The Commercial Real Estate market within the United States has
been steadily improving since the economic downturn set it back
into a once intimidating hole. In some locations more than others
it does not seem as long ago when peak levels realized in December
of 2007 were being achieved for Commercial property. These recent
findings come from Moodys Investors Service who note that for the
past twelve months through the end of September of this year,
Boston is in fact the number one performing city Nationwide in a
Commercial Real Estate recovery.
Not only is Boston the closest city to reaching their same
respective figures from the prosperous year of 2007 but locally we
are also outperforming other metropolitan areas for our overall
improvements over the past year. The past twelve months have shown
Bostons Commercial Real Estate prices ascending by 10.4% which is
far ahead of second place New York City with an 8% recovery mark
and third being San Francisco with a 7.8% rise in prices. Across
the United States as a whole, Moodys indicated that their
Commercial Real Estate price index rose by 1.4%.
It was determined that when analyzing the total value lost by
Commercial Real Estate over the past years, Boston ranked first
once again for the city who has come the closest to these initial
numbers. Moreover, Boston only falls less than just one percentage
point back of these prior levels from 2007 with Washington D.C. in
second at 5.7% back and New York City in third at 7.5% behind their
previous numbers. Looking to the Nationwide scale, the Commercial
Real Estate market is still 21.8% back from the highs seen roughly
five years ago; once again proving how significant Bostons climb
has truly been especially from a city-to-city comparative point of
view.
So what does all of this optimism surrounding this sector of the
already highly publicized successful Boston Real Estate industry
signify? Well it simply means that property owners in the
Commercial districts will be looking to test the market now that
prices are strong and demand is high to live and work here. The
BlackStone Group, for example, are a leader in Commercial property
investing and have recently made 12 Million square feet of space
available in The Greater Boston Area. The future certainly is
looking up in all aspects that make up our local Real Estate market
and it is something to be not just optimistic and proud over, but
also ambitious about all of the profits that can be had from these
sorts of investments.
More Information: Boston Business
Journal