Washington, D.C.–based Mortgage Bankers Association (MBA) released its Commercial Real Estate/Multifamily Finance Quarterly Data Book for the fourth quarter of 2007. The Data Book compiles the most up-to-date information on topics of interest to financial investment industry participants and observers.
The fourth quarter edition examines the Commercial/Multifamily Finance Environment in addition to other market factors.
Commercial/Multifamily finance markets for office and retail space showed signs of a slowdown in several Districts, according to comments prepared at the Federal Reserve Bank of Boston and based on information collected on or before February 25, 2008, which summarizes comments received from business and other contacts outside the Federal Reserve and is not a commentary on the views of Federal Reserve officials.
Office vacancies were reported up, and leasing volumes down, in Manhattan, Baltimore, Washington, D.C., Memphis, portions of Maine and Rhode Island, and Las Vegas. Districts indicated that office vacancies held steady in Boston and the Carolinas, but were down in Philadelphia, Minneapolis, and St. Louis Districts; however, contacts in the Boston and Philadelphia districts are experiencing some emerging slack.
Office rents were mixed; however, coming in nearly flat in the greater Boston and Manhattan metro areas. Richmond reported vacancies as flat or down, while Philadelphia reported an increase.
Retail vacancy was reported up in the Minneapolis while retail space demand was described as slow in Chicago. Demand for industrial space was described as either "firm" or "flat" in the districts commenting on that sector.
Sales activity in nonresidential markets was down in the Boston, Dallas, Kansas City, and Chicago Districts, with contacts citing tight credit conditions as a major factor.
Office sales activity remained strong in New York City and San Francisco. Eight of the 12 districts reported that nonresidential construction activity was slow. Meanwhile, the Cleveland, Dallas, and San Francisco districts indicated that construction remained strong.
For more information on the MBA Commercial Real Estate/Multifamily Finance Quarterly Data Book visit http://www.mortgagebankers.org/files/Research/2007fourthquarterdatabook.pdf
