Emerging Trends: Optimism Clouded by Uncertainty

 The snap audience poll matched the outlook for Emerging Trends in Real Estate 2013 at the report’s release during the Urban Land Institute Fall Meeting in Denver this past week. Before presenting the findings of this year’s forecast, I asked the 700 plus in attendance to answer whether they thought the real estate markets next year would be better, the same or worse than in 2012. Overwhelmingly they signaled better, maybe 20% or so “the same” and only a few thought 2013 would be worse.

Real estate players by nature are optimists—they almost have to be to make some of the deals they do. But if you look at the data, vacancies are headed down across all property sectors, hotels have rebounded especially well, and multifamily has been on its well-documented roll.