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Jan 2012 Forecast of Commercial Real Estate Sees Optimism Strengthening Throughout California

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Uploaded on Jan 16, 2012

http://www.allenmatkins.com
The January 2012 Allen Matkins/UCLA Anderson Forecast California Commercial Real Estate Survey shows a recovery in the office and industrial markets.

The progress has been driven by the steady employment gains in coastal California, particularly in professional, technical and scientific services and health care, users of office space, and in export related sectors and manufacturing, users of
industrial space. Although occupancy rates and rental rates have not yet risen to levels required to induce significant new construction, improving economics has induced an
increase in alterations and remodeling of existing space.

The optimism about 2014 in the Survey, which first appeared in some markets in December 2009, is an important indicator of both the probability of new additions to stock being started over the next two years and of opportunities for new investment in office and industrial space.

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