The NAIOP Market Monitor provides insights into shifting market conditions and capital flows across the United States. The report’s findings can help investors and developers identify regional trends and markets that align with their risk and return objectives or warrant further examination. The 2024 NAIOP Market Monitor indicates a continuation of several post-pandemic trends in office and industrial real estate markets.

The office market performed worse in the first quarter of 2024 than previously forecast, with national office net absorption totaling a negative 13.4 million square feet. Office utilization has remained relatively flat since the beginning of the year as evidenced by building-access records. A reversal in optimism about the economy in late 2023 may have led firms to pause or scale back expansion plans. Elevated interest rates are constraining corporate earnings and firms’ ability to expand their operations, which appears likely to continue, at least in the near term. Given these trends and the possibility of a recession in 2024, net office space absorption over the last three quarters of 2024 is expected to be negative 11.8 million square feet. Moving forward, the forecast projects that net absorption will increase slightly in 2025 and will total approximately negative 4.5 million square feet.

The NAIOP Research Foundation commissioned this report to examine the current state of hybrid work and how it affects the office sector. The study draws from survey and market data provided by CBRE to explore how occupiers are approaching their use of office space, and the building locations, features and amenities they prioritize.

The NAIOP Research Foundation commissioned this report to evaluate the risks and opportunities associated with office building conversions. The author conducted a review of recent publications and market data on office conversions and interviewed developers, architects and other commercial real estate professionals to provide an overview of the key considerations that go into converting an office building to a life science, medical office or multifamily use.

A new NAIOP Research Foundation report by Maria Sicola, Charles Warren, Ph.D., and Megan Weiner builds on last year\u0026rsquo;s report on market tier and ranking systems by describing a two-dimensional approach to evaluating and comparing commercial real estate markets. The report examines 15 years of market data to test multiple two-dimensional models for evaluating the 50 largest industrial and office markets in the United States.

This research brief draws from interviews with brokers and building owners, news sources, NAIOP webinars, and NAIOP survey data to identify best practices for triaging office and industrial tenant requests, offering reasonable accommodations to those tenants who need short-term assistance, and responding to uncooperative tenants. The brief also examines how owners are adapting the ways they show and lease space to new tenant preferences and safety expectations.

This brief evaluates the merits of frequently discussed capital investments and their potential to create durable competitive advantages. It draws from an analysis of recent coverage in commercial real estate trade publications, as well as conversations with seven industry practitioners that took place in June 2020.

Measures to contain the coronavirus outbreak temporarily slowed economic activity and dramatically reduced occupancies at many commercial buildings. As state and local governments outline plans for a phased reopening of the economy, office building owners and employers are formulating plans that will allow employees to return safely to work.

Dividing and grouping the major metropolitan regions of the United States into ranked groups or “tiers” is a frequently used method to evaluate, prioritize and rank markets for investment. This project provides an understanding of the origins, methodologies and uses of market tier models.

The NAIOP Research Foundation commissioned this report to identify ways that firms are revitalizing suburban office parks through redevelopment, rehabilitation and adaptive reuse. The author interviewed five developers who have recently updated suburban office parks in the United States and Canada to learn how they made these properties relevant for today’s market.

This brief provides an overview of some of the ways that simple, tiny, affordable and ubiquitous sensors are being used in commercial real estate settings. It addresses radio-frequency identification, geofencing, beacon technology, and WELL™ and RESET™ technologies, and it concludes with the broader challenges associated with using networked digital data-collection systems.

The use of big data offers great potential, while it also presents challenges. This white paper seeks to define big data and to identify some of the obstacles and opportunities associated with it in the context of managing office properties. It includes a general overview of the topic as well as examples of how property managers are collecting and analyzing data within their office properties.

To remain competitive and accelerate lease up, office building owners are enlivening their buildings with common area amenities and programming.

Where do today’s office tenants want to be located? This comprehensive study, which combines expert opinion and accurate property-level data, provides reliable information about emerging location preferences across major U.S. office markets and the comparative performance of office space in CBDs, suburban vibrant centers — defined as amenity-rich, mixed-use, “live, work, play” locations — and typical single-use suburban areas.

Picture an office filled with people. But imagine that some of them are freelance writers, graphic designers, programmers and app developers; others are teleworkers; still others are in the process of forming startup companies or working for very small firms. The office may simply be a large room where people work at couches, tables and bench desks, or it may contain carrels, cubicles, private offices and even classrooms or auditoriums. What is this place? It is a coworking center.

This paper focuses on class A and B office buildings across the U.S. with 50,000 square feet or more and has a threefold goal: i) provide an overview of the office building distribution among the ratings and certification levels from the inception of the USGBC until today; ii) examine the spatial penetration of the ratings and certification levels across the mainland U.S. states and iii) examine closely the rent and vacancy performance of LEED-EB before and after their designation while controlling for the latest financial crisis.

Because landlords assume all of the operating expense risk, rents for gross leases exceed those for triple-net leases. The markup for gross leases varies between properties and across markets. In this study, we develop a theory explaining the spread between gross and triple-net rents for office space across urban markets.

This white paper helps owners/developers make a decision about which (if any) energy-harvesting devices to install on their properties. Commercial real estate property owners will find a wealth of information on installations, maintenance, reliability and financial returns.

Economic, real estate, oil and other crises can cause significant lack of confidence and recessions, which eventually affect office markets. This paper studies past crises and their effects on downtown office market trends across the U.S. and is pivotal in the estimation of current short and medium-term market responses.

This research report identified various green strategies that can be used to improve the sustainability of a building while still meeting return-on-investment objectives. Included in the report are recommendations concerning: vehicular pavement; pedestrian pavement; irrigation; windows; roof; HVAC; and interior lighting.

This research identified the economic indicators that drive new development of commercial real estate for each property type at the national and MSA level. These indicators will help with forecasting: future demand for space and leasing; competition in specific markets and across property types; and more accurate feasibility studies for future projects.

This report explains the relationship between key employment trends and the demand for office and industrial space. Drawing on Bureau of Labor Statistics data from 2000-2009, the research indicated: central-city counties vs. metropolitan fringe counties, the effect of the recession beginning in 2007 and factors influencing change in growth patterns.

This research examined how infomating, outsourcing, home-basing, off-shoring/in-shoring, e-learning and e-tailing - can be expected to impact the staffing and facilities (and ultimately, the demand for space) of five major classes of enterprise in the five sustainable markets: retail trade; professional, scientific and technical services; employment services; finance, insurance and banking; and transportation and warehousing.

This study revisits the value property premium anomaly by premising analysis on Tokyo office property market data from 1997Q1 to 2007Q3; which shows that property investors could substantially improve their portfolio performance by investing in value office properties.