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
Office Buildings | Mar 24, 2021
JEA Headquarters tops out in Jacksonville
The building has recently topped out.
Energy Efficiency | Mar 23, 2021
ASHRAE’s new headquarters walks the talk about net-zero energy
The conversion of a 1970s’-era building demonstrates how older structures can be made more efficient and sustainable.
Office Buildings | Mar 22, 2021
Make-A-Wish Foundation of Southern Florida unveils design for new chapter HQ
Arquitectonica is designing the project.
Office Buildings | Mar 16, 2021
Perkins&Will unveils design of its New York Studio
The studio supports hybrid work models with agile layouts and integrated broadcast technologies.
Laboratories | Mar 10, 2021
8 tips for converting office space to life sciences labs
Creating a successful life sciences facility within the shell of a former office building can be much like that old “square peg round hole” paradigm. Two experts offer important advice.
Office Buildings | Mar 4, 2021
1905 industrial building set to become Acciona’s new office in Madrid
Foster + Partners is designing the project.
Office Buildings | Mar 3, 2021
Turano Baking Company’s new HQ and test kitchen completes in Oak Park, Ill.
Wright Heerema Architects designed the project.
Office Buildings | Feb 26, 2021
KWK Architects repurposes industrial site and warehouse into office space for Washington University School of Medicine
The project’s first two phases have been completed with the third and final phase under way.
Coronavirus | Feb 24, 2021
COVID-19 spurs need for specific building solutions
A medical supply house’s new call center and a vaccination module that can handle more patients faster are among the latest projects.
Market Data | Feb 24, 2021
2021 won’t be a growth year for construction spending, says latest JLL forecast
Predicts second-half improvement toward normalization next year.
