Two Years After The Pandemic, Much Has Changed. CRE Is Just Fine With That
March 9, 2022 | Dee Stribling | Bisnow National
The coronavirus pandemic took commercial real estate into uncharted waters, with the industry dreading a replay of the global financial panic — or worse.
That downturn never came to pass, and two years later, many in the commercial real estate industry are thriving.
“If a brokerage isn’t doing better today than before Covid, I really don’t know what to say,” Thad Wong, co-founder of residential brokerage firm @properties, told Bisnow. “If you’re not in better shape today than before the pandemic, you shouldn’t be in business.”
Many investors and operators flourished throughout the pandemic, breathing sighs of relief that the health crisis did not have the impact many feared.
“Commercial real estate has proven strong overall, with investors and users all very active, and the challenge has been finding real estate to sell,” Vantage Commercial President and CEO Leor Hemo said.
Still, the pandemic was not equal in its CRE impact, with the harder-hit sectors of retail, office and hospitality serving as the exception to the cheery mood being felt by the bulk of the industry.
“Uncertainty is still prevalent in the commercial real estate market,” Valcre Vice President of Client Experience Grant Norling said. “That said, real estate is a cyclical asset that typically bounces back from its lows. Retail has shown a large rebound already. The question now is when will office and hospitality do the same?”
