Banks were riding good momentum coming into 2019, with fourth quarter mortgage originations up 5 percent year-over-year, according to the MBA. Although that increase is lower than the broader market, which saw an estimated 14 percent jump in mortgage originations during the last three months of 2018, data doesn’t indicate a broader pullback or shift in strategy from the banks.
Market volatility in the fourth quarter of 2018 led to a sharp drop-off in investment sales in the office sector in January, according to the most recent report from research firm Real Capital Analytics (RCA). Office sales volume declined by 29 percent year-over-year, to $7.8 billion.
The giant department store chain has closed hundreds of stores over the past few years, shuttering its weaker-performing units first, many located in tertiary or rural markets where it will be tougher to find users to take over the massive big boxes. Industry experts say the weakest locations could stay vacant for years.
Recent reports from research firm Trepp and ratings agency Fitch show that CMBS delinquencies noticeably improved at the end of 2018. In December, the most recent period for which data is available, the 30+ day delinquency rate for all commercial property types dropped to 3.11 percent, Trepp reports—a 22-basis-point decrease from November and a 178-basis-point decrease year-over-year.
In recent years, Boston’s market has already successfully soaked up several waves of new apartment construction. The number of vacant apartments has crept higher, especially for luxury units, but rents continue to grow and are expected to move higher still.
Weighing factors such as yield opportunities for investors and expansion opportunities for occupiers, a recent report from Colliers International identified 10 Emerging U.S. Industrial Markets to Watch in 2019.
