The outlook for the commercial real estate industry remains strong despite growing concerns over sluggish job creation and higher taxes, according to a new survey of commercial real estate professionals who attended a leadership conference hosted by NAIOP, the Commercial Real Estate Development Association.
The poll was conducted during NAIOP’s 2015 Chapter Leadership and Legislative Retreat and surveyed over 100 commercial real estate insiders.
Nearly half of respondents indicated that sluggish job growth was a major concern and nine out of 10 indicated that higher capital gains taxes would have some impact on investment and growth, with many saying the impacts could be “severe.”
President Obama’s FY 2016 budget proposal includes a proposal to raise the top tax rate to 28% on capital gains and qualifying dividends for couples with income over $500,000.
Despite concerns over sluggish job creation and higher taxes, 52% projected strong growth in 2015, while 43% saw the industry as remaining stable.
“Our members are optimistic, but sluggish job creation and the looming threat of higher taxes are their main worries right now. Given our industry’s contribution to a durable economic recovery and generating good-paying jobs, we hope Congress and the president will hear this and weigh the serious consequences of a tax hike at this time,” said Thomas J. Bisacquino, president and CEO of NAIOP.
When asked the question “what keeps you up at night?” 27% of respondents indicated that gridlock in Washington was a major concern. “We need strong and consistent policies from Washington that encourage investments in development projects so more Americans can share in our economic recovery,” said Bisacquino.
Related Stories
Adaptive Reuse | Nov 1, 2023
Biden Administration reveals plan to spur more office-to-residential conversions
The Biden Administration recently announced plans to encourage more office buildings to be converted to residential use. The plan includes using federal money to lend to developers for conversion projects and selling government property that is suitable for conversions.
Office Buildings | Oct 30, 2023
Find Your 30: Creating a unique sense of place in the workplace while emphasizing brand identity
Finding Your 30 gives each office a sense of autonomy, and it allows for bigger and broader concepts that emphasize distinctive cultural, historic or other similar attributes.
Biophilic Design | Oct 29, 2023
Natural wood floors create biophilic experience in Austrian headquarters office
100% environmentally friendly natural wood floors from mafi add to the biophilic setting of a beverage company office in Upper Austria.
Government Buildings | Oct 27, 2023
A spurt in public spending bolsters AEC firms' government building practices
Nonresidential public construction spending, while only about a quarter of private-sector spending, has been growing at a much faster clip lately. In June, it was up 13.8% to $411.4 billion, with commercial and manufacturing the biggest subsectors, according to Commerce Department estimates.
Office Buildings | Oct 19, 2023
Proportion of workforce based at home drops to lowest level since pandemic began
The proportion of the U.S. workforce working remotely has dropped considerably since the start of the Covid 19 pandemic, but office vacancy rates continue to rise. Fewer than 26% of households have someone who worked remotely at least one day a week, down sharply from 39% in early 2021, according to the latest Census Bureau Household Pulse Surveys.
Biophilic Design | Oct 18, 2023
6 ways to integrate nature into the workplace
Integrating nature into the workplace is critical to the well-being of employees, teams and organizations. Yet despite its many benefits, incorporating nature in the built environment remains a challenge.
Office Buildings | Oct 16, 2023
The impact of office-to-residential conversion on downtown areas
Gensler's Duanne Render looks at the incentives that could bring more office-to-residential conversions to life.
Government Buildings | Oct 10, 2023
GSA names Elliot Doomes Public Buildings Service Commissioner
The U.S. General Services Administration (GSA) announced that the agency’s Public Buildings Service Commissioner Nina Albert will depart on Oct. 13 and that Elliot Doomes will succeed her.
Products and Materials | Sep 29, 2023
Top building products for September 2023
BD+C Editors break down 15 of the top building products this month, from smart light switches to glass wall systems.
Office Buildings | Sep 28, 2023
Structural engineering solutions for office-to-residential conversion
IMEG's Edwin Dean, Joe Gulden, and Doug Sweeney, share seven key focuses for structural engineers when planning office-to-residential conversions.
