CRE Values Keep Sliding, Down 15% From Last Year

apartments, multifamily

Commercial real estate property prices are down sharply compared with a year ago, according to Green Street, with its commercial property price index down 15.2% from March 2022. The index is off 0.2% compared with February 2023.

Some property types have been hit harder than others year-over-year, but according to Green Street, all property types have lost some ground.

Office, a sector under pressure from tepid occupancies as hybrid work schedules solidify, lost 25% of its index value since a year ago, though it was unchanged compared to February.

“Office has seen the largest price declines, where even high-quality properties are down 25% over the past year,” Green Street co-Head of Strategic Research Peter Rothemund said in a statement.

Hit almost as hard, despite the demand for the sector, was multifamily, with its index value down 21% from last year and also unchanged from February.

Most other sectors saw double-digit annual drops in their valuation indexes, including industrial, down 13%; strip retail, down 14%; and malls, down 15%. Compared with a year ago, the only sector close to the same valuation is lodging, down only 1%.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's National Newsletters
Related Stories

Alexandria's $73M Quarterly Loss Highlights Deepening Life Sciences Real Estate Slump

Derek Jeter-Backed Alum Launches Private Clubs, Condo-Hotel Venture

Keith Oden To Retire From Executive Position At Camden Property Trust

Trump Reportedly Preparing Ban On Chinese Data Center Components

Segro Accepts Prologis' £14B Takeover Offer

Travis Kalanick Partners With Air Taxi Company To Build Vertiport Network

Texas Gov. Greg Abbott Halts Data Center Connections To State Power Grid

Altus Group Sells Advisory Business To Newmark As Part Of Pure-Play Tech Pivot

Outside NYC, Building Officials See No Reason To Panic On Conversions

FIRST DRAFT LIVE: Mavik Capital's Vik Uppal Is Betting Big On CRE Distress

Rent Freeze Heightens Loss Risk For $506M CMBS Loan

MDNI Group Buys Santa Monica Apartments Out Of Receivership: The Los Angeles Deal Sheet