No doubt, the pandemic willcatalyze changes for the commercial real estate market, and that iswhere investors should start when thinking about future investmentstrategy. Mike Sebastian ofAppfolio expects the pandemic will accelerate theecommerce online shopping trend, creating more demand for warehouseand distribution facilities. Retail, on the other hand, has becomea question mark with the prospect of long-term social distancingstandards that could become part of our culture.

"Pre-COVID-19, e-commerce sales were already making history;last year, e-commerce sales surpassed ten percent of total retailsales for the first time. Today, every retailer is askingthemselves how the global pandemic will have an impact on theirretail businesses," Sebastian, industry principal of investmentmanagement at Appfolio, tells GlobeSt.com. "Right now, as investorsare making decisions in the wake of a pandemic, the most importanttakeaway is to focus on the future; e-commerce was already rapidlygrowing and the need for industrial space was alreadypresent. This pandemic only has expedited thoseneeds."

Investors—particularly those already active in this space—arealready looking acutely at how real estate around shopping andconsumer spending will change following the pandemic. The answerhas led many to industrial. "Many investors are thinking aboutthe increased need for domestic manufacturing andindustrial space; warehouses, shipping centers and logisticscenters as we may see an increased demand for theseproperty types," says Sebastian. "We may see an increasedinvestment in last-mile warehouse space to accommodate theincreased need for goods and same-day delivery that retailers willrequire to house the supply they need to meet futuredemand."