An analysis from Fitch Ratings notes that the commercial real esate market in the United States is showing a slow and erratic improvement based on the performance of the last two quarters.
As you can imagine, the performance data varies based on what type of property it is. Representatives from the CMBS group state that office style properties have seen a decline in operating income unless they are in thriving areas such as New York City. On another note, hotel properties are projected to see record increases in income this throughout the remainder of the year.
The report from Fitch Ratings also stated that loan defaults and loan delinquencies are to remain stable throughout the rest of this year as loans on office properties are projected to increase. Loans taken out on office properties accounted for 47% of all loan defaults for the first half of 2012.
The retail market is also projected to experience changes as more consumer spending has decreased recently. Expect to notice new introductions in the retail loan process regarding collateral and securitization.
The Henri Frank Group at REMAX Preferred has several commercial listings in the South Florida region of the USA. There are tremendous steal deals in this market for commercial buildings, land and multi unit living buildings, like 10 or more units. Duplex, Triplex and Fourplex properties are not nearly as plentiful and in the real estate market of 2012 here in South Florida not the steal deals they were only 24-36 months ago.