Analysis

Gross margins will be flat to slightly down this year as builders have less wiggle room to pass on costs as mortgage rates increase.

Interest in alternative sub-classes is rapidly growing and isn't likely to be a passing phase.

Rents will decline further over the next year as space give-backs push vacancies higher.

Debt funds are pushing leverage to 75% or 80%.

Atlanta, Austin, Charlotte, Dallas, Denver, Miami, Nashville and Raleigh are all positioned for further growth.

The average annual gross rental yield is 7.7% for 2021, down from an average of 8.4% in 2020

The first-quarter AICPA Economic Outlook Survey says most businesses haven't planned for a reduction in their traditional brick-and-mortar office space.

The survey found that half of America's individual rental home owners have residents who have missed payments since March 2020.