IRVINE, CA—Commercial property valuations have appreciated atthe slowest pace in two years, according to Ten-X.In its latest Ten-X Commercial Real EstateNowcast, the online real estate marketplace andGlobeSt.com ThoughtLeader says valuations across the five majorcommercial real estate sectors increased 19 basis points in Januaryfrom the previous month, a sluggish pace not seen since early2014.

"The first reading on commercial property markets in 2016 showsproperty values increasing, but still at a slower pace as thepreviously divergent growth rates of the different propertysegments continue to converge," says PeterMuoio, Ten-X's chief economist. That shouldn't be taken tomean that the results were uniform across the board, though: Ten-Xnotes that valuations increased in three sectors and declined intwo.

In the Nowcast pricing index, which combines GoogleTrends data, Ten-X's proprietary transaction database andinvestor surveys, retail valuations increased 58 bps for January,while apartment rose 39 bps. The biggest leap ahead was seen inindustrial, which followed up an outstanding December with afurther 215-bp increase this month.