NEW YORK CITY—The outcome of what many see as a pivotal race forthe presidency is just one of the factors creating uncertainty in2016. Among other considerations, there are also questions aboutthe health of the job market and concerns about the impactcommercial real estate prices will see from the Federal Reserve'sdecision to end its longstanding zero interest rate policy. Inspite of these uncertainties, Integra Realty Resources says itremains bullish on commercial property sectors, "becauseinstitutionally we understand that while the US economy ischanging, the people and economic institutions continue to beinnovative and enthusiastic."

In fact, IRR is predicting "a positive impact" on rents,occupancy and values due to increased job creation. As evidence,IRR's annual Viewpoint 2016 report cites the continued "robust"pace of cross-border investment into US CRE, currently double thepace of 2005. That pace will be maintained as "home office wealth"continues to migrate family money directly into US real estateinvestment.

IRR's report sees tailwinds for all five of the major foodgroups. Office, for example, is seen as benefiting from broadereconomic trends, while a dearth of new construction has worked infavor of continued rent growth. Accordingly, IRR predicts that18.6% of US markets will experience CBD class A value increases ofat least 4% this year, compared with 8.5% for CBD class B, 65% forsuburban class A and 3.2% for suburban class B.