Atlanta Business Chronicle’s Post

While many highly qualified analysts have documented the transformation of the office sector, investors are asking: "Who are office tenants today, how can I reach them, and how can I benefit from current market opportunities?" Whether you're a current owner uncertain about your office property, a buyer seeking a discount, or a broker advising clients, understanding the history of the office sector provides valuable insights. #OfficeRealEstate #CRE #OfficeMarket #RealEstateInvestment #TenantNeeds #OfficeTenants #RealEstateStrategy #MarketOpportunities #CommercialRealEstate #BrokerAdvice #OfficeSectorTrends

Here's to hoping that office reached rock bottom last year (here in SF and elsewhere) and that we are moving toward equilibrium. Part of that process is what I do (foreclosures, workouts, receiverships, bankruptcies) but I'm glad to see there were many more sales in 2024 than in the prior two years. Here is the most encouraging part of the article (actual numbers): "CBRE reports that the number and dollar volume of office building sales in the broader downtown area more than doubled in 2024, surpassing 2022 and 2023 combined. A total of 23 office buildings were sold last year for a combined $916 million — these deals included partial interest and loan note sales. Comparatively, just 12 office buildings were sold for a total of $863 million in 2022 and 2023 combined."

What’s up with the office real estate market right now? We break it down for you. 🏢 https://hubs.ly/Q02QtMyX0 #BusinessTipMonday #OfficeRealEstate #CommercialRealEstate

We all know office transactions have slowed down - both in signing new leases and building sales. So, when one occurs, it's typically positive news. BUT, when the building — with a high occupancy rate — is sold for less than it was sold for almost 20 years ago, is it still positive news? Interested to hear your thoughts. https://lnkd.in/dg8bkj2u

The blows to office investments gets worse.. This is the same price/sf that a group of office buildings were bought by Dr. Lee in the 1990's. I remember-the price then was around $30/sf Here we are thirty years later..... #postcovide19economy #officebuilding #2024officeprices #WFH #Hybridworkforce #realestateinvestments #2020officeinvestment

The office real estate sector is still in deep trouble—and these 2 numbers explain why https://lnkd.in/e4PtfQ2N

US office market shows signs of bottoming after big discount sales : Prices for office buildings fell 14.4% year-over-year as of Q2 "Peak distress is fully behind us" added that what was now key is to have more deals struck to give the industry an idea on price "We still have price discovery left" "An increase in transaction volume will mean that’s becoming more palatable for those holders" "There are growing signs of market-bottom capitulation or sophisticated property owners selling their properties even at large discounts to their purchase price which is helping create some sort of pricing benchmark for office values" "Fundamental issues are not something that will disappear overnight in our view with front-end rates being lower, and there (are) still plenty of CRE assets sitting on balance sheets that need to be sold or resolved, which should keep supply elevated" while the 50 basis point cut could show "light at the end of a very long tunnel" the "(commercial real estate) market revival would need at least 300-400 basis points in interest rate cuts to compensate for the sharp decline in property valuations"

UK Owners Hoist ‘For Sale’ Signs Over Office Buildings in June 🏢     The volume of office buildings up for sale jumps to a six-year high 📈    Here are the key takeaways from Mark Stansfield's article:    - Office space listed for sale has jumped sharply in recent weeks as higher refinancing costs and increasing hopes for a pricing rebound persuade more owners to market their buildings 📊 - 33 million square feet of office space across 2,775 buildings was on the market nationally. This is a significant 34% rise in just over a year and the highest amount in six years 🔼 - Volume of offices available for sale has jumped by 12% in the past nine weeks alone, the biggest quarter-on-quarter rise since 2017.  🚀    Article link in the comments below 👇    Get in touch if you want to discuss office or industrial trends from CoStar UK    #commercialrealestate #ukoffices #CREinvestment #CREdata #markettrends 

Cost of Office Build Outs 2024: ◾ Average office build out cost up 2.7% YOY for a moderate style of medium quality finishes (small to medium size workstations, fewer than 20% offices and a 70/30 split between office/workstations and collaborative space ◾ An increase, but significantly less than the double digit increase over the last two years ◾ Average cost across US & Canada is $264/SF; compared to $257/SF in 2023, $233/SF in 2022 and $190/SF in 2021 ◾ Atlanta Cost PSF: $226 in 2023; $237/SF in 2024; YOY Change 4.87% Jesse Whalen, Commercial Real Estate Tenant Rep Advisor Michael Bull, CCIM CoStar Group #officeconstruction / #commercialrealestate / #CRE / Bull Realty Link in comments

See what experts have to say about the possibilities and pitfalls of office space conversions. #CommercialRealEstate #OfficeConversion