 2019 for major commercial real estate markets across the globe. The latest edition of the organization’s Global Commercial Property Monitor, which compiles the responses, reveals that the economic slowdown is the main concern in the industry. However, the prompt response of financial organizations, which led to changes in monetary policies, has helped several markets—including Brazil and the U.S. stay afloat.

In Europe, the Brexit extension and the December elections will cause more uncertainty in the U.K., even though it’s difficult to distinguish how much of existing volatility is a direct consequence of Brexit talks. Tarrant Parsons, economist with RICS, explains why the perception of a downturn has more to do with activity than pricing and capital values. He also names the one market to keep an eye on in 2020.

Music via Raro Bueno by Chuzausen

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