
We like this report because they expand definitions in order to offer a more optimistic outlook.
As always, we pick out the negative because it's the only news that really matters.
Here's a telling stat offering a glimpse at the REAL direction of downtown momentum . . .
Older office buildings, on the other hand, have experienced a spike in vacancy rates. The Class B vacancy rate is 21.3% — for perspective, the pre-COVID-19 vacancy rate was 13.7%.* Some of these buildings are functionally obsolete, with smaller floorplates, too many columns, low ceilings or other such flaws. Owners of older buildings face difficult decisions: Renovate and invest in costly new amenities? Target medical/life science tenants? Pursue adaptive reuse such as residential or hotel conversion? Or scrap it and start anew?
Read more via www.TonysKansasCity.com link . . .
Commercial real estate annual report: Where 2022 has positioned Kansas City - Kansas City Business Journal
I learned in business school that the correct answer to almost any question is, "It depends." I've been using that answer quite a bit lately when people ask me about the state of the commercial real estate market. It depends.
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