Aug 19, 2019 - 0 Comments - Industrial -

CCIM Economist KC Conway Provides Industrial Real Estate Update ~ Part 2 of 2

K.C. Conway, Chief Economist with CCIM and Director of the Alabama Center for Real Estate, joins America’s Commercial Real Estate Show host Michael in Studio One to discuss the industrial property market. In this second of two video segments, discussion includes whether the end of the cycle is approaching. Conway discusses the fundamentals of the market as they are, noting things as essentially steady, with strong consumers, solid job growth, etc. A big plus that he mentions for the commercial real estate markets is that overbuilding is not happening. He also discusses how 1 of 4 sovereign debt dollars are now at a negative yield, and how this is affecting the markets, with the Fed concerned about flows of capital into the US with it low but not negative yields. They also talk about rising construction costs and the potential impact on existing inventory. A big prediction herein is that retail sales, now 10% online, will go to 20% in the next few years, and then 30-40% thereafter. One has to wonder if he is low on this.

Also view part one of this interview.