X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ReFla asked members of its editorial advisory board what issues they thought are having the biggest impact on commercial real estate now. This is the first of three thought-provoking responses.

Two things will dramatically affect our business this year. The first is the limited availability and increased cost of credit, which will greatly reduce the number of deals that get done this year.

The second will be the huge increase in sublease space brought on by the significant reduction in activity that most businesses will experience. This will result in a significant reduction in rental rates going forward for the next few quarters.

That should cause a significant drop in sales prices of investment properties.

Ted Bywater is chairman of the Bywater Co.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.